State Courts Get Energy Lawsuits
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Lawsuits accusing El Paso Corp. and Sempra Energy of conspiring to eliminate competition and raise prices in California’s natural gas market will be returned to state courts, a federal judge ruled.
The suits claim Southern California Gas and San Diego Gas--now Sempra--met secretly in 1996 with El Paso Natural Gas, agreeing not to compete in the Southern California and Baja California, Mexico, markets. Because natural gas is used to fire about half of California’s power plants, any supply reduction could boost electricity prices.
The cases involve complaints filed by the cities of Los Angeles and Long Beach and consumers.
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