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Over 1 million SDG&E customers moved to community electric providers

Local governments buy the electricity and offer cleaner energy to customers
SDG&E requests major rate hike
Posted at 5:53 PM, Jun 26, 2023
and last updated 2023-06-26 21:31:45-04

SAN DIEGO (KGTV) — More than 80% of San Diego Gas & Electric customers are now getting their electricity from non-profit community power groups.

SDG&E said two community choice aggregators formed by local governments are purchasing the electricity on behalf of residents and businesses in their area.

The company has been slowly moving customers over to newly formed community power groups as required by California law.

But SDG&E spokesman Anthony Wagner said most customers won’t notice because the utility company still bills residents on behalf of the groups.

“San Diego Gas and Electric is really proud to be part of a seamless transition that's happened over a series of years to have local governments purchase the electrical commodity on behalf of their constituency.”

The community aggregators offer cleaner energy to customers and can save residents money. 

The San Diego Community Power non-profit says it sells 55% clean energy at rates that are 3% lower than SDG&Es that are only 45% clean, for example.

Residents living in Carlsbad, Del Mar, and Solana Beach have the Clean Energy Alliance as their electric provider.

The non-profit’s website shows rates a few dollars lower than SDG&E’s but has more expensive prices for customers who want more renewable energy.

SDG&E said next year, Oceanside and Vista residents will be moved to a community power provider.

Heidi Radaford has mixed feelings about the switch. 

“I'm not looking forward to it because I'm not certain that I'm going to actually save money,” said the Oceanside resident.

Radaford said earlier this year her SDG&E bills were unbearable during a time when the utility company said natural gas rates in the market were high due to supply issues.

“I was seeing my bill in total with gas and electric being close to $1,000 per month,” she said.

SDG&E says it doesn't profit from the price of electricity but instead from the delivery of it.

Sempra, SDG&E’s parent company, reported first-quarter earnings of $969 million last month. The earnings were up $357 million from the same time last year.

Asked what SDG&E says to customers who feel their bills are too high and that they’re being gouged, Wagner said, “I think we get it. I think over the last year, we've seen that, and it's been palpable that our customers have been frustrated."