PG&E Supports Local Communities as It Pays More Than $230 Million in Property Taxes to 50 California Counties


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PG&E property tax payments bolster counties, education, public safety, and infrastructure across Northern and Central California, reflecting semi-annual levies tied to utility assets, capital investments, and economic development that serve 16 million customers.

 

Key Points

PG&E property tax payments are semi-annual county taxes funding public services and linked to utility infrastructure.

✅ $230M paid for Jul-Dec 2017 across 50 California counties

✅ Estimated $461M for FY 2017-2018, up 12% year over year

✅ Investments: $5.9B in grid, Gas Safety Academy, control center

 

Pacific Gas and Electric Company (PG&E) paid property taxes of more than $230 million this fall to the 50 counties where the energy company owns property and operates gas and electric infrastructure that serves 16 million Californians. The tax payments help support essential public services like education and public health and safety actions across the region.

The semi-annual property tax payments made today cover the period from July 1 to December 31, 2017.

Total payments for the full tax year of July 1, 2017 to June 30, 2018 are estimated to total more than $461 million—an increase of $50 million, or 12 percent, compared with the prior fiscal year, even as customer rates are expected to stabilize in the years ahead.

“Property tax payments provide crucial resources to the many communities where we live and work, supporting everything from education to public safety. By continuing to make local investments in gas and electric infrastructure, we are not only creating one of the safest and most reliable energy systems in the country, including wildfire risk reduction programs and related efforts, we’re investing in the local economy and helping our communities thrive,” said Jason Wells, senior vice president and chief financial officer for PG&E.

PG&E invested more than $5.7 billion last year and expects to invest $5.9 billion this year to enhance and upgrade its gas and electrical infrastructure amid power line fire risks across Northern and Central California.

Some recent investments include the construction of PG&E’s $75 millionGas Safety Academy in Winters in Yolo County, which opened in September. Last year, PG&E opened a $36 million, state-of-the-art electric distribution control center in Rocklin.

PG&E supports the communities it serves in a variety of ways. In 2016, PG&E provided more than $28 million in charitable contributions to enrich local educational opportunities, preserve the environment, and support economic vitality and emergency preparedness and safety, including its Wildfire Assistance Program for impacted residents. PG&E employees provide thousands of hours of volunteer service in their local communities. The company also offers a broad spectrum of economic development services to help local businesses grow.

 

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Hydro One wants to spend another $6-million to redesign bills

Hydro One Bill Redesign Spending sparks debate over Ontario Energy Board regulation, rate applications, privatization, and digital billing upgrades, as surveys cite confusing invoices under the Fair Hydro Plan for residential, commercial, and industrial customers.

 

Key Points

$15M project to simplify Hydro One bills, upgrade systems, and improve digital billing for commercial customers.

✅ $9M spent; $6M proposed for C&I and large-account changes.

✅ OEB to rule amid rate application and privatization scrutiny.

✅ Survey: 40% of customers struggled to understand bills.

 

Ontario's largest and recently privatized electricity utility has spent $9-million to redesign bills and is proposing to spend an additional $6-million on the project.

Hydro One has come under fire for spending since the Liberal government sold more than half of the company, notably for its CEO's $4.5-million pay.

Now, the NDP is raising concerns with the $15-million bill redesign expense contained in a rate application from the formerly public utility.

"I don't think the problem we face is a bill that people can't understand, I think the problem is rates that are too high," said energy critic Peter Tabuns. "Fifteen million dollars seems awfully expensive to me."

But Hydro One says a 2016 survey of its customers indicated about 40 per cent had trouble understanding their bills.

Ferio Pugliese, the company's executive vice-president of customer care and corporate affairs, said the redesign was aimed at giving customers a simpler bill.

"The new format is a format that when tested and put in front of our customers has been designed to give customers the four or five salient items they want to see on their bill," he said.

About $9-million has already gone into redesigning bills, mostly for residential customers, Pugliese said. Cosmetic changes to bills account for about 25 per cent of the cost, with the rest of the money going toward updating information systems and improving digital billing platforms, he said.

