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Notice of Pacific Gas and Electric Company’s request to change rates for its power charge indifference adjustment trigger application (A.20-09-014)
Why am I receiving this notice?
On September 28, 2020, PG&E filed its Power Charge Indifference Adjustment (PCIA) Trigger Application with the California Public Utilities Commission (CPUC). The application requests that the Commission authorize a $253 million refund to bundled service customers who receive their electric generation, transmission and distribution services from PG&E, and a corresponding increase in the PCIA charge for customers that receive electric generation service from a third party and electric transmission and distribution services from PG&E.
If PG&E’s application is approved, PG&E will collect $253 million in rates from customers who receive electric generation service from a third party beginning in January 2021 and will simultaneously refund $253 million in rates to bundled customers.
Why is PG&E requesting this rate increase?
The PCIA is a charge paid by most customers enrolled in a third-party electric generation service provider, such as a Community Choice Aggregator (CCA) or Direct Access (DA) provider. The PCIA is a charge to recover certain costs for energy purchases prior to a customer’s switch to a third-party provider. In 2019, the PCIA undercollection balancing account (PUBA) was established to track the undercollection of the PCIA rate compared to the entire forecasted PCIA revenues. If the undercollection in PUBA exceeds a threshold, then PG&E is required to file an application to recover the undercollection in a timely manner.
PG&E is proposing to spread the increase for third-party customers over a 12-month period beginning in January 2021 to minimize the rate impact on those customers.
How could this affect my monthly electric rates?
Detailed rate information will be sent directly to customers in a direct mailer in October.
Based on rates currently in effect, the bill for a typical residential customer receiving bundled electric service and using 500 kWh per month would decrease from $127.40 to $123.64, or -3.0%.
Direct Access and Community Choice Aggregation customers only receive electric transmission and distribution services from PG&E. On average, these customers would see an increase of 4.0%.
Another category of nonbundled customers is Departing Load. These customers do not receive electric generation, transmission or distribution services from PG&E. However, these customers are required to pay certain charges by law or CPUC decision. On average, these customers would see a decrease of -0.6%.
Actual impacts will vary depending on usage and are subject to CPUC regulatory approval.
How does the rest of this process work?
This application will be assigned to a CPUC Administrative Law Judge who will consider proposals and evidence presented during the formal hearing process. The Administrative Law Judge will issue a proposed decision that may adopt PG&E’s application, modify it, or deny it. Any CPUC Commissioner may sponsor an alternate decision with a different outcome. The proposed decision, and any alternate decisions, will be discussed and voted upon by the CPUC Commissioners at a public CPUC Voting Meeting.
Parties to the proceeding are currently reviewing PG&E’s application, including the Public Advocates Office, which is an independent consumer advocate within the CPUC that represents customers to obtain the lowest possible rate for service consistent with reliable and safe service levels. For more information, please call
1-415-703-1584, email [email protected], or visit PublicAdvocates.cpuc.ca.gov.
Your participation by providing your thoughts on PG&E’s request can help the CPUC make an informed decision.
Where can I get more information?
If you have questions about PG&E’s filing, please contact PG&E at 1-800-743-5000.
For TTY, call 1-800-652-4712.
If you would like a copy of the filing and exhibits, please write to the address below:
Pacific Gas and Electric Company
PCIA Trigger Application (A.20-09-014)
P.O. Box 7442
San Francisco, CA 94120
Please visit cpuc.ca.gov/A2009014Comment to submit a comment about this proceeding on the CPUC Docket Card. Here you can also view documents and other public comments related to this proceeding.
If you have questions about CPUC processes, you may contact the CPUC’s Public Advisor’s Office at:
Email: [email protected]
Public Advisor’s Office
505 Van Ness Avenue
San Francisco, CA 94102
Call: 1-866-849-8390 (toll-free) or 1-415-703-2074
For TTY, call 1-866-836-7825 (toll-free)
Please reference PCIA Trigger Application A.20-09-014 in any communications you have with the CPUC regarding this matter.