July 7, 2021

San Diego Community Power Provides Choice and Competitive Rates for Cleaner Energy

San Diego Community Power logo

For the first time in our region’s history, families, businesses, and municipalities in Encinitas, La Mesa, Chula Vista, Imperial Beach, and San Diego have a future-focused choice in energy providers and a clear path to reach 100% renewable energy by 2035 or sooner.

Organized as a community-driven not-for-profit, SDCP is committed to investing back into local communities through job training, renewable energy development projects, and aid programs for communities of concern. While generating revenue in support of shareholder returns drives the incumbent investor-owned utility, SDCP is focused on clean technology innovation, creating local jobs, and energy programs supporting communities of concern.

“The launch of San Diego Community Power is a game-changer for customer choice, fighting climate change, and creating healthier and more equitable communities for future generations,” said Joe Mosca, Encinitas Councilmember and SDCP Board Chair. “We are excited to usher in a new era for San Diego communities and to do our part to reduce the impacts of climate change by providing greener energy options.”

San Diego Mayor Todd Gloria and SDCP executives at SDCP launch press conference
San Diego Mayor Todd Gloria and SDCP executives celebrated the SDCP launch with a press conference on May 1st, 2021.

San Diego Community Power’s renewable energy portfolio comes from wind, solar, and battery storage. At 50% to 100% renewable energy, SDCP products are affordable and substantially better for the environment than the current 31% option offered by the local investor-owned utility. Committed to meeting and beating state reliability standards, SDCP rigorously vets its energy sources and works in partnership with the local utility to ensure reliability in the energy delivery infrastructure.

Volunteer planting a tree
To commemorate the launch and our sustainable future, the mayors of all the member cities planted trees in local community parks.

“We are flipping the switch on San Diego Community Power and finally bringing a future-focused energy choice and a clear path to 100% renewable energy,” Mayor Todd Gloria said at the official launch on March 1st, 2021. “This launch is an essential next step in meeting our regional climate action goals. By embracing renewable energy sources, we are going to protect San Diego for generations to come.”

Delivering on its promise to reinvest in renewable energy development, San Diego Community Power recently announced its first power purchase agreement with an affiliate of RAI Energy International, Inc. Located nearby in Imperial County, the Vikings Farm project will provide a 20-year supply of solar energy and battery storage.

“We are here to advocate for ratepayers, drive economic vitality, and support clean energy jobs for local workers,” said Serge Dedina, Imperial Beach Mayor and SDCP Board member. “Clean technology already provides more jobs in the region than all coal-related jobs in the country, and we want to see that trend grow.”

SDCP is now preparing to launch commercial and residential service on June 1st, 2021 and is forecast to provide energy to more than 70,000 commercial and industrial accounts of all sizes in the region. SDCP has received a warm welcome from area businesses eager to meet corporate responsibility and sustainability goals with a competitively priced service.

March 28, 2019

Clean Power Alliance: Providing clean energy and empowering communities

Clean-Energy-Header_768x309

Established in 2017, Clean Power Alliance (CPA) has quickly become the largest CCA in the nation. CPA currently serves over 900,000 homes and roughly 3.5 million people throughout Southern California.  Beginning in May 2019, CPA will also provide clean energy to approximately 130,000 businesses as well.

As a Community Choice Aggregator (CCA), Clean Power Alliance is a government entity that purchases clean power directly on the open energy market and delivers it to consumers on existing Southern California Edison (SCE) power lines. Originally established as a joint powers authority with unincorporated Los Angeles County, Rolling Hills Estates, and South Pasadena as founding members, it quickly grew to a coalition of 31 agencies across Los Angeles and Ventura Counties.

Choice and Growth

For more than a century, Southern California Edison had been the region’s dominant electric utility. But for nearly a million homes across Southern California, the days of Edison’s monopoly are coming to an end. Clean Power Alliance and other CCAs are offering a cleaner option and bringing competition on a larger scale.  CPA offers consumers three energy options at three price points: Green (100 percent renewables), Clean (50 percent renewables), and Lean (36 percent renewables.)  Consumers can decide their level of investment in clean energy.

