Please join us in telling legislators across California, PG&E must stop overcharging ALL Californians to prop up the Diablo Canyon Nuclear Plant.
A UC Santa Barbara study recently found PG&E is overcharging all Californians to extend the aging Diablo Canyon Nuclear Power Plant’s operations to 2030, an estimated over $658 million from California taxpayers and over $1.84 billion in exorbitant electricity customer fees. Whether you live in PG&E territory or not, all Californians are paying to keep this aging nuclear plant open. Meanwhile, PG&E has made record level profits three years in a row, well over $2 billion each year and the PG&E CEO lined her pockets with $19.8 million in 2025. Last year, California’s electric utility providers reported that 1.9 million households had overdue electricity bills.
Now industry is trying to extend the life of Diablo Canyon to 2045, without comprehensive financial analysis of the current costs, let alone the costs of a 15-year extension. The cumulative $2.49 billion only includes the costs of the plant’s operation up to 2030. We do not know the cost of 15 more years, but it will likely be a lot more. Californians cannot afford to subsidize this aging nuclear plant for another 15 years.
We need Californians across the state saying NO to the overcharge and NO to extending the Diablo Canyon Nuclear Power Plant.
Please consider signing and sharing the action alert: sc.org/stop-diablo-overcharge
Deadline – ASAP! The decision to extend Diablo Canyon Nuclear Plant could be made before June 15.
BACKGROUND
California’s last nuclear plant, Diablo Canyon, was slated to close in 2025. After backdoor nuclear lobbying in Sacramento and stoked fear about California’s energy supply – Governor Gavin Newsom and an obliging legislature pushed through last-minute legislation that extended Diablo Canyon’s life 5 years beyond its decommissioning date. But now they’re trying to extend the nuclear plant to 2045, while we’re still left with the lingering question: does anyone know what Californians are paying for the 5-year extension?
When PG&E originally decided to close the plant, they did so because their own analysis found it would soon be no longer profitable to operate Diablo Canyon and the plant actually impeded California’s ability to transition to renewable energy. In the plant’s shutdown plan, they stated:
“PG&E in consultation with the Parties has concluded that the most effective and efficient path forward for achieving California’s SB 350 policy goal for deep reductions of [Green House Gas (GHG)] emissions is to retire Diablo Canyon at the close of its current operating license period and replace it with a portfolio of GHG free resources.”
Instead, we got Governor Newsom’s about-face and a 5-year extension of Diablo Canyon. On top of that, California gave PG&E a $1.4 billion interest-free loan to subsidize keeping the nuclear plant open. That’s one way to make an unprofitable plant profitable again – use California tax dollars to subsidize corporate profit!
Even after ongoing hearings and an array of potential offramps in the legislation that require updated assessment of the necessity, safety and affordability of the nuclear plant, the California legislature has never required comprehensive, independent analysis of the costs of the 5-year extension.
However, UC Santa Barbara has started that work for them. In April, a study written by UC Santa Barbara’s “2035 Initiative” economists found that “PG&E is overcharging Californians to keep the last nuclear power plant open” as reported by the LA Times.
“In the new white paper from UC Santa Barbara’s 2035 Initiative, three climate policy experts analyzed PG&E’s public filings and the Department of Energy’s evaluation of plant costs. They find that PG&E inflated costs when it requested the state loan and is likely to come up $658.6 million short in repaying it, which will be borne by taxpayers unless the Legislature takes action.”
The report even found that PG&E added fees that “aren’t necessary for plant operations, and without [the fees]…the authors find, it could save California utility customers an estimated $1.84 billion.” The big jump many saw in March’s PG&E electric bills was not great timing.
For those of you outside of PG&E utility territory, your bills are paid into the Diablo pot too, via volumetric performance fees that go towards PG&E district upkeep, but don’t come back to your district.
Meanwhile, “PG&E has enjoyed record profits the last three years,” almost $2.5 billion in 2024 alone.
Despite all this, PG&E and their proponents are aiming for another extension – this time, 15 years. This effort is picking up traction in Sacramento, despite the growing evidence that Diablo Canyon Nuclear plant is too expensive and the still missing comprehensive financial and needs analysis.
Not to mention concerns about safety, public health and environmental impacts from the plant as Trump’s Nuclear Regulatory Commission reduces nuclear safety regulations, security measures and safety inspections. These issues don’t seem to be top of mind for the legislature, but affordability is a priority amidst the current state budget deficit.
Now is the time to stop PG&E from sucking up money from Californians to profit off of this aging nuclear power plant. But we need community members across the state pushing back on this shared affordability issue. Leave a personal message telling your state representatives you do not want to subsidize Diablo Canyon Nuclear Plant and PG&E corporate profits any longer.
