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CPUC president's statements criticized.


SACRAMENTO, Calif.--(BUSINESS WIRE)--Aug. 31, 1995--Utility consumers and business Thursday joined Assemblyman Mickey Conroy (R-Orange) to express concern over statements by California Public Utilities Commission The California Public Utilities Commission (CPUC; also often commonly referred to as simply the PUC) [1] is a state Public Utilities Commission which regulates privately-owned utilities in the state of California, including electric power,  (CPUC CPUC California Public Utilities Commission
CPUC Current Procurement Unit Cost
) President Daniel Fessler that he intends to ignore state law in a way that would increase utility rates to promote electric and natural gas vehicles This is a list of natural gas vehicles. Airplanes
  • Tu-155 only experimental
Helicopters
  • Mil Mi-8 only experimental
Passenger cars
  • Citroën Berlingo Multispace 1,4 GNV
  • Fiat Doblò SX 1.
.

In a recent interview with Inside Cal/EPA, Commissioner Fessler labeled as "too extreme" recommendations by CPUC Judge Steven Weissman that cut utility rate increase applications to $160 million.

Utility companies initially applied for more than $600 million in rate increases for programs such as new car showrooms, lobbying, cash rebates to car buyers, marketing and infrastructure to promote electric and natural gas vehicles. Public criticism forced the companies to reduce their requests to $335 million and the judge reduced them even further to $160 million.

Weissman based his recommendations on a new law authored by Conroy that prohibits the Commission from allowing utilities to raise rates for electric and natural gas car programs unless they can prove a direct benefit to ratepayers in the form of safer, more reliable, or less costly service.

Fessler's statements to Inside Cal/EPA raise fears that he intends to ignore that law.

Fessler was quoted by Inside Cal/EPA as saying that he believes the new law does not prohibit the CPUC from "taking into account the situation that is confronting the entire Los Angeles metroplex."

In response, Ed Yates of the California League of Food Processors declared: "The new law was specifically intended to stop the sort of overly broad interpretation of "ratepayer benefits" that Fessler used to justify earlier rate increases for utility company natural gas vehicle programs.

"He's trying to get around the law now by doing the same thing. Commissioner Fessler's gambit is indicative of why Californians pay electric rates which are on average 50% higher than those in the rest of the country."

The Conroy bill was supported by a large coalition of consumer, business and senior organizations which includes Toward Utility Rate Normalization (TURN), the California Manufacturers Ass'n, Congress of California Seniors, Latin Business Ass'n, Retired Public Employees Ass'n, National Ass'n for the Hispanic Elderly, Oil, Chemical & Atomic Workers Int'l Union (AFL-CIO AFL-CIO: see American Federation of Labor and Congress of Industrial Organizations.
AFL-CIO
 in full American Federation of Labor-Congress of Industrial Organizations

U.S.
), United Agribusiness League, Congress of Racial Equality Congress of Racial Equality (CORE), civil-rights organization founded (1942) in Chicago by James Farmer. Dedicated to the use of nonviolent direct action, CORE initially sought to promote better race relations and end racial discrimination in the United States. , Western States Petroleum Ass'n, California League of Food Processors, National Federation of Independent Business The National Federation of Independent Business (NFIB) is a lobbying organization with offices in Washington, D.C. USA, and in all 50 state capitals. NFIB claims a membership base in excess of 600,000.  (NFIB NFIB National Federation of Independent Business
NFIB National Foreign Intelligence Board
), American Frozen Food Institute American Frozen Food Institute (AFFI) is a trade association and lobbying group based in McLean, Virginia for manufacturers and distributors of frozen food. AFFI promotes frozen food to consumers and other groups, and organizes conventions for its members. , Consumer Federation of America The Consumer Federation of America (CFA) is a non-profit organization founded in 1968 to advance the consumer interest through research, education and advocacy.

According to CFA's website, its members are approximately 300 consumer-oriented non-profits, which themselves have
, Pacific Egg and Poultry Ass'n, California Business Alliance, Apricot Producers Association, California Highway Users Conference, California Seed Ass'n, California State Floral Ass'n, People's Advocate, Nisei Farmers League, Seniors for Action -- and tens of thousands of California citizens.

CONTACT: Californians Against Utility Company Abuse

Barbara Simpson, 415/340-0470
COPYRIGHT 1995 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1995, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Date:Aug 31, 1995
Words:444
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