Communities join because it is a platform for environmental protection and combatting climate change, and because cities have their own local sustainability goals. They also join because they are given a choice on how their energy is sourced. Clean Power Alliance also reinvests funds in innovative projects and programs within the communities they serve.

“The benefits of removing the monopoly system are that it brings innovation and lower rates,” said Ted Bardacke, Executive Director of Clean Power Alliance. “People want choice and the idea that if they can save money and be a little greener, or pay a bit more and be a lot greener, appeals to consumers.”

Creating a Strong Foundation

Before Clean Power Alliance was born, Bardacke knew there were things he needed to get right to build a thriving CCA. Although CCAs have been around Northern California since 2010, they are a relatively new concept in Southern California.  Ensuring there was a robust infrastructure in place, the organization set high standards for its employees, officers, and directors.  Along with strong corporate governance, Bardacke and his team took their time hiring experienced staff and figuring out how the agency is organized to ensure a secure future.

“We spent a lot of time hiring staff who knew what they are doing and to keep the place running,” said Bardacke.

According to Bardacke, by 2020 the Clean Power Alliance is set to take in over $800M in annual revenue. He attributes this success to applying the organization’s best practices and creating a framework of tools and techniques that identify, assess, mitigate, and monitor risk within the organization. Nothing is built at breakneck speed, and policies are carefully and thoughtfully considered.

“We want to make sure that we don’t get out over our skis,” said Bardacke.  “It requires a lot of work to be conservative and disciplined.”

CPA turned to River City Bank for its financial needs.  Bardacke knew that River City Bank has taken a bold lead in the clean energy space, supporting CCA clients throughout California with their depository, cash management, and lending needs. He has seen RCB provide other CCA clients with custom-tailored solutions spanning start-up capital, lines of credit, renewable energy project financing, and custodian “lockbox” accounts.

“We know that River City Bank understands the CCA business and is comfortable in the space,” said Bardacke. “They are entrepreneurial without being bureaucratic.  They understand what it takes to start this type of business, and we appreciate working with people who get that mindset. I know that I can call Steve Fleming directly and get something done.”

What’s In Store for Clean Energy

With talks about a “Green New Deal” which includes a 100% reliance on renewable energy, mitigation of climate change, and increasing green jobs, CCAs like Clean Power Alliance will be right in the middle of the action.

“There will be a change in a systemic and personal level when it comes to where Californians get their energy,” says Bardacke.

Since 2010, CCAs have given customers the ability to directly influence their community’s energy options by giving them the power to choose how and where they buy their electricity and natural gas. In light of California’s Senate Bill 100 which requires California to get 60% of its electricity from renewable sources by 2030 and to eliminate the burning of fossil fuels for electricity by 2045, CCAs are very likely to grow in prominence in the coming years. Gradually, it could mean incentives for customers to install electric water or space heaters, reducing the need to burn natural gas. It might pave the way for free or discounted electric vehicle chargers or special electricity rates that encourage people to charge their electric vehicles at home.

In the clean energy arena, there will be new players and opportunities.  The state continues to be open to innovation and technology that will help eliminate the use of fossil fuels in the next few decades.

“In California, this idea of bold and ambitious goals based on local priorities has been successful across the board,” Bardacke says. “Everything we’re experiencing right now is what the other CCAs (community choice aggregators) have experienced around the state.”

To learn more about Clean Power Alliance visit their website at www.cleanpoweralliance.org.

July 11, 2017

Silicon Valley Clean Energy: Redefining Energy

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Silicon Valley Clean Energy

After decades of dominance by electricity monopolies, California is experiencing the emergence of Community Choice Aggregators (CCAs), a new type of electricity provider that provides cities and counties the opportunity to choose what kinds of energy to purchase for their needs.  CCA is a state policy that enables local governments to aggregate electricity demand within their jurisdictions in order to procure alternative energy supplies while maintaining the existing electricity provider for transmission and distribution services. On April 3, 2017, Silicon Valley Clean Energy (SVCE) commemorated its first official day of operation, supplying 100% carbon-free electricity to its customers in Silicon Valley.  River City Bank was in attendance that day to celebrate SVCE’s launch and our banking partnership.  We circled back with CEO, Tom Habashi, to find out more about SVCE and the important role they play in reducing the region’s carbon emissions.

