Reimagining Utility Rates

Reimagining Utility Rates

Utility rates must be thoughtfully designed to align with the demands of energy transition. It’s crucial to account for higher fixed costs and equitable distribution among ratepayers. California’s income-based rates, though well-intentioned, are problematic. It deviates from core principles of cost of service causation and will slow the adoption of energy-efficient devices and sustainability. To serve the greater good, we must adopt a technology-agnostic approach and minimize politically-driven decisions. Let’s prioritize thoughtful design and avoid letting short-term motives overshadow long-term sustainability.