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Clean Power SF announces one‑month bill credit for CARE/FERA customers; PCIA surge raises concerns
Summary
At the San Francisco LAFCO meeting Dec. 18, SFPUC staff described a one‑time bill credit for customers enrolled in CARE and FERA, outreach to increase low‑income enrollment, and growing worries about the Power Charge Indifference Adjustment (PCIA) that now costs Clean Power SF roughly $100 million per year and could rise further.
San Francisco Local Agency Formation Commission members heard an update Dec. 18 from SFPUC staff on Clean Power SF relief and planning.
Michael Himes, director of the SFPUC Power Enterprise, said the utility adopted a one‑time bill credit for Clean Power SF customers enrolled in the CARE and FERA low‑income discount programs by Sept. 30. The credit is designed to cover roughly one month of an average electricity bill for qualifying customers and to encourage enrollment in ongoing discount programs that reduce bills by at least 20%.
Cassidy Wallerstein of SFPUC communications described the outreach effort supporting the credit: Spanish and Chinese language advertising, 11 billboard placements in the Bayview, Mission and Outer Mission, about 30,000 postcards to likely‑eligible households, targeted digital ads and a community partner toolkit. Staff directed residents to cleanpowersf.org/credit and a call center (415‑554‑0773) for enrollment information.
Himes and colleagues told commissioners the SFPUC has seen higher delinquency among customers during the COVID‑19 emergency and estimated 30,000–40,000 electric accounts may be delinquent across the city. Himes said the agency measures hardship by delinquency (60–90+ day arrears) and is coordinating with the California Public Utilities Commission (CPUC) on potential state‑level arrearage forgiveness measures.
A central concern raised at the meeting was the Power Charge Indifference Adjustment (PCIA), the CPUC‑implemented surcharge charged to community choice aggregation (CCA) customers to compensate investor‑owned utilities for pre‑existing resource commitments. Himes said the PCIA has grown substantially in recent years, estimating that for Clean Power SF it is currently about $100 million per year and citing projections that it could increase another ~30% in 2021 to about $130 million per year. He told commissioners the PCIA reflects how those pre‑existing resources are being valued in CPUC proceedings and that a framework for PCIA prepayment agreements (paying a utility upfront) exists but can involve premiums.
Public commenters objected to a recent joint rate mailer, saying it presented PG&E’s subsidized Solar Choice (including a 100%‑renewable option) as cheaper than many Clean Power SF options and that SFPUC staff had not informed stakeholders in advance. Himes said the mailer is a CPUC‑reviewed, mandated joint rate mailer and explained that Solar Choice’s pricing is available in limited, subsidized enrollments and is supported by charges on nonparticipating ratepayers; he said SFPUC opposed aspects of that rate design and is investigating corrective options.
Commissioners asked for additional data on delinquent accounts and geographic patterns of hardship, and Himes agreed to provide further figures after the meeting. Chair Sandra Lee Feuer and others expressed interest in supporting statewide letters and additional engagement with CPUC on valuation and reform options.
The Clean Power SF update was informational; no LAFCO action was required.
