PG&E's Natural Gas Rate and PPP Surcharge Updates for Jan. 1, 2027
Good morning.
PG&E filed its Annual Gas True-Up (AGT, Advice Letter 5281-G) on Oct. 30, proposing $5.91 billion in gas transportation revenue requirements for 2027, an increase of $212 million, or 3.7%, over current rates. The proposal includes a $294 million increase in end-use gas transportation costs, partially offset by an $82 million reduction in Public Purpose Program (PPP) surcharges.
| Description | Currently in Rates | Proposed | Change |
|---|---|---|---|
| End-Use Gas Transportation | $5,040 | $5,334 | $294 |
| Storage and Backbone Unbundled Costs | $263 | $263 | $0 |
| Gas PPP Surcharges | $393 | $310 | ($82) |
| Total Gas Transportation Revenue Requirements | $5,696 | $5,907 | $212 |
Excludes 2027 core gas procurement changes, which PG&E will file in its monthly core procurement advice letter in late December. Totals may not tie due to rounding.
Source: PG&E Advice Letter 5281-G, Table 1 (Oct. 30, 2026).
PG&E requests CPUC approval by Nov. 30, with rates effective Jan. 1, 2027. Protests are due Nov. 19. PG&E will submit updated revenue requirements and final rates in December, so the figures remain subject to change. Illustrative rate impacts are provided below the paywall.