Keeping the Lights on in California and Fighting Climate Change, PG&E Files State Proposal Supporting Diablo Canyon Power Plant Continued Operations

By Carina Corral

Diablo Canyon Power Plant is the largest producer of clean energy in California. Not only is its electricity necessary to help keep the lights on in the state, there is simply no other greenhouse gas-free energy substitute of its size available to us today.

To support the reliable delivery of electricity in the state and help combat climate change, PG&E has been directed to pursue extended operations of the facility to 2030. In line with the state’s direction, PG&E has filed a proposal with the California Public Utilities Commission to recover costs for operations through 2025. Similar requests will occur annually.

What this means for monthly statements

For PG&E customers, answering the state’s call to continue operating would result in a small, short term average increase of 0.9% to monthly electric bills in 2025, for the average bundled residential customer. PG&E expects this amount to decrease for the years 2026-2030.

Reducing customers’ generating costs, greenhouse gas emissions

It is forecast that operating Diablo Canyon through 2030 will result in a net cost benefit for customers, bringing down the costs of generating electricity for them by approximately $192 million per year. This translates to an estimated offset to PG&E customers, stated in terms of bill impact, of 27 cents on average per month. In addition, when you take into account the avoided greenhouse gas emissions, the overall benefits of Diablo Canyon are more than $500 million per year. 

If Diablo Canyon were to close, it will largely be replaced with fossil fuels. Over the five years of operation, PG&E estimates that more than 34 million metric tons of emissions are expected to be avoided in California and throughout the western United States, resulting in a total indirect cost savings of about $2.324 billion.

The overall benefits of Diablo Canyon — which include generating clean energy, helping to reduce greenhouse gas emissions, and ensuring electric reliability for all of California — are more cost-beneficial than finding replacement power, according to the California Energy Commission. The commission also concluded there are no supply resources that can be brought online before the planned 2025 retirement of DCPP that could replace the plant’s energy generation of 18,000 GWh per year.  

People, planet, prosperity

Diablo Canyon Power Plant is safely generating clean electricity 24 hours a day, seven days a week, 365 days a year, rain or shine. Its dedicated workforce is committed to operating DCPP with integrity and safety at the forefront. As a clean energy leader, PG&E is answering the state’s call to pursue extended operations at DCPP, supporting its commitment to deliver Californians with safe, clean, affordable and reliable power.