Watch CBS News

New Accusations Of Corrupt Political Exchange Between PG&E And Regulator

SAN FRANCISCO (KCBS)— A consumer-advocacy group says one of the recently-released emails between PG&E and the California Public Utilities Commission shows the commission's president pushed a backroom deal to award the utility tens of millions of dollars in exchange for political contributions.

The Utility Reform Network (TURN), the advocacy group, filed a petition with the CPUC on Wednesday, demanding the case from 2010 be reopened based on what they call "startling and disturbing" new facts.

According to Mark Toney, TURN's executive director, the email involves former PG&E vice President Brian Cherry and CPUC President Michael Peevey. In it he alleges they discuss exchanging $26 million for energy efficiency incentives for PG&E to make a $3 million contribution on a ballot initiative.

Toney said after PG&E donated to the No on Prop. 23 campaign, Peevey then proposed granting the utility $29 million in unearned energy efficiency incentives.

TURN's legal director Thomas Long said the petition filed with the CPUC demands that the case be re-heard.

"The 2010 decision reeks of corruption. It should not be allowed to stand," Long said.

In addition, he wants the money to be refunded to rate payers.

CPUC has not returned KCBS' request for a response.

View CBS News In
CBS News App Open
Chrome Safari Continue
Be the first to know
Get browser notifications for breaking news, live events, and exclusive reporting.