By Bo Tefu, California Black Media

Gov. Gavin Newsom has issued an executive order to help alleviate the financial burden of skyrocketing electric bills on residents. This directive instructs the state’s Public Utilities Commission (PUC) and Energy Commission to identify strategies to lower electricity costs and prevent rapid increases in the future.

Among the key actions proposed, the governor emphasized a closer examination of utility expenditures related to wildfire mitigation, which accounts for about 13% of residential electric bills.

Newsom underscored the state’s commitment to balancing affordability with environmental goals.

“We’re taking action to address rising electricity costs and save consumers money on their bills,” said Newsom. “California is proving that we can address affordability concerns as we continue our world-leading efforts to combat the climate crisis.”

California now has the second-highest electric rates in the country, trailing only Hawaii, with residential bills having surged as much as 110% over the past decade. The largest utilities, including Pacific Gas & Electric, Southern California Edison, and San Diego Gas & Electric, have seen rate hikes of 20% to 50% in just the last three years, approved by the state’s regulatory bodies.

The executive order also directs the California Air Resources Board (CARB) to explore increasing the California Climate Credit, which provides some relief on energy costs for residents. Additionally, the PUC is urged to pursue federal funding opportunities to further reduce electric expenses.

While consumer advocates welcomed the governor’s focus on lowering costs, concerns were raised regarding potential cuts to essential clean energy programs. CALPIRG, a consumer group, pointed out that the real issue behind high utility bills is wasteful spending by utilities and urged greater accountability.

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