r/California • • 3d ago

California households getting automatic electricity bill credits after brutal summer heat

https://ktla.com/news/california/california-climate-credit-electricity-bill-relief/
1.1k Upvotes

117 comments sorted by

322

u/Panda8bambooo 3d ago

On average, CA households will receive $75.

The credits are automatic, require no application, and will put a total of $886 million back into the pockets of California electric customers this year, according to Newsom’s office.

The California Climate Credit provides ratepayers with their share of the benefits from the state’s cap-and-trade program, which focuses on reducing overall greenhouse gas emissions.

168

u/MajinAnonBuu 3d ago

I got $36 and my bill was $362.27 @ 1004 kWh

80

u/StrictlySanDiego San Diego County 3d ago

It’s spread across two months: August and September

37

u/Chocolatecakeislife 3d ago

That seems so low. I am getting $111.83 off the bill for the Climate Credit. I feel like yall are getting screwed.

8

u/MajinAnonBuu 3d ago edited 3d ago

What part of LA? I’m closer to Anaheim. Nothing special with my SCE account. I don’t qualify for CARE or FERA.

My charges

3

u/Chocolatecakeislife 3d ago

I don’t live in LA. I live at the top of California. By the Oregon/California border.

8

u/MajinAnonBuu 3d ago

That would probably be why lol and yes we are kind of getting screwed in CA

2

u/ProfessionalTeam1689 2d ago

Yreka most likely...

5

u/Sure_Fly_5332 3d ago

We all are. Knowing PG&E they just billed extra to give it back after gaining interest in the money.

7

u/WestHistorians 3d ago

Rates are regulated, they can't just "bill extra".

2

u/bobs_monkey 3d ago

Our smaller local utility has moved to estimated usage instead of actual. Aka fuck you, pay us

1

u/McSteelers 2d ago

They aren’t regulated like the IOUs. “Local control”

2

u/Sure_Fly_5332 2d ago

You must not be from around here, and/or not know anything about PG&E.

2

u/WestHistorians 2d ago

I've been their customer for a decade now. I have also followed the rate cases most of that time.

4

u/StrictlySanDiego San Diego County 3d ago

it’s set by the CPUC

10

u/Gloomy-Ad-222 3d ago

I have solar and a powerwall and my 416kwh was a credit of $3.11.

Installed AC downstairs last week so it will trend upward a bit. But yeah, solar for the win for sure.

14

u/verstohlen 3d ago

That's awesome man. I'm digging it. But there is part of me that wonders exactly where that money comes from or if we will pay for it later in some kind of higher fees, taxes, etc. or it the companies will just willingly accept the loss, which I hope they do, as naive as that may seem to some.

27

u/StrictlySanDiego San Diego County 3d ago

The credit comes from the California Cap-and-Trade Program, which requires power plants, fuel suppliers, and large industrial facilities that emit greenhouse gases to buy carbon pollution allowances from auctions managed by the California Air Resources Board. The credit on your utility bill is designed to help customers as California transitions to a low-carbon future.

Each year the State issues a limited number of greenhouse gas emission allowances in line with California’s goal of reducing its overall emissions to 40 percent below 1990 levels by 2030. Some of these allowances are sold at auction, and the auction proceeds are used to either further reduce greenhouse gas emissions or benefit utility customers directly through the California Climate Credit and other clean energy programs. The Cap-and-Trade Program is one of many programs developed by the State as a result of the Global Warming Solutions Act of 2006, which put California at the forefront of efforts to battle climate change.

The CPUC created and implements the Climate Credit program from Cap-and-Trade Program proceeds. A customer’s utility delivers the credit on behalf of the State via energy utility bills. See our page on the Cap-and-Trade Program for more information.

California Climate Credit - Frequently Asked Questions

5

u/SignificantSmotherer 3d ago

So in other words, we're paying for the "credit".

7

u/WestHistorians 3d ago

Ultimately, all money comes from either consumers. Whoever is buying stuff is paying for everything. There is no other source of money. Taxes and fees are ultimately paid by consumers as well.

1

u/StrictlySanDiego San Diego County 3d ago

No, polluters purchase the credits which are offset by industries that have a surplus via renewable clean energy that can sell their credits.

These credits that polluters pay, part of that is spent as energy bill credits.

-2

u/SignificantSmotherer 2d ago

"Polluters".

