JOINING US.
THE JOINT COMMITTEE ON CLIMATE
CHANGE POLICIES SENATE COMMITTEE
ON ENERGY UTILITIES AND
COMMUNICATIONS ALONG WITH THE
ASSEMBLY COMMITTEE ON UTILITIES.
ENERGY.
THAT WELCOMES YOU AND CHAIRS
WILL SAY A FEW WORDS AS WE GET
STARTED.
THE AGENDAS ARE AT THE BACK AND
THAT WILL JUMP RIGHT IN.
A THANK YOU FOR JOINING US TODAY
FOUR EIGHT THREE COMMITTEE
INFORMATION HEARING ON THE
CARPET EYES IN OUR ELECTRIC GRID.
ELECTED THANK US THERE WAS SOME
STAFF OF COURSE IS THAT
COMMITTEE STAFF ALONG WITH.
CHAIRMAN HOLDEN IN HIS TEAM FOR
BRINGING THIS OUR CONVERSATION
TOGETHER.
TODAY'S CONVERSATION COMES AT A
VERY TIMELY MOMENT STATE CLIMATE
AND ENERGY POLICY.
STRONG GAINS ON RD CARBONIZATION
EFFORTS THERE ARE STILL MANY
QUESTIONS ABOUT WHAT THE FUTURE
HOLDS FOR OUR LECTURE GRID.
I WANT TO BE CLEAR THAT THAT
WERE NOT TO HEAR TO HEAR ANY
BILLS ALTHOUGH THERE ARE A
NUMBER OF CONVERSATIONS GOING ON
THROUGHOUT THE LEGISLATIVE
PROCESS --
TOO OFTEN.
IN FACT --
WE DON'T HAVE AN OPPORTUNITY
WITHIN THIS ENVIRONMENT --
TO TAKE A LOOK AT THE LARGER
ISSUES THAT WILL HELP INFORM.
OUR LEGISLATIVE WORK I'M MOVING
FORWARD.
AT WE REACH A CRITICAL MOMENT
WAS SOLUTIONS MUST BE NEGOTIATED
VERY QUICKLY WHICH IS WHY I'M
GLAD THAT THE TEACHERS WERE
STANDING ENERGY POLICY
COMMITTEES AGREE TO JOIN US FOR
THIS VERY IMPORTANT.
DISCUSSION.
THIS HEARING PROVIDES MEMBERS
THE CHANCE TO HEAR THE FROM
AGENCIES STAKEHOLDERS AND
UTILITIES.
ABOUT THE CURRENT STATUS OF OUR
GREAT TO CARBONIZATION EFFORTS
AND WHERE THERE'S ROOM FOR
FURTHER IMPROVEMENT OR
INNOVATION.
LIKE TO WELCOME OUR FIRST PANEL
TO JOIN US AT THE TABLE AND TURN
THE MIKE OVER TO MY FELLOW A
COLLEAGUE IN AND CHAIR OF THE
ASSEMBLY TOADIES ENERGY.
THANK YOU --
CHAIR GARCIA AYE IT'S A PLEASURE
TO BE HERE THIS IS A VERY
IMPORTANT.
CONVERSATION AS YOU HIGHLIGHTED --
AND IT COMES IN A YEAR WHEN OF
THERE IS CERTAINLY A LOT OF
FOCUS AND ENERGY.
OF NO PUN INTENDED BUT FOCUSED
AND IN THE INDUSTRY AND HOW
[inaudible] TO YOU.
CAN LOOK TO CONTINUE TO EXPAND
ON ARE VERY IMPRESSIVE GOALS
THAT WERE SAID HERE IN
CALIFORNIA.
BECAUSE CERTAINLY THIS IS THAT A
STATE THAT HAS TAKEN THE LEAD.
IN REDUCING JC EMISSIONS AND
RIGHT OF WAYS --
THAT IS SETTING THE STANDARD FOR
NOT ONLY OTHER STATES. TO
EMULATE BUT AROUND THE WORLD AND
SO AS WE CONTINUE TO EXPLORE ALL
OF THE VARIOUS OPPORTUNITIES
THAT EXIST HERE.
I'M I'M VERY HAPPY TO BE HERE
AND TO JOIN THE AND AS WE
ADDRESS MANY IMPORTANT ISSUES
THAT WE'VE TALKED ABOUT IN THE
PAST BUT CERTAINLY --
AS WE HAVE OUR ESTEEMED GUESTS
TO BE HERE TOO LYNN THEIR
INCITING CREDIBILITY TO THIS
TOPIC.
I'M HAPPY TO BE HERE AND JOIN IN
ON THE ON THE DISCUSSION.
THE COLLEAGUES AND COME MUCH
FORGET STARTED THANK YOU ALRIGHT
DOT PANEL IS MADE UP OF THE AND
RANDOLPH THE FROM THE CPU SEE.
MARK ROTH OF THAT NATURE.
FROM THE GOVERNMENT --
SYSTEM OPERATOR AND RICHARD CORY
WITH THE A RESEARCH SUPPORT IN
THE GOOD AFTERNOON LIANE RHONDA
FROM THE C. P. C..
WE ARE AT THE BRIDGE OF TWO
WORLDS. ONE IN WHICH FALSO FEELS
ARE PRIMARY SOURCES OF ENERGY.
A CREATING MYRIAD THREATS TO OUR
HEALTH AND RISK TO OUR LONG TERM
WELFARE AND ANOTHER PARADIGM IN
WHICH THE BULK OF OUR ENERGY
INCREASINGLY COMES FROM EMISSION
FREE RENEWABLE RESOURCES COUPLED
WITH ENERGY STORAGE.
AS YOU KNOW THIS SHIFT IS FAR
MORE COMPLEX THAN JUST SWAPPING
OUT OLD TECHNOLOGIES WITH NEWER
ONES.
AND SO I'M HERE TO TALK TO YOU
TODAY ABOUT HOW THE CPC IS
MEETING THESE OPPORTUNITIES.
AND CHALLENGES.
WITH THE INTERMITTENCY OF
RENEWABLE RESOURCES INSURING
THAT THE RIGHT TECHNOLOGIES ARE
ON THE GRID. TO ENSURE
RELIABILITY IS CRITICAL.
AND WE EACH YEAR MORE AND MORE
PEOPLE ARE BECOMING ACTIVE
PARTICIPANTS AS GENERATORS AS
WELL AS CONSUMERS OF ENERGY.
OUR ENERGY RESOURCES ARE
BECOMING MORE DECENTRALIZED AND
MORE DIVERSE.
AND OUR ELECTRIC AND
TRANSPORTATION SYSTEMS ARE
BECOMING INEXTRICABLY LINKED.
OUR ROLE AT THE CPC IS TO GUIDE
RESOURCE IMPLANT RESOURCE
PLANNING ACQUISITION FOR BOTH
THE SHORT TERM AND THE LONG TERM.
BY LOOKING AT BOTH THE SHORT
TERM AND LONG TERM WE CAN
MAXIMIZE RENEWABLE GROWTH.
REQUIRE CONTRACTS FOR SUFFICIENT
RESOURCES.
NO IS RESOURCE ADEQUACY TO
PROVIDE STABLE PRICES FOR
RATEPAYERS PROTECTING US FROM
THE VOLATILITY THAT BECAUSE THE
ENERGY CRISIS.
OUR LONG TERM PLANNING PROCESS
IS THE INTEGRATED RESOURCE IS
PLANTING PROCEEDING.
MANDATED BY S. B..
THREE FIFTY WHICH MOVES US AWAY
FROM INDIVIDUAL RESOURCE
PROCUREMENT MANDATES AND
ESTABLISHES A GREENHOUSE GAS
EMISSIONS TARGET.
THAT LOAD SERVING ENTITIES.
UTILITIES CCA'S AND ENERGY
SERVICE PROVIDERS WILL PLAN
TOWARDS.
THE I RP DECISION ADOPTED
EARLIER THIS YEAR ESTABLISH AS A
TWO YEAR INTEGRATED RESOURCE
PLANNING CYCLE. TO MOVE TOWARDS
THE HARMONIZING THE GRID.
THE FIRST YEAR OF THE CYCLE IS
DESIGNED TO ESTABLISH AN
APPROPRIATE GREENHOUSE GAS
EMISSIONS PLANNING TARGET FOR
THE ELECTRIC SECTOR.
AND IDENTIFY THE OPTIMAL MIX OF
STABLE A SYSTEM WIDE RESOURCES
CAPABLE OF MEETING THAT TARGET.
WE ADOPTED A STATEWIDE ELECTRIC
SECTOR GHG PLANNING TARGET OF
FORTY TWO MILLION METRIC TONS BY.
TWENTY THIRTY WHICH REPRESENTS A
50% REDUCTION IN ELECTRIC SECTOR
EMISSIONS FROM TWENTY FIFTEEN
LEVELS AND A 61% REDUCTION FROM
NINETEEN NINETY LEVELS.
HAVE TO ARRIVE AT THIS EMISSIONS
TARGET WE MODELED A RANGE OF
EMISSIONS THAT THE AIR RESOURCES
BOARD CLIMATES COULD CHANGE
COPING PLAN ESTIMATED THAT THE
ELECTRICITY SECTOR WILL ADMIT IN.
TWENTY THIRTY THE SECOND YEAR OF
THE INTEGRATED RESOURCE PLANNING
CYCLE IS DESIGNED TO CONSIDER
THE SUITE OF ACTIONS LOAD
SERVING ENTITIES PROPOSE.
TAKE TO MEET THAT TARGET.
IT IS DURING THE SECOND YEAR
AFTER WE RECEIVE INTEGRATED
RESOURCES PLANS FROM EACH LOAD
SERVING ENTITY.
THAT THE COMMISSION WILL
CONSIDER AUTHORIZING ENTITIES TO
PROCURE RESOURCES IN THE NEAR
TERM TO MEET THEIR PLANNING
TARGETS.
SO WHAT ARE THE LOAD SERVING
ENTITIES REQUIRED PLAN TOWARDS.
IN OUR DECISION WE ADOPTED A
REFERENCE SYSTEM PORTFOLIO FOR
THE LOAD SERVING ENTITIES IN THE
CASE OF BOUNCING AUTHORITY. TO
ARRIVE AT THAT PORTFOLIO WE
MODELED A WIDE RANGE OF
ASSUMPTIONS TO IDENTIFY WHAT
TYPES AND QUANTITIES OF NEW
RESOURCES ARE NEEDED AT THE
SYSTEM LEVEL. TO MEET THE TARGET.
THE ADOPTED PORTFOLIO INCLUDES
TEN THOUSAND TWO HUNDRED
MEGAWATTS OF NEW SUPPLY SIDE
RENEWABLE RESOURCES AND TWO
THOUSAND MEGAWATTS OF NEW
BATTERY STORAGE BY TWENTY THIRTY
ON TOP OF EXISTING STORAGE
MANDATES.
WHEN LOW SERVING ENTITIES FILE
THEIR HIGHER PEAS THEY MUST
INCLUDE AT LEAST ONE SCENARIO A
FUTURE RESOURCES AND PROCUREMENT
ACTIVITIES THAT --
CONFORM TO THIS PORTFOLIO.
BUT THEY ARE ALSO ALLOWED TO
SUBMIT ALTERNATIVE PORTFOLIOS.
TO ALLOW THEM FLEXIBILITY TO
PROPOSE ALTERNATIVES.
IF JUSTIFIED BASED ON NEW
INFORMATION LOCAL CONDITIONS AND
LOCAL PREFERENCE.
THE POLICIES WILL BE FILING
THEIR PLANS ON AUGUST FIRST OF
THIS YEAR.
ON THEY MUST PROPOSES I MENTION
HOW TO MEET THE TARGET AND
ADDRESSED EXPECTED IMPACTS ON
DISADVANTAGED COMMUNITIES
[inaudible]
I AM.
ANY LOAD CERVANTES PROPOSING TO
DEVELOP NEW NATURAL GAS
RESOURCES OR TO RE CONTRACT WITH
EXISTING ATTRIBUTE GAS RESOURCES.
FOR PERIODS LONGER THAN FIVE
YEARS MUST MAKE A SHOWING
EXPLAINING WHY LOWER UNITY OR
ZERO A MEETING RESOURCES WERE
NOT SELECTED.
NOW TURN TO SHORT TERM.
RESOURCES WE ADDRESS THOSE AS A
MENTION IN OUR RESOURCE ADEQUACY
PROGRAM.
THIS PROGRAM WAS DEVELOPED IN
THE AFTERMATH OF THE ENERGY
CRISIS AND DIRECTED BY THE
LEGISLATURE THE PURPOSE IS TO
REQUIRE ENTITIES THAT SERVE
ELECTRICAL LOAD TO DEMONSTRATE
THEY HAVE ADEQUATE RESOURCE
CAPACITY.
THE INSTANTANEOUS POWER NEEDED
INTO EVEN IN TIMES OF HIGHEST
DEMAND IN LARGE SCALE OUTAGES.
TO SERVE THEIR CUSTOMERS FOR
ANYWHERE FROM ONE MONTHS TO A
YEAR.
PLANTS THAT HAVE CAPACITY
CONTRACTS MAY NOT RUN VERY
FREQUENTLY SOMETIMES JUST A FEW
HOURS A YEAR.
BUT THEY NEED TO BE READY POISED
TO OPERATE IF CALLED UPON.
OVER THE LAST FIFTEEN YEARS
RESOURCE ADEQUACY HAS BEEN A
SUCCESS.
BUT AS A CALIFORNIA INCREASINGLY
DEVELOPS ITS DIVERSE ENERGY
PORTFOLIO.
IT PRESENTS CHALLENGES.
OVER THE YEARS AND WITH THE
INVESTMENTS OF HUNDREDS OF
MILLIONS OF REPAIR DOLLARS THE
CPC HAS MANAGED RESOURCE
PROGRAMS DESIGNED TO BRING NEW
ENERGY RESOURCES TO MARKET
READINESS.
WE ARE HOME TO LEADING EDGE
ENERGY STORAGE FACILITIES SOLAR
PRODUCTION THAT OUT DOES THE
REST OF THE COUNTRY.
WINDOW RESOURCES BOTH WITHIN AND
OUTSIDE THE STATE.
THE FIRST EVER MARKET BASED
DEMAND RESPONSE AND ENERGY
EFFICIENCY PROGRAMS FUNCTIONING
ALONGSIDE NUCLEAR HYDRO POWER IN
NATURAL GAS.
OVER THE LAST FEW YEARS ARE
SMALLER LOAD SERVING ENTITIES
HAVE BEGAN REPORTING THAT THEY
WERE RECEIVING INSUFFICIENT
RESPONSES TO THEIR REQUESTS FOR
OFFERS TO BUY RESOURCE ADEQUACY
CAPACITY.
THIS IS MAGNIFIED BY THE FACT
THAT CALIFORNIA IS EXPERIENCING
A PROLIFERATION OF THE NUMBER
AND TYPES OF ENTITIES THAT ARE
PROCURING ELECTRICITY FOR
CUSTOMERS. FOR INSTANCE WHERE
FIVE COMMUNITY CHOICE ENTITIES
EXISTED IN DECEMBER. TWENTY
SIXTEEN ONE YEAR LATER TWENTY
ONE COMMUNITY CHOICE ENTITIES
WERE OPERATING OR PLANNING TO
OPERATE IN.
TWENTY EIGHTEEN AND THEY NOW
SERVE A COMBINED 15% OF THE LOAD
UNDER OUR JURISDICTION.
AS A RESULT LAST MONTH.
THE COMMISSION MADE TWO MAJOR
CHANGES TO THE RESOURCE ADEQUACY
PROGRAM.
FIRST LOAD SERVING ENTITIES WILL
BE SUBJECT TO A THREE TO FIVE
YEAR CAPACITY REQUIREMENT IN
LOCAL AREAS.
WHICH IS A SIGNIFICANT EXTENSION
OF THEIR PRESENT OBLIGATIONS.
IN ADDITION WE ASK OUR LOAD
SERVING ENTITIES TO PROPOSE A
CENTRAL BUYER STRUCTURE FOR
CAPACITY IN LOCAL AREAS.
THE CENTRAL FIRE STRUCTURE IS A
HISTORICALLY PROVEN APPROACH.
THAT WE HOPE WILL ADDRESS LOAD
MIGRATION AND COST.
SHIFTING ISSUES WHILE ENSURING
COORDINATED AND COST EFFECTIVE
CHAIRMAN.
WE THINK THESE POLICY MOVES HAVE
THE OPPORTUNITY TO ADDRESS SOME
OF THE CHALLENGES WE'VE SEEN AS
THE LOAD SERVING ENTITIES HAVE
BEEN ATTEMPTING.
TO PROCURE THEIR RESOURCE
ADEQUACY OBLIGATIONS.
BUT ULTIMATELY IF WE'RE GONNA
MEET OUR GREENHOUSE GAS
REDUCTION GOALS IN THE LONG TERM.
WE NEED TO REDUCE OUR RELIANCE
ON THE FAUCET FLEET.
BEING SUCCESSFUL IN THAT TASK IS
GOING TO REQUIRE A BROAD SUITE
OF SOLUTIONS.
INCLUDING ADDING MORE UTILITY
SCALE SOLAR TAKING ADVANTAGE OF
NEW GRID CAN TECHNOLOGIES LIKE
SMART INVERTERS.
COORDINATING OUR TRANSPORTATION
AND BUILDING ELECTRIFICATION
STRATEGIES TO MAKE SURE THOSE
STRATEGIES BENEFIT THE GRID.
AND ACCESSING A WIDE VARIETY OF
RENEWABLES FROM OUT OF STATE
INCLUDING THROUGH
REGIONALIZATION.
I WILL NOTE THAT IN THE EXAMPLE
OF THE UTILITY SCALE SOLAR AND
I'M SORRY UTILITIES KILL STORAGE --
THE COMMISSION RECENTLY ORDERED --
PACIFIC GAS AND ELECTRIC TO
PURSUE SOME ALTERNATIVES TO SOME
GAS FIRED GENERATION TO MEET A
LOCALLY CONSTRAINED AREA NEED.
AND THEY HAVE FILED AN
APPLICATION PROPOSING SEVERAL
STORAGE PROJECTS --
AND SO THAT'S AN EXAMPLE OF
ASSERTIVE TAKING A LOOK AT THAT.
A LOCALLY CONSTRAINED AREA AND
AND ASKING --
FOR SOME DIFFERENT SOLUTIONS --
AND THOSE SOLUTIONS.
HAVE HAVE COME FORWARD SO I
THANK YOU VERY MUCH.
YES WHEN IT WAS MARK PROFITER
REMOVED FROM THE CALIFORNIA
INDEPENDENT SYSTEM OPERATOR --
THE ISO'S A NON FOR PROFIT
ORGANIZATION THAT OPERATES THE
GRID INTO IN MOST OF ABOUT 8% OF
CALIFORNIA.
WE ARE FOR REGULATED
ORGANIZATION --
AND WE'RE RESPONSIBLE FOR
EFFECTIVELY MAINTAINING
RELIABILITY BY BOUNCING SUPPLY
AND DEMAND ENSURING INSURING THE
SYSTEM IS OPERATED SECURELY.
WELL ABOUT TWO THIRDS OF THE
NATION IS OPERATING UNDER EITHER
AN I SO OR REGIONAL TRANSMISSION
ORGANIZATION SIMILAR TO THE
CALIFORNIA AYE SO.
IN THE WEST WE REALLY AT IS THE
WESTERN UNITED STATES WERE THE
ONLY --
INDEPENDENT SYSTEM OPERATOR
OPERATING IN IN THE WEST AT THIS
POINT.
WE ENSURE SECURE RELIABLE
TRANSPARENT DISPATCH --
BOTH DAY AHEAD AND REAL TIME AND
WE MINIMIZE ACOSTA SERVING LOW
TO CALIFORNIA.
BY ENSURING THAT WE ARE
MINIMIZING THE COST OF FUEL.
ALSO CONSIDERING THE GHG COSTS
OF CALIFORNIA RESOURCES AS WELL
AS EXTERNAL RESOURCES SERVING
LOAD IN CALIFORNIA.
AS COMMISSION AROUND OFF
INDICATED THE CALIFORNIA THE
CALIFORNIA LOTTERY ENTITIES ARE
RESPONSIBLE FOR SECURING
SUFFICIENT RESOURCE CAPACITY --
EXISTS CONSISTENT WITH
CALIFORNIA CLIMATE AND
PROCUREMENT POLICIES.
IT'S NOT THE CALIFORNIA SO AND
IT'S IMPORTANT BECAUSE I THINK
IT'S IMPORTANT TO REALIZE THAT.
THE PROCUREMENT RESPONSIBILITY
IS THE JURISDICTION OF THE STATE
NOT UNDER FEDERAL REGULATION.
ON AN ANNUAL BASIS --
THEY RESOURCE ADEQUACY PLANS ARE
DEVELOPED AND THE I SO HAS AN
OPPORTUNITY TO REVIEW THOSE TO
ENSURE THAT WE CAN OPERATE FROM
THEM RELIABLY.
ALSO IN THE LONG TERM INTEGRATED
RESOURCE PLAN.
THAT THE CQC THE I SO MONITOR
AND PERFORMS A DAY ANALYSIS.
AGAIN TECHNICAL REVIEW TO ENSURE
OPERABILITY OF THE SYSTEM.
WITH REGARD TO CLIMATE CHANGE
POLICIES THE ISO SUPPORTS THESE
CLIMATE CHANGE POLICIES IN
SEVERAL WAYS.
FIRST WE'VE INCORPORATED AS I
DESCRIBED GHG COMPLIANCE COSTS
INTO THE DISPATCH SINCE.
TWO THOUSAND THIRTEEN WE PROVIDE
TRANSPARENCY WITH REGARDS --
TO THE AMOUNT OF GHG EMISSIONS
IT TAKES TO OPERATE THE GRID.
IN FACT WE'VE OBSERVED ABOUT A
24% DECREASE IN THE GHG
ASSOCIATE WITH DISPATCH IN
CALIFORNIA SINCE.
TWENTY FOURTEEN WE PROVIDE
FORECASTING AND PLANNING AS WELL
AS ANALYTICS AND SOME OF THE
ANALYTICS THAT WE PROVIDE --
ARE USED BY THE CALIFORNIA
ENERGY COMMISSION IN THEY'RE
GONNA GET HER ENERGY POLICY
REPORT.
AS WELL AS THE CPUC INNER
INTEGRATED RESOURCE PLAN.
LASTLY A IN TWO THOUSAND SIXTEEN
WE PERFORMED SPECIFIC STUDIES
RELATED TO S. B. --
THREE FIFTY THAT ANALYZED AND
LOOKED AT THE POTENTIALS AND
OPPORTUNITIES FOR
REGIONALIZATION.
LAST YEAR WE BEGAN PUBLISHING
ENHANCE GHG TRACKING INFORMATION
ON OUR WEBSITE AND I'VE GOT SOME
ADDITIONAL MATERIAL IF YOU. TO
SHARE WITH YOU IF YOU LIKE.
THIS INFORMATION PROVIDES
SOURCES AND TRANS OF THE GHG
EMISSIONS BY GENERATION
TECHNOLOGY.
IN ADDITION A CRY PROVIDES
INSIGHTS INTO THE EMISSIONS
INTENSITY TRAMS.
BOTH ON A REAL TIME SCALE AS
WELL AS ANNUAL AND MONTHLY
TRENDS.
IN TWO THOUSAND FOURTEEN THE I
SO IMPLEMENTED THE WESTERN
ENERGY IMBALANCE MARKET.
WHICH HAS GROWN TO OPTIMIZE
DISPATCH IN REAL TIME OF
RESOURCES ACROSS EIGHT STATES
PLUS BRITISH OF BRITISH COLUMBIA.
THE ENERGY IMBALANCE MARKET
SINCE ITS INCEPTION HAS
GENERATED APPROXIMATELY THREE
HUNDRED THIRTY MILLION DOLLARS
OF ECONOMIC BENEFITS.
IN ADDITION THROUGH THE MORE
EFFECTIVE USE OF CALIFORNIA
CLEAN ENERGY RESOURCES.
WE'VE BEEN ABLE TO DISPLACE
OTHER EXTERNAL HIGHER COST THE
MIDI RESOURCES EXTERNALLY WHEN
THERE'S AN ACCESS OR SURPLUS OF
SUPPLY IN CALIFORNIA.
AND WE WERE ABLE TO DO THAT.
AND IN REAL RESULT IN
DISPLACEMENT OF ABOUT TWO
HUNDRED FIFTY THOUSAND METRIC
TONS OF GHG AND THE REST OF THE
WEST.
THIS IS ALL BECAUSE THE THE THE
ENERGY IMBALANCE MARKET
CONSIDERS A SOURCE SPECIFIC NOT
AN UNSPECIFIED --
DISPATCH AND CONSIDERATION OF
GHG ON A RESOURCE SPECIFIC BASIS
FOR EXTERNAL RESOURCES SERVING
LOADING CALIFORNIA.
WE'VE LEARNED ALONG THE WAY
THROUGH THEN AND YOU BOUNCE
MARKET THAT THERE ARE THINGS
THAT WE CAN DO BETTER. ONE OF
THOSE THINGS THAT WERE WORKING
CURRENTLY COLLABORATING WITH.
WITH -- IS
THE G. EIGHT XIFAXAN SOURCES.
ASSOCIATE WITH SECONDARY
DISPATCH AFFECTS AND WE'VE BEEN
COLLABORATING WITH CALIFORNIA
RESOURCES BOARD AND OUR
STAKEHOLDERS. TO DEVELOP AND
ENHANCED POLICY RELATED TO
TRACKING OF THESE AND REDUCING
THE SECONDARY DISPATCH A FAX.
WE'RE PREPARED TO TAKE OF THIS
POLICY TO OUR BOARD IN THE NEXT --
MONTH OR SO WITH THE EXPECTATION
THAT WILL BE IMPLEMENTING.
THE CHANGES BY THE END OF THIS
YEAR.
OPPORTUNITIES EXIST IF THE I SO
WERE TO FURTHER --
TO OPTIMIZES DISPATCH OVER
LARGER REGIONAL AREA.
WE CAN CONTINUE TO IMPROVE
TRANSPARENCY AND ACCURACY OF
EXTERNAL RESOURCES IN THE
SOURCES OF GHG.
WE CAN INCREASE THE VALUE OF
CLEAN RESOURCES IN THE TH AND
THE FLEET OF CALIFORNIA
RESOURCES THAT CALIFORNIA HAS
INVESTED AND INCLUDING USING
THESE RESOURCES MORE EFFECTIVELY.
FOR ESSENTIAL RELIABILITY
SERVICES THUS REDUCING RELIANCE
ON OMITTING RESOURCES THAT
PROVIDE THIS CAPABILITY.
TO LASTLY I JUST WANT TO POINT
TO THE SOME OF THE S. B. FIFTH
THREE FIFTY RESULTS THAT
INDICATE.
