Understanding PGE’s Main Discount Programs
Navigating utility costs can be challenging, but California offers several state-sponsored programs administered by PGE to help low-income customers and those with special medical needs. The three primary programs are CARE, FERA, and Medical Baseline, each with specific eligibility requirements and benefits.
The California Alternate Rates for Energy (CARE) Program
CARE provides a deep, monthly discount on gas and electricity bills for income-qualified households and some nonprofit group facilities. The discount is substantial, offering 30–35% off your electric bill and 20% off your natural gas bill for major utilities like PG&E.
Eligibility for CARE is determined by your total household income or participation in certain public assistance programs. Income thresholds are updated annually. For example, as of June 2025, the annual income limit for a one-to-two-person household is $42,300, and $53,300 for a three-person household. Qualifying public assistance programs include Medicaid/Medi-Cal, SSI, CalFresh/SNAP, and LIHEAP. Seniors and others on a fixed income will recertify their eligibility every four years, while others do so every two.
Key Features for Seniors:
- Automatic Eligibility: Participation in programs like SSI or Medi-Cal can fast-track your enrollment.
- Stable Recertification: Fixed-income customers enjoy a longer, four-year recertification period, simplifying the process.
- Dual Discounts: The program offers discounts on both gas and electric rates, providing comprehensive savings for your home energy needs.
The Family Electric Rate Assistance (FERA) Program
The FERA program is designed for households with incomes that are too high for CARE but still face financial hardship. FERA provides an 18% monthly discount exclusively on your electric bill; it does not cover gas rates. Recent changes in 2024 expanded eligibility to include smaller households of one or two people.
Eligibility for FERA is based on household income, with slightly higher limits than CARE. Like CARE, it requires you to recertify periodically to ensure your household continues to meet the guidelines. FERA and CARE share one application, and if you don’t qualify for CARE, PGE will automatically check your eligibility for FERA.
The Medical Baseline Allowance Program
This program is a critical lifeline for many and offers two forms of assistance to residential customers who have special energy needs due to qualifying medical conditions. Eligibility is not based on income but on medical need alone.
Program Benefits:
- Additional Energy Allotment: Qualified customers receive an extra allotment of electricity and/or natural gas each month at the lowest price on their current rate. This helps offset the higher energy use of medical equipment like respirators or dialysis machines.
- PSPS Notifications: Enrollees get extra alerts before a Public Safety Power Shutoff (PSPS), giving them more time to prepare for potential outages and ensure their medical equipment remains functional.
- Application Process: Requires a medical professional, such as a physician or nurse practitioner, to certify the condition.
Comparing PGE Discount Programs
| Feature | CARE Program | FERA Program | Medical Baseline Program |
|---|---|---|---|
| Discount | 30-35% on electricity, 20% on gas | 18% on electricity only | Additional energy at lowest rate, or 12% electric discount on some rates |
| Eligibility | Income-based OR enrollment in specific public assistance programs | Income-based (for households above CARE guidelines) | Medical need, NOT based on income |
| Covered Energy | Gas and Electric | Electric Only | Gas and Electric, depending on medical needs |
| Recertification | 2 years (or 4 for fixed income) | 2 years (or 4 for fixed income) | 2 years (non-permanent condition) or 4 years (permanent condition via self-certification) |
How to Apply for Assistance
Applying for these programs is designed to be straightforward. The first step for CARE and FERA is to check your eligibility, which you can do online or with a paper application. For Medical Baseline, you need certification from a medical practitioner.
- Gather Household Information: Before starting, know your household size and total gross annual income for all members. This will help determine which program you qualify for. For Medical Baseline, prepare to get your medical practitioner's certification.
- Use the Combined Application: Both CARE and FERA share one application. By applying for one, PGE will automatically check your eligibility for the other. For Medical Baseline, a separate application is required.
- Submit Your Application: PGE offers several convenient methods for submission: online, by mail, or via fax. The application can be downloaded directly from PGE's website.
- No Proof of Income Required (Initially): For CARE/FERA, you typically don't need to submit proof of income during the initial application. However, you may be randomly selected for verification later.
- Await Confirmation: Once approved, your discount will appear on your next bill, along with a confirmation letter.
Maximizing Your Savings for Senior Care
For older adults and their caregivers, leveraging these programs is a key part of financial management and senior care planning. Here are a few tips:
- Stacking Benefits: If a senior has a qualifying medical need, they can be enrolled in both the Medical Baseline program and either CARE or FERA simultaneously. This combines the medical energy allotment with the income-based discount, maximizing savings.
- Explore Other Resources: Beyond the core discount programs, PGE also administers one-time assistance programs. The federally funded Low Income Home Energy Assistance Program (LIHEAP) and the company-funded Relief for Energy Assistance through Community Help (REACH) program can provide additional financial aid for past-due balances. For more information on assistance options, including those beyond PG&E, visit the official California Public Utilities Commission website.
- Update Your Information: If a senior's income decreases or their household situation changes, they may become eligible for a better discount. Keep your information updated with PGE and re-apply if circumstances change.
- Energy Efficiency: Combine bill discounts with proactive energy-saving measures. Programs like the Energy Savings Assistance Program provide no-cost home improvements for eligible low-income customers.
Conclusion
Navigating the world of utility discounts can feel complex, but California offers a strong safety net through PGE for those who qualify. By understanding the differences between the CARE, FERA, and Medical Baseline programs, seniors and their families can secure valuable savings and support. The best approach is to check eligibility for all applicable programs and take advantage of the substantial benefits available. Don't leave money on the table—a little effort to enroll can make a big difference in managing household expenses.
