CPUC To Evaluate Climate Credit to Better Support Affordability
SAN FRANCISCO – The California Public Utilities Commission (CPUC) today opened a new proceeding to consider ways to improve the distribution of the California Climate Credit as part of continued actions to address energy affordability.
Since 2014, more than $16 billion has been returned to residential and small business customers through the Climate Credit, which provides utility customers and qualifying small businesses with their share of the benefits of California’s Cap-and-Trade Program. These credits are typically distributed to customers twice a year: a natural gas credit in April and electric credits in April and October, and proceeds will continue to be available through at least 2030.
The Rulemaking opened today addresses ways the Climate Credit could be reshaped to more directly support energy affordability priorities. Considerations in the Rulemaking will include:
- Eligibility: Whether eligibility should be modified so residential customers see greater credits.
- Methodology: The number and timing of Climate Credits could be adjusted to help customers manage month-to-month bill volatility.
- Outreach: Additional outreach to customers may be needed to increase understanding of utility bills, the Climate Credit, and the role of the Cap-and-Trade Program.
More About the California Climate Credit
In 2025, Climate Credits typically range from $35 to $259 for electricity bills, and approximately $54 to $87 on natural gas bills. The credit is provided to residential customers of Bear Valley Electric Service, Liberty Utilities, Pacific Power, Pacific Gas and Electric Company, Southern California Edison, San Diego Gas & Electric, Southern California Gas Company, and Southwest Gas. Californians can check the credit amount here.
Californians do not need to do anything to get the credit; it shows up on bills automatically.
In addition to utility bill credits, California’s Cap-and-Trade program has funded $28 billion in climate investments delivering more than half a million projects across the state, supporting 30,000 jobs and cutting millions of tons of carbon emissions.
More Information
- Rulemaking Approved
- California Climate Credit
- California Climate Investments
- Subscribe to the Proceeding
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About the California Public Utilities Commission
The CPUC regulates services and utilities, protects consumers, safeguards the environment, and assures Californians access to safe and reliable utility infrastructure and services. Visit www.cpuc.ca.gov for more information.