CA Review CKM
Meeting Date: Oct. 21, 2025
To: Mayor and City Council
From: Geoff Patnoe, City Manager
Staff Contact: Jason Haber, Intergovernmental Affairs Director [email protected], 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
Octobe r 21, 2025
Overview
• Operati onal Update
• Rates Update
• Program s
• PeakSmart Save rs
• Solar Plus
• Solar Plus Connect
• Batte ry Bonus
• Battery Bonus Connect
• Ene rgy Program s Plan
2 CEA En r o llm e n t St a t s
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 Tim e o f
Use (TOU)
2026 Rate Insights - P CIA
5 • I f the cost of SDG& E’ s electricity portfolio is higher than its m a rke t va lu e , th e P CIA is p o s itive
• CEA customers wi ll pay hi gher cost to cover
• I f the cost of SDG& E’ s electricity portfolio is lower than its mar ket val ue, the PC I A i s negati ve
• C E A customer s wi l l pay a l ower cost and/ or r ecei ve a cr edi t
FORECAST
COST OF
UTILITY
PORTFOLIO
FORECAST
VALUE OF
UTILITY
PORTFOLIO
INDIFFERENCE
AMOUNT (PCIA)
CEA Av g W in t e r B il l v s SD G &E
C arlsbad Residential Customer
6 Clean Impact Plus - Average Monthly Premium – $0.74
Average Seasonal Premium: $5.18
Winter Months: November 1 – May 31
CE A Avg Summer Bill vs SDG&E
C arlsbad 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 – SD G & E Fi l ed I ni ti al E ner gy R esour ce R ecover y A ccount ( ERRA ) Forecast and Rate A ppli cati on
• Octobe r 15, 2025 – SDG& E Updated Rate Appli cati on • SD G & E G ener ati on R ate Pr oj ected I ncr ease
• 1 9% I ncr ease - $.03152/ kWh
• Power C har ge I ndi f f er ence A dj ustment ( PC I A ) – Carlsbad 2020 V i ntage • 365% i ncrease - $ .0 438 7
• From ( $. 01 1 07) to $. 03280 – from a NEGA TI V E to a posi ti ve PCI A • At CEA curre nt rate s would re sult in (VERY Pre lim inary):
• A vg Monthly Bi ll Premi um of $8. 36 compared to SDG& E for Clean I mpact Plus; • an i ncrease of $3. 32 per month ( current avg premi um $5. 04 per month) • D ecember 2 02 5 – SDG& E fi nal Rate Update
8 Programs Overview
• Goals
• Re d u c e GHG Em is s io n s w ith in CEA te rrito ry • R educe customer ener gy costs
• A chi eve member ci ti es’ C l i mate A cti on Pl an goal s • Carlsbad’ s CA P Goals:
• B y 2 030 set 1 00% r enewabl e ( G r een I mpact) as def aul t f or C E A customer s wi th the City
• B y 2 035 ex pl or e pur chase of r enewabl e ener gy cr edi ts i f C E A i s not r eachi ng i ts 2035 ( 1 00% renewable) goal
9 PeakSmart Savers Program
• A vai lable to resi denti al customers on certai n TOU rate plans • De s ig n e d to p ro vid e b ill s a vin g s
• E ncour age r educed usage when ener gy conser vati on i s needed
• Customers avoi d an added charge when reduci ng usage duri ng cal l ed event days
10 Solar Plus
• Solar + Battery Systems
• No upfront Costs to customers
• No credi t checks
• Cle an, Re liab le e ne rg y availab le to all custom e rs • Reduces bi lls by maxi mi zi ng use of roof -top solar and battery 11 Solar Plus Conne ct – In c o m e Qu a lifie d
• Ca lifo rn ia 's Se lf-Generati on I ncenti ve Program ( SGI P) • fin a n c ia l in c e n tive s to re s id e n tia l a n d c o m m e rc ia l c u s to m e rs w h o i nstall solar and energy storage systems
• A B 2 09 ex panded access to i ncenti ves f or l ow -in c o m e customers
• SG I P i ncenti ve cover s appr ox i matel y 85% of the aver age ener gy stor age system
12 Batte ry Bonus
• For customers with solar without battery
• B atter i es pr ovi de:
• Backup Power
• Tim e-of-u s e Op tim iza tio n
• I ncr eased use of R enewabl e E ner gy
• Grid re liability through use of batte ry e ne rgy during pe ak pe riods • No Upfront cost or credit checks to participate
• A vai lable through Local Channel Partners
• I nformati on on CEA ’ s websi te – Rebates & Programs Page 13 Battery Bonus Connect
• Similar to Battery Bonus
• NO cost batter i es avai l abl e to I ncome Qual i f i ed customer s –
CARE/ FERA
• Reducti on i n electri c bi lls through usi ng battery energy duri ng peak peri ods
• Funded by SG I P
• $ 28 0 m illio n s ta te w id e
• Availab le while fund s last
• I nformati on on CEA ’ s websi te
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 SGI P Fundi ng
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 Cle an Ene rg y A dopti on
• Encourage the adopti on of r enewabl e ener gy sources across all customer segments • Enhance Ene rg y Effic ie n c y
• Im p ro v e ener gy e ffic ie n c y for r esi denti al and commerci al customers through targeted programs
• Support Lo w to M oderate -I ncome Households
• P ro vid e s p e c ia lize d programs that address the uni que needs of low to moderate - in c o m e re s id e n t ia l customers
• Fa c ilit a t e Economi c D evelopment
• Support c o m m e rc ia l customers w it h ener gy programs that re duce costs and foste r sustai nable busi ness practi ces
• In c re a s e A wareness and Pa rt ic ip a t io n
• De ve lop e ffe ctive m a rke t in g strategi es to in c re a s e awareness and p a rt ic ip a t io n in C E A’s ener gy programs .
Contact CEA:
Call Center: (833) 232- 3110
Ad m in is t ra t ive Offic e s :
(76 0 ) 20 9-6 177