Senate Democrats back off calls for price cap legislation

WASHINGTON (CNN) -- In a shift in strategy, Senate Democrats said Tuesday they will stop pushing legislation to impose price caps on electricity for the western United States -- at least for the time being.

The shift comes in light of the decision Monday by the Federal Energy Regulatory Commission to extend price mitigation efforts for California and 10 other states in the West.

"We're going to wait and see. We'll decide at a later date whether or not additional legislation is necessary," Senate Majority Leader Tom Daschle said.

At a Senate Energy Committee hearing Tuesday, several senators suggested the threat of legislation had influenced FERC's decision to act.

Sen. Dianne Feinstein, D-California, welcomed FERC's new rule as a "giant step forward."

"Whether you call it mitigation or cost control, a rose is a rose by any name," she said.

Feinstein asked Energy Committee Chairman Jeff Bingaman, D-New Mexico, to stop committee consideration of a bill she had sponsored that would call on FERC to impose price caps.

"I'm prepared to see how this works," Feinstein said.

She did not rule out re-considering legislative options down the road.