California regulators approved two additional rate hikes for Pacific Gas and Electric (PG&E) on Thursday, marking the sixth rate increase for the utility this year.
PG&E has stated that it is working to stabilize bills and limit the average annual increase in combined gas and electric bills to no more than 2-4% through 2026.
Mark Toney, executive director of The Utility Reform Network, a PG&E watchdog, criticized the utility’s rate hikes. “People are paying an average of $60 more a month than last year,” Toney said. “Right now, we have a broken system that we need to fix. There are no limits to how much PG&E can ask for or how often they can request increases.”
According to the California Public Utility Commission, the average PG&E bill has risen by 56% over the past three years.
The two new rate hikes will fund the extended operation of the Diablo Canyon Nuclear Power Plant and vegetation maintenance. One increase will take effect next year, and the other will be implemented in 2026.
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The approval of these rate hikes comes after the Biden administration committed to a $15 billion loan for PG&E’s infrastructure improvements.
Meanwhile, local charities are reporting a surge in requests for help paying PG&E bills. Ben Chavez, a volunteer at Saint Vincent de Paul in West Sacramento, has seen a dramatic increase in calls for assistance. “The calls are tripling or quadrupling,” he said.
Johnny Ortiz, a local resident, shared how Saint Vincent de Paul helped his family keep the power on, as his mother relies on a heart monitor 24 hours a day. “It’s way too expensive, especially when someone with low income is trying to help their mother,” Ortiz said.
The rising cost of PG&E bills is creating an affordability crisis, with many customers turning to charitable organizations to assist with payments.
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