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From the national to the state to the local level, the state is about to hold some of the country’s most crucial elections.

In 2022, the Arizona Republic published a sentence many Democrats had dreamed of reading for decades: “Arizona,” the paper announced, “is a blue state.”
At the time, it felt true. In 2020, Joe Biden won the Grand Canyon State — only the second time a Democrat had done so since Arizona broke for Harry Truman in 1952 — and Democrat Mark Kelly defeated Republican Sen. Martha McSally in a special election to fill the late John McCain’s Senate seat, a victory that helped the Inflation Reduction Act get over the finish line. The 2022 midterm elections confirmed that the Democrats’ wins in the state hadn’t just been a one-time occurrence: Kelly successfully defended his seat, securing a full term; Katie Hobbs won the governorship; and Adrian Fontes beat a January 6 participant to become the secretary of state, Democrats all.
With the 2024 election still a little more than a week away, it’s too soon to tell whether the blue state proclamations of 2022 were premature. But Arizona hasn’t been looking terribly cerulean. In 2023, the Republican-held state legislature passed eight of 16 anti-environment bills introduced and stranded 22 pro-environment bills without committee hearings. Republican voter registration in the state has also swelled since 2016 as Democratic rolls stayed relatively stagnant, giving the GOP an edge in a place where 10,457 votes can make all the difference.
Arizona is just one state out of 50 (or 11 electoral votes out of 538, if you prefer), but it represents a curious microcosm of the high-stakes climate and energy elections happening all over the country this November. Or perhaps it is not so curious: Arizona is on the front lines of the climate-related impacts of droughts, longer and nastier heat waves, ozone pollution, and wildfires, while also being in a position to weigh the trade-offs of crucial clean energy developments like building new energy transmission, critical mineral mining, and utility-scale solar. “It’s like an incubator. There’s just so much happening here, it’s ready to burst,” Jane Conlin, a co-leader of the Tucson chapter of the Citizens' Climate Lobby, which has been engaging in get-out-the-vote efforts with the Environmental Voter Project, told me.
Aside from its electoral college allocations, the most consequential race in Arizona this cycle will be for outgoing Independent Senator Kyrsten Sinema’s seat. The state is currently leaning slightly toward Democratic Representative Ruben Gallego, who could help stem a total hemorrhaging of blue seats from the Senate — which, in turn, would have implications for the passage of any decarbonization legislation in the next administration.
Two U.S. House elections in Arizona could similarly help determine the balance of power on Capitol Hill come January. AZ-01 is the wealthiest congressional district in the state, in the northeastern corner of Phoenix’s Maricopa County, where a former E.R. doctor is trying to unseat a seven-term Republican incumbent in a battle that has centered on abortion access. (The district is also home to the Rio Verde Foothills, which made national headlines in 2022 when Scottsdale cut off its water supply due to drought-related shortages.)
But it’s the other race, in the sixth congressional district spanning the suburbs of Tucson, that looks more like a proxy battle between different climate ideologies. Kirsten Engel — who previously worked for the U.S. Environmental Protection Agency and serves as the co-director of the Environmental Law Program at the University of Arizona — is challenging Juan Ciscomani, a Trump-endorsed moderate conservative who has backed residential solar projects, promoted himself as an advocate for a “secure water future,”and, earlier this year, co-sponsored a bill seen as a first step toward a carbon border tax. (As his opponents quickly point out, he also voted against the IRA; Ciscomani has also been tied to a groundwater scandal involving a Saudi Arabian-owned alfalfa farm.)
Engel previously lost a tight election against Ciscomani in 2022, and has made abortion a centerpiece of her campaign, too. But she has also gone aggressively after the Republican for his alignment with the mining industry, including his support for a proposed open-pit copper mine that opponents say will pollute Tucson’s air and waterways; supporters, meanwhile, say it’s critical to create a domestic supply chain for the energy transition. The League of Conservation Voters, which identified the sixth congressional district election as one of its priority races, is running ads in the state playing up this pollution angle.
Engel herself has slammed the proposed mine, which would be built on public lands, as a “giveaway” to a foreign mining company, and touted the need to protect the region’s “spectacular scenic vistas and the tourism economy.” She has also sought to go toe-to-toe with Ciscomani on water conservation, though as Grist has reported, drought and water rights can be tricky for Arizona politicians to run on because voters don’t have a firm grasp of how the complicated policies work.
