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Sempra Energy announces $2.9B in revenue as ratepayers struggle to make payments

SDG&E reported $915 billion in GAAP earnings for 2022.

SAN DIEGO — SDG&E’s parent company, Sempra Energy, held a quarterly earnings call to announce their profits on Tuesday. The call comes as San Diego ratepayers are dealing with skyrocketing bills.

During the call, Sempra Energy announced they made $2.9 billion in 2022. That number is up from the $2.6 billion the company earned in 2021.

SDG&E itself earned $915 million in 2022, that is up $96 million from 2021.

SDG&E says around $16 million is coming back to customers. They maintain the money will be used to help eligible customers with their bills. $10 million will support local non-profits with the other $6 million going to the "Neighbor to Neighbor" bill assistance program.

“It's very good times for Sempra. And that results from the profitability that SDG&E pushes up,” said Edward Lopez, the director of the Utility Consumers’ Action Network in San Diego.

“SDG&E customers just didn't know how to deal with the skyrocketing bills.  In a number of cases, the increase was absolutely hundreds of dollars from the prior month,” said Lopez.

In January, customers saw their natural gas bills double, which SDG&E blamed on everything from cold weather to low capacity of pipelines and gas storage facilities.

There is some good news, SDG&E said the average gas bill should be $140 lower in March, as compared to January. That said, SDG&E has already applied to raise its gas rates next year.

“With its application, SDG&E already signaled that it's asking for a nearly 18% increase over 2023 rates and costs,” said Lopez.

During Sempra’s earnings webcast, CEO Jeffrey Martin told investors to expect more capital expenditures.

“There is a common opportunity set in front of each of our business platforms, focused on investments in modern energy infrastructure that accelerate electrification and the transition to cleaner fuels,” Martin told investors.

The company earns a guaranteed rate of return on capital projects of 9.95%.

That percentage rate is down from last year, thanks to utility advocates like UCAN.

“These investor-owned utilities certainly are receiving profitability from the utility because of the capital investment they're making,” said Lopez.

SDG&E is an investor owned for-profit company. They are a publicly owned utilities in California. The group Public Power San Diego has been advocating for a publicly owned, not for profit utility in San Diego.

WATCH RELATED: Sempra, parent company of SDG&E unveils 2021 earnings 

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