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Edison Under Scrutiny for Eaton Fire.Who Pays for Liability will be ‘New Frontier’ for California 

Source: LA Times| By Jenny Jarvie

Mark Toney, executive director of TURN, The Utility Reform Network, said the massive scope of the L.A. County fires raised significant questions about the fund’s ability to cover insurance liability. Even if the fund is able to bail out utility companies for the fires, it’s uncertain whether it could then cover fires that may crop up in the future. “Will the fund work right?” Toney said. “Who ends up paying?”

“This is the most profound test case that the fund [$21-billion wildfire fund, split equally between shareholders and utility customers] will potentially be up against,” said Christopher Holden, a former Democratic legislator who sponsored the bill that created the fund. “This is a new frontier,” said Holden, who lives in Pasadena and had to evacuate during the Eaton fire.

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Will Voters Say Yes to New Fire Taxes?

Source: Politico| By Will McCarthy and Emily Schultheis

 PG&E OVERSIGHT (2026?): After legislative efforts to supervise PG&E’s spending on wildfire mitigation failed last spring, Utility Reform Network director Mark Toney said he was “stunned by the power and influence that PG&E has regained in the state legislature.” Toney says an effort to deliver oversight via initiative is possible, a cause that could get a boost from speculation that power lines may have sparked some of L.A.’s blazes, although he noted his consumer advocacy organization would be unlikely to take a campaign leadership role.

Last November, dozens of fire-fighting measures — from wildfire prevention bonds to stopgap special taxes — appeared on ballots around the state, part of local governments’ response to the previous decade’s large wildfires that leveled entire towns and burned a quarter of the state’s forestland. Many passed, in both rural communities typically skeptical of new taxes and spending and dense urban areas where wildfire has not always been a leading public-safety concern. In Los Angeles County, voters approved Measure E, which by generating $150 million per year to raise equipment and staffing levels for county firefighters, now “couldn’t be more relevant,” as County Supervisor Kathryn Barger put it last week.

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When the Silver Screen Burns Down

Source: Politico | By Camille Von Kaenel, Blanca Begert, Alex Nieves, and Zack Colman

Utility watchdog types are holding back for now. “We’re taking a wait-and-see position,” said Mark Toney, executive director of ratepayer advocacy group The Utility Reform Network. “There are certain questions we’re concerned about, like did they shut off the right power at the right time. … We don’t know, so we hate to jump to a conclusion, because too much is at stake.” 

Southern California Edison filed an incident report with the Public Utilities Commission last night “out of an abundance of caution,” noting that they’d received “preservation notices from counsel representing insurance companies in connection with the fires.” The filing said a preliminary analysis showed no interruptions or anomalies on their energized transmission lines in the area until an hour after the Eaton Fire that burned through Altadena and Pasadena started. The Wall Street Journal also reported today that the Los Angeles Department of Water and Power didn’t proactively shut off lines in the area burned by the Palisades Fire as windstorms swept the area, a safety protocol that every other major California power provider has in place. LADWP didn’t immediately respond to a request for comment.

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Wildfire and Climate Programs are Driving up California Electricity Bills, says State Analyst

Source: Sacramento Bee | By Ari Plachta

Mark Toney, executive director of The Utility Reform Network, said the report underscores the ability of smaller publicly owned utilities to stay on course to meet climate goals while keeping rates low. “The IOUs have basically been issued a credit card with no limits and a guarantee that someone else is going to pay the balance,” he said. “I’m hoping legislators will look at this report and ask what can we do to set limits on annual overspending.” He pointed to several policy options for lawmakers, including placing limits on shareholder returns, creating public financing options, restricting the use of less-regulated accounts, or using a financial tool called securitization to make rates more affordable. “The utilities were able to kill almost everything they didn’t like last year,” Toney said. “At some point elected officials just have to stand up and say this time we’re going to put ratepayers in front of Wall Street investors.”

