The California Air Resources Board (ARB) and California Public Utilities Commission (CPUC) today announced that millions of California households will see an average $35 Climate Credit appear on their April electric bills. A similar credit will be given in October. The reduction in the bills is due to payments by power plants and industries that, under California’s climate program, purchase permits when they put carbon pollution into the air.
The credit is calculated according to rules established by the CPUC. The payments and CPUC rules, in turn, are the result of California's Global Warming Solutions Act of 2006.
Although a modest amount, the credit should be seen as welcome news to many Bakersfield and Kern County residents, whose summer electric bills have been astronomical over the last few years.
“The Climate Credit is part of an array of programs developed by California to fight climate change and improve air quality. This includes cars that use less gas, cleaner electricity, and more energy efficient homes. This saves money and cleans the environment,” said Mary D. Nichols, ARB Chairman. “If homeowners and businesses use the credit to purchase some of the newest energy
efficient light bulbs or other energy-saving equipment they will save even more.”
The Climate Credit is one of many different programs under the Global Warming Solutions Act, including:
- a required reduction in greenhouse gas emissions to 1990 levels by 2020.
- a requirement that a third of electricity used in California must come from clean, renewable sources like wind and solar by 2020.
- a Low Carbon Fuel Standard that will deliver a new generation of cleaner fuels, including renewable fuels like biodiesel.
- a zero-emission vehicle regulation that requires that one of every seven cars sold in 2025 be fully zero-emission, a mandate supported by Governor Brown’s 2012 Executive Order to provide fueling infrastructure for these ultra-clean cars.