California regulators radically revamped the way electricity rates work in the state, approving changes Friday that will raise monthly utility bills for the most energy-efficient homeowners while giving many bigger energy users a break.
The California Public Utilities Commission voted unanimously to narrow the gap between prices paid by people who use very little electricity and those who consume more. Over time, that gap has grown so wide that the most efficient Californians now pay less for electricity than the utilities spend supplying it to them.
California has long charged utility customers higher prices for using large amounts of electricity as a way to encourage conservation. And while the commission’s vote will benefit many homeowners who use more than average, the biggest energy “hogs” now will face a new penalty, a “super-user electric surcharge” designed to prod them to conserve.
In addition, most residential customers will soon pay different prices for electricity use at different times of day, with the highest prices likely hitting in the afternoon. The move, long studied by California officials, could reduce the strain on the state’s power grid when electricity demand reaches its daily, late-afternoon peak.
Shifting some electricity use to mid-day or the evening, in turn, could help the state integrate more solar and wind power into the energy mix. Solar power plants hit their maximum output just after noon, while California’s wind farms generate most of their electricity at night.
“The electricity industry is changing fast, and utility rates haven’t kept up with it,” said commission President Michael Picker. He said Friday that the utility commission needed to “make sure rates are reasonable and fair to all California utility customers.”
The changes will be phased in by 2019. They affect customers of Pacific Gas and Electric Co., Southern California Edison and San Diego Gas & Electric Co. — not the customers of municipal utilities such as those serving Sacramento or Los Angeles.
“We’re committed to helping our customers and their families understand the changes and the best ways they can be energy efficient and save money,” said Greg Snapper, spokesman for PG&E.
No comments:
Post a Comment