The additional $6-million Hydro One is looking to spend would go toward bill changes mostly for its commercial, industrial and large distribution account customers.

Energy Minister Glenn Thibeault noted in a statement that the Ontario Energy Board has yet to decide on the expense, but he suggested he sees the bill redesign as necessary alongside legislation to lower electricity rates introduced by the province.

"With Ontarians wanting clearer bills that are easier to understand, Hydro One's bill redesign project is a necessary improvement that will help customers," he wrote.

"Reductions from the Fair Hydro Plan (the government's 25 per cent cut to bills last year) are important information for both households and businesses, and it's our job to provide clear, helpful answers whenever possible."

The OEB recently ordered Hydro One to lower a rate increase it had been seeking for this year to 0.2 per cent down from 4.8 per cent.

The regulator also rejected a Hydro One proposal to give shareholders all of the tax savings generated by the IPO in 2015 when the Liberal government first began partially privatizing the utility. The OEB instead mandated shareholders receive 62 per cent of the savings while ratepayers receive the remaining 38 per cent.

 

 

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The Implications of Decarbonizing Canada's Electricity Grid

Canada Electricity Grid Decarbonization advances net-zero goals by expanding renewable energy (wind, solar, hydro), boosting grid reliability with battery storage, and aligning policy, efficiency, and investment to cut emissions and strengthen energy security.

 

Key Points

Canada's shift to low-carbon power using renewables and storage to cut emissions and improve grid reliability.

✅ Invest in wind, solar, hydro, and transmission upgrades

✅ Deploy battery storage to balance intermittent generation

✅ Support just transition, jobs, and energy efficiency

 

As Canada moves towards a more sustainable future, decarbonizing its electricity grid has emerged as a pivotal goal. The transition aims to reduce greenhouse gas emissions, promote renewable energy sources, and ultimately support global climate targets, with cleaning up Canada's electricity widely viewed as critical to meeting those pledges. However, the implications of this transition are multifaceted, impacting the economy, energy reliability, and the lives of Canadians.

Understanding Decarbonization

Decarbonization refers to the process of reducing carbon emissions produced from various sources, primarily fossil fuels. In Canada, the electricity grid is heavily reliant on natural gas, coal, and oil, which contribute significantly to carbon emissions. The Canadian government has committed to achieving net-zero by 2050 through federal and provincial collaboration, with the electricity sector playing a crucial role in this initiative. The strategy includes increasing the use of renewable energy sources such as wind, solar, and hydroelectric power.

Economic Considerations

Transitioning to a decarbonized electricity grid presents both challenges and opportunities for Canada’s economy. On one hand, the initial costs of investing in renewable energy infrastructure can be substantial. This includes not only the construction of renewable energy plants but also the necessary upgrades to the grid to accommodate new technologies. According to the Fraser Institute analysis, these investments could lead to increased electricity prices, impacting consumers and businesses alike.

However, the shift to a decarbonized grid can also stimulate economic growth. The renewable energy sector is a rapidly growing industry that, as Canada’s race to net-zero accelerates, promises job creation in manufacturing, installation, and maintenance of renewable technologies. Moreover, as technological advancements reduce the cost of renewable energy, the long-term savings on fuel costs can benefit both consumers and businesses. The challenge lies in balancing these economic factors to ensure a smooth transition.

Reliability and Energy Security

A significant concern regarding the decarbonization of the electricity grid is maintaining reliability and energy security, especially as an IEA report indicates Canada will need substantially more electricity to achieve net-zero goals, requiring careful system planning.

To address this challenge, the implementation of energy storage solutions and grid enhancements will be essential. Advances in battery technology and energy storage systems can help manage supply and demand effectively, ensuring that energy remains available even during periods of low renewable output. Additionally, integrating a diverse mix of energy sources, including hydroelectric power, can enhance the reliability of the grid.

Social Impacts

The decarbonization process also carries significant social implications. Communities that currently depend on fossil fuel industries may face economic challenges as the transition progresses, and the Canadian Gas Association has warned of potential economy-wide costs for switching to electricity, underscoring the need for a just transition.

