RANCHO MIRAGE, Calif. - Rancho Mirage residents could soon see a less expensive power bill heading into the summer. A new program will allow the city to choose its own source of electricity.
The Community Choice Aggregation Program allows California cities, counties, or other agencies to choose where to purchase their electricity. This means Rancho Mirage will not be as reliant on So Cal Edison heading into the summer.
On May 1, all Rancho Mirage residents will automatically have their power changed to the Rancho Mirage Energy Authority, a move the city council says will save residents and businesses 5% off their power bill.
"It potentially puts us at a competitive advantage at the other end of the valley where they have IID power. That power is substantially cheaper than what we have here in Rancho Mirage. So by lowering rate, in a business sense, I think that makes Rancho Mirage more attractive,” Patrick Truchan, a Rancho Mirage business operator & resident.
The program requires no enrollment, doesn't’ change your auto pay as bills still come through Southern California Edison, and residents can opt out at any time.
In a statement, So Cal Edison said in reference to the CCA law passed in 2002:
The execution of the current law is flawed. If no changes are made to current regulations, electricity customers could end up paying extra in their monthly bills for clean energy contracts and other power that was purchased for other customers. This is not sustainable and the CPUC has acknowledged the problem and a cost-allocation proceeding to address this issue is underway.
The Rancho Mirage city council said the new electricity program will save customers at least $1.4 million in the first year alone.
The next Rancho Mirage Energy Authority meeting will be on March 20 at the Rancho Mirage library.