Orange County Power Authority Demonstrates Continued Financial Strength With Approval of Fiscal Year 23-24 Budget

Community energy not-for-profit agency also announces plans for online marketplace of energy efficiency products and celebrates 200,000^th residential customer

IRVINE, Calif. (June 21, 2023) – The Orange County Power Authority (OCPA) Board of Directors today approved a balanced FY 2023-24 operating budget that projects $329 million in net revenues and $288 million in total operating and non-operating expenses. This will result in a contribution to reserves of $41 million, with projected growth to $88 million in the Rate Stabilization Reserve Fund – 31% of its operating expenses – by June 30, 2024.

“Building a sufficient reserve fund and obtaining an investment-grade credit rating are pivotal steps for OCPA,” said OCPA Board Chair Fred Jung. “These measures not only contribute to the stability of the agency, but also allow OCPA to procure energy at competitive prices, which directly benefits customers by ensuring stable rates for the delivery of reliable and affordable renewable energy.”

Several factors have contributed to a positive outlook and financial strength, specifically, OCPA offers:

1. Affordable rates: the Basic Choice plan (38% renewable energy) costs 2% less than  SCE’s equivalent generation rate. The Smart Choice plan (at least 69% renewable energy) adds 1c/kWh to Basic Choice rates, while the 100% Renewable Choice plan adds 1.5c/kWh. Any changes to the Basic Choice plan rates benefits all the other plans proportionally;
2. Competitive Net Energy Metering: setting the Net Surplus Compensation (NSC) for excess solar production at 10% above SCE’s NSC rate; and
3. Clean and renewable procurement strategies: contracting for long-term clean and renewable generation resources to meet 90% of OCPA’s electricity demand.

The FY 2023-24 budget includes a plan to hire four additional full-time employees and two interns to ensure adequate coverage of essential functions; increase funding for marketing and public outreach to raise awareness of OCPA’s clean energy mission and goals; implement a scalable data analytic platform to improve access to customer data; and provide reliable, affordable, clean electricity and electrification.

OCPA Approves Contract for Online Marketplace

Another advantage of community energy programs is the opportunity to invest revenue back into the community and offer energy programs to its customers. OCPA will partner with the Energy Federation, Inc. to begin offering incentives for residential customers through an online marketplace of energy products and smart home devices such as smart thermostats, power strips, smart plugs, LED bulbs and home energy monitors. Residential customers in Buena Park, Huntington Beach, Fullerton and Irvine can learn more about these energy-saving incentives and begin to take advantage of them later this summer when the marketplace goes live on the OCPA website.

200,000^th Residential Customer Served

OCPA also announced that it hit a new milestone in serving 200,000 residential customers who are actively participating in the community energy movement to address climate change.

About Orange County Power Authority

The Orange County Power Authority is a not-for-profit public agency that offers clean power at stable rates, significantly reducing energy-related greenhouse emissions and enabling reinvestment in local energy programs. To learn more, visit www.ocpower.org.