Furthermore, there is a need for public engagement and education on the benefits and challenges of decarbonization. Canadians must understand how changes in energy policy will affect their daily lives, from electricity prices to job opportunities. Fostering a sense of community involvement can help build support for renewable energy initiatives and ensure that diverse voices are heard in the planning process.

Policy Recommendations

For Canada to successfully decarbonize its electricity grid, and building on recent electricity progress across provinces nationwide, robust and forward-thinking policies must be implemented. This includes investment in research and development to advance renewable technologies and improve energy storage solutions. Additionally, policies should encourage public-private partnerships to share the financial burden of infrastructure investments.

Governments at all levels should also promote energy efficiency measures to reduce overall demand, making the transition more manageable. Incentives for consumers to adopt renewable energy solutions, such as solar panels, can further accelerate the shift towards a decarbonized grid.

Decarbonizing Canada's electricity grid presents a complex yet necessary challenge. While there are economic, reliability, and social considerations to navigate, the potential benefits of a cleaner, more sustainable energy future are substantial. By implementing thoughtful policies and fostering community engagement, Canada can lead the way in creating an electricity grid that not only meets the needs of its citizens but also contributes to global efforts in combating climate change.

 

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Power Co-Op Gets Bond Rating Upgrade After Exiting Kemper Deal

Cooperative Energy bond rating upgrade signals lower debt costs as Fitch lifts GO Zone Bonds to A, reflecting Kemper exit, shift to owned generation, natural gas, and renewable energy for co-op members and borrowing rates.

 

Key Points

Fitch raised Cooperative Energy's GO Zone Bonds to A, cutting debt costs after Kemper exit and shift to natural gas.

✅ Fitch upgrades 2009A GO Zone Bonds from A- to A.

✅ Kemper divestment reduced risk and exposure to coal.

✅ Shift to owned generation, natural gas, renewables lowers costs.

 

Cooperative Energy and its 11 co-op members will see lower debt costs on $35.4 million bond; similar to regional utilities offering one-time bill decreases for customers recently.

Bailing out of its 15 percent ownership stake in Mississippi Power’s Kemper gasification plant, amid debates over coal and nuclear subsidies in federal policy, has helped Hattiesburg-based Cooperative Energy gain a ratings upgrade on a $35.4 million bond issue.

The electric power co-op, which changed its name to Cooperative Energy from South Mississippi Electric Power Association in November, received a ratings upgrade from A- to A for its 2009 2009A Mississippi Business Finance Corporation Gulf Opportunity Zone Bonds, even as other utilities announced bill reductions for customers during 2020.

“This rating upgrade reflects the success of our strategy to move from purchased power to owned generation resources, and from coal to natural gas and renewable energy as clean energy priorities gain traction,” said Cooperative Energy President/CEO Jim Compton in a press release.  “The result for our members is lower borrowing costs and more favorable rates.”

An “A” rating from Fitch designates the bond issue as “near premium quality,” a status noted as utilities adapted to pandemic-era electricity demand trends nationwide.

 

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French Price-Fixing Probe: Schneider, Legrand, Rexel, and Sonepar Fined

French Antitrust Fines for Electrical Cartel expose price fixing by Schneider Electric, Legrand, Rexel, and Sonepar, after a Competition Authority probe into electrical distribution, collusion, and compliance breaches impacting market competition and customers.

 

Key Points

Penalties on Schneider Electric, Legrand, Rexel, and Sonepar for electrical price fixing, upholding competition law.

✅ Competition Authority fined four major suppliers.

✅ Collusion raised prices across construction and industry.

✅ Firms bolster compliance programs and training.

 

In a significant crackdown on corporate malfeasance, French authorities have imposed hefty fines on four major electrical equipment companies—Schneider Electric, Legrand, Rexel, and Sonepar—after concluding a price-fixing investigation. The total fines amount to approximately €500 million, underscoring the seriousness with which regulators are addressing anti-competitive practices in the electrical distribution sector, even as France advances a new electricity pricing scheme to address EU concerns.