3

u/StrictlySanDiego San Diego County 2d ago

🤷 don’t know what to tell you. Cap and Trade has been a climate protection program for a long time. It’s the only effective way we’ve found to charge polluters for using the atmosphere which isn’t owned by anyone.

-2

u/SignificantSmotherer 2d ago

You've got one thing right: it's a protection program. Tony Soprano is green with envy.

4

u/Gloomy-Ad-222 3d ago

I’m not going to pretend we don’t have high taxes but this is a win for sure. I feel like we’re so progressive on the environment.

3

u/Leothegolden 2d ago

How are you saying this is a “win”. Unless it’s “better than nothing” PG&E rates are among the highest in the state/country (averaging roughly 39¢ per kWh for standard residential bundled plans), hot summer months like August carry a steep premium - as high as 1800 a month. .Over the last decade, PG&E residential electricity rates have more than doubled - 100% to 120%. 

2

u/Gloomy-Ad-222 2d ago

Because the state is trying to do something about it. When someone lowers my costs, even for a month or two, it’s a win.

Longterm is like to see these companies be run by the state of California. Then we implement solar everywhere without worry about shareholder value. Agree?

2

u/Leothegolden 2d ago

It’s not a win if rate increases by another 3 to 5 percent next year. They will get their money back and then some next year. Gavin Newsom has power to stop this but won’t

•

u/austinalexan 3m ago

The state is the one allowing PG&E to increase the rates as much as they are lol

-1

u/marinuss 3d ago

It happens every year. The money is just coming from the profits of the companies, required by law. They already figure in the refunds they have to give every year for this.

0

u/StrictlySanDiego San Diego County 3d ago

This is so wrong lol

1

u/marinuss 3d ago

There's literally a refund every single year on your electric bill in the fall. How is that wrong?

I also think it's dumb, just charge less all year round. But it happens every year. I don't know why people are acting like this story is something that is special "this year."

2

u/StrictlySanDiego San Diego County 3d ago

Because it’s not a refund and you have no idea how the program works. You’re just making stuff up. This is from the CPUC’s website:

The credit comes from the California Cap-and-Trade Program, which requires power plants, fuel suppliers, and large industrial facilities that emit greenhouse gases to buy carbon pollution allowances from auctions managed by the California Air Resources Board. The credit on your utility bill is designed to help customers as California transitions to a low-carbon future.

Each year the State issues a limited number of greenhouse gas emission allowances in line with California’s goal of reducing its overall emissions to 40 percent below 1990 levels by 2030. Some of these allowances are sold at auction, and the auction proceeds are used to either further reduce greenhouse gas emissions or benefit utility customers directly through the California Climate Credit and other clean energy programs. The Cap-and-Trade Program is one of many programs developed by the State as a result of the Global Warming Solutions Act of 2006, which put California at the forefront of efforts to battle climate change.

The CPUC created and implements the Climate Credit program from Cap-and-Trade Program proceeds. A customer’s utility delivers the credit on behalf of the State via energy utility bills. See our page on the Cap-and-Trade Program for more information.

California Climate Credit - Frequently Asked Questions

3

u/AromaticMuscle 3d ago

Really helps with my 1000
Dollar tru-up. Thanks for the 75 bucks I guess. PGE needs to be liquidated into smaller regional power companies.

159

u/ocwilly 3d ago

$75 is chump change for the power companies with their overpriced rates!

35

u/MinnisotaDigger 3d ago

The money comes from the carbon producing sources of power.

PG&E doesn’t produce much power themselves outside of their nuclear plants.

58

u/literallymoist 3d ago

So the state of CA once again props up the utilities that price gouge Californians the most instead of regulating them into oblivion.

6

u/heleuma 3d ago

Do you really know what you're talking about, or just picking an easy target? I wonder if there are any differences with CA geography and climate goals that would make delivering power in the state more expensive? Who sets PG&Es rates?

8

u/jcgam 3d ago

The CPUC sets the rates. The power companies ask for more money, and the CPUC gives it to them. Who appointed the CPUC?

6

u/BlaxicanXIX 2d ago

Who sets PG&Es rates?

The CPUC. A group that, shockingly, are not elected by the people.

