The Big Four California Investor Owned Utilities Spent Over $21.8Million on Lobbying in 2024

For-profit utilities spend large while raising rates and worsening California’s affordability crisis 

Sacramento, Calif. — California’s four major investor-owned utilities (IOUs) — for-profit corporate utilities — spent a staggering $21,854,420 on lobbying and influence efforts in 2024, working to weaken clean energy policies, consumer protections, and utility accountability measures. Leading the spending was PacifiCorp, the largest electric utility in the North Coast region and a subsidiary of the Warren Buffett-owned Berkshire Hathaway Energy, spent more than $13 million on lobbying and legal expenses in 2024, far outpacing its peers. The company paid $2.3 million to the law firm Hueston Hennigan, likely for wildfire culpability defense work, and a total of approximately $5 million in legal expenses both internally and through outside firms.

Adding to the controversy, PacifiCorp’s lobbying firm, California Advisors LLC, was fined $580,000 by the U.S. Department of Justice for defrauding the Paycheck Protection Program (PPP), which barred lobbying firms from receiving COVID hardship funds. One of the firm’s named lobbyists in the DOJ case, Delaney Hunter, is a former Director of the Office of Governmental Affairs for the California Public Utilities Commission (CPUC), raising serious concerns about regulatory influence.

Pacific Gas & Electric Company (PG&E) and Southern California Edison (Edison) spent just over $3 million each followed by Sempra Energy, parent company of SoCalGas and San Diego Gas & Electric (SDG&E), spent $1.6 million.

California’s for-profit utilities successfully lobbied against multiple consumer protection bills in 2024, prioritizing their profits over affordability for ratepayers. Among the defeated legislation was SB 1003 (Dodd), which aimed to rein in soaring electricity costs by requiring utilities to prioritize faster, more cost-effective wildfire mitigation strategies instead of expensive projects that inflate corporate earnings. Further, PacifiCorp, Edison, PG&E, and Sempra aggressively lobbied on wildfire mitigation policies in an effort to shift liability costs onto ratepayers. Each of these corporate utilities has faced significant financial and legal consequences for wildfires sparked by their equipment.

Utility companies have a long history of charging customers for their lobbying and public relations efforts. SoCalGas alone has funneled over $36 million in lobbying and PR costs into ratepayer accounts, while controversy erupted in 2024 when PG&E billed ratepayers for a $6 million TV ad campaign promoting its costly wildfire mitigation tactics. SB 938 (Min) sought to ban utilities from passing these expenses onto customers, but the bill was blocked in the Senate Energy, Utilities, and Communications Committee following aggressive lobbying by Sempra, Edison and PG&E.

Similarly, utilities succeeded in killing AB 2054 (Bauer-Kahan), which would have increased oversight of the California Public Utilities Commission (CPUC) and prevented industry influence over ratemaking decisions.

However, utility lobbying efforts failed in some key areas. SB 1142 (Menjivar), now signed into law, strengthens consumer protections by requiring utilities to restore service to customers who arrange a payment plan after disconnection due to unpaid utility debt. Other bills that overcame heavy industry opposition and were signed into law include:

• AB 2329 (Murasutchi) – Promotes affordable clean energy investments.

• AB 2847 (Addis) – Increases transparency by requiring utilities to disclose capital spending.

As California approaches the 2025 legislative session, consumer advocates are calling for stronger action to hold utilities accountable and protect families from excessive energy costs.

“Operating under a system that incentivizes wasteful spending allows for limitless rate hikes, and taking advantage of customers. It's no surprise utility corporations are spending millions to push back against bills that would otherwise hold them accountable,” said Mark Toney of The Utility Reform Network, “Governor Newsom must work with lawmakers and California agencies to remedy the broken system that rewards for-profit utilities at the expense of ratepayers. Families shouldn’t be footing the bill for industry lobbying and struggling to meet rising rates while corporations report record profits.”

A 2024 poll shows that California voters want policymakers to take decisive action to address the root causes of high electricity bills, including limiting how much utilities can spend and profit. Voters overwhelmingly support holding utilities accountable for controlling costs:

• 86% support requiring utilities to pursue the safest and most cost-effective wildfire mitigation strategies instead of those that maximize profits for Wall Street investors.

• 82% support prohibiting utilities from charging customers for lobbying and PR campaigns.

• 81% support limiting how much utilities can charge customers for large projects to prevent excessive profits.

Despite strong public demand for reform, lawmakers largely ignored the will of voters in 2024, failing to pass critical affordability measures. As California approaches the 2025 legislative session, utility advocates continue to push for the same essential reforms. TURN’s analysis of 2024 lobbying disclosures coincides with the release of its newly published Lawmaker Affordability and Accountability Scorecard, where champions like Senator Ben Allen ranked among the strongest voices for affordability.

Contact: Blake Marquez • Blake@sunstonestrategies.com • (310) 894-6690