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Municipal Aggregators Propose Making Municipal Aggregations The "Only" Provider Of Retail Electric Service

February 15, 2019

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Copyright 2010-19 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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A group of community choice aggregations (CCAs) have filed comments at the California PUC proposing that, in the Pacific Gas & Electric service area, CCAs should have the ability, "to be the only provider of retail electric service to all customers"

The comments were filed by East Bay Community Energy, Peninsula Clean Energy Authority, Pioneer Community Energy, the City of San José on behalf of San José Clean Energy, Silicon Valley Clean Energy, Sonoma Clean Power, and Valley Clean Energy Alliance (collectively, the "Joint CCAs") in a California proceeding on PG&E's ability to offer safe and reliable service (Investigation 15-08-019)

The Joint CCAs recommended that the PUC, "Improve PG&E’s electric infrastructure safety outcomes by removing PG&E from the retail generation business and concentrating PG&E’s attention and investments on its electric transmission and distribution businesses[.]"

"For communities currently served by CCAs, the principal retail provider, subject only to current direct access rules, should be the extant CCA (or the municipal utility if the community decides to pursue this option). The Commission should support legislative amendments that give local CCA governing boards the ability to be the only provider of retail electric service to all customers in the community currently served by either the CCA or PG&E. Under this framework, when PG&E leaves retail service, PG&E’s bundled customers would migrate to an existing or to be formed, CCA or municipal utility serving their community. Current direct access customers would not be impacted by this transition and would still be able to retain their service from an energy service provider. However, if a direct access customer wants to exit direct access or, if a direct access provider is unable to comply with state regulations, the direct access customer would migrate to the CCA serving their community," the Joint CCAs said

"For communities that choose not to provide retail generation service through a CCA or municipal utility, the Commission should recommend to the California Energy Commission ('CEC') that it initiate a process to outline steps toward forming or expanding a publicly owned and governed successor to PG&E for the provision of retail electric services," the Joint CCAs said

"Ultimately, it may also make sense to consider whether this public entity, or perhaps a different public entity, should serve as buyer for any residual resource adequacy requirements not procured by a load serving entity," the Joint CCAs said

"The Joint CCAs also encourage the Commission to provide a clear path for communities to pursue full municipalization of electric utility service, including both the provision of retail electric power supply and associated electric distribution and transmission services," the Joint CCAs said

CCAs currently serve 46% of the retail electric customer load in PG&E’s current service area, the Joint CCAs said

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