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Statement from Solar and Storage Industry Regarding Introduction of Fixed Charges on California Electric Bills - SolarQuarter

SolarQuarter · last updated

Statement from Solar and Storage Industry Regarding Introduction of Fixed Charges on California Electric Bills - SolarQuarter

The California Public Utilities Commission (CPUC) has approved regulations mandating new monthly fixed charges on electricity bills for residents. Those eligible for the California Alternate Rates for Energy (CARE) and Family Electric Rate Assistance (FERA) programs will face $6 and $12 monthly charges, respectively, while all other customers will pay $24.15 monthly.

Stephanie Doyle, California state affairs director for the Solar Energy Industries Association (SEIA),said,

“While the final charges are lower than what investor-owned utilities wanted, these are still new costs coming out of the pockets of California families that are already struggling with the high cost of living in the state. Any future changes to the fixed charges must thoroughly consider the impact to rooftop solar and storage adoption and electrification measures that are critical to meeting the state’s climate goals. It’s clear that there are better ways to reduce California’s extremely high utility rates and encourage electrification, and SEIA will continue to push for those policies going forward.”

Related Knowledge Center: ENERGY BASICS: electricity

State of Play

Electricity is a secondary energy source: it is generated through the conversion of primary energy sources such as natural gas, coal, solar, hydropower, and wind. Electricity’s versatility is not cost-free: a substantial amount of energy is lost in its generation and the cost of storage is high, compared with fuels such as coal, oil and natural gas. The economics of battery technology hold the key to expanded use of renewable sources to generate electricity.

More informationabout ENERGY BASICS: electricity