California, another one of those news we like to give. There will be an automatic refund in October, this was confirmed by Gavin Newsom, the governor. More than 11.5 million households will receive an automatic credit on their electricity bill, news we love.
It is the California Climate Credit, and it is designed to help Californians with their electricity bills and help the state’s energy transition.
Each customer will see an approximate discount of about 61 dollars, although the exact figure will depend on each household’s consumption, it can range from 35 to 259 dollars. And it will not be only for families, also for small businesses included in the program. It is all part of a broader plan that will allocate up to 60 billion dollars in electricity credits from now to 2045. They call it the transition!
How the refund will be applied
It will be very easy, the only thing you will have to do is: nothing. The credit will be automatically loaded on your October bill, no paperwork, no registrations, nothing.
As we said before, for most households, the reduction will be between 56 and 81 dollars, although there will be specific cases that will receive much more.
At the same time this happens, the state will allocate about 60 million dollars so that small businesses can also benefit from this relief.
Is there more?
This credit does not come alone, last April Californians already received another similar refund, and if we add both, it is 198 dollars per household that Californians have received to help pay their electricity bills. California is taking very seriously helping its residents with bills, and we appreciate it a lot.
And wait, because starting in 2026, the credits will grow progressively. The goal of Newsom’s government is to channel those 60 billion dollars in benefits over the next two decades, and all this plan is financed through the Cap-and-Invest program, managed by California Air Resources Board and which raises funds by limiting emissions and promoting clean investments.
Money in times of inflation
Think about it, in a state with one of the highest costs of living in the country, receiving almost 200 dollars a year in refunds does not solve everything, but it does give relief to those who are struggling or who each month must look at what to spend their savings on, so, for now, we really like these measures.
Clean energy!
Although the first thing you notice is the discount on the bill, the core of the program is to reinforce the transition to renewable energies. Each credit financed with this system makes consumers be “rewarded” while the state gradually eliminates fossil fuels.
So, this October Californians will have an extra gift, a credit (called climate credit), a discount on electricity bills. The energy change is coming for this state and for its inhabitants, a way to show that the transition can arrive for everyone and not drive us crazy!
Q&A
- What has Governor Gavin Newsom announced? More than 11.5 million households in California will receive automatic refunds on their electricity bills in October.
- And why? Part of the California Climate Credit.
- How much money will each household receive? Approx. $61 per family, but it can vary between $35 and $259.
- Who qualifies for this refund? All residential households and small businesses that meet the requirements set by the state and are enrolled in participating electricity companies.
- Do I have to do anything to receive the refund? No. Californians do not need to do any paperwork. The credit will be applied automatically.
- Are more refunds expected in the future? Yes. According to the governor, up to $60 billion will be allocated to the program until 2045, so refunds are expected to increase starting in 2026.