New Energy Deal Saves State Money

California expects to save at least $1.4 billion dollars in a renegotiated contract reached with an Oklahoma energy producer. It´s also reaping more than $400 million dollars in refunds after tentatively settling lawsuits against the Williams Companies of Tulsa, Oklahoma.

It´s the state’s first settlement with companies that it accuses of overcharging California during last year’s energy crisis. Under terms of the agreement the Williams Companies has admitted no wrongdoing.

State officials decline to discuss negotiations with several other energy producers. But representatives of the state’s attorney general’s office say more settlements may be ahead.

The settlements and new contract do not, however, translate yet into lower energy bills for ratepayers.