Bush Extends California Power Orders

California utilities Southern California Edison and Pacific Gas & Electric will continue to receive help as President Bush ordered a two-week extension of federal mandates requiring power and natural gas companies to keep supplying power for the utilities.

Energy Secretary Spencer Abraham says that the extensions were approved to give California sufficient time to restore the financial health of the utility companies and develop other sufficient sources of energy to meet the state's needs.

California Governor Gray Davis, who asked that the federal power mandates be continued, assured the administration no further extensions would be necessary, Abraham says.

The directives, first imposed by the Clinton administration in December, require electricity generating companies to continue shipping power into California and for natural gas suppliers to sell fuel to Pacific Gas and Electric.

The suppliers have threatened to cut off the utilities because they fear that their mounting $12 billion debt might drive the utilities into bankruptcy and prevent future payments.

Northwest lawmakers have criticized the federal intervention because they believe the mandate to sell power to California is jeopardizing power supplies in their region. A dry winter has caused water levels at hydroelectric dams in the Northwest to be lower than normal, raising concern about electricity production this spring.