THAT WE HAVE OPPORTUNITY TO
REDUCE GHG EMISSIONS AROUND
8210% IN CALIFORNIA.
AND AS WELL AS RECEIVE
REDUCTIONS BY TWENTY THIRTY
ACROSS THE WEST USING A REGIONAL.
A DISPATCH AND LASTLY WEALSO
OBSERVE FROM THE STUDIES THAT.
IN MOST OF THE DISADVANTAGED
COMMUNITY AREAS WE CAN SEE
ACTUAL REDUCTIONS OF LOCAL --
LOCAL.
EMISSIONS AS WELL IT IN ADDITION
TO THE GREENHOUSE GAS EMISSIONS.
SO WE LOOK FOR TO ANY QUESTIONS
AND ELABORATE FURTHER ON OUR
ROLE IN REDUCING AND HELPING
CLIMATE CHANGE IN CALIFORNIA.
OUR I THANK YOU CHAIRPERSON
MEMBERS.
MONIES RICHARD CORY EXECUTIVE
OFFICER OF THE CALIFORNIA
RESOURCES BOARD.
IN TWENTY EIGHTEEN AIRBASE
CELEBRATED ITS I OR IS ITS
FIFTIETH ANNIVERSARY.
AND OVER THE LAST FIFTY YEARS WE
ARE LOCAL DISTRICT PARTNERS HAVE
ADOPTED AND IMPLEMENTED NUMEROUS
PROGRAMS TO REDUCE AIR POLLUTION.
WE'VE SUCCESSFULLY REDUCED
EMISSIONS FROM OXIDES OF
NITROGEN OR KNOCKS.
WHICH FORMS OZONE IN PARTICLES
BY OVER 75% SINCE.
NINETEEN SEVENTY SIX AND CARS
ARE 99% CLEANER. 99%.
WITH THE ENACTMENT OF AB THIRTY
TWO IN TWO THOUSAND AND SIX ARE
MANDATE EXPANDED TO INCORPORATE
CLIMATE CHANGE EMISSIONS.
AND ALTHOUGH THERE'S MUCH FOCUS
ON OUR CLEAN CAR TRUCK AND FUELS
PROGRAMS.
ELECTRICITY CONTINUES TO BE AN
IMPORTANT SECTOR TO US.
ELECTRICITY HAS BEEN A SOURCE OF
AIR POLLUTION FROM POWER PLANTS
LOCATED THROUGHOUT THE STATE
MANY AND DISADVANTAGED
COMMUNITIES.
BUT ELECTRICITY ALSO HAS THE
POTENTIAL PERFECT PROVIDE CLEAN
VIRTUALLY POLLUTION FREE ENERGY.
TO POWER HOMES CARS AND
EQUIPMENT IN MANY OF OUR
PROGRAMS PROMOTE INCREASED
ELECTRICITY USE TO MEET OUR AIR
QUALITY AND CLIMATE GOALS TODAY
ELECTRICITY PRODUCED IN
CALIFORNIA.
IS RESPONSIBLE FOR ABOUT 8% OF
ARE STATIONARY SOURCE KNOCKS
EMISSIONS PRIMARILY FROM NATURAL
GAS POWER.
SINCE TWO THOUSAND ELEVEN KNOCKS
EMISSIONS FROM ELECTRICITY
GENERATION FACILITIES HAVE
DECREASED ABOUT 18%. FOR
GREENHOUSE GASES AB THIRTY TWO
DIRECTS US TO LOOK AT NOT ONLY
THE GHG.
EMISSIONS ASSOCIATE WITH
ELECTRICITY REPRODUCED IN
CALIFORNIA.
BUT ALSO THE EMISSIONS
ASSOCIATED WITH THE ELECTRICITY
WE IMPORT.
ELECTRICITY IS RESPONSIBLE 419%.
OVER TOTAL GHG EMISSIONS.
IT'S IMPORTANT TO KNOW THAT
EMISSIONS FROM ELECTRICITY CAN
VARY SIGNIFICANTLY FROM YEAR TO
YEAR.
DEPENDING UPON THE AVAILABILITY
OF HYDROPOWER.
THAT BEING SAID AND EVEN THROUGH
RECENT SUSTAINED PERIOD OF
DROUGHT GHG EMISSIONS HAVE
DECLINED IN THE ELECTRICITY
SECTOR.
AND THE LARGEST INVESTOR OWNED
UTILITIES ARE AHEAD OF SCHEDULE
IN ACHIEVING THE TWENTY TWENTY
OUR PS MANDATE.
ABOUT 33% OUR PS.
TURNING NOW TO THE FOCUS OF THIS
HEARING THE INTERACTION.
BETWEEN A CLIMATE CHANGE
STRATEGY IN THE ELECTRICITY
SECTOR AS YOU KNOW.
AARP RECENTLY ADOPTED THE TWENTY
SEVENTEEN SCOPING PLAN UPDATE
WHICH CHARTS THE PATH TO ACHIEVE
THE S. B. THIRTY TWO GHG
REDUCTION TARGET A 40%.
BELOW NINETEEN NINETY EMISSIONS
BY.
TWENTY THIRTY LATER THIS MONTH
BOARD WILL CONSIDER THE SP THREE
FIFTY INTEGRATED RESOURCE PLAN
ELECTRICITY SECTOR AND
INDIVIDUAL UTILITY PLANNING
TARGETS.
THAT ARE CONSISTENT WITH THE
RECENT SCOPING PLAN.
THESE WERE DEVELOPED JOINTLY BY
AIR BCP.
AND THE CC.
THE SCOPING PLAN IDENTIFIES.
OPPORTUNITIES FOR THE
ELECTRICITY SECTOR DE CARBONIZED
WHILE ALSO HELPING TO REDUCE.
FALSO ENERGY AND RESIDENTIAL
COMMERCIAL.
AND TRANSPORTATION SECTORS.
EVERY TRACKS EMISSIONS FROM EACH
SECTOR INCLUDING ELECTRICITY IN
ORDER TO DETERMINE WHETHER THE
STATE IS ON TRACK TO ACHIEVE.
GREENHOUSE GAS TARGETS.
AS A SIDE NOTE I WANT TO POINT
OUT THAT CALIFORNIA IS ON TRACK
TO ACHIEVE THE TWENTY TWENTY GHG
GREENHOUSE GAS TARGET AHEAD OF
SCHEDULE.
THIS ISN'T JUST A CARRYOVER FROM
THE RECESSION IN BACK CALIFORNIA
HAS SEEN THE LONGEST PERIOD OF
SUSTAINED GROWTH IN HISTORY.
OR CONNIE HAS BEEN COME.
IS BECOMING MORE EFFICIENT
SPECIFICALLY A GROWING ECONOMY
WHILE SIMULTANEOUSLY REDUCING
GREENHOUSE GAS EMISSIONS.
WE'VE SEEN SIGNIFICANT GROWTH OF
RENEWABLE POWER AND RENEWABLE
FUELS BOTH DISPLACING
TRADITIONAL FOSSIL FUELS.
WE'VE ALSO SEEN ENERGY
EFFICIENCY GAINS ACROSS OUR
RESIDENTIAL AND COMMERCIAL AND
TRANSPORTATION SECTORS
CALIFORNIA IS NOW HOME 250% OF
THE ZERO EMISSION VEHICLES IN
THE UNITED STATES.
RECEIVES 40% OF THE NORTH
AMERICAN CLEAN FUELS INVESTMENTS.
OUR PROGRAMS ARE BREAKING DOWN.
MARKET BARRIER IN OUR EXPERIENCE
SHOWS CLEAN TECHNOLOGIES
CONTINUE TO OUTPACE OR
EXPECTATIONS.
AS REQUIRED BY AB THIRTY TWO WE
ADMINISTER A GHG REPORTING
PROGRAM AND PRODUCE AN ANNUAL
GHG INVENTORY. FOR THE
ELECTRICITY SECTOR WE RELY ON
ANNUALLY REPORTED AND VERIFY
DATA AT THE SOURCE EVERY
ELECTRICITY GENERATING PLAN THE
STATE AND ALL IMPORTERS WHO OWN
ELECTRICITY.
ACROSS THE CALIFORNIA BORDER
WALL THE STATUS THIRD PARTY
VERIFIED. FOR IMPORTS A
VERIFIABLE CHECKED FOR THE
EXISTENCE OF CONTRACTS AND
PHYSICAL DELIVERY FOR SPECIFIED
POWER.
IN OUR STAFF CHECKS TO ENSURE
RENEWABLE GENERATION IS NOT BE
DOUBLE COUNTED.
I WANT TO EMPHASIZE THAT OUR
ROLE IS TO ENSURE THAT WE KNOW
THE STATE'S TOTAL GREENHOUSE GAS
EMISSIONS AND THAT WE HAVE
ACCURATE DATA. TO SUPPORT CAP
AND TRADE PROGRAM.
AS REQUIRED BY B. THIRTY TWO WE
COUNT ALL GREENHOUSE GAS
EMISSIONS TO HAPPEN IN THE STATE
AND ALL GREENHOUSE GAS EMISSIONS
ASSOCIATED WITH ELECTRICITY.
IMPORTED TO SERVE CALIFORNIA
LOAD RETRACT ACTUAL GHG
EMISSIONS.
BASED ON POWER GENERATION AND
IMPORTS DELIVERS THAT
ELECTRICITY INDIVIDUAL USERS.
ONE OF THE AREAS THAT IS
DISCUSSED IN STAFF PAPER FOR
THIS HEARING IS ON SPECIFIED
POWER WHEN WE USE THAT TERM THAT
REFERS TO IMPORTED.
ELECTRICITY THAT CANNOT BE TIED
TO A SPECIFIC SOURCE THROUGH
CONTRACT IN WITH EVIDENCE OF
PHYSICAL DELIVERY TO THE STATE.
IN THAT CASE WE SIGNED A DEFAULT
WESTERN GRID FACT WITHOUT POWER
IN.
TWENTY SIXTEEN WE IMPORTED
APPROXIMATELY 35% OF THE POWER
AND WE NEED.
IT'S IMPORTANT TO KNOW THAT THE
AMOUNT OF POWER THAT IS IMPORTED
AS ON SPECIFIED A SMALL IT
AMOUNTS TO ABOUT 8% OF THE TOTAL.
MEGAWATT HOUR LOAD USE IN STATE
AND IT'S BEEN DECREASING OVER
TIME.
ARE MANDATORY GHG REPORTING CAP
AND TRADE PROGRAM ALSO CONTAIN
REQUIREMENTS IT'S PROHIBITED
CANCEROUS OR SHUFFLING.
THAT MEANS REPORTED IMPORTS ZERO
MISSION POWER VERIFIED TO BE
REAL NOT POWER REDIRECTED FROM
OTHER REGIONS WITH A MAYBE BACK
FILLING BY FOSSIL GENERATION.
THE HEARING TODAY ALSO GIVES US
THE OPPORTUNITY TO SHARE SOME
INFORMATION ON OUR COLLABORATION
WITH THE CALIFORNIA AYSO. TO
ENSURE THAT CURRENT ENERGY
IMBALANCE MARKET SUPPORTS
IMPLEMENTATION OF RGH DE
PROGRAMS.
SINCE.
TWENTY SIXTEEN CARBON CHI SO
HAVE BEEN WORKING
COLLABORATIVELY.
I REGARDING GIGI ACCOUNTING WE
TELL JOINT PUBLIC WORKSHOPS
ENGAGED WITH STAKEHOLDERS FOR
ALMOST TWO YEARS.
AS A RESULT OF OUR COLLABORATION
WE DEVELOP METHODS TO ACCOUNT
FOR GHG EMISSIONS OF ALL POWER
IMPORTED TO SERVE CALIFORNIA
LOAD TRANSFER TO THE ENERGY
IMBALANCE MARKET.
REGIONALIZATION AND UNDERLYING
DISPATCH MODELS MUST BE
COMPATIBLE IN SUPPORT
CALIFORNIA'S CLIMATE.
AIR QUALITY CLEAN ENERGY GOALS
WE BELIEVE THAT THEY CAN BE AND
ARE COMMITTED TO WORKING WITH
LEGISLATURE SISTER AGENCIES.
ANTI SO TO ENSURE ACCURATE
ACCOUNTING OF GREENHOUSE GAS
EMISSIONS AND THE CONTINUED
SUCCESSFUL IMPLEMENTATION OF OUR
PROGRAM. TO THE EXTENT WE
ENCOURAGE INCENTIVIZE THE BUILD
OUT OF RENEWABLES.
WHILE SIMULTANEOUSLY REDUCING
ENERGY UNMANNED.
WE SHOULD SEE MORE RENEWABLES
AVAILABLE MORE BROADLY ACROSS
THE WEST IN A REGIONAL MARKET.
FROM A GHG PERSPECTIVE AND
GENERALLY FROM A CRITERIA AND
AIR TOXICS SPECTER.
THIS TO BE A BENEFICIAL OUTCOME
THAT CONCLUDES MY REMARKS.
HE WAS CORY A QUESTIONS FROM
[inaudible]
COMMITTEE MEMBERS [inaudible]
JEFF.
I MISS PROFITABILITY --
JUST ASK YOU.
TO EXPAND A LITTLE BIT ON THE
ISSUE OF IMPORTING.
OF FOR MOTHER FROM OTHER STATES
TO DEAL WITH OUR ANIMATED SEAT
PERIODS WHERE WE ARE NEEDING TO
BRING AND FROM MARKETEERS AROUND
THE STATE AROUND THE COUNTRY --
IT'S BUNDLED COMES INTO OUR
STATE DO WE KNOW IT TELL US WHAT
THAT REPRESENTS THAT PROCESS AND
ARE WE ABLE TO DISTINGUISH WHAT
WE'RE ACTUALLY GETTING ARE WE
GETTING WERE NOBLES ARE WE
GETTING.
COMBINATION RENEWABLES AND
FOSSIL FUEL MORE FOSSIL FUEL
THAN KNOWS WHAT WAS THAT PROCESS
LOOK LIKE.
SO -- AT
BREAK UP THAT THAT THE RESPONSES --
FOR NON ENERGY IMBALANCE AS
ACTION -- WE
REALLY DON'T HAVE A CLEAR
INDICATION WHAT IS BEHIND.
THE SOURCE OF ENERGY WE HAVE TO
RELY ON ON WHAT'S CALLED TAG
INFORMATION AND THAT MAKE --
FEED INTO.
SOME OF THE SOURCE SPECIFIC
INFORMATION SPECIFIED RESOURCE
INFORMATION THAT CALIFORNIA
RESOURCES BOARD HAS KNOWN FOR
ITS ACCOUNTING --
THAT FOR THE UNSPECIFIED
RESOURCES THEY DON'T THEY DON'T
SPECIFY ON WE REALLY DON'T KNOW
WHAT'S BEHIND THAT ENERGY.
UNDER THE ENERGY IMBALANCE
MARKET AND POTENTIAL OPPORTUNITY
FOR REGIONALIZATION WE WOULD
ACTUALLY DO MORE SOURCE SPECIFIC --
TRACKING AN ACCOUNTING OF THOSE
DISPATCHES OF EXTERNAL RESOURCES
TO SERVE LOW IN CALIFORNIA.
AND WERE ABLE TO DO THAT BECAUSE
WE ACTUALLY DO A RESOURCE
SPECIFIC DISPATCH RATHER THAN
JUST GET ON IMPORTED ENERGY THAT
IS REALLY UNSPECIFIED AND ON
TYPE NOT TIED TO ANY SPECIFIC
RESOURCE --
SO THAT ACTUALLY PROVIDES
INCREASED TRANSPARENCY IF YOU --
DO MORE EXTERNAL RESOURCE
SPECIFIC DISPATCH UNDER EM OR
UNDER REGIONALIZATION.
I COULD JUST FOLLOW UP ON THAT --
SO THE QUESTION SO YEAR WERE
IMPORTED ENERGY SAID IT WAS 35%
AND THEN YOU SAID 88% MAKE WHAT --
BUT THE QUESTION FOR IMPORTING
AYE BECAUSE THAT.
I REMEMBER VISITING CAL I SO AND
I WAS TOLD [inaudible]
AT TIMES.
WE HAVE SO MUCH ENERGY WE DON'T
KNOW WHAT TO DO WITH.
SO CAN YOU HELP.
FILL IN THAT GAP BECAUSE YOU
KNOW I ALWAYS SEE THE STOCK
CURVED EVERYBODY TALKS ABOUT THE
DUCK CURVE.
NOW WE OVER PRODUCING CALIFORNIA
ESPECIALLY WHEN IT COMES TO
SOLAR AND NOW YOU --
THERE'S TESTIMONY ABOUT
IMPORTING ENERGY.
OVERALL OVER THE YEAR --
WE ARE -- A
NET IMPORTER OF ENERGY.
THERE ARE TIMES INCREASING
PERIODS OF TIME IN THE MIDDLE OF
DAY WHERE WE HAVE --
EXCESS AMOUNT OF ENERGY THAN
WHAT WE NEED TO SERVE OUR LOW.
AND IT'S ACTUALLY THIS YEAR THAT
WE STARTED TO SEE PERIODS OF
TIME WHERE WE'RE DOING WE'RE
OBSERVING NET EXPORTS.
OUT OF THE CALIFORNIA IS SO WE
HAVE NOT SEEN THAT BEFORE --
THE YET OVER THE ENTIRE YEAR --
IF YOU IMAGINE THE DOCKER --
WHEN THE SUN GOES DOWN WE
[inaudible]
LONG ON PORTS TO STILL BOUNCE
THE A LOW DURING THOSE THAT
EVENING LOW POLL --
ENDED ABOUT WE SEE ENCOURAGED
TIME WHERE ABOUT HALF THAT RAMP
IS BEING MANAGED THROUGH IMPORTS
OF ENERGY --
AS OPPOSED TO INTERNAL RESOURCES
AND THAT'S OKAY BECAUSE WE'RE
ACTUALLY GETTING AN EXTERNAL
ENERGY SOME OF THAT MAYBE HYDRO --
RESOURCES AND IT REDUCING OUR
RELIANCE ON INTERNAL GAS
RESOURCES THAT COULD BE
ADMITTING RESOURCES IN
CALIFORNIA.
BUT THE POINT IS THAT OVER THE
OVER THE YEAR WE'RE STILL SING
ABOUT AS MISTER COREY INDICATED
ABOUT 30% OF OUR TOTAL.
LOAD IS BEING MET BY OUR IMPORTS --
BUT IF YOU LOOK AT PARTICULAR
TIMES THAT DECREASES TO NEAR
ZERO AND AS I INDICATED --
ACTUALLY NET EXPORTING NOW
APPEAR IT'S TIME CUT SO WE HAVE
THAT EXPORTS WE IMPORT ENERGY
BUT OF THE ENERGY THAT WE IMPORT
WE DON'T EXACTLY KNOW WHAT THE
GHG LEVELS ARE WE YOU.
YOU GUYS DO AN ESTIMATE THAT'S
CORRECT.
THAT WOULD PUT THAT'S WHAT I
UNDERSTOOD FROM TESTIMONY.
I THINK AS WAS CORY NICATOR --
WHERE THERE IS SPECIFIED
RESOURCES OTHER ABLE TO ACCOUNT
THE FOR THAT GHG ASSOCIATED WITH
THOSE SPECIFIC RESOURCES?
I THINK THE 8% INDICATED WAS THE
AMOUNT OF UNSPECIFIED RESOURCE
THAN IMPORTED ENERGY.
THOUGHT AND JUST FROM A POLICY
RESPERS BECTIVE I'M JUST TRYING
TO UNDERSTAND.
IS IT BETTER TO IMPORT THIS
ENERGY WORLD WE DON'T KNOW
EXACTLY WHAT THE GHG LEVELS ARE
AS OPPOSED TO MAYBE.
KEEPING SUBSYSTEMS ONLINE THAT
WE DO HAVE IN STATE THAT WE SHUT
DOWN -- FOR
INSTANCE LIKE BIOMASS WITHERS
GEOTHERMAL.
AS GEOTHERMAL FACILITIES.
IS IT BETTER TO KEEP IN
CALIFORNIA WHERE WE CAN CONTROL
IT AND KNOW EXACTLY WHAT THE
NUMBERS ARE AS OPPOSED --
TO IMPORTING SOMETHING WHERE
WE'RE GUESSING WHAT THE GHG
LEVELS ARE FOR THE OLD RECALL.
I I WOULD SAY IT'S BETTER TO
SEEK TO TRY --
TO GET MORE SOURCE SPECIFIC
INFORMATION SO THAT YOU CAN
MANAGE BOTH THE IMPORTS ON A
SOURCE SPECIFIC BASIS AND WAY
THOSE OPTIONS AGAINST INTERNAL
RESOURCES AND THEIR MISSIONS
AFFECTS [inaudible]
GOT IT BECAUSE IT SEEMS LIKE TO
ME YOU KNOW THE CALIFORNIA
ENERGY COMMISSION HAS JUST
ISSUED A RULING ABOUT PUTTING
MORE SOLAR ON AND IF WE CONTINUE
TO HAVE THIS ISSUE WITH.
WITH A DUCK CURVE IN.
AND THAT THESE ISSUES OF
IMPORTING ENERGY.
I I DON'T WHAT WHAT'S THE PLAN
OVER AT THE I SO TWO TO DEAL
WITH THIS INFLUX [inaudible]
SO -- WHAT
WE'VE BEEN LOOKING AT OR A
MULTITUDE OF SOLUTIONS TO DEAL
WITH THE --
INCREASED AMOUNT OF SOLAR ENERGY
AND POTENTIAL OVERSUPPLY --
SOME OF THOSE POINT TWO WORDS ON
OPPORTUNITIES FOR
REGIONALIZATION OTHER THINGS
OTHER OPPORTUNITIES ARE --
STORING IT STORE AN INCREASING
AMOUNT OF STORAGE --
USING OTHER SECTORS TO HELP YOU
UTILIZE THOSE --
EXCESS CLEAN RESOURCES WHETHER
IT BE ELECTRIC VEHICLES OR
ELECTRIFYING OTHER SECTORS.
AND THEN --
OTHER THINGS I MENTIONED IS
USING THE CLEAN RESOURCES IN A
WAY TO ACTUALLY UTILIZE THEM FOR
CENTURY LIABILITY SERVICES THUS
RELYING LESS ON OTHER EMITTING
RESOURCES THAT ACTUALLY MAY BE.
A HAVING TO STAY ON OTHERWISE I
JUST BE ABLE IN ORDER TO BE ABLE
TO BALANCE OF SUPPLY AND DEMAND
DURING THE EVENING HOURS.
SO THERE'S SUITE OF SOLUTIONS
THAT TERRY ANY ONE OF THOSE
PROBABLY DOESN'T DO IT BUT WE
THINK THE SWEET TOGETHER IS
PROBABLY THE DIRECTION THAT WE
NEED TO GO TO BE SUCCESSFUL.
CUT IT NOW HOW WE COULD TALK
ABOUT REGIONALIZATION STORAGE
USING ANOTHER SECTORS WHAT HAVE
WE ALSO LOOKED AT THE
POSSIBILITY OF USING THE
EXISTING INFASTRUCTURE FOR YOU
KNOW THINGS LIKE BIOMASS FOR
INSTANCE.
ADD TO HELP WITH.
WHEN IT'S CLOUDY OUTSIDE AND WE
DON'T HAVE THAT ENERGY BECAUSE
IT'S NOT RELIANT --
THAT'S THAT'S PART OF WHAT WE
WILL BE LOOKING FOR IN THE
INTEGRATED RESOURCE PLANS AND
INCREASE WE HAD INDICATED TO THE
LOW'S SERVING ENTITIES KIND OF
THIS AS I MENTIONED SORT OF WHAT
WE AT VIEW AS THE OPTIMAL
BUT YOU KNOW THEY'RE GOING TO
NEED TO PROPOSE THE KIND OF
RESOURCES THAT THEY THINK WILL
MEET THE THE PORTFOLIO THAT WE
LAID OUT IN THE INTEGRATED
RESOURCE PLANNING SO WHEN THEY
FILE IN AUGUST --
THEY WILL HAVE THE OPPORTUNITY
TO PERK PROPOSED.
STRATEGIES THAT WOULD BE
CONSISTENT WITHOUT PORTFOLIO.
GOTTEN SO WILL THERE BE A WEIGHT
FOR THE RELIABILITY ON THE SAID
CALIFORNIA TO RELY ON BEING ABLE
TO TO RELY ON THIS ENERGY.
DEPENDING ON THE SOURCES COMING
FROM WELL THAT ONE OF THE INPUTS
WE USED TO DEVELOP --
THE PORTFOLIO WAS THE
RELIABILITY NEEDS --
AND SO WE INCLUDED --
THE AND THE NECESSARY --
PLANNING RESERVE MARGIN AND
OTHER RELIABILITY REQUIREMENTS
YOU NEED TO BE ME DAILY TO ME.
AND AS I INDICATED IN MY
PREPARED REMARKS KNOW WE'LL DO
ANALYSIS --
TO CHECK FOR OPERABILITY
RELIABILITY CAN BE MAINTAINED ON
AS THE PORTFOLIOS COME TOGETHER
FROM THE LOAD SERVING ENTITIES.
AND WILL FEEL THAT BACK IN
THROUGH THE A CALIFORNIA PUBLIC
UTILITIES COMMISSIONS --
INTEGRATE RESOURCE PLAN
PROCEEDING.
CUT IT AND THEN JUST ONE MORE
QUESTION IF I MAY.
THEN WHEN YOU LOOK AT THE
INTEGRATED RESOURCE PLANS ARE WE
LOOKING AT THE NEGATIVE PRICING
ON WHAT THAT MEANS FOR PAYERS.
WELL HAVE BEEN A PART OF THE
PLAN AS WELL YES.
THANK YOU IN ISRAEL RANDOLPH YOU
HE REALLY TOUCHED ON STORAGE.
WE LOOK AT THE RELIABILITY
FACTOR WITH THE DOCKERS OR
WHATNOT.
WHAT IS THE CURRENT SCORES THAT
WE HAVE NOW THAT?
I KNOW YOU MENTIONED OF FUTURE
STORAGE PLANS BUT WHAT'S OUR
COURT STORAGE CAPABILITY NOW.
YOU KNOW I AM SORRY I DON'T KNOW
OFFICE TALK MY HEAD IT'S YEAH
CURRENTLY ON THE SYSTEM RIGHT
NOW IT'S RELATIVELY SMALL.
SO WE LOOK OF RELIABILITY WE
TALK ABOUT SO I I COULD AYE AYE
SO ON THE CALIFORNIA AND SO PART
OF THE GRID AND THERE'S PROBABLY
HUNDRED FORTY MEGAWATTS OF GRID
CONNECTED ON A STORAGE.
FACILITIES --
I THINK THE EXPECTATION IS ABOUT
THIRTEEN HUNDRED MEGAWATTS OR
TWO THOUSAND AND WHAT'S EXPECTED
TO BE DEVELOPED --
GOING FORWARD BUT RIGHT NOW BY
HUNDRED FORTY AND I THINK WE
HAVE ABOUT THIRTEEN THAT
THIRTEEN HUNDRED PLANNED AND
THEN THE I RP.
