$137 Credit Toward April Utility Bills for Millions of Californians

Sacramento – March 20, 2025, As part of California’s ongoing climate policy, Governor Gavin Newsom announced on Thursday that millions of Californians will receive an average $137 credit on their April electricity and natural gas bills. The credit is part of the California Climate Credit program under the state’s Cap-and-Trade initiative.

Launched in 2014, the program has so far returned more than $10.9 billion in financial credits to utility customers. In 2025 alone, the state has allocated $2.4 billion for households and small businesses, including:

• $1.4 billion for electricity customers

• $1 billion for natural gas customers

• $122 million for small businesses

Governor Newsom emphasized the program’s dual benefits: “California’s Cap-and-Trade program not only helps reduce air pollution but also directly supports millions of families by returning part of the revenue through utility bill credits.”

How the Credit Works

The California Climate Credit is automatically applied to qualifying customers’ utility bills in April and October each year. In 2025, customers of the following four major utility providers are eligible:

• PG&E (Pacific Gas and Electric)

• San Diego Gas & Electric

• Southern California Gas Company (SoCalGas)

• Southwest Gas

According to state officials, electricity bill credits range from $35 to $259, with most households receiving between $56 and $81. Natural gas credits range from $54 to $87 on average.

No action is required from residents to receive the credit. The funds come from revenue generated through the sale of emission allowances under the Cap-and-Trade program, which is managed by the California Air Resources Board (CARB).