San Diegans have a power problem, sweating under America’s highest utility costs while the private investors behind San Diego Gas & Electric rake in over $1 billion in annual profits. But now voters can choose a real solution via a ballot initiative proposed by Power San Diego.
Let’s fire the SDG&E monopoly this November. That’s what our grassroots nonprofit group proposes with this ballot initiative. Let’s follow the proven model to cut utility costs from Los Angeles, Seattle, Austin and scores of other cities nationwide.
City of San Diego voters have until May 14 to sign here to get this on the ballot.
SDG&E is a publicly regulated utility that is actually a for-profit investor-owned subsidiary of Sempra Energy, which recorded 2023 profits of $3 billion. SDG&E’s share of that profit is over $1 million a day.
The move for San Diego ratepayers would lower our power bills by an estimated 20%. Over the next two decades, that’s some $20 billion in long-term savings. More than just a power problem, too many San Diegans suffer from a power bill problem, with 1-in-4 in at least 30 days behind on their winter SDG&E bills, according to a recent analysis.
How San Diego benefits:
COST SAVING: By terminating SDG&E’s contract with the city of San Diego, the ballot initiative would establish a new not-for-profit municipal utility with a mandate to deliver affordable and reliable clean electricity
ENHANCES PUBLIC SAFETY: Localizes city power generation, strengthening our community resources especially important in emergencies like floods and wildfires
COMPETITIVENESS: Ends SDG&E blocks on proven energy technology like solar panels on rooftops and parking lots. Their control of our local electric grid impedes transition to low-cost clean energy, and discourages expansion into emerging new energy tech.
By putting our locally generated power into a true nonprofit, San Diegans stand to gain a potential $365 million a year savings now being siphoned from utility profits. Imagine what we could gain for or community by re-invest hundreds of millions away from profits for a few, and invest instead into high-impact solutions like affordable housing and expanding viable energy solutions like expanding effective solar power?
NO NEW TAXES: Power San Diego will pay SDG&E a fair price for the electric distribution grid. The purchase will be financed with no city funds or new taxes; instead, the purchase will be self-financed using low-interest, long-term revenue bonds to be paid off by electricity customers.
The cost to repay the bonds will be small compared to the large savings realized; and the city’s finances will not be exposed to any new debt.
Without change, things will get even worse. SDG&E has requested 10% per year electricity rate increases through 2027 from the California Public Utilities Commission, and wants to spend billions more on remote projects requiring costly transmission towers and lines.
With these, SDG&E’s profits — and our electricity rates — will continue soaring. Time is running out to sign the petition to let voters decide.
Power San Diego volunteer Lisa Petrillo, a longtime San Diegan, is a science writer and award-winning journalist.