REFERENCES TO PORTFOLIO BECAUSE
FROM A TWO THOUSAND SO WE LOOK
AMENITIES TO GET TO RENEWABLES.
HAD CERTAIN DATES ARE.
DO WE HAVE ANY KIND OF MANDATE
FOR STORAGE FOR DATE CERTAIN.
FOR THE THIRTEEN HUNDRED
MEGAWATTS.
JUST ELABORATE ON THE QUESTION
EARLIER SO WHEN I TALK ABOUT
STORAGE AND TALKING ABOUT
BATTERY STORAGE --
THERE ARE OTHER LARGE SCALE
EXISTING --
HYDRA STORAGE FACILITIES IN THE
SYSTEM --
THINGS ABOUT TWO TO THREE
THOUSAND MEGAWATTS OF EXISTING --
HYDRO STORAGE FACILITIES SOME OF
THOSE ARE NOT CONTROLLABLE
BECAUSE OUR PRIMARY PURPOSE IS
TO MOVE WATER UP AND DOWN THE
STATE AND ARE NOT REALLY
AVAILABLE TO MUCH FOR ELECTRICAL
USE -- BUT
THERE ARE SOME THAT --
ARE SPECIFICALLY IS FOR PINE
DEMAND.
REALLY GET AGO WE GOOD
RELIABILITY WHEN WE HAVE A
DROUGHT THOSE ARE REALLY THE
RELIABLE SOURCES SOME TALKING
ABOUT SOMETHING THAT HAS
TECHNOLOGY INVOLVED.
IT HAS A CONSTANT.
AND WHEN WE TALK ABOUT BEING
ABLE TO MANDATE RENEWABLES TO A
POINT.
THAT WE ALSO HAVE THE ABILITY TO
BACK IT UP WITH A PLAN B..
IS THERE ANY KIND OF PLAN FOR
THAT YOU KNOW I THINK I YOU
RAISE AN EXCELLENT POINT BECAUSE
YOU KNOW ONE OF THE THINGS THAT
WE ARE WORKING ON A BOTH AYE OUR
P. AND RESOURCE ADEQUACY.
IS -- MAKING
SURE THAT THE OUR MODELING IN
THE INTEGRATED RESOURCE PLAN
ASSUMES THAT THE EXISTING GAS
FLEET.
IS HOTLINE THAT YOU KNOW THAT
THAT THE ONES THAT ARE UNDER
CONTRACT NOW STAY UNDER CONTRACT
THROUGH.
TWENTY THIRTY AND SO ONE OF THE
THINGS THAT WE NEED TO LOOK AT
IN THIS WAS PART OF THE PART OF
OUR ANALYSIS IN ADOPTING THE
MULTI YEAR REQUIREMENT WAS.
ARE THOSE PLANS GOING TO HAVE.
ADEQUATE FINANCIAL ABILITY --
TO TO STAY AFLOAT ARE THEY GONNA
GET CONTRACTS THAT ARE
SUFFICIENT TO KEEP THEM
AVAILABLE --
BECAUSE OUR MODELING ASSUMES
THAT THEY WILL BE AVAILABLE --
AND SO --
YOU KNOW WE'RE TRYING TO HAVE
FOUND TO BRING --
MARIN NOBLES AND DEAL WITH
INTERMITTENCY BUT ALSO KEEP THAT --
FLEET RESPONSIVE --
AND UNDERSTAND WHERE --
IN LOCAL AREAS THEY MIGHT BE
IDENTIFIED IS NO LONGER
NECESSARY BUT WE CAN'T DO THAT
UNLESS WE KNOW THAT THERE IS AN
ALTERNATIVE PLAN.
SO WE GO ONE MORE QUESTION
MISTER.
SO WHEN WE LOOK AT THE INCREASED --
DEMAND.
ON THE GRID WHEN WE TALK ABOUT
EXPERTS AND EXPANDING TO HOLD
DESERVES ALL OF THE OTHER.
OF OPPORTUNITIES THROUGHOUT THE
STATE -- I'M
NOT SEEING A BIG PUSH TO
INCREASE TRANSMISSION BE ABLE TO
ACCOMMODATE WHEN WE LOOK AT
CAPACITY.
THROUGH THIS THIS OPPORTUNITY SO.
I MEAN IF NEED HERE INTEGRATED
PLAN.
I NEED I THINK IT REALLY LOOK
LOOKS AT IT NEEDS TO LOOK AT A
STORAGE IS A BACK UP.
AND BE THE ABILITY.
TO ADDRESS THEY HAD ADDITIONAL
CAPACITY NEEDED.
ASIDE I KNOW THAT THERE'S BEEN
SOME.
KIND OF LOVE UNWILLINGNESS TO
ADD TRANSMISSION --
THROUGHOUT THE STATE BECAUSE OF
EITHER.
OPPOSITION OR WHATEVER IT IS BUT
I MEAN IF WE WANT TO BE 1100% --
GOAL ORIENTED WE HAVE TO BE ABLE
TO ADAPT TO BE ABLE.
TO PROVIDE THAT THAT PRODUCT
[inaudible]
SO.
YOU NO WHAT WE DOING.
TO LOOK AT AN ADDRESS THE
ABILITY FOR TRANSMISSION. TO ADD
THE THE GRID.
SO I I DON'T KNOW THE
RESPONSIBILITY OF THAT THE
CALIFORNIA SO IS HIS
RESPONSIBILITY FOR THE
TRANSMISSION PLANNING FOR THE
GREAT IT OVERSEAS --
AND THAT REGARD WE LOOK AT
TRANSMISSION PLANNING FROM THE
PERSPECTIVE OF GUIDED BY THE
POLICIES --
AND DEVELOPMENT POLICIES AND THE
RESOURCES TO MEET THOSE POLICIES
GOING FORWARD SO.
WILL MAKE OUR PLANNED FIT. TO
SUPPORT THE SHERMAN --
PROCESS THAT IS COMING OUT OF
THE INTEGRATED RESOURCE PLAN --
THAT'S ONE OF THE OBJECTIVES WE
WANT TO GET AHEAD OF THAT
BECAUSE WE MAY END UP DEVELOPING
TRANSMISSION THAT'S NOT
NECESSARY --
IF THE PLAN CHANGES SO WILL
FOLLOW ALONG AND COORDINATE WITH
AND THE OTHER THING I WOULD NOTE
IS THAT THE INTEGRATED RESOURCE
PLAN PROCESS ASSUMES THAT WE GO
THROUGH THIS REFERENCE SYSTEM
PORTFOLIO ANALYSIS EVERY TWO
YEARS.
SO AS CONDITION CHANGED AS
CONDITIONS CHANGE IF WE SEE
THINGS LIKE YOU KNOW INCREASED --
BEHIND THE METER --
PHOTOVOLTAIC SOLAR UPTAKE --
YOU KNOW WE CAN ADJUST
ACCORDINGLY --
SO THAT KIND OF IT'S A VERY
ITERATIVE PROCESS WITH US
FEEDING INTO THE TRANSPORTATION
DATA TRANSMISSION PLANNING
PROCESS FEEDING INTO LOW
FORECASTING.
WE SPEND A LOT OF TIME
COORDINATING AMONGST THE
AGENCIES TRYING TO GET THIS
PROCESS RIGHT.
THAT'S INCURSION THANK YOU.
COULD YOU CAN YOU ELABORATE ON
THE CENTRAL BUYER STRUCTURE THAT
YOU MENTIONED IN YOUR PREPARED
COMMENTS [inaudible]
TERM.
WE'RE REALLY JUST.
STARTING TO TAKE A LOOK AT THAT
WORD LIMITING IT --
TO ACQUIRING LOCAL --
RESOURCE ADEQUACY CAPACITY --
CAPACITY AND WE HAVE REQUESTED
PROPOSALS FROM THE PARTIES IN
THE PRECEDING ABOUT WHO THIS
THIS CENTRAL BUYER SHOULD BE
THERE'S A LOT OF DIFFERENT
OPTIONS.
YOU CAN HAVE THE AN INVESTOR
OWNED UTILITIES BE A CENTRAL
BUYER YOU COULD HAVE A
GOVERNMENT AGENCY BE THE CENTRAL
FIRE --
THERE'S A LOT OF PROS AND CONS --
TO THE DIFFERENT OPTIONS BUT THE
IDEA IS THAT AS THESE ENTITIES
AS THERE ARE AN INCREASING
NUMBER OF ENTITIES OUT IN THE
MARKET BUYING SMALL BITS OF
CAPACITY THAT MAYBE IT MAKES
SENSE. TO CENTRALIZE THAT
APPROACH AND HAVE ONE AND EIGHTY
I'M DOING THE BUYING AND THEN
WITH THE COST WOULD BE
ALLOCATING YOU.
A HIGH LAKE SOME OF THE PROS AND
CONS TO THAT.
WELL IT'S KIND OF PRESENT KINDS
AS TO SO FOR INSTANCE THE THE
CCA'S FOR INSTANCE WOULD PREFER
NOT TO HAVE OTHER ENTITIES.
A PURCHASING ON THEIR BEHALF
THEY WANT TO BE ABLE --%
TO PURCHASE THEIR OWN BASED ON
THEIR OWN GUIDANCE FROM THERE --
ELECTED OFFICIAL GOVERNING
BODIES SO THAT'S FROM THEIR
PERSPECTIVE THAT'S A KIND --
AND I HAVE TO ADMIT I HAVE A
BIAS AGAINST HAVING A GOVERNMENT
AGENCY --
PROPOSE IT BECAUSE I AM A LITTLE
CONCERNED ABOUT SETTING UP A
WHOLE NEW --
GOVERNMENT ENTITY --
TO TO DO THE PURCHASING BUT
THAT'S BEEN ONE OF THE PROPOSALS
THAT HAS BEEN FLOATED.
SO THERE ARE A LOT OF DIFFERENT
OPTIONS AND THERE'S A LOT OF
PROS AND CONS TO THOSE OPTIONS
AND SO WE ARE EXPECTING --
WITHIN THE NEXT --
THINK ON JULY TENTH WE'RE
EXPECTING A WRITTEN PROPOSALS
FROM OUR THE PARTIES IN THE
PROCEEDING ABOUT --
HOW BEST THEY THINK WOULD MAKE
SENSE? TO TO TAKE THIS APPROACH.
MY COLLEAGUE.
OF MINE BAKERSFIELD THAT.
BASS WITH QUESTIONS ABOUT THE
TECH CURVE IN INTERMITTENT
RESOURCES.
DO YOU HAVE A BALLPARK FIGURE
WHAT IT COSTS.
TO HAVE BACK UP THE INTERMITTENT
REESE.
TIMES OF HIGH.
THE DEMAND THAT NATURAL GAS FOR
EXAMPLE SIR AN ESTIMATED COST TO
THAT [inaudible]
THE WE'VE TRIED TO ESTIMATE THT --
AND NOT HAVE --
TO MAKE SURE I GOT THE RIGHT
FIGURES LIKE GET THAT TO YOU
SHOULD LIKE [inaudible]
THANK YOU.
THE OTHER QUESTIONS COME.
OKAY THANK YOU VERY MUCH FOR
YOUR TIME WE'RE GONNA ASK THE
NEXT SET OF PANELISTS --
TO PLEASE COME FORWARD.
WE HAVE MATTHEW FRIEDMAN THAT
WITH THAT.
WE NEED TO REFORM NETWORK LINDA
SERIZAWA OFFICE OF THE RAPIER
ADVOCATES.
SCOTT WHICH CARTER PLEDGE AND
ASSOCIATES [inaudible]
PAUL THOMPSON.
WITH OR MEANT TECHNOLOGIES PETER
MILLER NATURISTS WAS DEPEND.
I THINK --
MR FRIEDMAN WILL BE PRESENTING
AND HAVING TO ATTEND ANOTHER A
COMMITMENT THAT [inaudible]
THEREAFTER.
THANK YOU FOR A JOIN US YOU.
YOU MAY BEGIN AS FOLKS IT
SETTLED.
THANK YOU VERY MUCH
ASSEMBLYMEMBER GARCIA --
MY NAME IS MATT FRIEDMAN AND I'M
A STAFF ATTORNEY WITH THE
UTILITY REFORM NETWORK I'M HAPPY
TO BE HERE TO PRESENT ON THE
ISSUES THAT WERE IDENTIFIED.
ON THE AGENDA FOR TODAY.
I'D LIKE TO TALK ABOUT BARRIERS
TO TRACKING GREENHOUSE GAS
EMISSIONS FROM ELECTRIC
PROCUREMENT.
I'M AND HOW CHANGES IN ENERGY
MARKETS ARE CREATING CHALLENGES
AND OPPORTUNITIES AND THEN WHAT
THE STATE MIGHT NEED TO DO. TO
ENSURE THAT NEW RESEARCH SURPLUS
NEW RESOURCES ARE BEING
DEVELOPED TO MEET STATE POLICY
OBJECTIVES.
BUT FIRST I'D LIKE TO POINT OUT
THAT RIGHT NOW THERE IS NO
ACCEPTED APPROACH TO ASSIGNING
GREENHOUSE GAS EMISSIONS. TO
ELECTRIC PROCUREMENT BY LOAD
SERVING ENTITIES.
ALTHOUGH WE HAD A DISCUSSION THE
PRIOR PANEL ABOUT THE CAP ANDTRADE PROGRAM THE CABIN TRADE
PROGRAM ASSIGNS COMPLIANCE
OBLIGATIONS ONLY TO INSTATE
GENERATORS AND IMPORTERS OF
POWER.
THE A OR B. HAS BEEN WORKING
WITH THE I SO AS WAS MENTIONED
TO DEVELOP AN APPROACH FOR
SIGNING GREENHOUSE GAS COSTS
WITHIN THE ENERGY IMBALANCE
MARKET.
BUT THEY'VE HAD THREE ITERATIONS
OF THEIR PROPOSAL SO FAR AND
IT'S NOT CLEAR THAT EVEN THE
MOST RECENT ONE WILL WORK TO
PREVENT RESOURCE SHUFFLING OR
LEAKAGE.
SO RIGHT NOW LOAD SERVING
ENTITIES MAKING GREENHOUSE GAS
CLAIMS ON THEIR PRODUCTS ARE
USING WHATEVER APPROACH THEY
FEEL IS MOST APPROPRIATE IN A
SENSE.
WE ARE IN THE WILD WEST AND
UNFORTUNATELY THERE'S BEEN NO
FACT CHECKING OF THESE CLAIMS
BECAUSE THE STATE DOESN'T YET
HAVE A STANDARD.
THAT GOVERNS RETAIL PRODUCT
DISCLOSURES.
HOWEVER THERE ARE TWO PROCESS IS
UNDER WAY THAT MIGHT HELP. ONE
IS REVISIONS TO THE POWER
CONTENT LABEL BY THE CALIFORNIA
ENERGY COMMISSION PURSUANT TO
ASSEMBLY BILL --
ELEVEN TEN AND THE ENERGY
COMMISSION'S DRAFT PROPOSAL
ALIGNS PRETTY CLOSELY WITH THE A
ARBY'S APPROACH.
WE EXPECT SOME STANDARD TO BE
COMING OUT IN.
TWENTY EIGHTEEN AND THEN IN THE
INTEGRATED RESOURCE PLANNING
PROGRAM THERE'S A CONSIDERATION
OF ASSIGNING GREENHOUSE GAS
PORTFOLIO TARGETS TO ALL LOAD
SERVING ENTITIES.
AND TO DEVELOP A METHODOLOGY
THAT LOOKS TO MATCH HOURLY
PRODUCTION FROM RESOURCES WITH
HOURLY LOADS FOR EACH LOW
SERVING ENTITIES.
IT'S STILL NOT CLEAR WHETHER
THIS APPROACH WILL BE EFFECTIVE
I'M AND THE PC IS REALLY JUST
USING THAT TO LOOK AT GREENHOUSE
GAS EMISSIONS IN.
TWENTY THIRTY WE BELIEVE THAT
PEACE TO COMMISSIONS MAY NEED TO
CONSIDER OTHER APPROACHES
DISCLOSURE THAT CLARIFY THE
DIFFERENCE BETWEEN PROCUREMENT
STRATEGIES THAT NEARLY RESHUFFLE
EXISTING LOW GREENHOUSE GAS
EMISSION RESOURCES.
AND THOSE THAT STIMULATE NEW
INVESTMENTS IN INCREMENTAL
RESOURCES.
I WANT -- TO
OFFER YOU A SPOT QUIZ HERE TODAY
FOR LEGISLATORS ON THE PANEL
WHAT'S THE QUICKEST AND CHEAPEST
WAY TO ACQUIRE A 1100% ZERO
CARBON ENERGY PORTFOLIO.
THAT CAN BE SOLD TO CUSTOMERS AT
THE LOWEST COST.
IF YOU'RE JUST LOOKING TO
OPTIMIZE CHEAPEST WAY TO OFFER A
ZERO CARBON PORTFOLIO WHAT WOULD
YOU DO.
WELL WE DON'T HAVE TO GAS WERE
SEEN IN THE MARKET TODAY.
FIRST THERE'S LOTS OF LARGE
HYDROELECTRIC PRODUCTION IN THE
NORTHWEST CONSERVING CALIFORNIA
FOR DECADES YOU CAN SIMPLY BY
SOME ABOUT SURPLUS THAT'S
ALREADY BEEN SERVING CALIFORNIA.
AND VOILA YOU HAVE A ZERO CARBON
PORTFOLIO.
YOU CAN BUY TRADABLE RENEWABLE
ENERGY CREDITS FROM PLACES LIKE
BRITISH COLUMBIA ALBERTA WYOMING.
AND YOU CAN ATTACH THEM TO
SYSTEM POWER THAT YOU'RE BUYING
IN CALIFORNIA FROM FOSSIL FUEL
RESOURCES AND YOU CAN CLAIM
YOU'VE GOT A ZERO CARBON
PORTFOLIO.
IF THAT'S WHAT A PROVIDERS
OFFERING ARE YOU INSPIRED BY
THAT.
DOES IT MAKE YOU FEEL LIKE YOUR
SUBSCRIPTION TO THAT PRODUCT IS
MAKING A DIFFERENCE.
AND COMPARED TO ANOTHER PRODUCT.
THAT WOULD BE OFFERED WHERE A
PROVIDERS ACTUALLY MAKING NEW
INVESTMENTS.
IN NEW RESOURCES DEMAND RESPONSE
ENERGY STORAGE NEW RENEWABLE
GENERATION.
WOULD BE MORE INSPIRED BY THAT
PRODUCT.
HOW WOULD YOU TELL THE TWO APART?
THE ONLY THING YOUR ASKED TO
LOOK AT IS GREENHOUSE GAS
EMISSIONS.
BECAUSE THESE PORTFOLIOS NOT THE
SAME.
THE PROBLEM HERE IS THAT SIMPLY
ASKING CUSTOMERS TO CHOOSE
AMONGST VARIOUS OPTIONS DOESN'T
NECESSARILY YIELD SUPERIOR
OUTCOMES BECAUSE CUSTOMERS DON'T
UNDERSTAND WHAT'S MEANINGFUL IF
THE ONLY METRIC IS GREENHOUSE
GAS EMISSIONS [inaudible]
ON AND THAT LEADS ME TO CHANGES
AN ENERGY MARKETS AND HOW
THEY'RE CREATING CHALLENGES AND
OPPORTUNITIES --
WE HAVE AN INTERESTING PARADOX.
DEMAND FOR CLEAN ENERGY HAS
NEVER BEEN GREATER AT THE
CUSTOMER LEVEL EVERYONE IS
CLAMORING FOR CHEAPER AND
CLEANER RESOURCES.
PRICES OF THESE RESOURCES ARE AT
ALL TIME LOWS.
THERE ARE TAX CREDITS AVAILABLE
FROM THE FEDERAL GOVERNMENT
THEIR SUN SETTING IN THE NEXT
FEW YEARS.
BUT WE'RE NOT SEEING THE
DEVELOPMENT OF NEW RESOURCES.
THE PIPELINE IS ESSENTIALLY RUN
DRY. FOR PROJECTS BEING
DEVELOPED FOR EXAMPLE IN YOUR
DISTRICT MISTER GARCIA.
WE'RE NOT SEEING ANY DEMAND
THAT'S GOING TO GET THOSE
GEOTHERMAL PROJECTS BILL.
SO WHAT'S GOING ON WHAT'S GOING
ON IS THAT WE'RE SEEING RETAIL
MARKET FRAGMENTATION.
ESSENTIALLY AND ATOMIZATION OF
RETAIL MARKETS WHERE WE ARE
TRYING TO RECNCILE THE
PARADIGMS OF PLANNING.
AND CHOICE.
IF EVERY CUSTOMER GETS TO CHOOSE
WHATEVER THEY WANT.
HOW DO WE ENSURE THOSE CHOICES
ADD UP TO SOME KIND OF LONG TERM
RESOURCE PLAN?
AND OF CUSTOMERS ARE CONSTANTLY
SHIFTING BETWEEN PROVIDERS POWER
THE PROVIDERS GONNA HAVE THE
SECURITY THAT THEY NEED TO MAKE
LONG TERM INVESTMENTS THAT WOULD
ALLOW NEW RESOURCES TO GET BILL.
WE ARE STUCK IN A VERY DIFFICULT
PLACE.
WE'VE SEEN THE GROWTH OF
COMMUNITY CHOICE AGGREGATION.
AND COMMUNITY CHOICE AGGREGATORS
ARE IN PRINCIPLE VERY COMMITTED
TO DEVELOPING A CLEANER
PORTFOLIO.
BUT THEIR BRAND NEW ENTITIES
THEY HAVE NO TRACK RECORD.
ALMOST NONE OF THEM HAVE CREDIT
RATINGS.
AND SO THEY'RE NOT REALLY ABLE
CURRENTLY. TO GET BIG NEW
INVESTMENTS IN NEW RESOURCES.
THERE'S A CONVERSATION ABOUT
EXPANDING DIRECT ACCESS HERE --
BILL THAT WAS HEARD JUST LAST
WEEK IN THE ASSEMBLY TOADIES AND
ENERGY COMMITTEE.
ON DIRECT ACCESS PROVIDERS ARE
INHERENTLY SHORT TERM IN THEIR
BEHAVIOR.
THEY BUY AND SELL SHORT THEIR
CUSTOMERS SIGNED UP FOR ONE YEAR
MAYBE TO YOUR COMMITMENTS.
THEY DON'T MAKE LONG TERM
COMMITMENTS IN THE WHOLESALE
MARKET.
AND THE UTILITIES ARE BASICALLY
OUT OF THE PROCUREMENT GAME.
THEY WENT FROM BEING BIG BUYERS
OF NEW RESOURCES TO NET SELLERS.
AND THE UTILITIES ARE EXTREMELY
RELUCTANT TO ENGAGE IN ANY NEW
COMMITMENTS.
WHAT CAN WE DO TO DEAL WITH THIS
PROBLEM [inaudible]
WELL.
THE STATE NEEDS TO HAVE
COMPREHENSIVE RESOURCE PLANNING
REQUIREMENTS.
AND VIABLE MECHANISMS TO ACHIEVE
THOSE DEFINED OBJECTIVES.
WHAT'S THAT LOOK LIKE WHAT WE
HAVE IN OUR PS PROGRAM.
WE TALKED A LOT ABOUT THAT AND
THAT'S ESSENTIAL BUT IT'S A
FLOOR.
IT'S NOT SUFFICIENT TO GET US TO
THE NEXT STEP OF WHERE WE WANT
TO GO.
ALTHOUGH WE DO BELIEVE THAT
EXPANDING THE OUR PS PROGRAM.
ACCELERATING THE TARGETS WOULD
HELP.
IT DOESN'T SOLVE THESE PROBLEMS
WE HAVE AN INTEGRATED RESOURCE
PLANNING PROGRAM COMMISSIONER
RANDOLPH WAS DISCUSSING THAT IN
THE LAST PANEL.
BUT THERE'S UNCLEAR METRICS FOR
ASSESSING COMPLIANCE AND A LOT
OF UNANSWERED QUESTIONS ABOUT
THE PUBLIC UTILITY COMMISSIONS
ABILITY TO ENFORCE MEANINGFUL
REQUIREMENTS.
ON ALL THE DIFFERENT LOAD
SERVING ENTITIES.
IT IT JUST TURNS INTO AN
EXERCISE OF EVERY LOAD SERVING
ANY REPORTING WHAT THEY'RE DOING.
IT DOESN'T SOLVE THE FUNDAMENTAL
PROBLEM THAT THIS PROGRAM WAS
DESIGNED TO ADDRESS.
AND WE ALSO NEED TO KEEP IN MIND
THAT SIMPLY SETTING SIMPLE
TARGETS FOR EVERY ENTITY WILL
ENCOURAGE ALL THE BUYERS.
SELLERS AND TRADERS TO TAKE
ADVANTAGE OF ANY LOOPHOLE OR
AMBIGUITY IN THE RULES TO SEEK
LEAST COST OUTCOMES THAT MAY
PRODUCE RESULTS EVERY DIFFERENT.
FROM WHAT POLICYMAKERS ARE
EXPECTING.
IN OUR VIEW RESOLVING THE
MISMATCH BETWEEN SHORT TERM.
MARKET ACTORS AND LONG TERM
GOALS IS GOING TO REQUIRE A NEW
SET OF PROCUREMENT STRUCTURES.
ONE OPTION THAT'S BEEN INCLUDED
IN SEVERAL PIECES OF LEGISLATION
HERE IS JUST REQUIRE EVERY LOAD
SERVING ENTITY TO ACQUIRE A
CERTAIN PERCENTAGE OF ANY NEW
POLICY OBLIGATION.
THE PROBLEM IS HOW DO YOU MAKE A
LARGE NUMBER OF BUYERS TAKE A
FRACTIONAL SHARE OF A VERY SMALL
NUMBER OF NEW RESOURCES.
THEY'RE APPROXIMATELY FIVE
DEVELOPERS OF SALTON SEA
GEOTHERMAL PROJECTS THERE ARE
OVER SEVENTY LOAD SERVING
ENTITIES.
HOW WOULD A GEOTHERMAL MANDATE
THAT APPLIES TO SEVENTY LOAD
SERVING ENTITIES THAT HAVE TO
BUY A FRACTIONAL SHARE A FIVE
RESOURCES REALLY OPERATING
PRACTICE?
HOW WOULD WE DEAL WITH MARKET
POWER ABUSES BY SELLERS?
IN ORDER TO MAKE A LONG TERM
PROCUREMENT OBLIGATION WORK.
WE'RE GONNA NEED A NEW STRUCTURE.
IT'S GONNA REQUIRE GUARANTEED
RATE RECOVERY.
IT MAY NEED TO REQUIRE MAY BE TO
INVOLVE A THIRD PARTY ENTITY
THAT GOES OUT AND DOES SOME OF
THIS PROCUREMENT ON BEHALF OF
ALL LOAD SERVING ENTITIES.
