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NOTICE OF PACIFIC GAS AND ELECTRIC COMPANY’S REQUEST FOR THE RECOVERY OF ENERGY PURCHASES AND TO ADJUST ELECTRIC RATES FOR 2022 (A.21-06-001)
Why am I receiving this notice?
On June 1, 2021, PG&E filed its 2022 Energy Resource Recovery Account (ERRA) Forecast application with the California Public Utilities Commission (CPUC) requesting approval to change rates for the following:
- Recovery of $2.3 billion in costs related to fuel needed to produce electricity as well as buying energy from third parties to serve bundled customer loads that are included in ERRA.
- Setting certain charges for bundled and departing load customers for the recovery of the above-market portion of PG&E’s portfolio that are included in the Power Charge Indifference Adjustment (PCIA), Ongoing Competition Transition Charge (CTC), Cost Allocation Mechanism (CAM), and Public Purpose Program (PPP) rate.
As part of this application, PG&E customers will also receive the California Climate Credit. The credit will be applied twice a year, in April 2022 and October 2022, for residential and small business electric customers, and once a year, in April 2022, for residential gas customers.
Why is PG&E requesting this rate change?
The ERRA is used to record fuel and purchased power costs that can be recovered in customer rates. While this may result in a change in rates, PG&E recovers these costs with no markup for return or profit. The purpose of this application is to forecast costs of obtaining energy for customers and also to approve the amount to be returned to customers from the sale of greenhouse gas emission allowances for the calendar year of 2022.
If the CPUC approves this application, PG&E will begin to recover its costs in electric rates effective January 1, 2022. At the end of 2022, PG&E will compare actual costs to the amounts forecasted in this application and will incorporate any differences in next year’s application.
How could this affect my monthly electric rates?
Many customers receive bundled electric service from PG&E, meaning they receive electric generation, transmission and distribution services.
Based on rates currently in effect, the bill for a typical nonCARE bundled residential customer using 500 kWh per month would increase from $138.86 to $141.39, or 1.8%.
Direct Access (DA) and Community Choice Aggregation (CCA) customers only receive electric transmission and distribution services from PG&E. These customers also receive the benefit of the California Climate Credit. In addition, eligible nonresidential DA and CCA customers receive the benefit of the greenhouse gas allowance returns. On average, these customers would see a decrease of 9.6%.
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 an increase of 1.7%.
Actual impacts will vary depending on energy usage.
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 about the Public Advocates Office, please call 1-415-703-1584, email [email protected], or visit PublicAdvocates.cpuc.ca.gov.
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
2022 ERRA Forecast Application (A.21-06-001)
P.O. Box 7442
San Francisco, CA 94120
Please visit apps.cpuc.ca.gov/c/A2106001 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. Your participation by providing your thoughts on PG&E’s request can help the CPUC make an informed decision.
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 2022 ERRA Forecast Application (A.21-06-001) in any communications you have with the CPUC regarding this matter.