California, September 27, 2025
News Summary
In October 2025, California households will benefit from over $700 million in refunds through the California Climate Credit program. Over 11.5 million households are eligible, with average refunds estimated at $61 and varying between $35 and $259. This initiative is part of California’s efforts to alleviate rising electricity costs, with a total of $14.6 billion distributed since the program’s launch in 2014. New legislation also aims to enhance future credits, allocating $60 billion through 2045, while supporting climate-related projects.
California households will receive over $700 million in electric bill refunds through the California Climate Credit program in October 2025. More than 11.5 million households are eligible for these automatic refunds, with the average refund amount for each household estimated at approximately $61.
The specific refund amounts will vary, ranging from $35 to $259. Most households can expect to receive between $56 and $81. This refund is part of a broader effort to assist residents with rising electricity costs. In April 2025, households received a similar credit, which brings the average total refund for the year to around $198 per customer. Additionally, qualifying small businesses will receive around $60 million collectively through this program.
Recent legislation signed into law aims to enhance future credits under the Climate Credit program, allocating up to $60 billion for electric credits through 2045. These changes are projected to increase refund amounts starting next year, although specific details have yet to be announced.
The refunds form a key part of California’s Cap-and-Invest Program, which is administered by the California Air Resources Board. This initiative not only provides refunds but also funds various climate-related projects. Among these projects, approximately $33 billion is dedicated to affordable housing near job centers, high-speed rail, and zero-emission transportation in underserved communities. Since the program’s inception, it has created over 120,000 jobs while contributing to a significant reduction of millions of tons of carbon emissions.
California has seen a 20% decrease in greenhouse gas emissions since 2000, even as its GDP has grown by 78%, solidifying its position as the world’s fourth-largest economy. In 2023, two-thirds of the state’s electricity was generated from clean energy sources, with the grid successfully operating on 100% clean energy for parts of nearly every day that year.
The California Climate Credit program has distributed a total of $14.6 billion in bill refunds to residential utility customers since its launch in 2014. Refunds through this program are issued twice each year, in April and October, automatically credited to eligible customers’ bills. Residents of Pacific Gas and Electric (PG&E), San Diego Gas & Electric, Southern California Gas Company, and Southwest Gas are all eligible for these credits. Customers who do not see the credited amount on their bills are advised to reach out to their utility provider.
FAQ
How much will California households receive from the Climate Credit program in October 2025?
California households will receive automatic refunds totaling over $700 million through the California Climate Credit program in October 2025.
How many households are eligible for the refunds?
More than 11.5 million California households will receive these automatic refunds.
What is the average refund amount per household?
The average credit amount per household will be approximately $61.
What is the range of refund amounts?
Refund amounts range from $35 to $259, with most households expected to receive between $56 and $81.
What will the total payments for residential customers be in October 2025?
Total payments for residential customers in October will exceed $700 million.
What changes have been made with new legislation regarding future climate credits?
New legislation signed last week aims to increase future credits, allocating up to $60 billion for the electric Climate Credit through 2045.
What program manages the Climate Credit refunds?
The refunds are part of California’s Cap-and-Invest Program, which is managed by the California Air Resources Board.
Deeper Dive: News & Info About This Topic
- Fox40 News
- Wikipedia: California Climate Credit
- Los Angeles Times
- Google Search: California Climate Credit
- KSBY News
- Encyclopedia Britannica: California electricity refunds
- LAist
- Google News: California electricity refunds
- Palisades News
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