IT COULD BE A STATE AGENCY.
IT COULD BE THE GREAT OPERATOR
ALTHOUGH THAT CREATES PROBLEMS
ASSOCIATED WITH FEDERAL
PREEMPTION AND FEDERAL
JURISDICTION.
IN ANY CASE I GUESS WHAT I'D
LIKE TO LEAVE THE COMMITTEE HERE
WITH IS THE NEED TO THINK
OUTSIDE THE BOX FOR HOW WE'RE
GOING TO ACHIEVE OUR NEXT SET OF
POLICY OBJECTIVES.
AND WE'RE HAPPY TO WORK WITH
MEMBERS OF THE COMMITTEE AND
OTHER STAKEHOLDERS TO TRY TO
DESIGN SOME OF THESE MECHANISMS
THAT ALLOCATE COSTS.
BARELY AND THAT ENSURE THAT WHEN
THE STATE DECIDES THERE ARE
CERTAIN RESOURCES IT WOULD LIKE
TO SEE DEVELOPED.
THAT THERE'S SOME KIND OF
MECHANISM FOR MAKING IT HAPPEN
AND WE DON'T JUST HOPE THAT THE
MAGIC OF THE MARKET PRODUCES THE
ANTICIPATED RESULTS.
THANK YOU [inaudible]
GOOD AFTERNOON.
THANK YOU FOR INVITING THE
OFFICER IF YOU'RE OUT THE GETS
TO PARTICIPATE IN TODAY'S
HEARING MY NAME IS LINDA
SERIZAWA I'VE THE A DEPUTY
DIRECTOR OF OVER ENERGY AND AND
OR A MORESO STATES.
INDEPENDENT CONSUMER ADVOCATE
WITHIN THE CALIFORNIA PUBLIC
UTILITIES COMMISSION.
OUR MISSION IS TO ADVOCATE ON
BEHALF OF OF OF RATE PAYERS TO
INSURE THE LOWEST COST. FOR SAFE
AND RELIABLE SERVICE CONSISTENT
WITH THE STATE'S ENVIRONMENTAL
GOALS.
WE NOT ONLY FOCUS ON ENERGY
ISSUES WE ARE SUPPOSE O. FOCUS
ON COMMUNICATIONS AND WATER
MATTERS AS WELL WITHIN THE PC
AND IN OTHER FORUMS.
MOVING ONTO THE COMMITTEE'S
QUESTIONS --
SO THE GOOD NEWS IS THAT WE'RE
EXCEEDING THE RATE RENEWABLE
TARGETS AND PLANNING IS UNDER
WAY TO MEAN AN AGGRESSIVE GHG
REDUCTION GOAL.
THE RPF HAS BEEN INCREDIBLY
SUCCESSFUL SO SUCCESS THAT
SUCCESSFUL THAT IT HAS CHANGED
HOW THE GREAT OPERATES IN A
SPIRIT INVESTMENT IN MORE AND
DIFFERENT TYPES OF RENEWABLES.
THE PRICE OF RENEWABLES IS
DROPPED SIGNIFICANTLY SO MUCH SO
THAT THEY ARE FREQUENTLY
COMPETITIVELY PRICED WITH
CONVENTIONAL FUELS.
OR HAS ACTIVELY PARTICIPATED IN
THE CPC'S NEW HIGHER P. ARE
INTEGRATED RESOURCE PLANNING
PROCESS.
WHICH WAS INITIATED PURSUIT SB.
THREE FIFTY THE ART IRB IS THE
CRITICAL COMPREHENSIVE PLANNING
PROCESS THAT WILL CONTAIN BE
CONDUCTED EVERY TWO YEARS.
AND WILL SIGNIFICANTLY IMPACT
ENERGY PROCUREMENT.
AS MENTIONED EARLIER IN A RECENT
RP DECISION THE COMMISSION
ADOPTED A REFERENCE SYSTEM PLAN
WITH THE GHG EMISSIONS TARGET
FOR THE ELECTRICITY SECTOR OF
TWENTY THIRTY THIS TARGET
REPRESENTS A 61% DECREASE IN GHG
EMISSIONS FROM NINETEEN NINETY
LEVELS.
AND ALSO IS EQUIVALENT 258% OF
TOTAL PROCUREMENT COMING FROM
RENEWABLE ENERGY.
IT IS NOTABLE THAT BASED ON THIS
PLAN BY TWENTY THIRTY ANY
INCREMENTAL GENERATION ENTERING
CALIFORNIA'S RESOURCE MIX.
WE'LL COME FROM SOLAR ENERGY
EFFICIENCY.
STORAGE WIND AND GEOTHERMALAND
NO NO GAS FIRED GENERATION.
ALL WHILE MAINTAINING SAFETY
RELIABILITY AND MINIMIZING BAKER
COSTS.
ORIS FOCUSED ON ENSURING THAT
THE STATE'S TARGET IS ACHIEVED
IN THE MOST COST EFFECTIVE
MANNER AND WITH REALIZE BENEFITS
TO CUSTOMERS.
AS PART OF OUR EVALUATION OF THE
LOAD SERVING ENTITIES OR ELSIE'S
FIRST INTEGRATED RESOURCE PLAN
PROJECT DUE TO BE FILED ON
AUGUST FIRST.
WE WILL EXAMINE THE
METHODOLOGIES AND INPUTS THE
MODELS USED AND WHETHER THE
PLANS ARE COST EFFECTIVE.
ACOSTA EFFECTIVELY MEET THE
STATE'S GOALS IN A CONSISTENT
WITH THE CPU SEES GUIDANCE.
WE ALSO WILL BE ACTIVELY
INVOLVED IN ENSURING THAT ALL
ELISSEEFF ARE ADDRESSING THE
IMPACT OF EXISTING AND NEW
RESOURCES ON DISADVANTAGED
COMMUNITIES.
AND THAT THEY GIVE PREFERENCE TO
RENEWABLE PROJECTS THAT PROVIDE
ENVIRONMENTAL BENEFITS TO THESE
COMMUNITIES.
CLEAN ENERGY RESOURCES ALSO CAN
BRING ECONOMIC BENEFITS TO
DISADVANTAGED COMMUNITIES SUCH
AS JOBS AND INCREASED TAX
REVENUE.
OUR A SEEKS TO ENSURE THAT THESE
BENEFITS FLOATED CUSTOMERS AND
ARE EQUITABLY DISTRIBUTED.
SOME CHALLENGES DO LIE AHEAD AS
YOU HEARD.
IF LLC SUCH AS CCA'S AND DIRECT
ACCESS PROVIDERS DO NOT PLAN FOR
SUFFICIENT PROCUREMENT TO
SUPPORT RELIABILITY.
THE COMMISSION HAS THE AUTHORITY
TO ORDER LONG TERM PROCUREMENT
COMMITMENTS.
IN THIS SITUATION IT IS POSSIBLE
THAT SOME ARE ALREADY PEERS
WOULD INCUR HIGHER COSTS.
THEREFORE IT IS IMPERATIVE THAT
ALL ELLIS CEASED MEET THEIR
PROCUREMENT OBLIGATIONS.
ALSO IN ORDER TO ENSURE THE
DEPLOYMENT OF AN OPTIMAL MIX OF
COST EFFECTIVE RESOURCES THAT
SERVE LOAD.
INTEGRATE ME NORMALS ENSURE
RELIABILITY AND MEET THE STATE'S
GHG GOALS FLEXIBILITY TO
CONSIDER ALL AVAILABLE RESOURCES
MUST BE PRESERVED.
ANOTHER CHALLENGES UP THE
UTILITIES CURRENTLY HAVE
CONTRACTED FOR RENEWABLES IN
EXCESS OF WHAT IS NEEDED TO MEET
THERE ARE PS TARGETS AND THEY
ARE SELLING OFF EXCESS RENEWABLE
ENERGY AS YOU.
ALSO HEARD.
WHEN WE NO CONTRACTS A RENEWABLE
ENERGY CREDITS ARE SOLD IS
USUALLY AT A LOSS THAT'S COSTING
RAPIERS FROM RENEWABLE ENERGY
THEY ARE NOT USING? TO
EFFECTIVELY REDUCE GHG EMISSIONS
ENERGY FROM A CLEAN RESOURCE
MUST REPLACE A GHG EMITTING
RESOURCE AND NOT BE SOLD OR USE
IN ADDITION TO A GHG EMITTING
RESOURCE.
THE I RP OFFERS AN OPPORTUNITY
TO ASSESS THE SITUATION TO HELP
DETERMINE THE BEST PORTFOLIO MIX
BASED ON WHAT IS AVAILABLE.
I WOULD ALSO LIKE TO ADD THAT
TRANSPORTATION ELECTRIFICATION
AND STORED.
ALSO ARE WAYS OF THAT CAN
ADDRESS THIS IS THE SITUATION.
AS FOR VARIOUS TO TRACKING GHG
EMISSIONS THE CHALLENGE RIGHT
NOW IS REALLY HOW TO COUNT THEM.
IN AN ISOLATED SYSTEM IT'S EASY
TO DETERMINE THE SYSTEMS TOTAL
EMISSIONS AND GENERATION BUT AS
YOU'D GOTTEN UTILITIES RETAIL
SELLERS AND OVERLAPPING
BOUNDARIES IT BECOMES
INCREASINGLY DIFFICULT TO
ACCURATELY ASSIGN EMISSIONS TO
INDIVIDUAL ENTITIES.
THE PC HAS ADOPTED A REASONABLE
APPROACH WHICH WE WHICH WILL BE
TESTED IN THE UPCOMING IRP PLANS.
DO FROM THE LLC'S IN AUGUST.
OR A WILL PARTICIPATE IN THE
EVALUATION OF HOW WELL IT WORKS
AND WHETHER IT NEEDS ADJUSTMENT.
THE IRP PROCESS HELPS TO
IDENTIFY OPPORTUNITIES FOR
NUVEEN RENEWABLE PROJECTS
INCLUDING THEIR TIGHTENING.
THE PLANNING MODEL FOR TWENTY
THIRTY USE IN THE IP PROCEEDING
SELECTED A MIX OF INCREMENTAL
RENEWABLE AND OTHER RESOURCES
THAT COST EFFECTIVELY PROVIDE
RELIABILITY AND SYSTEM
FLEXIBILITY TO INTEGRATE MORE
RENEWABLES.
AS MENTIONED EARLIER.
P. UC'S REFERENCE SYSTEM PLAN
ACHIEVES A 58% ARE PS AND AS
SUCH THERE ARE SIGNIFICANT
OPPORTUNITIES TO INCREASING
RENEWABLE ENERGY PROJECTS.
SP THREE FIFTY DRIVES INCREASE
RENEWABLE ENERGY BY REQUIRING
THAT IN TWENTY TWENTY ONE AND
BEYOND.
STEVE 5% OF THE RETAIL SELLERS
RENEWABLE PROCUREMENT
REQUIREMENTS MUST BE PROCURED
THROUGH LONG TERM COMMITMENTS
THAT IS THEY MUST UP TERMS OF
TEN YEARS OR MORE.
WHILE THE LARGE UTILITIES HAVE
MET THIS REQUIREMENT OTHER LSE'S.
SUCH AS CCA'S ALSO MUST PROCURE
SUFFICIENT LONG TERM OUR PS
ELIGIBLE RESOURCES.
IN THE COMMISSION'S CURRENT.
RESOURCE ADEQUACY WILL MAKING
AUREUS.
FRAMEWORK THAT REQUIRES A PC IN
KAISER TO WORK TOGETHER TO
DETERMINE WHAT RESOURCES MUST BE
RETAINED.
AND THE NEED FOR NEW PROCUREMENT
TO ADDRESS ANY POTENTIAL
SHORTFALLS.
RESOURCES COULD BE PROCURED BY
COALITION OF LSE'S TO ENABLE
FINANCING OF NEW FACILITIES BY
ALLOCATING THE COSTS AND
BENEFITS EQUITABLY A
PROPORTIONALLY.
BETWEEN TWO OR MORE ELLIS HE'S
WORKING TOGETHER.
WHILE MAINTAINING RELIABILITY.
AS AN EXAMPLE.
PGDM EAST BAY COMMUNITY ENERGY
HAVE EMBARKED ON AN INNOVATIVE
COLLABORATION TO PROCURE NEW
RESOURCES TO REPLACE A PETROLEUM
BASED GENERATOR IN OAKLAND.
OR A SUPPORTS THE SPECIFIC
EFFORT.
SUCH COOPERATION COULD ENABLE
THE LONG TERM PROCUREMENT OF
RESOURCES THAT ARE VITAL TO MEET
LONG.
LOCAL RESOURCE ADEQUACY NEEDS
WHILE SHARING THE COSTS OF
NECESSARY RESOURCES AND AVOIDING
COSTLY BACKSTOP GERMAN.
IN CONCLUSION THE STATUS
SUCCESSFULLY MEETING ITS
RENEWABLE TARGETS MISS AT A
COMPREHENSIVE PATH FORWARD
THROUGH THE COMMISSION SPIRE P.
PROCESS PROGRESSIVE GHG
REDUCTION.
UTILITIES ARE CURRENTLY
EXCEEDING THEIR TARGETS AND WE
KNOW THE PRICES OF DROP
SIGNIFICANTLY.
THERE DOESN'T SEEM TO BE HURDLES
IN GETTING NEW RENEWABLE
PROJECTS ONLINE ALTHOUGH THERE
IS ROOM FOR IMPROVEMENT IN
ENSURING RENEWABLES THAT ARE
ALREADY PROCURED.
ARE USED.
THE CCA'S ANOTHER RETAIL SELLERS
OF THE MOST LIKELY CANDIDATES
FOR INCREASED RENEWABLE
PROCUREMENT ESPECIALLY BECAUSE
OF S. B. THREE FIFTIES NEW LONG
TERM CONTRACTING REQUIREMENTS.
I'LL STOP THERE THANK YOU VERY
MUCH -- SOME
MY NAME IS HUNDRED MISTER CHAIR
NICE TO SEE YOU MY NAME'S HUNTER
STERN I'M HERE ON BEHALF OF THE
CALIFORNIA COALITION OF UTILITY.
EMPLOYEES --
AND I'LL KNOW THAT --
WHEN YOU MENTIONED --
SCOTT WHICH IS NAMED THE YOUR
COLLEAGUES GOT UP AND LEFT.
SO WHAT WHAT I WANTED.
TO I'M GLAD SOME IS AWAKE.
OKAY SO WHAT WHAT WE WANTED TO
COVER --
MOST OF WHAT WE WERE.
THERE'S ARE PROBABLY PICKED UP
BY -- FOLLOW
FOLLOWING SPEAKERS AS WELL BUT
LET'S LET US SERVE FOCUSING ON
THREE DIFFERENT AREAS --
IN TERMS OF OF THE CHALLENGES
TRACKING GREENHOUSE GAS
EMISSIONS --
SIMPLY PUT WE DON'T HAVE A
STANDARDIZED APPROACH --
THE STATE DOESN'T CURRENTLY DO
WHAT IS NEEDED TO DO TO DO TO
DETERMINE HOW MUCH.
COMMISSIONS ARE ASSOCIATED WITH
WHICH RESOURCES WHICH LOAD
SERVING ENERGIES ARE USING --
THERE'S HOPE --
THAT -- QUE
BE -- ELEVEN
TEN WHICH IS PAST COUPLE YEARS
AGO AND IS NOW IN THE PROCESS OF
GETTING A REGULATORY APPROVAL AT
THE ENERGY COMMISSION --
WILL DO THAT --
BUT THERE'S ALSO SOME GAPS.
AND SO THAT'S FIRST AND FOREMOST
WE NEED A STANDARDIZED APPROACH --
SECONDLY IN TERMS OF THE MAJOR
CHANGE IN ENERGY PER CHAIRMAN --
IT'S THAT ITS WHO.
ARE NOW PROCURING ELECTRICITY --
IN THE STATE OF CALIFORNIA --
COMMISSIONER PETERMAN MENTIONED
CCA'S ARE ON THE RISE THAT IS
THE BIG DIFFERENCE HOME WHERE
THREE YEARS AGO THEIR PROCURING
ALMOST NOTHING.
AND IN THE FUTURE THEY MAY
PROCURE SO MUCH AS 80% OF THE
POWER --
THAT IS A HUGE CHANGE AND THE
IMPACTS OF THAT CHANGE ARE BEING
FELT THROUGHOUT THE STATE.
AND THROUGHOUT THE CLEAN POWER
GOALS AT THE STATUS SAID ITSELF --
AND THEN AGAIN THIS IS A
SIMPLIFIED OR A SHORTER VERSION
OF WHAT I PLAN TO SAY --
THE CHALLENGES OF OF BUILDING
NEW ENERGY PROJECTS OF THIS IS
OUR WORK --
THE IBEW DE IS [inaudible]
THE CALIFORNIA COALITION OF
UTILITY EMPLOYEES --
AND WE REPRESENT WORKERS HAD THE
INVESTOR OWNED UTILITIES IN THE
PUBLIC PUBLICLY OWNED UTILITIES
AND WE HAVE OUR CONSTRUCTION
MEMBERS WHO BUILT THESE PROJECTS.
AND THE CURRENTLY NOT DOING A
MISTER FRIEDMAN MENTIONED THIS --
AT ONE POINT THERE WAS AS MANY
AS FIFTEEN THOUSAND FULL TIME
EQUIVALENTS --
WHICH IS A FANCY WAY OF SAYING
AHEAD --
WORKING ON THESE PROJECTS
ANNUALLY --
AND NOW IT'S VERY MUCH SMALLER
THAN THAT --
WE NEED THE COMMITMENT. TO HAVE
RESOURCES BUILT.
AND USED IN THE STATE --
THERE ARE --
EVEN -- YEAH
THE CHI SO IS PART OF THEIR
THREE FIFTY STUDIES IDENTIFIED
THE POTENTIAL OF A HUNDRED
THOUSAND JOBS BEING LOST.
LOST IF THE SO CALLED BUCKET
SYSTEM IS NOT RETAIN --
THAT'S PART OF HOW WE DEVELOPED
THE PROGRAM AND THIS SUCCESSFUL
IMPLEMENTATION.
OF THESE GOALS WHETHER IS THREE
FIFTY OR TO SP TWO ONE ACTS
BEFORE IT --
AND THE RPF ALL THE WAY THROUGH --
THE MAJOR CHALLENGE IS ENSURING
THAT THE SPOT COMMUNITY TRACE
AGGREGATORS ARE SIGNING LONG
TERM POWER PURCHASE AGREEMENTS
WHICH THEN CREATE THE CONFIDENCE.
IN THE DEVELOPERS IT TAKEN GOING
TO SEEK THE FUNDING THE LOANS TO
BUILD THE PROJECTS THEMSELVES.
IF THOSE POWER IF THOSE PPACA
SHORT TERM --
THEY CAN'T GET MONEY TO THE
DEVELOPERS CAN GET MONEY TO
BUILD THEM AND OUR MEMBERS DON'T
WORK.
AND AT THIS POINT IT'S NOT JUST
THE AYE BE DONE.
EFFORT TRADES UNIONS THAT ARE
OPERATING ON A PROJECT LABOR
AGREEMENTS --
THROUGHOUT THE STATE BUILDING
THE SOLAR PROJECTS CURRENTLY
IT'S BEEN A VERY EFFECTIVE.
VERY --
EFFICIENT JOB SOURCING HIGH GOOD
JOBS OBVIOUSLY GOOD PAYING BUT
ALSO LOWER COST ELECTRICITY.
SO ALL OF THAT HAS BEEN A WIN
AND NOW WE'RE LETTING IT SLIP
THROUGH OUR HANDS.
SO.
IN IN SHORT.
AND SWEET TERMS --
IN ORDER RETAIN THOSE JOBS IN
ORDER TRAIN TO RETAIN THOSE
OPPORTUNITIES WE NEED TO ASSURE
THE DIS.
A ENTITIES TO LOAD SERVING
ENTITIES ALL OF THEM APART BUT
PARTICULARLY THE ONES THAT HAVE
TO PROCURE POWER IN THE FUTURE.
NOT JUST TO MEET THE RPF
REQUIREMENTS NOT JUST TO MEET
THEIR EMISSIONS RATES BUT ALSO
TO MAKE COMMITMENTS SO THAT THE
INDUSTRY CAN MOVE FOR HERE IN
THE STATE.
WE NEED ALL THOSE THINGS TO
HAPPEN AND FRANKLY IT'S NOT
HAPPENING RIGHT NOW.
THANK YOU FOR ALLOWING THESE
COMMENTS.
YOU ARE FOR THE RECORD MY NAME
IS PAUL THOMPSON ON THE
EXECUTIVE DIRECTOR FOR
GOVERNMENT AND REGULATORY
AFFAIRS FOR OR MET TECHNLOGIES.
YOU HAVE A PRESENTATION IN FRONT
OF YOU THAT I'M GOING TO WALK
THROUGH BRIEFLY AND THEN BE
HAPPY TO ANSWER ANY QUESTIONS
YOU MIGHT HAVE --
LIMIT TECHNOLOGIES IS A
RENEWABLE ENERGY COMPANY DOING
BUSINESSIN CALIFORNIA --
WE HAVE ABOUT FIFTY THREE YEARS
OF EXPERIENCE AND HAVE BEEN.
ANNUALLY OMITTING ABOUT FOUR
POINT TWO MILLION METRIC TONS OF
CO TWO FROM THE ATMOSPHERE AND
THAT INCLUDES ABOUT A HUNDRED
AND SEVENTY ONE MEGAWATTS OF
GEOTHERMAL POWER THAT WE OPERATE
IN CALIFORNIA BOTH IN THE
IMPERIAL VALLEY.
AND NEAR MAMMOTH LAKES
CALIFORNIA --
TOTAL --
FROM AN INDUSTRY PERSPECTIVE
TODAY WE OPERATE OVER EIGHT
HUNDRED AND SIXTY MEGAWATTS OF
GEOTHERMAL ENERGY.
AND WERE RESPONSIBLE FOR A
LITTLE OVER TWO THE WATTS OR TWO
THOUSAND MEGAWATTS OF GEOTHERMAL
AROUND THE WORLD.
FORMAT IS ALSO MORE THAN JUST A
GEOTHERMAL ENERGY COMPANY TODAY
WE'VE HEARD A LOT ABOUT STORAGE
AND WE OPERATE A STORAGE COMPANY
CALLED FOR RITA DE AND IT JUST --
INSTALLED TO TWENTY MEGA WATTS --
ONE HOUR STORAGE BATTERIES FOR
FORTY MEGAWATT HOURS OF STORAGE
WHICH IS WHICH IS ABOUT 5% OF
THE NATION'S STORAGE CAPABILITY.
WE ARE LOOKING AT STORAGE
PROJECTS IN ADDITION IN
CALIFORNIA --
WE'VE BUILT SOLAR PROJECTS AND
WE ALSO --
CREATE A PRODUCT CALLED
RECOVERED ENERGY GENERATION WE
CAN TAKE THE EXHAUST HEAT ON
NATURAL GAS PIPELINES AND
PRODUCE ADDITIONAL --
EMISSION FREE ENERGY FROM OUR
NATION'S NATURAL GAS
INFRASTRUCTURE.
WHAT SETS US APART IS THAT WERE
VERTICALLY INTEGRATED COMPANY WE
STARTED BY MANUFACTURING
EQUIPMENT AND TODAY?
WE ARE REALLY THE ONLY TRULY
VERTICALLY INTEGRATED COMPANY SO
WE DESIGN AND MANUFACTURE THE
EQUIPMENT.
WE DO THE DRILLING WE DO THE
ENGINEERING OF THE FACILITIES WE
MANUFACTURE THEM WE CAN
CONSTRUCT THEM AND WE CAN OWN
AND OPERATE THEM AND THAT ALLOWS.
A LOT OF FLEXIBILITY FOR US TO
CONTINUE DEVELOPING PROJECTS IN
CALIFORNIA LIKE WE'RE DOING. 65%
OF OUR REVENUE COMES FROM THE
SALE OF ELECTRICITY IN ABOUT 35%
OF OUR REVENUE COMES FROM THE
SALE OF EQUIPMENT.
WHY IS THAT IMPORTANT HE IT
ALLOWS US TO BE THE MOST ACTIVE
GEOTHERMAL DEVELOPER TODAY IN
THE UNITED STATES --
WITH OVER FOUR HUNDRED FIFTY
MEGAWATTS WE'VE DEVELOPED IN THE
LAST DECADE.
AND THAT HAS JUST MADE US THE
LARGEST U. S. BASED GEOTHERMAL
OPERATOR IN THE COUNTRY.
AS I SAID WE'VE HUNDRED SEVENTY
ONE MEGAWATTS IN CALIFORNIA.
ENORME SO WE'VE FORTY MEG ALL
FACILITY A KEEPER WE HAVE AN
EIGHTY NINE MEGAWATT FACILITY
BRAWLEY.
WHERE THIRTEEN MEGAWATT FACILITY
IN?
AND JUST PUT THOSE NUMBERS KIND
OF IN FACT IN PERSPECTIVE A
THIRTY MEGAWATT GEOTHERMAL
DEVELOPMENT.
ANNUALLY CONTRIBUTES ABOUT FIVE
POINT TWO MILLION DOLLARS TO THE
ECONOMY AND OPERATIONS IN ABOUT
FIVE HUNDRED K. IN TAXES.
AND REQUIRES ABOUT A FIVE
MILLION DOLLAR CAP EX --
SO IT'S THOSE ARE NOT SMALL
FIGURES WE'VE INVESTED JUST
ABOUT A BILLION DOLLARS IN IN
CALIFORNIA.
ANNUALLY TO PAY ABOUT TWO POINT
EIGHT MILLION IN TAXES. TWENTY
NINE POINT SIX MILLION IN OUR
OPERATIONS AND WE'VE HEARD ABOUT
EMPLOYMENT TODAY EACH ONE OF
THOSE THIRTY MEGAWATT COMPLEXES
EMPLOYEES ABOUT FOUR HUNDRED
CONSTRUCTION WORKERS AND ABOUT
FIFTEEN TO TWENTY FULL TIME
EMPLOYEES ONCE THE PROJECT IS UP
AND OPERATING.
CONTRARYTO WHAT YOU HEARD TODAY
WE ARE DEVELOPING.
A PROJECTS IN THE IMPERIAL
VALLEY TRUCK HAVEN IS A PROJECT
THAT WE HAVE UNDER ACTIVE
DEVELOPMENT WE'RE EXPANDING OUR
MAMMOTH FACILITY WITH THE
DEVELOPMENT OF A PROJECT CALLED
CASA DIABLO FOR IN MONO COUNTY.
AND WE JUST ACQUIRED A COMPANY
CALLED U. S. GEOTHERMAL WHICH
HAS A LEASES IN THE GEYSER AREA
AND WE ARE LOOKING AT THOSE NEW
RESEARCH THINGS THAT WE'VE
OBTAINED.
