An Assembly committee approves bills to shake up two power boards and require utilities to get state permission to sell power plants. State and federal officials meet for seven hours in Washington but find no solutions. A federal court in Washington rejects Edison's bid to force federal regulators to cap prices on wholesale electricity. Edison announces it will cut 1,450 jobs over the next several months. For the first time, the ISO declares a Stage 3 emergency when power reserves fall below 1.5 percent.
Officials say conservation efforts averted rolling blackouts throughout the state.
The state Public Utilities Commission approves the rate-averaging plan for San Diego customers, which caps their rates for three years. Davis signs two bills stemming from power crisis in San Diego. One would spread energy price increases for San Diego customers over several years, the other speeds up the approval process for new power plants. The blackouts are caused by slim power supplies due to several Northern California power plants shut down for maintenance. The California Independent System Operator declares the first of many Stage Two alerts, when power reserves drop below 5 percent.