PG&E Announces Fourth Electric Rate Drop, Concerns Remain

NORTHSTATE, Calif. — Pacific Gas and Electric (PG&E) announced that residential electric rates will drop by 11% as of January 1, 2026. This marks the fourth reduction in two years, which PG&E attributes to completed safety projects and lower anticipated costs of electricity.

The company reported that customers can expect to save around $20 per month compared to rates in January 2024. Additionally, electric prices for CARE customers, who typically receive low-income assistance, will decrease by 6%.

“We know how important stable and predictable bills are for families and businesses. That’s why we are lowering rates,” said Patti Poppe, PG&E’s CEO. She noted that despite rising national prices, PG&E has consistently lowered electric rates since 2024.

However, concerns remain. Mark Toney, executive director of The Utility Reform Network (TURN), maintains that these decreases may be temporary. “There are currently ten rate increase proposals before the California Public Utilities Commission (CPUC), suggesting that increases may follow,” he stated.

Toney urged customers to advocate for more affordable utility rates, suggesting they contact their assembly members or the governor’s office regarding TURN’s affordability bills. TURN is actively promoting transparency and accountability within utility services.

As electric rates adjust, natural gas prices are also set to diminish, with a decrease of 3% overall and about 2.6% for CARE customers.

Increased DIY solar installations have also gained attention, as some homeowners share how they have maintained power during outages through battery storage paired with solar panels. This step is seen as a proactive measure against potential future rate hikes and outages.

With advocacy for consumer protection and utility reform ongoing, TURN plans to introduce new legislation in the upcoming year.