San Diego Community Power, a renewable energy alternative to SDG&E, is lowering its electricity generation rates for the second year in a row. This change, effective from Feb. 1, will reduce the cost by an average of 2.8% compared to last year. Customers using Community Power can expect a 3-5% discount on energy generation rates compared to SDG&E’s standard rates. However, those opting for the 100% renewable Power100 plan will pay about 3% more than SDG&E.
This rate decrease is possible due to careful financial planning and market shifts that have lowered the cost of purchasing power. However, market fluctuations, especially during extreme weather, may still impact energy prices. Long-term contracts for power purchase and energy storage services are expected to help stabilize costs and ensure more predictable pricing for customers.
San Diego Community Power operates as a Community Choice Aggregator, purchasing renewable energy on behalf of over 1.2 million customers. While SDG&E still handles infrastructure and billing, Community Power customers benefit from cleaner energy sources and lower rates. By continuing to reduce costs and invest in renewable energy, the agency aims to provide stable and affordable electricity for San Diego residents.
