California’s high energy prices are the direct consequence of a misguided policy that pushes renewables ahead of fossil fuels.
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that → push → fuels
An “all of the above” approach that combined fossil fuels with renewables would naturally lower prices, prevent rate spikes, and ensure reliability.
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that → combine → reliability
Such a balance is sorely needed.
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balance → need → ?
Since the 2002 inception of California’s Renewable Portfolio Standard (RPS), which mandated that renewable energy would encompass 20% of all energy production in the state by 2017, the goalposts have moved further to the extreme.
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goalposts → mandate → extreme
The goal was first expanded in 2015 to 50% by 2030, then in 2018 to 60% by 2030, with an ultimate goal of 100% by 2045.
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goal → expand → 2045
These rules require utilities to get a rising share of their power from renewables, at a cost higher than the market would otherwise choose.
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market → require → cost
Utilities recover those extra costs by jacking up rates for consumers.
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Utilities → recover → consumers
The California Independent System Operator (CAISO) operates the wholesale electricity market for about 80% of California and a small portion of Nevada.
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Operator → operate → Nevada
In doing so, it supports Sacramento’s renewable energy push, even as it creates reliability and pricing challenges.
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it → do → challenges
CAISO is supposed to provide the cheapest electricity available at any given time from the nearest, most affordable, and available source possible.
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CAISO → suppose → source
Solar and wind are made to appear cheaper than natural gas and other traditional fuels, thanks to government subsidies to solar and wind.
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Solar → make → solar
Despite having its market share forcibly diminished by renewables, natural gas still provided 31% of California’s total net electricity generation in 2025.
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gas → have → 2025
For example, the California Solar Initiative provided billions in rooftop solar subsidies before shuttering in 2016.
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Initiative → provide → 2016
Those without solar energy paid billions in costs until reforms were made in April 2023. .
Curtailment is another problem.
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Curtailment → pay → April
It forces to utilities to buy excess solar energy even when consumers aren’t using it.
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consumers → force → it
Consumers absorb this loss and pay higher rates for wasted energy.
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Consumers → absorb → energy
And since solar energy is prioritized during the day, natural gas plants are forced to limit production even to the point of remaining idle.
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plants → prioritize → point
However, when the sun sets and demand increases substantially, natural gas power plants must ramp up production, which can be more costly than producing at a consistent rate.
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which → set → rate
To address that issue, California has deployed large-scale utility battery storage to absorb excess midday solar energy, releasing that energy at night to reduce reliance on gas ramping.
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California → address → ramping
So far, 21,860 MW of storage has come online, and California also uses batteries located out-of-state.
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California → come → state
But battery capacity is being stretched beyond the 4-to-8 hour capability of current storage.
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capacity → stretch → storage
That’s because solar and wind are intermittent, and so gas plants are needed to cover seasonal lulls or multi-day periods when solar and wind are low.
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solar → ’ → lulls
That increases maintenance costs, and makes gas power more expensive to maintain on a unit basis, even while the state depends on it for a reliable electricity supply.
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state → increase → supply
California’s “cap-and-invest” program to fight climate change adds significant compliance costs for producers.
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program → cap → producers
These costs are inevitably passed on to consumers as higher rates.
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costs → pass → rates
To offset these cost increases, California started the California Climate Credit, essentially a dividend returned to consumers.
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California → offset → consumers
However, in California fashion, this does nothing to address the notoriously high rates and the policies that cause them; it simply puts a band-aid on a growing problem instead of providing meaningful financial relief.
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it → do → relief
Despite the costs, Sacramento continues its years-long campaign to force consumers to accept a manipulated market that prioritizes environmental politics over affordability and reliability.
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that → continue → affordability
Californians regularly pay unnecessarily high rates.
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Californians → pay → rates
The solution is simple: let the market provide all kinds of energy, and stop the renewable mandates and subsidies that drive costs higher.
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that → let → costs