Tag Archives: sdg&e rate increase

SDG&E Warns Rates Will Be Rising

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San Diego Gas & Electric is warning heavy users of home electricity that their utility bill will increase disproportionately at the end of August.

SDG&E recently was granted a 7.6 percent revenue increase. The change is retroactive to the start of 2012, so many bills will rise even more to catch up.

Most customers won’t see much of a change. Those who use significantly more than the average household — one-quarter of customers in San Diego and southern Orange counties — can prepare to pay a lot more, by SDG&E’s estimate.

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The utility is distributing advisories to those customers on measures they can take to conserve power and otherwise prepare for the changes.

Under a complex rate formula, a coastal customer using 400 kilowatt hours of electricity can expect to see their bill increase by $5 to $91, while an 800-kilowatt customer would see an increase of $56 to $255. Prices vary, depending on what climate zone a consumer lives in — coastal, inland, mountain or desert.

The average utility customer uses about 500 kilowatt hours per month.

Before the new rate increase, SDG&E’s residential rates led the state among major investor-owned utilities and major municipal utilities such as Los Angeles Department of Water & Power and the Imperial Irrigation District, according to the Energy Information Administration, a statistical arm of the Energy Department. California ranks ninth in the U.S. for residential electricity prices.

Days may be numbered for the state’s current rate structure, under which the price per kilowatt hour can double as the customer uses more power in any given month.

Read more at: http://www.utsandiego.com/news/2013/jul/02/tp-big-electricity-users-get-walloped-on-bills/

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SDG&E Rate Increase Approved; Bills To Go Up 11%

Utility bills will rise in September with approval Thursday of a four-year rate increase totaling more than $500 million for customers of San Diego Gas & Electric Co.

A typical household will see monthly gas and electric bills rise about 11 percent to $132.02, up from $118.52, according to the California Public Utilities Commission.

Does energy efficiency add value to your home?  Contact the appraisers at www.scappraisals.com for your value questions.

The company was granted a 7.6 percent revenue increase starting in 2012. The hike will be collected retroactively, so many bills will rise by more than that percentage to catch up.

By a 5-0 vote, the utilities commission authorized an initial annual revenue increase for the utility company of $123 million, for a new total of $1.73 billion, for 2012. Subsequent annual increases of nearly 3 percent will be tied to the urban Consumer Price Index.

SDG&E had asked for an additional $116 million increase in the first year, so the company did not get the full amount it was seeking.

The rate increase will vary for gas and electric portions of the bill.

On the electric side, a typical customer will experience an increase of $9.95 per month, or 12.2 percent, according to the utilities commission. The natural gas portion of a typical bill will rise $3.55, or 9.6 percent. The estimates are for customers consuming 500 kilowatt hours and 33 therms of gas a month.

“Rates currently in effect, before this decision, were in fact lower than they otherwise would have been,” said Commissioner Mark Ferron, the one commissioner to oversee nearly three years of hearings and deliberations on the rate increase. “As new rates catch up to the higher revenue requirement, this magnifies the one-time impact.”

SDG&E, which serves 1.4 million electric and 845,000 gas customers in San Diego and southern Orange counties, argued its costs are being driven up by safety and reliability needs, new electric grid technologies, expanded environmental regulations and higher insurance costs for wildfire liability and employee health care.

As the utilities commission met Thursday in San Francisco, the only public comment came from an AARP representative who said the size of the increase was unwarranted, though consumer advocacy groups have spent years contesting SDG&E requests.

read more at: http://www.utsandiego.com/news/2013/may/10/tp-sdge-rate-increase-approved-bills-to-go-up-11/all/?print

Disclaimer: for information and entertainment purposes only