Your SMUD bill is about to go up again — and it’s not because of summer rates. Here’s why
Sacramento Municipal Utility District customers will soon be looking at higher electricity bills — and the increase has nothing to do with summer.
Starting Wednesday, all SMUD customers will absorb a rate increase of 2.75%, according to a Thursday email sent to newsletter subscribers in some Sacramento neighborhoods.
That’s roughly $3.72 extra per month for the average residential customer, but prices could vary depending on how much electricity is used.
“Our rates continue to be among the lowest in California, and on average more than 50% lower than those of neighboring (Pacific Gas & Electric),” the utility company wrote in an email. SMUD wrote on its website that it promises to keep rate increases within inflation through 2030.
The upcoming increase is one month shy of the start of summer rates, which traditionally means higher electrical bills.
Two more rounds of 2.75% rate increases are scheduled next year.
Why is my bill going up?
SMUD approved rate increases last summer. In an resolution in September 2023, the utility company said the rate hike is needed to meet its financial goals in 2024 and 2025.
Wildfire prevention, infrastructure development, clean energy requirements and increased operation costs were cited as reasons behind the increase.
“We work hard to control costs and operate as efficiently as possible,” the utility company said on its website.
On Jan. 1, customers received a 2.75% rate increase, with the average residential customer footing $3.61 more per month.
After May 1, the 2025 rate increases are scheduled for:
Jan. 1: 2.75% increase or $3.81 extra per month
May 1, 2025: 2.75% increase or $3.92 extra per month
Discounts for SMUD customers
The Energy Assistance Program Rate offers additional discounts to individuals who qualify.
You can check if you’re eligible through the SMUD website.
SMUD representatives were not available for comment.
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