Amid shocking surges in gas bills, SoCalGas is hoping to raise rates in 2024

Close-up of a truck with a logo for SoCalGas on the driver's side door.
Southern California Gas Co. serves nearly 22 million people.
(Raul Roa / Los Angeles Times)

Southern California Gas Co. — a utility that serves nearly 22 million people from the Central Valley to the U.S.-Mexico border — hopes to raise rates in 2024.

The request comes as many gas customers face immense sticker shock because of surges in the wholesale price of natural gas, though SoCalGas’ bid is unrelated to the fluctuations in the market. The company filed its application with the California Public Utilities Commission in May as part of a regular rate-setting process.

Household budgets, already stretched thin as the price of everything from rent to eggs soars, are being pummeled by monster bills for natural gas.

Feb. 15, 2023


Such proceedings occur every four years, with the PUC taking “a broad, in-depth look at a utility’s costs of operating and maintaining their system, and the allocation of those costs among customers,” PUC spokesperson Christopher Chow said in an email.

This proceeding, which will also include public input, will determine the total amount SoCalGas is authorized to collect from customers in 2024-27.

Rates are ultimately determined by the PUC.

If SoCalGas’ rate request is approved in its entirety, “the average residential monthly bill using 36 therms per month would increase by approximately $8.62 per month in 2024” compared with 2023, according to a company fact sheet.

The application also asks for additional increases through 2027.

The company says the increases are needed to modernize and upgrade infrastructure, “support the growth of more diverse renewable energy options” and retain and reward staff.

With the cost of natural gas skyrocketing, utility bills in Southern California are going to jump. To help manage the costs, SoCalGas offers several programs.

Jan. 5, 2023

The rate request does not include the cost of the natural gas that customers use, meaning customers could also still be subject to market fluctuations along with increased rates.


The PUC will hold two virtual forums at which SoCalGas customers can offer input and feedback on March 6 and 15.

The CPUC is also taking virtual public comments on its website, where many have already criticized the proposed rate increases.

“Listen up PUC. ... How dare SoCalGas ask for a rate increase! Our bill last month was $1,025!” one woman who identified as being from Woodland Hills wrote, saying that her family had stopped heating their home after 7 p.m. and were wearing three layers of clothing inside to stay warm.

Other angry commenters also cited recent Times reporting, noting that the chief executive of Sempra Energy — the parent company of SoCalGas — received nearly $25 million in total compensation in 2021 despite net income being down that year.

In reaction to the unprecedented regional prices, SoCalGas committed $5 million in shareholder funding Monday to the Gas Assistance Fund, which provides one-time grants to help customers in need cover their bills, according to a news release from the company. The fund is administered by the United Way of Greater Los Angeles.