Silicon Valley Power Requests the Santa Clara City Council to Increase Utility Rates 

By Robert Haugh

On Dec. 9, 2025, Silicon Valley Power (SVP) will propose a four percent rate increase to the City Council.

If approved, the increase will take effect in January 2026.  The rate increase will require a majority support of the City Council.

According to SVP staff, this adjustment is necessary to manage rising material and construction costs, as well as to fund new projects and maintain reserves in line with city growth. 

SVP also says that despite the increase, Santa Clara’s electricity rates will remain among the lowest for California utilities serving more than 5,000 customers.

5 comments

  1. Data farms are ugly and boring, but they’re spectacular for the property tax base, while not creating traffic congestion and bringing in thousands of yuppies who’d drive up the cost of housing.
    The scandal was our fellow residents voting for an expensive bond proposal last year to fund basic city services, like road repair and building maintenance. The avalanche of property tax revenues from the Data farms would have covered those costs.
    There’s no evidence that this year’s SVP rate increase is subsidizing the Data farms. It’s for funding normal cost increases for normal service. I don’t remember the last rate increase, but 4% over the cheapest rates around is not a ripoff.
    And the Data farm owners certainly locked-in long term SVP rate structures before committing to build here. The idea of now using them as a cash cow to essentially subsidize the rest of us is likely a non-starter.

  2. I agree 100% with Mr. Patrick. Why are the residents of Santa Clara being tasked with an increase. Raise the commercial rates (data centers) and leave the residents alone.
    At every turn lately it seems like we are being fleeced out of more money, whether it’s taxes or rate increases. Enough already!

    • I agree with everyone’s comments! I sent in comments when they started talking about Data Centers way back as I was concerned, we would have to pay for it. the city said no, the data centers were held accountable. What I see happening is the property around the data centers doesn’t look too bad, but they have put up all these large poles 12 feet around and 100 feet tall to run lines (I’m guessing on the measurements.) all round our neighborhoods. It’s not O.K. to bill me for these projects by increasing my cost to live in Santa Clara and trashing our neighborhoods with poles we don’t want. I realize it’s cheaper to put up poles rather than run these lines underground, but it should be standard operating procedures and absolutely the people who live in this city should not be paying anything for a data center going up. TIME TO CLEAN OUT CITY HALL STARTING WITH THE 49ER COUNCIL MEMBERS!

  3. Mr. Patrick, you make way too much sense here!!
    Thanks for your input. Appreciate your insight and explanation.

    Just The Facts Ma’am

  4. So basically SVP wants people who live in Santa Clara to pay more for electricity and subsidize data farms that bring absolutely no jobs to the area. Remember the Related Santa Clara Project that was supposed bring some life to north Santa Clara? The story now is that Related is going to be building data farms there. SVP’s power is already substantially below the rates of the surrounding areas buying power from PG&E. This benefit of cheaper power was paid for by the people of Santa Clara. Let the outsiders, the data farms, pay more; not the people of Santa Clara. What they pay will still will be way below what PG&E charges. This has so many conflicts of interest: the city council who voted for the data farms in the Related Santa Clara Project is going to vote whether it will accept a rate increase from the city-owned entity SVP to subsidize power to these farms. And what do the people of Santa Clara get? Higher rates and exciting data farms! Wow, those farms are more fun than Disneyland! Just drive by one with the family and see for yourself.

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