For Immediate Release Contact: Ron Roach
March 31, 1998 (916) 441-0490

SACRAMENTO - Larry McCarthy, president of the California Taxpayers' Association, released the following statement today upon the official deregulation of California's electric industry:

"The deregulation plan will improve California's business climate, bringing competitive electric energy pricing to this state's businesses and individual consumers. Energy is a serious cost factor for virtually all businesses. As a result of deregulation, energy costs will be reduced and California will be more attractive for new and expanded businesses - and the jobs they create.

"All Californians will benefit from this action of the Legislature and governor. The economic stimulus resulting from deregulation will result in more jobs for the state's workforce, greater profitability for business and more tax revenue for important public services such as education, public safety and highways and other public infrastructure.

"This new system has already resulted in a 10 percent rate reduction for many consumers. It brings an end to a monopolistic era in which consumers had no choice. Competition naturally pushes prices down and improves quality of products and services.

"The opening of California's deregulated electricity market is a banner day for this state."