(Compiled, written, annotated, and edited by Christopher Gee,

VP, Panel the Planet, Inc. CGee@paneltheplanet.com)

Community Choice Aggregation (CCA), is a system (neither a company nor an

organization) adopted into law in the state of California, which allows cities and

counties to aggregate the buying power of individual customers within a defined

jurisdiction in order to secure alternative energy supply contracts on a community-wide

basis, but allowing consumers not wishing to participate to opt out.

CCAs now serve nearly five percent of Americans in over 1300 municipalities as of

2014. CCA's are 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.

CCAs can provide cleaner energy, often from locally-supplied alternative sources (e.g.

solar, wind), at a significantly lower or very competitive cost to monopoly utilities as in

the Sonoma Clean Power (SCP) vs. Pacific Gas & Electric (PG&E) example below:

Community Choice Aggregation: California Overview

In 2002, California State Legislature passed Assembly Bill 117, enabling Community

Choice Aggregation (CCA).Not only did Assembly Bill 117 enable California to join the

small but growing number of states allowing CCAs, it mandated that customers be

automatically enrolled in their local CCA, with an option to opt out. Inspired by Climate

Protection efforts, CCA has spread to cities throughout the Bay Area and the state.

In 2007, forty California local governments were in the process of exploring CCA,

virtually all of them seeking to double, triple or quadruple the green power levels

(Renewable Portfolio Standard, or "RPS) of the state's three Investor-Owned Utilities.

Sonoma Clean Power

Sonoma County created a countywide CCA, Sonoma Clean Power (SCP), under the

CCA law in 2013, offering power that is both greener and more locally sourced, and also

to be offered at a lower cost than incumbent utility PG&E. It includes the County of

Sonoma, Windsor, Cotati, Sebastopol, and the City of Sonoma. Cloverdale, Rohnert

Park, and Petaluma initially decided not to join but joined later. Geof Syphers, one of the

consultants who wrote the feasibility study and financial analysis, was named CEO on

July 2, 2013. SCP started providing power on May 1, 2014. SCP Commercial rates

“Clean Start” option is an impressive $22 less per month than PG&E while still obtaining

36% of its power from renewable resources while PG&E is 27% only for renewable in

Fig. 1 above.

Marin Clean Energy

Marin County made history when it launched California's first CCA program, Marin

Clean Energy, offering 50-100% renewable energy to its customers at competitive rates

on May 7, 2010. Marin Clean Energy (MCE) now serves approximately 175,000

customers in Marin County, unincorporated Napa County and the cities of Benicia, El

Cerrito, San Pablo, and Richmond.

Community Choice Aggregation: California Overview

MCE is helping to strengthen and democratize California's energy economy. As

California's first CCA program, MCE is charting the course for a new, highly innovative

approach to electricity service in the Bay Area. The organization's mission is to reduce

energy-related greenhouse gas emissions by expanding access to affordable,

renewable energy and energy efficiency programs while creating local economic and

workforce benefits.

Community Choice Aggregation: California Overview

Leading with Green Energy

CCAs are capable of surpassing the known benchmarks of greener and cheaper power

for the communities they serve. Both Sonoma Clean Power and Marin Clean Energy

have provided much cleaner energy and competitive, often cheaper, rates than their

investor-owned private competitor, Pacific Gas & Electric, for every year they have

been in operation.

Lancaster Choice Energy (LCE) is projected to do the same in their first year of service

with “Clear Choice” option already coming in lower than SCE:

Community Choice Aggregation: California Overview