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Public Advocates Office urges stricter cost scrutiny, rethought rate design to ease bill increases
Summary
The Public Advocates Office told the Little Hoover Commission that cutting unnecessary operating and capital spending and rethinking rate design are the most direct ways to reduce electricity bills for California customers.
Michael Campbell, deputy director for energy at the Public Advocates Office, told the Little Hoover Commission that the office's statutory mission is to “advocate for the lowest possible rates for utility customers” and that the sharp rise in electricity rates over the last decade has multiple causes that warrant scrutiny.
Key drivers and levers: Campbell highlighted three principal areas for immediate attention: (1) operating and maintenance (O&M) costs that utilities recover dollar-for-dollar in rates and have grown faster…
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