Sierra Club NCG filed a recommendation letter today to support next steps for Community Choice Energy Aggregation (CCA) in Escondido and inland North County. Please join us in urging the Escondido City Council to direct staff to take the next steps on CCE. SUPPORT further action on Agenda item 12 at the June 16th meeting.
It is important to remember the goal of achieving 100% clean energy by 2030 is a hallmark of the recently adopted Escondido Climate Action Plan (ECAP) and relies heavily on the implementation of Community Choice Aggregation (CCA). In fact, it is doubtful that there are any other credible strategies for meeting the clean energy goal of the ECAP without one.
In addition, significant economic and climate benefits exist for the city using a CCA model. Even a stand-alone CCA between Escondido, Vista, and San Marcos evaluated in the Feasibility Study showed that such a CCA could yield $1.6 million a year surplus revenue stream and rate saving of 2% on total electric bills or 4.5% savings off generation rates. (Study at 7) Importantly, a CCA would have full control over power supply purchases, key to meeting climate targets. We urge the Council to direct staff to evaluate the next steps in the VSME Partner CCA option.
However, we strongly recommend that the Council also direct staff to fully evaluate the city joining an existing CCA program. The costs are considerably lower and will bring more benefits to rate-payers while reducing administration costs if the city chooses to ‘go it alone’.
There are significant efficiencies and cost-savings in managing a CCA and effective CCAs can include many cities. Although the report finds that even a solitary CCA is possible, the city could work with others to defray time, cost, and resources by joining with an existing CCA. It is important to remember that the energy ‘products’ (% renewable) offered can be tuned to meet Escondido’s needs and our goals.
There are already two local CCAs, San Diego Community Power and Clean Energy Alliance, seeking additional partners. Sierra Club NCG believes that joining an existing CCA makes more sense than to expend the substantial effort to create an entirely new one.
Sierra Club and our allies have been working on this issue for many years. Given that SDG&E had signaled it wants out of the procurement business, we believe the creation of CCAs can be considered inevitable. Since Escondido has excellent and much supported goals to reducing GHG emissions through 100% renewable energy by 2030, the earlier we move into a CCA, the more benefits to the city. Joining an existing CCA will facilitate an expedited launch.