The Fixed rate utility tax scam
The monopoly utilities are at it again. They want California consumers to pay the largest fixed-rate utility tax in the nation by more than half. The proposed tax is now being heard before California's Public Utility Commission (CPUC.) And if it's passed–by a state commission that's all appointed (not elected by the people)–the utility tax will become a permanent fixture in every Californian's monthly energy bill.
The fixed-rate tax is deceptive and abusive.
It's abusive because this utility tax will disproportionately punish California renters, families who live in smaller homes and apartments, seniors on a fixed income, and people committed to energy conservation.
It's deceptive because the monopoly utilities use equity to divide and conquer California consumers. They claim that a fixed-rate based on a person's income will equalize what we all pay for electricity. The truth is that fixed-rate is not a flat fee. All consumers will still pay for their monthly utility usage.
Of course, there is no mandate that the monopoly utilities can't raise rates. So most consumers' rates will be lower only for a short while, if at all (if you're a renter or energy conserver, you'll see your rates increase.)
So how did this debacle happen?
In the late night of August 22–the final day of California's legislative session–utility lobbyists snuck a bill to mandate the CPUC consider a fixed tax into a Diablo Canyon Nuclear Plant bail-out bill. The truth is most legislators probably had no idea that they voted for a fixed-rate utility tax.
Now, the utilities have hired expensive PR firms to convince the public that a fixed-rate utility tax will help low-income communities. But, apparently, the IOUs, their Sacramento lobbyists, and PR firms have forgotten (or perhaps have no clue) that most families in working and environmental justice communities are renters and low-energy usage households.
Monopoly utilities make billions of dollars annually in profits from California consumers. Keep the same utilities from getting away with this abusive and deceptive fixed-rate utility tax. Join our coalition and let your local state legislator know they must put the people before utility profit.
The monopoly utilities are at it again. They want California consumers to pay the largest fixed-rate utility tax in the nation by more than half. The proposed tax is now being heard before California's Public Utility Commission (CPUC.) And if it's passed–by a state commission that's all appointed–the utility tax will become a permanent fixture in every Californian's monthly energy bill.
The fixed-rate tax is deceptive and abusive.
It's abusive because this utility tax will disproportionately punish California renters, families who live in smaller homes and apartments, seniors on a fixed income, and people who are great conservers of energy.
It's deceptive because the monopoly utilities use equity to divide and conquer California consumers. They claim that a fixed-rate based on a person's income will equalize what we all pay for electricity. The truth is that fixed-rate is not a flat fee. All consumers will still pay for their monthly utility usage.
Of course, there is no mandate that the monopoly utilities can't raise rates. So most consumers' rates will be lower only for a short while, if at all (if you're a renter or energy conserver, you'll see your rates increase.)
So how did this debacle happen?
In the late night of August 22–the final day of California's legislative session–utility lobbyists snuck a bill to mandate the CPUC consider a fixed tax into a Diablo Canyon Nuclear Plant bail-out bill. The truth is most legislators probably had no idea that they voted for a fixed-rate utility tax.
Now, the utilities have hired expensive PR firms to convince the public that a fixed-rate utility tax will help low-income communities. But, apparently, the IOUs, their Sacramento lobbyists, and PR firms have forgotten (or perhaps have no clue) that most families in working and environmental justice communities are renters.
Monopoly utilities make billions of dollars annually in profits from California consumers. Keep the same utilities from getting away with this abusive and deceptive fixed-rate utility tax. Join our coalition and let your local state legislator know they must put the people before utility profit.
The Fixed rate utility tax scam