Citizens for Energizing Michigan’s Economy Ad Justification: “State” The Transcript Voice: What happened when California deregulated their electricity? Rolling blackouts across the state. Documentation PBS Frontline, June 2001 “The California Crisis” “California suffers its largest planned blackout since World War II.” “California faces unprecedented energy alert. Suffering from low supply and idled power plants, the California ISO declares the first statewide Stage 3 power alert, meaning power reserves had dipped below 3 percent. Although a Stage 3 alert authorizes the ISO to declare rolling blackouts, they are avoided when the state temporarily halts two large state and federal water pumps to conserve electricity.” “The California ISO orders rolling blackouts for two days in a row, affecting several hundred thousand consumers in northern and central California.” “the California legislature approves a $10 billion power-buying plan in an attempt to avoid further blackouts and stave off the bankruptcy of Southern California Edison and Pacific Gas & Electric.” New York Times, 4/7/2001: “California’s Largest Utility Files for Bankruptcy” The Pacific Gas and Electric Company , California's largest investor-owned utility, filed for bankruptcy protection today, declaring that politicians and regulators had not moved quickly enough to resolve an energy crisis that has caused periodic rolling blackouts and is costing the state billions of dollars. Voice: Electric bills skyrocketed PBS Frontline, June 2001 “The California Crisis” “Within a year, as wholesale power costs soar, consumers see their electricity bills triple.” “The state approves record rate hikes. The CPUC unanimously approves a rate increase that would average 40 percent for Southern California Edison and Pacific Gas & Electric customers in an attempt to help reduce the disparity between the skyrocketing wholesale rates and the lower rates paid by consumers” Voice: And while Californians were left in the dark, energy marketers like Enron raked in millions. New York Times, 5/7/2002, “Enron Forced Up California Prices, Documents Show” “Electricity traders at Enron drove up prices during the California power crisis through questionable techniques that company lawyers said ''may have contributed'' to severe power shortages, according to internal Enron documents released today by federal regulators.” San Francisco Chronicle, 2/5/2002, “Ken Lay leaves California in the dark ---again” “But this isn't the first time that Lay and his company, Enron, have left Californians in the dark. As it turns out, Enron's employees were not the first to fall victim to this scandal. Californians were. As we connect the dots, it is becoming increasingly clear that California's skyhigh electricity prices were brought about by Enron's methodical plan to free itself from all government oversight to hike up energy prices in secret.” Voice: Would that be wise? Call now. Tell them no to higher bills, blackouts, and unfair pricing. No to electricity deregulation. Blackouts, Higher Bills, Unfair Pricing: PBS Frontline, June 2001 “The California Crisis” “California suffers its largest planned blackout since World War II.” “California faces unprecedented energy alert. Suffering from low supply and idled power plants, the California ISO declares the first statewide Stage 3 power alert, meaning power reserves had dipped below 3 percent. Although a Stage 3 alert authorizes the ISO to declare rolling blackouts, they are avoided when the state temporarily halts two large state and federal water pumps to conserve electricity.” PBS Frontline, June 2001 “The California Crisis” “Within a year, as wholesale power costs soar, consumers see their electricity bills triple.” “The state approves record rate hikes. The CPUC unanimously approves a rate increase that would average 40 percent for Southern California Edison and Pacific Gas & Electric customers in an attempt to help reduce the disparity between the skyrocketing wholesale rates and the lower rates paid by consumers” New York Times, 5/7/2002, “Enron Forced Up California Prices, Documents Show” “Electricity traders at Enron drove up prices during the California power crisis through questionable techniques that company lawyers said ''may have contributed'' to severe power shortages, according to internal Enron documents released today by federal regulators.”