After a year of careful analysis and preparation, the City is proud to announce the launch of King City Community Power (“KCCP”) electric energy service to the community on July 2, 2018. KCCP is being established under a program created by State legislation known as Community Choice Aggregation (CCA). Under the program, KCCP will purchase and sell electric power while PG&E will continue to transmit and bill for the power. King City is one of the first small cities in California to establish a CCA.
The City Council decided to pursue the City’s own CCA to ensure the revenues are used to meet needs of the local community. The City Council has directed the revenues to be used for four primary goals, which include 1) reductions to customer rates; 2) no-cost solar projects for homes owned by low-income families; 3) installation of new solar streetlights in neighborhoods with deficient lighting; and 4) increased use of clean energy. One of the options being studied to increase clean energy is potential construction of a local solar power plant or wind turbines.
Initially, KCCP’s rates will average a half percent below PG&E’s current rates. If revenues are received as projected, the City plans to further decrease rates and begin implementation of the other programs by the spring of 2019. The wireless streetlights will fulfill one of the recommendations of the City’s Comprehensive Plan to End Youth Violence. KCCP is partnering with GRID Alternatives to install the free solar projects.
KCCP will provide electric energy and related special programs to King City residents and businesses in partnership with PG&E. The King City Council oversees KCCP, including setting the rates charged for the electricity and directing the special programs. PG&E continues to provide all natural gas services, the wires used to deliver the KCCP electricity, meter reading, and discounts and energy efficiency rebate programs. Therefore, there will be no change in how service is delivered by PG&E. PG&E will continue to honor CARE, FERA and Medical Baseline discounts to KCCP customers.
KCCP will become the default electric energy provider. Therefore, on the normal July monthly PG&E billing date, King City residences and businesses will be automatically transferred to KCCP electric energy service. There will be no interruption in service from the transfer. Customers may opt out of KCCP if they prefer to continue to receive their power directly from PG&E. Three notices will be sent to every PG&E customer in May through August of this year with simple directions on how to opt out. Customers should have received the first notice last week.
The City is contracting with Pilot Power Group to operate the program. For more information, please visit www.kingcitycommunitypower.org or call 1-833-888-KING (5464).