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PG&E Receives Approval to Lower Top Residential Electric Rate in June Designed to Lower Bills Starting This Summer

Release Date: May 26, 2011
Contact: PG&E External Communications (415) 973-5930

SAN FRANCISCO, Calif. – Pacific Gas and Electric company (PG&E) announced today that the California Public Utilities Commission (CPUC) has approved the company's request for a sharp reduction in the top rate that residential customers will pay for electricity starting this summer.

"As the heat of summer hits and air conditioners turn on, our customers look to us to help them manage their electricity bills. Today's decision allows us to answer this call by significantly lowering the top rate they pay," said Helen Burt, PG&E's senior vice president and chief customer officer.

The CPUC decision today will drop the top electric rate by over 15 percent, while the rates for the lowest two tiers will stay the same (see table below).

The two existing electric rates for income-qualified customers under the California Alternate Rates for Energy (CARE) program will not change. CARE customers, however, will see a new third tier rate of 12.5 cents per kilowatt-hour for the highest electricity users, a rate which is a 63 percent discount off of the highest rate paid by those residential customers not under the CARE program (see table below).

"These changes will continue to encourage energy conservation with rates that increase the more a customer uses. They will also put our average CARE rate at around the same level it was in 1991 after two decades of virtually no increases," said Tom Bottorff, PG&E's senior vice president of regulatory relations.

The new electric rates for most PG&E's residential customers will take effect on June 20. However, the new CARE rate will not go into effect until November 1 with the start of the winter season.

For more information on rates, as well as PG&E's many programs to help with bill payment and ways to lower bills through more efficient use of energy, customers are encouraged to call 1-800-743-5000 or visit PG&E's website at www.pge.com.


Residential TiersOld RateNew Rate
Non-CARE Tier One12.2c/kWh12.2c/kWh
Non-CARE Tier Two13.9c/kWh13.9c/kWh
Non-CARE Tier Three29.4c/kWh29.3/kWh
Non-CARE Tier Four40.4c/kWh33.3/kWh
CARE Tier One8.3c/kWh8.3c/kWh
CARE Tier Two9.6c/kWh9.6c/kWh
CARE Tier ThreeNA12.5c/kWh

Pacific Gas and Electric Company, a subsidiary of PG&E Corporation (NYSE:PCG), is one of the largest combined natural gas and electric utilities in the United States. Based in San Francisco, with 20,000 employees, the company delivers some of the nation's cleanest energy to 15 million people in Northern and Central California. For more information, visit:
http://www.pge.com/about/newsroom/.

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