PeninsulaCleanEnergyBoardofDirectorsMeeting

April27,2017

June23,2016

AgendaCalltoorder/Rollcall

PublicComment

Actiontosettheagendaandapproveconsentitems

Agenda

1. ChairReport(Discussion)

RegularAgenda

RegularAgenda

2. CEOReport(Discussion)

Recruiting Update

• Introducing:– JosephWiedman,SeniorRegulatory/LegislativeAnalyst

– SiobhanDoherty,ManagerofContracts

• Postedposition:– RenewableEnergyAnalyst(openuntilMay3)

Highlights

• PresseventonApril19atHillsdaleShoppingCentertoannounceourfullrollouttoallofSanMateoCountyandPortolaValley’s100%renewableenrollment

• Lowopt-outratecontinuing!• CACApplicationsopenuntilApril30

GHG-free content

• SuggestwerampupourGHG-freecontentbeyond75%thisyearasfollows:– 2016– 75%GHG-free– 2017– 80%GHG-free– 2018– 85%GHG-free– 2019– 90%GHG-free– 2020– 95%GHG-free– 2021– 100%GHG-free

Coming Up

• BusinessofLocalEnergySymposium,May5,LongBeach

• PCE101Trainingfornewboardmembers(andexistingboardmembers)–WeekofMay15– 2hours– Doodlepollinweeklynewsletter

• PCE202TrainingonPCIAwithPradeepGupta–WeekofJune5– 2hours

Regular Agenda

3. MarketingandOutreachReport(Discussion)

Happy Earth Month!

Neverdoubtthatasmallgroupofthoughtfullycommittedcitizenscanchangetheworld.Indeed,it'stheonlythingthateverhas.

- MargaretMead

PCE Earth Month Outreach

Sincelastboardmeeting,PCE…

• Talkedwithmorethan1,000customers,at21eventsinmorethan15cities/towns

• Helpedlocalkidsmakeapprox.700cleanenergypinwheels

• We’llbeatanotherfoureventsthisweekend!

PhotobyDanLiebermanatPacificaEarthFestonApril22

Recent Presentations & Tabling27-Mar BelmontCommunityWorkshop

28-Mar BurlingameBAYRENMultifamilyEEworkshop

28-Mar PCEPresentationatRedwoodCitySeniorCenter

8-Apr SanCarlosEarthDaytabling

10-Apr HalfMoonBayCommunityWorkshop

11-Apr PescaderoTownCouncilUpdate

14-Apr SkylineCollegeWomeninEnergyCareerPanel

18-Apr PCEWorkshopinFosterCity

19-Apr PCEPresentationtoSamTrans/Caltrain Employees

19-Apr PCEPresentationatAthertonCityCouncil

19-Apr PCEPresentationtoLeagueofWomenVoters

20-Apr PCEVolunteerTraining-- thankyouvolunteers!

21-Apr HalfMoonBayCompostGiveawayTabling

22-Apr MarineScienceEarthDaytablingRedwoodCity

22-Apr PacificaEarthFesttabling

22-Apr PortolaValleyEarthDayTabling

22-Apr AthertonEarthDayTabling

22-Apr EastPaloAltoEarthDayTabling

22-Apr PCEUpdate toSouthSanFranciscoCompostingClass

22-Apr MenloParkEarthDayTabling

27-Apr PCEPresentationtoNorthFairOaksCouncil

Upcoming Presentations & Tabling29-Apr BelmontEarthDayTabling

29-Apr PCEPresentationatBurlingameRainwaterWorkshop

29-Apr STEAMFestinRedwoodCityTabling

30-Apr KermesDía delNiñoTablinginNorthFairOaks

6-May SanBrunoCleanSweepTabling

7-May BurlingameStreetsAliveTabling

10-May PCEPresentationtoSanBrunoRotaryClub

11-May BiketoWorkDayEnergizerStationinSouthSanFrancsicoAlsoplacingPCEpensandbrochuresinall3,500BiketoWorkswagbagsintheCounty

16-May BeresfordHillsdaleNeighborhoodMeetingTablinginSanMateo

18-May PCEPresentationtoSMUHAinSanMateo

20-May ShineFamilyDayTablinginDalyCity

24-May PCEPresentationatWaterWiseWorkshopinMillbrae

24-May PCEPresentationatShelterCreekHOAinSanBruno

3-Jun HillsboroughEarthDayTabling

Huge Thank You to Outreach Volunteers!

