Costa Mesa, California, September 6, 2025
News Summary
The Costa Mesa City Council has voted 5-2 to draft an ordinance for enrolling local ratepayers in the Orange County Power Authority (OCPA), focusing on renewable energy. This decision arises amid skepticism regarding OCPA’s management following past controversies. The initiative could bring significant financial benefits and sustainability programs to Costa Mesa, with the potential to generate substantial revenues by 2027-28. The council will review the ordinance in October as it explores community energy goals.
Costa Mesa, California – The Costa Mesa City Council has taken a significant step towards joining the Orange County Power Authority (OCPA) by voting 5-2 to draft an ordinance that would enable enrollment of local ratepayers in a community choice aggregation (CCA) program. This decision comes amid concerns regarding the OCPA’s operational integrity and past controversies.
The OCPA, which was established in 2020, aims to increase the use of renewable energy and potentially reduce energy rates for consumers. By joining the OCPA, Costa Mesa would participate in decision-making regarding the purchase of renewable energy, setting of rates, and distribution of excess revenue towards community energy initiatives and sustainability programs.
As part of the preparations for this potential partnership, the council in July approved the OCPA’s request to analyze the city’s energy load data from Southern California Edison (SCE) to determine the feasibility of joining the program. The results from that analysis, notably discussed during a recent meeting, indicated that Costa Mesa has 50,558 customers who collectively consumed 631,172 megawatt-hours of energy between 2023 and 2024. The OCPA’s chief executive presented these findings, alongside details about the agency’s current financial standing.
Currently, OCPA’s reserves amount to 16% of its operational costs, which are expected to rise to 30% next year. The agency estimates that from Costa Mesa, it could generate revenues of approximately $75.1 million by 2027-28, with projected operating expenses of $64.1 million. In the event Costa Mesa moves forward with joining OCPA, the board must vote on membership by December to initiate service by March 2027.
Several cities are already members of OCPA, including Irvine, Buena Park, and Fullerton, with Fountain Valley poised to join by October 2026. Notably, Buena Park has seen a substantial reduction in carbon emissions, decreasing by over 350 million pounds since joining the authority—a reduction comparable to the impact of removing 38,000 gas-powered vehicles from the roads.
However, skepticism persists regarding the OCPA’s management following the exits of Huntington Beach and Orange County from the authority, both of which cited concerns associated with audits that raised questions about OCPA’s management practices and financial transparency. Additionally, accusations have surfaced about misrepresentation of information concerning rates and energy plan options offered by the agency to other cities, leading to greater caution among Costa Mesa council members.
During the council discussions, some members articulated concerns about OCPA’s recent leadership changes and the agency’s adherence to procurement policies. Questions were also raised about the independence and reliability of feasibility studies conducted by the authority. The council is expected to revisit the proposed ordinance during a meeting on October 7, during which they will also assess community energy goals and explore alternative options for local energy procurement.
Mayor Pro Tem Chavez pointed out the need for lower energy costs for the residents and highlighted the importance of including an opt-out clause should the anticipated savings not come to fruition. The council is proceeding with caution and may seek additional data and independent review before fully committing to participation in the program.
Frequently Asked Questions
What is the Orange County Power Authority (OCPA)?
The OCPA is a community choice aggregation (CCA) program established in 2020 aimed at increasing the use of renewable energy and potentially lowering customer rates through local governance and decision-making.
How did the Costa Mesa City Council vote on joining the OCPA?
The Costa Mesa City Council voted 5-2 in favor of drafting an ordinance to enroll local ratepayers in the OCPA program, although there are ongoing concerns about the authority’s operational history.
What are the projected financial impacts for Costa Mesa if they join OCPA?
If Costa Mesa joins OCPA, expected revenues from the program by 2027-28 are estimated at $75.1 million, with operating expenses projected to be $64.1 million.
Key Features of the OCPA and Costa Mesa’s Potential Involvement
| Feature | Details |
|---|---|
| Establishment | 2020 |
| Current Reserves | 16% of operating costs |
| Projected Reserves for Next Year | 30% |
| Costa Mesa Customer Base | 50,558 customers |
| Estimated Energy Consumption | 631,172 megawatt-hours (2023-2024) |
| Projected Revenue (2027-28) | $75.1 million |
| Projected Operating Expenses (2027-28) | $64.1 million |
| Vote Deadline for Membership | December 2023 |
Deeper Dive: News & Info About This Topic
- Los Angeles Times: Costa Mesa leaning toward joining O.C. Power Authority
- Wikipedia: Community Choice Aggregation
- Orange County Register: Costa Mesa considering switch to green power agency
- Google Search: Costa Mesa OCPA
- Los Angeles Times: Costa Mesa explores joining Orange County Power Authority
- Encyclopedia Britannica: Community Choice Agreement
- College of DuPage: Community Choice Aggregation
- Los Angeles Times: O.C. supervisors pull out of Power Authority
- Google News: Orange County Power Authority
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