How many customers does SVCE serve?

SVCE currently serves 240,000 residents in the area. SVCE, is a Joint Powers Authority (“JPA”) comprised of 11 municipalities located within the County of Santa Clara, as well as the unincorporated areas of the County itself. They have elected to allow SVCE to provide electric generation service within their respective jurisdictions.

SVCE just launched in April and is now supplying parts of the Silicon Valley with 100% carbon-free electricity. Were there any challenges you faced as you were trying to bring the program to fruition?

We knew we had to make sure our policies were in place, contracts were sound, and that we had set up a good foundation rather than building on quicksand. We learned from our predecessors and knew we needed to be better than the incumbent utility already in place.

The one problem we didn’t anticipate was how difficult it was to find office space in the Silicon Valley.  For a time, we had trouble finding enough space that made sense for the organization.  Luckily we found a great space in Sunnyvale.

What types of renewable sources does SVCE utilize and does it all come from California?

SVCE offers residents and businesses two main electricity choices.  The default choice is GreenStart, which is 100 percent carbon-free.  Under the GreenStart option, 50 percent of electricity comes from renewables such as wind and solar, while the other 50 percent comes from large-scale hydropower that we receive from the Upper Northwest.  Customers currently pay 1% less for this option compared to the incumbent utility’s base plan with lower renewable content.

The other choice is GreenPrime, which is sourced from 100% renewables and is also 100% carbon free.  GreenPrime is generated from 100% renewable, carbon-free sources, primarily from solar and wind farms in California and on the western grid. Buying GreenPrime further expands generation from these new and competitive renewable energy sources. Customers can choose to upgrade to GreenPrime for about $3 to $5 more per month. Customers enroll in Silicon Valley Clean Energy through an “opt-out” system.   This means customers within SVCE’s service area receive alerts in the mail about switching to the agency, and they’re automatically switched over unless they choose to opt out.

SVCE is working on a program where 100% of the carbon free energy comes exclusively from California.

Why do you think more residents are leaning towards renewable energy and are willing to spend more to have greener options?

For many CCA customers, it actually saves them money.  For example, SVCE GreenStart customers will pay 1% less than the incumbent utility’s current rates.  With the opt-out option, customers are automatically enrolled and do not need to do a thing if they want cleaner, greener electricity, at a better price.  For consumers, the benefits of the CCA are a no-brainer. They can choose to increase the amount of clean energy they use, thereby helping to reduce greenhouse gases and to reach, and even exceed, state and national clean-energy goals. CCA customers have also benefited from rebates on energy efficiency upgrades.

On another level, more and more communities are coming together to be a part of a solution to ease carbon emissions.  They realize that it affects all of us, our children, and grandchildren.

California is experiencing the emergence of CCAs. Do you see more and more communities moving towards clean energy?

More and more communities are demanding more renewable energy options. California’s push for cleaner energy has been driven by a desire to limit greenhouse gas emissions from fossil fuels, which are the primary driver of climate change. Locally-governed public agencies like SVCE allow participating communities to reinvest revenues to keep rates low, provide energy efficiency programs, and promote a cleaner energy infrastructure.

Because of the success of CCAs, more and more communities are aching to take the leap and have environmental and energy stewardship over their regions.

What advances have you seen in renewable energy?

Energy storage has been a hot topic in the last couple of years. It is needed to store solar energy at night or wind power on days when there is no breeze. Energy storage plays an important role in this balancing act and helps to create a more flexible and reliable grid system. There are a number of technology choices available, but the cost of energy storage is still a concern. Solar energy has recently dropped in price by ~40%, but the question remains if it would be more profitable to simply add more generating capacity rather than more storage capacity. California, where there is already strong public policy support for renewable energy, is the undisputed king of US energy storage. However, in other places around the country, there is the need to stimulate technological improvement in storage to encourage further growth.

There are many other banks out there. What made SVCE choose RCB?