The future of climate policy at the regional and municipal levels in Arizona is also in play. Democrats could potentially flip the balance of power in the state House and Senate, each branch currently having just a one-seat Republican advantage, and restart movement on the slate of stalled pro-environmental bills. (The Democratic governor’s term runs through 2026.) “The state legislature in Arizona is so critical,” John Qua, the campaign manager of Lead Locally, told me. “Not only does building a democratic trifecta get the state closer to passing policy that tackles climate change in some of the ways we might more typically understand it — like moving towards clean energy — but it also makes it much likelier that the state legislature will pass water conservation policy.”
The 11 races are “all at a razor-thin margin,” Qua told me, though climate is unlikely to be the issue that tips the balance in any of them. That goes for just about any race in Arizona — except the state’s Corporation Commission, which Heatmap’s Emily Pontecorvo covered earlier this week. Currently, the ACC is operating with a four-to-one Republican majority, but with three Democrats, two Green party candidates, and three Republicans (including an incumbent) running to fill three seats, there’s a wide-open chance that candidates sympathetic to clean energy policy, including the state’s massive solar opportunity, could take control.
“Arizona could lead the world in solar power if politicians would only let it,” Nathaniel Stinnett, the founder and executive director of the Environmental Voter Project, told me. “But that isn’t going to happen unless the climate movement starts showing up in unstoppable numbers whenever there’s an election.”
Conlin, who co-leads the Tucson chapter of the Citizens’ Climate Lobby, has been working on the ground to reach the 230,000 potential first-time environmental voters that Stinnett and his team have identified in the state. (EVP numbers released earlier this week showed that those who vote based on climate issues were about 20% more likely to have submitted an early vote than the average voter.) During a recent folklife festival CCL volunteers attended, “I think about only 25% of people [we engaged with] were really aware of the Arizona Corporation Commission,” Conlin told me. But she’s excited nevertheless: This year, the ACC poll is on the front of Arizonans’ ballots, rather than the back, making it harder for even low-information voters to overlook.
The state is also a case study of how an elected body as small and seemingly insignificant as a school board can make a difference in the progress toward decarbonization. The Tucson Unified School District board of governors will vote next week on a climate action plan that would set a goal of reaching net-zero emissions by 2045. If successful, TUSD would be one of the first school districts in the nation to have implemented such a plan.
Arizona is not the only state in the country that, as Colin put it, feels “on this cusp of being able to reach out — not only to see a 50% cut in emissions but 100%. It’s doable, it’s within reach.” Pennsylvania and Michigan voters will also have opportunities to elect politicians who will advance climate legislation, and voters in Washington, California, and New York can defend their states’ progress. But it’s Arizona where the stakes seem especially immediate — and high. “It’s supposed to be 96 [degrees Fahrenheit] here today,” Conlin marveled when we spoke this week, at the end of October.
I could hear the weariness in the voices of the organizers I spoke to after a long, hard-fought season; candidates are set to make their final pitches to voters next week. Early-voting ballots are already in the mail or in hand. The CCL has just one final day of canvassing planned, on November 2. The polls will close three days later, at 7 p.m. local time, and then the count will begin.
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SpaceX and Tesla have produced executives and founders across the clean energy world. Here’s what they had to say about working for their former boss.
While SpaceX founder and Tesla CEO Elon Musk is often lauded for turning technology like reusable rockets and American-made electric vehicles into thriving businesses in a way long thought impossible, or at least improbable, he has also more quietly done something about as unlikely: get investors excited about capital-intensive hard tech startups.
For most of the time Musk was sleeping on the floor of Tesla’s factory to oversee Model 3 assembly and his rockets were riding across the country on the back of flatbed trucks, the venture capitalists that fund the next generation of technology companies were largely enamored with software businesses, which required little capital to start up and could scale quickly with accelerating profitability.
Today, thanks in no small part to Musk, hard tech companies are able to raise hundreds of millions of dollars within a few years of being starting up, with top-flight venture capital firms such as Andreessen Horowitz building whole funds devoted to the broad sector.
That investor interest has helped nurture a series of startups founded and led by former SpaceX and Tesla employees. These types of businesses don’t have the forgiving characteristics of software companies; instead, they’re often incredibly capital intensive, and require years of design and manufacturing before profits show up. Climate tech and energy companies almost inevitably fall in this category, often working on trying to turn technology that may mostly exist in a lab with nascent markets and high barriers to scale into something that can generate real returns for investors.
