Ava Community Energy Expansion

Ava Community Energy Expansion to Unincorporated San Joaquin County

Summary

Ava Community Energy, an Oakland-based not-for-profit Community Choice Aggregator (CCA), announced on February 25, 2026 that it will begin providing electricity generation service to approximately 60,000 eligible residential, business, municipal, and agricultural customer accounts in unincorporated San Joaquin County starting in May 2026. Eligible customers will be automatically enrolled in Ava’s default “Bright Choice” plan. PG&E will continue to deliver electricity, maintain power lines, and handle billing. Lodi Electric Utility customers within city limits are not affected. However, thousands of residents with Lodi mailing addresses who live in unincorporated areas and currently pay PG&E rates will be enrolled automatically, with opt-out notices arriving by mail beginning in March.

60,000
Customer Accounts Affected
May 2026
Service Start Date
0.5%
Savings vs. PG&E (Bright Choice)
~$0.24/kWh
Lodi Electric Avg. Rate

How Ava Community Energy Works

Ava operates as a Community Choice Aggregator (CCA) — a public agency authorized under California law to purchase electricity on behalf of member communities, replacing PG&E as the default generation provider. PG&E continues to deliver the electricity over its existing infrastructure, maintain power lines, respond to outages, and send a single monthly bill that includes both Ava’s generation charges and PG&E’s delivery charges.

The San Joaquin County Board of Supervisors voted unanimously in 2024 to join Ava, and the California Public Utilities Commission (CPUC) certified the expansion plan in December 2024. Ava already serves over 2 million customers across Alameda County and the San Joaquin County cities of Tracy, Stockton, and Lathrop.

Automatic Enrollment: Eligible customers in unincorporated San Joaquin County will be automatically enrolled in Ava’s default “Bright Choice” plan starting in May 2026. Opt-out notices will be mailed beginning in March. Customers can opt out at any time with no fees or penalties and will continue to receive existing CARE, FERA, or Medical Baseline discounts.

Service Plans

Ava offers two electricity generation plans for customers in its service area:

Plan Energy Mix Rate vs. PG&E Default?
Bright Choice 50%+ renewable energy 0.5% below PG&E Yes
Renewable 100 100% renewable energy Slightly above PG&E No (opt-in)

Since launching in 2018, Ava reports saving its combined customer base over $180 million compared to PG&E generation rates. In January 2026, Ava lowered its generation rates by 20% for Bright Choice customers, reflecting declining wholesale energy costs.

Rate Comparisons

Ava vs. PG&E: Residential Rates

Ava’s Bright Choice plan is currently priced 0.5% below PG&E’s electricity generation rates, with the discount historically ranging from 0.5% to 5% depending on market conditions. For a typical residential Time-of-Use customer using 350 kWh/month:

Provider Monthly Generation Monthly Delivery Fees Total
Ava Bright Choice $26.82 $100.50 $12.60 $139.91
Ava Renewable 100 $33.25 $100.50 $12.60 $146.34
PG&E $27.12 $100.50 $12.60 $140.21

Based on Ava/PG&E joint rate comparison, effective January 1, 2026. Assumes E-TOU-C rate schedule, 350 kWh/month usage.

The savings are modest — roughly $0.30/month for a typical residential customer on Bright Choice compared to PG&E. The Renewable 100 plan costs approximately $6.13 more per month than PG&E for 100% renewable energy sourcing.

Ava vs. Lodi Electric Utility

Lodi Electric Utility, the city-owned municipal utility, operates at rates substantially lower than either Ava or PG&E. Lodi Electric’s average bundled residential rate is approximately $0.24/kWh, compared to PG&E’s all-in residential rate of roughly $0.40/kWh — making Lodi Electric about 40% cheaper than PG&E. Ava’s rates, tracking 0.5% below PG&E’s generation component, result in an all-in cost roughly 65% higher than what Lodi Electric customers pay.

