Commission tightens utility's billing rules

WALNUT CREEK, CALIFORNIA - The California Public Utilities Commission unanimously passed a resolution that stiffens the rules regarding PG&E's controversial practice of issuing delayed or estimated bills in lieu of checking meters on a monthly basis.

Some customers and consumer advocates say the San Francisco- based energy utility's policy has resulted in steep bills that include months worth of charges and, when customers are unable to pay, unfair power shut-offs.

Under the new resolution, PG&E can only collect fees for underestimated or delayed bills going back three months, mandating a policy the company put in place on Oct. 13 following a letter directing it to do so from PUC Director Stephen Larson.

PG&E spokeswoman Christy Dennis said the company was planning to make such a change preceding the letter.

Separately, the company can now only estimate bills for reasons beyond its control, such as locked entries or barking dogs, and must in turn tell customers why their bill was estimated.

The PUC withheld a final decision on whether it will conduct a formal investigation into PG&E's past billing, which could eventually entail rewriting the tariff that governs such practices and refunding customers.

San Francisco-based consumer advocacy organization the Utility Reform Network has lobbied the PUC to commit to such an investigation.

Noting it's long been the rule that PG&E can't bill beyond three months for bill errors -- PG&E had said an unsent bill isn't the same as an error -- TURN spokeswoman Mindy Spatt said that many customers were forced to grapple with unduly large bills.

"It's a good start," Spatt said of the resolution. "But we are extremely concerned about how long this practice has been going on for and how consumers were harmed by it."

Dennis said PG&E had "no problem" with a possible investigation.

"We've been working with (the PUC) for the past six months, so it just gives us another opportunity to formally explain our billing practice and explore the benefits of any modification," Dennis said.