Congresswoman Nancy Pelosi

WASHINGTON - Today at a press conference, Congresswoman Nancy Pelosi (D-CA) and Democratic Members urged Republican leaders to allow the House of Representatives to vote on amendments to the FY 2001 Supplemental Appropriations bill. At a Rules Committee meeting this evening, Reps. Pelosi and Jay Inslee (D-WA) will offer an amendment to provide Western consumers with relief from skyrocketing electricity prices.

“Now is the time for the House of Representatives to vote on providing the American people emergency relief from soaring electricity prices. I am disappointed that House Republicans have not yet acted in a responsible manner to address the energy crisis.

“Although the FERC decision yesterday is a step in the right direction, I am concerned it does not remove incentives for energy suppliers to withhold power, drive up prices, and gouge consumers. We don’t have time to experiment. We know that cost-of-service based rates work, providing affordable and reliable electricity to consumers.

“California and the Western region are facing an energy emergency including rolling blackouts and huge increases in electricity prices. With summer around the corner, the demand for electricity will continue to go up all around the region, and California will not be alone. For seniors or the disabled, who are living on a fixed income, paying these high energy prices is an emergency. For small businesses, facing steep increases in their costs, this is an emergency. And the Republicans are doing nothing,” Pelosi said.

• Require FERC to set limits on the price of electricity sold in the wholesale market in the Western region. Power suppliers would receive “cost-of-service” rates - they would be paid for the cost of supplying electricity, plus a reasonable profit;
• Maintain these cost-of-service rates for two years, not permanently; and
• Exempt new generating facilities from cost-of-service rates, to promote investment in new facilities.