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IPFS News Link • California

California Power Bills Are Soaring

• https://www.zerohedge.com, by Tsvetana Paraskova

The surge in electricity costs has left nearly 1 in 5 California households behind on their energy bills.

California is transitioning to a new net billing tariff for residential solar and a flat monthly fee structure for electricity in an effort to make electrification more affordable.

Consumers in California have seen their electricity bills surge in recent years and double over the past decade as utilities are investing more in wildfire prevention and transmission lines to accommodate growing renewable energy output.

As these utilities invest billions of U.S. dollars to make the grid more resilient, they pass the higher spending on to consumers. 

So California now has the second-highest average electricity bill in the United States, second only to Hawaii. 

"Untenable" Surge 

California is looking to rapidly shift away from fossil fuels and make its grid more resilient, but these efforts show the other side of the greening of the grid - power generation costs may be plunging, but transmission and distribution costs are rising, leading to higher spending from utilities. 

These increased expenditures are passed on to consumers by the investor-owned utilities Pacific Gas & Electric, Southern California Edison, and San Diego Gas & Electric. As a result, electricity bills in California have risen so much in recent years that in some places, the power bill exceeds the cost of rent, The Wall Street Journal reports in a featured article. 

The surge in bills has been "untenable," according to the consumer advocate's office at California's utilities regulator. 

In its latest 2024 Q2 Electric Rates Report last month, the Public Advocates Office tracked residential electric rate changes across Pacific Gas and Electric (PG&E), San Diego Gas & Electric (SDG&E), and Southern California Edison (SCE) service territories through July 1, 2024.