Wildfire prevention and climate programs have drastically raised Californians’ monthly electricity bills, potentially forcing state leaders to balance ambitious carbon emissions goals with affordability concerns, the state analyst said. Lawmakers “may be faced with a frank decision about how to balance the state’s ambitious greenhouse gas reduction goals — and all of the associated benefits — against the inevitable costs that will result for ratepayers,” the report found.

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PG&E Proposes 5th Rate Hike in 2024, but Why? Here's Where Money is Going

Source: ABC7 | By Dion Lim

"It's death by a million cuts. It's just a nonstop rate hike after a rate hike," said Lee Trotman of The Utility Reform Network (TURN). "Right now, you're paying an average of $50 more than at the beginning of the year," Trotman said.

PG&E customers could see another increase in their utility bills. If approved, this would mark the fifth rate hike in 2024. ABC7 News looked into where the money is going and what can be done to curb future increases.

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Can AI Save the Grid… from AI?

Source: Politico| By Blanca Begert, Tyler Katzenberger, Alex Nieves, Will McCarthy and Wes Wenteicher

“We need to fix a broken system where there are no limits to how much PG&E can request in rate increases, and no limits to how much the CPUC can grant in rate increases,” Mark Toney, executive director of The Utility Reform Network, said in a statement.

Utility and energy professionals in California and beyond are acknowledging a paradox. On the one hand, they’re looking eagerly at how advances in machine learning and artificial intelligence can help them manage the grid, predict fires and outages and respond more flexibly as energy demand grows.

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Your PG&E Bill Might See Another Rate Hike by the End of Year

Source: ABC7 News | By Cornell Barnard

"There are no limits to how much the Public Utilities Commission can grant in hikes, that's why TURN has been fighting for a cap on increases no more than the cost of living adjustment, provided by social security," said Mark Toney, Executive Director for TURN. TURN, The Utility Reform Network says, PG&E has been granted too many hikes this year alone. "We're looking at the fourth rate hike in 2024 alone, and every rate hike is like the tip of the iceberg, every hike stacks on top, that's why people are so angry," said Toney.

Your PG&E bill could jump another $6 per month before the end of the year. The price of natural gas rose in September, about $5.78 more on an average PG&E bill. The utility says a decrease in demand for gas is the reason. For months, utility watchdogs have been calling for fair utility rates but next week, the California Public Utilities Commission could grant PG&E yet another electricity rate increase of 2.7% about $6 more on an average bill.

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Newsom Energy Plan Sparks Tug of War with Lawmakers in Final Hours of Legislative Session

Source: Los Angeles Times | By Hayley Smith & Melody Petersen

Mark Toney, executive director of The Utility Reform Network (TURN) — a consumer advocacy group — said the governor’s original electricity affordability plan included a measure that would have lowered the interest rates that utilities earn on capital investments such as transmission lines and power plants. Current policy encourages utilities to build expensive infrastructure because they get to recover the cost — plus annual interest that is typically 10.5% — through rates billed to customers. The original plan was aimed at reducing that rate through a financing technique called securitization. “It would create significant savings,” Toney said of the original proposal.

Amid tense, closed-door negotiations, Gov. Gavin Newsom and Democratic lawmakers have released a suite of seven bills that aim to reduce Californians’ soaring energy costs — including a controversial electricity affordability plan that critics say was substantially weakened by lobbying from utilities and will offer little real relief.

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PG&E Working to Curb Growing Number of Wildfires Started by Own Equipment

Source: ABC 7 News | By Dustin Dorsey

Mark Toney is the executive director for the Utility Reform Network and says bills have skyrocketed more than 100% in the past four years. With this latest fire data, Toney says it's fair for customers to question if the increases are worth it. "The customers are paying the price of more expensive and much slower wildfire safety," Toney said. Toney would prefer to see cheaper, faster ways of wildfire mitigation -- like insulated lines -- over seemingly constant increases with little results.

