Santa Monica Approves Default Renewable Energy Tiers

SANTA MONICA, CA – The Santa Monica City Council approved selecting 100% renewable energy as the default product for all residential electricity customers beginning in February 2019, it was announced Wednesday. The 100% renewable energy tier is one of several options for residents and businesses that will be served electricity by the Clean Power Alliance (CPA) of Southern California, a Community Choice Aggregation program, the City of Santa Monica press release said.

The CPA will offer three tiers of electricity sourced from renewable energy – 100%, 50% and 36%. The 100% renewable energy tier will be applied to all Santa Monica residents who don't opt out or select another option, which means consumers who do not proactively select a preferred tier will be automatically opted in to the cleanest source, the city said. The City of Santa Monica is required to select a default rate option for electricity generated from renewable resources as a member of the CPA of Southern California, according to the press.

“Using electricity through renewable electricity sources is the most substantial action Santa Monica can take to achieve carbon neutrality,” said Dean Kubani, Chief Sustainability Officer and Assistant Director of Public Works. “Santa Monicans will now know where their power is coming from and, for the first time, have multiple renewable options."

The new rates will begin to appear on March electric utility bills. Low-income qualified customers (CARE or FERA) would receive the same discount on their rates and experience no net increase in cost compared to Southern California Edison rates; the CPA will initiate service for commercial properties in summer 2019, the press release said.

The CPA is made up of 31 public agencies across Los Angeles and Ventura counties, including Santa Monica, working together to bring clean, renewable power choices to local communities, the press release said. As the CPA service begins, customers will receive a total of four notices via mail before and after the switch from SCE to CPA. The first notice is scheduled to be mailed at least two months before service launch and will include additional details, including instructions on how to choose a different percentage of renewable content and customer support contact information, the press release said.

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