Locals Battle PUC Over ‘Community Choice’ | Sonoma Clean Power

Locals Battle PUC Over ‘Community Choice’

Locals Battle PUC Over ‘Community Choice’

Capitol Weekly | October 08, 2018
By Jessica Hice

The California Public Utilities Commission is poised to decide the formula that determines how much consumers are charged by the big investor-owned utility companies, or IOUs—such as Pacific Gas & Electric or Edison, for example—when the customers switch to local community energy programs.

It’s a complex issue, but one with major implications for consumers’ pocketbooks.

If an IOU customer decides to leave and switch to a local community-run program, an exit fee called a “power charge indifference adjustment,” or PCIA, is charged. This charge, posted on every investor-owned utility bill, compensates the utility company for energy contracts bought in the past that are still in effect.

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We are effectively being told to change our business model. CCAs aren’t guaranteed cost recovery the way utility companies are. We won’t abandon all programs on day one, but long-term programs won’t work.

Neal Reardon

Director of Regulatory Affairs

Sonoma Clean Power

Read the full story here.