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Stockton city leaders vote to change power provider for thousands in effort to save money

Stockton, Lathrop to change power providers to help customers save money
Stockton, Lathrop to change power providers to help customers save money 02:56

STOCKTON – The city of Stockton and Lathrop changing the power provider for over 120,000 accounts in San Joaquin County.

The new company, Ava Energy, has been in talks with the city of Stockton for nearly five years now. Starting in April, it will begin providing power to the city.

Saving money where possible is the reason the city of Stockton voted to change power providers.

City leaders say this move could save residents and businesses about five percent on their bills every month.

For a single mother of two, Jolynn Driscoll, five percent a month off of her energy bill is big news.

"That can go towards groceries because groceries are expensive," Driscoll said.

She has an aunt who has COPD and has to have an oxygen machine.

"We spend anywhere from $850 to $900 a month, and that's with a medical break," she said.

For her, the situation she's in now isn't working. So she's welcoming the idea of Stockton changing power providers to Ava Energy.

"I think it's going to be better because we've all been having issues with PG&E," Driscoll said.

Ava Energy buys energy from renewable sources at a lower rate than PG&E and already provides power to 14 other Northern California cities.

For PG&E customers, not much will change.

You'll still get a PG&E bill because they'll still deliver the power that Ava Energy buys. There will be an indicator on the bill that Ava is still providing the power.

The city of Stockton says this move has been in the works for years.

"I was going to say 2018, or 2017, and at that time bringing up Stockton having its own energy company," said Stockton Mayor Christina Fugazi.

In early 2021, California's Public Utilities Commission increased regulations and requirements for power providers, stopping Ava Energy from partnering with Stockton, until now.

"The biggest thing about this is local control," Mayor Fugazi said. "PG&E has a board, they have shareholders, but here with Ava, I'm on that board, we have people in the community on that board."

Fat City Brew & BBQ on the Miracle Mile also welcomes this change, especially after last month's bill.

"It's the biggest bill we have," said Fat City Owner, Don King, "it's more than our rent and that's crazy. Six to seven thousand dollar range a month, but I know for us here in Stockton, I know it's high."

Customers will be automatically enrolled, but they can opt out, to stay with PG&E if they prefer. 

Ava is still looking to expand, they want to bring unincorporated areas of the county onto the Ava Energy grid next year.

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