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Connecting the Dots
Edward Randolph
Director, Energy Division
California Public Utilities Commission
Date (example: April 26, 2012)
1
Connecting the Dots
•Many different ways to connect the dots,
•Best to start at the point in time and explain how
things built from there.
•So I will start at the year 1 AeC.
Move Back into Long Term
Planning
• As part of unwinding the energy crisis the Legislature
and the CPUC created a process for long term planning
by the IOUs.
• This eventually became know as the Long Term
Procurement Planning (LTPP).
• There have been changes overtime and will continue to
change as we learn more and the needs of the gird
change.
• Also eventually added Resource Adequacy to the mix
3
LTTP Today
• Open issues from the 2012 LTTP
– SCE Track I Application
– SCE Living pilot
– SDG&E Carlsbad Application
– SDG&E All source RFO/Application
4
LTPP Today
• 2014 LTPP
– Phase 1a -- Capacity and flexibility
needs
– Phase 1b -- 2015 procurement
Authorization
5
Resource Adequacy
• 2015 Compliance Year Proceeding to
open this fall:
– Should we unbundle system and flexible capacity?
– Should/can we count curtailable renewable resources and if so,
how?
– Should we change the allocation of flexible resource
requirements?
6
Then We Added Renewables
• Today Goal is 33% by 2020 with AB 327
setting that as a floor.
– Current RPS Proceeding
• 2015 Procurement plans (based on compliance need not
system need)
• RPS calculator (feeds back to needs and Transmission
Planning in LTPP)
• Procurement Streamlining
• RAM review (smaller non-DG procurement)
• ReMAT (small DG)
7
RPS (well maybe)
• “Integration Adder” – or Total Resource
Valuation.
– Legislation requires valuation of integration
costs into Least Cost Best Fit.
– Process was already underway – will entail
inputs from LTPP, RA, and RPS.
– Could ultimately be used to value DR and EE.
8
Then Came Customer Generation
• California Solar Initiative & SGIP
– Relates back to LTPP in RA by impact future
demand forecasts.
– Relates to RPS IF customer sells RECs – but
otherwise doesn’t impact RPS.
• NEM 2.0
9
Then Came GHG
(well it had been there for a while but we decide to reduce our production)
• Direct impact
– Proceedings on cost allocation issues.
10
Then Came GHG
(and a bunch of separate Programs to meet the goals. )
• Electric Vehicles
• Utility role in infrastructure
• Vehicle to grid integration
• Demand Response
– 2015 reauthorization
– Foundation policy issue to promote big increase
– Guidance for future portfolios
11
Then Came GHG
(and a bunch of separate Programs to meet the goals.
• Energy Efficiency
– Decision on 2015 funding mailed this week.
– Next phases look at rolling portfolio and
program redesign issues.
12
Then Came the Future
• Distributed Resources Plan Proceeding
– Establishes policies, procedures and rules for
development of Distribution Resources Plans
• Phase 1: Aug – January, provide guidance for
utility Distribution Resources Plans (DRPs)
required by AB 327 (Sec. 769)
• Phase 2: Commencing July 1, 2015, evaluate DRP
filings and future investments in electric distribution
infrastructure.
13
Then Came the Future
• Interconnection Reform
• Energy Storage
14
AND then There are Others….
• CEC IEPR
• CAISO TPP
• Joint Agency Steering Committee (JASC)
(Padilla Letter)
15
Here we go….
LTTP
RPS
RA
EE
Rate reform
Rate cases
JRF
Customer
Generation
GHG costs
storage
Demand response
Interconnection
reform
16
Elect Vehicles
Distribution
Resource
Plan
What’s ahead?
• RADICALLY DIFFERENT?
– All Source Procurement?
– Clean Energy Standard?
– Death of the special programs?
17
A Little Bit of Bragging
• In 2013 total renewable production in
California was 19% of total load
– Average prices were $0.15 per kWh
• In 2013 total renewable production in
Germany was 21% of total load
– Prices were between $0.30 and $0.39 per
kWh
Thank you!
For Additional Information:
www.cpuc.ca.gov
www.GoSolarCalifornia.ca.gov
www.CalPhoneInfo.com