Herrera stands up to PG&E

Prop 16 proponents at CPUC. Willie Brown is behind PG&E VP Nancy McFadden.

Yesterday, at the California Public Utilities Commission, PG&E executives raised some eyebrows with their presentation about Proposition 16, the ballot initiative designed to make it difficult for municipalities to enter the electricity business. CPUC President Michael Peevey expressed his skepticism about a measure that would require only a simple majority vote to set up a two-thirds majority system.

Today, PG&E might suddenly have bigger problems on its hands than scolding remarks from the CPUC and the Legislature, thousands of pissed off SmartMeters customers, the threat of competition from municipalities, and a slew of editorials from newspapers throughout the state chiding the utility giant for trying to amend the state’s constitution for its own financial gain.

San Francisco City Attorney Dennis Herrera is leading a lawsuit to strike Proposition 16 from the June ballot. The complaint calls Prop 16 “wholly false and misleading” and said the company “profoundly misled the citizens who were induced to sign the petition.”

“We’re not seeking to fix it, we’re seeking to nix it,” Herrera’s press secretary Matt Dorsey explained.

The lawsuit was filed jointly by the San Francisco Local Agency Formation Commission, the City and County of San Francisco, the Sacramento Municipal Utility District, the City of Moreno Valley, the City of Redding, the California Municipal Utilities Association, the San Joaquin Valley Power Authority, the Modesto Irrigation District, and the Merced Irrigation District.

A hearing date has been set for May 4 in Sacramento Superior Court, according to Dorsey.