Provider Avg. Rate ($/kWh) Est. Monthly Bill (680 kWh) Est. Annual Cost
Lodi Electric ~$0.24 ~$163 ~$1,956
Ava Bright Choice ~$0.40* ~$272 ~$3,264
PG&E ~$0.41 ~$279 ~$3,348

*Ava’s total cost to the customer includes PG&E delivery charges, making the all-in rate substantially higher than Lodi Electric’s bundled rate. Lodi Electric average rate from FindEnergy (2025). PG&E rate from Ava/PG&E joint rate comparison (Jan. 2026). Estimates assume average residential usage of ~680 kWh/month.

Who Is Affected?

No Direct Impact on City of Lodi

Ava’s service applies only to unincorporated areas of San Joaquin County — not to the incorporated City of Lodi, which operates its own municipal electric utility. Lodi Electric customers within city limits will see no change to their service or rates. Under California law, CCAs can only replace investor-owned utility (PG&E) generation service, not municipal utility service.

Impact on Unincorporated “Lodi” Residents

Many residents with Lodi mailing addresses actually live in unincorporated San Joaquin County and receive power from PG&E rather than Lodi Electric. These residents — in areas like the Lodi “sphere of influence” — will be automatically enrolled in Ava’s Bright Choice plan and stand to save a small amount compared to PG&E rates. They will need to actively opt out if they wish to remain with PG&E for generation service.

Agricultural Customers

Farmers in unincorporated areas surrounding Lodi who currently pay PG&E’s agricultural rates will be automatically enrolled in Ava and may see modest savings on irrigation pumping and other electrical costs.

Potential Impacts on Lodi

Annexation Dynamics: If Ava delivers lower rates than PG&E to unincorporated areas near Lodi, residents there may feel less urgency to annex into the city to gain access to Lodi Electric’s lower rates. This could slow the city’s growth and tax base expansion.

Competitive Pressure: Although Lodi Electric’s rates remain significantly lower than Ava’s, the presence of a CCA in surrounding areas adds another public power provider to the regional landscape, potentially influencing how Lodi Electric positions its own rate structure and programs.

Narrowing Perception Gap: While the actual rate gap between Lodi Electric and Ava/PG&E remains large, Ava’s additional programs — EV charging infrastructure, energy efficiency rebates, and 100% renewable options — could reduce the perceived advantage of municipal utility service for some residents who prioritize green energy over cost savings.

No Revenue Impact: Since Ava serves only unincorporated areas using PG&E’s distribution system, Lodi Electric’s customer base, revenue, and operations are not directly affected. The city’s General Fund contributions from Lodi Electric remain intact.

Programs & Benefits

Ava customers in unincorporated San Joaquin County will have access to a range of programs:

  • Rate Discounts: Existing CARE, FERA, and Medical Baseline discounts continue to apply under Ava service.
  • Renewable Energy: Option to upgrade to 100% renewable energy via the Renewable 100 plan.
  • Energy Efficiency: Ava offers energy efficiency programs and rebates for qualifying customers.
  • EV Infrastructure: Ava is deploying a new EV fast-charging station network across its service territory.
  • Local Investment: As a not-for-profit public agency, Ava reinvests surplus revenue into local energy programs rather than shareholder dividends.
  • No Lock-In: Customers can opt out at any time with no fees or penalties.

Broader Context

Ava is one of 25 Community Choice Aggregators operating in California as part of a statewide movement to provide local energy choice and advance climate goals. Formerly known as East Bay Community Energy, the agency rebranded as Ava Community Energy to reflect its expansion beyond Alameda County into the Central Valley.

Ava has contracted for more than 2,450 MW of wind, solar, geothermal, and battery storage capacity and has been named one of the top green power providers in the United States by the National Renewable Laboratory. The agency’s expansion into San Joaquin County represents one of the largest CCA enrollments in California’s Central Valley.

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Federal Legislation: Lodi and San Joaquin County