HomeMy WebLinkAbout2025-10-21; City Council; 06; Receive a report from the Clean Energy Alliance on its operations and performanceCA Review CKM
Meeting Date: Oct. 21, 2025
To: Mayor and City Council
From: Geoff Patnoe, City Manager
Staff Contact: Jason Haber, Intergovernmental Affairs Director
jason.haber@carlsbadca.gov, 442-339-2958
Subject:
Districts:
Clean Energy Alliance Update
All
Recommended Action
Receive a report from the Clean Energy Alliance on its operations and performance.
Executive Summary/Explanation & Analysis
Clean Energy Alliance (CEA) is a community choice energy joint powers authority that began
serving electric utility customers within the cities of Carlsbad, Del Mar and Solana Beach in May
2021. Community choice energy programs allow local governments to purchase their own
power, and to choose how it is generated. The cities of Escondido and San Marcos joined CEA in
2023, and the cities of Oceanside and Vista joined in 2024.
Clean Energy Alliance Executive Director Greg Wade will present an informational report to the
City Council summarizing the CEA’s operations and programs and an overview of the alliance’s
fiscal year 2025-26 operating plans, rates and priorities.
Fiscal Analysis
This item has no fiscal impact.
Next Steps
None.
Environmental Evaluation
This action does not require environmental review because it does not constitute a project
within the meaning of the California Environmental Quality Act under California Public
Resources Code Section 21065 in that it has no potential to cause either a direct physical
change or a reasonably foreseeable indirect physical change in the environment.
Exhibits
None.
Oct. 21, 2025 Item #6 Page 1 of 1
City of Carlsbad
Update
October 21, 2025
Overview
•Operational Update
•Rates Update
•Programs
•PeakSmart Savers
•Solar Plus
•Solar Plus Connect
•Battery Bonus
•Battery Bonus Connect
•Energy Programs Plan
2
CEA Enrollment Stats
3
CEA serves a total of 255,298 customer accounts across its seven member agencies
Member City Eligible
Accounts
Clean Impact –
50% Renewable
Clean Impact Plus
- 75% Carbon
Free
Green Impact –
100% Renewable
Participation
Rate
Carlsbad 55,165 159 49,341 660 91%
Del Mar 3,021 6 2,762 71 94%
Escondido 57,247 162 53,363 73 94%
Oceanside 74,347 207 68,921 103 93%
San Marcos 37,827 119 34,758 77 92%
Solana Beach 7,792 14 6,929 158 91%
Vista 39,554 81 37,007 327 95%
TOTAL 274,953 748 253,081 1,469 93%
4
Time of
Use (TOU)
2026 Rate Insights - PCIA
5
•If the cost of SDG&E’s electricity portfolio is higher than its marke t value , the PCIA is positive
•CEA customers will pay higher cost to cover
•If the cost of SDG&E’s electricity portfolio is lower than its
market value, the PCIA is negative
•CEA customers will pay a lower cost and/or receive a credit
FORECAST
COST OF
UTILITY
PORTFOLIO
FORECAST
VALUE OF
UTILITY
PORTFOLIO
INDIFFERENCE
AMOUNT (PCIA)
CEA Avg W in te r Bill vs SDG&E
Carlsbad Residential Customer
6
Clean Impact Plus - Average Monthly Premium – $0.74
Average Seasonal Premium: $5.18
Winter Months: November 1 – May 31
CEA Avg Summer Bill vs SDG&E
Carlsbad Residential Customer
7
Clean Impact Plus Average Monthly Premium – $11.06
Average Seasonal Premium - $55.30
Summer Months: June 1 – October 31
Net Average Annual Premium: $60.48 ($5.04/Month)
2026 Rate Insights
•May 2025 – SDG&E Filed Initial Energy Resource Recovery
Account (ERRA) Forecast and Rate Application
•October 15, 2025 – SDG&E Updated Rate Application
•SDG&E Generation Rate Projected Increase
•19% Increase - $.03152/ kWh
•Power Charge Indifference Adjustment (PCIA) – Carlsbad 2020 Vintage
•365% increase - $.04387
