Gov. Martin O?Malley?s white knight on electricity rates, Steven Larsen, is riding back to the private sector next month, with both he and the governor declaring mission accomplished during Larsen?s 16 months as chairman of the Public Service Commission.
Tuesday, O?Malley appointed the commission?s general counsel, Doug Nazarian, as Larsen?s successor.
“I think we?ve completely changed the mind-set at the Public Service Commission,” Larsen said. “We?ve accomplished more in nine to 12 months than in nine years prior to the O?Malley administration.”
Larsen?s professionalism, credibility and integrity are all qualities lacking in the agency as run by Gov. Robert Ehrlich?s appointees, O?Malley said. “I asked [Larsen] to turn the place around,” O?Malley said. “That?s what they have done.”
There was no hint that O?Malley was unhappy with Larsen?s inability to bring down electric rates, citing the $2 billion lawsuit he settled with Constellation Energy, which will give ratepayers $170 rebates this summer. The governor, who had reappointed Larsen earlier this year, cited “aggressive leadership” on other issues to help ratepayers.
At the commission, Larsen “replaced a decidedly pro-industry stance with a pro-consumer stance. We have done what we set out to do,” O?Malley said. “I did not ask Steve to come and stay a lifetime at the Public Service Commission.”
Nazarian was “there for every single battle that we fought,” O?Malley said.
“I have the luxury of inheriting an agency that?s in fantastic shape,” Nazarian said. He had worked in the Hogan & Hartson law firm with othertop O?Malley appointees, including Insurance Commissioner Ralph Tyler and legal counsel Elizabeth Harris.
House Speaker Michael Busch and Senate President Thomas V. Mike Miller praised Larsen. Both of them had helped O?Malley recruit Larsen back into state service from Amerigroup, the health insurer Larsen is returning to for financial reasons.
“He?s going to be terribly missed,” said Senate Finance Chairman Thomas Mac Middleton, D-Charles, who worked closely with Larsen on electricity issues. “The legislature had so much confidence in Steve.”
“This is a real blow to Maryland consumers,” said Del. Patrick McDonough, a Baltimore County Republican.
