Francisco Moreno, Mexican Federations in North America (COFEM)

Esperanza Vielma, Environmental Justice Coalition for Water

Reverend Ambrose Carroll, Green The Church

“Our elected and appointed officials have a moral obligation to have an open dialogue on public policy issues. Only then will the communities most negatively affected by fossil fuel pollution & historical barriers to energy democracy have the ability to create a better future. The truth counts” #ceeetruth

Timeline on Monopoly Utilities Deceptive Fixed-Rate Utility Tax

In 2013, then-Governor Jerry Brown signed Assembly Bill 327 into law. The bill accelerated California’s transition to Green Energy. The bill capped fixed-rate utility taxes.

Legislative text: “The bill would impose a $10 limit per residential customer account per month for customers not enrolled in the CARE program, would impose a $5 per month limit per residential customer account per month for customers enrolled in the CARE program…”

How the Monopoly Utilities

Created the Deceptive

Fixed-Rate Utility Tax

For years, climate activists have opposed fixed-rate utility taxes saying such taxes hurt the poor, seniors, communities of color, and the transition to cleaner and more affordable distributed energy.

California’s three Investor Owned Utilities (IOUs): Pacific Gas & Electric (PG&E,) Southern California Edison (SCE,) and Sempra (SDG&E,) are some of the most profitable businesses traded on Wall Street. 33.2 billion in 2022.

In the last minute of the 2022 California legislative session–carefully hidden–in a so-called gut and amend trailer bill the legislature passed a utility-driven special interest bill to make the CA Public Utilities Commission (CPUC) come up with a plan to implement a so-called Fixed Rate utility tax on all Californians in investor-owned utility territories.

Trailer bills are trick that politicians use to pass special interest legislation without public input. These last minute will also serve to hide a controversial policy from legislatures who would otherwise vote against something that hurts their constituents.

Editorial: California shouldn’t let power companies get their way on our electric bills

So what happened?

The Utilities Wanted More Profits

Utilities companies carry high debt levels… servicing that debt becomes more difficult when interest rates rise. If utilities companies are unable to pass extra financing costs on to customers, they may be partially borne by investors.

So to secure & protect their billions in yearly profits the Monopoly utilities…

the monopoly utilities their friends in the State legislature to institute a fixed-rate on the monthly bill of every California energy consumer.

HOW?

The revolving door at public utilities commissions? It’s alive and well

…former utility and fossil fuel industry employees who become commissioners “tend to make more decisions that benefit the industry.” That could mean allowing utilities to keep sinking customer money into coal and gas plants when solar or wind would be cheaper. It could also mean slashing incentives for rooftop solar panels, which can threaten utility profits.

The PUC commissioners go from working for the monopoly utilities to the PUC and the Governor’s Office.

Who do your think their advocating for?

What can you to fight back against corrupt practices at the CPUC and the fixed-rate utility tax that hurts working families?