California’s Utility Commission Slashes Power Company Profits—But Consumers See Barely a Break

California households are enduring some of the nation’s steepest electric bills, yet state regulators’ recent move to trim utility profits will barely ease the pain. The California Public Utilities Commission (CPUC) intends to reduce the return on equity for Pacific Gas & Electric, Southern California Edison, and San Diego Gas & Electric by a mere 0.35%. While this might seem like progress, it only nudges shareholder returns below double digits for the first time in two decades.Why does this matter? Because these utilities’ outsized profits are baked into consumers’ bills under the guise of "fair compensation" for investment risks. At...