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State regulatory agency denies SDG&E request to eliminate high usage charge

SAN DIEGO – Tens of thousands of San Diego Gas & Electric customers may continue to see a high usage charge on their bills after the California Public Utilities Commission denied SDG&E’s request to have the state-mandated charge eliminated or suspended. Last summer, more than 120,000 customers were impacted by the high use charge.

The high use charge was incorporated into SDG&E’s billing structure in late 2017 per state requirements to encourage energy conservation. Customers incur the charge after using high amounts of electricity – more than 400 percent of their baseline allowance – to power their homes. Last summer, as multiple heat waves hit, and customers began using more energy to cool their homes, many customers began to see their bills spike.

“Last summer was a challenge for our customers, particularly for people who experienced dramatic increases in their bills due, in part, to the high usage charge,” Scott Crider, SDG&E’s vice president of customer services, said. “We heard their concerns and took action to have the high use charge removed on their behalf, but unfortunately the CPUC did not approve our request.”

In the coming months, the company will pursue other bill relief options such as eliminating seasonal pricing changes. Under the seasonal pricing structure, higher electricity prices go into effect during the summer months from June to October. Eliminating seasonal pricing would require CPUC review and approval.

Residential customers can avoid the high use charge by enrolling in one of several time-of-use pricing plans which are not subject to the charge. More information about time-of-use plans can be found at http://www.sdge.com/whenmatters.

Submitted by San Diego Gas & Electric.

 

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