What is the California Climate Credit? | Energy Upgrade California

Savings on Electricity Bills

Millions of Californians will see savings on their electricity bill—in April and October for residential customers and monthly for small businesses—from a state program to fight climate change by reducing greenhouse gas emissions.

The Climate Credit is designed to help all of us in California fight climate change and clean the air. You don’t need to do anything to get the credit, but if you want to join California’s efforts to tackle climate change, there’s a lot you can do.

Taking action on climate change as just one person, family or small business might seem overwhelming, but doing our part with millions of others to support California’s policies and programs can make a major difference.

Most of our greenhouse gas emissions come from buildings and transportation. Choices about how we use energy can reduce our impact and don’t require new technologies or sacrifices.

On the Road

Drive a fuel-efficient vehicle. Find recommendations at www.driveclean.ca.gov.

Other good steps:

At Home and at Work

Looking to make a big impact?

Lots of low and no-cost actions add up as well like setting your thermostat right and washing clothes on cold. Go to Save Energy at Home to see lots of tips by category.

Who Gets the California Climate Credit?

Households will receive a credit in April and October each year, and small businesses will get the credit each month. Most Californians are eligible for the Climate Credit.

The credit goes to households and small businesses located where privately owned utilities regulated by the Public Utilities Commission provide electricity distribution services. That includes customers of PG&E, SDG&E, Southern California Edison, PacificPower, Liberty Utilities and those who buy electricity generation in those areas from direct access providers and community choice aggregators such as Marin Clean Energy.

The amount of the credit varies based on utility or electric service provider.

How California is Tackling Climate Change

The Climate Credit is one of several programs California is implementing to fight climate change by limiting greenhouse gas pollution. Developed as a result of landmark legislation called the Global Warming Solutions Act of 2006, also known as AB32, these programs seek to reduce greenhouse gas pollution by 30% by 2020. Energy is associated with about 50% of the state’s emissions and is therefore a big opportunity for improvement.

How the Climate Credit Works

California requires large industries like power plants to reduce the greenhouse gas pollution they emit and pay for their emissions. The California Climate Credit is your share of the payments made by California’s biggest industrial emitters.

Read more about how the Credit works.

Download Climate Credit Resources