In May 2023, California Choice Energy Authority (CalChoice) submitted a Petition for Modification to the California Public Utilities Commission (CPUC) to increase funding available for community choice aggregation (CCA) energy efficiency programs, which in recent years has decreased significantly for all CCAs. The modification is necessary in CalChoice’s view because the recent shift in funds away from local programming has resulted in very little money available to fund so-called CCA “elect to administer” (ETA) programs.

“This funding is insufficient to implement meaningful programs in CCA communities,” said Jason Caudle, Executive Director of CalChoice.

CalChoice’s Petition, if approved, would modify the CPUC’s funding mechanism established in D.14-01-033 for ETA programs, setting a minimum funding threshold for CCA ETA programs. In its Petition, CalChoice proposes and provides support for a minimum funding threshold that is a percentage based on historical levels of funding.

“With this regulatory update, CCAs would have access to more public purpose funds to spearhead integral energy savings programs within their communities without pulling from their own capital” said Caudle.

ETA program funding comes from the Investor-Owned Utility local programs budget, which is allocated by the CPUC and comprised of the leftover funds after state and regional programs receive the bulk of the funding available. Following Senate Bill 790, the shift in funds away from local programs contradicts the legislative intent to authorize and support ETA programs.

Historically, ETA programs have received an average allocation of 4% of the funding available for local programs. However, since 2020, ETA programs in the SCE service area have only received between .02% and 1.72% of the funding. CalChoice’s petition is essential for supporting local programs and CCA goals. CalChoice provides background, facts and support to request 4% of funding be implemented as the minimum threshold.

“CalChoice is encouraged by the positive implications a successful Petition would have for CCAs statewide,” said Caudle.