•From ($.01107) to $.03280 – from a NEGATIVE to a positive PCIA
•At CEA current rates would result in (VERY Preliminary):
•Avg Monthly Bill Premium of $8.36 compared to SDG&E for Clean Impact Plus;
•an increase of $3.32 per month (current avg premium $5.04 per month)
•December 2025 – SDG&E final Rate Update
8
Programs Overview
•Goals
•Reduce GHG Emissions within CEA territory
•Reduce customer energy costs
•Achieve member cities’ Climate Action Plan goals
•Carlsbad’s CAP Goals:
•By 2030 set 100% renewable (Green Impact) as default for CEA customers with the City
•By 2035 explore purchase of renewable energy credits if CEA is not reaching its 2035 (100% renewable) goal
9
PeakSmart Savers Program
•Available to residential customers on certain TOU rate plans
•De signe d to provide bill savings
•Encourage reduced usage when energy conservation is needed
•Customers avoid an added charge when reducing usage during called event days
10
Solar Plus
•Solar + Battery Systems
•No upfront Costs to customers
•No credit checks
•Clean, Reliable energy available to all customers
•Reduces bills by maximizing use of roof-top solar and battery
11
Solar Plus Connect – Income Qualified
•California's Se lf-Generation Incentive Program (SGIP)
•financial incentives to residential and commercial customers who install solar and energy storage systems
•AB 209 expanded access to incentives for low-income customers
•SGIP incentive covers approximately 85% of the average
energy storage system
12
Battery Bonus
•For customers with solar without battery
•Batteries provide:
•Backup Power
•Time -of-use Optimization
•Increased use of Renewable Energy
•Grid reliability through use of battery energy during peak periods
•No Upfront cost or credit checks to participate
•Available through Local Channel Partners
•Information on CEA’s website – Rebates & Programs Page
13
Battery Bonus Connect
•Similar to Battery Bonus
•NO cost batteries available to Income Qualified customers – CARE/ FERA
•Reduction in electric bills through using battery energy during peak periods
•Funded by SGIP
•$280 million statewide
•Available while funds last
•Information on CEA’s website
14
Solar Plus & Battery Bonus Update
15
Member City Solar Plus Solar Plus Connect Battery Bonus Battery Bonus Connect
Status Active Complete Active Complete Active Complete Active Complete
Carlsbad 4 1 3 0 0 0 11 0
Del Mar 0 0 1 0 0 0 1 0
Escondido 10 0 13 0 0 0 13 0
Oceanside 3 1 6 0 0 0 18 0
San Marcos 6 1 3 0 0 0 8 0
Solana Beach 2 0 1 0 0 0 2 0
Vista 2 1 7 0 0 0 12 0
TOTAL 27 4 34 0 0 0 65 0
Data as of 9/18/25
Connect Programs SGIP Funding
16
Member City Solar Plus Connect Battery Bonus Connect
Carlsbad $91,080 $198,000
Del Mar $30,360 $19,800
Escondido $408,480 $217,800
Oceanside $188,520 $354,024
San Marcos $90,685 $158,400
Solana Beach $29,485 $39,600
Vista $156,250 $274,854
TOTAL $994,860 $1,262,478
Data as of 9/8/25
Programs Plan Objective
17
•Promote Clean Energy Adoption
•Encourage the adoption of renewable energy sources across all customer segments
•Enhance Energy Efficiency
•Im p rove energy efficiency for residential and commercial customers through
targeted programs
•Support Low to Moderate-Income Households
•Provide specialized programs that address the unique needs of low to moderate -
income residential customers
•Facilitate Economic Development
•Support comm ercial customers with energy programs that reduce costs and foster
sustainable business practices
•Incre ase Awareness and Participation
•Develop effective marketing strategies to increase awareness and participation in
CEA’s energy programs.
Contact CEA:
Call Center: (833) 232-3110
Administrative Offices:
(760) 209 -6177