“PG&E exit fees
Councilmember Alan Schwartzman provided the Council with some information pertaining to a proposal to submit a letter to the California Public Utilities Commission (CPUC) regarding the Power Charge Indifference Adjustment (PCIA) fee, essentially an exit fee, charged by Pacific Gas & Electric to customers who have switched to Community Choice Aggregation (CCA) providers such as Marin Clean Energy (MCE).
Schwartzman, an MCE board member as it happens, began by reading from the staff report accompanying the City Council agenda, a complete copy of which is available by visiting the city of Benicia web site under Agendas and Minutes, or by calling the city at 746-4200. Schwartzman’s reading is paraphrased here:
MCE has requested that the city of Benicia submit a letter to the CPUC regarding the PCIA charge increase. The CPUC has consistently denied adequate public input to discuss the fee. Earlier this year, PG&E increased this fee by 95 percent. The proposed letter asks the CPUC to provide a venue for public input. The charge is assessed by PG&E on a per-kilowatt basis to cover power generation costs acquired prior to a customer’s change in service provider.
Schwartzman explained that PG&E procures energy based on anticipated need, so that when customers switch away from PG&E, the company is left with the cost burden of the energy it has already acquired, without corresponding reimbursement from customers.”
Council Hears About Crude by Rail, Water Infrastructure and Ems Costs Tuesday, by Elizabeth Warnimont, Benicia Herald, July 7, 2016.