In response to the 2001 Energy Crisis, the California State Legislature capped rates to protect low-usage customers from soaring electricity prices. However, over the past 13 years these price caps have resulted in many customers paying more than their fair share for electricity.
That's why PG&E, working with a broad coalition of consumer and community groups, has received permission from the California Public Utilities Commission (CPUC) to make residential electric rates simpler and more equitable.
Starting August 1, 2014, under new rates approved by the CPUC, the amount that customers pay for electricity will be more in line with the actual cost of serving them. Find out what this means for you, why the changes are necessary, and where the funds will be spent.
Energy Supply (56%): The cost of generating and purchasing power for PG&E customers. More than 50 percent of our electricity comes from sources that are free of greenhouse gas emissions, giving us some of the cleanest energy supplies in the nation.
Transmission & Distribution (32%): Operating and maintaining the grid to deliver safe, reliable service. Includes new Smart Grid technology to reduce outages and more quickly restore service to customers.
Public Purpose Programs (7%): Promoting the public good, including discounts for income-qualified customers, investments in energy efficiency programs, and the California Solar Initiative.
Other (5%): Legacy costs for nuclear plant decommissioning, electric generation deregulation, and the impact of the 2001-2002 California energy crisis.
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