Washing Your Energy Green

By Mario Presents

Power companies have great ways of convincing the public that they are providing consumers with “green” energy. Community Choice Aggregations (CCAs), like EPIC and Lancaster Power, are also taking advantage of loopholes in California’s legal system. These loopholes allow power companies to sell the same electricity they have been providing but with a green label. 

This is sometimes called greenwashing. This scheme has power companies double-dipping while charging the consumer higher prices and increasing the prices over time. When renewable energy like solar, wind, small hydro, and biogas facilities produce power, with every megawatt produced a certificate of green energy is given to the company. The power is sometimes separated from the certificate, sold unbundled, and CCAs buy certificates, buy inexpensive brown power (aka brown energy. Conventional fossil fuels), reattach the certificate, deliver the power, and report to the regulators X amount of “renewable” hours being provided.

Renewable energy like solar and wind are not known for their consistency, and in the case of solar, power is only produced during the day. The excess power and certificate, also called bundled energy, that is produced midday is sold to large power companies like Edison, PG&E, and San Diego Gas & Electric. The utilities mass purchase the resource, sell the excess kilowatt hours without the certificate out of state, unbundled, leaving the company with a green energy certificate. They reattach system power provided by gas, coal, and nuclear energy to the stand alone certificate and label it as “green” energy. 

All CCAs, or Community Choice Energy programs like EPIC in Palmdale, claim to “deliver greener energy than you could otherwise buy for less money.” Electricity arrives to the consumer via the existing utility network. The Community Choice Aggregation (CCA), often overseen by a board of city and county officials, coordinates and profits from the contract instead of the investors of the utility company. The board of directors for California Choice Energy Agency, consisting of R. Rex Parris, Marvin Crist, Ken Mann, Darrell Dorris, and Raj Malhi founded CCAs in Lancaster, Rancho Mirage, San Jacinto, Pomona, Apple Valley, Pico Rivera, Santa Barbara, and now Palmdale to collectively purchase green energy certificates. CCAs, on average, charge 5% more for 100% renewable energy versus the stated 61% renewable energy that is provided by existing utilities. 

California Utility Expert Jim Phelps questioned the California State Chair of the Air Resource Board regarding the reporting of vintage Renewable Energy Credits as new ones through a “‘true up” process used by energy companies. The Chair admitted the practice is not part of air regulations or AB32, but “may be fraud.” The Chair walked back her allegation of potential fraud as a result of CCA lobbies placing pressure on representatives in Sacramento. Energy experts estimate that 80% of California’s energy needs will be handled by CCAs by the year 2025. Palmdale residents are automatically enrolled in California’s Choice Energy Agency starting October 1, 2022. 

On July 17, 2022 the city council of Palmdale decided that every resident is now an assumed participant of the newly created CCA, EPIC Energy, unless they choose to opt out. On August 16, 2022, representatives from the Palmdale Freedom Coalition (PFC) submitted a Freedom of Information Act (FOIA) request, asking for the disclosure of all funding disbursed, or in contract, to the CCA and its agents for the years 2020 up to the present (the date the request was submitted). Extenuating circumstances aside, California Privacy Rights Act (CPRA) or FOIA requests should be fulfilled within ten days of their submission, the City of Palmdale shows PFC’s request as “In Progress.” To find out more or opt out of the program go to:  https://palmdaleepicenergy.com/your-options/opt-out/

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.