• Gladwyn D’Souza – San Mateo Community Choice • Janet Creech -- San Mateo Community Choice• Janelle London* – Menlo Spark• Michelle Daher – East Palo Alto City Staff• Grant Lingon** – San Mateo City Staff• Kathy Goforth• Geoff Esmail

*Speaks Spanish**Speaks Mandarin

CARE and Medical Baseline

• Post cards will be sent in May to all discount customers with message that:

– CARE, FERA, LIHEAP discounts automatically continue for PCE customers

– Medical Baseline customers are exempt from PCIA, receive additional 35% savings!

• Post card is in English, Spanish, and Chinese

How to Read PG&E Bills

• Sending a special post card to residential (E1) customers on how to find savings on bill – ECO100 and ECOplus versions

• Creating website video on reading your bill• Organizing workshop/open house for solar

customers to bring in their NEM bills

Social Media: March 2017

Press Releases

• TwopressreleasesdistributedinAprilatpressconference– PortolaValleygoesECO100– PCEnowthelargestCCAinCalifornia

• Mediacoverageincluded:– KQEDinterviewwithJanPepperandDavePine– EverythingSouthCity– InMenlo– Balitang America

• Maypressreleasesmayinclude:– PCEsignsnewpowersupplycontracts

Op Eds

Status Who What Where

Published JeffAalfs Wecanhelpcombatclimatechangewithnewenergyprogram

TheAlmanac

Published DavePine&CaroleGroom

PeninsulaCleanEnergynowservingentirecounty

SanMateoDailyJournal

Published JanPepper FeaturedStoryoftheWeek KHMBRadio

Published JohnKeener HowPCEHelpsPacificaMeetourClimateActionPlanGoals

PacificaTribune

Submitted DonnaColson GreenPowerOptionswithPCE BurlingameVoice

Submitted JanPepper CommunityChoiceAggregationwillsoonbeprovidingMostNorthernCaliforniansWithElectricity

SFChronicle

Drafting RickDeGolia andCarlosRomero

PCEasaharbingerofwhat'stocomeinregional energy

SJMercuryNews

Customer Notices: Update

• 208,000 units of each notice• Phase 2 notices #1 & #2 already

sent• Phase 2 notice #3 currently

mailed weekly• Post-enrollment notices #3 and

#4 are large postcard format

Ad Campaign & Web Metrics

Opt-Outs

Opt Outs By Week

Opt-Ups

Sponsorships and Conferences

• PCE is joining local Chambers of Commerce and other organizations (e.g. Sustainable San Mateo County)

• Sponsored these upcoming events:What When Where WhoBusiness of Local Energy Symposium

May 5 Long Beach Center for Climate Protection

Energy & Sustainability Summit

May 25 Redwood City SVLG

Silicon Valley Energy Summit

June 23 Stanford Precourt Energy Efficiency Center

NEM Early Enrollment Issue

• Calpine sent Phase 2 enrollment notices to some NEM customers in error, rather than in their correct NEM enrollment phase– 841NEM customers received the phase 2 notice and were

enrolled before their annual true-up– 1401 NEM customers received the Phase 2 notice but were

not enrolled• We are working with Calpine and PG&E to reverse the

true-up for the 841 customers• PCE is sending notices to all affected customers• All customers are back on their original true-up

schedule

Regular Agenda

4. RegulatoryandLegislativeReport(Discussion)

28

RegulatoryandLegislativeReportApril27,2017

JosephWiedmanSeniorRegulatory/LegislativeAnalyst

Joseph

June23,2016

AprilMeetingsandCalCCA Activities

29

– PCEAprilMeetings• March31st meetinginDalyCity(attendedDavePine,GlennSylvester,JanPepper,JoeWiedman)– MetwithStateSenatorScottWienerregardingSB618

• April18th SenateEnergy,UtilitiesandCommunicationsCommitteeHearingonSB618(attendedbyJoeWiedman andCalCAA team)

• April20th meetingwithPG&E/MCE/SCPonDefaultTOUPilotProgramCoordination(attendedbyDanLiebermanandJoeWiedman)

– CalCCA Activities• Finalizingregulatoryandlegislativeprocesses

AprilRegulatoryActivities

30

– PCEAprilFilings• FiledPostWorkshopCommentswithCalCCA onbondmethodologyconsiderationsinR.03-10-003– (CCABond)

• FiledcommentswithCalCCA onIOUME&OPlansforDefaultTOUPilotinR.12-06-013– (ResidentialRatesOIR)

• FiledcommentswithCalCCA onEnergyDivisionapprovalofCompliancePlaninAdviceLetter3035-E– (SDG&EIndependentMarketingDivision(IMD)CompliancePlan)

