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Some worry PG&E's proposed new rates could hurt California's solar market-From $0.50 to $0.30/kWh
Silicon Valley Mercury News ^ | 4/4/2010 | Dana Hull

Posted on 04/05/2010 11:29:58 AM PDT by Entrepreneur

Bill Schrader uses a lot of electricity at his 5,200-square-feet house in Alamo, particularly when the air conditioning runs during the sweltering summer months...

the Schraders were among the 17 percent of PG&E customers statewide who paid the highest prices for electricity in the utility's current five-tiered rate system designed to reward conservation and punish big energy users with high bills...

PG&E has proposed a new rate plan that many fear could both discourage energy conservation and stall California's solar market...

The proposed rate structure, announced last week, would replace the current five tiers with three...

Customers currently in "Tier 5" would go from paying nearly 50 cents per kilowatt-hour to 30 cents per kilowatt hour — a move that would radically change the economics of solar for many homeowners.

"It feels like this is PG&E's way to thwart the solar industry," Schrader said. "If the rate changes go through, the savings I am experiencing now and those projected into the future would decline substantially..."

"I'm very concerned about it," said David Hochschild, vice president for external relations at Solaria, a solar manufacturer in Fremont. "I don't think this was done with any consideration of how it will impact solar in California. California has sent a strong signal to the market that we want to promote solar. But if you implement rates that discourage solar, it undermines all of the hard policy work that has already happened. You can't have one foot on the gas and one foot on the brake at the same time."

(Excerpt) Read more at mercurynews.com ...


TOPICS: Business/Economy; Culture/Society; Extended News; News/Current Events; US: California
KEYWORDS: economy; electricityrates; energy; pge; solar
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The solar industry lobbying in support of punitively high electric rates is tantamount to a hybrid carmaker lobbying for $10/gallon gasoline. Keep it up and they're going to generate a backlash against solar and all things green. In fact, I'm surprised they haven't already.
1 posted on 04/05/2010 11:29:58 AM PDT by Entrepreneur
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To: Entrepreneur

50 & 30 cents per kilowatt hour? I pay 11 cents per kilowatt hour here in Texas.


2 posted on 04/05/2010 11:34:07 AM PDT by avacado
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To: Entrepreneur

WOW! That cost is insane! And hurting the solar industry? Who gives a crap!!!!!!!!!! If it costs that much, it sure as crap isn’t worth it in any way shape or form.


3 posted on 04/05/2010 11:38:10 AM PDT by vpintheak (Love of God, Family and Country has made me an extremist.)
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To: Entrepreneur
The solar industry lobbying in support of punitively high electric rates is tantamount to a hybrid car maker lobbying for $10/gallon gasoline. Keep it up and they're going to generate a backlash against solar and all things green. In fact, I'm surprised they haven't already.

Yes the media in California has fooled the public (knuckle dragging) into believing that solar and other so called green technologies can solve our energy problems. We have a buffoon governor who says the same things. What fools. As long as we have these idiots in either charge of government or popular culture, we aren't going to have any improvements in this area. $0.30/kilowatt hour will crush any manufacturing companies stupid enough to still be in operation in the state. It's almost like these green types are trying to promote a calamity.
4 posted on 04/05/2010 11:40:39 AM PDT by truthguy (Good intentions are not enough!)
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To: Entrepreneur

If 30 cents a kwh discourages solar, then solar is unsustainable.


5 posted on 04/05/2010 11:45:01 AM PDT by ltc8k6
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To: Entrepreneur
Only in California would people complain when electric rates went down...
6 posted on 04/05/2010 11:46:01 AM PDT by 2banana (My common ground with terrorists - they want to die for islam and we want to kill them)
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To: Entrepreneur

30 and 50 cents per kwh is insane.

that is 3x and 5x times what I pay.


7 posted on 04/05/2010 11:49:39 AM PDT by dman4384
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To: Entrepreneur; avacado
.44 is winter rate, it will go above .50 Kwh in summer.

PG&E is also very Liberal in it’s political activities.

Photobucket

8 posted on 04/05/2010 11:50:30 AM PDT by twistedwrench
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To: Entrepreneur

In a free market economy, businesses favor their biggest customers. That used to be the case with power companies, which charged a base rate for everyone, and then so much per KWH above that. Because basically it costs as much to bring the wires to a small user and maintain them as it does to a bigger one.

Now, it’s the opposite. Good customers are penalized, and less profitable ones rewarded.

The market also rewarded large customers for saving power. They were charged less, but in proportion to the cost of servicing them. I started using energy saving bulbs and cost effective appliances very early, because I wanted to lower my power bills.

We have the same insanity here in Vermont. Small users are rewarded, and larger users are punished. This is especially hard on families with lots of kids living in the house.

But of course, that’s what they want. It’s not green to have kids.


9 posted on 04/05/2010 11:51:26 AM PDT by Cicero (Marcus Tullius)
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To: twistedwrench

That’s an amazing bill you posted. Thge more you use, the higher the price per Kwh. The more I use, here in Houston, TX, the less I pay per Kwh.


10 posted on 04/05/2010 11:53:39 AM PDT by avacado
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To: avacado

Here with Duke Energy in NC, I pay approx 8 cents per KWH. They give me a special rate for having an all electric home. I can’t imagine having to cool this house in California.


11 posted on 04/05/2010 11:56:46 AM PDT by Blennos
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To: Blennos

8 cents! You are lucky!


12 posted on 04/05/2010 11:58:07 AM PDT by avacado
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To: Entrepreneur
I'm currently paying just under 10 cents per kilowatt hour.

No wonder Calif is collapsing financially.

13 posted on 04/05/2010 12:02:04 PM PDT by VideoDoctor
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To: Entrepreneur
I'm currently paying just under 10 cents per kilowatt hour.

No wonder Calif is collapsing financially.

14 posted on 04/05/2010 12:04:09 PM PDT by VideoDoctor
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To: Blennos

5.78 cents per kWh here in south central WA State and seems too high.


15 posted on 04/05/2010 12:14:34 PM PDT by steve86 (Acerbic by nature, not nurture)
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To: Blennos
Doesn't Duke have several Nuc plants? that's probably why your rates are inexpensive.

Pigs, Goats & Elephants has a mix of hydro, nuclear and natural gas. I think the problem is, with 30 million people in Calif., there are not enough power plants.

It used to be reasonable before a bunch of lib's moved here from around the country.

Actually, anyone who doesn't live here should be thankful for California - most of the nuts that would be YOUR neighbor have moved here. (I was born here)

16 posted on 04/05/2010 12:20:27 PM PDT by muleskinner ("You know the Germans always make good stuff')
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To: Entrepreneur
50 cents per kilowatt-hour

Someone can buy a used diesel generator and make their own electricity for half that, capital and maintenance costs included.

17 posted on 04/05/2010 12:23:29 PM PDT by Reeses (All is vanity)
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To: Entrepreneur

Yikes! 50 cents per kwh??!!

And people still have 5k sq ft homes?


18 posted on 04/05/2010 12:26:08 PM PDT by Pessimist (u)
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To: Entrepreneur

We just received our PG&E bill for $355. Last month was $404. We’ve cut back as much as possible, use the heater quite sparingly and never use the AC. We welcome rate cuts... if the cuts are allowed we still have to wait until May 2011... Sigh.


19 posted on 04/05/2010 12:41:09 PM PDT by Penni
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To: Entrepreneur

Solar energy is a fraud:
http://www.brayincandy.com/id208.html

Pray for America


20 posted on 04/05/2010 12:54:54 PM PDT by bray (Throw All the Bums Out, starting with McCain)
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