WHAT'S EXCITING ABOUT THE
GEOTHERMAL SECTOR TODAY IS KIND
OF THE NEW TECHNOLOGY AND ON
SLIDE SEVEN THE YOU HAVE.
WHAT WE'RE SEEING IS THAT IN THE
LAST DECADE 90% OF THE
GEOTHERMAL PROJECTS THE UNITED
STATES HAVE BEEN BUILT WITH A
BINARY TECHNOLOGY?
AND WHY IS THAT IMPORTANT IT
ALLOWS FLEXIBILITY.
FLEXIBILITY BECAUSE WE CAN
DEVELOP LOW TEMPERATURE
RESOURCES THEY PRODUCE NEAR ZERO
EMISSIONS AND THEY'RE INCREDIBLY
FLEXIBLE SO WHEN WE'RE LOOKING
AT THE CARBON ICING THE GRID.
GEOTHERMAL TWO POINT OH WERE
CALLING IT.
IS REALLY EXCITING TO INVESTOR
OWNED UTILITIES LOAD SERVING
ENTITIES CCA'S AND OTHERS
BECAUSE WE CAN RAMP THE OUTPUT
OF THESE FACILITIES. TO MITIGATE
THE DUCK CURVE --
I FELT OBLIGED TO INCLUDE A
SLIDE OF THE DARKER BECAUSE I
BUT DIDN'T THINK YOU'RE ALL
FAMILIAR WITH THAT.
JUST HIGHLIGHT THAT THE VALUE OF
THE ENERGY IS SHIFTING
CONSIDERABLY AND SO.
IF YOU GO TO MY S. LIKE TEN
YOU'LL SEE.
GEOTHERMAL VALUE TODAY IS
INCREASING IMMENSELY BECAUSE WE
PRODUCE POWER WHEN THE
INTERMITTENT RESOURCES DAHLE.
IT'S IT'S THAT SIMPLE.
CALIFORNIA WAS INCREDIBLY
SUCCESSFUL DEVELOPING
INTERMITTENT RESOURCES IT
DEVELOP CLOSE TO FOURTEEN
GIGAWATTS OF INTERMITTENT
RESOURCES IN THE LAST DECADE.
AND WHAT THAT DONE HAS SHIFTED
THE FOCUS TO RESOURCES THAT ARE
EMISSION FREEING CAN PRODUCE
POWER CAPACITY OR ENERGY WHEN
YOU NEED IT.
AND SO TODAY IN CALIFORNIA WE'RE
SEEING THE GEOTHERMAL HAS A
VALUE COMBINED VALUE OF BOTH
ENERGY CAPACITY AND ANCILLARY
BENEFITS.
OF CLOSE TO THIRTY TWO DOLLARS A
MEGAWATT HOUR MORE THAN JUST
SOLAR PEAVEY.
AND THAT'S ALLOWING US TO SECURE
CONTRACTS TODAY MOVING FORWARD
AND THAT'S THAT'S THE EXCITING
PART.
IF I TAKE YOU DISLIKE TWELVE OF
OF MY FLIGHT DECK YOU'LL SEE
GEOTHERMAL TWO POINT KNOWING
YOU'LL YOU'LL SEE A LITTLE
DESCRIPTION THE BINARY PROCESS
AND TO TRY TO BOIL IT DOWN TO
ITS SIMPLE IS THE DESCRIPTION.
WE BRING UP HIGH GEOTHERMAL
FLUID WE HEAT A SECONDARY
WORKING FLUID WHICH IS WHAT
VAPORIZES BUILDS PRESSURE TURNS
THE TURBINE.
THE BEAUTY OF THAT IS WE INJECT
1100% OF THE GEOTHERMAL FLUID
BACK INTO THE RESERVOIR.
AND THE WORKING FLUID WHICH
VAPORIZES WE KEEP IN A CLOSED
SYSTEM.
SO IT --
COOLS BACK DOWN TURNS BACK INTO
LIQUID HEAT BACK UP AND THERE'S
NEAR ZERO EMISSIONS WHAT THIS
ALLOWS US TO DO IS PROVIDE.
CRITICAL SERVICES TO THE GRID TO
HELP WITH THE CARBONIZATION WE
CAN PROVIDE FLEXIBLE CAPACITY
MEAN WE CAN RAMP THE ENTIRE
FACILITY --
50% OF THE NAMEPLATE OF THE
FENCES FACILITY PERMIT.
WE CAN PROVIDE REGULATION
SERVICES FREQUENCY RESPONSE
SERVICES AND CONTINGENCY
RESERVES SO WHEN WE TALK ABOUT
THIS DEEP PENETRATION OF
INTERMITTENT RENEWABLE RESOURCES
AND HOW ARE WE GOING.
TO KIND OF BRING THOSE ON AND
BACK THOSE UP WITH A CARBON FREE
RESOURCE GEOTHERMAL TO POINT IT
CAN BE OUR ANSWER.
WE ALSO PROVIDE NONTRADITIONAL
ANCILLARY SERVICES LIKE VOLTAGE
CONTROL AND INERTIA.
GETTING SPECIFICALLY OF WELL
THAT THE LAST THING I'LL POINT
OUT AND WE HEARD COMMISSION
RANDOLPH TALK ABOUT IT.
THE CPUC RESOLVE MODEL PDATED
WITH ITS MOST RECENT LOAD
FORECAST SELECTED ABOUT
SEVENTEEN HUNDRED MEGAWATTS OF
NEW GEOTHERMAL IN THE FORTY TWO
AND T. SCENARIO.
AND THE COST THAT THEY USE THAT
IT WAS STILL SELECT WAS ABOUT
EIGHTY EIGHT DOLLARS AND FIFTY
SIX CENTS TO NINETY ONE DOLLARS
AND SIXTY THREE CENTS A MEGAWATT
HOUR.
THOSE PRICES ARE EXTREMELY HIGH.
IF YOU TAKE THE MOST RECENT PP
ACHE CONTRACTS EXECUTED IN
CALIFORNIA.
THE MODEL YIELDS ABOUT TWO POINT
FIVE GIGAWATTS OR THREE
GIGAWATTS OF NEW GEOTHERMAL TO
BE DEVELOPED.
WHEN YOU ALSO TAKE OFF THE
CONSTRAINT OF THE RESOURCE AREA?
AND WHEN WE ARE EXPERTS WERE
LOOKING AT THE RESOLVE MODEL WE
WERE KIND OF CONSTRAINED TO JUST
CALIFORNIA.
WHEN YOU TAKE OFF THOSE
CONSTRAINTS IN A REGIONAL
APPROACH YOU'LL SEE THAT EXPANDS
THE THREE GIGAWATTS OF
GENERATION AND I THINK AT SOME
OF THE OTHER SPEAKERS HAVE SAID?
WE'RE GONNA NEED EVERYTHING IN
OUR WHEELHOUSE TO DEVELOP THOSE
RESOURCES CONSIDERING CAL YOU
KNOW THE NATION HAS ABOUT. THREE
POINT FIVE GIGAWATTS OF TOTAL
GEOTHERMAL GENERATION OPERATING
AND IT'S TAKEN ABOUT FIFTY YEARS
TO DEVELOP SO WE THINK BUCKET
ONE ELIGIBILITY IS INCREDIBLY
IMPORTANT.
AND WE NEED TO START DEVELOPING
ALL THE FAST AS POSSIBLE.
K. GEOTHERMAL --
SURVIVE IN A CHANGING MARKET WE
THINK THE ANSWER IS ABSOLUTELY
YES. FOR THE LAST THIRTY YEARS
WE'VE ONLY SOLD POWER TO
INVESTOR OWNED UTILITIES THAT IS
CHANGING WHERE NOW SELLING IT TO
PEEL USE WE ARE HAVING
DISCUSSIONS WITH CCA'S.
WE SIGNED CONTRACTS WITH LARGE
COMMERCIAL AND INDUSTRIAL
OPERATORS WHO RECOGNIZE THIS
INCREDIBLE VALUE OF THE
GEOTHERMAL RESOURCE THAT'S NOT
ONLY EMISSION FREE.
BUT CAN RAMP AND PROVIDE THE
FLEXIBILITY TO KEEP YOUR
OPERATIONS RUNNING DAY TODAY.
WHAT WE STRUGGLE WITH HIM MY
LAST SLIDE IS?
KIND OF THE UNCERTAINTY OF
CURRENT LEGISLATIVE PROPOSALS
NETS WE NEED THIS KIND OF
TRANSPARENCY LONGEVITY AND
CERTAINTY AND WE'RE SEEING
INVESTOR OWNED UTILITIES OR LOAD
SERVING ENTITIES FOR A BROADER
TERM KIND OF SHY AWAY FROM
SIGNING CONTRACTS IN THE LAST
TWENTY FOUR MONTHS BECAUSE OF A
POSSIBLE OUR PS.
EXPANSION BECAUSE OF A POSSIBLE
CARVE OUT AND WHETHER OR NOT
TECHNOLOGIES PROCURED TODAY WILL
BE ELIGIBLE OR INCLUDED.
IN THOSE POLICIES MOVING FORWARD
AND SO.
I WOULD JUST.
WE'RE SEEING THAT IN REAL TIME
AND WE DON'T WANT TO PUT CLIMATE
CHANGE KIND OF ON HOLD WHILE WE
TRY TO FIGURE THIS OUT SO MAYBE.
NO CONSIDERATION OF A GRACE
PERIOD OF GRANDFATHERING FOR YOU
KNOW THESE UTILITIES WHO ARE
FORWARD LOOKING ENOUGH TO SIGN
CONTRACTS IN THE LAST TWELVE TO
TWENTY FOUR MONTHS --
WOULD CONTINUE TO ALLOW
DEVELOPERS LIKE OR NOT
TECHNOLOGIES TO MOVE PRODUCTS
WILL.
THAT THANK YOU VERY MUCH
CHAIRMAN.
GOOD AFTERNOON AND THANK YOU FOR
THE OPPORTUNITY TO TESTIFY TODAY
IN THROUGH COMMITMENT TO THESE
IMPORTANT ISSUES.
I'M GONNA MISS PETER MILLER AND
I'M REPRESENTING THE NATURAL
RESOURCES DEFENSE COUNCIL TODAY.
TOM I WANT TO START BY TAKING A
LOOK AT WHERE WE'VE COME OVER
THE PAST TEN TO FIFTEEN YEARS.
AB THIRTY TWO WAS PASSED TWELVE
YEARS AGO WHEN IT SET AN
AMBITIOUS TARGET FOR CLIMATE
ACTION OF REDUCING OUR EMISSIONS
TO NINETEEN NINETY LEVELS.
BY.
TWENTY TWENTY REALLY DO MUCH
BETTER THAN THAT.
AB ONE NEXT TO THE 33% ARE PS
LEGISLATION.
WAS PASSED NEARLY A DECADE AGO
KNIT SOUTHERN AMBITIOUS GOAL OF
GETTING A THIRD OF OUR
ELECTRICITY FROM RENEWABLES BY.
TWENTY TWENTY WE'RE GONNA DO
MUCH BETTER THAN THAT.
S. B. THREE FIFTY WAS PASSED A
HANDFUL OF YEARS AGO AND IT'S AN
AMBITIOUS TARGET A 50% WERE
NOBLES BY.
TWENTY THIRTY AND A DOUBLING OF
OUR ENERGY EFFICIENCY SAVINGS.
WE'RE NOT ONLY ON TRACK TO MEET
BOTH THOSE TARGETS BUT THE I'LL
USE ARE ON TRACK TO MEET THE
RENEWABLES TARGET A DECADE EARLY.
PENDING LEGISLATION WOULD RAISE
AT TARGET.
AND CUT THE REMAINING FOSSIL
GENERATION IN.
TWENTY THIRTY BY NEARLY A
QUARTER.
WE'VE LACK LIKEWISE SAID
AMBITIOUS GOALS FOR LOW CARBON
FUELS VEHICLE ELECTRIFICATION
FOR ENERGY STORAGE.
AND WE'RE ON TRACK ARE EXCEEDING.
OR INCREASING OUR ROLES IN EVERY
RESPECT.
SO WHERE ARE WE TODAY.
WE'RE NOBLES ARE CLEARLY THE LOW
COST OPTION FOR NEW GENERATION
CAPACITY.
THE COMPETITIVE BIDS FOR NGUYEN
CONSOLE IN THE RANGE OF TWO TO
FOUR CENTS AND DROPPING.
I I WOULD BE REMISS IF I DIDN'T --
REFER TO THE PRESENTATIONMERELY
PERFORMING WHERE YOU'VE HEARD OF
IMPRESSIVE DECLINES IN THE COST
OF NEW GEOTHERMAL GENERATION --
WHICH GIVES US AN ADDITIONAL
IMPORTANT OPTION.
BUT IN MANY CASES NEWER NOBLES
ARE CHEAPER THAN EXISTING COAL
PLANTS.
THAT'S A HUGE TAIL WHEN FOR D.
CARBON ISING THE GREAT.
IT'S A HUGE TRANSFORMATION OF
THE ENERGY SYSTEM THAT'S
UNPARALLELED AND PROVIDES A
TREMENDOUS OPPORTUNITY FOR THE
STATE.
HONEST ON ON IN TERMS OF ENERGY
EFFICIENCY.
JUST ONE EXAMPLE LED LIGHTING IS
THE NEW NORMAL.
WHICH HAS ONE QUARTER THE
CONSUMPTION OF INCANDESCENT
LIGHTING AND LASTS TEN TIMES
LONGER MUCH MORE COST EFFECTIVE
FOR CONSUMERS.
AND MORE FLEXIBLE IN TERMS OF
APPLICATIONS [inaudible]
LAMB.
IN TERMS OF OUR CLIMATE POLICY
WE HAVE AN AMBITIOUS GOAL IN
PLACE FOR TWENTY THIRTY WE HAVE
CLEAR AUTHORITY TO IMPLEMENT THE
MARKETPLACE PROGRAM TO GET THERE.
ONLY MENTION THAT THE COST OF
STORAGE OF ELECTRIC VEHICLES ARE
DROPPING FAST.
WITH EXPECTED FIRST COST
BREAKEVEN FOR ELECTRIC VEHICLES
EXPECTED SOMETIME IN THE FIRST
HALF THE NEXT DECADE.
SO I DON'T WANT TO MINIMIZE THE
WORK THAT'S YET TO BE DONE
THERE'S A LOT OF WORK IT TO BE
DONE BUT IT'S IMPORTANT TO
EMPHASIZE.
THAT WE CAN WE HAVE MADE
EXTRAORDINARY CHANGE FOR
AMBITIOUS.
COMMITTED AND FOCUSED
[inaudible]
SO.
WITH REMAINS HOW MUCH.
ONE TALK ABOUT A COUPLE THINGS
IT REMAINS TO BE DONE WHERE THE
KEY CHALLENGES AHEAD.
FIRST OF ALL WE NEED TO CONTINUE
TO CARBONIZED IN THE ELECTRIC
GRID.
WE NEED HIGHER LEVELS OF
RENEWABLES BOTH BEHIND AND IN
FRONT OF THE MEDIA.
WE NEED TO IMPROVE THE ABILITY
OF THE GREAT IN GREAT MEASURE
NOBLES YOU'VE HEARD A LOT TODAY
WE'RE SEEING A TRANSFORMATION OF
THE GRIP OF A FOSSIL DOMINATED
GRID. TO RENEWABLES GENERATES.
AND THAT'S GOOD REQUIRE --
NEW TECHNOLOGIES AND NEW
APPROACHES TO GRID MANAGEMENT
INCLUDING INCREASE STORAGE.
IMPROVEMENTS IN DEMAND RESPONSE
AND MANAGE CHARGING.
AND A REGIONAL MARKET.
REGIONAL MARKET IS CRITICAL
BECAUSE ALLOWS US TO MAKE BEST
USE OF THE EXISTING WERE NOBLES
OF OUR GENERATION. TO TAKE
ADVANTAGE OF OPPORTUNITIES TO
BRING AND LOW COST RESOURCES
FROM OUTSIDE THE STATE.
AT AS YOU'VE HEARD ALREADY A
COUPLE TIMES TODAY THE REASON
MARKET WILL HELP TREMENDOUSLY IN
TRACKING GREENHOUSE GAS
EMISSIONS.
IMPROVE OUR ACCOUNTING.
SECOND WE NEED TO ACCELERATE OUR
EFFORTS ENERGY EFFICIENCY NEED
EXPANDED PROGRAMS WITH STATE
WHAT COORDINATION.
WE NEED TO BRING IN NEW
TECHNOLOGIES AND NEW
PROGRAMMATIC APPROACHES.
ENERGY EFFICIENCY WILL BE
ESSENTIAL FOR NOW ONLY LOWER
EMISSIONS FOR KEEPING OUR COSTS
LOW THAT'S CRITICAL TO CONTINUE
TO GET CONSUMER SUPPORT.
THIRD WE NEED TO DE CARBONIZED
BUILDINGS AND TRANSPORTATION.
THAT'S GONNA REQUIRE INCREASED
INVESTMENT --
DEVELOPMENT OF ELECTRIC VEHICLES
OF HEAT PUMPS OF LOW CARBON
FUELS.
AND FINALLY --
AND FAR FROM LEAST WE NEED TO
REMEDY THE LEGACY OF POLLUTION
AND DISADVANTAGED COMMUNITIES WE
NEED TO ENSURE THAT NO ONE IS
LEFT BEHIND.
AND EVERYONE ACROSS THE STATE
BENEFITS.
THANK YOU FOR THE OPPORTUNITY TO
TALK TO SAY.
THANK YOU HAVE GOT TO WORK.
SPECIAL QUESTION TO MY
COLLEAGUES AT STEPPED OUT --
BASED ON THE PRIOR PANEL
DISCUSSION AND IDEAS THAT WE
SHARED --
BIOMASS AND THE CENTRAL PRECURE
MEANT WONDERING WHO.
GOT SOME THOUGHTS ON THAT WAY
AND A BIT ON THAT.
NOT ALL OF YOU COULD TAKE A STAB
AT THE QUESTION THAT'S WHY.
I'M HAPPY TO TAKE A AN INITIAL
STAB AT CENTRAL PROCUREMENT --
MANY THE CONCERN HERE AS HAS
BEEN TOUCHED UPON BY NUMBER THE
PANELISTS.
IS THAT WE ARE NOT SURE WHO IS
SUPPOSED TO BE UNDERTAKING LONG
TERM PROCUREMENT ON BEHALF OF
ALL CUSTOMERS THE UTILITIES.
HAVE HISTORICALLY BEEN THE
ENTITIES THAT HAVE BEEN TASKED
WITH THIS OBLIGATION AND THEY
KNOW HOW TO DO IT --
BUT THE WORLD HAS CHANGED
UTILITIES ARE NOW NO LONGER
WILLING TO UNDERTAKE LONG TERM
CONTRACT COMMITMENTS UNLESS THEY
HAVE A IRONCLAD ASSURANCES THAT
THE COSTS CAN BE FULLY RECOVERED
ON A NON BY PASSABLE BASIS FROM
ALL CUSTOMERS.
IN THEIR SERVICE TERRITORY.
MEANWHILE WE HAVE NEW ENTRANTS
COMMUNITY CHOICE AGGREGATORS
DIRECT ACCESS SUPPLIERS WHO DO
NOT WANT THE UTILITIES TO BE
BUYING ON THEIR BEHALF WOULD
PREFER TO MAKE THEIR OWN CHOICES --
THE P. YOU SEE IS SUPPOSED TO BE
LOOKING AT ALL OF THE CHOICES
THAT EVERY ENTITY WOULD LIKE TO
PURSUE. TO ADD THEM UP AND TO
SEE WHERE THERE ARE GAPS
RELATIVE TO THE GOALS THAT THEY
HAVE ESTABLISHED.
IF THERE'S A GAP.
THE P. YOU SEE IS SUPPOSED TO
TRY TO ORDER SOMEBODY OR SOME
COLLECTION OF ENTITIES TO GO OUT
AND BUY THINGS.
AND THIS IS A COMPLETELY
UNTESTED MODEL SO FAR WE DON'T
KNOW IF OR HOW IT'S GOING TO
WORK.
AND ONE ALTERNATIVE.
IS FOR THE STATE TO IDENTIFY
ENTITY WHOSE RESPONSIBILITY IT
MIGHT BE. TO DO THIS TYPE OF
PROCUREMENT.
THAT FALLS THROUGH THE CRACKS
WHEN YOU ADD UP THE COMBINED
PREFERENCES OF ALL THE DIFFERENT
LOAD SERVING ENTITIES.
WHO MIGHT THIS ENTITY BE WHAT
MIGHT LOOK LIKE?
WE COULD USE THE UTILITIES.
BUT THEY WOULD NEED THOSE
IRONCLAD ASSURANCES OF COST
RECOVERY.
WE COULD DEPUTISE A THIRD PARTY
ANY THAT WOULD BE CHARTERED
ESSENTIALLY AS A PROCUREMENT
ENTITY RESPONSIBLE THE STATE
REGULATORS THAT COULD GO OUT AND
UNDERTAKE THIS PROCUREMENT WITH
COST RECOVERY AUTHORITY.
WE COULD USE A STATE AGENCY --
WE TRIED THAT BEFOREWE HAD A
MIXED RESULT BUT WE TRIED USING
A STATE AGENCY THAT BEING THE
DEPARTMENT OF WATER RESOURCES IN
THE MIDDLE OF THE BIGGEST ENERGY
CRISIS IN THE STATE'S HISTORY.
IT'S HARD FOR THEM TO GET UP AND
RUNNING QUICKLY.
IF WE HAVE TIME.
AND WE CAN PLAN THIS EFFORT WE
MIGHT BE ABLE TO HAVE A MORE
RATIONAL APPROACH TO THE STATE.
INTO THESE TYPE OF COMMITMENTS
AND MAYBE THERE ARE WAYS TO YOU
STATE FINANCING TO BRING DOWN
THE COST OF NEW PROJECTS.
KEY WOULD BE THAT ANY
CENTRALIZED PROCUREMENT
MECHANISM HAS TO HAVE THE
ABILITY TO RECOVER ALL THE COSTS
AS BROADLY AS POSSIBLE FROM ALL
MARKET PARTICIPANTS.
SO I THINK THERE ARE WAYS TO GO
ABOUT THIS.
SOME MAY REQUIRE ENABLING
LEGISLATION OTHERS COULD BE
CONSIDERED BY THE P. YOU SEE.
BUT THE KEY IS TO MAKE SURE THAT
WE'RE ALL IN THIS TOGETHER.
AND THAT WHATEVER GETS BOUGHT IS
PART OF WHAT FALLS THROUGH THE
CRACKS WHEN ALL OF THE LOAD
SERVING ENTITIES PROPOSALS ARE
PUT TOGETHER AND WE SEE WHAT'S
MISSING.
AND WHAT THE STATE STILL FEELS
LIKE IT NEEDS TO DEVELOP
[inaudible]
THE OTHER.
THE VISION LIKE TO WEIGH IN ON
YEAH TO SO THE AGAIN HUNTER
STERN --
WITH THE CODE CALIFORNIA
COALITION HE TOLD EMPLOYEES SO I
IN TERMS IT SUCH PROCUREMENT --
I THINK WHAT IS MOST IMPORTANT
IS TO FIRST START DATE HAVE
EVERYBODY START FROM THE SAME.
POINT OF VIEW WORKPLACE AND THAT
IS OF THE CPU SEE --
IRP DE INTEGRATED RESOURCE
PLANNING WE NEED A PLAN THE
STATE NEED TO PLAN --
IT INNER IN ORDER TO ENSURE
RESOURCE ADEQUACY.
WE NEED A PLAN AND AGAIN SOME A
LOAD SERVING ENTITIES ARE
SUGGESTING THEY MAY OR MAY NOT.
SPACE THAT PLAN.
EVERYBODY HAVE TO PLAY IF IT FOR
NOT FOLLOWING THE SAME PLAN --
WHAT MISTER FRIEDMAN SUGGEST
WILL ACTUALLY BE THE NEXT MAJOR --
ENERGY CRISIS IN.
BECAUSE WE WON'T HAVE ENOUGH
ENERGY FOR WHEN WE NEED.
SO THAT'S FUNDAMENTAL --
FROM A CENTRAL A THERE'S A
FUNCTION OF COST OBVIOUSLY AND
THERE'S ALSO --
A LAWSUIT WHICH IS BEING DEALT
WITH -- IT
THE SAME TIME WE HAVE OTHER
ISSUES INCLUDING --
WILDFIRE IN EXCESS FUEL --
SO I AGAIN THIS WOULD PROBABLY
REQUIRE ANY LEGISLATIVE --
APPROACH --
IF.
THE BALANCE OF REQUIREMENTS ARE
NEEDS --
INCLUDE GREATER PROCUREMENT FROM
BIOMASS RESOURCES --
THAT CERTAINLY AVAILABLE IT BUT
AGAIN IT BUT IT'S NOT SOMETHING
THAT WILL HAPPEN.
BUT I DON'T USE THE TERM
ORGANICALLY --
IT'S NOT SOME THAT WILL HAPPEN
WITHOUT LEGISLATIVE DIRECTOR.
THANK YOU.
PLEASE [inaudible]
NUANCE.
SO -- IN
ADDITION TO WHAT'S ALREADY BEEN
SAID AYE I'D WANT TO EMPHASIZE
THAT NIGHT AND I COMPLETELY
AGREE THAT THE IRAQI IS CRITICAL
IN TERMS OF CENTRALIZED PLANNING
FOR PROCUREMENT.
OF THE THE THREE UNDERPINNINGS
TO THEY ARE P. AND THEY'RE
THEY'RE VERY KEY EITHER CRITICAL
ITS RELIABILITY THE FOCUS ON
RELIABILITY.
THE FOCUS ON INTEGRATING
RENEWABLE RESOURCES.
I AND THE FINALS COST.
MINIMIZATION YET TO MAKE SURE
THAT WE DO IT COST EFFECTIVELY --
AND AND ARRIVING AT THE OPTIMAL
RESOURCE MIX BASED ON THOSE KEEP
THREE KEY FACTORS --
IS IMPORTANT I TO PREVENT OF
OPERATE HERE PRETTY PREVENT
STRANDED ASSETS.
WAS A STRANDED ASSETS WE PASSED
ON TO RATEPAYERS.
SO AGAIN PLANNING.
OF WHILE THAT IS UNTESTED A
HOUSE TO BE DONE IT IS IT'S VERY
KEY AND WHAT THE COMMISSION IS.
HAS SET FORTH --
WE THINK IS IS A GOOD. TO SEE
KNOWN ELSE SAID IT WOULD ASK THE
QUESTION WE KNOW.
THAT THEM AT THE CORE OF YOU
KNOW WHAT WE'RE LOOKING AT WHEN.
LOOKING AT THESE VARIOUS
DIFFERENT DATA.
PROCUREMENT TAP PROCESSES OR FOR
[inaudible]
CENTRALIZED [inaudible]
A MODEL.