• FiledJointIOU-CCAPetitiontoModify(uniforminformationstandards)– PCIA/PAM– noopendocket

AprilLegislativeActivities

31

– SB618(Bradford)– Significantlymodified.NolongersubjectsCCAstoexpandedCPUCoversightofIRPs

– AB79(Levine)– Wouldcreateseasonalandhourlyemissionsfactorsandcomplianceobligations;workingwithCalCCA toamendtouseyearlydefaultemissionsfactors

– AB1405(Mullin)– WouldhaverequiredCCAstomeeta4-hourpeakloadrequirementusingstorage;nowamendedtolookexactlylikeSB338;PCEcontinuestoworkwithauthorandstaff

– SB338(Skinner)– RequiresconsiderationwithinIRPhowutilizeEE,DRandstoragetomeetnetpeakload

– SB679(AllenandWiener)– DirectsCAISOtostudyreformingtransmissionaccesschargesforresourcesonthedistributionsystem

FutureReg/LegActivities

32

– En BancHearingonRetailChoiceMay19th inSacramento

– May30th – ProtesttoIOU’sPAMApplication17-04-018(filedonTuesday,April25th)due;PCEistakingaleadinthework withCalCCA

– July3rd – TestimonyonCCABondMethodologydue

Regular Agenda

5. IntegratedResourcePlan(Discussion)

34

PCE’sIntegratedResourcePlan(IRP)–April27,2017

June23,2016

PresentationOutline

35

• Legislativeandregulatoryconsiderations• Resourceplanninggoals• Electricloadforecast• Resources• Procurementmethods• Futurepolicydecisionsforboard• Appendix

– ExistingPCEstrategicprocurementtargets– PossibleIRPOutline

LegislativeandRegulatoryConsiderations

36

• Nostatemandate(yet)toproduceanIRP– CPUCiscurrentlyimplementingCal.PUCodeSec.454.52viaR.16-02-007

• UnderSec.454.52(b)(3):IRPapprovedbyCCABoardofDirectors;providedtoCPUCfor“certification”

• IRPmustmeetcertainrequirements:– Economic,reliability,environmental,securityandotherbenefits– Diversifiedportfolioofshort-term/long-termelectricity,electricity-relatedanddemand

reductionproducts– MustmeetRArequirementsestablishedviastatelaw

– Otherprocurementrequirements• RPS– 50%by2030;discussionofmovingtohigherlevels• Storagemandate– 1%ofpeak;contractsby2020,inplaceby2024• Sec.399.13(b)– BeginningJanuary1,2021– 65%ofRPScontractsineachcompliance

periodmustbeforcontractsof10yearsormoreinduration

ResourcePlanningGoals

37

• PurposeoftheIRP(beyondmeetingregulatoryrequirements)– ToarticulateandcommunicatePCE’splansandrequirementsforbuildinga

diversifiedportfolioofpowerresources– KeyaudiencesincludePCEBoard,customers,suppliersandpolicymakers– Inparticular,suppliers(developers)canlearnPCE’sneedsandpriorities,and

shapetheirofferingstoPCEaccordingly– Annualupdateswithdetailedappendicesareusefulforthispurpose

ElectricLoadForecast

38

• Customerconsumptionforecastswillbebuiltupfromassumptionsanddataintheend-useclassifications(residential,commercial,etc.)

• Programstobeevaluatedinthefuturethatwillaffectthedemandside(load)(andalsoinsomecasesthesupplyside):– Energystorage– Energyefficiency– Netenergymetering– Demandresponseprograms

• InpreviousdiscussionswiththeBoard,wehavepresentedgraphicalloadforecasts,andsuperimposedonthosechartscertainsupplyscenariosasafunctionofdifferentcontractingdecisions– WhiletheIRPmaynotcontainthislevelofdetail,itwillreflecttheassumptions

behindtheseanalysesandthepolicygoalsinherentinthem

Resources

39

• Existingresourcecommitmentsandcurrentresourcemix;forexample:– Renewables– Carbonfree(GHGfree)– Systemenergy– Capacity(RA)

• Systemcapacity• Localcapacity• Flexiblecapacity

• Futureresourceacquisitions– Energystorage

• Ontheutilitysideofthecustomermeter(“infrontofthemeter”OR“IFM”)• Or,onthecustomerside(“behindthemeter”or“BTM”)

– Thisoptionappearstotheutilitytobethesameasareductionindemand(load)

