Utility rates

Why SCE Electricity Bills Have Risen — and What's Approved Through 2028

Southern California Edison bills have climbed over recent years, mostly for wildfire mitigation, grid hardening, and transmission. This guide explains the CPUC-approved drivers, what the 2025 rate case actually authorized, and what is on the books for 2026–2028 — without overstating it (SCE’s 2026 rate adjustments actually ticked slightly down).

Updated August 4, 2026 · Last fact-checked August 4, 2026 · By the Cali Energy team · Northridge, CA · CSLB #1032379 (B, C-10, C-39) — verify license

Why SCE Rates Are So High in 2026 (and What's Approved Through 2028)
~34.4¢
SCE avg residential rate (Jun 2026)
9.1%
2025 bill impact, typical 500 kWh customer
Wildfire
Largest single cost driver
KEY TAKEAWAYS
  • The main cost drivers are wildfire mitigation, grid hardening, and transmission — reviewed and approved by the CPUC.
  • The 2025 rate case had about a 9.1% bill impact for a typical 500 kWh customer; the CPUC also authorized additional base-revenue increases for 2026–2028.
  • Nuance: SCE’s 2026 rate adjustments actually moved slightly down (35.3¢ → ~34.4¢), even though long-run bills have risen.
  • Approved revenue increases are not the same as your bill’s percentage change.

The 2026 reality: rates are high, but not “still climbing” this year

It’s worth separating two things. SCE rates are high, but the 2026 rate adjustments themselves went slightly down: the average residential rate moved from about 35.3¢ to 34.5¢/kWh on January 1, 2026, then to about 34.4¢/kWh on June 1, 2026. The long-run rise in bills is real; the claim that every adjustment goes up is not.

Source: SCE Rate Advisory · SCE Rate Advisory (Jan 1, 2026) · verified August 4, 2026.

What actually drives the cost

SCE recovers its costs through CPUC-reviewed rate cases and wildfire plans. The biggest drivers:

  • Wildfire mitigation — one of the largest cost areas addressed in SCE’s current rate case: covered conductor, undergrounding, inspections, vegetation management, and weather/monitoring systems.
  • Grid hardening and reliability — strengthening the distribution system.
  • Transmission — moving renewable power from desert and mountain generation to coastal load centers.
  • Wildfire claims cost recovery — financing costs from past fire events.

How the mechanism works: SCE files a General Rate Case (GRC) and annual Wildfire Mitigation Plans; the CPUC reviews and authorizes recovery. The CPUC also limited certain post-test-year revenue adjustments using a CPI-based mechanism — note this is a limit on specific adjustments, not a blanket cap on all wildfire and grid costs.

Source: CPUC — SCE 2025 General Rate Case · verified August 4, 2026.

The 2025 rate case: what was approved

For 2026 implementation, SCE lists an increase of about $476 million in approved GRC funding plus $122 million in recovery bonds to finance wildfire claims costs from the Thomas Fire and Montecito Debris Flow events.

On bill impact, the CPUC reported that a typical residential customer using 500 kWh/month saw about a 9.1% increase under the 2025 GRC. The decision also authorized additional base-revenue increases for later years:

YearAuthorized base-revenue increase
2026$544 million
2027$522 million
2028$447 million

Important: a base-revenue increase is not the same as your bill’s percentage change. Actual retail-rate and bill impacts depend on sales, transmission charges, balancing accounts, and other adjustments. (Some third-party blogs cite a “12.9%” 2026 figure — that is not a CPUC-authorized bill number.)

Sources: SCE Rate Advisory · CPUC — decision in Edison rate case (9.1%) · CPUC — SCE GRC proceeding · verified August 4, 2026.

Why it keeps pushing on bills

Even with a flat-to-slightly-lower 2026 adjustment, the structural pressure is upward: wildfire-mitigation spending is planned to grow in the 2026–2028 cycle, undergrounding (under SB 884) is expensive, and the cost shift from legacy net metering is one of the drivers the CPUC has named for rising rates statewide. That is why SCE’s average residential rate remains high even after the small 2026 decrease.

For how this shows up on your own bill, see why your electric bill is higher; to compare against the municipal option, see LADWP rates explained.

Frequently asked

Did SCE rates go up in 2026?
SCE’s rates are high, but the 2026 adjustments actually ticked slightly down: the average residential rate went from about 35.3¢ to 34.5¢/kWh on January 1, 2026, then to about 34.4¢/kWh on June 1, 2026. Bills have risen over recent years, but not every single adjustment is an increase.
Why are SCE rates so high?
The largest drivers are wildfire mitigation (covered conductor, undergrounding, inspections, monitoring), grid hardening, and transmission to move renewable power to the coast, plus recovery of wildfire claims costs. These are reviewed and authorized by the CPUC through rate cases.
How much did the 2025 rate case raise bills?
The CPUC reported about a 9.1% bill increase for a typical residential customer using 500 kWh/month under the 2025 General Rate Case. SCE also lists about $476 million in approved GRC funding and $122 million in wildfire recovery bonds for 2026 implementation.
What did the CPUC approve for 2026 through 2028?
The decision authorized additional base-revenue increases of about $544 million (2026), $522 million (2027), and $447 million (2028). These are revenue-requirement figures, not your bill’s percentage change — actual bill impact depends on sales, transmission charges, and other adjustments.
Is SCE going to raise rates 12.9% in 2026?
That figure comes from third-party blogs, not a CPUC-authorized bill number. The official 2026 average residential rate is about 34.4¢/kWh (June 1, 2026), slightly lower than the January figure.

Related reading

Sources & methodology

Figures on this page come from the primary sources below and, where noted, from Cali Energy calculations using the stated assumptions. Rates, incentives, and program terms change; each was verified August 4, 2026.

  1. SCE — Rate Advisory (current & Jan 1, 2026)
  2. CPUC — Decision in Edison rate case (9.1% impact)
  3. CPUC — SCE 2025 General Rate Case (fact sheet)
  4. CPUC — SCE GRC proceeding

About this guide

This reference is maintained by the Cali Energy research team to explain what drives SCE rates and what the CPUC has authorized. Rate figures change with each advisory; confirm current numbers with SCE and the CPUC.

Prepared by Cali Energy, August 4, 2026. This article is for general educational purposes only and is not legal, tax, financial, engineering, or utility advice. Rates, incentives, codes, permit requirements, equipment specifications, prices, and program terms may change; figures and timelines are estimates, not guarantees. Confirm current requirements with the applicable utility, AHJ, program administrator, manufacturer, or a licensed professional. See our Content Disclaimer. Cali Energy · 19201 Parthenia St Unit E, Northridge, CA 91324 · CSLB #1032379 (B, C-10, C-39)