California Regulators Weigh in on PG&E’s Proposed Rate Hike
On Thursday, Pacific Gas & Electric filed its general rate case for the period from 2027 to 2030 with the California Public Utilities Commission, which reviews such proposals every four years.
This year’s proposal marks the lowest rate hike that PG&E has suggested in ten years.
The aim is to steady legislation through the year 2030.
”
By implementing this proposal, we aim to break the pattern of significant price hikes seen over recent years and decades,” stated Teresa Alvarado, Vice President of the South Bay & Central Coast Region at Pacific Gas and Electric Company. “This shift will be achieved primarily by altering our operational methods.”
PG&E stated that rates will remain stable in 2025, with potential decreases in billing starting from 2026 due to $2.2 billion worth of costs being removed from their ledger.
Should approval be granted, the bills scheduled for 2027 would revert to the 2025 amounts.
we’re exerting every effort to minimize expenses,” Alvarado stated. “our main priority is to stabilize customer charges since, fundamentally, we aim for precisely what our clients desire: secure, pristine, consistent power available at budget-friendly prices universally.
PG&E mentioned they are reducing costs by grouping projects together, such as simultaneously updating electrical circuits, which leads to fewer disruptions, saves time, and cuts down on expenses.
“it conserves resources, cuts down on time, and also saves money, plus it improves things for our customers by decreasing the frequency with which we need to disconnect them,” Alvarado stated.
The firm is likewise putting money into expanding grid capabilities and enhancing wildfire protection measures. They state that should energy consumption increase, utility rates might decrease even more due to the broader distribution of costs among additional consumers.
Various additional elements might reduce customers’ charges according to some people.
- A $15 billion loan guarantee from the Department of Energy
- Increased energy demand
- Improving your credit score
The California Public Utilities Commission will review our expenses and our key objectives, and this process is both public and transparent,” Alvarado stated. “This should not be seen as a guaranteed approval or mere formality. Instead, it’s an openly accessible and clear public procedure where we encourage all parties involved to participate and fully grasp our future investment plans.
The California Public Utilities Commission is set to initiate a public review process, offering clients an opportunity to share their feedback.
The evaluation and authorization procedure might last for over a year.
The table illustrates billing modifications solely related to the GRC proposal and does not account for other alterations, such as reductions scheduled for 2026.
|
|
|
|
|
|
|
|
Annual Incremental Change |
$9.04 |
$8.57 |
$9.05 |
$9.55 |
|
|
% Annual Change |
3.5% |
3.2% |
3.3% |
3.4% |
3.4% |
- * Derived from 500 kilowatt-hours/31 therms per month
- * Compared to rates currently in effect May 2022
The table provides bill adjustment details solely for the GRC proposal and does not account for other modifications, such as reductions scheduled for 2026.
|
|
|
|
|
|
|
|
Annual Incremental Change |
$10.64 |
$9.94 |
$10.50 |
$11.08 |
|
|
% Annual Change |
3.6% |
3.2% |
3.3% |
3.4% |
3.4% |
|
|
|
|
|
|
|
|
Annual Incremental Change |
$6.66 |
$6.34 |
$6.69 |
$7.05 |
|
|
% Annual Change |
3.7% |
3.4% |
3.4% |
3.5% |
3.5% |
- * Derived from 500 kilowatt-hours / 31 therms per month
- * In comparison to the rates effective as of May 2025
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