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Overview Electricity is a vital part of California's food and fiber industries. Statewide, Agricultural operators utilize 7.3% of the California's total consumption. Usage of this electricity includes pumping groundwater for irrigation, drying various crops and grains, climate control in greenhouses, frost protection as well and milk production and processing. Since 1980, the average retail price of electricity in California has risen from 6.66 cents/kwh to 15.18 cents/kwh in 2002 for Agricultural Class customers. This represents a 17.4% increase in electricity prices charged after adjusting for inflation. Prior to 2000, overall prices had actually decreased for ag consumers by 7.4%. When the energy crisis of 2000-2001 hit, retail prices took their biggest jump, increasing 26% from 1999-2002 for agricultural consumers in just three years. The lingering effects of the Energy Crisis are still felt throughout California today. Long-term contracts signed by the State of California and the volatility of the energy generation markets indicate that Californian's will continue to feel the effects of the crisis for years to come.
Utilities and Tariff Rates Most Californian's receive their electricity service from one of the three major investor-owned utilities: Pacific Gas and Electric (PG&E), Southern California Edison (SCE) and San Diego Gas and Electric (SDG&E). The California Public Utilities Commission (PUC) governs these entities and the rates they charge consumers. Municipal and Irrigation Districts also sell electricity for retail, and are more generally governed by the California Legislature. For customers of the three Utilities, agricultural customers are served under a variety of tariff rates, which determine the demand charges, energy charges, are various other fees associated with the billing process. Below are links to the tariff rate schedules for the three Utilities: PG&E: http://www.pge.com/customer_services/business/tariffs/ SCE: http://www.sce.com/sc3/005_regul_info/005a_tariff_book/005a3_rates/005a3c_agri_rates.htm SDG&E: http://www.sdge.com/tariff/elec_misc.shtml
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Agricultural Energy Consumers Assocation 925 L Street, Suite 800 / Sacramento, CA 95814 (916) 447-6206
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