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Government,
Environmental & Energy

Jul. 24, 2020

15 cities sue PG&E over electricity tax accounting

The complaint claims customers are required to pay taxes on the full value of electricity they use. But it alleges the utilities improperly subtracted these credits from customer bills before calculating the taxes to be paid to cities.

Fifteen cities sued Pacific Gas & Electric Co. this week for allegedly using the state's greenhouse gas laws to deprive local governments of tax revenue. Reached Thursday, the company denied the claims.

The complaint filed Tuesday asserts that around 2016 the investor-owned utility changed the way it calculated voter-approved local electricity taxes. By law, the utility collects these taxes and then passes them on to governments. <...

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