Transcript City of Santa Clara Electric Utility
Climate Change: California Experience
To: APPA National conference John Roukema Director Silicon Valley Power June 16, 2009
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Agenda
• California legislation • Municipal approach to energy efficiency
– Partnerships – Targets, reporting and progress
• Renewable energy portfolios • Silicon Valley Power
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California Legislation
• Legislation over last few years – State loading order for new resources – No new investment in Coal – Renewable Portfolio Standard • Defined by local agency (Legislation pending to fix) • 33% by 2020 • REC eligibility, Out of state vs. in state, oversight – Set energy efficiency targets for ten years • Report annually – Solar initiative sets goals for state • SVP’s share 30MW • AB32 Climate Change 3
Public Power Interests are Diverse and Unique “One size does not fit all”
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2005
Changing Viewpoints About Public Power’s Commitment to Energy Efficiency
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Public power energy efficiency targets “are now lagging well behind those of the state’s investor-owned utilities.” (
Natural Resources Defense Council Report, February 2005) •
It is “less than convincing” that public power is doing its job in the area of energy efficiency. (
Assembly Energy & Utilities Committee Chair Lloyd Levine, November 2005) 2009 •
Publicly-owned utilities are successfully demonstrating their commitment to energy efficiency as a part of a larger responsibility to carbon emissions reductions. (Pg 2 - CEC Report)
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The POU community has made remarkable progress in efficiency program evaluation over the last year. (Page 16)
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The POUs have been responsive to AB2021 during 2008 and in their planning for 2009 and beyond. (Page 26)
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Reporting Confirms Public Power Commitment SB 1037 2007 Report SB 1037 2008 Report SB 1037 2009 Report Supporting Documentation - KEMA Efficiency Measure Quantification Studies 2006, 2008, 2009 - E3 Reporting Tool, v2006-08 - Custom Measure Guidelines - Measurement & Evaluation Reports AB 2021 Targets 2007 Report
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Strategic Partnerships
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Public Power Views on Energy Efficiency
• $220 M spent on energy efficiency since 2006 • More than $3 of benefits for every $1 spent (TRC analysis) • Work to sustain effectiveness – Program saturation occurs quickly – Requires creativity, constant change – Uncertainty in behavior-based programs (not just lighting) 8
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Moving Toward AB2021Targets Realistic Approach Yields Realistic Results 2006
E3 and KEMA retained to provide engineering expertise and develop models (ongoing effort)
2007
Energy efficiency potential studies done Conservative approach taken – No Surprises Policy
2008
M&V analysis done for first time Public power results consistent with pre verified savings
2009
Target setting process refined Targets closely aligned with annual reporting responsibilities Trend analysis better tied to timely M&V results 9
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Analytical Considerations The Importance of Trends
• Focus on specific numbers guarantees analytical failure • Trends much more important to gauge progress • Key Implications for 2009 – Economy may skew next year’s analysis – Customer behavior unpredictable • Can’t force customer to invest in energy efficiency 10
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Realistic Trends Provide Effective Policy Tool Public Power Savings vs Targets AB 2021 Targets Program Savings Source: CMUA SB1037 Report, March 2009
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2008 Annual RPS Status – NCPA CA Eligible Renewables All Renewables NCPA Member Cumulative RPS NCPA Owned Generation 20% 72% 42% 94% 1. Renewable energy, expressed in percent of retail sales 2. California eligible is defined in Section 399.12 of the Public Utilities Code NCPA Members Eligible Renewables 4% - 55% All Renewables NCPA Member Alameda Biggs Gridley Healdsburg Lodi Lompoc Palo Alto Port of Oakland Plumas Sierra Redding Santa Clara Roseville Truckee Donner TID Ukiah CA Eligible Renewables 55% All Renewables 77% 65% RPS Goal Maintain at least 40% renewables through 2020.
20% renewables as resources added.
