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249 points Jtsummers | 66 comments | | HN request time: 1.272s | source | bottom
1. reenorap ◴[] No.45762822[source]
PG&E's most transparent fraud is by forcing people to move everything to electricity and then forcing them to use less electricity, and then complaining they aren't making enough money so that they raise electricity rates. Last year, PG&E raised rates 6 times. I'm now paying double the per kWh rates from only 4 years ago.

PG&E now wants to charge solar panel owners $100+/month just for the privilege of being connected to the grid. This is on top of their $0.41-54/kWh they already charge, the highest in the nation.

PG&E is a government-supported scam that is charging people whatever prices they want with no protection from our politicians because they are all on the take.

replies(5): >>45762865 #>>45762866 #>>45762871 #>>45762903 #>>45763307 #
2. rconti ◴[] No.45762865[source]
I would expand our solar installation as we expand our house over the next few months, but PG&E would force us into a less advantageous electricity scheme if we add panels, so shrug
replies(1): >>45762885 #
3. pavel_lishin ◴[] No.45762866[source]
> forcing people to move everything to electricity

Can you say more about this? I don't live in California, so I'm not familiar with what you mean.

replies(3): >>45762922 #>>45763286 #>>45763878 #
4. jeffbee ◴[] No.45762871[source]
PG&E should be expropriated by the state, but your 2nd point is just homeowner propaganda. NEM account holders really are free-riding on the grid in a way that is deeply unfair to the rest of PG&E ratepayers.
replies(1): >>45763016 #
5. jeffbee ◴[] No.45762885[source]
NEM eligibility is controlled by CPUC, not PG&E
replies(1): >>45762981 #
6. emtel ◴[] No.45762903[source]
I live in CA, but am lucky enough not to be a PG&E customer. My winter off-peak rates are $0.12, compared to $0.43 for PG&E. On the other end, my summer peak is $0.36, vs $0.56. Absolutely absurd.
replies(4): >>45763258 #>>45763388 #>>45764798 #>>45766081 #
7. RandallBrown ◴[] No.45762922[source]
I'm guessing they're talking about phasing out natural gas in some places?
replies(1): >>45763107 #
8. reenorap ◴[] No.45762981{3}[source]
The CPUC is fighting on behalf of PG&E. It is headed by Newsom's buddy and they have let PG&E raise prices without pushback.
replies(1): >>45763104 #
9. BriggyDwiggs42 ◴[] No.45763016[source]
Why so?
replies(3): >>45763162 #>>45763245 #>>45763328 #
10. jeffbee ◴[] No.45763104{4}[source]
Newsom is the governor of California and has been for quite a while. The President of CPUC was the long-time climate advisor to Jerry Brown and Deputy Attorney General under Schwarzenegger. The constitution guarantees PG&E rates that offer a return on investment. It's silly to try to make it a personalist conspiracy.
replies(1): >>45763445 #
11. AnthonyMouse ◴[] No.45763107{3}[source]
I read it as promoting electric cars and heat pumps over ICE vehicles and furnaces.
12. adrr ◴[] No.45763162{3}[source]
Grid costs a lot more money than power generation. It’s 60+% of the bill. Really wish they went with fixed grid hookup costs that includes delivery and usage for power generation.
replies(1): >>45763463 #
13. bell-cot ◴[] No.45763245{3}[source]
I'm not familiar with Cali's NEM scheme...but does it work like this?

- Electric utility must make up to _forward_maximum_kW of electrical energy available to customer, 24x7, at _rate

- Customer may force electrical utility to accept up to _reverse_maximum_kW - without notice, at his sole discretion, and without regard for electrical utility's needs or wishes, at _rate

If so, just talk to any sane businessman about the viability of being stuck on the utility's end of such a deal.

replies(1): >>45763332 #
14. js2 ◴[] No.45763258[source]
I thought maybe you were in Santa Clara, but you've got even better rates than that.

https://www.siliconvalleypower.com/residents/rates-and-fees

15. Rebelgecko ◴[] No.45763286[source]
A lot of new homes don't have natural gas hookups, and there's been various state and local regulations wrt natty gas applicances
replies(1): >>45763803 #
16. AnthonyMouse ◴[] No.45763307[source]
Isn't a lot of this the government insisting that PG&E act as the de facto California wildfire insurance provider and collect the premiums out of everyone's electric bill?

You have wildfires caused by, basically, climate change causing there to be an abundance of fuel (dead wood) waiting for any spark, exacerbated by decades of the government putting out every wildfire when in the natural environment the last fire would have cleared out the dead wood before the next one, causing fuel to accumulate even more.