To mark the occasion of SpaceX’s initial public offering, Heatmap decided to survey the landscape of SpaceX and Tesla alumni now cutting their own swath through the climate tech marketplace. We identified 40 founders and executives, who all together spent a total of 252 years working for Musk. They’ve since moved on to companies in 9 different industries, from Musk-adjacent categories such as batteries and electric vehicles to carbon removal and grid tech. Cumulatively they’ve raised at least $27 billion, according to the data available in Crunchbase. (Since we finalized this list, one more Musk alum-founded company has emerged from stealth. Welcome to the world, Ambrosia Energy.)
Heatmap asked these founders and executives by email what they learned from their experiences working at Musk-led companies, and we heard back from more than a dozen of them. The vast majority of those told us it was no accident that they’d ended up where they have after working for Musk.
“While working at Tesla, I was surrounded by people who were there for the hard stuff and thrived on it,” Mateo Jaramillo, co-founder and CEO of the long-duration battery company Form Energy and a former Tesla Energy vice president, told us. “It's not just that they tolerated it — that was the stuff they lived for. There are moments in a company's arc when that kind of mentality is required, and at Tesla in those days it was like walking through a crucible every single day, with truly no idea how things were going to resolve. And yet you keep going and figure it out along the way.”
Musk himself has been a formidable digester of investor capital, including from Founders Fund, the venture capital firm founded by his former PayPal colleague Peter Thiel, which invested in SpaceX before its first successful launch.
Founders Fund has since become an investor in several Musk-alumni-founded companies, including the fuel enrichment startup General Matter, the geothermal company Endurance Energy, and the hydrogen company Hgen.
Another frequent investor, Andreessen Horowitz, had previously been the great promoter of software businesses. Its cofounders Marc Andreessen and Ben Horowitz wrote the seminal essay “Why Software Is Eating The World,” which became a manifesto for its investments in businesses like Facebook (now Meta) and Twitter (now X). Since then, a16z, as it’s known, has expanded its remit and invested in several Musk-alumni founded companies, including the power electronics company Heron Power, the mining services company Mariana Minerals, electric boat company Arc, and home battery company Base Power.
These investments are not just simply giving money to Tesla and SpaceX employees to do the same things they did in their previous jobs. Many of the companies we looked at were founded by SpaceX alumni and have nothing to do with space, rockets, or satellites.
Mike Schroepfer, former Meta chief technical officer and founder of hard tech VC firm Gigascale Capital, which has invested in Heron and Form, as well as battery systems company Arbor and nuclear microreactor company Radiant, told us that when founders have a Musk company on their resume, it tells him “they’ve been trained to build in the physical world, which is rarer than people think.”
And what’s rare can be profitable.
“Hardware is capital-intensive for the best possible reason” Schroepfer said. “You’re building the foundations the world runs on, and those things have to work reliably and get cheaper as they scale. The dollar figure tells you investors are starting to take the physical world seriously again.”
Philip Schröder, who left the European battery startup Sonnen to run Tesla’s Germany and Austria business, told us that after he rejoined his former company, the European battery startup, they were able to raise “one of the largest cleantech financing rounds in Europe.”
It’s not just raising money where a SpaceX or Tesla pedigree helps. Many former employees of the two companies left with enough of a financial cushion to take a risk on something new. When asked how being part of SpaceX helped him found his own company, John Bucknell, who worked on the Raptor rocket engine at SpaceX, said that having worked for Musk gave him the “financial freedom” necessary to start a company — in his case Virtus Solis, which is developing solar power in space.
But it also doesn’t hurt when raising money to put a SpaceX or Tesla logo on a slide deck, considering the size of returns they’ve generated for their backers.
Former Tesla employees have started and run some of the buzziest and best funded battery, transportation, and electrical infrastructure companies in the world. These include Lucid Motors, led until recently by former Tesla VP of vehicle engineering Peter Rawlinson, battery recycling company Redwood Materials, founded by former Tesla chief technical officer J.B. Straubel, and Heron Power, founded by Drew Baglino, who worked at Tesla from 2006 to 2024, ending his career there leading its powertrain and energy divisions.
When asked how their current work was connected to their past work for Musk or what they had learned, the founders and executives we surveyed — especially the SpaceX alumni — focused more on management and engineering principles than anything specific to energy or transportation.
“You can get way more done in a day and can move way faster than you think,” Justin Lopas, the co-founder of the home battery company Base Power, and a former manufacturing engineer at SpaceX, told us of what he’d learned from Musk.
