Fearing that electric rates might be 2% to 4% higher should the city of Montebello go into the energy business, City Council members have pulled the plug on forming its own community choice aggregation where the city would purchase its own power.

The council on a 3-2 vote on March 24 decided against moving forward. A 3-0 vote, with two abstentions, officially cancelled the proposal on April 14.

Under the proposal, Montebello would purchase the power and Southern California Edison would deliver the electricity, repair the lines, control the infrastructure and do the billing.

Community choice aggregations, such as ones run by Baldwin Park, Pico Rivera and Whittier, are a model the state approved in the early 2000s that lets cities form agencies that purchase electricity.

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