Californians Might Have To Pay More For Electricity Soon: Here's Why

A state panel in California has voted to approve a change to electricity bills that will see a $24.15-per-month charge added to most customers' bills. According to KTLA, the decision, which was made by the California Public Utilities Commission on Thursday (May 9), has been met with criticism from those who believe it will negatively impact individuals who use less electricity.

The charge was initially approved by the state Legislature and signed into law by Governor Gavin Newsom as a budget revision in 2022. Lower-income individuals will be subject to lower monthly charges of $6 or $12. The fee is intended to be offset by lower rates for power used, about 5 to 7 cents per kilowatt hour.

The measure is supported by the state’s three largest power companies, Pacific Gas & Electric, Southern California Edison, and San Diego Gas & Electric. These companies argue that the changes will encourage people to replace appliances and vehicles that run on fossil fuels with those that operate on electricity from renewable sources.

However, critics argue that the fee will result in higher bills for those with smaller homes and apartments, which generally use less electricity, while benefiting wealthier individuals in larger homes.