Editor,
I am writing about recent outrageous gas procurement charges from Peak Six Power & Gas LLC, billed locally through PG&E.
Rain. Potential for heavy rainfall. Low 53F. Winds S at 5 to 10 mph. Chance of rain 100%. Rainfall around a half an inch..
Rain. Potential for heavy rainfall. Low 53F. Winds S at 5 to 10 mph. Chance of rain 100%. Rainfall around a half an inch.
Updated: April 20, 2026 @ 6:46 pm
Editor,
I am writing about recent outrageous gas procurement charges from Peak Six Power & Gas LLC, billed locally through PG&E.
A Bay Area renter and homeowner since the 1960s. I’ve always paid utility bills without complaint, even when Gov. Gray Davis greatly increased our costs with an opaque closed-door deal so egregious that it got him recalled in 2003.
Now, though, recent gas charges can only be characterized as gouging consumers. Between November and February, Peak Six raised their Tier 1 cost per therm from $1.08 to $5.21, without warning, explanation, evidence or gradual implementation. This drove my gas procurement portion from $32 on the Dec. 1 PG&E statement, to $640 on that of March 1, an increase of 20 times or 2,000%!
I called Peak Six in January, when their bill was only up 12 times, or 1,200%, for an explanation. A woman manager called back to assert that the bill was correct and final, that it was based upon “supply and demand,” that there was no appeal beyond her, or discounts for a senior like me on a fixed income, already gutted by inflation of 200% for food and 300% for gasoline. And she called me a liar for quoting a PG&E supervisor that my gas usage had dropped throughout 2022.
I’ve appealed to the CPUC, and promptly switched to PG&E’s “bundled service.” I urge other Peak Six clients to cancel also, and send that company a message they won’t soon forget.
J.M. Ryan
Belmont
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(3) comments
California's dysfunctional energy policy works against itself and it's citizens best interest. We have no grid to handle out current electrical demand let alone higher demand. There is no way to store green electricity that the state could possible afford. There is no climate catastrophe. But green energy technology is progressing and will undoubtedly be able to supply affordable green energy in the foreseeable future but not right row.
I share your dismay in the price of natural gas. My Tier 1 cost has increased 90% and Tier 2 54% from Jan/Feb 2020 to Jan/Feb 2023. But I want to point out that the procurement cost is the cost that PGE pays for the gas. Mine has gone up 299% for Tier 1 and 322% for Tier 2. Apparently we import most/all of our natural gas. Prices have gone way up because of worldwide events, and in addition, there was a disruption to the gas pipeline from Texas. So I'm not sure that our gas suppliers (PGE in my case) are completely to blame. Nonetheless, it's exorbitant. I have turned off my furnace. It's not a good way to live.
It will teach J. M. Ryan to read the fine print in his third party gas supply contract. These smaller providers hedge their prices based on PG&E's rates but their wholesale supplier has a different pricing strategy, mostly supply and demand based. PG&E has mostly long term contracts with a portion of its portfolio subject to market fluctuations. Much more secure than the third party providers such as the one identified.
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