Musk’s legendary short deadlines (which he says he only expects to hit about half the time) came up frequently among the group. Describing his time at Tesla, Arch Rao, the founder and chief executive of the smart electric panel company Span and a former head of products at Tesla Energy, told us, “The milestones to hit were incredibly audacious, but with the right group of people, possible. This has been a key model for how Span has scaled from the very early days to today.”
Jonathan Criss, the co-founder and chief executive of the desalination company Vital Lyfe, who worked at SpaceX for over a decade on both the Dragon spacecraft and the satellite communications service Starlink, told us that the rocket company had a unique “building for rate” philosophy, where engineers work backwards from a specific production goal, as opposed to first designing a product and then figuring out how to manufacture it as cheaply as possible. “That capability lets us design and manufacture highly reliable products at a fraction of the cost of most of the industry,” Criss said.
Investors, too, recognize SpaceX and Tesla alumni’s ability to work fast. Schroepfer, of Gigascale Capital, told us that speed sets these founders apart. “They know physical products can take years to get from first unit to cost-competitive scale. Even with a long timeline, they move with urgency,” he said. “They get how iteration and cost-down curves only work if you move fast, learn fast, and scale deliberately.”
Several founders also talked about learning to challenge assumptions. “At Tesla, there was a strong culture of questioning established ways of doing things,” Enric Asuncion, the co-founder and CEO of the EV charging company Wallbox who worked as a program manager for vehicle charging at Tesla, told us. Austin Spiegel, the co-founder and CEO of the infrastructure management software company Sift and a former software engineer at SpaceX, said that his former employer never accepted that something was good enough just because it existed. “Instead of buying off-the-shelf software, they asked, what would this look like if we designed it for a company that's going to launch and land rockets for the first time? That stuck with me.”
A former product engineer for Tesla’s Powerwall battery business, Cole Ashman, gave another example. He described how, for years, enabling a home to island from the power grid during a blackout required a labor-intensive, expensive electrical job. Tesla engineered a backup switch that was quicker and easier to install, but it required utility cooperation. “Conventional wisdom said it would never get broad approval,” Ashman, who founded the battery startup Pila, told us. “Tesla did the unglamorous work of bringing utilities along and moving the codes and standards — and pulled the whole industry forward.”
The other management concept that came up frequently was “ownership,” the idea of devolving responsibility down to engineers who were directly responsible for the projects they were working on. Working at SpaceX “taught me how to run a challenging hardware development program: how to choose and organize engineers around a tough unsolved problem, and give each of them real ownership from concept to mission success,” Colin Ho, founder and chief technology officer at the electrolyzer company Hgen, told us.
Frank Tybor, the chief technical officer at Infravision, the drone grid maintenance company and a former launch engineer at SpaceX, told us that “one of the things that made SpaceX special was the concentration of exceptionally talented people who were willing to take ownership of difficult problems and work across traditional organizational boundaries to solve them.”
Andreessen has endorsed the description of Musk-run companies and SpaceX specifically as a “zone of shocking competence” that attracts the best engineers, which its alumni founders have tried to recreate. Justin Cohen, the founder and CEO of Maritime Fusion who did stints at both Tesla and SpaceX, told us the talent network was “analogous to SEAL Team 6 of engineering; there is no better on earth.”
Several mentioned the Musk alumni network as a recruitment resource for their own businesses. “Tesla has cultivated a highly passionate ecosystem of engineers and tech developers,” Rao, the Span founder, told us. “My experience at Tesla helped me quickly identify what a skillful talent pool looks like and expect rapid and ambitious development from them.”
Brad Hartwing, a former SpaceX manufacturing engineer and founder and chief executive of Arbor Energy told us that “several early Arbor employees came from SpaceX, and that shared experience helped us build a world-class engineering team quickly. Many of us have worked on complex, high-stakes technology; we’ve already proven that we can execute in demanding environments, which helps when building a hard-tech company from scratch.”
When asked to name specific, non-Musk employees that influenced them, one name came up more than another: J.B. Straubel, the former Tesla chief technology officer and founder of Redwood Materials.
“Straubel is easily one of the smartest yet incredibly humble engineers and leaders I’ve had the opportunity to work with,” Rao told us.
Straubel, along with Heron Power’s Drew Baglino, “were both influential in how they helped solve complex problems within the company while dealing with constant pressure on cash & company survival,” Kunal Girotra, former Tesla Energy chief and founder of the battery company Lunar Energy, told us.
Jaramillo, the Form Energy founder, also singled out Straubel and Baglino, saying, “They’re very different people from each other, but both technically world class, with incredibly high standards. They drove that mindset into their teams from an engineering perspective — to never compromise on those standards.” About Straubel specifically, Jaramillo said that he had an “amazingly calibrated impatience, to know precisely when enough study is done, to just push start and get going in the physical world, and accept that you're going to learn things along the way.”