At that point it doesn't matter what the ignition source is, that much fuel is going to burn, soon. If it isn't some piece of PG&E equipment it will be a lightning strike or something else. But if you can pin it on the power company because a tree caught fire from falling on a power line then the fire insurance companies can sue the power company instead of filing for bankruptcy, and then all you have to do is pass on the cost to ordinary people as $500/month electric bills.

replies(5): >>45763524 #>>45763779 #>>45763901 #>>45764017 #>>45765720 #
17. philipkglass ◴[] No.45763328{3}[source]
Residential electricity service from PG&E has never properly separated the fixed costs of service delivery to a location (maintaining poles, transformers, and wires) from the cost of marginal energy consumption. It has folded much of the fixed infrastructure costs into the per-kilowatt-hour unit price. This functions as an implicit subsidy for households that need grid tied electrical service but do not consume much electricity from the grid.

These implicit subsidies used to mostly benefit lower-income households (though not always: properties like seasonal vacation houses also benefited). Now, higher-income households are more likely to benefit from this structure because they are more likely to install rooftop solar (reducing kWh consumption) but still need the grid to work at night. Crediting solar households for grid exports makes this problem especially acute but it would also exist even if solar households were merely reducing the kWh drawn from the grid during daytime.

One remedy could be to fully separate the costs of fixed infrastructure from per-kWh unit charges and set prices directly proportional to costs. But that is probably politically unfeasible because there will be outcry that prices proportional to costs would hurt low-income, low-consumption households.

Another way to remedy it would use the previous approach but give offsetting vouchers to households that would face financial hardship as a result of the change in pricing structure. I don't know why the underlying issue has remained unaddressed in favor of patchy solar-specific changes to the law.

replies(4): >>45763444 #>>45763767 #>>45763879 #>>45763945 #
18. jeffbee ◴[] No.45763332{4}[source]
Yeah that pretty much describes NEM 2.0
19. AnotherGoodName ◴[] No.45763388[source]
Palo Alto municipal power right?

I moved across the road from this government owned power company so i was just out of Palo Alto municipality and suddenly had to pay 4x the price. Sigh.

It's a weird thing moving to the USA. Everyone's been brainwashed "anything government run is more expensive" yet every example I've ever looked into proved the opposite to a dramatic extent. Government run institutions lead to lower overall costs.

replies(3): >>45763573 #>>45763576 #>>45763618 #
20. reenorap ◴[] No.45763445{5}[source]
https://www.cpuc.ca.gov/about-cpuc/commissioners/page-conten...

I'm not engage in a "conspiracy". She was appointed by Newsom in 2021. This coincides to when the prices started skyrocketing.

replies(1): >>45764049 #
21. BriggyDwiggs42 ◴[] No.45763444{4}[source]
Wow that makes sense yeah, and it’s difficult because you don’t want to disincentivize solar but socializing the grid costs, which would normally be a good move, does have that effect when done like this.
replies(1): >>45763572 #
22. BriggyDwiggs42 ◴[] No.45763463{4}[source]
That would fuck over poor rural households right?
replies(1): >>45763931 #
23. colechristensen ◴[] No.45763524[source]
There are a bunch of places in California where humans shouldn't live that PG&E is required to provide electricity to and then getting blamed for setting fires... which I suppose it did set those fires but much of the state is being required to subsidize these inhabited uninhabitable places either through paying for fire damage or paying the incredibly expensive process of burying power lines which doesn't fundamentally alter the risk or rate of wildfires.

One of the many questionable political situations in California.

replies(1): >>45763673 #
24. colechristensen ◴[] No.45763572{5}[source]
At this point it just isn't grid costs though, it's paying for PG&E's long history of enormous liabilities in connection to wildfires.
25. ◴[] No.45763573{3}[source]
26. lsaferite ◴[] No.45763576{3}[source]
I never understand how people can't see that private companies have a "must make a profit" motive while a non-captured government has a "must help citizenry" motive. Essential services being privately owned means they are incentivized to squeeze more profit in any way they can, to the detriment of their captive customers.
replies(2): >>45764371 #>>45766446 #
27. dylan604 ◴[] No.45763618{3}[source]
Easy with the way you're tossing around everyone there.
28. pfdietz ◴[] No.45763673{3}[source]
Renewables could be used to power these remote locations, or at least allow utilities to abandon them (with some warning.)
replies(1): >>45765713 #
29. lsaferite ◴[] No.45763767{4}[source]
This is the exact issue in most grids TBH. Not sure I've seen one that has properly priced fixed costs with properly priced usage costs. My grid has the split, but the costs seem out of proportion. I'd say if the concern is low-income pricing, factor out fixed costs and rates so the the mean low-income prices stay the same. Mix that with only offering wholesale rates for customer backfeed and some reasonable controls about how much and when customers can backfeed.
30. reenorap ◴[] No.45763779[source]
PG&E instead of constantly upgrading and maintaining their distribution system, decided to pay out dividends and buy back stock, as well as pay their CEO $50 million per year. That's why their outdated equipment kept starting fires.

