With energy affordability top of mind for both our customers and for us as stewards at SDG&E, we’re taking bold steps to make customer bills as low as possible.  

Through our ‘Fit for 2025’ business initiative, designed to lower the company’s cost structure, we requested approval from the California Public Utilities Commission (CPUC) to discontinue several energy efficiency programs. If approved, this cost-saving measure would reduce administrative costs and increase energy affordability for our customers.

The strategic move is expected to save our customers over $300 million between 2026 and 2031 by consolidating programs that lack measurable benefits. This aligns with Governor Gavin Newsom’s October 2024 Executive Order and a State Auditor report, both of which recommended modifying or phasing out ineffective ratepayer-funded programs.
  
Additionally, in a report released in March 2025, Cal Advocates urged the CPUC to stop funding programs that are not cost-effective or beneficial. It’s important to understand that these cost-reducing efforts do not impact low-income programming, including the California Alternate Rates for Energy and Family Electric Rate Assistance programs.

This initiative is part of our company’s broader effort to enhance affordability for families and businesses while maintaining exemplary service, reliability and safety. Understandably, this proposal has gained interest from customers and local media, including the San Diego Union-Tribune; read their coverage here.

We will continue to keep you informed on other energy affordability initiatives under way as they progress.