PG&E plan to raise rates criticized

Dale Yurong Image
Tuesday, August 19, 2014
PG&E plan to raise rates criticized
Over the next few months you'll notice about a $7.50 increase on your PG&E bill.

FRESNO, Calif. (KFSN) -- Over the next few months you'll notice about a $7.50 increase on your PG&E bill. But the power company is already asking for another rate hike of $5.23 a month to modernize its natural gas transmission system.

Two public hearings in Downtown Fresno brought out several people opposed to the plan.

Tina Valles of Fresno said, "I'm practically here in tears to ask you not to hike up the $5 a month because it's going to hurt us poor people. I consider myself poor."

PG&E's request for the additional rate increase came under fire during the hearings at Fresno City Hall.

Linda Popovich of Fresno said, "It seems to me that some consideration in how money is spent should be taken from PG&E and not always putting it on the backs of the rate payers."

Commissioner Michael Picker of the state Public Utilities Commission and John Wong, an administrative law judge for the PUC, heard both support and opposition to the plan.

Wong explained, "A lot of the money PG&E is requesting is tied to the safety improvements that have been required following the San Bruno explosion."

PG&E seeks a billion dollars to modernize 6500 miles of natural gas transmission pipeline.

Company spokesman Denny Boyles explained, "What we're looking for is money to improve the safety and reliability of that system to comply with new regulations. To pressure test additional segments of line and replace aging pipe."

But food processors and ag producers say the additional hike would hit them even harder.

Roger Isom of the California Cotton Ginners and Growers Association said, "When you look at the industrial customers, the non-core customers, we're talking about a 60% increase on the transmission portion alone."

After hearing testimony around the state the PUC expects to vote on the PG&E rate hike in March.

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