They took a risk by underspending on upgrading, and we as Californians are paying for them paying out their shareholders.

replies(1): >>45763886 #
31. reenorap ◴[] No.45763803{3}[source]
Also, they charge natural gas rates that are ridiculous compared to the current price of natural gas. They give rebates on electrically powers appliances and then jack up the prices on electricity, and then tell us not to charge our cars during the summer because the grid can't handle it. These are all excuses on how to keep raising electricity prices instead of dropping them.
32. vladgur ◴[] No.45763878[source]
In my area, the government passed the law prohibiting replacement or installation of new gas appliances starting a year and a few months from now.

https://www.finegroupre.com/blog/no-more-gas/

This is all the while cost of the alternative -- electric power -- goes up at least 10% YOY

33. reenorap ◴[] No.45763879{4}[source]
I wouldn't care if the money were actually going to improving the system but it's not, it's going to shareholders and paying for their crimes. The fact we have to pay for their crimes and their CEO and execs and shareholders can continue to increase their salaries and bonuses along with our rates just makes me very angry. The entire company should be held responsible and things like THEIR bonuses should be withheld until the company has fixed everything.
34. AnthonyMouse ◴[] No.45763886{3}[source]
Power transmission is not a technology with a high rate of change. It's basically a wire on a stick. If a tree falls on it the tree catches fire because it carries high voltage and the tree creates a path to ground. What is "upgrading their equipment" supposed to do?
replies(1): >>45763927 #
35. jandrese ◴[] No.45763901[source]
Basically PG&E was horribly mismanaged for decades, that mismanagement lead to billions of dollars of damages and those costs were shifted onto the customers and the management got off scot free.
36. reenorap ◴[] No.45763927{4}[source]
They were supposed to bury them underground but they didn't. This is a well known issue that they ignored because they didn't want to spend the money and instead paid dividends and did massive stock buybacks. Now, 20 years later, the costs have skyrocketed because of inflation.
replies(2): >>45764099 #>>45765609 #
37. pfdietz ◴[] No.45763931{5}[source]
At this point many should just be given a check to convert to solar. Maybe microgrids in small clustered enclaves.
38. jandrese ◴[] No.45763945{4}[source]
> maintaining poles, transformers, and wires

The things that PG&E has notably been neglecting, resulting in highly destructive wildfires?

The idea that it costs every single ratepayer $100/month to maintain the infrastructure is ludicrous. It's just attempting to deflect blame from PG&E's horrible mismanagement to environmentalists.

In places with honestly run utilities that cost is closer to $5-$10/month per household.

39. linkregister ◴[] No.45764017[source]
This is a mischaracterization of the liability of PG&E for those fires. All of the PG&E-caused wildfires were due to inadequately maintained equipment operating well beyond its service life. The reduction of maintenance budgets to improve free cash flow and return capital to investors was a conscious decision by the company officers [1].

As you stated, PG&E was held liable for billions of dollars of compensation for the impacted people. This led to negative earnings zeroing out the profits of the previous decade [2]. Furthermore, the stock's price is far lower than it was during the hayday of deferred maintenance.

Since the involvement of California state government in PG&E operations, maintenance has improved dramatically. Furthermore, PG&E again has positive earnings, demonstrating that the long-term viability of the company is improved with adequate maintenance budgeting.

Now to address the counterfactual, "the fires would have happened anyway": no. The leading cause of wildfires in California in general, and impacting people and infrastructure in particular, is electrical equipment. This is empirical; after PG&E began cutting power during high-fire danger days, the number and severity of wildfires dropped dramatically [3].

1. How PG&E missed its chance to prevent the Camp Fire: Damning report on utility’s negligence, https://www.sacbee.com/news/california/fires/article24357122...

2. Pacific Gas & Electric EPS - Earnings per Share 2011-2025 | PCG, https://www.macrotrends.net/stocks/charts/PCG/pacific-gas-el...

