Sempra Settles State Lawsuit.

Sempra Energy said Friday it would pay customers of its San Diego Gas & Electric Co. subsidiary nearly $6 million and would give the utility a discounted option to buy a Nevada power plant as part of a broad settlement that ends a state lawsuit and two investigations into the company's actions during California's 2000-01 energy crisis.

The agreement would "provide significant benefits to SDG&E's customers," said Michael Peevey, president of the California Public Utilities Commission. Sempra, which didn't admit wrongdoing, settled to remove "the financial uncertainties of these energy-crisis-related cases," President Neal E. Schmale said.

The suit had alleged that Sempra shorted SDG&E customers during the energy crisis by sending gas to Mexico.

Sempra, State Settle Suit Over Power Crisis [Los Angeles Times]