Utility Companies Fight Against Tom Steyer’s Gubernatorial Ambitions

California’s major utility companies are mobilizing to block billionaire Tom Steyer’s run for governor, aiming to dismantle what they consider an electricity monopoly.

Pacific Gas & Electric has reportedly contributed almost $10 million to the Anti-Stayer PAC, which is part of a broader movement for affordable energy in California, as disclosed in recent state campaign reports.

A political action committee financing another group called California Is Not For Sale continues to bombard the airwaves with advertisements targeting Steyer. Recently, they highlighted a slip he made during a debate where he stated, “The answer is not for me to pay more taxes.”

Steyer’s campaign is built on increasing taxes on wealthy individuals, along with plans to separate the state’s energy companies. He has been vocal about viewing PG&E as one of his main adversaries, declaring in a December campaign ad, “PG&E has really let me down.”

He attributes California’s high utility bills to the company and has promised a 25% reduction in these costs, proposing to dismantle the “monopoly power of utilities.” This could be a significant setback for investor-owned utilities.

However, confronting PG&E may be more challenging than Steyer’s statements suggest. Even the local Democratic Party has had setbacks; a recent bill that aimed to facilitate a transition from PG&E to a public utility stalled.

Advertisements running against Steyer often steer clear of discussing his utility plans, focusing instead on other topics, like his tax proposals.

In response to concerns about utility costs, PG&E claims they are already providing energy “at the lowest possible cost,” mentioning that a typical household’s monthly bill has decreased by $12 in the last two years.

Despite these challenges, Steyer remains a prominent figure in the Democratic race for governor, having invested over $100 million of his own funds into his campaign.