RFO Addresses Tariff and Tax Credit Uncertainty While Seeking Additional Renewable Energy and Reliability Resources for Southern California Customers
Los Angeles, Calif., May 20, 2025 (GLOBE NEWSWIRE) — Clean Power Alliance (CPA), the nation’s leading green power provider and the largest community choice energy aggregator in California, today announced the release of its 2025 Clean Energy and Reliability Request for Offers (RFO.) This solicitation reflects CPA’s continued commitment to clean energy, grid reliability and innovative procurement practices.
Building on the framework of its 2024 Clean Energy and Reliability RFO, the 2025 RFO has several key updates, including tariff and tax credit price adjusters to address potential changes in equipment-related tariff costs and federal tax policy.
“As market and policy conditions continue to shift, CPA is proactively updating its procurement approach to secure affordable, clean and reliable energy for the communities we serve,” said Ted Bardacke, CPA’s chief executive officer. “This RFO reflects our commitment to both progress and proactive problem-solving by offering developers clear guidance and options to keep projects on track during a time of policy and regulatory uncertainty.”
The 2025 RFO invites proposals across six distinct product categories:
1. Renewable Generation Only
Includes baseload or firm renewable energy resources that qualify under California’s Mid-Term Reliability (MTR) requirements and achieve an annual capacity factor of at least 80%. Also includes standard RPS-eligible resources such as solar and geothermal projects.
2. Renewable Generation Plus Storage
Combines RPS-eligible renewable generation with storage systems offering a minimum of four hours of discharge. Storage capacity must not exceed 100% of the generation nameplate capacity.
3. Stand-alone Storage
Storage-only projects providing a minimum of four hours of energy capacity, supporting grid flexibility and reliability during periods of peak demand.
4. Resource Adequacy-Only
Resource adequacy-only offers from qualifying technologies, including storage or dispatchable thermal resources, to meet regulatory reliability requirements.
5. PCC1 Energy-Only (Fixed Price or Index-Plus)
Offers of RPS-eligible generation—such as solar, wind or geothermal—priced either at a fixed rate or as index-plus contracts. These are classified as PCC1 for compliance under California’s Renewable Portfolio Standard.
6. Dispatchable Thermal Energy with RA Contracts
Includes existing gas-fired generation projects using cleaner operations, such as pairing with storage to reduce emissions or blending with green hydrogen or renewable biogas. These projects must include resource adequacy capacity and measures to minimize impacts on local air quality.
CPA has traditionally focused its annual RFOs on meeting various California renewable energy and mid-term compliance requirements. However, CPA has already met or exceeded these compliance obligations, expecting to have a portfolio that is 80% renewable energy for 2024. As a result, this RFO seeks to fill a larger portion of CPA’s energy and resource adequacy portfolio needs with long-term contracts that reduce the need for CPA to procure energy in the more volatile short-term market, thus helping to stabilize customers’ electricity bills.
To review CPA’s Clean Energy and Reliability RFO click here.
A webinar to inform about the RFO process will take place on June 3, 2025, at 11 a.m. (PST). Offers are due June 30, 2025. Proposers must register on the RFO website to receive RFO documents and participate in the webinar.
About Clean Power Alliance
Clean Power Alliance is the locally operated, not-for-profit electricity provider serving 38 cities and the unincorporated areas of Los Angeles and Ventura counties. CPA is the fourth largest electricity provider in California and the number one green power provider in the United States. CPA provides clean renewable energy at competitive rates for approximately three million residents and businesses, along with innovative programs that promote resiliency, electrification, and customer bill savings. CPA has an investment-grade credit rating of A-minus from S&P Global Ratings.
View CPA’s most recent Impact Report here. Learn more about CPA at www.cleanpoweralliance.org.
CONTACT: John Axtell Clean Power Alliance 213-376-4850 Ext. 184 jaxtell@cleanpoweralliance.org
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