California Regulators Approve Excessive Utility Profits as One in Five Customers Can’t Pay Their Bills

Source: Redheaded Blackbelt  |  By Staff Writers

The California Public Utilities Commission (CPUC) voted (4-1) last week to approve profit margins for the state’s utilities that consumer, environmental, and community intervenors agree are unjustifiably high. The approved profit margins range from 9.78% to 10.03% across PG&E, SoCalGas, SCE, and SDG&E. 

“Revising the Cost of Capital decision in favor of utility shareholders is more than just buckling under pressure from PG&E and other major utilities. It is part of a disturbing pattern of Commissioners disregarding proposals to address the affordability crisis issued by their own judges and staff, based upon evidence presented by all parties in ratemaking cases. The legislature needs to take more action to address the affordability crisis, because the CPUC has failed to do so,” said Mark Toney, executive director of The Utility Reform Network (TURN).