New Report: California Households See Faster-Than-Inflation Electricity Bill Increases

A new statewide review shows that California households are paying significantly more for electricity than in recent years, with average bills rising faster than inflation and remaining among the highest in the nation.

According to state energy regulators, residential electric bills have increased at an average annual rate of about 9 percent from 2020 to 2024—more than double the pace of overall inflation during that period. Utilities cite wildfire mitigation costs, grid upgrades, and higher natural gas prices as key drivers of rising rates.

Separate analyses show that California’s typical annual electric bill is now nearing $2,000, almost double what residents paid in 2010. Combined with higher housing, fuel, and food costs, consumer advocates warn these increases are placing additional pressure on working families across the state.

Reports also indicate that residential electricity bills have climbed nearly 50 percent since 2019, pushing California well above the national average for monthly household energy costs.

The California Public Utilities Commission says it will continue reviewing utility spending and rate proposals in the coming year as lawmakers consider additional measures aimed at easing costs for households.