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California regulators wrestle with rising arrearages; pilots tested to limit disconnections
Summary
California Public Utilities Commission staff outlined growing arrearages following the pandemic, ongoing rulemakings on disconnections and multiple pilots — including arrearage forgiveness and percent-of-income programs — aimed at limiting shutoffs while addressing utility balance-sheet concerns.
California Public Utilities Commission staff presented data and a policy update on affordability, arrearages and pilots to reduce disconnections.
"Year-end arrearages across the four major investor-owned utilities were around $2 billion as of December 2024," Paul Phillip, who oversees electric rate design in the CPUC Energy Division, said during the convening. He described rising arrearages and the tension regulators face between reducing disconnections and keeping utility balance sheets stable.
CPUC activity and pilots: the commission has pursued a…
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