STAFF REPORT
City of Lancaster
CC 12
9/8/2026
TN
Date:September 8, 2026
To: Mayor Parris and City Council Members
From:George N. Harris II, Deputy City Manager/Treasurer Trolis Niebla, City Manager
Subject:Lancaster Energy – 2025 Power Source Disclosure Attestation Recommendation:
Provide the attestation specified under California’s Power Source Disclosure (PSD) Program, which requires the governing council of a public agency providing retail electric service to endorse the accuracy of the annual report, as submitted to the California Energy Commission, for the previous year.
In the case of Lancaster Energy (LE), such attestation will be based on the California Choice Energy Authority’s (CalChoice) technical review and will address the 2025 Annual Report prepared for the LE community choice aggregation (CCA) program.
G.C. Section 84308: No
Fiscal Impact:
There is no fiscal impact associated with this action.
Background:
Lancaster Energy (LE) is required to submit this staff report and related meeting minutes to the California Energy Commission (CEC) per Power Source Disclosure Program regulations to demonstrate compliance. For the 2025 reporting cycle, CEC staff will generate the Power Content Labels (PCLs) on behalf of retail suppliers, including LE.
CEC staff aim to provide the 2025 PCLs to retail suppliers by mid-September 2026. The requirement for retail suppliers to provide the PCL to the CEC by October 1, 2026, will be considered fulfilled without additional action. LE will be required to display the 2025 PCL on its 2 5
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website by October 1, 2026, and provide it to customers written promotional materials by December 31, 2026.
California Public Utilities Code requires all retail sellers of electric energy, including LE, to disclose “accurate, reliable, and simple-to-understand information on sources of energy” that are delivered to their respective customers via an annual Power Content Label (PCL). The PCL is analogous to a nutrition label, conveying information regarding the various power sources/products that are procured on behalf of each retail electricity customer. Each of California’s retail electricity sellers, including LE, will each have unique PCLs based on internally adopted procurement policies, statutory procurement mandates, and related power purchases that were completed during the reporting year.
The PCL format is highly prescriptive, offering little flexibility to retail sellers when presenting such information to customers – the CEC administers these requirements under California’s Power Source Disclosure Program. Information presented in each PCL includes the proportionate share of total energy supply related to specific fuel sources/resource categories, including both renewable and conventional generating technologies.
An emission factor for each retail service offering, as calculated using the CEC’s prescribed methodology, is also provided in the PCL. If a retail seller procures a certain percentage of its energy requirements from the market at large (meaning, sources of power that cannot be traced back to a specific generator), the PCL must identify such purchases as “unspecified sources of power.” It is common for most retail electricity sellers to utilize “unspecified power.” In accordance with statewide mandates and internally adopted planning targets, LE procured a substantial portion of its electric energy supply from generating resources utilizing various renewable fuel sources in 2025. Renewable fuel sources may include biomass & waste, eligible hydroelectricity, solar, geothermal and wind.
For LE Clear Choice customers, please note that 42% of total energy supply was sourced from RPS-eligible (CEC certified) renewable energy resources in 2025, and 60% came from renewable and other zero-carbon resources combined (which also includes large hydroelectric and nuclear generation).
For LE Smart Choice customers, 100% of the energy delivered was sourced from renewable energy resources.
To fulfill its Power Source Disclosure Program reporting obligations for 2025, LE, as a public agency, must provide the CEC with the City Council’s attestation regarding the accuracy of information included in the annual Power Source Disclosure Report (submitted to the CEC earlier in 2026, according to the applicable reporting deadline).
While developing LE’s data for the 2025 PCL, CalChoice and its technical consultants performed a detailed review of all power purchases completed for the 2025 calendar year. The review performed by CalChoice and its technical consultants found no inaccuracies or inconsistencies in such information, which was subsequently entered in LE’s annual Power Source Disclosure report.
Consistent with applicable regulations, all customers currently enrolled in the LE program will receive the 2025 PCL via electronic communication or U.S. mail on or before December 31, 2026.
Additionally, the 2025 PCL will be displayed on the LE website by October 1, 2026. 2 5
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Based on reviews previously completed by staff and CalChoice’s technical consultants, staff requests that the Council provide the requisite attestation at this time. Upon approval, a copy of this staff report and related meeting minutes will be forwarded to the CEC, thereby completing LE’s attestation requirements under California’s Power Source Disclosure Program for the 2025 calendar year.
Attachment:
LCE 2025 Power Source Disclosure Annual Report