Background of the Investigation

The probe, initiated by France’s Competition Authority, sought to uncover collusion among these leading firms regarding the pricing of electrical equipment and services between 2005 and 2012. This investigation is part of a broader initiative to promote fair competition within the market, as Europe prepares to revamp its electricity market to bolster transparency, ensuring that consumers and businesses alike benefit from competitive pricing and innovative products.

The inquiry revealed that these companies had engaged in illicit agreements to fix prices and coordinate their market strategies, limiting competition in a sector critical to both the economy and infrastructure. The findings indicated that the collusion not only stifled competition but also led to inflated prices for customers, illustrating why rolling back electricity prices is often more complex than it appears for customers across various sectors, from construction to manufacturing.

The Fines Imposed

Following the conclusion of the investigation, the fines levied against the companies were substantial. Schneider Electric faced the largest penalty, receiving a fine of €220 million, while Legrand was fined €150 million. Rexel and Sonepar were each fined €70 million and €50 million, respectively. These financial penalties serve as a deterrent to other companies that might consider engaging in similar practices, reinforcing the message that anti-competitive behavior will not be tolerated.

The fines are particularly significant given the size and influence of these companies within the electrical equipment market. Their combined revenues amount to billions of euros annually, making the repercussions of their actions far-reaching. As major players in the industry, their pricing strategies have a direct impact on numerous sectors, from residential construction to large-scale industrial projects.

Industry Reactions

The response from the affected companies has varied. Schneider Electric expressed its commitment to compliance and transparency, acknowledging the importance of adhering to competition laws, amid ongoing EU electricity reform debates that influence market expectations.

Legrand also emphasized its commitment to fair competition, noting that it has taken steps to enhance its compliance framework in response to the investigation. Rexel and Sonepar similarly reaffirmed their dedication to ethical business practices and their intention to cooperate with regulators in the future.

Industry experts have pointed out that these fines, while significant, may not be enough to deter large corporations from engaging in similar behavior unless accompanied by a broader cultural shift within the industry. There is a growing call for enhanced oversight and stricter penalties to ensure that companies prioritize ethical conduct over short-term profits.

Implications for the Market

The fines imposed on Schneider, Legrand, Rexel, and Sonepar could have broader implications for the electrical equipment market and beyond. They signal to other companies within the sector that regulatory bodies are vigilant, even as nine EU countries oppose electricity market reforms proposed as fixes for price spikes, and willing to take decisive action against anti-competitive practices. This could foster a more competitive environment, ultimately benefiting consumers through better prices and enhanced product offerings.

Moreover, the case highlights the importance of regulatory bodies in maintaining fair market conditions. As industries evolve, ongoing vigilance from competition authorities will be necessary to prevent similar instances of collusion and ensure that markets remain competitive and innovative, as seen when New York opened a formal review of retail energy markets.

The recent fines imposed on Schneider Electric, Legrand, Rexel, and Sonepar mark a significant moment in France's ongoing battle against corporate price-fixing and anti-competitive practices, occurring as the government and EDF reached a deal on electricity prices to balance market pressures. With total penalties exceeding €500 million, the investigation underscores the commitment of French authorities to uphold market integrity and protect consumer interests.

As the industry reflects on these developments, it remains crucial for companies to prioritize compliance and ethical business practices. The ultimate goal is to create an environment where competition thrives, innovation flourishes, and consumers benefit from fair pricing. This case serves as a reminder that transparency and accountability are vital in maintaining the health of any market, particularly one as essential as the electrical equipment sector.

 

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Electricity distributors warn excess solar power in network could cause blackouts, damage infrastructure

Australian Rooftop Solar Grid Constraints are driving debates over voltage rise, export limits, inverter curtailment, DER integration, and network reliability, amid concerns about localized blackouts, infrastructure protection, tariff reform, and battery storage adoption.

 

Key Points

Limits on solar exports to curb voltage rise, protect equipment, and keep the distribution grid reliable.

✅ Voltage rise triggers transformer protection and local outages.

✅ Export limits and smart inverter curtailment manage midday backfeed.

