IN DEPTH : Hermosa Beach's Green Energy Switch: Cost and Confusion Spark Resident Concerns

When Hermosa Beach automatically enrolled all residents and businesses into 100% renewable energy through the Clean Power Alliance in March 2024, city leaders touted it as a major step toward reducing greenhouse gas emissions. But nearly two years later, the transition has revealed a more complicated picture—one where environmental ambitions collide with billing confusion, cost concerns, and questions about what "100% renewable" actually means.

The Decision

In October 2022, the Hermosa Beach City Council voted to join the Clean Power Alliance of Southern California, selecting 100% Green Power as the default option for all customers—among the most ambitious renewable energy commitments in the region.

"It gives our electricity customers more clean power, for less money for those who stay with 100% green power," Former Mayor Justin Massey said before the March 2024 launch. "They're getting 100% renewable energy, which is going to significantly move the city forward towards reaching the carbon reduction goals."

The carbon reduction goals driving the council's decision are self-imposed. While California has statewide emission reduction targets—including carbon neutrality by 2045 under AB 1279—individual cities are not required to join Community Choice Aggregation programs. Hermosa Beach established its own Municipal Carbon Neutral Plan in 2015, aiming for carbon neutrality in city operations by 2020.

The opt-out enrollment meant residents had to take action if they wanted to return to Southern California Edison or choose a lower renewable percentage. Those who did nothing automatically received—and paid for—100% renewable energy.

How It Works

Clean Power Alliance is a Joint Powers Authority serving 36 cities across Los Angeles and Ventura counties. It purchases electricity from solar, wind, geothermal, and hydro sources, while SCE continues delivering power through existing infrastructure and billing customers.

Hermosa's representative on the CPA Board is now Councilmember Raymond Jackson. He assumed that role following Massey's exit in November 2024.

Residents Share Concerns

In terms of customer billing, on paper, it's supposed to be straightforward: one bill from SCE, with a line item for CPA generation charges. In practice, many customers have found the system confusing and frustrating.