PG&E Rate Increases in 2026: Why Bakersfield Homeowners Are Switching to Solar

Electricity Costs Are Climbing — Fast

If you’ve noticed your PG&E bill creeping up, you’re not imagining it. California electricity rates have increased by an average of 8% per year over the past decade, and 2026 is no exception.

The Numbers Don’t Lie

Year Average PG&E Rate (per kWh) Annual Cost (1,000 kWh/mo)
2021 $0.23 $2,760
2023 $0.32 $3,840
2025 $0.38 $4,560
2026 $0.41 $4,920

 

2021 $0.23 $2,760
2023 $0.32 $3,840
2025 $0.38 $4,560
2026 $0.41 $4,920

 

2023 $0.32 $3,840
2025 $0.38 $4,560
2026 $0.41 $4,920

 

2025 $0.38 $4,560
2026 $0.41 $4,920

That’s nearly $2,200 more per year compared to just five years ago for an average Bakersfield household.

Why Rates Keep Rising

Several factors drive PG&E’s rate increases:

  1. Wildfire liability costs passed to ratepayers
  2. Grid infrastructure upgrades across California
  3. Regulatory compliance with state clean energy mandates
  4. General inflation in materials and labor

How Solar Protects You

When you install solar panels, you essentially lock in your electricity rate at today’s cost:

  1. Fixed monthly payments with solar financing (often lower than your current bill)
  2. No exposure to future PG&E rate increases
  3. 25-year panel warranty means decades of predictable costs
  4. Battery storage adds protection against time-of-use rate spikes

The Math: Solar vs. PG&E Over 25 Years

For a home using 1,000 kWh/month:

  • Without solar: ~$175,000 in electricity costs (assuming 6% annual increases)
  • With solar: ~$45,000 total system cost (after tax credits) + minimal grid charges
  • Net savings: $120,000+

Real Example: The Martinez Family

The Martinez family in Southwest Bakersfield was paying $380/month to PG&E. After installing an 8.6 kW system with Discount Solar:

  • Monthly solar payment: $165/month
  • Monthly PG&E bill: $12/month (grid connection fee)
  • Total monthly cost: $177/month
  • Monthly savings: $203
  • Annual savings: $2,436

Don’t Wait for Rates to Climb Higher

Every month you wait, PG&E rates go up while solar installation costs remain stable. The best time to switch was yesterday — the second best time is today.

Get your free estimate and see exactly how much you’ll save with Discount Solar Solutions.

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