SDG&E Seeks $280 Million More in 2028 Revenue as Over 100 Customers Sign Up to Oppose It at CPUC Meetings in Santee

San Diego Gas & Electric wants to collect $280 million more in 2028 than it expects to bring in during 2027. Customers packed two back-to-back California Public Utilities Commission meetings in Santee on Tuesday to tell regulators to say no.

More than 100 people signed up to speak at the 2 p.m. session alone. A second meeting followed at 6 p.m. Outside city hall, customers gathered and chanted in protest before each one.

What SDG&E is asking for

The request is part of a general rate case, essentially a budget outline that estimates what the commission thinks it will cost to maintain and upgrade the power system for each investor-owned utility in California over a four-year period. SDG&E's initial submission in June ran more than 7,000 pages.

The filing seeks a 2028 revenue requirement of $3.8 billion: $2.9 billion for electric operations and $900 million for natural gas operations. That is an 8.1% increase over projected 2027 levels.

The filing puts the average monthly electric bill up $13.07 compared to 2027, and the average monthly gas bill up $5.81. For a residential customer not on the CARE program, the combined bill would rise 8.5% compared with 2027. Other tallies of the same request put the increase at 8.6%, or about $22.48 a month, nearly $270 a year.

The ask doesn't stop in 2028. SDG&E wants its revenue to keep climbing through 2031, adding up to another $1.07 billion over four years. SDG&E says that if the request is approved in full, the combined bill for typical non-CARE residential customers would rise about 8.5% in 2028, 3% in 2029, 2.7% in 2030 and 3.1% in 2031.

What customers told regulators

"People are already struggling in jobs, working extra shifts and cutting expenses," Lemon Grove resident Jacquelyn Clark told the commissioners. "These multimillion-dollar companies are asking you to protect their bottom line. We are asking you to protect ours."

Tyler Andre of the group SanDiego350 pointed to the utility's reported $862 million in profit for the first nine months of 2026. "SDG&E just reported record profits for quarter three and are expected to break a billion dollars this year for the first time," he said. The crowd booed.

Bob Larson, who approached the microphone with humor despite his frustration, said: "I'm a one-legged man. They wanted an arm and a leg at SDG&E, but I'm trying to negotiate, OK?" He then turned serious: "A company that makes $1 billion a year in profit does not need a raise."

Jessica Sustaite said her parents have upwards of $1,000 in debt to SDG&E. "They have to choose to buy groceries versus making sure to pay off their debt to SDG&E," she said.

Borrego Springs homeowner Toby Roy told commissioners, "The rate increases are far surpassing the incomes of your customers, and this is unsustainable."

An Axios report found that SDG&E bills have risen 50% over the past five years. The CPUC's Public Advocate Office shows one in five SDG&E customers behind on their bills.

The utility's case

SDG&E says the money pays for wildfire prevention, infrastructure upgrades, cybersecurity, insurance and other operating costs. Its application includes $5 billion in capital expenditures from 2029 to 2031 for gas and electric system upgrades, replacing infrastructure, gas safety, cybersecurity and wildfire management.

Spokesperson Humberto Gurmilan said the request is "focused and narrow." He said it covers the essential work needed to safely operate the system, meet federal and state safety and compliance requirements, and pay for "costs largely outside of our control."

His examples: SDG&E is required to carry $1 billion in wildfire liability insurance, and that coverage is expected to cost about 27% more in 2028 than in 2025. Employee health care costs have risen about 25%.

In a separate statement, the company said: "We know our customers are concerned about affordability, and we take that seriously. We're focused on controlling costs, operating more efficiently and finding ways to keep bills as manageable as possible, while continuing to provide safe, reliable energy." It added that its rate request "is a proposal, and it will undergo a thorough public review."

What happens next

Nobody voted Tuesday. Karen Douglas, one of the CPUC's five voting members, listened to public comments along with Michelle Cooke, the commission's chief administrative law judge. Douglas told the crowd at the 2 p.m. meeting, "Your comments today will give us valuable insight into your priorities and your concerns."

The CPUC can accept, reject or alter the request. The vote will come at a later date, most likely not until late 2027. The CPUC will hold more public participation hearings next month, held remotely, on Dec. 9 and 10 at 2 p.m. and 6 p.m. In February, testimony from intervenors in the general rate case will be submitted, followed by rebuttal testimony, evidentiary hearings and briefings.

The gap between the company's stated costs and the customers' stated budgets is where that review will land. SDG&E points to insurance and health care costs it says it cannot control. Ratepayers point to a 50% rise in five years and a 2026 profit figure approaching a billion dollars. Which of those the commission weighs more heavily will not be known until the ruling.