ESCONDIDO, Calif. (KGTV) - Dozens of residents worried about future rate increases from San Diego Gas & Electric had the chance to voice their concerns to the state agency in charge of approving rate hikes.
Monday, the California Public Utilities Commission held two public hearings at Escondido City Hall.
During the 2 p.m. session, roughly a dozen residents, mainly retirees, shared their concerns about a plan to charge a flat fee based on a customer's household income rather than usage.
John Littlejohn is a retired Navy officer. He told the agency that he's made significant investments in solar. He says SDGE's proposed income-based flat fee would wipe out any future return on his investment.
"This proposal shoots a torpedo at that savings," said Littlejohn.
The proposal he's referring to comes after California passed a law last year requiring that utility companies establish a fixed monthly fee based on a customer's household income.
SDG&E is suggesting a household making $28,000 in yearly income would pay a $24 dollar-a-month flat fee, and that fee could rise as high as $128 a month for a household earning $180,000 and above.
The plan includes customers using solar. San Diego County Supervisor Jim Desmond says this will hurt middle-class families the most.
"Electrical fees, including fixed rate portion, should be based on usage. Those who use more should pay more for the usage and infrastructure fees," said Supervisor Desmond.
SDG&E says the new structure would save those with the lowest income up to $300 a year.
"The fixed charge proposal, it aims to protect the customers who can least afford the electricity," said SDG&E Communications Manager Anthony Wagner.
Earlier this year, the utility proposed an average increase of roughly $9 a month more for gas and just under $9 a month more for electricity.
"In the next 10 years, what's the likelihood that you get yourself an electric vehicle? It's pretty large, and we need an infrastructure and a grid that can sustain all that new usage," said Wagner.
Another retiree questioned why the commissioners were even holding Monday's meetings.
"You guys always give San Diego Gas & Electric what they want. Every time a rate comes up, it gets approved," the man said.
"Nobody should pay anything different for a commodity we all use. Nobody should be making payments on a commodity we all use based on their income," said Supervisor Desmond.
The CPUC is expected to make a decision on the rate adjustments by the end of next year.