While Musk and his legions of former employees have helped turn hard tech and climate tech into an investible sector for venture capitalists, the amount of money the companies we’ve looked at have raised — about $30 billion — pales in comparison to the hottest sector, artificial intelligence. Even SpaceX, the signature hard tech company of its era, is itself running a massive “neo-cloud” business, renting out data center capacity to companies like Anthropic and Google to the tune of around $2 billion a month.
That being said, Tesla and SpaceX, which together are worth around $3 trillion, will continue to produce engineers and managers with sizable net worths and resumes uniquely looked favorably on by investors.
More than 4,000 current and former SpaceX employees are expected to become instant millionaires after the IPO, with 400 potentially getting at least $100 million, generating a wave of wealth that can give potential founders the cushion necessary to found their own company — or the capital necessary to become investors themselves.
“I think this is the emergence of a hardware mafia,” Schroepfer told us. “The PayPal mafia helped define an era of software and internet companies. This group will probably define an era where the center of gravity moves back toward atoms: energy, industry, mobility, infrastructure, manufacturing, and the physical systems that modern life depends on.”
On Texas data centers, Holtec’s New Jersey plans, and Polish renewables
Current conditions: Las Vegas is well over 100 degrees Fahrenheit, and could hit 110 degrees by tomorrow • Tropical Storm Cristina is deluging Central America as it barrels toward the coast of El Salvador • Temperatures are already 110 degrees in Minab, Iran, where American missiles struck early this morning.
The two-month ceasefire is over. U.S. strikes on Iran began again Wednesday and continued early this morning as President Donald Trump vowed to make Tehran “pay the price” for stalled negotiations to end the conflict. The second day of strikes came hours after U.S. allies Bahrain, Kuwait, and Jordan came under Iranian missile fire. In response, oil prices surged yet again, right as U.S. inflation data showed a 4% price spike last month as higher energy prices ripple through the economy. Inflation is now at its highest level since April 2023. The price of West Texas Intermediate crude, the benchmark for American oil, shot up nearly 4% on Wednesday following the strikes, roughly twice the increase for the European and Emirati benchmarks.

Solar panels supplied a record 12.8% of the United States’ electricity last month, while coal fell to 12.2% in its fourth-lowest monthly share ever, according to a new analysis by the pro-renewables think tank Ember. It’s the first time in U.S. history that solar eclipsed coal for a whole month. Solar generated an all-time high of 45.5 terawatt-hours, exceeding its May 2025 output by 17% and surpassing last July’s previous record. This summer is on track to break yet more records. “U.S. solar power continues to set new records,” Nicolas Fulghum, a senior data analyst at Ember, said in a statement. “Overtaking coal for the first month on record shows just how far solar has come, from a niche contributor to the third-largest and fastest-growing source of power in the U.S. electricity system.”
The milestone comes as the U.S. prepares to produce more of its own solar panels. As I told you yesterday, America’s largest solar factory, South Korean giant Qcells’ plant in northern Georgia, is nearly at full capacity.
Texas has a reputation as a place where, if the land is yours, you can do what you want with it. That’s partly why the state has been such a hotbed for data center development. Well, the Republican leadership is pumping the brakes. In a letter to state regulators on Wednesday, Governor Greg Abbott recommended the legislature pass sweeping data center reforms. Among the policy changes The Texas Tribune highlighted:
The move comes in response to plummeting support among American voters for data center development. The latest poll from Heatmap Pro, which my colleague Robinson Meyer wrote up earlier this month, found that roughly three-quarters of U.S. voters now oppose data center development in their neighborhoods, including 55% who say they “strongly” oppose server farms.
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When the Department of Energy canceled the American Battery Technology Company’s nearly $58 million grant last October, it appeared to many as a sign that the Trump administration would go after virtually any firm awarded money by its predecessors, even if its business aligned with the White House’s policy priorities. But the Nevada-based battery and critical minerals startup said this week that the Energy Department had reinstated the grant, which was meant to support construction of the company’s first commercial lithium refinery. “Of the hundreds of DOE grants terminated last Fall very few have been able to successfully appeal the decisions and have their contracts reinstated,” American Battery Technology CEO Ryan Melsert said in a statement. “I am very proud of our team for relentlessly demonstrating the performance of these internally-developed critical mineral technologies and how crucial it is to implement and scale these commercial facilities to support the national security of the United States and enable its energy dominance.”
