Prop 16 Will Lock Californians into Multi-Billion Dollar Utility Rate Increases Now Before State Regulators

PG&E has some of the highest rates in the United States, and they are seeking the largest rate increase yet. PG&E is currently (as of March, 2010) requesting $5 Billion in rate increases at the California Public Utilities Commission. Since its second major ratepayer bailout by ratepayers in 2003, PG&E Corporation is making massive new investments and signing massive contracts to build new fossil fuel power plants throughout Northern California, as well as a major new 240 mile pipeline and fossil fuel importation terminal on the Oregon border. In short, this gas importation company is overinvesting in gas-fired power to maximize its profits, threatening California's economy with devastating rate increases.

At issue in Prop 16 is that PG&E is seeking to make its customers captive again, after it was bailed out to surrender its power monopoly rights in 1996. To make California's economy captive, PG&E's Prop 16 would disable California local governments from exercising traditional local control over energy infrastructure planning, forcing elections and allowing a 34% minority to filibuster needed local infrastructure and planning, even for something as basic as providing power to new businesses and homes. That is why the California Asociation of Realtors has come out officially opposed to Prop 16 - it will harm the economy and impose gridlock on local communities in the middle of the nation's economic crisis.

 

"Silicon Valley cities fear PG&E power play," Silicon Valley/San Jose Business Journal article by David Goll (March 5 2010)

"Texas Refiners Mum About Funding Push to Halt Calif. Climate Law," New York Times article by Colin Sullivan (March 3 2010)

"PG&E Plans To Spend $7 Billion To $10 Billion On Projects Over Next 2 Years," Down Jones Newswires story (March 3 2010)

"Former president of coalition opposing Marin Clean Energy says he supports local initiative," Marin Independent Journal article by Richard halsteead (March 5 2010)

"PG&E's proposed Prop 16 would mean less power and money for CIty of Gridley,"The Gridley Herald (Butte County, CA) article by Lisa Van De Hay (February 24, 2010)

"California Association of Realtors (CAR) formally opposes Prop 16,"California Association of Realtors position statement by its Board of Directors (February 15, 2010)

"What do California Realtors Know About Prop. 16 that the State Chamber of Commerce Doesn't?,"PG&E Ballot Initiative Factsheet article by former California Energy Commissioner John Geesman (February 15, 2010)

"The Chamber of Commerce Overlooks Prop 16's Massive Drafting Errors," California Progress Report article by Brian Leubitz (February 16, 2010)

"PG&E spending millions to block local utilities," San Jose Mercury News article by Dana Hull (January 31, 2010)

"PG&E customers feel sticker shock from rising rates," Fresno Bee (Feb 07, 2010)

"Irrigation district to oppose latest PG&E rate hike ," Central Valley Business Times (February 1, 2010)

"Valley Town Battling PG&E," KMJNOW News Talk Radio (February 1, 2010)

"PG&E SmartMeters likely to boost shut-offs," San Francisco Chronicle article by David R. Baker (January 26, 2010)

"Manteca, Ripon & Escalon say ‘yes’ to SSJID, ‘no’ to PG&E," Manteca Bulletin article by Dennis Wyatt, Managing Editor (February 3, 2010)

"Jump in service disconnections sparks move by California," Los Angeles Times article by Marc Lifsher (February 5, 2010)