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Some Californians to get average of $146.00 in credits on their April utility bills because of state's climate program

California will provide a total of $2.7 billion in utility bill credits through the State’s Cap-and-Trade Program that funds critical climate action


By ONME Newswire


SACRAMENTO, Calif., – Last week, Governor Gavin Newsom announced millions of Californians will receive an average of $146 in credits on their April gas and electric bills.

The California Climate Credit – automatically applied to Californians’ bills every April and October – is a direct result of the state’s nation-leading Cap-and-Trade climate program that requires polluters to pay for climate action.


The California Climate Credit is a direct outcome of the state’s Cap-and-Trade Program which requires utilities, fuel providers, and large industrial facilities that emit greenhouse gases to buy carbon pollution allowances. The generated proceeds not only fund the California Climate Credit but also contribute to diverse initiatives aimed at pollution reduction, job growth, and the advancement of cleaner energy and transportation solutions.

The California Climate Credit is from the outcome of the landmark Global Warming Solutions Act of 2006 (Assembly Bill 32). The visionary law placed California at the forefront of the battle against climate change by setting the ambitious goal of reducing greenhouse gas emissions to 1990 levels by 2020.


Since 2014, California households have already received an average of $971 in combined automatic April and October climate credits on their utility bills, totaling more than $14 billion statewide.


On average, California residents spend about $273 per month on electricity. That adds up to $3,276 per year, according to EnergySage.

That’s 33% higher than the national average electric bill of $2,455. The average electric rates in California cost 33 ¢/kilowatt-hour (kWh); the average electricity customer in California is using 836 kWh of electricity per month, and 10,032 kWh over the course of the year.


 

“Every year, California’s nation-leading climate laws deliver real climate action while giving you money back on your utility bills.


This relief will support millions of California families.”

Governor Gavin Newsom

 

California will provide a total of $2.7 billion in credits – $1.6 billion for electric customers, $1 billion for natural gas customers, and $160 million for small businesses.

The credits range from $32 to $175 for electricity bills – with most set to receive $55 to $86 – and approximately $58 to $86 on natural gas bills for residential customers of PG&E, Southern California Edison, San Diego Gas & Electric, Southern California Gas Company, Bear Valley, Liberty, PacifiCorp, and Southwest Gas. Californians can check how much their credit will be here.


Californians do not need to do anything to get the credit. The California Climate Credit comes from the State’s Cap-and-Trade Program managed by the California Air Resources Board. The credit on utility bills represents the consumer’s share of the payments from the State’s program.


In California, low-income utility customers already can opt into two state programs titled the California Alternate Rates for Energy (CARE) and the Family Electric Rate Assistance Program (FERA).

Low-income customers who are enrolled in the CARE program receive a 30-35% discount on their electric bill and a 20% discount on their natural gas bill and FERA customers receive an 18% discount on their electricity bill.


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