NEWS: 4/15/25
PG&E’s profits are huge and continue to grow. In 2024, the company made $2.47 billion while requesting approval for six rate hikes for its customers. SoCal Edison hit a record of $1.619 billion in profits for shareholders in 2024, after increasing rates by 9.8% that year.
These investor-owned utilities spend lavishly on things such as political lobbying, promotional marketing, and shareholder-related expenses like travel on private jets — then pass on those costs to their customers.
For example, SoCal Gas tried to pass on $36 million it spent on years-long campaigns lobbying against environmental protections. In 2024, PG&E was found attempting to spend $6 million in wildfire funds (paid for by customers) on expensive TV ads to rehabilitate its corporate image.
It’s the shareholders in these for-profit utilities that should pay these costs, since they reap the profits.
The California Ratepayer Protection Act (AB 1167) would keep the cost of utility lobbying, promotional advertising, and other activities for the primary benefit of utility shareholders out of Californians’ energy bills.
“At a time when monopoly utility companies are reaping record profits, and Californians are paying record high utility bills, it is insulting to force ratepayers to pay for activities that only serve to benefit shareholders,“ said the bill’s author, Assemblymember Marc Berman (D-Menlo Park).
Environmental legal organization Earthjustice and The Utility Reform Network are co-sponsoring the legislation. Read their press release here.
This is one of the bills we’re tracking in the Power Up Communities (PUC) committee. The committee meets on the third Tuesday of every month at 1:30 p.m. Pacific. You can register for our next meeting here. To find out more about what we’re doing, email thirdactbayarea@gmail.com.