3. Human-caused ignitions spark California’s worst wildfires but get little state focus: In 2019, utilities turned off electricity during high-wind events, and California had its mildest fire season in eight years. Was that a coincidence?, https://www.sandiegouniontribune.com/2020/01/05/human-caused...

replies(1): >>45764228 #
40. linkregister ◴[] No.45764049{6}[source]
Then she is part of the conspiracy to lower rates in 2026. How deep does the rabbit hole go?
replies(1): >>45764138 #
41. AnthonyMouse ◴[] No.45764099{5}[source]
Burying power lines is extremely expensive and does nothing to actually prevent wildfires, which existed in California before the advent of electric utilities. You're complaining about a $50M salary while insisting that they do something ineffective that costs $20B. Then you'd get to pay the cost of burying the power lines and the cost of the fires. Is that actually better than just moving the cost of the fires back to the insurance companies to begin with?
replies(2): >>45764843 #>>45765370 #
42. reenorap ◴[] No.45764138{7}[source]
If the electricity bills ever drop I will eat my hat. Even if they drop the rates, they will increase the connection fees to make up for it.
replies(1): >>45765536 #
43. AnthonyMouse ◴[] No.45764228{3}[source]
> All of the PG&E-caused wildfires were due to inadequately maintained equipment operating well beyond its service life.

That sounds like something lawyers say when they want to sue somebody.

Who determines the "service life" of a conductive piece of metal with no moving parts?

> Now to address the counterfactual, "the fires would have happened anyway": no. The leading cause of wildfires in California in general, and impacting people and infrastructure in particular, is electrical equipment. This is empirical; after PG&E began cutting power during high-fire danger days, the number and severity of wildfires dropped dramatically

Nobody disputes that power lines can be an ignition source. The issue is that there are also other ignition sources and dead trees will eventually burn. Causing the fires to be less frequent actually makes the problem worse, because then when it does happen there is even more fuel, which makes the next fire bigger and harder to contain. It's the same failure mode as putting out natural wildfires and leaving all that fuel to accumulate for next time.

Removing some of the ignition sources means you're going to have fewer small fires this year, but at the cost of having bigger ones later. That's not a win.

replies(3): >>45764546 #>>45766426 #>>45768162 #
44. embedding-shape ◴[] No.45764371{4}[source]
I'm guessing the upper-class managed to convince people of that as well as they managed to convince them of "the dangers of unions". There seems to be (at this point) almost an innate reaction to just hearing "union" or "general strike" that makes people recoil, even though they're necessary part of a society where capitalism exists, otherwise there is no way of stopping it when it outgrows any other concerns.
45. labcomputer ◴[] No.45764546{4}[source]
> Who determines the "service life" of a conductive piece of metal with no moving parts?

Perhaps you might start by explaining how that question is in any way relevant to the current discussion.

The part that was found to have failed was a wire hanger that wore through as it swung in the wind (hint: a moving part) and allowed the power line to fall on the ground.

Somehow (magic or the occult probably) SC Edison and LADWP have not had failures of their physical plant which bankrupted the company. They also had higher maintenance budgets. Hmmm… nope, can’t see how these things are connected.

46. vladgur ◴[] No.45764798[source]
The arbitrage opportunities here are insane. You should install an electric charger or two in your front yard and charge people 50-100% premiums to use your power :)

I live 20 minutes north of you. My power is in fact 4 times expensive in the winter.

BRB, Shopping on amazon for a 20-mile long extension cord

47. ◴[] No.45764843{6}[source]
48. reenorap ◴[] No.45765370{6}[source]
You are literally uttering nonsense.

No one is blaming PG&E for all wildfires. We are blaming PG&E for the wildfires THAT THEY CAUSED. These fires could have been prevented if THEY BURIED THEIR POWERLINES back in the early 2000s when it was far cheaper and like they promised. They instead decided to ditch that and instead buyback stock and pay lucrative dividends.

Burying powerlines would 100% prevent wildfires which were caused by sparking or broken power equipment, which has been the documented reason why several extremely large and fatal wild fires were caused by.

replies(2): >>45768938 #>>45768982 #
49. jeffbee ◴[] No.45765536{8}[source]
Get out your fork and knife I guess because the PG&E bill of the median residential account is down 10% in the last year.
replies(2): >>45766227 #>>45768546 #
50. ◴[] No.45765609{5}[source]
51. colechristensen ◴[] No.45765713{4}[source]
If pigs had wings they could fly, but here and in a lot of California politics rational solutions aren't what is lacking.
replies(1): >>45772572 #
52. tim333 ◴[] No.45765720[source]
>wildfires caused by, basically, climate change causing there to be an abundance of fuel (dead wood)

There was a quite convincing article claiming the abundance of dead wood was due to bureaucracy more than anything else - two years of paperwork to remove a tree etc.