THAT WE THINK OF THE RATEPAYERS --
PERCIFORM MOST BUT WHAT OTHER
ECONOMIC [inaudible]
BENEFITS.
COULD BE FACTORED IN AS WE'RE
LOOKING AT THEM CLIMATE POLICIES
AS TO TRY TO REDUCE JEEZ JEEZ I
MEAN.
ANY THOUGHTS ON THAT DE DO WE
HAVE ANYTHING THAT WE USE AS A
FORMULA ALREADY --
TO DETERMINE --
OTHER BIG ECONOMIC BENEFITS
BEYOND --
RATEPAYERS --
SAVINGS.
UP AS I MENTIONED EARLIER THE
IRP PROCESS CONSIDERS
PRIORITIZING NUVEEN RENEWABLE
AND OTHER RESOURCE PROJECTS.
IN DISADVANTAGED COMMUNITIES
WHERE IT MAKES SENSE WENT AND IN
TERMS OF SUPPORTING THOSE THREE
FACTORS THAT I THAT I JUST
MENTIONED --
THE IEP PROCESS CAN ALSO LEAD TO
A ECONOMIC BENEFITS IN
DISADVANTAGED COMMUNITIES AND
SUCH AS INCREASED JOBS --
AND MORE TAX REVENUE FOR THE
LOCAL COMMUNITY WE WANNA MAKE
SURE THAT THOSE BENEFITS FLOW TO
THE CUSTOMERS IN THE
DISADVANTAGED COMMUNITIES NOT
JUST OUTSIDE OF THOSE
COMMUNITIES SO THAT'S SOMETHING
THAT.
OR IS GONNA BE PAYING PARTICULAR
ATTENTION TO AS WE LOOK AT THE
PLANS THAT ARE DO YOU ALL IN
AUGUST.
ANYONE ELSE WOULD.
HELLO ALL JUST ADD THAT WE'VE
GOT A GREAT OPPORTUNITY HERE THE
DECREASE IN THE COST OF OUR
NOBLE SAYS PROVIDES THE ABILITY
TO PROPER PROVIDE OPPORTUNITY
FOR CONFLUENCE OF BENEFITS --
BY --
INVESTING ROBLES WE CAN LOWER
THE COST OF ELECTRICITY AND
REDUCE --
CRITERIA CLINTON EMISSIONS AND
PROVIDE HEALTH BENEFITS AS WELL
SO THERE'S STILL A TREMENDOUS --
ENVIRONMENTAL BENEFITS TO
SOCIETY FROM REDUCING THE IMPACT
OF CLIMATE CHANGE --
BUT THERE CAN ALSO BE A LOCAL
ENVIRONMENTAL BENEFITS FROM
APPROVED AIR QUALITY --
BY INVESTING IN REAL CASE.
NEITHER CLOSING COMMENTS FROM
ANY OF THE PANELISTS ON THIS
SUBJECT TRIP.
JUST A ONE FOLLOW UP ON THE
INTEGRATED RESOURCE PLAN THERE'S
BEEN A LOT OF TALK ABOUT HOW
THIS IS GOING TO SOLVE THE
PROBLEM I JUST WANNA REALLY
CAUTION --
MEMBERS OF THE LEGISLATURE TO
AYE TEMPER THEIR EXPECTATIONS IN
THIS RESPECT --
WITH YOU SEE IS ACTUALLY TO HOLD
ENTITIES TO DO IS.
TO MEET GREENHOUSE GAS REDUCTION
TARGETS FOR THEIR PORTFOLIO.
SHOW US THAT YOU HAVE A GHG
EMISSIONS RATE ARM THAT IS AT A
CERTAIN LEVEL.
AND TELL US THAT YOU'RE GONNA
GET THERE BY.
TWENTY THIRTY I STARTED MY
PRESENTATION BY POINTING OUT ALL
OF THE DIFFERENT WAYS IN WHICH
GREENHOUSE GAS METRICS CAN BE
GAMED AND MANIPULATED. TO
PRODUCE RESULTS THAT ARE VERY
CONTRARY TO WHAT POLICYMAKERS
MIGHT ANTICIPATE. FOR EXAMPLE I
MENTIONED THE IDEA THAT YOU
COULD SIMPLY SAY WE'RE GONNA BUY
A BUNCH OF EXISTING NORTHWEST
HYDRO.
WERE DONE WE MET THE GREENHOUSE
GAS TARGETS --
BUT PROVIDER MIGHT SAY WE DON'T
WE'RE GONNA NEED A LOW
GREENHOUSE GAS EMISSIONS TARGET
BY BUYING SURPLUS NUCLEAR POWER
FROM THE PALLAVA THE NUCLEAR
PLANT IN ARIZONA THAT'S ZERO
CARBON.
WERE DONE.
DON'T EXPECT THAT A GREENHOUSE
GAS SPACE TARGET IS GOING TO
PRODUCE INVESTMENT IN NEW
RESOURCES IT REALLY SEEMS LIKE
THESE ARE DIFFERENT APPROACHES
DIFFERENT METRICS.
AND IT'S MY VIEW THAT WE NEED TO
BE FOCUSED NOT ON GREENHOUSE GAS
EMISSIONS ON A STANDALONE BASIS
BUT ON DRIVING INVESTMENT IN NEW
FACILITIES BECAUSE THAT'S HOW WE
GET.
INCREMENTAL AND ADDITIONAL
RESULTS THAT MAKE THE WORLD ARE
ESSENTIALLY THAT ALLOW US TO
HAVE A CLEANER GRID THAT LEAD TO
REAL GREEDY CARBONIZATION AND
DON'T JUST PRODUCE AN ACCOUNTING
EXERCISE THAT MAKES US FEEL LIKE
WE GOT A CLEANER GRADE.
WHEN LITERALLY NOTHING IS
CHANGING [inaudible]
IT COMES [inaudible]
WHO KNOWS?
YEAH I'M JUST ELDERS HAD BRIEFLY
TO FOLLOW UP ON WHAT MISTER
FREEMAN JUST SAID --
THE IN THE NEW PROJECTS ALSO IT
WOULD PUT PEOPLE TO WORK YOU
ASKED ABOUT ECONOMIC BENEFITS.
PEOPLE WORKING PROVIDE ECONOMIC
BENEFITS TO THE STATE AS A WHOLE
[inaudible]
THANK YOU STOP.
I CHAIRMAN I WOULD JUST SAY
THANK YOU AGAIN FOR THE
OPPORTUNITY TO SPEAK AND I THINK
YOU KNOW.
THESE ARE THE EXACT QUESTIONS
THAT THIS COMMITTEE SHOULD BE
ASKING AT THIS TIME AND AND
WHILE SUMMER I THINK DISCOURAGED
ABOUT IT I THINK IT'S AN
INCREDIBLY EXCITING DISCUSSION.
AND YOU KNOW EVEN YOUR
PROCUREMENT QUESTION I MEAN IS.
ONE THAT HAS BEEN ADDRESSED IN
MULTIPLE STATES --
I WAS THE FORMER CHAIRMAN OF THE
PUBLIC UTILITIES COMMISSION IN
NEVADA AND WE HAD AN IRP.
AND WE ALSO HAD A VERY DIFFERENT --
UTILITY STRUCTURE THAN YOU HAVE
IN CALIFORNIA FAR LESS DIVERSE
AND AND YOU KNOW A FRACTION OF
THE SIZE AND SO.
AT WHAT LEVEL DO YOU LOOK AT
THAT PROCUREMENT IS AND YOU
ABSOLUTELY SHOULD BE HAVING IN
YEARS NO EASY ANSWER BUT I THINK --
YOU'RE GONNA GET YOU KNOW A LOT
OF INFORMATION HERE --
I THINK RENEWABLE TECHNOLOGIES
ARE RESILIENT AND WILL LOOK TO
DEVELOP THESE PROJECTS AND
DEVELOP NEW PROJECTS AND I THINK
THERE ARE MANY DEVELOPERS WHO
WOULD BE YOU KNOW WHO COULD SIT
RIGHT HERE AND TALK TO YOU ABOUT.
THAT THE DESIRE TO BUILD NEW
PROJECTS TO GROW THEIR COMPANIES --
AND INVEST IN CALIFORNIA THE
STOCK MARKET DOESN'T LOOK A
KINDLY ON COMPANIES THAT JUST
SHUFFLE WHERE THEIR MEGAWATTS
ARE COMING FROM FROM FROM
DIFFERENT AREAS AND SO FORTH SO --
YOU KNOW WE CAN WORK IN THOSE
DIFFERENT STRUCTURES WHATEVER
THEY MAY BE AS LONG AS WE HAVE
LEGISLATIVE CLARITY ON WHAT WE
WANT TO DO MOVING FORWARD.
AND WE'RE GOING TO CONTINUE.
TO MOVE FORWARD AS QUICKLY AS
POSSIBLE THANK YOU FOR YOUR KIND
THANK YOU TO ALL FIVE VIEW FOR
SPEND SOME TIME WITH US AND
ANSWERS TO THE QUESTIONS THAT
WILL.
BE CALLING UP THE NEXT STEP
PANEL.
NOW WE HAVE CAN CAUSE WOULD SAN
DIEGO GAS AND ELECTRIC.
MICHAEL CURRY LOS ANGELES
DEPARTMENT OF WATER AND POWER.
IN MELISSA BRENT EAST BAY
COMMUNITY ENERGY
[inaudible]
THAT COULD.
GOOD AFTERNOON WELCOME I'M TOLD
THAT THINK TO OF OUR CENTERS ARE
STILL TIED UP ON RED CARPET
[inaudible]
THE DATA.
THEY'RE WATCHING STAFF SEARED.
REALLY APPRECIATE THEM TAKEN THE
TIME TO PARTICIPATE.
AB FEEL FREE YOU --
GET STARTED THAT MR CAN CAUSE.
YES THANK YOU CAN'T BECAUSE WITH
SAN DIEGO GAS ELECTRIC THANKS
FOR THE OPPORTUNITY TO PRESENT
TO YOU TODAY.
OF THE BACKROOM MATERIALS POSE
THREE QUESTIONS BECAUSE WERE NOT
A DEVELOPER OF RENEWABLE
RESOURCES I WILL SKIP OVER THAT
ONE AND JUST FOCUS MY COMMENTS
ON THE OTHER.
TO THE FIRST QUESTION RAISES THE
ISSUE OF BARRIERS S. MISSIONS AN
EARLIER PANEL TALKED ABOUT.
THE USE OF MARKET PURCHASES AND
IMPORTS.
BASED ON TWO THOUSAND SIXTEEN
NUMBERS --
WE SEE HALF OF THE PROVIDERS
THAT REPORT POWER CONTENT LITTLE
INFORMATION TO THE ENERGY
COMMISSION HAD OVER 40% OF THE
RESOURCE COMING FROM.
SUCH PURCHASES UNSPECIFIED
POWERS NOT SURE WHERE THOSE
NUMBERS CAME FROM.
BUT FOR US THAT'S A SIGNIFICANT.
ISSUE WITH REPORTING OF
GREENHOUSE GAS EMISSIONS WE
RECOGNIZE THAT YOU ALWAYS HAVE
SOME UNSPECIFIED PARA BUT AS YOU
REDUCE THAT NUMBER AND GET FROM
SOURCES DIRECTLY.
THAT SHOULD HELP IN DEALING WITH
THOSE ISSUES --
I'D ALSO POINT OUT JUST.
FOR GIGGLES I GUESS ON THE POWER
CONTENT LABEL WE KNOW THAT
THERE'S STILL FIFTEEN OF THE
SEVENTY REPORTING UTILITIES
PROVIDING POWER TO THEIR
CUSTOMERS FROM COAL RESOURCES.
SWEEPING VETS ANOTHER
SIGNIFICANT ISSUE SPECIAL IN
LIGHT OF THE FACT THAT NO COLD
BILL WAS PASSED OVER A DECADE
AGO.
THE SECOND QUESTION RISEN BACK
FROM MATERIALS FOCUSED ON HOW
THE CHANGES IN IN A CHIU
PROCUREMENT CREATE CHALLENGES
AND OPPORTUNITIES.
IN OUR VIEW THERE ARE TWO KEY
CHALLENGES THAT WE'VE ALREADY
TALKED ABOUT SOME OF THEM TODAY.
THE FIRST WHICH RELATES TO THE
UNCERTAINTY OF LOAD FOR INVESTOR
OWNED UTILITIES.
AND THE SECOND IS ALLOCATION OF
COSTS TO THOSE.
NEW PROVIDERS OF SERVICE.
IN MAY OF LAST YEAR THE CPUC
ISSUED A STAFF WHITE PAPER ON
CUSTOMER IN RETAIL CHOICE WITH
EVOLVING REGULATORY FRAMEWORK.
IN THAT REPORT THEY NOTED 85% OF
RETAIL LOAD COULD BE SERVED BY
OTHER PROVIDERS THEN THE I USED
BY.
TWENTY TWENTY FIVE IN AUGUST OF
LAST YEAR THE CHAIRMAN OF CC IN
THE PRESIDENT OF THE P. UC
JOINTLY WROTE A LETTER TO THEM
PRO TEM DE LEóN.
WHERE THEY STATED THAT IT WAS
NOT UNREASONABLE TO ASSUME THAT
THE I. O. U.'S COULD LOSE 6290%
WITHIN THE NEXT EIGHT TO TEN
YEARS?
AND THEN FINALLY IN AUGUST OF
LAST YEAR THE SENATE ENERGY
COMMITTEE HELD AN INFORMATIONAL
HEARING.
WHERE THEY NOTED 80% OF THE LOAD
SO ONE OF THE PREVIOUS WITNESSES
TALKED ABOUT 80%?
THINK THAT'S PRETTY FAIR EIGHTY
EIGHTY FIVE THEM UP TO NINETY
FROM. THREE DIFFERENT REPORTS IN
THE LAST YEAR --
THIS UNCERTAINTY MAKES IT NEARLY
IMPOSSIBLE TO FORECAST POWER
NEEDS AND FUTURE AND MAKE
PROCUREMENT DECISIONS BASED THAT
ARE IN THE BEST INTEREST OF OUR
CUSTOMERS AND YOUR CONSTITUENTS.
AND ARE RELATIVELY SMALL SERVICE
TERRITORY OF SINGLE GOVERNMENTAL
JURISDICTION COULD DEPART AND
THAT WOULD BE 40% OF OUR LOAD
VIRTUALLY OVERNIGHT.
THE SECOND COMPLICATING FACTORS
ALLOCATION COSTS ASSOCIATED WITH
THE DEPARTING WITH WE'VE TALKED
ABOUT.
EXISTING LAW PROHIBITS SHIFTING
OF COSTS SERVED BY CCA UNBUNDLED
CUSTOMERS IN MY YOU.
BUT THAT IS NOT YET BEEN
ADDRESSED THE LAWS CLEAR MOST
RECENTLY THROUGH S. B..
THREE FIFTY WHICH STATES BUNDLE
CUSTOMERS STILL NOT EXPERIENCING
SORT OF RETAIL CUSTOMER
[inaudible]
PROVIDE.
SWITCHING PROVIDERS THAT WE
BELIEVE THIS ISSUE MUCH MUST BE
ADDRESSED IN THE VERY SHORT TERM.
A NOTHER ISSUE WE POINT OUT
EVERY YEAR LEGISLATURE CONSIDERS
A NUMBER OF SIGNIFICANT
PROCUREMENT MANDATES --
MANDATES ONLY EXACERBATE THE
SITUATION WE'D SUGGEST THAT
BEFORE ANY ADDITIONAL MANDATES
MOVE FORWARD.
BUT THE LEGISLATURE REQUIRE THE
P. YOU SEE TO TAKE ACTION ON
THESE ON THESE ISSUES --
WE ALSO KNOW THAT PROGRESS HAS
BEEN MADE IN RECENT YEARS ABOUT
EQUITABLE RULES GOVERNING ENERGY
PROCUREMENT THE OVERSIGHT AND
ACCOUNTABILITY.
OF PERFORMANCE STILL VARIES
GREATLY.
HISTORICALLY LEGISLATURE'S
RELIED ON VESTRON UTILITIES TO
ACHIEVE VARIOUS PUBLIC.
POLICY OBJECTIVES WHEN THERE'S A
B. THIRTY TWO OUR PS WHILE
EXEMPTING OTHER PROVIDERS FOR
MANY OF THE OTHER SMALLER
MANDATES WE THINK THAT SHOULD
CHANGE.
TALK EARLIER ABOUT THE CENTRAL
PROCUREMENT ENTITY.
WE ACTUALLY SUPPORT THE CENTRAL
PROCUREMENT ENTITY WE SUGGESTED
IN COMMENTS BEFORE THE PUBLIC
UTILITIES COMMISSION THAT THE I
SO MIGHT BE SUCH AN ENTITY.
THE COULD DO THAT.
A IN MAY OF THIS YEAR THE P. YOU
SEE ISSUED A DRAFT GREEN BOOK
THAT TALKED ABOUT THESE KINDS OF
ISSUES -- IN
A COVER LETTER TO THAT REPORT
PRESIDENT PICKER NOTED QUOTE IN
THE LAST DE REGULATION WE HAD A
PLAN HOWEVER FLAWED NOW AS WE
ARE DEREGULATING ELECTRIC
MARKETS TO DOZENS OF DIFFERENT
DECISIONS AND LEGISLATIVE
ACTIONS.
BUT WE DO NOT HAVE A PLAN.
BEFORE NOT CAREFUL WE CAN DRIFT
INTO ANOTHER CRISIS.
WE SUPPORT THOSE COMMENTS AND
THINK WE DO NEED A PLAN AND WE
NEED TO QUICKLY --
ALSO ONE THAT TO GET INTO MORE
THE CENTRAL PROCUREMENT AND CITY
IN OUR COMMENTS ON THE GREEN
BOOK AND THE TESTIMONY OF THE
NONVIOLENT --
WE SUGGEST WE COULD SUPPORT THAT.
IT CAN BE NXT THAT DEALS WITH
RELIABILITY PROCUREMENT AND ALSO
MANDATE PROCUREMENT BECAUSE OF
THE FRACTURED STATE OF
PROCUREMENT AT PRESENT TIME
[inaudible]
OF THEM.
FINALLY I WOULD NOTE ANOTHER
ISSUE THAT'S BEEN TALKED ABOUT
S. B. THREE FIFTY REQUIRED THE
AYE AYE USED TO DEVELOP
INTEGRATED RESOURCE PLANS WE
THINK THOSE PLANS SHOULD BE
GIVEN TIME TO WORK --
DOES A RELATIVELY NEW WERE
FILING UPDATES AUGUST FIRST.
AND WE THINK THOSE SHOULD BE
GIVEN TIME TO WORK AND THEY
SHOULD BE INTEGRATED WITH CAP
AND TRADE PROGRAM TO MAKE SURE
THAT WE CAN.
MEET THE GREENHOUSE GAS
REDUCTION GOALS.
AND THAT RESOURCES CAN BE
COMPARED TO THE MARKET --
AND WITH FEDERAL IN MY COMMENTS.
GOOD MORNING GOOD AFTERNOON MY
NAME IS RAY COKER ON THE SENIOR
ASSISTANT GENERAL MANAGER FOR
THE LOS ANGELES DEPARTMENT OF
WATER AND POWER.
I APPRECIATE THE OPPORTUNITY TO
COME TALK ABOUT --
LOS ANGELES AND SOME OF THE
EXCITING THINGS HAPPEN I THINK
YOU HAVE THE PRESENTATION IN
FRONT OF YOU IT ON PAGE SO THAT
TO I I'D LIKE TO TALK A LITTLE
BIT ABOUT DWP.
LARGEST PUBLICLY OWNED UTILITY
IN THE COUNTRY WE SERVE ONE
POINT FIVE MILLION CUSTOMER.
CUSTOMER METERS ARE ABOUT FOUR
MILLION ANGELENOS.
AND WE HAVE ABOUT FOURTEEN
THOUSAND MILES OF TRANSMISSION
WE ARE NOT IN THE CALIFORNIA
INDEPENDENT SYSTEM OPERATOR
BALANCING AUTHORITY WE ARE OWN
BALANCING AUTHORITY THAT ALSO
INCLUDE.
THE CITIES OF GLENDALE AND
BURBANK.
MOVING ON A SLIGHT THREE I WANT
TO TALK ABOUT SOME OF THE GREAT
RENEWABLE EFFORTS WE'VE MADE WE
HAVE RESOURCES WE HAVE ABOUT
THREE HUNDRED SEVENTY FIVE
MEGAWATTS OF A SMALL HYDRO AS
WELL AS GEOTHERMAL RESOURCES.
WE HAVE ARE VERY DIVERSE SUPPLY
REGIONS THROUGHOUT THE WESTERN
STATES.
WE ARE SUPPORT OF A GEOTHERMAL
BUT WE HAVE TO WE HAVE OF
SPECIFIC ISSUES.
WITH --
MANDATES IN SPECIFIC LOCATIONS
WHERE WE MAY NOT HAVE
TRANSMISSION TO BE ABLE TO BRING
IT HOME TO OUR SERVE OUR
CUSTOMERS.
MOVING ON TO SLIDE FOR WE ALSO
HAVE A SIGNIFICANT NUMBER OF
WHEN RESOURCES ABOUT A THOUSAND
MEGAWATTS LOCATED IN FIVE
WESTERN STATES.
MOVING ON THE SLY FIVE WE HAVE --
ABOUT FOURTEEN HUNDRED MEGAWATTS
OF SOLAR INCLUDING OVER THREE
HUNDRED MEG ABOUT ABOUT TWO
HUNDRED THIRTY MEGA WATTS WITH
IN THE LA BASIN.
AS WELL AS ON UTILITY SCALE
THINK IN CALIFORNIA AND NEVADA.
SLIDE SIX THREE SHOWS OUR
EFFORTS OVER THE LAST THREE
YEARS WE'VE HAD A 73% INCREASE
IN OUR RENEWABLE PORTFOLIOS --
THESE ARE PROJECTS THAT WE HAVE
LONG TERM COMMITMENTS ON AS WELL
AS MORE THAT ARE COMING ONLINE
IN THE FUTURE --
IT IN ADDITION ONE OF THE
INNOVATIVE THINGS HAPPENING AND
LOS ANGELES WE HAVE A FOR A
FIRST OF A KIND STUDY WE BELIEVE
FOR A LARGE.
UTILITY LOOKING AT A 100% WHAT
DOES IT TAKE TO GET TO A 100%
FOR LOS ANGELES WHAT TYPE OF
COMMITMENTS WHAT TYPE OF
INVESTMENTS.
IT SO TROUBLING BARRIERS ARE
THERE FOR US TO GET THERE IT IS
A ABOUT A TWO YEAR STUDY PROCESS
WERE ABOUT HALF WAY THERE IT'S
VERY STAKEHOLDER --
INVOLVED WE HAVE EDUCATIONAL
INSTITUTIONS WE HAVE THE
DEPARTMENT OF ENERGY INVOLVED WE
HAVE ENVIRONMENTAL GROUPS WE
HAVE CUT LARGE CUSTOMERS IT'S A
DIVERSE GROUP THE STAKEHOLDERS
THAT INVOLVED IN THIS PROCESS.
MOVING ON TO THE NEXT SLIDE WE
ALSO HAVE LARGE HYDRO WE HAVE IN
ADDITION TO OUR BUT FIVE HUNDRED
MEGAWATT ENTITLEMENT WHO FOR ONE
OF OUR CROWN JEWELS IS THE
TWELVE HUNDRED SIXTY FIVE
MEGAWATT CASTAIC --
LARGE HYDRO A PUMPED STORAGE THE
UTILITY A SUPPORTED ENERGY
STORAGE SINCE THE SEVENTIES.
THIS IF YOU LOOK AT THE PICTURE
IT HOUSE YOU CAN SEE THE
PIPELINES OR THE PENSTOCKS
COMING DOWN AND ESSENTIALLY.
ONE ENERGY IS ABUNDANT USE THAT
WE THAT ENERGY FROM THE LOWER
WATER RESERVOIR TO IT UPPER
RESERVE MORE.
AND ONE ENERGIES EXPENSIVE OR
WHEN YOU NEED IT FOR EVENING
RAMPS YOU JUST GRAVITY FEED THAT
THROUGH THE PIPES TO RUN A
GENERATOR AND PUMP TURBINE TO
CREATE ENERGY.
MOVING ON TO THE NEXT SLIDE WE
ALSO HAVE UTILITY SCALE BATTERY
STORAGE WE JUST COMMISSION THIS
MONTH TWENTY MEGAWATTS OF ENERGY
STORAGE.
IN OUR RENEWABLE CORRIDOR THAT
WHERE WE HAVE A SIGNIFICANT
AMOUNT OF RENEWABLE RESOURCES.
MOVING ON TO SLIDE NINE WE ALSO
HAVE BEHIND THE METER AND ONE OF
THE THINGS I WANT TO HIGHLIGHT
WE HAD FIRE STATION TWENTY EIGHT
RIGHT IN THE ONLY SO CANYON AREA
WHERE.
THEY INSTALL WE INSTALLED A
BATTERY SYSTEM AS WELL AS SOLAR
ON THE ROOFS AND TWO WEEKS AFTER
COMMISSIONING THERE WAS AN
OUTAGE.
THEY HAVE A DIESEL GENERATOR BUT
BECAUSE OF THE SYSTEM THEY WERE
ABLE TO RUN THROUGH THAT FOUR
HOUR OUTAGE WITHOUT FIRING UP
THERE DIESEL GENERATOR AND
WITHOUT LOSING ANY CRITICAL
LOADS.
MOVING ON TO SLIDE HIM ONE OF
THE OTHER INNOVATIVE PROCESS --
STORAGE PROJECTS WE'RE LOOKING
AT IS COMPRESSED AIR THERE IS --
ONLY TO PROJECTS IN THE WORLD
THAT WE'RE AWARE OF BECAUSE OF
THE UNIQUE TO YOU SHE'LL FOR THE
PHYSICAL CHARACTERISTICS OF THE
GROUND UNDERNEATH.
SO ESSENTIALLY ON THIS WOULD BE
A UTILITY SCALE PROJECT THOUGHT
YOU WOULD WHEN THERE'S ABUNDANT
ENERGY YOUR OVERSUPPLY YOU USE --
YOU COMPRESS THE AIR INTO THE
SALT CAVERNS UNDERGROUND.
AND WHEN YOU NEED THE ENERGY YOU
RUN IT THROUGH AN EXPANDER TO
PULL THE AIR OUT AND RUN A
GENERATOR TO CREATE. TO IT TO
USE IT WHEN YOU NEED IT --
THIS LAW A SMALL HUNDRED SIXTY
MEGAWATT PILOT PROGRAM.
PROJECT FOR PROOF OF CONCEPT BUT
ON THIS LOCATION COULD BE
FIFTEEN HUNTER TWO THOUSAND
MEGAWATTS.
