Has it become normal now? For most San Diego area residents, utility rate increases have become a fact of life. Do you remember back in January when natural gas bills increased 20.8% compared to 2021?
Now, the latest rate hikes will see San Diego customers of SDG&E seeing a $34 increase in average monthly bills starting January 1. Unsurprisingly, this is higher than what SDG&E forecasted more than the utility forecasted a month prior. And all of this while inflation hammers away the budgets of San Diegans on top of this.
Take a look at the forecast below which SDG&E presented to San Diego City Council. As you will see, the numbers don’t paint a full picture of energy price increases that will come into effect next year.
In fact, the price hikes are estimates and require approval from the California Public Utilities Commission. Nonetheless, SDG&E has publicly stated that rates will rise and it’s just a question of how much.
SDG&E projected rate increase 2023. Source: SDG&E
Here’s the lowdown: currently people in San Diego pay for two services in their utility bill. What are they? First, the cost of buying the energy. Second, the cost of delivery the energy across the grid to our homes. In this case, SDG&E wants to increase prices of delivering electricity.
If you weren’t aware, this is because San Diegans have begun to buy energy from San Diego Community Power unless they continue purchasing from SDG&E. This came into effect starting in June, and for San Diego Community Power customers, the electricity delivery rate will increase 8% as of January 1st. While average customers might pay roughly $15 per month, average monthly bills for SDG&E-only customers would rise $34 per month. On top of this, natural gas prices will rise later in 2023.
As usual, SDG&E blamed rate hikes due to increased investments in grid safety, and the increased cost of natural gas. In particular, wildfires were cited as a large factor. You won’t be surprised to hear that since the pandemic started, millions of Californians are still behind on power bills. In fact, SDG&E has stated that 20% of its customers are in arrears. Another sign that troubling times are on the horizon. Is there a solution?
As you might imagine, having a solar installation in San Diego is probably the only way to stop the endless energy hikes we are used to. Actually, there really has never been a better time for San Diego homeowners to go solar!
Why? For starters, there is the 26% Federal Tax Credit that gives you a hefty discount on your tax bill. Plus, it’s worth considering the recent extension of net metering which pays homeowners for the excess electricity they generate.
In fact, even if you don’t have upfront capital, we have leasing solar power options to make solar possible for everyone. It’s still a good deal because your lease payment will always be lower than your electricity bill.
However, buying a solar energy system outright is always an excellent choice. In fact, the return on investment is excellent: systems pay for themselves in roughly 4–7 years. Many of our customers purchase a home battery and electric car on top of this. They live their lives powered by sunshine and have saved hundreds of thousands of dollars in gas and electricity costs.
We can guide you on the best route forward and also install your San Diego solar battery if needed also. We can also install a ground mount if you don’t have a suitable roof for solar.
Overall, going solar helps to forge a cleaner future, with energy from renewable resources reducing your dependency on foreign oil and fossil fuels. Plus, having solar reduces the burden on the electric grid. You’re helping everyone with solar!
San Diego homeowners - we recommend working with solar installers that have a great reputation and that people trust. In fact, one of our biggest fans is Bill Walton - NBA Hall of Famer, solar advocate, and San Diego native. Bill serves as solar evangelist for Stellar Solar, which was a "no-brainer" choice as he put it.
Bill recently said this about us: "I've known of Stellar's sustained excellence and success for years, including their incredible streak of winning San Diego's Best Solar Company… I am proud, honored and grateful to be a part of such a special team. Stellar Solar - this is a cosmic harmonic convergence of the highest order”.
We treasure our relationship with Bill Walton - but celebrity endorsements aside - what do regular people think about us? Well aside from consistently being voted “Best Solar Company”, we gain the majority of our new business from referrals.
Check out reviews if you have any doubt: we have a fantastic 4.5 star rating on Yelp and also a 4.9 rating on Google reviews on top of this. If you want any further proof, check us out on Angie’s List where we maintain a 4.8 star rating. You can even check us out on Solar Reviews, where we also have a 4.8 rating with 122 5-star reviews.
Work with a solar company in San Diego that has a track record. Luckily for us, you won’t find another company in southern California who does it quite like us. We are San Diego's oldest solar contractor and have the most positive reviews available online.
Don’t forget San Diegans: if you want solar power, solar battery backup, electric vehicle solar chargers, solar ground mounts, and solar servicing - you should call us immediately! Get in before the masses realize they need solar panels ASAP!
Contact Stellar Solar today at 866-787-6527. We can guide you through the solar purchasing process and help you determine what is right for your household. We take a no-nonsense, no-pressure approach towards educating our customers about solar energy.
Michael is one of the founding partners of Stellar Solar. In 2001, he helped launch The Home Depot’s national solar energy program which is now offering home solar through hundreds of stores in nearly a dozen states. He is a writer and marketing professional with over 30 years’ experience in the fields of energy, market intelligence and leadership training. He currently serves as treasurer and board member of Global Energy Network Institute (GENI), a San Diego-based non-governmental organization that advocates linking renewable energy resources around the world using electricity transmission.
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