53. culopatin ◴[] No.45766081[source]
Alameda?
54. teachrdan ◴[] No.45766227{9}[source]
Some light googling shows "The average combined [gas + electric] bill has increased from approximately $179 in 2020 to around $300 by October 2025". I'm not sure what cherry-picking of data PG&E is doing, but it does not seem that there's a real life 10% decrease in bills being paid by California consumers.
replies(1): >>45767822 #
55. gregable ◴[] No.45766426{4}[source]
> Who determines the "service life" of a conductive piece of metal with no moving parts?

I think they move from the wind and eventually wear through.

https://www.nbcbayarea.com/investigations/new-images-of-pge-...

56. parineum ◴[] No.45766446{4}[source]
If the government is on my side, why don't they attempt to solve this problem instead of actively causing it?

It's unsurprising that companies want to make money, it is, however, shocking how corrupt the CA government is when it comes to the issue.

The government is the cause of the problem.

replies(1): >>45768214 #
57. rconti ◴[] No.45767822{10}[source]
they mailed me a thing a few months ago saying "we're lowering rates!" and then another thing more recently saying "See, we're lowering rates and plan to lower them again soon!"

I haven't actually looked at the real bills to see if it's happening, but the expectation they're setting up is that 2026 will be lower than 2025. we'll see!

58. linkregister ◴[] No.45768162{4}[source]
> The issue is that there are also other ignition sources and dead trees will eventually burn.

Please read citation number three from the parent post. This is not a certainty. Calfire and local agencies do a substantial amount of brush clearing, tree cutting, and when conditions are right, controlled burns. Anything that reduces the frequency of ignition events buys more time for fire control agencies to do this work.

replies(1): >>45768875 #
59. lsaferite ◴[] No.45768214{5}[source]
"non-captured government"
replies(1): >>45773497 #
60. rahimnathwani ◴[] No.45768546{9}[source]
Where did you read this?
61. AnthonyMouse ◴[] No.45768875{5}[source]
> Please read citation number three from the parent post. This is not a certainty.

The link is essentially arguing that there are some areas with very few natural ignition sources, so most of the fires are caused by people. But that doesn't get you out of the accumulation of fuel. Even if zero of the fires were caused by power lines or nature, there would still be car fires and campfires etc., and longer durations between them causes larger accumulations of fuel.

> Calfire and local agencies do a substantial amount of brush clearing, tree cutting, and when conditions are right, controlled burns. Anything that reduces the frequency of ignition events buys more time for fire control agencies to do this work.

This isn't a case of there being a fixed amount of brush that only has to be cleared out this once and we need to buy some time to allow the work to be completed. It's a continuous process and they don't have the resources to do it everywhere. If you then prevent more of the "unscheduled" fires in the places where they can't and then more fuel accumulates there, what happens?

replies(1): >>45769846 #
62. AnthonyMouse ◴[] No.45768938{7}[source]
And what I'm saying is that "caused" is a weasel word when things have more than one cause.

To have a fire you need a spark, air and fuel. The air is there all the time. The fuel is there whenever there hasn't been a spark recently. And power lines aren't the only source of sparks.

Once the fuel is there and accumulating, you're playing roulette to see if you're going to have a smaller fire now or a bigger fire later. There is no option for "never have a fire again" in those areas, and the second option isn't inherently better than the first one.

63. czl ◴[] No.45768982{7}[source]
If every line were buried, California's huge problem with fires would stop? The real cause is not the lack of prescribed burns and better forest management?
64. linkregister ◴[] No.45769846{6}[source]
Fire danger is not a linear function. It fluctuates from year to year with rainfall. Efforts to reduce ignition events are meaningful.

Furthermore, risk to people and property is not uniformly distributed. Fire mitigation efforts are performed disproportionately near population centers. When man-made, preventable ignition causes are concentrated near towns like Paradise, responsible entities have a duty to reduce those risks.

It is not necessary to allow fires to burn houses down to fulfill a concept of accumulated fire risk. Marin County has published a series of videos showing homeowners how to landscape their properties to reduce the spread of fire.

65. pfdietz ◴[] No.45772572{5}[source]
Well isn't that defeatist. Politically impossible positions may become possible with enough outreach, especially if the position has economic advantages. Look at YIMBY.

Another intermediate possibility in California is distributed generation and storage to both reduce load on transmission and to allow transmission and distribution to be deenergized during times when fire risk is high. This could then gradually transition over into an entirely distributed system without transmission to some locations.

66. parineum ◴[] No.45773497{6}[source]
Spherical cows in a vacuum