TURN Newsroom
California Lawmakers Punt on Chances to Deal with Utility Bill Crisis
Source: Canary Media | By Jeff St. John
We’re concerned that time is running out for the policymakers to do something,” said Mark Toney, executive director of The Utility Reform Network (TURN), a ratepayer advocacy group. In a Sunday statement, Toney accused the utilities of using their lobbying might to prevent securitization from making its way into law. There is overwhelming public support for reducing customer bills, holding utilities accountable for getting the most wildfire safety at the least cost to ratepayers, and making utility investors pay for overspending,” Toney told Canary Media, citing polling conducted by TURN
The state’s utilities have to expand their power grids to support the shift to carbon-free electricity, and they must harden those grids to reduce the risk that they’ll cause deadly wildfires. But these costly projects are the main driver of California’s sky-high and still-rising electricity rates, which have sparked an affordability crisis that threatens to derail the state’s energy transition.
‘When is it Going to Stop?’: Frustration Mounts Over Another Proposed PG&E Rate Hike
Source: NBC Bay Area | By Velena Jones
The Utility Reform Network (TURN) opposes PG&E's rate hike request, arguing that it places an increased burden on ratepayers. The watchdog group noted this is the fourth rate hike this year. "PG&E customers were hit with a $34 increase at the beginning of the year," TURN Executive Director Mark Toney said. "Customers were hit with another $4 increase in March. Customers were hit with another increase of at least $6, and there is going to be more before the end of the year.” "As soon as it goes down, they come in with another request so that the bill goes back up," Toney said. "The fact is even with the decrease they are talking about, temporary decrease, customers are still paying far more today and later in the year than before the beginning of the year."
PG&E officials also noted that a temporary 9% rate decrease that began in July means that ultimately more customers should still be paying less even if the new hike is approved. Utility critics said all those reductions and credits are only temporary relief to what feels like an ongoing problem of repeated rate hikes.
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.
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.
A Stunt or First Step? Inside California’s Last-Minute Effort to Cut Electric Bills and Streamline Clean Energy
Source: Cal Matters | By Alejandro Lazo, Julie Cart, and Alejandra Reyes-Velarde
But Mark Toney, executive director of The Utility Reform Network, supported the measures, saying they are “an important first step towards affordable energy for all California residents.” He has called lowering ratepayers’ costs an urgent priority because the state could lose public support for clean energy.
Two other major bills died: SB 1272, which would have fast-tracked renewable energy projects, and SB 1003, which would have increased oversight of utilities’ wildfire costs. Only three of the six energy bills were sent to the governor: AB 3264, which which will study transmission capacity costs, SB 1420, which streamlines hydrogen facilities, and SB 1142, which prevents power shutoffs for ratepayers with payment plans.
As Utilities Push for Higher Energy Bills, Will New York Fund the Watchdogs Pushing Back?
Source: New York Focus | By Colin Kinniburgh
The Utility Reform Network, or TURN, California’s largest ratepayer advocacy group, gets about $5 million from utility customers, covering most of its budget. In return, the group says, it helped block more than $3 billion worth of unnecessary utility spending just last year, by proposing more affordable alternatives. “We’re talking about a fraction of a penny on the dollar that the utilities spend” on their own lawyers and consultants, said Mark Toney, TURN’s executive director. “If the net result is that rates are lower than they would have been, then it’s worth it.” Toney said it’s been a boon for California to have a large consumer advocate’s office and well-funded outside groups working toward the same goal. The state office is required to participate in every utility proceeding — several hundred a year — while TURN does about 100.
This June, for the third year in a row, the New York state legislature passed a bill aiming to level the playing field by reimbursing advocacy groups for some of their expenses from participating in rate proceedings. That could add up to millions of dollars in funding each year, paid by utilities themselves and bringing consumer groups slightly closer to what the companies spend in their own defense.
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.
After Pushback, Gavin Newsom Cuts Much of his Electric Bill Affordability Plan. What’s Next?
Source: Sacramento Bee| By Ari Plachta
The Utility Reform Network (TURN) recently released polling data that found 53% of California voters support stricter government regulation of utilities and 84% support limits to how much utilities can raise prices on ratepayers per year. “The public is on our side,” said Mark Toney, executive director of the organization. “I expect policy makers will have renewed courage to do the right thing and release a package that is significant... has immediate bill reductions and can stand up to the utilities.”
It appears increasingly likely that the mad dash to finish this year’s legislative session in the state Capitol will not produce meaningful relief for Californians from their sky-high electric bills. That’s after Gov. Gavin Newsom walked back from what experts consider the most significant piece of his initial energy affordability plan, according to two sources familiar with closed-door negotiations without authorization to speak publicly. Newsom proposed to lower monthly bills through a financial process that faced opposition from major utilities and their workers. Called securitization, it would lower interest rates on utilities’ long-term capital investments and cut shareholder profits in the process. Consumer advocates called the negotiations on electric bill affordability an “epic battle” between the consumer advocates pushing for ratepayer relief and utilities backed by Wall Street.
So Where’s This Affordability Package?
