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 Dear Governor Brown:

Please do not sign into law SB 237.

In a word, SB 237 threatens the stability of every Investor Owned Utility and Community Choice Energy Programs by fragmenting their customer bases. Direct Access competes solely on cost and has no interest in building up a California community. IOUs and Community Choice Energy Programs work to enhance communities in which they serve. SB 237 will weaken communities and destabilize the utility marketplace. SB 237 risks the very viability of IOUs and CCE Programs who are investing heavily to accelerate decarbonization and improve community fabric.

In thinking deeply about SB 237, there are reasons why water and power have marketplace limits. These limits protect the ability of our State to achieve a balance of environmental responsibility, operational reliability, community impact, and a fair price. In the vast majority of cases, a Direct Access choice is solely on price. There is no thought given to my neighbor, my city or my county in making the decision to obtain a cheaper commodity as long as the electrons comply with California's energy content law. The sale benefits principally the broker and the energy content provider. The business is thus further isolated from the impact of his or her decision to race to the bottom on price alone. The sale did nothing to further the goals of the IOU or the Community Energy program serving the business.

The Community Choice Energy Programs, the Investor Owned Utilities, the Municipal Electric Utilities and Self Generation are ample and transparent choices for a California business. Indeed, the Direct Access program in California sidesteps the common dialog about how to address all constraints on the road to a decarbonized future. DA is a no-exit exit - a race to the bottom. In our view, we advocate to sunset and not expand DA. DA providers are typically private entities, with no obligations for transparency, public oversight or accountability—except to their private owners and shareholders. Without public oversight over the serving of massive electricity loads, the path that we're on toward achieving public interest energy equity and sustainability objectives may become only a pipe dream.


We call upon you today to make a historic choice that defines the procurement of energy to those organizations subject to the transparent will of the people, not private entities which prey on price alone to distinguish their goods.

Signatures:

Organizations:
San Diego Energy District Foundation
Empowered Energy Solutions

People:
Lane W. Sharman Jr, Co-Founder San Diego Energy District Foundation

Jose Torre-Bueno, Director, San Diego Energy District; CTO, Empowered Energy Solutions
Stuart Smits, Lawyer; Advisor, San Diego Energy District

Copyright 2011-2021
San Diego Energy District is a 501(c)3.
Address:
249 South Hwy 101, #564
Solana Beach, CA 92075
1-858-342-1415
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