Gavin Newsom is asking the feds to investigate California gas prices
On Monday, Gov. Gavin Newsom asked the federal government to investigate why Californians are seeing unusually high natural gas bills this winter.
In the letter to the Federal Energy Regulatory Commission, the California Democrat asked that the agency assess “whether market manipulation, anticompetitive behavior or other abnormal actions” are causing prices to rise in the western U.S.
Families across California are opening their utility bills to discover staggering charges. Since October, wholesale prices for natural gas have increased by 63% Bloomberg reports.
While an early burst of cold winter weather contributed to the spike, Newsom said it “cannot explain the extent and durability of the price spike.”
The California Public Utilities Commission voted last week to accelerate the issuance of loans to help Californians struggling to pay their high utility bills. But in a statement Monday, Newsom acknowledged that it would provide “only temporary relief from rapidly rising bills.”
“That’s why I’m asking the federal government to use its authority to investigate the spike in natural gas prices and take whatever enforcement action is necessary,” Newsom said in a statement. “We’re going to get to the bottom of this because Californians deserve to know what’s behind these exorbitant bills.”
Newsom’s request to investigate wholesale natural gas companies comes as he also tries to fend off recent spikes in gasoline prices.
The Democratic governor has launched a campaign to impose fines on oil companies when their refinery profits exceed a certain threshold and to use the revenue to provide rebates to consumers. Last year, Newsom called for a special session to consider the proposal, but lawmakers have yet to make significant progress.
This story was originally published February 6, 2023 at 2:57 p.m.
Related stories from the Sacramento Bee
More Stories
I was £50,000 in debt after my wife went through nine rounds of IVF… so I did something drastic
A BRITISH man has revealed the gut-wrenching decision he made when he took out a £50,000 loan after his wife...
Calif., drugmaker, affordable insulin partner
DOWNEY, Calif. (AP) — The state of California and a generic drug maker announced Saturday a 10-year partnership to produce...
Two Golden Gate Bridge farms are up for sale in California
Two Golden Gate Bridge trusses removed from a 20-year-old upgrade can be yours for $12,000, according to a California company....
Sir Patrick Stewart admits he almost turned down Star Trek role because he had ‘theatrical commitments’
Sir Patrick Stewart has admitted he almost turned down his iconic Star Trek role because he had "theatre commitments".The 82-year-old...
California lawmakers, Newsom, demand accountability for the homeless
California devotes billions of dollars annually to curbing its homelessness crisis. But lawmakers want to overhaul the way the state...
California bills could accelerate transmission line construction
The new legislation could make it easier to build transmission lines that state agencies say are needed to modernize California's...