Michael Shaw

Utility regulator delays decision to halt new natural gas service connections again

By Michael Shaw, VP, Government Relations

Capitol Update, Feb. 14, 2018 Share this on FacebookTweet thisEmail this to a friend


Santiago


On February 8th, the California Public Utilities Commission (CPUC) delayed for the second month running a proposal to impose a moratorium on new natural gas service connections for commercial and industrial customers allowing potentially hundreds of planned connections to go forward. The moratorium was set to run through the end of March.

In late December, the CPUC proposed to direct the Southern California Gas Company (SoCal Gas) to stop new gas service connections claiming that the increased demand threatened gas service in the region. However, they delayed a formal decision in January citing fair weather as the reason the moratorium was not needed. The action to delay the vote once again means that the commission will likely let it pass for the time being.

Meanwhile, legislation to prohibit the CPUC from imposing such a moratorium in the future may be heard in the next couple months. Should it be adopted by the Legislature and signed by Governor Jerry Brown, AB 1879 by Assemblymember Miguel Santiago (D-Los Angeles) would take effect immediately. CMTA supports AB 1879.

As California energy rates are far above the national average, CMTA supports efforts to promote energy efficiency that help California manufacturing operations with affordable and reliable energy sources.

Questions? Please contact me at mshaw@cmta.net

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