California Communities Going Green

In 2018, community choice aggregators (CCAs) in the state of California have signed long-term contracts with new renewable energy project which total more than 2,000 MW. CCAs are programs that allow local governments to procure power on behalf of their residents, businesses, and municipal accounts from an alternative supplier while still receiving transmission and distribution service from their existing utility provider. CCAs are an attractive option for communities that want more local control over their electricity sources. CCAs allow communities to aggregate power demand, gaining leverage to negotiate better rates and/or renewable energy. CCAs are currently authorized in California, Illinois, Ohio, Massachusetts, New Jersey, New York, and Rhode Island.

California CCA’s reached the 2,000 MW milestone in October 2018 when Monterey Bay Community Power and Silicon Valley Clean Energy signed power purchase agreements (PPAs) that totaled 278 MW capacity. Marin Clean Energy launched the first CCA in California in 2010. California currently has 19 CCAs serving eight million customers. Additional CCAs are under development across the state of California.

Many utilities across the United States have slow to move from expensive, fossil fuel to clean renewable energy. California’s CCAs have forced local utilities to either move to renewable energy and/or reduce costs or lose customers. In my opinion, the CCAs in California have been a success.

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