Community Choice Aggregation
News and Updates
The cities of La Mesa and Chula Vista have launched a joint Community Choice Aggregation (CCA) feasibility study RFP to assess the viability of a CCA in their respective communities. Potential consultants will be vetted and interviewed, and the contract will be awarded in the winter of 2019. The feasibility study is expected to begin spring of 2019. The study will be the first step to determine whether such a program would address the climate and clean energy goals of each city. Learn more about the collaboration in this joint press release.
What is Community Choice Aggregation?
Community Choice Aggregation (CCA) is a model that allows communities to purchase power to meet their electricity needs, offering an alternative choice to the local incumbent utility (San Diego Gas & Electric). CCAs can provide the communities they serve with competitively priced, clean energy choices while reinvesting revenues into projects and programs, supporting the local economy.
How does Community Choice Aggregation work?
CCAs are established by local communities, either through the creation of a joint powers authority or enterprise fund. While CCAs are locally operated, they work in partnership with the existing investor owned utility (IOU). Through this partnership, CCAs determine the source and procure the electricity while the existing IOUs continue delivering the energy, maintaining the grid and providing billing services.
Why is La Mesa exploring CCA?
In March 2018, City Council adopted La Mesa’s first Climate Action Plan (CAP). The CAP charts a course to cut greenhouse gas emissions (GHG) in half and power the community with 100% clean electricity by 2035. Community Choice Aggregation is a potential mechanism to increase the amount of non-polluting, renewable energy and help the City achieve its target of 100% clean energy.
What is the status of La Mesa’s CCA efforts?
The cities of La Mesa and Chula Vista have partnered on a joint study to assess the viability of Community Choice Aggregation (CCA) in their respective communities. The City of Chula Vista will manage the joint request for proposals process to identify consultants with expertise preparing CCA feasibility studies. The cities will share the cost of the study, which will take approximately eight months to complete once a consultant is contracted.
What are the benefits of a CCA?
Potential benefits of CCA identified in past feasibility studies include:
- Increased customer choice.
- Local control of resource decisions and rates.
- Lower electricity costs.
- Opportunities for innovative new energy programs (energy efficiency, distributed generation, economic development, etc.).
- Support for local infrastructure investment.
How is a CCA funded?
A CCA is a self-funded, not-for profit entity created to ensure that any financial benefits directly serve community members. Once launched, a CCA is completely funded by program revenue. Because CCAs are locally managed, not-for-profit entities, any excess revenue is reinvested into the community through on-bill savings and innovative energy programs, including rebates, no-cost and low-cost energy programs, job training and employment programs and more.
- CCA 101: How does Community Choice Aggregation work? What you need to know. September 2018, San Diego Union Tribune
- Solana Energy Alliance
- MCE Clean Energy
- Sonoma Clean Power
- Lancaster Choice Energy
- Peninsula Clean Energy
- Redwood Coast Energy Authority
Much of the information above was provided by LEAN Energy U.S, the Local Government Commission, and CalCCA.
Community Choice Aggregation Pilot Project funded by California Energy Commission Public Interest Energy Research Program prepared by the Local Government Commission and Navigant Consulting, Inc. (2009)
Community Choice Aggregation Fact Sheet funded by California Energy Commission and Department of Energy prepared by the Local Government Commission