PG&E seeks approval for 9% rate hike over next three years
PG&E seeks approval for 9% rate hike over next three years
Pacific Gas and Electric Company (PG&E) has filed a request with the California Public Utilities Commission (CPUC) for a series of rate hikes that would increase customer bills by an average of 9% over the next three years. The utility giant is citing rising operational costs as the primary reason for the proposed increases.
In its filing, PG&E states that it is facing a number of financial challenges, including:
- Increasing costs for natural gas and electricity
- Higher labor costs
- The need to invest in wildfire mitigation and infrastructure improvements
- The impact of climate change
The utility says that the proposed rate hikes are necessary to maintain its financial health and continue to provide reliable service to customers. However, some consumer advocates have expressed concern that the rate hikes will be a burden for low-income customers and those struggling with the high cost of living.
The CPUC is expected to begin reviewing PG&E’s rate hike request in the coming months. A public hearing on the matter is scheduled for December 2023. If approved, the new rates would go into effect in January 2024.
What does this mean for PG&E customers?
If the CPUC approves PG&E’s rate hike request, customers can expect to see their bills increase by an average of 9% over the next three years. This means that a customer with a monthly bill of $100 would see their bill increase to $109 per month.
How can PG&E customers reduce their energy bills?
There are a number of ways that PG&E customers can reduce their energy bills, including:
- Using energy-efficient appliances and light bulbs
- Weatherizing their homes to reduce heat loss in the winter and heat gain in the summer
- Taking advantage of energy efficiency programs offered by PG&E and other utilities
PG&E also offers a number of assistance programs for low-income customers, including the California Alternate Rates for Energy (CARE) program and the Energy Savings Assistance Program (ESAP).
Conclusion
PG&E’s request for a series of rate hikes is likely to be met with opposition from consumer advocates and low-income customers. However, the utility giant is facing a number of financial challenges, and the CPUC may ultimately approve the rate hikes in order to ensure that PG&E remains financially viable and can continue to provide reliable service.
