Communities in California Starting Their Own CCAs
In May of 2010, Marin Clean Energy (MCE) was formed becoming the state’s first CCA.
Today, MCE serves more than 100,000 customers throughout Marin and other counties as a Joint Powers Authority (JPA). Pacific Gas and Electric (PG&E) distributes power to MCE customers.
In 2014, Sonoma Clean Power was formed, again as JPA serving eight communities within its region which is serviced by PGE.
Lancaster was the first city in California to create a stand-alone CCA in 2015 and the first within the Southern California Edison (SCE) service area. Today, the City, through its own utility service –Lancaster Choice Energy, provides electrical service to nearly 95% of all residents.
More recently, the City of Santa Barbara began offering power services in October of 2020 and the City of Palmdale launched their program in October of 2021.
Currently many other local communities around the state are weighing their options regarding creating or joining a CCA. CalChoice is here to help.
The JPA Story
California Choice Energy Authority (CalChoice) is a hybrid Community Choice Aggregator (CCA) structure that provides members the ability to leverage CalChoice’s knowledge and staff in order to benefit from energy procurement services, regulatory matters, accounting, and compliance functions which are crucial to the success of a CCA. A member city, which may otherwise be unable to operate as an individual CCA either due to size or budget constraints, is able to take advantage of these economies of scale without having to sacrifice key control often associated with JPAs or taking on the significant liability of a single entity CCA. The CalChoice then contracts with the City of Lancaster and other qualified third party consultants to perform an agreed upon scope of work.
This model allows each member agency the following benefits:
- Utilization of existing contracts and costs
- Access to trained and experienced staff
- Transparent procurement costs
- Transparent operational costs
- Control over local energy rates and operations
- Control of operational revenues for local program development tailored to each community
- Cost savings and efficiency
Not only will member cities enjoy the advantage of CalChoice’s extensive knowledge but also its staff and consultants who are specialists in the CCA industry. Integration with Southern California Edison (SCE) and their systems is a crucial component for new CCAs to successfully launch and provide quality, consistent customer service. CalChoice’s team of experts has spent much time learning SCE’s complex systems and has established the necessary contacts, relationships, and processes in order to navigate those challenges. With CalChoice, members have experienced experts on their team from day one. People who have gone through the process before, allowing member cities to hit the ground running and be operational quicker and easier than ever thought possible.