CPUC NEM 3.0 discussion

[getakey]

for got to put in a link

Californians will see lower electricity rates and a new fee that won’t vary with power use

California electricity rates will shift to a fixed fee starting in 2025. Most Californians won’t see much change, or will have a lower bill.

calmatters.org

 

[RKCRLR]

Currently the monthly MDC charges can be used to offset NBCs. I still haven't seen an answer on whether MDCs are part of this fee, all of this fee, or none of this fee. I.e., can this fee be used to offset NBCs. The answer to this could have a big impact on my bill.

 

[sunwarriors]

Richmond urging CA to leave PG&E:

Probably too hard to do considering they made a reference to Sacramento SMUD? took billions and that took decades.

 

[getakey]

So will this be the end of CCAs? I mentioned that earlier. Will the fixed fee will be passed to CCA customers as well. If PG&E rates come down 5 to 7 cents thats about all the difference most CCAs are. If fixed fee does not get passed on then they are OK

 

[miimura]

Yes, we will have to see the unbundled rates to see where the variable reduction goes. I'm thinking it must come out of the distribution charges, which means that the Generation Charges that are par value for the CCAs will remain mostly the same. How it relates to the MDC and NBC will also be interesting.

 

[wwu123]

I just did some CPUC math in the other thread, which suggests for PG&E about a 4.5 cent reduction on baseline usage, and 3.5-4.5 cents on higher usage - based solely on the limited data CPUC provided:

CA electricity bills will have new fixed fees based on income

However, the same CPUC math suggests 17.5% of the population will see average $10/month increase that will offset the other 82.5% of the population ($0-$15 decrease), so it's all somewhat suspect....

 

[LiBeRtAs]

They did it. The CPUC voted in the Fixed monthly fee. Now lets see if the rates come down. So now we have a $24/mo fee. What happens to the NBCs?

I’m going to have to pay a $24 a month fixed fee even if I’m self powered the whole month?

 

[RKCRLR]

I’m going to have to pay a $24 a month fixed fee even if I’m self powered the whole month?

Yep...that is the intent.

It is the utility's way of sidestepping the NEM contract. Get money even if you don't get the energy from them and devalue what energy you send to them.

 

[h2ofun]

I’m going to have to pay a $24 a month fixed fee even if I’m self powered the whole month?

I really do not see anything wrong with this. I pay a connection fee for my water per month, even if I use zero.

 

[sunwarriors]

I really do not see anything wrong with this. I pay a connection fee for my water per month, even if I use zero.

I think it's the sticker shock of $0 -> $24/month. Again, I'd much rather see a lower fixed fee and they just don't cut any usage $/kWh price (they are planning 15%), or even raise that to force people to use less/conserve. I don't think you/most people would be ok with say, $100/month just for basic connection. The problem is the IOUs can manipulate the numbers and we don't know the actual real cost of a basic electric connection. Some folks have had these for 50 years on old lines and they want the same $24/month? Should people in far flung regions where the cost to connect them pay more?

As some news articles report, it's a bit unfair for folks who are in a studio to have to pay same fixed fee as someone in a 6k sqft mansion. Not that I want to get into an income war neither, but I suppose they can charge by service size (100Amp/200Amp/400Amp) which feels more fair.

 

[Tim-in-CA]

I think it's the sticker shock of $0 -> $24/month. Again, I'd much rather see a lower fixed fee and they just don't cut any usage $/kWh price (they are planning 15%), or even raise that to force people to use less/conserve. I don't think you/most people would be ok with say, $100/month just for basic connection. The problem is the IOUs can manipulate the numbers and we don't know the actual real cost of a basic electric connection. Some folks have had these for 50 years on old lines and they want the same $24/month? Should people in far flung regions where the cost to connect them pay more?

As some news articles report, it's a bit unfair for folks who are in a studio to have to pay same fixed fee as someone in a 6k sqft mansion. Not that I want to get into an income war neither, but I suppose they can charge by service size (100Amp/200Amp/400Amp) which feels more fair.

But does this mean that the daily basic charge and minimum daily charge goes away? SCE TOU plans have these charges. In the end, SCE and the others will not be losing out on any funds and will only continue to make more $$$ with this change.

