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What is Community Choice Aggregation?

By Jaime Yarbrough – May 16, 2018 –  Community Choice Aggregates (CCA):

Wikipedia lists this:
CCAs “are local, not-for-profit, public agencies that take on the decision-making role about sources of energy for electricity generation. Once established, CCAs become the default service provider for the power mix delivered to customers. In a CCA service territory, the incumbent utility continues to own and maintain the transmission and distribution infrastructure, metering, and billing. In some states, CCAs may be considered de facto public utilities of a new form that aggregate regional energy demand and negotiate with competitive suppliers and developers, rather than the traditional utility business model based on monopolizing energy supply. “
In simple terms, Warren Buffet owns Pacific Corp (AKA Pacific Power and Light / PG&E). It is a for profit corporation accountable to it’s stockholders, and more importantly, a monopoly. In 2002, the Supreme Court of California recognized and cleared the way for community choice aggregation Per SB117.

This allows cities and counties, if they so choose, to buy alternative energy on the “energy market”  in competition with the “local utility.” When buying alternative energy from such sources as solar, wind, geothermal, biomass, tidal, and alternative hydroelectric at a lower rate and integrating it into the existing power grid customers, both residential and electric see a net savings.  The commercial/residential customer the rate can be in the 15% – 25%+ annual range.  For low income communities this can be a substantial savings.  This includes governmental customers to which the savings can be applied in numerous ways.

The goal of a corporation is to continually provide stable if not increasing dividend returns on stockholder investment. Counting in inflation the price of our electrical power will, by definition of a monopoly, continually INCREASE.  By incorporating a CCA, which buys energy on the open market, and from alternative/renewable “environmentally friendly” energy sources, which are increasing in use and efficiency, the price will continue to DECREASE.

The goal of a CCA utility is to integrate with local (city and / or county) governments to save money and decrease the dependence on coal and foreign oil for our energy requirements. Battery Point Solutions (a newly formed group [BPS] ) is looking to engage the assistance with Valley Electric Association, Inc.(VEA) of Pahrump, Nevada to start this process.  Humboldt County, in the last 10 years has taken this course with Redwood Coast Energy Authority. They are moving towards establishing solar battery facility at the Eureka/McKinelyville Airport and are moving forward with an off shore wind farm project.

There will be a meeting with VEA, BPS, City council members, members of the Board of Supervisors and others at the Open Door Clinic 12:00 PM on May 21st to discuss the possible implementation of a CCA.

Interested persons are welcome to visit this website for further information:

https://cleanpowerexchange.org/resources/cca-101/

Current status of Community Choice Aggregate in California:

https://cleanpowerexchange.org/california-community-choice/

4 Responses to What is Community Choice Aggregation?

  1. Jaime Yarbrough Reply

    May 16, 2018 at 6:32 pm

    A rose by any other name – if a utility is the ONLY source of electrical power you have to choose from it is considered to have a monopolistic market position. Unless you are fortunate to have solar with a battery back up and/or your own gas/diesel generator and live off grid you have but one option: Pacific Corps and the economics are historically clear.

    But thanks to your observation I’ve a correction, it was not “SB 117 but AB 117 (http://www.cpuc.ca.gov/general.aspx?id=2567 )

  2. j Reply

    May 16, 2018 at 8:42 am

    Warren Buffett’s company Berkshire Hathaway owns Pacific Corp (Pacific Power). It has no connection/ownership with Pacific Gas and Electric (PG and E). They are two separate companies.

    • Webmaster Reply

      May 16, 2018 at 9:27 am

      If you go to Pacificorp’s website you’ll see this: “PacifiCorp is one of the West’s leading utilities. We operate as Pacific Power in Oregon, Washington and California.”

      • j Reply

        May 16, 2018 at 9:42 am

        That is true, but Pacific Corps is not a part of Pacific Gas and Electric. PG and E’s service area ends at Orick. Pacific Power is only in Del Norte, Siskiyou and Modoc counties.

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