As the peak of the wildfire season quickly approaches, PG&E is working just as fast to put a stop to fires caused by its own equipment. The utility is reporting 62 fires caused by power lines this year, nearly equally the total from all of last year. To make the electric system safer, and reduce wildfire risk, sometimes exceptional costs have to be incurred. That's been PG&E's message as to why rates have increased so much in the last few years. But wildfires have not decreased.

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Does Watchdog Group Actually Represent Californians When Challenging Insurance Prices?

Source: The Sacramento Bee | By Stephen Hobbs

“The fact that the insurance corporations are going after Consumer Watchdog, means Consumer Watchdog is doing their job extremely well,” said Mark Toney, executive director of The Utility Reform Network, and one of the letter signers. “In fact, I would call it a badge of honor.”

In the state’s tumultuous market, where prices are spiking and coverage is harder to find, the Department of Insurance is now considering a question that goes to the heart of the group’s work: Does Consumer Watchdog actually represent the interest of Californians? State lawmakers, companies and residents are all pressuring Lara to do more. In response, he is supporting rule changes meant to speed up reviews of proposed rate increases. Lara blames delays on companies – but he also claims Consumer Watchdog has slowed the process down by copying department work when it protests price hikes. He has accused the group of holding the reviews hostage at times. Representatives for 14 environmental, legal and other groups co-signed a letter to Lara that said it was “outrageous” for companies to suggest Consumer Watchdog wasn’t working on behalf of residents. It called on the department to grant the organization’s request immediately.

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Here's How PG&E's Power Lines Undergrounding Project is Going in Wildfire-Prone Foresthill

Source: CBS News | By Steve Large

Mark Toney is the executive director of The Utility Reform Network, or TURN. Toney said that PG&E should be covering more power lines above ground. He said that PG&E's effort to put 10,000 miles of power lines underground is too slow and costly. The state has authorized the utility company to bury only 1,300 miles by 2026. "It's delaying safety and costing a fortune," Toney said. "If you are in a place that's waiting to be buried, maybe you're not in this four-year round. Maybe you'll be in the next four years or maybe after.”

With triple-digit fire weather top of mind, some people who live in wildfire-prone areas like Foresthill in Placer County are getting their power lines put underground by Pacific Gas and Electric—and some are not. Mike Howard owns a home on one acre of property in Foresthill. He's had several close calls and mandatory evacuations in the ten years since moving there.

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Will ratepayers will be on the hook for HECO's wildfire costs?

Source: Hawai’i Public Radio | By Savannah Harriman-Pote

Still, securitization may not be a bad deal for ratepayers, said Mark Toney, the executive director of The Utility Reform Network, a California-based consumer advocacy group. "Just think about the difference between the people who got their home loans at 3% or less and people today who are having to pay 7% or more. The same house, your payments are double what they are. So it's kinda like that, it's the same principle," Toney told HPR. But Toney added that ratepayers should never be on the hook for utility negligence. If that’s the case, he said “there has to be a guarantee that shareholders reimburse the ratepayers in real time.” The Utility Reform Network has been involved in one of the largest securitization cases in the country with Northern California electric utility PG&E, which took out $7.5 billion in ratepayer bonds to pay costs related to the 2017 California wildfires. However, he said, California law does not allow a utility to make ratepayers pay for wildfires started due to the company's negligence. "If you look on a PG&E bill and you open it up when it comes in the mail, you will see a line item that talks about repaying the bond as a bill, but there will be a bill credit for the exact same amount, which represents the shareholders reimbursing the ratepayers in real time."

The brushfire that destroyed Lahaina last year was one of 28 weather and climate disasters in 2023 that cost a billion dollars or more in damages. Electric utilities face increasing expenses related to extreme weather events like hurricanes, ice storms and wildfires. Several utilities, including Hawaiian Electric, have eyed ratepayer-backed bonds as a possible avenue to recoup some of those costs.

