Deenergization: spoilage claims.
The introduction of AB 2033 is significant as it establishes a legal framework that mandates electrical corporations to be accountable for the consequences of their power shutoff decisions. Under current regulations, utility companies are already required to prepare wildfire mitigation plans and notify customers about potential shutoffs. However, the addition of compensation provisions directly addresses the financial burden that unexpected lengthy power outages can impose on consumers, indicating a shift towards greater accountability in the utility sector.
Assembly Bill No. 2033, introduced by Assembly Member Wood, amends the Public Utilities Code by adding a new section that addresses compensation for spoilage claims resulting from public safety power shutoffs. The bill specifically requires electrical corporations to compensate customers for claims related to food and medication spoilage if the customers experience electrical service interruptions exceeding 8 hours and receive less than 24 hours notice beforehand. The bill aims to provide a safety net for customers who may suffer losses due to utility decisions made in the interest of public safety.
There are potential points of contention surrounding this bill. While proponents argue that it is essential to protect customers from the financial impact of power shutoffs, opponents may express concerns regarding the operational implications for utilities. They might argue that mandatory compensation could lead to increased operational costs for electrical corporations, which could subsequently result in higher utility rates for consumers. Additionally, the legislation does not outline the exact processes for filing claims or the extent of compensation, which could lead to disputes between customers and utilities.