Source: Politico | By Wes Venteicher, Camille von Kaenel, and Blanca Begert
“To us it doesn’t benefit us to have a program that benefits an extremely small percent of low-income customers by increasing bills for everyone else,” said Mark Toney, executive director of ratepayer advocacy group The Utility Reform Network.
It’s not just you. A week out from the drop-dead deadline to submit bills this legislative session, almost nobody outside a small group of negotiators knows what’s going on with two proposals that could take big swings at electricity affordability and clean energy development. Sources close to the discussions expect that if anything makes it into writing, it’ll be by Sunday, but the few in the know aren’t saying much.
Soaring California Electric Bills Could Prompt Last-Minute Lawmaking
Source: ABC 10 | By Devin Trubey
Mark Toney, with The Utility Reform Network (TURN), an energy advocacy group, said he’s been in briefings about the legislation and expects to see something in writing by next week. “PG&E is recording record profits at the time we are experiencing record bills,” Toney said. He would not comment on the discussions, but he and other advocacy groups wrote a letter asking for energy efficiency programs not to be cut. One of his suggestions is for the California Public Utilities Commission (CPUC) to put caps in place on rate increases. “Currently, there are no limits on how much the utilities can ask for or how many times a year. And there on no limits on how much the CPUC can grant in a rate increase,” Toney said. TURN estimates it's led to people paying 50% more on their bills over the last three years and around around 30% more this year but that number can fluctuate by the month. PG&E says combined gas and electric bills have increased 16% this year.
With the legislative session closing at the end of the month, news that Governor Gavin Newsom could introduce legislation to curb PG&E spending and lower rates for all electric bills has been spreading. ABC10 can confirm there's some kind of bill being worked on at least. An energy advocacy group confirms they have been in meetings and heard briefings on possible legislation. An actual proposal could be seen by the end of this week or early next.
Coming to Your Electric Bill: Monthly Charge to Extend Diablo Canyon’s Life
Source: The Mercury News | By Tero Sforza
“The final budget deal with the Governor represents a total capitulation to PG&E and its shareholders,” Utility Reform Network attorney Matthew Freedman told the Sacramento Bee. “This $400 million will never be paid back to the general fund, forcing taxpayers to absorb the costs.”
In something of an all-for-one, one-for-all move, customers of Southern California Edison and San Diego Gas & Electric are slated to kick in another $1.25 or so a month (Edison) and 87 cents a month (SDG&E) to extend the life of the aging Diablo Canyon Nuclear Power Plant, run by Pacific Gas & Electric (whose customers are slated to pay $2.07 a month). Worse is that, if PG&E collects more money than it needs for Diablo, it could keep it for projects in its area, while Southern Californians would get squat.
PG&E Authorized to Recover $1.2 Billion for Headquarters Relocation
Source: News Data | By Anne Ernst
The Utility Reform Network in a Dec. 8, 2023, filing said that PG&E’s petition for modification “arrived at a time when” TURN could only “perform a very high level review,” and that it “did not reveal any issues that seemed likely to have a material enough impact on the transactions costs, benefits, or cost-effectiveness to warrant a more in-depth inquiry.” But TURN did urge the CPUC “to make clear that any approval of the relief PG&E seeks through this petition is situation-specific, and not intended to signal that such financial restructurings will be favored in the future.
Pacific Gas & Electric received authorization to recover more than $1.2 billion in costs associated with relocating its headquarters, a move it has contended will save ratepayers money. In its 2020 application, PG&E said that selling the San Francisco building and purchasing the Lakeside building would result in a savings of $710 million to customers—or “a net present value of $752 million,” according to the current decision.
PG&E Says It’s Committed to Reducing our Energy Bills. Should we Believe them?
Source: San Luis Obispo Editorial Board | By McClatchy News Group
“PG&E is doing things to try to bring down bills,” said Mark Toney, executive director of The Utility Reform Network (TURN), ”but they aren’t working out right.” Not so fast, says TURN. It argues that PG&E is attempting to lease something it doesn’t have — the transmission projects have “yet to be identified or approved,” it says in a document submitted to the California Public Utilities Commission. It characterizes the $1 billion deal as more of a loan than a lease since PG&E customers would be on the hook if something were to go awry. In the long run, that could cost ratepayers more money, TURN says.
As detailed by the website Utility Dive, PG&E is proposing to enter into a lease agreement that would allow Citizens to use portions of up to five future transmission projects in exchange for up-front payments of up to $1 billion. That would allow PG&E to plan and develop the projects without having to borrow, translating into substantial savings for ratepayers. Citizens also would finance charitable programs in low-income communities within PG&E’s service area.
Electric Bills Have Essentially Doubled Over the Past Decade
Source: Orange County Register/ SoCal News Group | By Teri Sfora
Edison, to its credit, decided to go the insulated overhead route as much as possible, costing some $800,000 a mile. PG&E, however, decided to bury many lines — slower and not measurably safer — costing some $4 million a mile, The Utility Reform Network’s Mark Toney recently told us. The fault lies squarely with the CPUC, Toney said — the “overly generous” regulator responsible for reviewing and approving increases. TURN’s Toney would agree. He’d love to see utilities face a cap in how much they can seek in increases, and new rules that would require utilities to use the least expensive solution when possible. He’d also like to see shareholders pay half of the cost of overruns when utilities overspend. That way it wouldn’t all fall on ratepayers. “That would reduce costs immediately!” Toney told us. “The sad truth is, companies are more accountable to their shareholders than they are to their ratepayers.”
