Federal grand jury subpoenas energy providers in California price scam

Nov. 13, 2002
California Gov. Gray Davis continues to make good on his promise to investigate alleged shady business practices linked to the power outages his state endured in 2001 as a federal grand jury investigating the energy crisis has subpoenaed records from two power companies accused of driving up prices during that time period. Duke Energy and AES/Williams, both named in a report by the state Public Utilities

California Gov. Gray Davis continues to make good on his promise to investigate alleged shady business practices linked to the power outages his state endured in 2001 as a federal grand jury investigating the energy crisis has subpoenaed records from two power companies accused of driving up prices during that time period. Duke Energy and AES/Williams, both named in a report by the state Public Utilities Commission as participants in a scheme to inflate energy prices during the crisis, received subpoenas from federal prosecutors last week and have agreed to cooperate.

California owes tens of billions of dollars for power it bought when prices rose in the summer of 2001 and hopes to convince federal energy regulators to order energy sellers to refund $9 billion in alleged overcharges. The five companies named in the CPUC’s report – Duke, AES/Williams, Dynergy, Mirant, and reliant – have all denied withholding energy or failing to operate their plants at full capacity, as the report claims.

Voice your opinion!

To join the conversation, and become an exclusive member of EC&M, create an account today!

Sponsored Recommendations

Electrical Conduit Comparison Chart

CHAMPION FIBERGLASS electrical conduit is a lightweight, durable option that provides lasting savings when compared to other materials. Compare electrical conduit types including...

Fiberglass Electrical Conduit Chemical Resistance Chart

This information is provided solely as a guide since it is impossible to anticipate all individual site conditions. For specific applications which are not covered in this guide...

Considerations for Direct Burial Conduit

Installation type plays a key role in the type of conduit selected for electrical systems in industrial construction projects. Above ground, below ground, direct buried, encased...

How to Calculate Labor Costs

Most important to accurately estimating labor costs is knowing the approximate hours required for project completion. Learn how to calculate electrical labor cost.