Channel Islands Clean Energy
Providing Consumer Choice for Ventura County and Beyond
July 2015
Community Choice Aggregation
Authorized by CA Assembly Bill 117 in 2002
CCA allows communities to pool their electricity demand in order to purchase
and potentially develop power on behalf of local residents, businesses, and
municipal facilities.
CCAs in 6 States
• California
• Illinois
• Massachusetts
• New Jersey
• Ohio
• Rhode Island
Under Consideration
Utah, New York,
Delaware,
Minnesota
How Does It Work?
CCA leverages the market power of group purchasing and local control.
• It creates a partnership between municipalities and investor-owned utilities.
• CCA allows local governments to procure power on behalf of all customers within its
borders.
Channel Islands
Clean Energy
SoCal
Edison
Why is CCA So Powerful?
• Responsive to local environmental and economic goals
• Offers consumers a choice where none currently exists
• Revenue supported, not taxpayer subsidized
• Stable, often cheaper, electricity rates
• Allows for rapid switch to cleaner power supply and significant
GHG reductions
• Provides funding for energy efficiency and innovative energy
programs like energy storage and EV charging stations
Basic Program Features
• JPA or special district can operate a CCA in CA; local governments
participate by passing an ordinance
• Southern California Edison continues to provide consolidated billing,
customer service, line maintenance
• CCA procures electricity, sets rates and develops new community
programs
• CCA is an opt-out program; Customers receive
minimum 4 opt-out notices over 120 days
and can return to Edison service any time.
• CPUC certifies CCA Plan; oversees utility/
CCA relationship and other requirements such
as RPS and RA requirements.
Sample Energy Bill – Marin Clean Energy
Page 1
Page 2
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Channel Islands Clean Energy
Potential Scope
All of Ventura County
Southern Santa Barbara County
Part of Los Angeles County (Malibu)
Sliver of Kern County
7
How Do We Make It Happen?
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Get the word out to government and business!
Resolutions from participating governmental entities:
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Feasibility Study
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Santa Barbara County has just funded a study, which could include
portions of Ventura County
Implementation Plan
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Ventura County
Cities in Ventura County
Navy bases
Southern Santa Barbara County
Malibu
Must be approved by California Public Utilities Commission
Channel Islands Clean Energy begins operation!
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Non-profit government agency
CCA: What are the Risks…
And how are they mitigated?
Rate Competition/Market Fluctuation: Power market
expertise and well crafted power RFPs are essential;
Diversified supply portfolio and “value add” programs.
Customer Opt-Out: Competitive rates are a must;
Articulate additional consumer and community benefits;
Political: Align CCA to local policy objectives; Appeal to
both progressive and conservative minds by making the
environmental AND business case
Regulatory/Legislative: PUC decisions may adversely
affect CCA; also example of AB 2145; Participate in the
regulatory and legislative process.
Why the Timing Is Good…
 Historic gas lows help achieve competitive pricing
 Solar tax credit shrinking or expiring at end of 2016
 Utilities are fully resourced through 2018-2020
excess power available
 Affordable financing available
Success Story: Sonoma Clean Power
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Started in 2014
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Now the dominant energy supplier in the county with over
200,000 customers
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90% share of residential and commercial
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Includes all cities except Healdsburg, which had its own power company
Customer plans
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Standard 33% renewable at rates 5% below incumbent utility
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Option of 100% renewable option at 20% premium to regular rates
(sourced from Calpine local geothermal)
Customers saved $6 million in first year
Sonoma Clean Power (cont’d)
• Power Purchase Agreements
• 70 MW of new solar through Recurrent Energy in Central Valley and
Sonoma - doubles the amount of solar in Sonoma’s mix
• 12.5 MW new solar provided by Pristine Sun on floating docks in county
irrigation ponds (cooperating with Sonoma Water Agency, which
celebrated 100% clean energy goal this year)
• Geothermal through Calpine that will bring geothermal to 23% of SCPs
supply by 2018
• 30% lower GHG emissions than the incumbent utility.
Success Story: Marin Clean Energy
• Began service in 2010
• Now has 165,000 customers (75% of customers in Marin and
Richmond)
• Recently celebrated fifth anniversary, meeting or beating
incumbent utility rates
• Customer Plans:
• 50% renewable at 6-9% below the incumbent utility
• 100% option available
Marin Clean Energy (cont’d)
• 200 MW of new renewable energy contracted or developed
• Local community projects:
• Solar panel array on airport hangars at San Rafael Airport
• Solar panels on Novato and Richmond carports
• Biogas from a county landfill
• 24 supply agreements with 12 different energy suppliers
• 1800 jobs created/supported; most in construction
• 59,000 tons of GHG reductions
• Reached Governor Brown’s 50 % renewable target 18 years early
Success Story: Lancaster Choice Energy
• Lancaster Choice Energy rolled out in May 2015 with municipal
accounts
• Full operation in October 2015
• First CCA working with Southern California Edison
• Mayor Rex Parris (R) expects direct purchases from solar farms to
save Lancaster users 15-30%.
• Customer Plans:
• 35% renewable (rates 3% lower than incumbent utility)
• 100% renewable
Lancaster Choice Energy (cont’d)
• City of Lancaster
• Population of 156,000 with 350 days of sunshine
• Located just south of the Tehachapi Mountains , which host one of the
world’s largest wind farms
• Adjacent Antelope Valley region also houses some of the largest utilityscale solar projects.
• Focus on Solar Energy
• Lancaster branded itself as a leading solar city (named solar capital of
California in July 2012)
• Currently producing 118 MW of solar within city limits
• Aiming to become one of world’s first net zero cities for electricity use by
2020, producing 530 MW of clean energy.
Lancaster Choice Energy (cont’d)
• Solar Initiatives
• In 2010 Lancaster hired Solar City to construct solar panels covered
parking lots at city buildings, saving 7 cents per kwh over previous rates.
• All of Lancaster’s 25 schools have panels, saving city $50,000 per year
and school district $420,000
• Worked with eSolar to bring its 20 acre Sierra Sun Tower solar project
to completion in 14 months; first operating solar thermal power tower
plant in U.S.
• Applications for more than 4,000 MW of generation by photovoltaic
plants have been received in High Desert/Antelope Valley region,
providing Lancaster with a wide range of options.
Lancaster Choice Energy (cont’d)
• Other renewable/green investment in Lancaster or nearby:
• First Solar’s solar ranch
• U.S. Topco Energy Inc.
• China’s BYD, leading supplier of advanced battery technology
• Beautiful Earth Group
• Solar Star Projects
• Sunpower Technology Project
• Solar Homes (over 1700 single-family home solar permits)
• EV quick charging