– Netenergymetering– Energyefficiencyprograms– Demandresponse(includingBTMstoragewithabilitytobedispatched)

ProcurementMethods• Competitiverequestsforoffers(RFOs)

– Generallythepreferredapproach– Contractsarefullynegotiable– However,therearealso“standardcontract”RFOs

• Noopportunitytonegotiatecontracttermsandconditions,andbidaccordingly• Simplifyandaccelerateprocurement;reducecostsforlegalservices

• Unsolicitedproposals– NormallyreferthesetothenextRFOopportunity– Mayconsider“rareandfleetingopportunities”

• Feed-intariffs(FITs)– A“firstcome,firstserved”approachwithapricebeingofferedtothemarket– Thefrequencyofupdatingthepriceisimportant– Standard,non-negotiablecontract– Typicallyforverysmallcommunity-basedprojects

40

FuturePolicyDecisionsforPCEBoard

• RiskManagement– Procurement

• Short-termvslong-termcontractsvsmarketexposure• Curtailment• Priceforecasts

– Load• Opt-out

– Regulatory/LegislativeRisks• Changesinrules

• LocalPrograms

41

Appendix

42

ResourcePlanningTargets

43

• ExistingPCEstrategicprocurementtargets– 100%GHGfree(carbonfree)by2021– Sourcedby100%CARPSeligiblerenewableenergyby2025– Createaminimumof20MWsofnewlocalpowerby2025

• Renewablepower,EVprograms,energystorage• Energyefficiencyanddemandresponse• Inpartnershipswithlocalbusiness,schoolsandnonprofitorganizations

– Nouseofunbundledrenewableenergycertificates(RECs)– Nocoalresources

PossibleIRPOutline(1of3)

44

• Introduction– Purpose– ExecutiveSummary

• GeneralResourcePlanningPrinciples– RegulatoryConsiderations– PCEProcurementTargets

• ElectricLoadForecast– EnrolledCustomers– BaselineCustomerandConsumptionForecast– EnergyEfficiency– NetEnergyMetering– DemandResponse

PossibleIRPOutline(2of3)

45

• Resources– ExistingResourceCommitments– CurrentResourceMix– ResourceNeeds

• RenewableResources• GHG-FreeResources• SystemEnergy• CapacityResources• FlexibleCapacity• EnergyStorage

• Procurement– RenewableEnergyPurchases– GHG-FreePowerPurchases– SystemResourcesandSpecifiedPowerResources– ReserveCapacityPurchases

PossibleIRPOutline(3of3)

46

• Procurement(Continued)– LocalRenewableEnergyDevelopment– PCEGenerationDevelopment– Feed-InTariff

• ProcurementMethodsandAuthorities– ProcurementMethods– ProcurementAuthorities

• AppendixA:LoadandResourceTable• AppendixB:DescriptionofResources

Regular Agenda

6. AuthorizetheChiefExecutiveOfficertoexecuteanEEI(EdisonElectricInstitute)MasterAgreementandConfirmationAgreementforPurchaseofResourceAdequacyfromPacificGasandElectricCompany(PG&E).PowerDeliveryTerm:July12017throughDecember31,2017,inanamountnottoexceed$3,300,000

(Action)

Special Meeting

1.AuthorizetheChiefExecutiveOfficertoexecuteaLongFormConfirmation

AgreementwithPacificGasandElectricCompany(PG&E)forPurchaseofPCC1RenewableEnergy.PowerDeliveryTerm:July1,2017through

December31,2017,inanamountnottoexceed$7,000,000(Action)

Special Meeting

2.AuthorizetheChiefExecutiveOfficertoexecutetwoEEI(EdisonElectricInstitute)ConfirmationAgreementsforPurchaseofResourceAdequacyfromShellEnergyNorthAmerica(Shell)with(1)PowerDeliveryTerm:July1,2017through

December31,2017,inanamountnottoexceed$85,000;and(2)PowerDeliveryTerm:July2017,inanamountnotto

exceed$40,000(Action)

Regular Agenda

7. AuthorizetheChiefExecutiveOfficertoexecuteacontractfor

PurchaseandInstallationofOfficeFurnitureinanamountnottoexceed$250,000(Action)

Regular Agenda

8. FormationofastandingAuditandFinanceCommittee(Action)

Regular Agenda

9. UpdatefromAdHocCommitteeonFormationofNewCitizens

AdvisoryCommittee(Discussion)

Regular Agenda

10.FinancialReports(Discussion)

RegularAgenda

11. BoardMembers’Reports(Discussion)

RegularAgenda

Adjourn