Your Solar Bill is Changing

Here’s What PG&E’s New Fixed Charge Means for You

It’s a sunny California afternoon, and like thousands of your neighbors, you probably chose to go solar for a few great reasons: saving money, gaining energy independence, and doing your part for the planet. But a new change is coming that will reshape your PG&E bill, and it’s important to understand how it works. Let’s have a real talk about the new Base Services Charge and what it actually means for your home and your wallet.

Getting Down to Basics: What Is This New Charge?

Starting in March 2026, a new line item will appear on your monthly PG&E bill. It’s called the Base Services Charge, a fixed monthly fee of roughly $24 for most residential customers. Think of it like a subscription fee for being connected to the grid.

This fee covers the essential costs of keeping the lights on for everyone. We’re talking about:

• Maintaining the massive network of power lines and substations (the grid).
• Reading your meter and handling your bill.
• Funding important public programs and keeping the overall system reliable.

The key thing to know is that PG&E has simply pulled some of these fixed costs out of the price you pay per kilowatt hour (kWh) and made them a separate, flat charge. You’re paying for the same things, just in a different way on your bill.

The Solar Customer’s Big Question: Do I Still Have to Pay It?

Here’s the straightforward answer: Yes, absolutely. And this is the part that’s causing the most conversation at backyard barbecues and in online forums.

Even if your rooftop panels are pumping out so much clean energy that you’re sending some back to the grid, you’ll still see this monthly charge. Why? Because your home is physically connected to PG&E’s infrastructure. You’re using the grid as a giant, shared battery, a backup for when the sun isn’t shining and a place to send your excess power. Maintaining that two-way system isn’t free.

A few crucial points to remember:

• Solar credits won’t touch it. Those credits you earn for sending power back to the grid only reduce your usage charges. They can’t zero out this base fee.
• Batteries don’t make it disappear. Even with a home battery system that lets you go off-grid at night, if you’re connected at all, the fee applies.
• It’s non-negotiable. This is a mandatory charge set by state regulators, not an optional service.

How This Shakes Up Your Solar Savings Math

In the past, a perfectly sized solar system could theoretically bring your PG&E bill down to a few bucks, just covering basic connection fees. That dream of a near-zero bill under this new structure, it’s gone. Your bill now has a hard floor of about $24 per month, or $290 a year, just for being connected.

So, does solar still save you money? Yes, without a doubt. Solar will still dramatically slash the biggest part of your bill, the variable charges for the electricity you pull from the grid. If rates go up (and history suggests they will), your solar panels become an even more valuable shield. You’re still generating your own power and avoiding the highest cost per kWh.

The change is really about managing expectations. Solar is shifting from a tool that can almost eliminate your bill to the ultimate tool for controlling and massively reducing your bill. The financial benefits are still very real; they just look a bit different on paper.

Why Is This Happening? 

The driving force is a statewide policy (Assembly Bill 205) aimed at overhauling how utilities charge for electricity.

The idea behind the fixed charge is twofold:

1. Fairness in Costs: Regulators argue that spreading some fixed grid costs equally makes the system fairer. Everyone who uses the roads helps pay for them, regardless of how much they drive.
2. Encouraging Electrification: By lowering the per-kWh rate slightly (since some costs are moved to the fixed fee), the state hopes to make it more affordable for people to switch to electric cars and heat pumps, which is a key climate goal.

Whether you agree with the policy or not, understanding the rationale helps make sense of the change.

The Bottom Line

Here’s the simplest way to think about it:

Is solar still worth it? For the vast majority of homeowners in PG&E territory, the answer is a resounding yes. The combination of high electricity rates, rising costs, and the desire for clean, reliable power makes solar a smart financial decision. The new Base Services Charge is simply a new variable in the equation, one that makes pairing solar with a battery and smart energy use more valuable than ever.

Reach out to Sun Light & Power to evaluate your potential savings by going solar, today.