 

[h2ofun]

I think it's the sticker shock of $0 -> $24/month. Again, I'd much rather see a lower fixed fee and they just don't cut any usage $/kWh price (they are planning 15%), or even raise that to force people to use less/conserve. I don't think you/most people would be ok with say, $100/month just for basic connection. The problem is the IOUs can manipulate the numbers and we don't know the actual real cost of a basic electric connection. Some folks have had these for 50 years on old lines and they want the same $24/month? Should people in far flung regions where the cost to connect them pay more?

As some news articles report, it's a bit unfair for folks who are in a studio to have to pay same fixed fee as someone in a 6k sqft mansion. Not that I want to get into an income war neither, but I suppose they can charge by service size (100Amp/200Amp/400Amp) which feels more fair.

Nothing that they will do will be looked at as fair by everyone. Life is not fair. Some always have more than others which is why we are not communists.

 

[LiBeRtAs]

Yep...that is the intent.

It is the utility's way of sidestepping the NEM contract. Get money even if you don't get the energy from them and devalue what energy you send to them.

I also heard they were proposing to institute a fee for solar customers who aren’t paying for electricity or paying much to supplement those who are without solar which eventually will be the people with the least amount of ability to pay, which makes sense to me and I’m willing to pay a fee in that regard, I suppose. The theory being people with money will have solar, and the people without won’t and people that rent won’t have the option in many cases.

 

[RKCRLR]

I also heard they were proposing to institute a fee for solar customers who aren’t paying for electricity or paying much to supplement those who are without solar which eventually will be the people with the least amount of ability to pay, which makes sense to me and I’m willing to pay a fee in that regard, I suppose. The theory being people with money will have solar, and the people without won’t and people that rent won’t have the option in many cases.

I'm actually OK with having a monthly fee to support the infrastructure and a seperate energy fee, I just think people with NEM contracts should be grandfathered into the original price structure until the contract runs out. That was the deal. However the fees should be representative of the costs. What our legislature should be working on is why our infrastructure fee is double what most states pay and why our energy fee is so high compared to other states. And then fix it.

 

[mspohr]

Reality Checking California’s Income-Graduated Fixed Charge

After all of the heat of the debate, a bit of data analysis sheds some light. Last week, California’s Public Utilities Commission moved forward with an income-graduated fixed charge (IGFC) for elec…

energyathaas.wordpress.com

 

[RKCRLR]

Reality Checking California’s Income-Graduated Fixed Charge

After all of the heat of the debate, a bit of data analysis sheds some light. Last week, California’s Public Utilities Commission moved forward with an income-graduated fixed charge (IGFC) for elec…

energyathaas.wordpress.com

The author didn't even discuss how big of an impact the new rate structure will be for solar customers. And he said the fixed monthly fee is similar to that for SMUD customers but didn't mention that SMUD's energy fees are muuuch lower.

 

[mspohr]

The author didn't even discuss how big of an impact the new rate structure will be for solar customers. And he said the fixed monthly fee is similar to that for SMUD customers but didn't mention that SMUD's energy fees are muuuch lower.

Probably uncomfortable information

 

[mspohr]

‘We must push back on net billing’

With California’s NEM 3.0 legislation having gutted panel sales and Arizona heading a bevy of other US states preparing to reduce solar-export payments, it’s time the United States solar industry stepped up, for ourselves as well as our customers.

www.pv-magazine.com

I think the executive director of the Arizona Solar Energy Industries Association, Autumn T. Johnson, was spot-on when she said, “It’s hard to argue that you should invest $30,000 or $40,000 or $50,000 into a solar system on your home when you have absolutely no idea how the [public utilities] commission is going to treat that from a regulatory perspective tomorrow or next year because they cannot be counted on to maintain the decisions they’ve previously instituted.”

We also have a responsibility to advocate against billing adjustments that decimate consumer savings. NEM 3.0 might make solar power seem like a bait-and-switch, and without adjustment on our part, it will be. However, with trust, open communication, and intelligent advocacy, we can help customers move toward the new frontier of truly on-site solar power.

 

[Dave EV]

The author didn't even discuss how big of an impact the new rate structure will be for solar customers. And he said the fixed monthly fee is similar to that for SMUD customers but didn't mention that SMUD's energy fees are muuuch lower.

Do we know how much the cost per kWh will go down with the new fixed fees for the big-3 energy monopolies?

 

[RKCRLR]

Do we know how much the cost per kWh will go down with the new fixed fees for the big-3 energy monopolies?

According to the article in post #3595 it will go down about $0.05/kWh.