I estimate the return on political investment by exploiting the 2005 repeal of the Public Utilities Holding Company Act, which exogenously legalized electric utility campaign contributions in 30 states. Using a difference-in-differences identification strategy, I find that treated utilities contributed significantly more to politicians upon legalization, and were awarded higher returns by state regulators. Treatment effects are heterogeneous by party, as utilities strategically targeted Democrats, who authorized higher returns than Republicans. Further, consistent with the Averch-Johnson effect, treated utilities increase investment in capital additions to maximize returns. Although the utility investors benefit from higher rates of return, I find no benefits to consumers via a more reliable and efficient grid.