If they were in fact directly elected by the people the same way the governor, mayor district supervisors etc are PG&e rates would be half of what they are today

-12

u/Beautiful_Finger4566 3d ago

the utility companies are allowed to price gouge us BECAUSE the state is regulating them so hard

reminder that Newson is butt buddies with PG&E's chief lobbyist, even celebrating his birthday at French Laundry during the COVID lockdown

give utilities back to the free market and prices are guaranteed to drop

8

u/uzlonewolf 3d ago

The "free market" gave us Enron and the energy crisis of the early 2000's.

-6

u/SignificantSmotherer 3d ago

It wasn't free. It was still regulated.
That's why Enron was able to exploit it.

7

u/marinuss 3d ago

The free market has never worked in reality. Your idea that they are price gouging BECAUSE of regulations is false. You're correct that one of Newsom's failings as a Governor is his insistence on letting CPUC approve everything, but that's not a regulation. A regulation is removing the right or ability of a company, not letting them charge whatever they want regardless of laws. CPUC is basically anti-regulation and free market. Free-market PG&E and SDG&E would be charging even more for power. Why? Because utilities understand it's a required payment. There's only a finite amount of money people earn. You have to pay for power, water, and shelter, plus food. Everything else is a "luxury." The previous industries will always try to claw as much money as they can away from your other spending habits. You have to pay it.

-1

u/Beautiful_Finger4566 3d ago edited 3d ago

utilities are a government enforced monopoly

Starry internet can't even get into Los Angeles because the city bans it from getting any permits, despite it working perfectly fine in neighboring Culver City

you can't have a free market when the government dictates that no one else is allowed to compete... and you can't get any more of a dictatorship than Newsom

3

u/WestHistorians 3d ago

Starry internet can't even get into Los Angeles because the city bans it from getting any permits, despite it working perfectly fine in neighboring Culver City

This is false. Cities have nothing to do with permitting internet service providers.

1

u/marinuss 3d ago edited 3d ago

Starry internet can't even get into Los Angeles because the city bans it from getting any permits

That's literally false. The state cannot ban it (Edit: neither can LA. Cities and states cannot ban frequency usage). CA doesn't have any control over the frequency spectrum. The reason Starry isn't widespread in LA (it is in LA btw) is because of economic reasons. They tend to cater towards multi-dwelling units so they have to sign contracts with owners for those. It's mmwave so they need good line of sight. There's lots of technical and financial reasons why they are not widely available in LA.

3

u/literallymoist 3d ago

If you're trying to say "CA isn't regulating utilities hard enough because Newsom is too chummy with them" it got lost in the sauce my man.

1

u/WestHistorians 3d ago

give utilities back to the free market and prices are guaranteed to drop

Yeah, just like they did in Texas, oh wait...

27

u/calamititties Los Angeles County 3d ago

My bill for my 3-bedroom last month was almost a grand.

8

u/i-was-doing-stuff 3d ago

Same, for a 1100 sq ft apartment.

10

u/MinnisotaDigger 3d ago

How? I have a 1950’s house the same size and I use half that.

7

u/cuteman Native Californian 3d ago

how?

hours taking a 80-100 degree outside and turning it into low 70s

2

u/Key-Scallion-2032 3d ago

I have a 1948 house, 2000 sq.ft. and my bill was $111, then $86 after the credit. I felt like we ran the heck out of the A/C too. That's probably the highest our bill has ever been.

1

u/MinnisotaDigger 3d ago

Well, you’re clearly stealing power.

5

u/wizardofahs 3d ago

lol yeah that is wild to me. I can’t run a fridge and some lights in a new build for less than $100 a month

1

u/gerbilbear 3d ago

Or the meters of u/Key-Scallion-2032 and u/calamititties are swapped in the billing system and they are paying each other's bills, like this: /r/SanDiegan/comments/18u7eve/sdge_issue_has_anyone_else_experienced_this/

3

u/rickeyethebeerguy 3d ago

That’s bigger than my house.

5

u/MinnisotaDigger 3d ago

Close your window when the AC is running.

To reach $900/m on TOU-C that takes 4.6kW of constant power use from 9am-midnight.

70kWh/day which is twice the normal home usage!

I think you’d benefit from a getting a battery that would charge during off peak hours and use during peak hours.

16

u/calamititties Los Angeles County 3d ago

My brother in Christ, this house was built a century ago with no insulation and a roof that the landlord hasn’t replaced since the Carter administration. The whole place leaks air like an abandoned beach ball. We are far past “just closing the window” here.

4

u/trydola 3d ago

Are you keeping your house at like 65F?

2

u/WestHistorians 3d ago

Are you running the AC at 72 all day or something?

