California lawmakers are advancing two bills that would use $15 billion in state bond financing to pay for major utility grid upgrades, aiming to ease the state’s soaring electricity rates.

      The measures, Senate Bill 254 by Sen. Josh Becker (D-Menlo Park) and Assembly Bill 825 by Assemblymember Cottie Petrie-Norris (D-Irvine), would shift a portion of planned utility infrastructure spending from ratepayer-funded capital projects to lower-cost public financing. Supporters say the move could save Californians billions over the next decade by replacing profit-driven utility investments with state-backed bonds.

      Utility customers in California now pay nearly twice the national average for electricity, and almost one in five are behind on their bills, according to state regulators. The state’s three largest utilities, Pacific Gas & Electric, Southern California Edison, and San Diego Gas & Electric, have faced mounting criticism as wildfire-prevention projects and grid expansions increase costs.

      “This is different from what we’ve seen in the past — and the solutions being sought by the legislature are more ambitious than what we’ve seen in recent years,” said Matthew Freedman, senior attorney at The Utility Reform Network (TURN), which supports SB 254.

      TURN estimates the proposals could save about $8 billion over 30 years, with $7.5 billion of those savings coming in the first decade, which amounts to roughly $4 to $5 a month for the average residential customer.

      Both bills have cleared their respective chambers despite opposition from investor-owned utilities, which argue public financing would cut into profits they earn on infrastructure spending.

SB 254 takes a broader approach, covering wildfire mitigation and grid expansion for growing electricity demand, while AB 825 focuses on undergrounding power lines to reduce wildfire risk. Lawmakers also included provisions to explore long-term public financing for large-scale transmission projects, modeled after similar efforts in New York and other states.

      Supporters say public financing would not solve California’s affordability crisis but could deliver quick relief and position the state to control costs on future clean-energy investments. 

      “There’s no silver bullet,” Freedman said. “But we’re trying to get some near-term benefits here.”