Natural gas prices are dropping all over the country except for California. That is because California is going for renewable energy in a big way and the power companies have bought into that fallacy. Just as California is in the middle of winter when they need gas more than any other time of year, the prices are spiking due to the policies of the Democratic liberals will be killing the poor and the middle class. This is stealth rationing by the state government.
California’s biggest energy companies, among them SoCalGas, announced Friday that, due to a spike in prices:
“January bills are likely to be shockingly high. While we don’t set these prices (they’re set by regional and national markets), nor does SoCalGas actually profit from rising prices, we want our customers to know that we understand that this may be a shock and a hardship for some.”
Welcome to Gloriaville.
San Diego Gas & Electric is warning customers to expect their bill to skyrocket for this month, as new rates took effect January 1st.
The company warns prices will be double what they were in January 2022.
— KUSI News (@KUSINews) January 4, 2023
SoCalGas will be tripling its donation to a fund that helps people pay their utility bills and they swear that they will not make a dime from the increased prices. I’m not sure that is true but it very well could be. Left unsaid is that these high prices are part of the usual global warming, windmills, rainbows, save the earth, kill the people cabal into which energy companies have been willingly conscripted. California’s energy policy is really hard to fathom, but the new regulations and the banning of drilling for gas and oil will drive prices up.
On day one of his presidency, Joe Biden revoked drilling permits and ended pipeline programs. he made it clear that he plans to eliminate gas, oil, and coal from their power grid. In the recent cold snap, people got to see that renewable energy just won’t cut it when there is no sun or wind. Had the cold spell continued for a few more days it would have been a disaster.
Biden has built on his vows since then, announcing electric car requirements and hastening spikes in energy costs by his brinksmanship with Russia. Everything Biden has done to traditional energy has proven over and over how right President Trump was about getting America to energy independence.
Nevertheless, this hard left turn to “green energy” is the wish fulfillment of presidential candidate Barack Obama, who in 2007 candidly confessed that under his climate scheme energy prices would “necessarily skyrocket.” See his interview below.
Obama spoke before a friendly editorial board at the San Francisco Chronicle when he uttered these words. Listening intently and taking notes was an eager-to-please vassal named Gavin Newsom. As San Francisco mayor, Newsom obligated his city to follow the Kyoto enviro-protocols, which preceded the Paris Climate Accords and all the other WEF and UN energy/feel-good fads of the day. Newsom has brought Tom Steyer’s fondest wishes to bear as California’s governor.
Those fads have been picked up by most major California blue city mayors, adding more and more layers of regulation and costs to customers’ energy prices. These moves meet the approval of white, elite, Leftist Manhattan Beach swells but don’t help the HVAC repair guy who lives in Norco. Here’s a government-ordered welfare program to help you pay your regulated and inflation-induced outsized energy prices. Feel better?
KUSI TV notes that San Diego’s woke mayor Todd Gloria claimed his 2021 agreement with SDG&E would be “a better deal for the city and for ratepayers:
Natural gas is not just used for heating and cooking, it’s also used to generate 40% of the country’s electricity. A typical SDG&E residential customer who receives both electric delivery and electric generation as a bundled service from SDG&E may see their average monthly electric bill increase by around $25 from $160 to $185 starting this month, according to the utility.
This is strictly a California problem says the Wall Street Journal:
Futures for February delivery have fallen more than 8% to start 2023, to around $4 per million British thermal unit. That’s about where prices were a year ago, when temperatures were also unusually warm and before Russia’s invasion of Ukraine jolted energy markets.
Gas for delivery in February, often the most expensive time of year to buy the heating and power-generation fuel, has crashed more than 50% since August, when low inventories caused concerns about getting through winter with enough.