River City Bank was there for us from day one.  We’ve seen them help other CCAs get their financing, even when it was unchartered territory.  River City Bank had the experience and understanding for what CCAs encounter at various stages of financing and banking needs. They put together an offer that made sense for us and we were compelled to work with a community based bank with similar values. Steve (Fleming) and Rosa (Cucicea) were able to come up with solutions for our issues, helping us get through all the roadblocks we encountered and enable us to get the funding and banking services needed to launch SVCE.  River City Bank’s experience and knowledge in the renewable energy industry is second to none.

To find out more about SVCE, visit their website at ww.svcleanenergy.org.

October 30, 2015

Client Profile: Marin Clean Energy

Marin Clean Energy Logo
Marin Clean Energy Logo

Marin Clean Energy (MCE) was founded in 2008 and began serving customers in 2010 within the area of Marin County. MCE’s mission is to address climate change by reducing energy related greenhouse gas emissions and securing energy supply, price stability, energy efficiency and local economic and workforce benefits. With the leadership and vision of CEO, Dawn Weisz, MCE now serves over 170,000 customers in Marin County, unincorporated Napa County, the cities of Benicia, El Cerrito, Richmond, and San Pablo. As a not-for-profit utility, MCE gives its customers, the opportunity to have between half and all their electricity needs supplied by solar, wind, hydroelectric, biogas and renewable resources at competitive rates.

MCE is California’s first Community Choice Aggregation (CCA) program. Back in 2002, the California State Legislature passed Assembly Bill 117, enabling CCAs. This legislation made it possible for communities to form companies to purchase power on behalf of their residents and businesses, completely supported by customer revenues, rather than taxpayer subsidies. Increased local control allowed elected officials to participate in the decision making and weigh in on supply contracts, customer pricing, etc.. AB 117 enabled California to join the small but growing number of states allowing CCAs. More importantly, the bill mandated that customers be automatically enrolled in their local CCA, with an option to opt out should they want to stay with the incumbent utility.

Head shot of Dawn Weisz, CEO of Marin Clean Energy
Dawn Weisz, CEO of Marin Clean Energy (MCE)

People who live in MCE’s service area are automatically enrolled in the “Light Green” energy program. The “Light Green” program is comprised of 50% renewable energy from sources such as solar, wind, bioenergy, geothermal, and small hydro. By default, customers can take advantage of cleaner, greener energy, at a cost savings over standard incumbent utility rates. With a base rate that is cheaper and cleaner than traditional utility companies, MCE saved its customers $5.4 million in 2014 and is slated to increase customer savings to over $10 million in 2015.

Residents or business customers who have the resources and desire to do more for the environment can upgrade to MCE’s Deep Green program. With Deep Green, all of the power purchased by customers comes from 100% non-polluting, Green-e certified wind power. Green-e is the nation’s leading independent certification and verification program for voluntary renewable energy purchases. Deep Green costs only a penny more per kilowatt-hour than Light Green rates, so for most residential customers, the additional cost averages less than $5 per month. In addition to slashing their carbon footprint, customers who opt for 100% renewable energy also support the development of new, local renewable-energy projects; half of the revenue from the Deep Green premium is directed to a local renewable-development fund for projects such as the MCE Solar 1 Project in Richmond, a 10.5 megawatt solar installation. Other local renewable projects will support MCE’s Local Sol program, another 100% clean energy choice, which draws its power from local solar installations. In addition to reducing greenhouse gases, solar projects such as MCE Solar 1, which is scheduled for completion in 2016, have helped with local job production.

With the support of River City Bank, MCE has become a success for its customers, the environment and the local economy. In May, Marin Clean Energy celebrated its fifth year in business. Throughout its entire existence, River City Bank is proud to have been MCE’s bank of choice.

“We have had an extremely positive relationship with River City Bank,” said Dawn Weisz, CEO of Marin Clean Energy. “The size and nimbleness of the bank made it a perfect fit. There is a strong level of service and trust with the management. We also enjoy having direct access to decision makers.”

“At River City Bank, we help clients like MCE realize their vision,” says CEO and President, Steve Fleming. “Delivering exceptional service and a commitment to our clients and communities is what fuels our organization.”