James Hunter

Sunday, March 2, 2014

Drought will reduce SJWC sales and PROFITS!

It appears that SJWC will try to recover "profits" lost due to our water conservation! This is a repetitive argument, by SJW Corp./SJWC. I forecasted that SJWC would try to recover lost profits due to the drought, in this blog on February 2, 2014. The question has to be raised again, "Should ratepayers (SJWC Customers) guarantee the profits of a publically traded monopoly utility company or it's parent Corporation?".

A statement by John Tang, Director of Government Relations at San Jose Water Company, 

"The company will seek reimbursement for its lost profits, which will require a temporary rate increase, he said. In 2009, similar conservation measures at the end of the last drought cost the company $5.6 million in lost water sales, and it temporarily raised rates by 2.5 percent for one year to recover them."

Read the entire article at the website.

Let's look at the current situation:

  • SJWC has requested a 44% rate increase and DRA recommended 10%, for the years 2013, 2014 and 2015. What's happening?
  • Why has CPUC not "publicly" published or posted any new information since May 2013. Possibly the ratepayer negative comments have been overwhelming. 
  • The CPUC website pages for the pending Rate Increase does not mention ALJ: Gary Weatherford (Assigned Mar 1, 2013. today is March 2, 2014 ) was assigned to the case. It seems CPUC takes over a year to update their website.

A1201003 - Proceeding (Click to view web page)

  • In my previous postings I've pointed out the failure, in my opinion, of SJWC/SJW Corp. does not provide reasonable transparency and access to the press or public to business affairs that affect our water rates. Richard Roth, CEO has pointed out in interviews that there is no legal requirement to be open and transparent, so long as disclosures to SEC to protect share holders interests are made.
If you think the actions being taken or not taken, are in your (ratepayer) best interests, by CPUC, SJWC and SJW Corp. send email to CPUC at:

District 5 United eForm eMail  Simply click on the "eForm eMail" and you will get a page to fill out the information and specify the reason for your opposition to "protecting the profits of a publically traded company", the SJWC 44% Rate Increase and your concern about lack of progress and are concerned that we are not being informed in a timely manner, of the status of the 44% Rate Increase!

Also send an email to CPUC Public Advisopublic.advisor@cpuc.ca.gov  The Public Advisor will insure your email will be sent to all the appropriate CPUC staff members.

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