PENNSYLVANIA'S GOVERNOR PUTS RATE CAPS
ON THE TABLE

 Tells Boscola rate caps could be "a reality"
if power companies kill
energy independence agenda

     HARRISBURG (Feb 5) - State Senator Lisa Boscola spent 45 minutes talking to Governor Ed Rendell yesterday about an "energy crisis that could hurt homeowners, crush small business owners and put Pennsylvania's future energy independence in the hands of oil terrorists." 

     "We share grave concerns," Boscola said after she and Representative Camille "Bud" George were summoned to a private meeting with the Governor.  Boscola and George are ranking members of the General Assembly and the authors of legislation to keep electric prices from "exploding" under deregulation.

     Beginning in 2010, the five electric companies that serve 85 percent of Pennsylvania electric customers have all but guaranteed that they will increase customers' bills by as much as 50 percent, she said.

       These are also companies that took $12 billion of Pennsylvanians' money in "stranded costs" to grow into huge, multi-national holding companies and conglomerates that have made record profits. 
 
       "The Governor and I want to protect families that are already struggling to afford higher prices for gasoline, groceries, home heating oil and health care," Boscola said.  "We must do everything we can to develop new energy resources - and we must seriously question why electric rates are going up 50 percent after a year where company profits increased by 51 percent."

        As the Governor, the Majority Chairman of the House Energy and Resources Committee and the Democratic Chairman of the Senate Consumer Protection Committee sat intently huddled over amendments and debating floor strategy, Boscola once looked up because she was struck by the Governor's passion in advocating for homeowners, small business owners and large industries that will suffer - unless something is done – when rate caps expire.

        "I saw fire in his eyes," Boscola said.  "He just looked at me and told me that all the state's electric companies fear me because I want to keep electric rates capped.  It was something he said face-to-face, side-by-side, like we're preparing to go into a huge battle in a matter of minutes."

And what did the Governor say next?

"Now they better be afraid of both of us." 

      With a smile and a nod of the head, Boscola said she will never forget how she responded to the Governor.

      "Pigs get fat and hogs get slaughtered," she said.  "Electric companies have been making enormous, record profits thanks to $12 billion of their customers' hard-earned money.  But, if they think they can be greedy hogs once rate caps come off, they should be careful what they wish for." 

     At the beginning of the meeting, the Governor thanked both Sen. Boscola and Rep. George for "their courage" in taking a strong stand on the side of Pennsylvania consumers who will be harmed - both now and in the future - unless the legislature acts "decisively" to protect them. 

     "Together, we all agreed to fight to protect middle-class families, your corner shop owner and every school district, college, doctor's office and hospital that will pass these enormous new costs onto you," Boscola said.  "It's frustrating when lobbyists from the electric industry are pressuring every legislator they can to oppose this and buying up those who they can't intimidate.  Now we're going to take it straight to the people who pay the bills.  I guarantee you, the voices of millions of Pennsylvanians will change a lot of votes in the House and the Senate - because this will get done the right way and right away."

     At the urging of both Chairman George and Governor Rendell, Boscola will also be the lead testifier in support of extending electric rate caps at a public hearing before the House Energy and Resources Committee next week. 

     "These huge increases in monthly electric bills will wreck family budgets, force small businesses to go out of business and cause Pennsylvania to bleed more jobs," Boscola said.  "Energy security and energy independence means that the residents of our Commonwealth will benefit from clean, renewable energy in the future, as well as affordable, reliable energy to heat their homes, light their offices and drive their cars today." 

      Boscola and George are former House colleagues who share the same passion to "protect the people who have to pay the bills," she said. 

       "Every Senator and every member of the House of Representatives will have to publicly take a stand on the record," Boscola said. "Either you're for the people paying the bills or you're for the companies making all the profits.  We will soon see who's for the family struggling to pay that monthly electric bill and who's on the side of bigger corporate profits. That day, that vote, that moment of truth is coming." 

       After her meeting with the Governor, she's confident that "decisive" action will happen sooner than later.

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[The meeting with Governor Rendell in his office began at approximately at 3:15 and lasted until approximately 4:00 p.m.  Film crew allowed some B-roll and photographer ushered out in approximately 3 minutes. Industry officials were also "approximately" informed of this meeting when they were taken to the woodshed an hour later in the same Governor's office, sources said.  Expect the Governor to be fully invested in this fight.  Expect a bill to move.]