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SDG&E announces additional $16 million to help vulnerable ratepayers

A SDG&E work truck parked on the San Diego State University campus. Jan. 19, 2023.
Ben Lacy
/
KPBS
A SDG&E work truck parked on the San Diego State University campus. Jan. 19, 2023.

Utility company San Diego Gas & Electric (SDG&E) will provide an additional $16 million in shareholder funding to help ratepayers with their bills, it was announced Monday.

A total of $10 million is headed toward a new program which will "support local nonprofit, community-based organizations that provide essential services to vulnerable customers," a company statement said.

"The unprecedented natural gas prices in the Western U.S. this winter have put a strain on families, and we must do more to help ease the financial burden facing our customers," said SDG&E CEO Caroline Winn. "We are listening and remain focused on supporting the communities we serve during this challenging time. This additional funding will continue our efforts in assisting customers experiencing hardships."

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Additionally, SDG&E said it will increase funding for its Neighbor-to-Neighbor bill assistance program to $6 million while doubling the amount of financial support available to each qualifying customer and expanding eligibility to ensure more customers can take advantage of the program.

After reaching historic highs this winter due to what SDG&E called "unprecedented market conditions in the Western United States," the commodity price of natural gas in February decreased by 68% from January's prices, from $3.45 per therm to $1.11 per therm. The price per therm was $2.36 in January 2022, as a comparison.

What this means for the typical residential customer is a gas bill — comprised of the commodity cost plus delivery charges and other mandated fees and taxes — is expected to decrease to about $110 this month, from about $225 in January, according to a statement from the utility.

March natural gas commodity prices, which will be released Tuesday, are forecasted to be significantly lower than January and February, an SDG&E statement read, driven in part by the restoration of service to a critical out- of-state pipeline.

SDG&E will begin collaborating with local nonprofit organizations and seek proposals for the new $10 million initiative that "support programs that uplift vulnerable and lower-income residents, including seniors and those who are food insecure."

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"United Way of San Diego County has a long history of working with SDG&E to help underserved populations and addressing inequities in this region," said Nancy L. Sasaki, CEO of United Way of San Diego County. "I commend SDG&E for its latest giving initiatives. This type of community investment is critical to uplifting struggling families, helping create a brighter future for all."

The Neighbor-to-Neighbor program, established in January and funded entirely by SDG&E shareholder dollars, is intended to provide eligible customers with up to $300 to offset their outstanding bills.

The additional funding announced Monday means that even more customers who need bill assistance can now receive up to $600 per household per year. SDG&E customers may apply if they are experiencing serious illness, temporary unemployment, disability or unusual hardship. Customers are encouraged to call 211 San Diego or 211 Orange County for assistance with the program.

"Every day, 211 San Diego works with thousands of individuals and families to connect them to important and much needed community, health, and social services and programs," said 211 San Diego President and CEO William York. "We believe access to these critical services is the foundation for individuals and families to build and sustain healthy lives. SDG&E's ongoing financial commitment to San Diego provides that vital support and assistance to vulnerable residents who need that help."

More information on assistance programs can be found at sdge.com/assistance.