✅ Tariff reform and DER orchestration defer costly network upgrades.

 

With almost 1.8 million Australian homes and businesses relying on power from rooftop solar panels, there is a fight brewing over the impact of solar energy on the national electricity grid.

Electricity distributors are warning that as solar uptake continues to increase, there is a risk excess solar power could flow into the network, elevating power outage risks, causing blackouts and damaging infrastructure.

But is it the network businesses that are actually at risk, as customers turn away from centrally produced electricity?

This is what three different parties have to say:

Andrew Dillon of the network industry peak body, Energy Networks Australia (ENA), told 7.30 the way customers are charged for electricity has to change, or expensive grid upgrades to poles and wires will be needed to keep solar customers on the grid.

"The engineering reality is once we get too much solar in a certain space it does start to cause technical issues," he said.

"If there is too much energy coming back up the system in the middle of the day, it can cause frequency voltage disturbances in the system, which can lead to transformers tripping off to protect themselves from being damaged and that will cause localised blackouts.

"There are pockets of the grid already where we have significant penetration and we are starting to see technical issues."

However, he acknowledges that excess solar power has yet to cause any blackouts, or damage electricity infrastructure.

"I don't buy that at all," he said.

"It can be that in some suburbs or parts of suburbs a high penetration of solar on the point of use can raise voltage, these issues generally can be dealt with quickly.

"The critical issue is think where you are getting that perspective from. It is from an industry whose underlying market is threatened by customers doing it for themselves through peer-to-peer energy models. So, think with some critical insight to these claims."

He said when too many people rely on solar it threatens the very business model of the companies that own Australia's poles and wires.

"When the customers use the network less to buy centrally produced electricity, they ship less product," he said.

"When they ship less product, their underlying business is undermined, they need to charge more to the customers left and that leads to what has been called a death spiral.

"We are seeing rapid reductions in consumption at the point of use per household."

But Mr Dillon denies the distributors are acting out of self-interest.

"I absolutely reject that claim," he said.

"[What] we, as networks, have an interest in is running a safe network, running a reliable network, enabling the transition to a low carbon future and doing all that while keeping costs down as much as possible."

Solar installers say the networks are holding back business

Around Australia the poles and wires companies can decide which solar systems can connect to the grid.

Small systems can connect automatically, but in some areas, those wanting a larger system can find themselves caught up in red tape.

The vice-president of the Australian Solar Council, Glen Morris, said these limitations were holding back solar installation businesses and preventing the take-up of new battery storage technology.

"If you've already got a five kilowatt system, your house is full as far as the network is concerned," Mr Morris said.

"You go to add a battery, that's another five kilowatts and so they say no you're already full … so you can't add storage to your solar system."

The powers that be are stumbling in the dark to prevent a looming energy crisis, as the grid seeks to balance renewables' hidden challenges and competing demands.

Mr Morris also said the networks had the capacity to solve the problem of any excess solar flows into the grid, and infrastructure upgrades were not necessary.

"They already have the capability to turn off your solar invertor whenever they feel like it," he said.

"If they choose to connect that functionality, it's there in the inverter. The customer already has it."

ENA has acknowledged there is frustration with rooftop system size limits in the solar industry.

"What we are seeing is solar installers and others slightly frustrated at different requirements for different networks and sometimes they are unclear on the reasons for that," Mr Dillon said.

"Limitations are in place across the country to keep the lights on and make sure the network stays safe and we don't have sudden rushes of people connecting to the grid that causes outage issues."

But Mr Mountain is unconvinced, calling the limitations "somewhat spurious".

"The published, documented, critically reviewed analyses are few and far between, so it is very easy for engineers to make these arguments and those in policy circles only have so much tolerance for the detail," he said.

 

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UK Energy Industry Divided Over Free Electricity Debate

UK Free Electricity Debate weighs soaring energy prices against market regulation, renewables, and social equity, examining price caps, funding via windfall taxes, grid investment, and consumer protection in the UK's evolving energy policy landscape.

