San Diego Electric Rate Hike Up To 39%

The San Diego utility announced that customers will see a noticeable increase in their home energy bill beginning in September, 2013. The average customer, using 500 kWh (kilowatt hours) monthly, will experience a rate increase. For the 3000 kWh usage customers, rate increases may be as high as 39% or more than $300 per month.

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The SDG&E Rate Increase

According to SDG&E, energy prices are increasing due to environmental costs, enhancements to the SDG&E electric distribution system, and additional adjustments due to the delay in last year’s general rate increase.

About 25 percent of SDG&E customers, those in Tiers 3 and 4, will see their rates increase. SDG&E rates are divided into four “tiers” or cost levels based on usage. A typical SDG&E residential customer uses about 500 kWh per month. If you use less electricity, you’re probably a Tier 1 or Tier 2 customer, and you won’t see a big impact. The more you use, the greater the bill impact because the cost-per-kWh is much higher in Tiers 3 and 4.


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