November 14, 2023
Dear California Public Utilities Commission (CPUC),
The California Energy Commission seeks to implement and adopt standards and policies regarding income-graduated fixed charges on electric utility bills based on an individual’s income level. The CPUC needs to focus on the priorities of aligning energy demand and supply within a reliable grid that benefits the 11 million customers of the three largest utility providers instead of policies damaging customer relations. Policymakers would be well served by finding ways to lower energy costs for everyone, especially those who are investing in their own sustainable energy.
The income-graduated fixed charges are not the answer. California has set lofty climate action policies aiming to reduce greenhouse gas emissions, which all believe to be responsible action. However, this proposed policy takes direct aim at all the environmentally conscious consumers who are motivated to conserve, buy electric cars, and switch to solar power to conserve these valuable resources. The solution is not to pursue a strategy to drive up costs or to discourage consumers from making sustainable choices but find ways to encourage sustainable practices and invest in grid reliability by the for-profit utility companies.
Consumer rights are also being violated with tax income verification policies. Looking into customers’ income tax records to charge them monthly fees they can’t avoid, no matter how frugal they are with electricity use or how much they invest in rooftop solar, and batteries is not the solution for customers who have seen rates climb every year. The administrative burden and cost to produce valid tax data would be an additional administrative nightmare for utility companies and consumers. These logistics and procedures need to be sorted out before implementing any such policy, which to date has not been demonstrated.
Lastly, the adoption of income-based fixed fees would not increase or reduce the total amount of money that California’s big three utilities collect from their customers. It does not solve the issue of the utility companies not investing in grid safety and reliability. Income-graduated fixed charges will only disenfranchise customers from becoming responsible energy consumers, making achieving lofty climate actions that much harder.
The San Marcos City Council respectfully requests that the California Public Utilities Commission not approve the proposed rate structure changes, and that it instead seek out a sustainable balance between energy supply and demand that is equitable for all Californians.
Thank you for your time and consideration.
Mayor Rebecca Jones
2 City Council
[email protected]