PG&E seeking another rate hike, this one for Diablo Canyon - Cal Coast News
PG&E seeking another rate hike, this one for Diablo Canyon
December 24, 2023
By KAREN VELIE
In response to regulators permitting Diablo Canyon nuclear plant in Avila Beach to continue producing energy through 2030, PG&E has provided notice it will need to raise rates for the third time in less than two years.
In November, the California Public Utilities Commission approved a proposed $13.8 billion rate hike. That approval is in addition to a $2 billion rate increase starting in March.
PG&E recently asked regulators to keep the Diablo Canyon Employee Retention program active, which would mean a third rate hike.
After agreeing to shut down the nuclear power plant in 2025, PG&E received backing from both federal and state officials earlier this year to extend the operating life of Diablo Canyon through 2030, with a goal of providing Californians electric reliability. The nuclear plant provides nearly 10 percent of California’s electric power.
Related Knowledge Center: ENERGY BASICS: nuclear
Nuclear energy provides almost 20 percent of the U.S. electricity supply. Advocates have called for an expanded role for nuclear as an emissions-free fuel source. But the economics of building new reactors are daunting. In addition, lingering safety concerns are an institutionalized part of the calculation of nuclear regulation, and highly radioactive nuclear waste remains a can that public officials have been inclined to kick down the road. The Energy Information Administration projects a sharp decline in nuclear power generation over the next decade, as new nuclear plants — two are planned — are more than offset by anticipated retirements of several operating reactors.