Show me the numbers — that’s what all working families should be asking when being pitched an idea that seems too good to be true.
This past week, I found myself repeating this again and again when reading about the latest political scheme in San Diego. A small group of activists called Power San Diego have teamed up to promote a campaign to force a union-busting government takeover of San Diego Gas & Electric‘s distribution system by ballot initiative.
This reckless effort makes baseless promises while offering no guarantees or data on how a city-run electric utility will improve the lives of San Diegans.
Let’s look at the facts.
The initiative would ask voters to give five unelected political appointees with no experience running a utility a blank check to spend billions of dollars creating a government-run power grid in San Diego before any financial plans, audits, or electric rate projections are completed. Even more concerning, the initiative explicitly states additional voter approval — or even review by the Mayor and City Council — wouldn’t be required regardless of cost.
We are already hearing wildly different estimates on the price tag to pursue this irresponsible initiative.
Power San Diego claims a government takeover of the power grid would cost $3.5 billion. What is this based on? Nothing. They simply can’t be trusted because they have produced no studies or analyses to support this claim.
Meanwhile, the city’s consultant initially estimated creating a government-run electric utility could cost nearly double that amount — and likely even more by the time studies are completed in 2025 — and take up to 10 years of legal wrangling to get through the process with no guarantee of success.
In 2021, the Fermanian Business and Economic Institute at Point Loma Nazarene University published a comprehensive study exploring the financial impacts of a government takeover of the energy system in San Diego. The study estimated the total cost (including gas and electric systems) would be $8.9 billion. The actual cost is probably even higher given the difficulty of splitting San Diego into two independent power grids.
No wonder the San Diego City Council said no to Power San Diego and declined to put a similar version of this initiative on the ballot. It is irresponsible to ask voters to approve this much debt without facts or a plan, because a failure of this magnitude puts the financial health of San Diego and essential city services like trash pick-up, street repaving, and public safety at risk.
And let’s be honest — we have bigger priorities. What about homelessness, the cost of housing, inflation or addressing the rise in crime?
This effort is a blatant attempt to burden San Diego working families with billions of dollars of debt, no clear plan, and no formal analysis to back up the promises.
As if the financial burden isn’t enough, the alarm bells only get louder when reading the fine print of this initiative. The five-person board responsible for spending billions of dollars and managing this government-run utility will be randomly selected from a pool of candidates. You read that right: the electric grid powering America’s eighth largest city will be run by a board that draws names out of a hat.
Today we receive energy from the most reliable electric grid in the West that safely powers our homes, businesses, and hospitals when we need it most. A system built and maintained by the hard-working women and men of the International Brotherhood of Electrical Workers Local 465 for over 100 years. Our members are proud to build and operate the grid in San Diego, and we have zero interest in working for a government-run utility.
This proposal threatens to upend the hard work of generations of working-class San Diegans while saddling residents with debt that is greater than anything the city has taken on before.
No family in San Diego would wager their hard-earned income on this kind of deal in their personal lives. And Power San Diego shouldn’t bet our city’s future on this half-baked proposal.
I am steadfastly opposed to the Power San Diego initiative and encourage all my friends, family and neighbors to oppose it. The math simply does not add up.
Nate Fairman is business manager for the International Brotherhood of Electrical Workers Local 465 in San Diego.
