SAN FRANCISCO--(BUSINESS WIRE)--
Pacific Gas and Electric Company (PG&E) today submitted a proposal to
the California Public Utilities Commission (CPUC) to establish new
commercial electric vehicle (EV) charging rates to help drive more rapid
customer adoption.
PG&E’s proposal will make EV charging simpler and more affordable for
fleet vehicles and charging stations at apartment buildings, workplaces
and other public locations in Central and Northern California. Combining
the new rate with PG&E’s efforts to accelerate EV adoption will drive
progress toward California’s shared climate goals and result in cleaner
air for all.
As EV charging stations become more common in places such as
multi-family residences, businesses, transit stations and other
commercial spaces, PG&E has recognized that the existing rate structure
does not best meet the needs of commercial EV charging. Currently,
public or fleet EV chargers on PG&E’s commercial electric rates can see
higher costs than the typical business customer, on average. These costs
pose challenges to the expansion of EVs and needed charging stations.
“Expanding the use of electric vehicles is essential for California to
achieve its bold climate and clean-air goals.As EV adoption has
continued to grow in California, PG&E has recognized the need to create
pricing plans that enable customers to take advantage of this clean
technology that’s vital to our future,” said Steve Malnight, PG&E’s
senior vice president for Energy Supply and Policy. “Charging an
electric vehicle is different than powering a building. EV charging will
be simpler, more affordable and more consistent under this proposed
plan.”
Under the existing rate structure, high-power public EV chargers that
are on business electric rates can incur demand charges, a cost included
on commercial customer bills that are calculated based on the peak
electricity usage of a customer during a billing period. Planning around
and managing these demand charges pose unique and significant challenges
to EV charging projects.
Rates Tailored for Customer Needs
PG&E’s proposal would replace demand charges with new subscription
pricing, which allows customers to choose the amount of power they need
for their charging stations, similar to choosing a data plan for a
cell-phone bill. This subscription charge is much lower than current
demand charges, and allows customers to have simpler, more consistent
monthly costs.
Access to more affordable rates and greater bill certainty will help
innovative California business make new investments in EV infrastructure
and commercial fleets. Stakeholders in the clean transportation sector
were quick to endorse PG&E’s proposal:
“ChargePoint applauds PG&E for the innovative commercial electric
vehicle rate proposal that will, if approved, benefit EV drivers by
significantly reducing barriers for operating charging stations in
California,” said Renee Samson, director of utility solutions for
ChargePoint, Inc., a California-based EV infrastructure company.
“ChargePoint was happy to collaborate with PG&E and others on the effort
and hopes this rate design will serve as an example for utilities around
the country moving to support transportation electrification.”
“As one of the largest energy providers in California, PG&E plays an
essential role in accelerating the transition to electric vehicles,”
said Ryan Popple, chief executive officer for Proterra, a leading
innovator in electric bus manufacturing. “PG&E’s proposal simplifies EV
charging rate structures to make it more affordable. Electric vehicles
offer the potential to lower electricity prices for all Californians, as
electric vehicle batteries can provide a variety of grid services,
including storage for renewable solar and wind power. California
utilities are an important partner in achieving the state’s clean energy
objectives, and we hope to see utilities nationwide follow their example
in accelerating the essential transition to electric vehicles.”
“Creative new rate designs that help transit fleets like ours save on
fuel costs will help enable us to make the transition to a 100-percent
clean fleet, further reducing emissions on behalf of the residents that
rely upon our fleet for safe, efficient, and reliable transportation
throughout San Joaquin County,” said Donna DeMartino, chief executive
officer for San Joaquin Regional Transit District. “Progress toward a
zero-emission fleet requires solutions that address charging costs,
infrastructure, and incentives for vehicle replacements. PG&E’s proposed
rate design provides a critical portion of that solution, and its
approval will help bring us closer to our zero-emission goal.”
Ongoing Support for EV Adoption
The commercial EV rate proposal builds on successful residential EV
rates that PG&E has offered since 2013. More than a quarter of EV
drivers in PG&E’s service territory have signed up for the residential
EV rate, which offers charging rates overnight at the equivalent of
about $1.20 per gallon of gasoline. EV buyers in California have said
saving money on fuel costs is the primary reason they chose to go
electric. PG&E also offers customers a $500
Clean Fuel Rebate when they purchase an EV – enough to cover about a
year’s worth of driving costs. Customers can learn more about EVs by
viewing PG&E’s
online resources and get help determining which rate plan makes
sense for them.
With the Clean
Energy & Pollution Reduction Act (Senate Bill 350) signed into
law on October 7, 2015, the California Legislature recognized the role
of energy companies in developing necessary EV infrastructure to help
the state meet climate and clean-air goals. Through its EV
Charge Network program, PG&E aims to help accelerate the adoption of
EVs in California by increasing access to charging. Partnering with
business customers and EV charging companies, PG&E will install 7,500 EV
chargers at condominiums, apartment buildings and workplaces across
Northern and Central California, including at sites in disadvantaged
communities. PG&E will be launching similar incentive programs for medium-
and heavy-duty fleet charging and public fast charging stations
early next year.
To learn more about other options for EV drivers, visit pge.com/ev.
About PG&E
Pacific Gas and Electric Company, a subsidiary of PG&E
Corporation (NYSE:PCG), is one of the largest combined natural gas
and electric energy companies in the United States. Based in San
Francisco, with more than 20,000 employees, the company delivers some of
the nation’s cleanest energy to nearly 16 million people in Northern and
Central California. For more information, visit www.pge.com/
and www.pge.com/en/about/newsroom/index.page.
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Pacific Gas and Electric Company
James Noonan, 415-973-5930
Source: Pacific Gas and Electric Company