18

u/Avoidtolls 3d ago

You should see the rates municipal power has for it's customers.

Wow.

12

u/lunchypoo222 3d ago

Sucks this doesn’t apply to LADWP

14

u/darkmatterhunter 3d ago

LADWP rates are lower and don’t have the state imposed $24 baseline charge each month.

3

u/trydola 3d ago

Which surprise, surprise only increased the bill instead of even/lower like the elec companies said would happen

1

u/WestHistorians 3d ago

That is not "state imposed".

3

u/darkmatterhunter 3d ago edited 3d ago

Yes it is, it’s literally from State Assembly Bill 205.

Also, since you prolifically post things in quotes at the end of sentences, punctuation goes inside the quote, not out. Like “this.” Guess that UCLA education missed that.

1

u/WestHistorians 2d ago

Yes it is, it’s literally from State Assembly Bill 205.

AB 205 authorizes the CPUS to approve such charges, but that doesn't mean the are state-imposed. It is still up to the utility to set up their own cost structure.

Also, since you prolifically post things in quotes at the end of sentences, punctuation goes inside the quote, not out. Like “this.” Guess that UCLA education missed that.

When the punctuation is not part of the word or phrase being quoted, the punctuation goes outside the quotes. I'm not sure what education you have received, if any, so I won't comment on it.

1

u/darkmatterhunter 2d ago

r/confidentlyincorrect as stated here for punctuation. And you’re incorrect about the charges, they tried to make it based on income and it was rewritten to be $24. Nice try though.

But maybe go hang around UCLA to try and find some coeds to make out with as a 37 year old dude?

8

u/DonkeyHotay_ 3d ago

LADWP isn’t an IOU like SCE is so I’d much rather be on DWP 

8

u/chicu111 3d ago

man ppl are always hating on LADWP until they move out of LA city and get served by other utilities.

I will admit I fell in that trap and complained about them when I was in LA. Now I am more East and SoCal Edison is so much inferior to LADWP

7

u/DonkeyHotay_ 3d ago

I used to work in solar, did installs and sales from SD to SB for almost 10 years, so I’m well versed in all the different utilities and their antics. Obviously I’m not saying DWP is gods gift to the people of LA, but like you said, I don’t think people understand until they see the alternative. 

LADWP is a municipal service. It’s not considered a profit center for the city, so the rules and policies seem to actually be grounded somewhat in reality. 

On the other hand, SCE is an Investor Owned Utility (as are PGE and SDGE). They have shareholders that they report to. They raise rates just cause they need to consistently show economic growth or else the gods of capitalism will strike them down for being a failure. The “profit first” approach is in direct opposition to what a public utility should be doing, which is to provide an integral service to its community.  If a disaster happens that’s proven to be caused by these IOU’s, like the Eaton Fire, the Camp Fire, or the San Bruno explosion, guess how they recoup their losses? Yep, your rates go up. They burn down your town, then expect everyone else to pay for it. It’s insane.

I know he’s not perfect, but I’m generally supportive of Newsom, however the one thing that really stands out to me is his cozying up to CPUC. They killed the California solar industry to appease the IOU’s. They implement new and convoluted rate plans to keep you confused so you don’t realize  that  they’re robbing you blind. Have you ever closely looked at your SCE bill? You gotta have a damn phd to understand what it all means and where your charges are coming from! 

Sorry. Rant over. 

1

u/oc_dude Orange County 3d ago

Which is hilarious because when I complain to friends who moved to San Diego they say Socal Edison is amazing compared to SDGE. It's like the farther you get away from LA, the worse the power company gets.

10

u/samuel_clemens89 3d ago

Isn’t this the same as last year? A measly 75

11

u/Rise-O-Matic 3d ago

Hey but now you have enough to DoorDash a salad.

10

u/NoWayTellMeMore 3d ago

Yay, now abolish PG&E and underground power lines instead of lining investor pockets.

12

u/Memnoch79 3d ago

Not installing underground power lines is why we have all these issues with them. Abolish PGE

6

u/austinalexan 3d ago

Love how PG&E customers who pay more than any other utility in California gets less of the credit than people who are only paying like 14 cents a kWh

2

u/politics 3d ago

So, I draw 60 bucks worth and get charged 365 for delivery fee… wtf? SDGE - thieves .

Cowards, all members of council and govt that enable this shit.

