Tag Archives | PG&E rate hike

PGE rate Hikes

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For those who are “paying” attention to the small inserts in their Pacific Gas and Electric bill, the rate for residential electricity has gone up again.

PGE rate Hikes

No surprise as this has been happening for the past 30 years. Based on my calculations I have seen the price of electricity go up on average 6% per year. Some years it has gone down, some years it has spiked, but on average 6% has been seen.

The brunt of the rate increases happen in tier 3,4,5 to penalize the heavy electricity users and in theory promote conservation.  Now there hasnt always been a tier structure. Before the Partial deregulation there was only a baseline and above baseline. Take a chance to educate yourself on that fyasco

The Smartest Guys in the Room

Here is a quick breakdown of what has happen over the past decade

tier charts

As you can see tier 1,2 have stayed relatively flat, but tier 3,4,5 have gone up significantly, perhaps even higher than 6% per year, yikes!

As of May 1st, PG&E strikes again, the rates have gone up for electricity for residential users. It seems very marginal because it is only $.01 in tiers 4,5 per kWh, but that adds up. Please follow along:

Lets assume that the State of California’s given load 30,000 mWh on average, thus in one day California consumes 720,000 mW (assumed to be all residential). PGE is the largest (IOU) utility in California. PGE requires roughly 40% of the power demand.

PGE increased the rate of residential power by roughly $.01 in tier 4,5.

Old Rates PGE

These are the old rates from Jan 1st-April 30th 2013

New PGE rates 5-13

These are the new rates as of May 1st 2013

The weighted increase across all tiers would be $.00328 which would equate to $944,640 daily or $344,743,600 annually, wahoo for shareholders of PGE!

This has been happening for decades, however the rate payers of PGE now have a solution to their  increasing electric bills.

American Solar Direct offers a fixed cost power solution. ASD has a program called “solar made Simple” whereas they give homeowners the ability to generate their own power at a fixed cost off their roof at a price that is generally less then what PG&E is selling it to them now and it doesn’t cost them anything they are not already spending with PG&E today. You simply redirect a portion of the money you are already spending with PG&E into a fixed rate monthly solar investment which allows you to potentially save money out of the gate. It is an unprecended oppertunity to get out from underneath the Investor Owned Utility and the never ending rate hikes.

If you are interested in finding out how much your roof is worth , please feel free to contact me Direct at the link below. I will contact you within 24 hours and set up a time to go over the economics that apply to your roof top. You may qualify for a free solar electric system for your home

Free Quote click here

PG&E rate plan increase could hike up prices 15.6% typically

If you have any questions about how to protect yourself from these rate hikes please contact Solar Joey and or get started with your free consultation today!

PG&E’s latest filing is part of “general rate case,” a regulatory process that sets the basic blueprint for utility rates over a three-year period. In this instance, the general rate case would shape utility bills from January 2014 through December 2016.

If the utilities commission approves the filing, the typical homeowner’s monthly electricity bill will rise $4.64 in 2014 to $94.37, while the average residential gas bill will climb $6.67 to $52.80 per month. Further increases would follow in 2015 and 2016, bringing the average monthly electric bill to $98.95 and the average gas bill to $58.15. Together, the combined bill of $157.10 would be 15.6 percent higher than the current average residential combined bill, which is $135.86.

Anthony Earley

PG&E’s CEO, Anthony Earley during a press conference at PG&E headquarters in San Francisco last December. The company has asked California regulators to raise a typical homeowner’s monthly bill 15.6 percent by 2016.
Photo: Michael Short, SPECIAL TO THE CHRONICLE / SF

Multiple requests

The increase would be greater if the utilities commission also approves PG&E’s other rate proposals.

In 2014, for example, the general rate case alone would raise the average monthly residential bill by $11.31, when gas and electricity are combined. The $2.2 billion gas pipeline proposal would add $2 more, according to the company. An extra $1.70 would come from the $539.5 million request to pay for renewable power and other electricity generation. In total, instead of $11.31, homeowners would pay $15.01 more per month in 2014 than they do today. The general rate case would continue to impact customer rates through 2016.

If history is any guide, PG&E probably won’t get all the money.

While the utilities commission seldom rejects rate-hike requests outright, it typically gives utilities less than they want, sometimes much less. In its last general rate case, PG&E asked for a revenue increase of $4.2 billion, spread over three years. The commission approved $1.9 billion. In 2009, the company proposed spending $2.05 billion to fight blackouts on its electricity grid. The commission approved $366.6 million.

PG&E’s new general rate case will receive more scrutiny than the last. For the first time, the utilities commission will hire independent analysts to study the proposal in depth.

“They, like us, are concerned about making sure the system is safe going forward, so they wanted an independent review,” Bottorff said.

David R. Baker is a San Francisco Chronicle staff writer.

Read more: http://www.sfgate.com/news/article/PG-E-rate-plan-would-cost-15-6-more-typically-3680344.php#ixzz2BknmSrOU

 

Read more: http://www.sfgate.com/news/article/PG-E-rate-plan-would-cost-15-6-more-typically-3680344.php#ixzz2Bkn5lv7p