Silicon Valley Power understands the economic pressures on its customers due to inflation and rising energy costs. Recently, City Council approved an 8% electric rate increase effective January 2023, which is necessary to cover the increased cost of generating and delivering power to Santa Clara residents and businesses. To help the most financially vulnerable customers, the utility has redesigned its Financial Rate Assistance Program (FRAP) to provide a larger discount to all eligible customers. The newly designed program is tiered to provide the most help to customers who earn the least amount of money.

Historically, the Financial Rate Assistance Program has provided low- and moderate-income residential customers a 25% discount off the first 800 kilowatt hours (kWh) of their monthly electric bill. Beginning January 2003, the program will provide a tiered incentive, with a higher discount on the first 300 kWh. And a higher discount for customers who qualify for the state-wide Low Income Home Energy Assistance Program (LIHEAP), which is based on 150% of the federal poverty level.

The new FRAP rates effective January 2023 are as follows:

For FRAP customers:

  • 35% discount on the first 300 kWh
  • 25% discount on 301 – 800 kWh

For LIHEAP eligible customers:

  • 40% discount on the first 300 kWh
  • 25% discount on 301 – 800 kWh

Residents of Section 8 designated multifamily complexes automatically receive the FRAP discount and the rate will be updated to provide the 35% and 25% discount tiers.

A tiered discount with the highest level on the first 300 kWh encourages energy conservation and efficiency, where possible. The average Silicon Valley Power customer uses 420 kWh per month, and most FRAP customers use even less. Silicon Valley Power provides a variety of resources and programs to assist customers in lowering energy consumption. Energy efficiency tips and incentive programs can be found on our website at SiliconValleyPower.com/Residents. To apply for the Financial Rate Assistance Program, visit SiliconValleyPower.com/Assist. For questions, please call our Energy Conservation Hotline at 408-244-SAVE (7283).