The San Jacinto Council has agreed to enter an administrative services contract with the City of Lancaster’s California Choice Energy Authority giving residents the opportunity to choose their electric services from the CCEA or keep their current provider Southern California Edison.
The two cities in the CCEA, for now, will continue to purchase its power from SCE at discount rates that in the long run council members believe would save both the city and ratepayers money on their electric bills.
The agreements with Lancaster and the CCEA would go into effect at early as September with San Jacinto creating a Community Choice Aggregation (CCA) that will provide energy to its residents and businesses.
Mark Bozigian, Executive Director of the CCEA from Lancaster appeared at the city council meeting Tuesday, April 18, to answer questions from the council members.
He said Lancaster and San Jacinto currently are the only cities in the CCEA and representatives from each city would be on the CCEA board to make administrative and rate decisions. The CCEA administrators would negotiate with SCE and other electric power providers to get the best rates.
The Authority’s responsibilities would be to coordinate with SCE in launching the program in San Jacinto, prepare agreements for electric services with SCE, coordinate with the San Jacinto staff on development a marketing and notification materials, participate in city council meetings, provide technical support during key discussions and decision making, coordinate with regulatory agencies in needed reports and questions regarding CCA operations and participate in discussions or meetings with key customer accounts provide expertise in determining rates and environmental impacts.
The CCEA would do the power supply and services contracting with other agencies and in conjunction with the City’s selected legal counsel, support contract negotiation for desired products and services.
Under the agreement, the city would be paying startup costs of $160,000 to the CCEA spread over a five-month period at $32,000 a month through September’s probable startup time. The rate schedules would be updated at that time an offered to residents.
Councilman Alonzo Ledezma asked Bozigian if the residents of the city who have installed solar systems to their homes would still get the price breaks and credits for their extra energy. Bozigian and the staff noted the solar residents and other residents would keep the same special rate and energy saving programs they now have under the new CCA.
Complete information on the CCEA and CCA can be found on the San Jacinto City website www.ci.san-jacinto.ca.us under the city public records link for the April 18 meeting.