It’s important to point out here that electric companies don’t make money by selling electricity. Instead, they make money from the CPUC-set rate of the return on their capital investments; that’s their profit. So there’s a built-in incentive for utilities to spend more money on capital investments than they might need to. The quicker and less expensive way for an electric company to harden its system is to use above-ground, insulated poles and wires rather than digging down in the dirt and burying lines. The safety profile is essentially the same, experts say.
PG&E Brings in Steep Profits, Frustrates Customers
Source: NBC Bay Area | By Scott Budman
Before seeing a price hike, Mark Toney, the executive director of Turn, said his bill went up to by $400. “My bill went to $500 from around $100," he said. PG&E said the price hikes were necessary to pay for wildfire safety improvements and to offset the rise in business costs. However, quarterly figures from the company show its profits rose 28%, or $520 million.
The Pacific Gas and Electric Company saw over $500 million in profits in the last three months. But the increase in profits has also left customers paying a higher bill. "Bills will be higher than what they've ever seen,” said Patricia Poppe, the utility company’s CEO. “It's really important, number one, that we let our customers know that we know." Poppe added that the company eventually foresees costs dropping, but there are challenges ahead.
PG&E Monthly Bills May Outpace Inflation for Next Few Years: State Report
Source: Times Standard | By George Avalos
“California residents need to brace themselves for the biggest bill shocks of their lives starting in late August when skyrocketing rates are multiplied by heavy air conditioning usage needed just to survive the record-breaking extreme heat in July,” said Mark Toney, executive director of The Utility Reform Network, or TURN, a consumer group.
The utility titan’s electricity rates could rise by an average of nearly 11% a year through 2027, the state Public Utilities Commission reported, which would continue a brutal pattern of skyrocketing monthly bills for PG&E’s customers. “The forecast in the CPUC report is speculative and should not be viewed as fact,” PG&E spokesperson Mike Gazda said. “PG&E has committed to limit average annual increases to no more than 3% through 2026.” The report forecasts the annual percentage increase in electric rates by comparing the actual year-end rates in 2023 to what the PUC expects will occur through 2027:— PG&E: 43% total increase through 2027, for an average annual increase of 10.8%. — Southern California Edison: 26% increase through 2027, for an average annual increase of 6.5%. — San Diego Gas & Electric: 22% overall increase through 2027, for an average annual increase of 5.6%.
PG&E Profits Soar, Powered by Increases in Electricity and Gas Revenue
Source: Mercury News | By George Avalos
The utility titan is unlikely to keep bill increases within the inflation rate, according to Mark Toney, executive director of The Utility Reform Network, or TURN, a consumer group. Toney believes this is the case because PG&E is expected to pursue multiple proceedings that could shove monthly bills even higher if the state Public Utilities Commission approves the requests. “PG&E has so many proposals that are pending or will be filed for rate increases,” Toney said. “I don’t believe PG&E is going to keep rate increases within inflation. PG&E has too many rate requests coming up.” Toney remained skeptical that PG&E can keep increases in monthly charges close to or below the pace of inflation. “I’ll believe it when I see it,” Toney said. “Customers are going to have to pay more.”
During the April through June second quarter, PG&E posted a profit of $520 million — up 28.1% from the utility titan’s profits from the same three-month period the year before, the company reported Thursday. Oakland-based PG&E generated $5.99 billion in operating revenue in the 2024 second quarter — up 13.2% from the same quarter in 2023.
Broader Benefits: PG&E Increases Energy Bill Assistance and Expands REACH Program to Help More Customers
Source: PR Newswire | By Pacific Gas & Electric Company
To provide additional financial assistance to more households with past-due energy bills, Pacific Gas and Electric Company (PG&E) is modifying guidelines mid-year for the Relief for Energy Assistance through Community Help (REACH) program. REACH and REACH Triple Match help qualifying low- to moderate-income customers pay their past-due energy bill and help prevent service disconnections. "We want to ensure more customers have the support they need to get their energy bills back on track," said Vincent Davis, PG&E Senior Vice President, Customer Experience. "With a more robust bill credit and broader income eligibility, we can provide greater financial relief to the households that need it most."
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.
California Utilities Commission Agrees on More Funding for PG&E
Source: ABC 10 | By Devin Trubey
Mark Toney, with the Utility Reform Network, said this increase in funding is on top of existing rate increases from earlier this year. So, while it might not seem like a lot, it all adds up. “The fault in this rate increase lies squarely with the legislatures who passed a bill that allowed PG&E to collect extra money for work they were already supposed to do and already receive money for,” Toney said.
As Californians face higher electric bills with the extreme heat, PG&E customers can expect to pay more. Thursday, the California Public Utilities Commission (CPUC) allowed PG&E to increase their funding on expansion projects.