2023-2024 Wildfire-Related Cost Increases of California’s Three Major Investor-Owned Electric Utilities
Overview
Rates and bills have been increasing unsustainably, especially since 2020. One of the biggest drivers of increased utility rates is the costs associated with wildfires. The fact sheet below shows how much the three major California investor-owned utilities – Pacific Gas & Electric (PG&E), Southern California Edison (SCE), and San Diego Gas & Electric (SDG&E) – have been authorized to recover from their customers. This includes money for wildfire mitigation costs (hardening), restoring service and rebuilding after disasters, and claims paid to people and businesses harmed in utility-caused wildfires.
Between January 2023 and April 2024, we have seen a marked increase in the total revenue requirements of the three major investor-owned utilities, with wildfire-related costs making up a larger portion of the total revenue requirement. Depending on the utility, these costs make up 10% to 24% of total revenue requirements.