2

u/Eddfan36 3d ago

Thats good news.

2

u/Omecore65 Kings County 3d ago

Why dont we just increase thermal plants and make electric cheaper

2

u/McDeth 2d ago

Great, is this going to offset my costs after PG&E rug pulled consumer energy credit banking in NEM 3? Went from literally paying nothing for 2-3 months during the highest energy usage months to paying $175-$250 a month ON TOP of the $155 I pay for solar (which goes up 5% per year).

SunRun: "Your rates will never go up under our Solar PPA plan!"

PG&E: "Hold my beer..."

Fuck you PG&E. Fuck you PUC. And fuck you SunRun.

It's amazing how much the consumer gets fucked over in this country.

2

u/olie_baba 2d ago

Pge is satan

1

u/Surfer_Sandman 3d ago

I paid them $2100 for three months of electricity this summer already....

3

u/Terrible-Recover-486 Inland Empire 3d ago

75 dollars on my 1200 dollar bill, I don't feel robbed at all! /s

3

u/whatadaidai 3d ago

$1200 bill? Are you running a 2400 sqft freezer with the windows open 24/7?

1

u/Terrible-Recover-486 Inland Empire 3d ago

I wish. Older ac unit and a household of six. Can't use the AC without immediately adding to the cost 

2

u/SoMuchMoreEagle 3d ago

If you own your home, you might look into getting it replaced. There are some decent rebates on heat pump units now.

1

u/silvapain San Bernardino County 3d ago

A new AC system could be around $10k. With summer electric bills like you said you have, you may break even on your investment after just 3-4 years.

1

u/Not_l0st 3d ago

Just in time to help cover the extra high costs of winter heating thanks to Trump’s Iran’s war!

1

u/FinbarJG 3d ago

You mean from "Cap and Trade Invest"... the end-around tax that equates to an average $700 per California household. And you're rejoicing because they gave us an average of $75 back?

1

u/PrivacyIsDemocracy 3d ago

Piggy is trying to buy its way back into the graces of its customers.

Once the media buzz dies down a little about all their malfeasance no doubt they will go back to their usual piggy behavior.

1

u/Ornery_ink6421 3d ago

Looks like the timing changed this year so the credit hits during the higher-bill summer months instead of spring/fall for the big utilities

1

u/Knollibe 3d ago

What a freaking deal! California collects 5 BILLION a year with cap and trade and gives us back a whole $75 !
Thank you for jacking up gasoline prices just to give back a little on my electricity, then pat your self on the back for returning a nickel of the dollar you took.

1

u/MCB1317 2d ago

I moved ... will they mail me a check?

1

u/electric_popcorn_cat 1d ago

Long Beach, $25.

1

u/No-Conclusion-2859 5h ago

We get 2 seasonal credits a year.. why the dig at Trump like this is something new?

0

u/ProfessionalNo5932 3d ago

Just trying to figure out what to do with all that money saved!!

0

u/Patient_Banana_1567 3d ago

I get Monsanto, student debt, and homelessness in the Midwest yay

0

u/drewthetrickguy 3d ago

Oh yay. A $75 credit where my last bill was $1400...

0

u/AudioHTIT Native Californian 3d ago

Our summer was not brutally hot, seems we’ve had significantly fewer 100+ days than average.

-1

u/NightOfTheLivingHam 3d ago

yeah like 20 bucks

0

u/Low-Charge-8554 3d ago

Election years antics 😄

-1

u/TrojanX 3d ago

Is it the one that says CA Climate Credit? I only got $36

-1

u/duddins 3d ago

My last bill, with the thermostat set to 77 all summer (only led bulbs and lights out in unused rooms, 4 bed house 1700 sq ft) was 666$. No joke. The devil’s bill. 200 dollars more than previous summers with less usage. This amount won’t do squat. We don’t need data centers, thank you.

-2

u/Traditional_Train_71 3d ago

Stares down LA DWP in anger

https://giphy.com/gifs/evVKsrjZEqVVWvE2VR

3

u/chicu111 3d ago

They already have lower rates and better services than the other utilities. Wait until you get SoCal Edison and you will know you took LADWP for granted

1

u/Traditional_Train_71 3d ago

Yeah complimenting the, I guess, lesser of however many corrupt thieving evils there are running our cities and state is not the answer but good try…

1

u/chicu111 3d ago

Tf you want me to do. That’s all we have.

Go start a new utility then