April 28, 2004

California Governor Arnold Schwarzenegger today announced his policy priorities for reforming the state’s electricity market.  In response, SCE issued the following statement.

ROSEMEAD, Calif., April 28, 2004 — Southern California Edison is pleased that the governor recognizes the importance of resolving the current uncertainty about the framework for providing electricity in California.  As Senator Dianne Feinstein, Speaker Fabian Nunez and other public officials have previously emphasized, the state needs a prompt and durable solution. 

A durable framework that protects the utilities’ core customers and encourages new investments in California must be based in statute and include:

  • a stable customer base so utilities can plan to meet future needs;
  • resource adequacy and renewable requirements that apply to all retail electricity suppliers, not just the utilities;
  • assured cost recovery of all investments needed to serve utility customers;
  • a portfolio mix of new, utility-owned plants, and long-term contracts with non-utility owned generation; and
  • compensation for the cost-of-debt equivalence associated with long-term contracts.

We look forward to working with the governor as the details of his proposals are developed.

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An Edison International (NYSE:EIX) company, Southern California Edison is one of the nation’s largest electric utilities, serving a population of more than 12 million via 4.6 million customer accounts in a 50,000-square-mile service area within central, coastal and Southern California.