 

Key Points

A policy dispute over free power, balancing consumer relief with market stability, renewables, and investment.

✅ Pros: relief for households; boosts efficiency and green adoption.

✅ Cons: risks to market signals, quality, and grid investment.

✅ Policy options: price caps, windfall taxes, targeted subsidies.

 

In recent months, the debate over free electricity in the UK has intensified, revealing a divide within the energy sector. With soaring energy prices and economic pressures impacting consumers, the discussion around providing free electricity has gained traction. However, the idea has sparked significant controversy among industry stakeholders, each with their own perspectives on the feasibility and implications of such a move.

The Context of Rising Energy Costs

The push for free electricity is rooted in the UK’s ongoing energy crisis, exacerbated by geopolitical tensions, supply chain disruptions, and the lingering effects of the COVID-19 pandemic. As energy prices reached unprecedented levels, households faced the harsh reality of skyrocketing bills, prompting calls for government intervention to alleviate financial burdens.

Supporters of free electricity argue that it could serve as a vital lifeline for struggling families and businesses. The proposal suggests that by providing a certain amount of electricity for free, the government could help mitigate the effects of rising costs while encouraging energy conservation and efficiency.

Industry Perspectives

However, the notion of free electricity has not been universally embraced within the energy sector. Some industry leaders express concerns about the financial viability of such a scheme. They argue that providing free electricity could undermine the market dynamics that incentivize investment in infrastructure and renewable energy, in a market already exposed to natural gas price volatility today. Critics warn that if energy companies are forced to absorb costs, it could lead to diminished service quality and investment in necessary advancements.

Additionally, there are worries about how free electricity could be funded. Proponents suggest that a tax on energy companies could generate the necessary revenue, but opponents question whether this would stifle innovation and competition. The fear is that placing additional financial burdens on energy providers could ultimately lead to higher prices in the long run.

Renewable Energy and Sustainability

Another aspect of the debate centers around the UK’s commitment to transitioning to renewable energy sources. Supporters of free electricity emphasize that such a policy could encourage more widespread adoption of green technologies by making energy more accessible. They argue that by removing the financial barriers associated with energy costs, households would be more inclined to invest in solar panels, heat pumps, and other sustainable solutions.

On the other hand, skeptics contend that the focus should remain on ensuring a stable and reliable energy supply as the UK moves toward its climate goals. They caution against implementing policies that might disrupt the balance of the energy market, potentially hindering the necessary investments in renewable infrastructure.

Government's Role

As discussions unfold, the government’s role in this debate is crucial. Policymakers must navigate the complex landscape of energy regulation, market dynamics, and consumer needs. The government has already introduced measures aimed at assisting vulnerable households, such as energy price caps and direct financial support. However, the question remains whether these initiatives go far enough in addressing the root causes of the energy crisis.

In this context, the government faces pressure from both consumers demanding relief and industry leaders advocating for market stability, including proposals to end the link between gas and electricity prices to curb price volatility. The challenge lies in finding a middle ground that balances immediate support for households with long-term sustainability and investment in the energy sector.

Future Implications

The ongoing debate about free electricity in the UK underscores broader themes related to energy policy, market regulation, and social equity, with rising electricity prices abroad offering context for comparison. As the country navigates its energy transition, the decisions made today will have far-reaching implications for both consumers and the industry.

If the government chooses to pursue a model that includes free electricity, it will need to carefully consider how to implement such a system without jeopardizing the market. Transparency, stakeholder engagement, and thorough impact assessments will be essential to ensure that any new policies are sustainable and equitable.

Conversely, if the concept of free electricity is ultimately rejected, the focus will likely shift back to addressing energy costs through other means, such as enhancing energy efficiency programs or increasing support for vulnerable populations.

The divide within the UK’s energy industry regarding free electricity highlights the complexities of balancing consumer needs with market stability. As the energy crisis continues to unfold, the conversations surrounding this issue will remain at the forefront of public discourse. Ultimately, finding a solution that addresses the immediate challenges while promoting a sustainable energy future will be key to navigating this critical juncture in the UK’s energy landscape.

 

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