The Energy Department is also making moves on fusion. On Tuesday, the agency put out its roadmap for commercializing fusion energy, tapping more than 800 scientists to inform its analysis. “Fusion energy has entered a new era defined by extraordinary scientific progress and public-private momentum,” Darío Gil, the under Energy secretary for science, said in a statement. “With this roadmap, we now have the clarity, coordination, and sustained commitment needed to turn the promise of fusion into a reality for the American people.”
Holtec International was once the undertaker of the nuclear industry with a business split between manufacturing storage casks for spent fuel and decommissioning shuttered plants. But the company is nearly ready to turn a shuttered atomic power plant back online for the first time in U.S. history, with its Palisades nuclear station. It’s also considering rebuilding New York City’s defunct nuclear station, Indian Point. All the while, Holtec is racing to build its 300-megawatt pressurized water reactor. The first two units are set to debut at Palisades once the plant’s single older reactor is back online. Next it’s looking at building as many as four of the small modular reactors at Holtec’s half-demolished Oyster Creek nuclear station in southern New Jersey. If approved, the Asbury Park Press reported, the project would generate nearly 1.3 gigawatts of power.
I reached out to Patrick O’Brien, Holtec’s director of government affairs, who confirmed the story. “It’s a potential project post-Palisades SMRs,” he wrote in a text.
If you’re booking a flight right now, you might not yet be feeling the difference. But U.S. production of jet fuel has reached record highs as refiners scramble to respond to soaring prices following the closure of the Strait of Hormuz. By the start of May, the four-week average estimate of fuel production surpassed 2 million barrels per day for the first time on record, according to new analysis by the Energy Information Administration. But with domestic inventories still relatively high, much of that increased production is being exported.
Rob talks with Georgia Public Service Commissioner-slash-candidate Peter Hubbard.
Last year, progressives pulled off their biggest state-level win in Georgia in 20 years when voters elected two Democrats to the state’s Public Service Commission, which oversees electricity utilities. It was the first time Democrats had won a state-level office in Georgia since 2006. This year, Democrats have a chance to take an outright majority on the board.
What would that mean — and what has life been like for the state’s newest power regulators? On this episode of Shift Key, Rob is joined by Peter Hubbard, a former renewables developer who won a spot on the Georgia Public Service Commission last year and will defend it this November. They discuss what a regulator’s day-to-day is like, how Georgia is dealing with the data center boom, and whether regulators can ever bring powerful utilities to heel.
Shift Key is hosted by Robinson Meyer, the founding executive editor of Heatmap News.
Subscribe to “Shift Key” and find this episode on Apple Podcasts, Spotify, Amazon, or wherever you get your podcasts.
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Here is an excerpt from their conversation:
Robinson Meyer: What has surprised you most about being commissioner so far?
Peter Hubbard: Well, probably what surprises me most is how dependent commissioners tend to be on staff to do the hard analysis and then present solutions. I’m the kind of person that can arrive at my own conclusions and come up with my own suggestions of where I think we should go. But really, commissioners tend to not be experts in their field. I’m a rare bird in that I’ve done this work, specifically working on integrated resource planning with other utilities. But we’re really dependent on staff.
So that’s been surprising, as well as I would say just how entrenched interests are. This is a state that’s been under one-party control for a long time. And while that’s changing, there’s just a certain way of doing business. And I hear frequently, This is the way we’ve always done things. And to me, that’s surprising, as well, and not really an acceptable answer.
Meyer: What’s an example?
Hubbard: Well, one is that the power company expects to collect full revenue requirements on really everything that they do, even on an individual basis. For example, storm cost recovery. So we had a docket a few weeks ago that concluded about the $912 million request to cover storm damage costs. And I put forward a motion to try and reduce that request and not have full revenue requirements, including profit on top of storm cost recovery. But that motion failed because the suggestion was, well, we’ve always had full revenue requirements on money that we spend, including on storm cost recovery. But those costs are increasing with more frequent and powerful storms, and that was something I questioned, and I think deserves more scrutiny going forward.
Meyer: In other words, basically, because there’s now going to be more storms, it’s kind of more opportunities to do storm cost recovery and therefore more opportunities for utility profit. Is that the link?
Hubbard: Yes, that’s right. That’s a vicious cycle going on, in my opinion.
You can find a full transcript of the episode here.
Mentioned:
Previously in Heatmap: Democrats Win 2 Key Energy Races in Georgia
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