The more you may, the more you pay... At least that's how California's 3 largest power companies think it should be.
PG&E, Southern California Edison, and San Diego Gas & Electric filed a joint proposal with the state Public Utilities Commission seeking to add a fixed monthly charge for services, based on household income levels. This new structure follows last year’s passage of Assembly Bill 205 which requires a fixed rate and generally simpler power bills.
The California Public Utilities Commission would have to approve the proposal and make a final decision by mid-2024. If that happens, changes to bills could be seen as soon as 2025.
Details of the proposal are as follows:
Households with annual income from $28,000 – $69,000 would pay $20 a month in Edison territory, $34 a month in SDG&E territory, and $30 a month in PG&E territory.
Households earning from $69,000 – $180,000 would pay $51 a month in Edison and PG&E territories and $73 a month in SDG&E territory.
Households with annual incomes above $180,000 would pay $85 a month in Edison territory, $128 a month in SDG&E territory, and $92 a month in PG&E territory.
“This proposal leaves a lot of Californians out,” Ellen Wright, a utility contract consultant, told the California Globe on Friday. “Huge parts of LA are not under this, as are some of the poorest areas of the state. But even if you look past that, a fixed cost system could only encourage people to use more electricity, especially during high-use times like the summer. That means an even greater strain on the grid.”
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