SMUD proposes rate hikes in coming years. How much might your bill increase?
SMUD is proposing a 3% electricity rate hike in 2026 and 2027 for all its users.
The average residential electricity customer will see an increase of about $4.35 per month next year and $4.48 beginning in 2027, according to a Sacramento Municipal Utility District fact sheet. The increase would affect all residential and nonresidential customers.
SMUD said that the rate increases are needed to invest in new power generation and storage projects, infrastructure improvements and a new administrative operations building. They also noted increased costs associated with wildfire prevention efforts and inflation impacts.
SMUD has also proposed an optional time-of-day, or low use, rate for customers with low energy usage and a small panel size. The proposed rate is similar to the current time-of-day (5 p.m. to 8 p.m.) rate but with a lower monthly infrastructure fixed charge and higher energy charges.
The not-for-profit electric utility claims that the increased rates, if approved, would remain about 50% lower than PG&E.
The utility will hold two public workshops at its headquarters in the following weeks to answer questions and gain public feedback on the proposal. The workshops are 5:30 p.m. Wednesday and 10 a.m. May 13 at 6201 S St.
SMUD will then hold a public hearing 6 p.m. June 4. The board will make its final decision at a board meeting June 19.