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CPUC Unanimously Approves New PG&E Rate Hike to Cover Wildfire Mitigation Projects

Source: ABC 7 News | By Lena Howland

"I think that is disrespectful to customers, and that the commissioners owe it to the customers to explain their vote for yet another increase," Mark Toney, executive director of TURN said. Toney, executive director of TURN, The Utility Reform Network, points out that this increase is on top of the hike that already went into effect on Jan. 1, which averaged around $38 a month per customer. This is despite the utility reporting last year's profits surged to more than $2.2 billion, a jump of almost 25%. “It doesn't make any sense for PG&E to keep crying poor when the fact is, they are more profitable than they've ever been in their history, it is not right," he said.

On Thursday, the CPUC voted again to allow PG&E to raise rates in a 4-0 vote, expected to take effect in April. This comes after a rate increase just went into effect on Jan. 1.

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PG&E Seeks Break on Part of a $1 billion Payment to Wildfire Bailout Fund

Source: NBC Bay Area | By Jaxon Van Derbeken

“We’re talking about a company who, in 2023, $2.5 billion to shareholders? PG&E has the money,” said Mark Toney, executive director with the ratepayer advocacy group TURN. “You have no reason to cry poor when we have given you rate increase after rate increase after rate increase.” “These new investors are going to want a return on their investment,” adds Toney of TURN, “and they're going to want a return that's much higher than the regulated rate of return.” But Toney is skeptical of the company's claim - saying partial private ownership could make the utility vulnerable to market pressure and other unknowns. In the end, he says he believes, utility customers could end up paying for more bailout costs instead of utility shareholders. “PG&E is leading with love, the love of money,” Toney said. “The situation right now is that ratepayers feel all the pain and the shareholders are reaping all the gain.”

Despite profits of more than $2 billion last year, PG&E recently told regulators that it is in such a financial bind that it needs more time to make a $1 billion payment. Ratepayer advocates were quick to dismiss the idea that PG&E is facing an actual financial pinch. Those advocates believe the utility's customers are the ones in a real financial bind - thanks to a recent string of rate hikes.

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California Legislators Introduce Bills to Enhance Wildfire Safety Measures

Source: KQED | By Danielle Venton

“The bill was ‘right on target in terms of telling the utilities and telling the Public Utilities Commission that we need to find the least cost solutions…”

California has enjoyed a few relatively quiet wildfire seasons, but lawmakers are still focused on lowering the state’s risk and have introduced a number of fire-focused bills in the last few weeks…

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Phone Companies Want to Eliminate Traditional Landlines. What's at Stake and Who Loses?

Source: USA Today | By Betty Lin-Fisher

If California allows the waiver for AT&T, it becomes a slippery slope for other states, said Regina Costa, telecommunications policy director for The Utility Reform Network (TURN) in California and chair of the telecommunications committee for the National Association of State Utility Consumer Advocates. “I think the nation is watching California very closely,” said Costa. “Is there a replacement that will guarantee service to all customers and guarantee reliable service?” That service needs to be available to all customers at a reasonable cost, said Costa. “Customers really get squeezed with service offerings and price increases” for alternatives, she said.

The California Public Utilities Commission is considering an application by AT&T to waive its responsibilities to be what’s called “Carrier of Last Resort,” meaning the utility has to offer the copper-wire landline service. The utility said in filings with the commission that the technology for the traditional landlines is old and demand is low. The utility and many of its peers have been petitioning state utility commissions and state legislators, asking to be relieved of the task of maintaining and offering the traditional landline service.

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Millions in California Could Lose their AT&T Landlines. Here’s Why

Source: San Francisco Chronicle | By Annie Vainshtein

“What AT&T is seeking is really, really profound,” said Regina Costa, telecommunications policy director for The Utility Reform Network. “By removing that obligation, that means there is no one that can guarantee service for a customer.”

An effort by AT&T to pull out of its obligations to offer landline services across a huge swath of California — including most of the Bay Area — has raised impassioned safety concerns among residents worried about what might happen if they lose access to their traditional wired phone lines, especially in the event of a natural disaster or other emergency. As the designated “carrier of last resort” in California, the telecommunications giant has long been required to provide basic phone services to people who want them, as required by state law. Such services are cheap, ubiquitous and heavily regulated.

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