Belmont considers forming its own power company

Pulling the plug on Pacific Gas and Electric and forming a new municipal utility district may have its challenges with both logistics and legality but the city of Belmont may look into it — at least if one councilman gets his wish.

Councilman Bill Dickenson wants the city to examine the idea of forming its own municipal electric utility district. It will allow Belmont more flexibility when determining ways to deliver power to its residents, he said.

The council considered the idea last year and heard a report regarding ways to split from PG&E at its Tuesday meetings. It explored four options — a city municipal utility created and governed by the council, a municipal utility district that represents two or more public agencies and is harder to form, partnering with another municipal utility like the one in Palo Alto or forming a joint utility agency with other cities, according to the report.

Most cities buy their power from PG&E, but Dickenson feels Belmont could create better cost-saving and “green” programs on its own. Dickenson has worked for the past three years to create a plan that would allow the city to benefit from installing solar panels that produce more power than it actually needs. Differences with PG&E and state laws have prevented him from bringing that plan to the city, he said.

By creating a municipal electric utility district, the city can circumvent the legislation that makes the plan unsuccessful, he said.

The closest municipal electric utility district is Palo Alto, where the city maintains and operates its own electric, fiber optic, natural gas, water and wastewater services. It is the only such municipality in the state, according to the city’s Web site.

“PG&E does have infrastructure and I would like to work with them, but not the way they have worked with us in the past — putting down roadblocks,” Dickenson said.

Dickenson said he is tired of the bureaucracy associated with a large company like PG&E and believes the city could become more environmentally friendly if it runs its own utilities department.

Meanwhile, PG&E spokesman Joe Molica said the company has worked with Belmont on its goals to go green and maintains that it provides the best possible access to a power supply.

“We have unmatched experience and clout as an energy buyer and provider,” Molica said.

It is unclear how much the district would cost Belmont residents. Other municipalities pay for the special district as part of their property tax bill.

Dana Yates can be reached by e-mail: dana@smdailyjournal.com or by phone: (650) 344-5200 ext. 106.

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