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Villaraigosa Reacts to Council's Small Electric Rate Hike

Photo by U.S. Army Environmental Command via Flickr
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When the L.A. City Council met yesterday, they recommended an increase in electricity rates, but it was 25% less than what Mayor Antonio Villaraigosa wanted for his renewable energy plan called the carbon surcharge, which would push L.A.'s renewable energy use to 20% by the end of the year. It would also help the Department of Water and Power avoid bankruptcy.

"I am pleased to see that the council has recognized the need for a rate increase, the importance of investing in renewables, and the need for greater accountability and transparency at the Department of Water and Power," he said in a statement. "However, because the council actions reduce the investment in renewable energy, do not appear to provide the minimum amount needed to address the undercollection and do not include protections for residents and employers, I have serious reservations about recommending these proposals for Commission approval."

The Board of Water & Power Commission is scheduled to meet (.pdf) today at 4:30 p.m. If approved, customers would pay 4.5% more on their electric bill.