Californians are expressing anger over projected substantial increases in utility charges from Pacific Gas & Electric (PG&E), with a watchdog group forecasting that customer fees could rise by hundreds of dollars annually by 2030. The California Public Utilities Commission’s Public Advocates Office estimates that the average customer could see their bills increase by as much as $840 per year within the next six years.
This projection suggests a potential price hike of 24.56% for households over the next four years, a forecast that contrasts with statements from PG&E CEO Patti Poppe, who had previously suggested bills would remain flat. The current average monthly cost for gas and electricity for PG&E’s 16 million customers is approximately $285, marking an 84% increase since 2016.
The warnings have intensified concerns among consumers already grappling with high utility costs in the state. Sally Hammons, a Bay Area resident, reported paying nearly $9,000 annually for her gas and electricity, an average of $727 per month. She noted that her bills, even without significant use of heating or air conditioning, have ranged from $433 to $1,119 monthly. Her small business also faces high utility costs, with recent bills for lighting and computers averaging between $563 and $629. Hammons criticized the utility's pricing structure, which includes separate charges for electricity generation and delivery, with the delivery component sometimes being triple the generation cost.
The Public Advocates Office estimates that a typical household's bill could climb by $444 in 2027 alone, with cumulative annual increases potentially reaching around $840 by 2030. These projected increases would surpass the average $443 rise households experienced in 2024.
PG&E has disputed these estimates, with spokesman Mike Gazda stating that the Public Advocates Office used "simple math" and did not account for factors like expiring wildfire costs and cost-control initiatives. Gazda asserted that the utility has consistently proven critics wrong regarding rate increases. PG&E projects a more modest increase of about $128 for average residential customers with both gas and electric service next year, followed by annual increases of $119 in 2028, $126 in 2029, and $133 in 2030.
In response to rising costs, some Californians have invested in alternative energy solutions. Rebecca Rangel of Fresno spent approximately $21,000 to install solar panels and a backup battery system. Despite having solar power, she still receives monthly PG&E bills ranging from $200 to $300. Rangel expressed frustration, calling PG&E "hustlers" and highlighting the lack of competition in the energy market. Before switching to solar, her 1,000-square-foot home cost over $400 a month to power, leading to constant frustration, especially during hot summer months when air conditioning use is essential.
The California Public Utilities Commission is expected to make significant decisions regarding new rates starting in 2027. PG&E has been contacted for further comment.