NAM CAPABILITY ONE OF OUR
CHALLENGES --
AYE AYE I CALL THIS LIKE A TALE
OF TWO SEASONS ONE SLIDE ELEVEN
ON THE LEFT HAND SIDE IT SHOWS.
OF SPRING DAY IN LA WHERE WE HAD
FAIRLY LOW LOADS TWENTY SIX
HUNDRED MEG BOMB MEGAWATT PEAK.
WE SERVED UP 74% OF OUR NEEDS
THAT DAY WITH RENEWABLE ENERGY.
CONTRAST THAT WITH OF SLIGHT ON
THE RIGHT WHERE WE HAD OUR PEAK
DAY LAST SUMMER WE BEAT OUR
PRIVATE PRE PRIOR PEAK BY OVER A
HUNDRED MEGAWATTS WE HAD SIXTY
FIVE HUNDRED MEGAWATT PEAK.
ONLY 15% OF THE ENERGY SUPPLIED
THAT DAY WAS WITH RENEWABLES SO
FOR THAT DAY TO SCALE UP 21100%
WOULD REQUIRE A FIVE FOLD
INCREASE IN THE AMOUNT OF
RENEWABLES I JUST WENT THROUGH
OUR PROJECT LISTING. TO GET TO A
100% BUT WHAT THAT DOES TO THE
SPRING DAY.
THAT OVER PROCUREMENT IS
SIGNIFICANT TO HARM A LARGE
AMOUNT OF OUR CUSTOMERS.
ONCE LIKE TWELVE WE HAD A NUMBER
OF PEOPLE MEANT MENTIONED THE
DOT CURVE TODAY SO THIS IS
ACTUALLY LA DWP IS LIEU DOCKER
MON MARCH TWENTY FIFTH OF THIS
YEAR.
AND YOU CAN SEE YOU SEE VERY
WELL THAT GREEN DOC.
HE ALSO SEE THE HUMP BACK ON THE
DOCK I MENTIONED THE CASTAIC
POWER PROG POP PUNK TIGER
PROJECT SO THAT'S WHEN WE HAD
TOO MUCH ENERGY.
AND WE USE THAT TO PUMP THROUGH
THE GENERATOR AND THE PUMP THE
WATER UP TILL BUT YOU CAN ALSO
SEE THE BLUE AREAS WE ACTUALLY
USE THE GENERATORS --
TO TO HELP WITH THE DOCKER FOR
THE EVENING.
ON SLIDE THIRTEEN WE HAVE WHAT
OUR TARGETS ARE IN OUR MOST
RECENT STRATEGIC LONG TERM
RESOURCE PLAN WHAT ARE OUR
RENEWABLE PORTFOLIO STANDARD
GOALS FAR AS WELL AS LAST
TUESDAY.
OUR BOARD APPROVED A MORE
AGGRESSIVE PLAN AND A 5% TO EACH
THE TARGETS OF THE SCENARIO IN
OUR NEXT.
LONG TERM STRATEGIC LONG TERM
RESOURCE PLAN THAT WILL KICK OFF.
ON NEXT YEAR MOVING ANDI'S
FOURTEEN ONE OF THE BIGGEST
BARRIERS WE HAVE TO HIGH LEVELS
OF RENEWABLE IS TRANSMISSION.
THAT FIRST SLIDE WE TALKED ABOUT
THE TRANSMISSION THE LA HOUSE
OVER THIRTY FIVE HUNDRED MECHAS
MILES OF TRANSMISSION.
WE HAVE TWO MAIN ARTERIES TO
BRING IN.
RESOURCES --
SO ARE WE LOOK TO LOCATE
RENEWABLES IN THOSE SPECIFIC
AREAS BUT AS IMPORTANT PERHAPS
MORE IMPORTANT TO BRING IT TO LA
WE HAVE A HUNDRED YEAR OLD
SYSTEM ON A GRID THAT WAS NOT.
BUILT FOR TODAY'S ADVANCED
TECHNOLOGY SO THERE'S A LOT OF
DOWNSTREAM UPGRADES THAT ALSO
NEED TO BE --
IMPLEMENTED BEFORE WE CAN REALLY
REACH HIGH LEVELS OF RENEWABLE
SO INCREASING OR IMPROVING THE
EFFICIENCY OF THE REGULATORY.
ARM PROCESSES TO STREAMLINE
TRANSMISSION WOULD BE EXTREMELY
HELPFUL.
ON SLIDE FIFTEEN THESE OR SOME
OF THE RESOURCES WE LOOKED CARE
WHEN WE LOOK AT THROUGH THE
WESTERN STATES AND WHERE WE HAVE
TRANSMISSION OR WHAT'S.
WHAT'S POSSIBLE WHEN THE AND
THERE IS AN ABUNDANT SUPPLY.
OF DEVELOPER CAPABILITY AND
PROJECTS THAT ARE AVAILABLE --
TO AT LEAST FOR LA'S PERSPECTIVE
ON IN THESE SPECIFIC AREAS SO WE
DON'T SEE A BARRIER OTHER THAN
TRANSMISSION OF BEING ABLE TO
INCREASE HIGHER LEVELS.
ON SLIDE ELEVEN ONE OF THE AREAS
THAT WE SEE IMPROVING ALL
CALIFORNIA AS WELL AS DWP IS THE
ENERGY IMBALANCE MARKET THIS
MARKET --
PROVIDES EXCEPTIONAL BENEFITS
AND IN TERMS OF D. CARBON ICING
THE GRID --
I AM OFFER.
REDUCE THE INTEGRATION COSTS
REDUCE THE RATE CURTAIL MAN'S
IT'S MORE EFFICIENT DISPATCH OF
RESOURCES ON WIRED WIDER
FOOTPRINT REDUCING GREENHOUSE
GASES INCREASING.
FLEXIBILITY BUT IMPORTANTLY IT'S
A VOLUNTARY MARKET FOR
PARTICIPATION FOR OTHER IT UP
ENTITIES NOT IN A CRISIS.
MOVING ON TO THE NEXT SLIDE THIS
IS ONE OF THE ANOTHER UNIQUE
THING THAT IS HAPPENING IN LA.
WE HAVE LIKE I MENTIONED FOUR
MILLION ANGELENOS. 40% OF THOSE
ARE IN DISADVANTAGED COMMIT THE
COMMUNITIES OR ENVIRONMENTAL
JUSTICE COMMUNITIES SO THIS IS
THE WAY THIS IS CALLED OUR
EQUITY METRICS DATA INITIATIVE
MINUTES AWAY FOR PROGRAM
MANAGERS.
AND POLICY MAKERS TO ASSESS HOW
DWP IS MEETING THE CONSTITUENT
NEEDS OF ENTIRE SURFACE
TERRITORY SO YOU CAN PUT THIS ON
IT.
INCOME SCREEN YOU CAN PUT IT ON
ZIP CODE SCREEN.
IN THIS PARTICULAR ONE WE LOOKED
AT OUR SOLAR INCENTIVE PROGRAM
SO IF IT'S THE SOLAR INTENSITY
IF YOU LOOK AT THE AMOUNT OF
KILOWATTS.
IN A SPECIFIC ZIP CODE DIVIDED
BY THE NUMBER REST FOR ALL
RESIDENTS IT'LL TELL YOU HOW
MUCH SOLAR IS --
PENETRATED THAT AREA YOU CAN SEE
ON THE WEST SIDE THERE'S A LOT
OF SOLAR BUT RIGHT IN THE MIDDLE
WHERE ARE EACH DAY AND
DISADVANTAGED COMMUNITIES ARE.
VERY TOUGH TO REACH
CONSTITUENCIES A CONSTITUENCY SO
IF SOMETHING WERE --
FOCUSED ON BECAUSE QUITE FRANKLY
ANYBODY IN THIS ROOM TODAY.
POLICIES WERE MAKING FROM AN
ENERGY PERSPECTIVE THEY'RE NOT
GOING TO IMPACT WHETHER OR NOT
WE CAN PAY OUR BILLS WHETHER OR
NOT WE GO OUT TO DINNER.
NEXTMONTH BUT THAT SINGLE
MOTHER IN BOYLE HEIGHTS THAT'S
WORKING THREE JOBS TO JUST MAKE
SURE SHE DOESN'T EXPAND THE
HOMELESS POPULATION.
DECISIONS WE MAKE TODAY ARE VERY
IMPACTFUL SO TO BE ABLE TO DO.
ARE PLANNING.
WITH STABILITY BUT FLEXIBILITY
WHERE WE KNOW WHAT THE GOAL IS
AND LETTING US GET THERE IN THE
MOST.
EFFECTIVE COST EFFECTIVE WAY FOR
THESE CONSTITUENTS IT IS
EXTREMELY IMPORTANT.
FINALLY WHERE ARE WE FROM A
GREENHOUSE GAS PERSPECTIVE.
WHEN WE LOOK AT --
CALIFORNIA'S GOAL THE 40% BE
BELOW TWENTY THIRTY WE HIT THAT
FOURTEEN YEARS EARLY WE HIT THAT
LAST YEAR.
WHEN WE LOOK AT THE NEXT GOLD
80% BELOW?
TWENTY FIFTY YOU CAN SEE THE
BOTTOM LINE THE BROWN DOTTED
LINE THAT'S THE GOAL AND YOU CAN
SEE BY.
WE ANTICIPATE HITTING THAT GOAL
AT LEAST TWENTY YEARS EARLIER
THAN WHAT WE'RE REQUIRED TO WE
THINK WE WILL HIT THAT WE'RE IN
THE PROCESS NOW REDUCING MESS.
SO WE THINK WE WILL HIT THAT BY.
TWENTY THIRTY I HAVE A COUPLE
MORE SLIDES A TALK ABOUT SOME OF
THE ENERGY EFFICIENCY AND SO ARE
PROGRAMS THAT WE'RE DOING TO
SPECIFICALLY TARGET THOSE
DISADVANTAGED COMMUNITIES.
AND EQUALLY APPLY OUR BENEFITS
THROUGHOUT OUR COMMUNITY
STAKEHOLDERS AND WITHOUT IP IF
ON IT.
HERE TO ANSWER ANY QUESTIONS YOU
HAVE.
GOOD AFTERNOON AND THANK YOU FOR
INVITING ME TO SPEAK HERE TODAY
MY NAME'S MELISSA BRANTON I'M
WITH EAST BAY COMMUNITY ENERGY
WHICH IS A COMMUNITY CHOICE
AGGREGATOR OR CC A SO I WANTED
TO LEAVE YOU WITH ONE KEY
TAKEAWAY UP FRONT FOR MY
PRESENTATION TODAY AND THAT IS
THAT.
CCA'S ARE A TOOL IN THE STATE'S
TOOLKIT AS IT CONTINUES DOWN THE
PATH TO D. CARBONIZATION AND IN
FACT THEY GO A STEP FURTHER AND
SAY CCA'S ARE AN ESSENTIAL PART
OF THIS TRANSITION TO A CARBON
FREE STATE.
AND WE'RE COMMITTED TO WORKING
WITH BOTH OUR LOCAL GOVERNMENTS
AS WELL AS WITH THE STATE TO
ENSURE THAT WE CAN MEET OUR
CLIMATE GOALS TOGETHER.
SO AB THIRTY TWO SPECIFICALLY
REQUIRED THE A A RP TO IDENTIFY
OPPORTUNITIES FOR VOLUNTARY
ACTION TO LOWER GREENHOUSE GAS
EMISSIONS.
SUBSEQUENT ARB SCOPING PLANS
HAVE CONSISTENTLY IDENTIFIED
VOLUNTARY ACTION BY LOCAL
GOVERNMENTS AND COMMUNITIES TO
DE CARBONIZED AS ESSENTIAL TO
OUR CHURCH ACHIEVING OUR
COLLECTIVE GOALS.
AND SO LOCAL GOVERNMENTS HAVE
FORMED CCA'SAS THE WAY TO
COMPLY WITH THEIR AGGRESSIVE
CLIMATE ACTION PLANS CCA'S HAVE
REALLY BEEN THE VEHICLE THROUGH
WHICH OUR LOCAL CITIES AND
COUNTIES CAN ACHIEVE THOSE
GREENHOUSE GAS REDUCTIONS.
AND THEY'VE DONE THIS THROUGH A
FEW DIFFERENT MECHANISMS ONE IS
DEFAULT ENERGY SUPPLY OFFERINGS
THAT HAVE HIGHER RENEWABLES.
AND HIGHER CHICHI FREE ENERGY
CONTENT WELL AHEAD OF STATE
MANDATES --
A SECOND IS DEVELOPMENT OF
TRANSPORTATION ELECTRIFICATION
PROGRAMS TO INCREASE ADOPTION OF
E. VIS.
THIRD DEVELOPMENT OF BUILDING
ELECTRIFICATION PROGRAMS TO GET
DE CARBONIZED THE BUILT
ENVIRONMENT.
AND FOURTH DEVELOPMENT OF ENERGY
EFFICIENCY PROGRAMS THAT FILL
GAPS IN BROADER UTILITY ENERGY
EFFICIENCY PROGRAM OFFERINGS.
I THINK IT'S IMPORTANT TO
UNDERSTAND HOW IS HE CA IS
GOVERNED IN THE CONTEXT OF
MEASURING SUCCESSES IN RESULTS
CCA GOVERNANCE IS SIMILAR TO
THAT OF A PUBLIC OWN UTILITY.
BOARDS OF A LOCAL ELECTED
OFFICIALS GOVERN OTHER CRITICAL
INFRASTRUCTURE SUCH AS BRIDGES
WATER SYSTEMS PORTS
TRANSPORTATION SYSTEMS AND
THEY'RE WELL EQUIPPED TO GOVERN
THE SUPPLY OF ELECTRICITY AS
WELL.
WE ARE PUBLIC AGENCIES WITH OPEN
TRANSPARENT DECISION MAKING
CONDUCTED AND PUBLIC MEETINGS
AND SUBJECT TO PUBLIC
PARTICIPATION.
SO A LITTLE BIT ABOUT WHO EAST
BAY COMMUNITY ENERGY AS WE ARE A
JOINT POWERS AUTHORITY SET UP TO
SUPPLY ELECTRICITY TO ALAMEDA
COUNTY AND ELEVEN OF ITS MEMBER
CITIES.
AND AT FULL LAUNCH WILL HAVE
ABOUT SIX HUNDRED THOUSAND
CUSTOMERS.
AS OF JUNE FIRST WE BEGAN
SERVING MUNICIPAL AND COMMERCIAL
CUSTOMERS WHICH IS ABOUT HALF OF
OUR LOAD.
WILL BEGIN SERVING RESIDENTIAL
CUSTOMERS AS OF NOVEMBER FIRST
AND AT FULL LAUNCH WILL BE THE
LARGEST CCA AND P. GENIES
SERVICE TERRITORY.
OUT THE DOOR WE'VE OFFERED
CUSTOMERS A CHOICE OF TWO
PRODUCTS ONE IS AN 85% CARBON
FREE PRODUCT WHICH IS ALSO 38%
RENEWABLE ENERGY.
AT A ONE POINT 5% DISCOUNT TO
THE INCUMBENT UTILITIES PRICES
THE SECOND IS A 100% CARBON FREE
PRODUCT 40% RENEWABLE AND AT THE
SAME PRICE POINT AS THE
INCUMBENT UTILITY.
WERE ALSO DEVELOPING A 100%
RENEWABLE PRODUCT AT A PRICE
PREMIUM FOR OUR CUSTOMERS BY THE
RESIDENTIAL LAUNCH.
I WANTED TO ADDRESS ONE CLAIM
THAT MISTER FRIEDMAN SAID IN THE
LAST PANEL WHICH WAS THAT THE
CLAIMS OF CARBON FREE OR CARBON
REDUCE PRODUCTS ARE UNVERIFIABLE.
WE WOULD SAY ACTUALLY THEY ARE
VERIFIABLE AND WE'RE LOOKING TO
USE A WELL RESPECTED AND
REPUTABLE THIRD PARTY VERIFIER
SUCH AS THE CLIMATE REGISTRY TO
VERIFY OUR GREENHOUSE GAS CLAIMS.
AND THE UTILITIES TO THE SAME --
I ALSO WANT TO TALK A LITTLE BIT
THROUGH ARE MULTIFACETED EFFORTS
AT EAST BAY COMMUNITY ENERGY
TOWARDS DE CARBONIZATION.
ALTHOUGH WE ONLY LAUNCHED IN
JUNE WE'VE ALREADY LAUNCHED A
DEMAND RESPONSE PILOT WHICH
REWARDS ARE LARGE COMMERCIAL
CUSTOMERS FOR SHIFTING THEIR
USAGE AWAY FROM PEAK TIMES.
AND WE EXPECT TO EXPAND THESE
TYPES A CUSTOMER DEMAND RESPONSE
PROGRAMS OVER TIME AS PART OF
THE SOLUTION TO DE CARBONIZATION
INVOLVES SHIFTING CUSTOMER USAGE
IN ORDER TO HELP ADDRESS TUCKER
CONCERNS.
WERE ALSO MAKING USE OF SMART
METER DATA AND WE'RE ANALYZING
WAYS TO BE ABLE TO CREATE
PROGRAMS USING THE GRANULARITY
OF THE HOURLY DATA THAT WE HAVE
FROM OUR CUSTOMERS.
OUR ENERGY PROCUREMENT GOALS TO
REMAIN AT LEAST 5% ABOVE THE
STATE'S OUR PS REQUIREMENT.
AND WE EXPECT THAT WE'LL BE ABLE
TO EXCEED THIS GOAL OVER TIME TO
DEVELOPING MORE AGGRESSIVE
RENEWABLE ANDY CARBONIZATION
GOALS EXCEEDING STATE TARGETS.
AND IN THIS VEIN WE RECENTLY
LAUNCHED A SOLICITATION FOR UP
TO ONE MILLION MEGAWATT HOURS
PER YEAR OF LONG TERM RENEWABLE
ENERGY CITED IN CALIFORNIA.
I ALSO WANTED TO MENTION THAT WE
ALONG WITH PENINSULA CLEAN
ENERGY WERE JUST AWARDED A GRANT
FROM OUR LOCAL AIR DISTRICT. TO
ENHANCE LOCAL RESILIENCY BY
INSTALLING SOLAR PLUS STORAGE ON
CRITICAL FACILITIES SUCH AS
HOSPITALS AND FIRE STATIONS.
THIS IS A GREAT EXAMPLE OF BOTH
DEEP HARMONIZING AND PROVIDING
OTHER LOCAL RESILIENCY BENEFIT.
AND AS MENTIONED --
BY -- OUR
AIM TO SERIZAWA AYE WE PARTNERED
WITH THE CITY OF OAKLAND TO HELP
THEM SOLVE THEIR LOCAL AIR
QUALITY PROBLEMS BY WORKING WITH
THE LOCAL DISTRIBUTION UTILITY
PGA ME.
ON A JOINT SOLICITATION IN THE
OAKLAND AREA TO ME A LOCAL GRADE
RELIABILITY NEED.
THIS IS A REAL FIRST OF ITS KIND
PARTNERSHIP.
CA AND WE WILL BE BUYING CLEAN
ENERGY PRODUCTS FROM NEW
PROJECTS THROUGH TEN PLUS YEAR
PPS.
THAT WILL CREATE --
CONTRIBUTE TO SEVERAL LOCAL
BENEFITS CREATION OF NEW CLEAN
ENERGY THAT DOES NOT HAVE
HARMFUL AIR POLLUTANTS. TO HELP
AIR QUALITY IN THE DISADVANTAGED
COMMUNITIES NEARBY --
CREATION OF LOCAL JOBS AND LOCAL
INVESTMENTS IN THE COMMUNITY AND
WORKFORCE DEVELOPMENT.
AND ENHANCED RELIABILITY AND THE
OAKLAND AREA WITHOUT THAT
DISRUPTED NEED FOR NEW
TRANSMISSION LINES OR ADDITIONAL
FOSSIL GENERATION.
AND WE HOPE THAT THIS WILL BE A
PROVED TO BE A REPLICABLE MODEL
THAT WE CAN TAKE TO OTHER AREAS
THROUGHOUT THE STATE --
WE'VE ALSO UNDERTAKEN A YEAR
LONG PLANNING EFFORT TO DEVELOP
A FIRST OF ITS KIND LOCAL
DEVELOPMENT BUSINESS PLAN AND
IT'S A FIVE YEAR ROAD MAP.
THAT ALLOWS US --
TO FIND EARLY ACTION INITIATIVES
IN THE EARLY STAGES TO
ADEQUATELY BENEFIT ALL OF OUR
CUSTOMER CLASSES LOCALLY.
CECE'S GENERALLY AND TWO
THOUSAND EIGHTEEN ALONE ARE ON
TRACK FOR MORE THAN A THOUSAND
MEGAWATTS OF NEW LONG TERM
PROCUREMENT EIGHT ACTIVITIES
STATEWIDE.
CCA'S ARE RESPONDING TO THE
SOLAR INVESTMENT TAX CREDIT CLIP.
WE'RE COGNIZANT OF THE CURRENT
RENEWABLES AND THE NEED FOR NEW
GENERATION AND WE ARE INVESTING.
CCA'S HAVE SPENT TWO POINT FIVE
BILLION.
IN CONSTRUCTION OF CALIFORNIA
RENEWABLES AND THE MAJORITY OF
SPENDING ON THE PROJECTS ARE
WITH PROJECT LABOR AGREEMENTS.
AND ALL OF THE APPROXIMATELY
ELEVEN THIRTY SIX MEGAWATTS OF
IN STATE RENEWABLE PROJECTS
CONTRACTED APPROXIMATELY 89% ARE
SUPPORTED BY LONG TERM CONTRACTS
MORE THAN TEN YEARS.
SO CONTRARY TO CLAIMS THAT MAY
HAVE BEEN MADE EARLIER CCA'S ARE
INVESTING.
IN CALIFORNIA.
IN LONG TERM CONTRACTS TO CREATE
NEW RENEWABLE GENERATION.
IT'S HISTORICALLY TAKEN ABOUT
THREE TO FOUR YEARS FOR AN
OPERATING CCA TO CREATE A
DIVERSE AND LONG TERM PORTFOLIO.
BUT THIS TIME FRAME IS
ACCELERATING.
AND WE'RE IN A TIME OF
TRANSITION WHERE THERE'S AN
UNPRECEDENTED NUMBER OF NEW
CCA'S THAT HAVE RECENTLY
LAUNCHED DURING THE PROCESS OF
FORMING.
IT'S A TREMENDOUS OPPORTUNITY
FOR THE FUTURE IN TERMS OF D.
CARBONIZATION.
WE'RE SEEKING THIS PARTNER WAS
STATE AGENCIES AND LOCAL
GOVERNMENTS AND PROMOTING THE
TRANSITION TO BUILDING
ELECTRIFICATION WERE WORKING
WITH OUR OWN LOCAL
TRANSPORTATION PLANNING
DEPARTMENTS ON TRANSPORTATION
ELECTRIFICATION.
AND WE'VE REALLY BECOME AN
ENERGY HUB FOR POLICY WE ARE THE
EXPERTS THAT CAN BRIDGE BETWEEN
OUR LOCALITIES AND THEIR LOCAL
INITIATIVES IN FUNDING.
AND THE STATE AGENCIES AS THEY
SEEK TO IMPLEMENT STATE CLIMATE
GOALS WE'RE ALSO LOOKING AT RE
DESIGNED AS A TOOL THAT CAN HELP
SHIFT CUSTOMER LOAD AND REDUCE
GREENHOUSE GAS EMISSIONS.
I WANTED TO POINT OUT THAT SEE
SEIZE ARE NIMBLE AND WE CAN MOVE
FAST TO RESPOND AND PUSH THE
ENVELOPE ON D. CARBONIZATION
EFFORTS.
THROUGH NEW PILOTS NEW
TECHNOLOGIES SO THAT WE CAN
BRING PROGRAMS TO SCALE WE DON'T
HAVE TO WAIT FOR A LONG AND
COMPLEX REGULATORY PROCESS TO
PLAY OUT BEFORE WE CAN BEGIN TO
ACT IN THE INTERESTS OF OUR
COMMUNITIES AND LOCAL
GOVERNMENTS.
AND THIS IS PRIMARILY BECAUSE AS
GOVERNMENT AGENCIES WE ARE
PROFIT DRIVEN ARE CONFLICTED
BETWEEN CUSTOMER AND SHAREHOLDER
INTERESTS.
WE CAN IDENTIFY THE NEED WITH
OUR LOCAL JURISDICTIONS AND
IMMEDIATELY CRAFT A SOLUTION.
AT THE SAME TIME ARE PARTNERING
WITH STATE AGENCIES SUCH AS THE
CPUC TO ENSURE THAT THE STATE'S
ON TRACK TO MEET ITS CARBON
GOALS. TO THIS AND EACH CCA'S
DEVELOPING THIS INTEGRATED
RESOURCE PLAN THAT YOU'VE BEEN
HEARING SO MUCH ABOUT BY AUGUST
FIRST.
AND THE DEVELOPMENT OF THESE
PLANS PROVIDES AN OPPORTUNITY
FOR EACH CCA TO CONSIDER AND
DISCUSS WITH THEIR BOARDS AND
COMMUNITIES THE BEST PROCUREMENT
STRATEGIES TO ADOPT GOING
FORWARD.
THE CPC WILL ENSURE THE
COLLECTIVE ACTION IS TAKING THE
STATE WHERE IT NEEDS TO GO.
WE'RE PROUD TO BE PART OF THE
SOLUTION AND WE EXPECT TO BE
HELD ACCOUNTABLE TO OUR EFFORTS
BY OUR COMMUNITIES BY OUR STATE
AGENCIES AND BY YOU.
SO WE LOOK FORWARD TO CONTINUING
THE CHALLENGES AND OUR WORK AND
THANK YOU FOR YOUR TIME.
THANK YOU VERY MUCH TO ALL THREE
OF YOU [inaudible]
AS CHAIR [inaudible]
QUESTION.
THANK YOU MISTER CHAIR --
APOLOGIES FOR BEING LATE AND IS
STUCK ON THE SENATE FLOOR SOME
SORRY FOR MISSING.
MOST ABILITY W. PEAS COMMENTS IS
WAS SDG ANY --
FIRST BEFORE I I QUESTION IF YOU
FOR SOME OF THEM YUNIS AND I
USED TO WORK HERE BECAUSE I WANT
TO GET A SENSE OF THERE'S ANYONE
ELSE IN THE ROOM WITH A
DIFFERENT PERSPECTIVE BEFORE I
DO THAT WHY I GOT YOU ALL HERE.
WANNA GET YOUR TAKE ON SORT OF
DE ARE PLANNING WHAT WHAT ARE
YOU ALL DOING PROACTIVELY ON
DISTRIBUTED ENERGY RESOURCES I
HEARD A LOT ABOUT PROCUREMENT
BUT NOT.
