TITLE
Recommendation to receive and file a presentation from Clean Power Alliance on Community Choice Aggregation.
DISCUSSION
Long Beach has discussed giving ratepayers real choice in where their energy comes from. In 2019, the City Council voted unanimously to direct city staff to move forward with a feasibility study and an implementation plan. The feasibility study was completed and will be presented to Council on August 18, 2020. In the last 4 years, the City Council has not had a presentation from the largest CCA in Southern California, Clean Power Alliance.
On July 23, the Environmental Committee and Sustainable City Commission Joint Meeting received a presentation from Clean Power Alliance (CPA) on Community Choice Aggregation (CCA).
Since (CPA) has established itself as a viable CCA entity in Los Angeles and Ventura counties. They have enrolled approximately one million customers, accumulated financial reserves, built an energy portfolio that meets 2030 California’s renewable energy mandates 10 years early, and hired an experienced professional staff to implement all facets of fully functioning CCA.
Clean Power Alliance purchases clean power and Edison delivers it. Cities opt in at a clean energy level and ratepayers have the choice to stay at that rate, change to another rate, or return to Edison. CPA has three plans, a Lean Power (36% renewable), Clean Power (50% renewable), and 100% Green Power. Ventura County has the highest opt out rate at 11.3%. The highest opt-out per user is 11.1% for large commercial property.
Cities join a CCA to give rate payers a choice, help transition from fossil fuels, and in some cases reduce rates. In the few years, CPA has signed 7 project labor agreements, their administrative team has a collective bargaining agreement and has community pipelines to ensure local residents have access to good jobs in the industry.
This presentation will allow for the City Council to hear from CPA, ask questions, and understand the options to join CPA. At the time of the staff presentation on CCA’s, the Council could opt to (1) do nothing, (2) opt to file an implementation plan to begin our own, (3) direct the staff to submit a letter of interest to CPA. If the Council opts to submit a letter of interest to CPA, they will need to conduct a feasibility study that would guide CPA’s Board of Directors decision about whether to invite Long Beach to join and under what parameters. The City Council would need to approve reimbursing CPA for the study.
FISCAL IMPACT
No financial review is required for this item.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
Jeannine Pearce
Councilmember, Second District
Mary Zendejas
Councilwoman, First District
Suzie Price
Councilwoman, Third District
Rex Richardson
Councilmember, Ninth District