California proposal would change how power bills are calculated, aiming to relieve summer spikes

By ADAM BEAM
Associated Press

SACRAMENTO, Calif. (AP) — A new proposal from California regulators would change how power companies calculate their customer’s bills. Power rates are currently calculated mostly based on how much power people use. The new proposal unveiled Wednesday would make a portion of power bills a fixed charge. That charge would be $24.15 per month for most people. Those who are enrolled in low-income assistance programs would pay less. The California Public Utilities Commission says the rate people pay for using power would decrease by up to 7 cents per kilowatt hour. State officials say this would benefit people who use more electricity to stay cool in the summer.