California's Tradition of Protecting Utilities
A long-standing tradition in California involves governors and their appointees taking extraordinary measures to safeguard giant investor-owned utilities.
This practice has been observed in the past, with significant decisions often being made without public knowledge. For instance, during Gray Davis' tenure, the Legislature passed complex legislation that ultimately led to taxpayers and ratepayers shouldering billions of dollars in losses stemming from a flawed deregulation scheme enacted in 1996.
When wholesale electricity prices skyrocketed, and utilities like PG&E and Edison were unable to pay their bills, the state intervened by purchasing power and issuing $13.4 billion in bonds, resulting in sharply increased rates.
governors and their appointees taking extraordinary steps to protect giant investor-owned utilities
Author's summary: California governors often protect utilities at public expense.