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Home My WebLink AboutSVCCEP Intro - Saratoga 110415PARTNERSHIP INTRODUCTION |1 Introducing the Silicon Valley Community Choice Energy Partnership Saratoga City Council Wednesday, November 4, 2015 Melody Tovar City of Sunnyvale | SVCCEP PARTNERSHIP INTRODUCTION |2 What is Community Choice Energy? PARTNERSHIP INTRODUCTION |3 PARTNERSHIP INTRODUCTION |4 Why are we considering this? •Communities adopting Climate Action Plans for Greenhouse Gas Reduction •Transportation and Electricity Consumption are largest community contributors of GHG •Transforming Electricity Sourcing is essential to reaching goals PARTNERSHIP INTRODUCTION |5 Accelerating Renewables Solar Wind Biomass PARTNERSHIP INTRODUCTION |6 Introducing SVCCEP -Silicon Valley Community Choice Energy Partnership Sponsoring Agencies Sunnyvale | Cupertino | Mountain View | Santa Clara County Also Participating Campbell | Gilroy | Los Altos | Los Altos Hills Monte Sereno | Morgan Hill | Saratoga PARTNERSHIP INTRODUCTION |7 www.SVCleanEnergy.org PARTNERSHIP INTRODUCTION |8 Assessment Report LEAN Energy US, May 2015 Key Findings •Good potential to meet climate action goals •Timing is good •Existing CCE programs are performing well •Anticipated rate savings in the near term •Risks exist but can be mitigated PARTNERSHIP INTRODUCTION |9 Proven Model in Current Programs •Green power; more renewables •Competitive rates –currently lower •Enhanced local energy programs •Financially sound 27 36 100 0% 50% 100% PG&E CleanStart EverGreen Unspecified Nuclear Natural Gas Large Hydro Renewable 8 24 21 21 20 44 Electric Power Generation Mix* PG&E –Sonoma Clean Power Comparison PARTNERSHIP INTRODUCTION |10 Parallel Tracks Technical Study & Program Development Stakeholder Engagement Agency Agreement & Preparation PARTNERSHIP INTRODUCTION |11 Community Engagement •Community Meetings Round 1 (6 meetings) complete Round 2 in December/January •Targeted Stakeholder Forum November 17th in Sunnyvale •Business Engagement Webinar November 4th Business Forum Meeting –December Business Groups, Chambers •Grows in next phase •Customer Noticing 60 days before service PARTNERSHIP INTRODUCTION |12 The Path Ahead PARTNERSHIP INTRODUCTION |13 Partner Decision Making •Managers and Electeds Forumon November 19: -Tech Study Presentation -Discuss Input to JPA Agreement -Discuss Cost-sharing Contribution •Council/Board Action -Adopt CCE Ordinance (with 2nd reading) -Resolution to Join JPA; approve final agreement -Approve Cost-sharing Contribution •Target –Action by March 31, 2016 -Council preparatory info by December 9, 2015 -Sponsoring Agencies targeting action by January 31, 2016 -First JPA meeting in April 2016 PARTNERSHIP INTRODUCTION |14 Thank you. PARTNERSHIP INTRODUCTION |15 Pocket Slides PARTNERSHIP INTRODUCTION |16 SVCCEP Milestones and Timeline We are Here Phase 1 Phase 2 Phase 3 INITIAL STUDY TECHNICAL FEASIBILITY CCE PROGRAM DEVELOPMENT CCE LAUNCH ID potential agency partners ID opportunities, costs, and risks Investigate other CCEs Inform community and gather feedback Framework for next steps ID partners & funding Technical Study: load and rate analysis, economics, supply options, environmental outcomes Community outreach & input JPA Formation Expand Outreach Energy Svcs Pricing and Procurement Enabling Ordinance Implementation Plan to CPUC Agmt with PG&E Bridge financing to revenue Staffing and Org setup Energy and other Service Contracts Customer notifications and service Conservation & Renewables programming Fall 2015 Technical Study Completed Winter 2015 Communities Decide JPA Spring 2016 Implementation Plan to CPUC Winter 2017 Program Launch! Summer 2016 Ramp-up Operations and Communications PARTNERSHIP INTRODUCTION |17 SVCCEP Priority Goals •Offer renewable energy supply options that exceed the renewable content offered by IOU. •Reduce GHG emissions to support local climate action goals. •Provide competitive, potentially lower, electricity rates for all customers. •Facilitate the use of clean technology, local clean power, and other energy innovations. •Create and maintain a local public agency that is well managed and financially sustainable. PARTNERSHIP INTRODUCTION |18 Overview of Usage by Community Sunnyvale Mountain View Unincorporated Santa Clara Cupertino Campbell Gilroy Los Altos Los Altos Hills Los Gatos Monte Sereno Morgan Hill Saratoga 68% 32% Electricity Usage by Community 4 Million MWh Total PARTNERSHIP INTRODUCTION |19 Technical Study Scenarios 1.Match PG&E GHG-free content and start at 35% Renewable Portfolio Content 2.Exceed PG&E content, starting at 50% RP escalating to 75% by 2030, and ensure that GHG remains 20% below PG&E 3.Maximize GHG-free and RP content, while achieving rate parity with PG&E Include 100% RP voluntary program in all scenarios Utilize Product Content Category 1, 2 split of 75%/25% in all scenarios Technical Study Results Presentation at 11/19 Managers & Electeds Meeting PARTNERSHIP INTRODUCTION |20 Risks Exist But Can Be Mitigated 20 Risks related to CCE Financial Risk Competitive and Pricing Risk/ Opt-Out Rates Market Exposure Regulatory Risk Political Risk Assessment Report analyzes these risks and outlines potential risk-mitigation measures Effect on Business Probability of Event