17% 14% 42% 27% 30% 19% 8% 11% 15% 30% 9% 16% 4% 53% 67% 65% 52% 55% 66% 45% 54% 41% 49% 27% 22% 17% 74% 20% renewables as resources added.
20% renewables.
20% by 2010, maintaining at least that level going forward.
20% with no specified date.
33% by 2020. Interim goals of 30% by 2012.
20% by 2017.
20% by 2017.
20% by 2017.
33% by 2020.
20% by 2017.
21% by 2010.
20% by 2017. Note: new 100 MW wind
project in 2009 will raise RPS above 24%
Maintain at least 20%. 17% - 77% 12
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Silicon Valley Power
• Municipal Utility
– Owned and Operated by the City of Santa Clara • 117,000 residents • 51,000 Customers – Clean, reliable, competitively priced electricity – 490 MW Peak Load – 3,000 Gwh/year – 73% load factor – 90% of Sales are Commercial and Industrial 13
Silicon Valley Power
• SVP Owns and Operates 7 Power Plants – Four small hydro plants – Natural gas combined cycle and peaking plants – Cogeneration plant – 24 hour trading and scheduling • SVP Partners in 9 Power Plants – Northern California Power Agency (NCPA) • Geothermal, Large Hydro, Natural gas – MSR Public Power Agency (MSR) • Coal and Wind – Transmission Agency of Northern California (TANC) 14
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Wind Hydroelectric
0 pounds of CO2 per kWh produced
Solar Geothermal
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But, wait, there’s more
2400 pounds of CO2 per kWh 950 pounds of CO2 per kWh
Coal Natural Gas
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Where does this leave SVP?
• Carbon intensity: 650-750 pounds/kWh • Depending hydro condition • With load growth need to be 450 pounds/kWh • Options • Replace coal • Continue renewable development • Reduce load
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Energy Efficiency Programs
For $5 to 6 M per year:
– Commercial & Industrial Programs • 25,860,913 kWh in first year savings – Residential Programs • 914,530 kWh in first year savings – Total FY 07-08 Savings •
26,775,443
kWh – Goal for FY 07-08 was
25,765,000
– Goal for FY 08-09 is
27,339,560
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Residential Programs
• Free In Home & Online Energy Audits • CFL Give a ways • Refrigerator Replacement & Recycling Rebates • Attic Insulation Rebates • Solar Electric Rebates • LCD Monitor Rebates • Whole House Fan Rebate • SVP Plug Ins Catalog • Solar Attic Fan Rebate • AC Replacement & Recycling Rebates • Pool Pump Rebate • Ceiling Fan Rebates 20
Commercial & Industrial Programs
• Free Energy Audits • Free Design Assistance • Lighting Rebates • Motor & VFD Rebates • HVAC & Chiller Rebates • Commercial Washing Machine Rebates • Food Service Equipment Rebates • New Construction Incentives • LEED Incentives • Solar Electric Rebates • Customer Directed Rebate • Energy Innovator Grant 21
Third Party C&I Energy Efficiency Programs
• Compressed Air Management Program (CAMP) • Keep Your Cool Program • Retrocommissioning Program • Express Efficiency Program • Data Center Optimization Program (DCOP) • Preschool Energy Efficiency Program 22
SVP Energy Innovator Awards
• Environmental Innovator – Santa Clara University (over 100 employees) – Echelon Corporation (100 employees or less) • Energy Efficiency Partner – Sierra Meat Company (over 100 employees) – PDM Steel Services Center (100 employees or less) • Green power Champion – Applied Materials (over 100 employees) 23
Awarded the 2007 EPA “Program of the Year” 24
Lessons Being Learned
• We are facing major challenges – Won’t go away • Be proactive in energy efficiency and renewables – Protect the customers interests – Provides validity to concerns – Reduces costs in long run • Get your message out early and often – Take an active role in developing regulations
Public Power must focus on common concerns We have more common ground than differences
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