The Federal Energy Regulatory Commission orders generators who have sold electricity to the state to share power purchase information with the federal agency, which will then supply the information to a House subcommittee that held three days of hearings this week on California's energy problems. A business group, the California Alliance for Energy and Economic Stability, says a proposed restructuring of the state's electric rate structure by the state Public Utilities Commission's would hurt the state's economy by putting a greater rate burden on businesses. The state is under no power alerts as reserves stay above 7 percent. Davis will lobby legislative leaders on Monday, Senate Republicans and Assembly Democrats Tuesday, and Senate Democrats Wednesday to support his agreement to purchase Southern California Edison's power transmission lines as a way of helping the company pay off its debt. The state Senate starts hearings April 18 in its inquiry into allegations that electricity suppliers illegally withheld power to drive up California's wholesale prices.
Wholesalers deny such accusations.
High demand, high wholesale energy costs, transmission glitches and a tight supply worsened by scarce hydroelectric power in the Northwest and maintenance at aging California power plants are all factors in California's electricity crisis. Electricity and natural gas suppliers, scared off by the two companies' poor credit ratings, are refusing to sell to them, leading the state in January to start buying power for the utilities' nearly 9 million residential and business customers. Even before those increases, California residents paid some of the highest prices in the nation for electricity. Federal statistics from October show residential customers in California paid an average of 10.7 cents per kilowatt hour, or 26 percent more than the nationwide average of 8.5 cents. Only customers in New England, New York, Alaska and Hawaii paid more.