PG&E Bills Keep Rising. What Can You Do to (Potentially) Lower Your Bills?

This might not come as a shock, Bay Area: Your utility bill is expensive.

California’s residential electricity rates are almost double the rest of the nation, according to a report by the state Legislature’s nonpartisan advisers earlier this month — which says your costs are “mostly driven by high rates charged by the state’s three large investor‑owned utilities,” including PG&E.

Many Bay Area residents have long been frustrated with — and even organized against — Northern California’s main utility supplier. The last major PG&E rate hike in January 2024 saw the average household gas and electric bill increase by $34.50 a month — and California regulators approved six such rate increases in 2024.

PG&E says the increasing cost will, among other things, help cover vegetation management — a practice that could help prevent wildfires. Last year, the company paid $45 million in a settlement after it was found that a 2021 wildfire started when a tree fell and hit PG&E equipment.

• Jump straight to: Ways to potentially reduce your PG&E bills

The strain of high utility bills

California’s electricity rates have been increasing rapidly in recent years, the state report says — “not only growing faster than inflation but also outpacing growth in other states.”

In its December 2024 end-of-year update, PG&E representatives offered that customers’ bills — and electricity in particular — will steady or even decrease in price after last year’s historic price hikes. However, in the same update, PG&E says that gas prices were slated to increase by 8.6% — an increase for customers that PG&E Director of Rate Analysis Ben Kolnowski attributed to “colder forecast temperatures and higher gas rates.”

Such sharp rises in utility bills can be a breaking point for some households. And the high cost of heating our homes — especially in these colder winter months — and using necessary appliances has many Bay Area residents looking for ways they could reduce their bills wherever possible.

If you’re one of them, keep reading for advice on how you could potentially decrease the costs of electricity and gas in your home — albeit often by small amounts, and against this backdrop of rising rates.

Check if you’re eligible for a PG&E discount program

PG&E has two discount programs called CARE and FERA, both of which offer a discount on your bills — and depending on how much you earn you may qualify for one of them. The utility also has other one-time aid programs, like the Energy Savings Assistance program.

You can read about these programs — and see if you’re eligible for them based on your income or location — in our separate guide on PG&E’s discounts.

Keep the temperature of your appliances in mind

CleanPowerSF — which is part of the San Francisco Public Utilities Commission — recommends you try setting your fridge to 38 degrees and setting your water heater to 120 degrees.

PG&E also recommends you use cold water settings when doing your laundry to save on energy. If you’re skeptical, “modern detergents work great in cold water,” PG&E says.

Unplug electronics when you’re not using them

Even when you’re not actively using them, plugged-in devices can still use low levels of electricity — called “standby energy consumption,” or “vampire loads.” The National Renewable Energy Laboratory says this kind of energy usage adds up to around $200 on average a year, per household.

To prevent this, make sure you’re not leaving your appliances plugged in constantly. This could include turning off overhead fans when you’re leaving a room, and setting power strips to “off” when not in use.

Before you go to sleep, do a sweep of your house, to make sure nothing is left running — or plugged in — overnight.

Choose smaller kitchen appliances over your oven

PG&E says that reheating food like leftovers in a microwave can use up to 80% less than a standard oven. CleanPowerSF similarly recommends that you try a toaster oven too, or your stovetop.

Don’t forget your ceiling fan can help keep your home warm

In summer, your ceiling fan should spin counterclockwise, to push air down and create a breeze.

But in winter, you can use the direction switch (usually located on the side of the fan) to reverse the spin so the blades run clockwise at a low speed instead. This will push down the warm air near the ceiling and redistribute it throughout the room.

Consider using smart power strips

Traditional power strips — the ones you can plug several different devices into — can still cause those vampire loads if you don’t turn them off. Smart power strips can detect when a device has gone into standby mode and automatically cut power off to the strip.

There are several different kinds of smart power strips, including ones with timers and motion-controlled strips that detect when you’re not in the room. Read more about smart strips from The National Renewable Energy Laboratory.

Know the thermostat rule of thumb

You should set your thermostat to 68 degrees in winter and 73 degrees in summer, according to OhmConnect, an Oakland-based energy-saving program.

But when you leave the house, set the thermostat to 56 degrees or shut it off entirely, recommends PG&E, which notes that doing this 8 hours a day could “save 5%–15%” on an annual heating bill.

You can also selectively use space heaters — or fans in summer — instead of your central heating/cooling, but bear in mind that these appliances also use energy.

Check the filters of your air conditioner every other month

Dirtier filters work harder and use more energy, so be sure to change them when needed, using low-cost replacement filters from a local hardware store.

Consider taking shorter showers

Spending less time in the shower can reduce the costs of heating this water.

Stop warm air escaping your home

Close any curtains, shades or blinds you have at night — and while you’re out of the house — PG&E says, which can help prevent warm air from escaping.

In a similar vein, be sure to plug up any places where drafts enter your home, like using a door draft stopper.

Check if you’re enrolled in the Time-of-Use Rate plan

CleanPowerSF notes that many Californians are under a Time-of-Use Rate with PG&E — meaning they are paying higher rates in “peak hours” like 4 p.m. to 9 p.m.

Residents can enroll in different time-of-use rate plans that choose different “peak” hours. You can use your online profile on PG&E’s site while signed in to see the hours you’re using the most energy.

CleanPowerSF recommends you try doing your high-powered, high-energy chores at specific hours, like running the dishwater or doing the laundry before 4 p.m. or after 9 p.m. PG&E suggests you load up these appliances throughout the day but wait until night to run them.

Try talking to an energy-saving professional

Some organizations in the Bay Area provide advice or tools on how to utilize energy-saving techniques through a call, online or in-home visit.

You can look up services in your area using the state’s searchable database. Programs include Rising Sun, BayRen’s free Green House calls and PG&E’s free home energy check-up.

Private companies like QuitCarbon and RockRabbit can also offer these services.

Jan. 24:  A previous version of this story misstated the timing of PG&E’s last major rate hike which saw the average household gas and electric bill increase by $34.50 a month. The increase took effect in January 2024, not January 2025 as originally stated.