Come Friday, Pacific Gas and Electric Co. customers will receive an unwelcome New Year’s gift — higher prices for electricity and natural gas.
PG&E’s average monthly bill for residential customers in 2016 will jump 7 percent to $147.21, the utility reported Wednesday.
For electricity, the typical homeowner using 500 kilowatt-hours per month will pay $97.14, up from $89.56 in 2015.
The average residential customer will pay $48.10 per month for natural gas, compared with $50.07 this year.
A typical small business can expect combined monthly bills for electricity and gas service to rise 5.1 percent, to $268.15.
The changes follow a decision by the California Public Utilities Commission in 2014 to let PG&E collect an extra $2.37 billion in revenue from its customers over three years, from the start of 2014 through the end of 2016.
The additional money will pay for maintenance and upgrades to PG&E’s sprawling electricity grid and natural gas pipeline network, both of which span most of Northern and Central California.
The increases will not pay for any penalties related to the deadly 2010 San Bruno pipeline explosion, said company spokesman Greg Snapper.
While acknowledging the rise in monthly bills, PG&E on Wednesday urged its customers to contact the utility for ways to save energy.
PG&E, for example, offers audits of home energy use and discounted electricity and gas rates for low-income families.
“We want our customers and their families to know that we are here to help them make smart energy choices and save money whenever possible,” said Laurie Giammona, PG&E senior vice president and chief customer officer.
PG&E in September asked the commission to increase by $2.7 billion the amount of revenue it collects for the years 2017 through 2019, saying the money would be needed to improve the utility’s response to natural disasters.
[...] the commission has already approved major, long-term electricity rate changes that probably will raise bills for many Californians.
In July, the panel voted to narrow the difference in prices paid by homeowners who use large amounts of electricity and those who use very little.
For consumer advocates, higher utility bills have become an unpleasant annual tradition.
Mark Toney, executive director of The Utility Reform Network, said a growing number of Californians already are having trouble paying bills, and are seeing their electricity service temporarily cut off as a result.
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