MUCH ON THAT FRONT SO JUST WANT
TO GET A SENSE HOW YOUR ARM --
EMBRACING THAT OR NOT --
CORNER CASE SO I THINK COMBO
ROOFTOP AND SORT OF STORAGE
INEFFICIENCY STARTING TO GET
ANALYZE AND AS A COST SAVING
MEASURE BUT I WANT TO GET A
SENSE FROM YOU ALL PRO ACTIVELY
WHAT WHAT YOU'RE.
VARIOUS UTILITIES OR NOT NOT
UTILITY UTILITIES ARE DOING.
ALSO FOR LADWP WE HAVE THIS --
DISTRIBUTED ENERGY RESOURCE
POTENTIAL STUDY THAT WE ARE
UNDERTAKING AND LOOKING UP TO
WAR.
IN IN OUR DENSELY POPULATED
AREAS --
WHAT IS THE POTENTIAL FOR DE ARE
PHAM DEPLOYMENT?
WHAT'S THE TIMING ON I WOULD
HAVE TO GET BACK TO YOU ON THAT
I'M NOT SURE --
HOW FAR THE STUDY IS IN THE
PROCESS AND BUT IT WOULD BE
INCORPORATED IN OUR JOBS
STRATEGIC LONG TERM RESOURCE
PLAN?
OKAY SO IT'S PART OF THE
STRATEGIC LONG TERM RESOURCE
PLAN WHICH IS ALSO WHERE YOU'RE
LARGER UTILITY SCALE
PROCUREMENTS ARE CRUEL AND AS
WELL AS LOCAL.
RAYCOM YES GOT IT OKAY
[inaudible]
OTHERS.
SURE PAPAGO --
SO OF JUST KIND OF GO DOWN THE
LIST OF THE D. E. R.'S ENERGY
EFFICIENCY --
PER OUR LOCAL BUSINESS OUR LOCAL
DEVELOPMENT BUSINESS PLAN WERE
PARTNERING WITH EXISTING E.
PROVIDERS IN THE LOCAL AREA TO
PROMOTE AND ENHANCE E..
MANY CCA'S I BEGUN --
TO LOOK AT OPPORTUNITIES TO RUN
THEIR OWN E. PROGRAMS I THINK IN
OUR EARLY STAGE WE SEE MORE
OPPORTUNITY IN HELPING TO
EDUCATE OUR COMMUNITY AND MAKE
USE OF EXISTING E. PROVIDERS.
BUT IT'S SOMETHING THAT WILL
CONTINUE TO LOOK AT OVER TIME --
STORAGE --
AS I MENTIONED WITH THE OAKLAND
CLEAN ENERGY INITIATIVE WE'RE
LOOKING FOR OPPORTUNITIES TO
PARTNER TO INVEST IN STORAGE --
WITH RESPECT TO DEMAND RESPONSE
WE HAVE A PILOT OUT RIGHT NOW
AND WE'RE GOING TO SEE WHAT THE
RESULTS OF THAT PILOT ARE AND WE
CONTINUED WE EXPECT TO CONTINUE
TO GROW OUR DEMAND RESPONSE --
PROGRAMS DISTRIBUTED GENERATION
WE ARE ACTUALLY OFFERING OUR NON
CUSTOMERS WHO ARE --
THE MOST DISADVANTAGE SO EITHER
LOW INCOME OR MEDICAL THEY SIGN
AN ADDER TO THEIR NAME RATE TO
PROVIDE AN ADDITIONAL INCENTIVE
FOR THEM TO GO NAM.
AND WILL AGAIN --
BE LOOKING FOR OTHER STRATEGIC
PLACES IN OUR COMMUNITY TO PUT
SOLAR OR EVEN BETTER SOLAR PLUS
STORAGE.
AND THEN WITH RESPECT TO
TRANSPORTATION ELECTRIFICATION
IT'S AN AREA THAT A LOT OF CCA'S
HAPPEN ON ACTIVE PARTICIPANTS IN
DESIGNING PROGRAMS WITH THEIR
TRANSPORTATION --
OFFICES FOR THEIR COMMUNITY.
AGAIN EARLY STAGE FOR US BUT
IT'S OUT.
JUST IN GENERAL TERMS FOR US WE
HAVE -- FILE
PLANTS BE YOU SEE ON ALL OF
THESE DIFFERENT ASPECTS STORAGE
HECTIC WITH FILED MIDDLE OF LAST
MONTH -- WE
HAVE NAM PROCEEDINGS THAT HAVE
BEEN GOING ON I THINK WE WERE
THE FIRST AYE YOU TO SURPASS THE
THE NAM NUMBERS WE DO HAVE
CONTINUING.
CONCERNS ABOUT COST SHIFT SO SHE
WITH NAM THAT WOULD LIKE TO SEE
ADDRESSED.
AND THEN FINALLY ANY OF THE
WE'VE BEEN VERY AGGRESSIVE AND
WE'RE LOOKING AT NEW
OPPORTUNITIES NOW FOR CHARGING
STATIONS.
TO FALL IN LINE WITH SOME OF THE
DEBATES ARE GOING ON HERE --
FOR UBER AND LEFT WHERE WE CAN
PLACE THOSE ON CROSS TOWN
FREEWAYS WE'VE LOOKED AT EXIT
DATA THROUGH CALTRANS TO SEE
WHO'S HOW MANY CARS ARE EXAMPLE
VARIOUS EXCEPT WITHIN OUR SYSTEM.
AND LOOKING TO DEPLOY AGAIN WE
HAVE FOLLOWS THE PUBLIC
UTILITIES COMMISSION --
THOSE ARE NOT WITHOUT
CONTROVERSY FROM SOME OF OUR
COMPETITORS BUT WE'RE COMMITTED
TO THE GOVERNOR'S GOALS OF
GETTING ELECTRIC VEHICLES ON THE
ROAD.
AND WILL CONTINUE TO PUSH THAT
THAT ISSUE WITH THE WITH THE
COMMISSION WOULD.
ASK FOR YOUR HELP TO IN GETTING
THOSE THINGS THROUGH
[inaudible]
VERY GOOD --
IF YOU INDULGE ME ONE OTHER LINE
OF QUESTIONING IS ONE TO RAISE
SO -- WHILE
YOU HAVE.
THESE FOLKS UP HERE.
DID YOU ALREADY TALK ABOUT GHG
EMISSIONS TRACKING IN THE WEST
AND WORK AS WELL AS SYSTEM POWER
IN SORT OF WHAT THINGS ARE
LOOKING LIKE OUR RIGHTS IF YOU
GUYS READY TOUCH THAT.
IS INCLUDING WRECKED TRACKING IN
THE WEST DO WE GET INTO THAT
ISSUE A LITTLE BIT --
MAYBE ORDER.
MAYBE NOT I'M I'M SAYING SPEND
MAYBE A NOT JUST A CURIOUS TO
HEAR HOW HOW HOW WERE.
WERE DOING THAT TRACKING PROCESS.
AT THIS POINT UNCLEAR TO ME WE
DON'T HAVE ANY REXALL WORSHIP.
FOR PURE RENEWABLE SO WE'VE NOT
BEEN AUTHORIZED TO USE IN IRAQ'S
[inaudible]
OKAY.
SO FOR DWP WE HAVE OUR SPECIFIC
LONG TERM CONTRACTS OR WE KNOW --
WHAT THE --
RENEWABLE OUTPUT IS WHAT'S
BROUGHT INTO THEIR OUR SYSTEM WE
ALSO -- ARE
LOOKING FORWARD TO PARTICIPATING
IN THE ENERGY IMBALANCE MARKET
WHERE -- THE
CHI SO CAN TRACK --
DEVELOP THE PROCESS TO TRACK --
THESE MEGA WHAT'S COMING IN AND
OUT -- MOLE
WE WE SHOULD BE ABLE TO SOURCE
FROM OUR OUR RESOURCES KNOW
WHAT'S AVAILABLE FARM WHAT OUR
INCLUDED IS PREFERRED RESOURCES
WITHIN THAT MARKET --
SO -- MODE
WE BELIEVE TRACKING THAT
GREENHOUSE GASES IS NOT AN
INSURMOUNTABLE PROBLEM PROBLEM
THE ADVENTURES OF THE PORTION OF
YOUR RENEWABLES PORTFOLIO THAT'S
THAT'S ADDRESS THROUGH.
REX. NINE WE ARE NOT USING RACKS
CARRIER USING THE ACTUAL ENERGY
FROM LONG TERM CONTRACTS GUY.
YOU'RE SO WHEN WE'RE DOING
CONTRACTS IT IS BOTH FOR THE
RENEWABLE ENERGY ITSELF AS WELL
AS THE RENEWABLE ENERGY CREDITS
BUNDLED TOGETHER.
SO WHEN YOU GO TO YOUR CUSTOMERS
AND YOU TELL YOU TALK ABOUT A
PREMIUM PRODUCT YOU OFFER AND
AND YOU'RE SAYING IT'S A 100% --
GREENER RENEWABLES THAT.
WE'RE DEVELOPING A 100% READER
DEVELOPING THAT AND AND IN THE
CURRENT THE BASE LINE PRODUCE.
EIGHTY YEAH IT'S A IT'S 38%
RENEWABLE. 85% GREENHOUSE GAS
FREE THE DATA SAID GIGI FREE
THIRTY LIVES AND SO WHAT WITH
THAT 38% RENEWABLE IS THAT WRECK
BAY STORES THAT THROUGH ITS ITS
A RENEWABLE ENERGY THAT SO WE'RE
USING THE ENERGY AS WELL AS THAT
YOU GET THE REAL SO ENERGY
MONTHS OLD IT'S NOT.
UNBUNDLE THE RATS YOU'RE USING
TO GET TO THAT THEIR THAT'S
RIGHT -- I
THINK IS YOU KNOW WE'RE ALL
WORRIED ABOUT.
SYSTEM POWER UNSPECIFIED POWER --
CHO FINDING ITS WAY IN WHICH WE
KNOW -- I
DON'T KNOW IF WE'VE BEEN THROUGH
THE LIST BUT IT'S ALL THROUGHOUT
VARIOUS PORTFOLIOS ALL
THROUGHOUT THE STATE OF
CALIFORNIA I THINK ITS D. GENIE
ACTUALLY IS SOME.
STING DATA ON THAT DID YOU SHARE
THAT WITH THE COMMITTEE.
YEAH I DID A LITTLE BIT THAT
WHAT'S INTERESTING IS --
HALF OF THE SEVENTIES WE ONLY
HAVE ACCESS TO THE TWO THOUSAND
SIXTEEN POWER CONTENT LEVEL DO
IT THROUGH THE CDC.
THE TWO THOUSAND SEVENTEEN
MEMBERS ARE AVAILABLE YET.
HALF OF THE EVENTY THAT
REPORTED.
RECEIVED MORE THAN 40% OF THEIR
POWER FROM UNSPECIFIED RESOURCES --
AND THERE ARE THIRTY THREE OF
THE SEVENTY ARE BELOW THE TWENTY
SIXTEEN ARE PS REQUIREMENT
NUMBER.
WE FIND THOSE TO BE PRETTY
AMAZING THERE'S AN EARLIER PANEL
TALK ABOUT THE MEETING THE GOALS
THE INVESTOR OWNED UTILITIES AND
MANY OTHERS ARE MEETING THOSE
GOALS BUT THIRTY THREE OF THE
SEVENTY WERE BELOW AND IN THE
LAST REPORT.
HIS SONGS HAVE.
OKAY IF IF YOU WOULD IF A BIGGER
INDULGENCE ONE OTHER LINE AND IT
IT IT ACTUALLY ISN'T ABOUT YOU
THREE IS JUST IF THERE'S ANYONE
ELSE LEFT IN THE ROOM.
I WANT TO GET A SENSE OF EDISON
OR PJ NEAR HERE [inaudible]
DIFFERING PERSPECTIVES I KNOW
THEY'RE SORT OF DIFFERENT --
MAYBE PROCUREMENT STRATEGIES
CERTAINLY DIFFERENT --
PORTFOLIOS THAT YOU'VE GOT IS
WAS DIFFERENT CUSTOMER BASE IS
RIGHT I MEAN WE'RE TALKING ABOUT
SO.
AND SEEN OBSCENE PJ ANY AT LEAST
BE CURIOUS TO HEAR FROM YOU ALL.
BUT EDISON'S WELCOME --
TO AND IT ALSO IT SEEM TO SAME
QUESTION GOES FOR CMU WAY JUST.
A LOT A DIFFERENT MUNICIPAL.
KINDS OF POWER BEING DELIVERED.
YOUR ABA YOU'VE GOT A VERY LARGE
[inaudible]
ORNERY COMPLICATED CUSTOMER BASE
WHICH I'M PROUD TO BE --
ONE BUT YET JUST.
CURIOUS TO JUST BROADEN THIS OUT
A LITTLE BIT AND THE SAME WOULD
GO MISS BRANFORD FOR THE CCAC AS
WELL JUST THINGS THAT MAYBE
WEREN'T COVERED HER OUGHT TO BE
REYES JUST PUT TRAVIS GOOD
INTEGRATED CONGRESS.
THANK YOU VERY MUCH VALERIE
TRAIL OF LAJOS WITH PACIFIC GAS
AND ELECTRIC COMPANY.
AND AYE I REGRET THAT YOU MISSED
MISTER CALLUSES COMMENTS THERE
WERE VERY MUCH ALIGNED WITH --
WHAT WE WOULD I WANT TO COMMENT
ON ON SOME OF THE CHALLENGES --
THAT ARE OUT THERE --
THING --
BUILDING UPON AND SOME OF THE
COMMENTS THAT MR CALLACE MADE
WOULD BE --
P. GENIES SUPPORT --
FOR THE METHODOLOGY THAT THE PC
ADOPTED OF THAT I'M NOT SURE
WHAT SPECIFICALLY COVERED MAYBE
JUST.
AT A HIGH LEVEL CALLED IN IT'S
AN HOURLY ACCOUNTING METHODOLOGY
CALLED CLEAN THAT SHORT.
AND BASICALLY YOU ACCOUNT --
FOR THINGS MORE AN HOURLY LEVEL
THINK WE KNOW THINGS ARE
HAPPENING MORE MID DAY THAT ARE
DIFFERENT.
THAN WHAT'S HAPPENING DURING THE
EVENING RAMP AND THAT'S
SOMETHING THAT --
WE THINK SHOULD BE ADOPTED
STATEWIDE.
THANK YOU ALL GO BACK TO THE
RECORD.
TO TO TURN BACK ON MR KASS IS
REMARKS.
COLLEAGUE FROM THE COACHELLA.
I ADAM SMITH'S THE CALIFORNIA'S
AND THANKS FOR THE CHANCE TO
THAT ON TO KEN'S COMMENTS I I'D
PLAY ACTUALLY GREW THE VALLEY
THINK THAT CAN LEAD OTHER.
A PRETTY GOOD CASE OF THE KIND
OF UTILITY POSITION ON THE
FUTURE OF PROCUREMENT ELISE FOR
INVESTOR OWNED UTILITIES AYE I
WOULD ALSO SUGGEST THAT CLEAN
THAT SHORT METHODOLOGY SOMETHING
THAT S. E. SUPPORTS AS WELL.
AND FRANKLY WORKED ON IT A
LITTLE BIT AND I THINK IT DOES
PRESENT A MUCH MORE ROBUST
VISION FOR OUR REGULATORS AND
YOU FOR CUSTOMERS AT SUCH AS
THAT ONE MORE TIME.
YEAH YEAH SO THE CLEANUP SHORT
METHODOLOGY BASICALLY TAKES A
LOOK AT KIND OF THE RESOURCE
HAPPENS IT'S BECOME A KIND OF
TAKES A LOOK AT ALL THE
CONTRACTED RESOURCES WHICH YOU
HAVE IN YOUR PORTFOLIO.
IMAGINE HOURLY DEMAND IS
MEGAWATTS --
YOU KNOW WE HAVE CONTRACTS ON ON
THE BOOKS FOR YOU KNOW SOME
PROPORTION OF THAT X. MEGAWATTS.
IN ANY GIVEN OUR AND THEN WE ARE
RELYING UPON MARKET POWER SPOT
MARKET PURCHASES TO KIND FILL
THE GAP THERE SO THE IDEA IS YOU
KNOW.
YOU NEED LOOK AT ALL THAT NIGHT
RENEWABLE RESOURCES WHICH WE ARE
CURRENTLY HAVE CONTRACTS WITH
ANY KIND OF FOR YOU KNOW OTHER
ENTITIES KIND OF NATURAL GAS
CONTRACTS THAT THEY MAY HAVE.
AND THE YOU DETERMINE HOW MUCH
IS SORT OF LEFT OVER AND THOSE
LEFT OVER SPOT MARKET PURCHASES
ARE USUALLY ASSIGNED EMISSIONS
INTENSITY BASED ON KIND OF A
WIDE RANGING DATA ANALYSIS TO
COME UP WITH KIND OF AN AVERAGE.
SO MEAN THAT THE IN OUR VIEW
ACTUALLY DOES IT'S OF THE KIND
OF CURRENT METHODOLOGIES THEIR
THEIR EXISTING EITHER THE SEE
YOU SEE YOU ARE THE THE PC OR A
A RP.
WE THINK THAT THIS IS KIND OF A
STEP FORWARD IN GETTING MUCH
MORE GRANULAR AND FOCUS ON THE
HOUR SO THIS IS THE STEP BEFORE.
SHORT WOULD ACTUALLY GENERATE.
SORT OF A MORE GRANULAR LOOK AT
WHAT.
SYSTEM POWER MIGHT THINK YOU'RE
BACKING OUT OF WHAT YOU'RE
CONTRACTED FOR AND YEAH DIDN'T
THAT THIS THEIR SLIGHT THEY'RE
SLIGHTLY DIFFERENT THAN THE GF
SHE PRICE SATTAR.
ENERGY MARKETS IS SORT OF THE
THE BAKED IN ASSUMPTION WE ALL
MAKE ABOUT THE COST OF GHGS
BASED ON THE CAP AND TRADE
ALLOWANCE PRICE YOU KNOW WHAT
THE CURRENT MARKET DYNAMICS SUCK.
THIS GST PRICE OTHER --
THAT KIND OF OBVIOUSLY INFORMS
IF YOU THINK ABOUT THE KIND OF
REMAINING SHARE THAT WE GO TO
THE MARKET AND AND PURCHASE A IF
THAT MAKES SENSE THROUGH THE
CLEAN TRAUMA THE DODGY.
RUN TO ALL THE CONTRACTS THERE'S
KIND OF THIS LEFTOVER GAP OF THE
SPOT MARKET PURCHASES WITHIN
THAT GAP THERE IS THIS GHG PRICE
OUT OR THAT.
YOU KNOW ARE THE KIND OF ASSUMED
CARBON MARKETPRICE THAT'S BUILT
IN.
AND AND THAT KIND OF HOPES
DICTATE WHICH RESOURCES IN THAT
REMAINING STACKER ECONOMIC OR
NOT.
WELL.
PATRICK WELL TO THE CALIFORNIA
MUNICIPAL UTILITIES ASSOCIATION
WE REPRESENT OVER --
FORTY PUBLICLY AND ELECTRIC
UTILITIES ROUND STATE P..
THINK MISTER SMITH JUST A REALLY
GOOD JOB --
DESCRIBING CLEAN NOT SURE BUT I
THINK YOUR ORIGINAL QUESTION WAS
ABOUT PROCUREMENT IF I'M CORRECT.
AND SO --
PUBLICLY OWNED UTILITIES VARY IN
SIZE AROUND THE STATE'S A ONE
THING THAT WE'VE HEARD FROM OUR
MEMBERS AND IT'S VERY IMPORTANT
FOR THEM IS FLEXIBILITY --
LADWP HAS OVER A MILLION
CUSTOMER ACCOUNTS --
SOME OF OUR MAYOR AGENCIES HAVE
ONLY A FEW THOUSAND AND G.
GEOGRAPHY ALSO MAKES A REALLY
BIG DIFFERENCE SO WHAT MAY WORK
IN LA MAY NOT WORK IN THE
CENTRAL VALLEY --
ALSO LOAD SIZES A OBVIOUSLY WILK
A IN SOME WAYS DICTATE WHAT DOES
PROCUREMENT STRATEGIES ARE FOR
SMALLER PEER USE THEY MAY RELY
ON ONE OR TWO CUSTOMERS.
AND I SAID THEY WILL PROCURE AN
AND BASE OUR PORTFOLIO AROUND
THAT WERE AS FOR OF APPEAL YOU
LIKE -- LATV
DOESN'T HAVE MUCH SIGNIFICANT A
BIGGER LOAD THE HABITAT FOR
PROCUREMENT STRATEGY AYE SO --
THERE ARE DIFFERING PERSPECTIVES
AROUND STATE AMONG THE PEW
COMMUNITY ABOUT --
PROCUREMENT BUT THAT'S BASED ON
THERE LOW PROFILE.
AND SO FLEXIBILITY IS REALLY KEY
AT LEAST FOR OUR MEMBERSHIP WHEN
IMPLEMENTING RULES --
AND AND REQUIREMENTS WHEN IT
COMES TO PROCUREMENT.
HOW DO WE DEAL WITH A WITH THIS
PERSISTING NATURE AND COAL?
I MEAN I I KNOW DWP HAD A LOT OF
MAY ORAL LEADERSHIP IN THE PAST
WHERE THE MADE COMMITMENTS AND
THEY'VE SORT OF SET THEIR SIGHTS
ON ANY OF THE BALANCE SHEET
WHERE THEY CAN GO AND WORK ON
THAT BUT HOW DO WE DEAL WITH
THAT WITH.
SOME OF THE OTHER MUNICIPAL
UTILITIES OUT THERE THAT SEEM
[inaudible]
TO JUST.
STICKS WITH THEM AND I GET THE
FLEXIBILITY POINT BUT I'M IT
IT'S MY NURSING THAT CALL
CONTRACTS ARE BEING PHASED OUT --
THE THE LATEST I'VE HEARD IT OF
THE LATEST CONTRACT BEING PHASED
OUT --
MISSED IS --
TWENTY TWENTY SEVEN IT TAKES
TIME TO GET OUT OF THOSE TYPES
OF CONTRACTS --
AND SO THAT'S JUST THE NATURE OF
THAT BUT UP BUT IT'S MY
UNDERSTANDING OF THOSE ARE BEING
PHASED OUT.
SO IN THEORY THAT CONTRACT CHIU
PATHWAY SHOULD ACTUALLY THERE
SHOULD BE A SAY --
OVERALL CHANGE IN THE EMISSIONS
PROFILE OF OF THE INDUSTRY BY
THAT I MEAN IS THERE THANK YOU
IS THAT BEING.
LIVING COORDINATE I GUESS FOR
THE AIR RESOURCES BOARD IN TERMS
OF WHAT OUR STATEWIDE MISSION
LIKE ARE THEY THERE ANY BAKING
THAT.
DIVESTMENT YOUR I DON'T KNOW IF
MAYBE NOT A DIVESTMENT IT'S NOT
THE RIGHT WORD BUT YEAH I I
CAN'T ANSWER FOR THE A A RP BUT
THERE ARE AND UNDER THE HIGHER
P. PROCESS THERE ARE GHG
PLANNING TARGETS FOR UTILITIES
SO.
AND THERE IS A PROCESS IN PLACE
TO ACCOUNT FOR IT --
FOR DOES GHG EMISSION TARGETS.
IF I CAN MAKE ONE MORE COMMENT
TO THAT PLEASE --
AS FAR AS THE POWER CONTENT
LABEL GOES IN THE UNSPECIFIED
SOURCE FROM THE HIGHER
PERCENTAGE.
ALL THAT MAY NOT ALWAYS.
THANK YOU FOR IT THERE ARE SOME
MUNICIPAL UTILITIES THAT STILL
HAVE.
A COAL CONTRACT SEVEN MORE YEARS
OF OUT -- WE
PLAN TO BE OUT OF OUT BY TWENTY
TWENTY FIVE BUT IF YOU CAN
REDUCE YOUR CALL USAGE --
ESPECIALLY DURING THE CHI SO
WHEN YOU CAN USE THAT ON
SPECIFIED POWER THE SPARK MARKET
POWER THAT.
THE ARMY WOULD OVERALL REDUCE
THE GREENHOUSE GAS --
FOOTPRINT BY REDUCING COAL USAGE
BUT USING UNSPECIFIED --
THEORETICALLY IS CLOSE SOMETHING
LESS THAN WHAT UP CLOSE STRICTLY
COAL.
RESEARCH IN OTHER WORDS IF WE
GAVE CHI SO MORE ROOM TO RUN AND
ACTUALLY I MEAN ALREADY THAT
MARKETS LOOKING CLEANER THAN
JUST THE GENERIC.
AS WE I WAS GONNA LA POWER BUT
THEN IN THEORY.
IF THEY WERE GIVEN MORE
FLEXIBILITY TO GO OUT AND BUY OR
INSERTED INTEGRATE INTO THE
RESOURCE ADEQUACY EVEN CLEANER
RESOURCE WE MIGHT SEE.
THAT DIDN'T REALLY SEE ANY OF
THAT ON SPECIFIED I SEE ACROSS.
I WAS I HAD FOR THESE FOLKS
[inaudible]
CENTER.
REMEMBER ANY QUESTIONS.
RIGHT THANK YOU VERY MUCH.
WE'RE GONNA OPEN IT UP FOR
PUBLIC COMMENT.
WOULD YOU LIKE TO MAKE SOME BY
GENERAL COMMENTS --
MISTER CHAIRMAN IT'S WEST OF
THAT IS RIGHT ON THE HAVES HERE
CLICK CALIFORNIA --
THANK YOU FOR ARRANGING THIS
THIS HEARING IS ONE ZERO QUICKLY
THAT AS WE MOVE FORWARD --
IN MEETING OUR CLIMATE GOALS
THAT WERE.
WORKING TO MOVE AWAY FROM WHAT
TRANSITION AWAY FROM DIRTY
SOURCES THAT INCLUDE BIOMASS AND
REGENERATION THAT WE FOCUS ON A
YEAH OTHER NAVAL OPTIONS AND AND
RESOURCES THANK YOU.
GOOD AFTERNOON MY NAME BUT
BONHAM THE EXECUTIVE DIRECTOR OF
THE CALIFORNIA COMMUNITY CHOICE
ASSOCIATION --
I JUST LIKE TO ENDORSE THE
COMMENTS OF MS BRAND FROM EAST
BAY COMMUNITY.
CHOICE ENERGY --
KELSEY CA --
IS THE TRADE ASSOCIATION
ADVOCATE ON BEHALF OF
OPERATIONAL CCA'S.
AS WELL AS LOCAL GOVERNMENTS
EXPLORING OPPORTUNITIES FOR TO
PROVIDE COMMUNITY CHOICE
AGGREGATION.
AND ONE OF OUR OBJECTIVES IS TO
FOSTER BEST PRACTICES.
SO WITH THAT IN MIND WE'RE
WORKING TO COORDINATE ALL THE
WITH ALL THE OPERATIONAL CCA'S
TO ADOPT COMMON METHODOLOGY TO
STANDARDIZE.
OUR GHG ACCOUNTING BETWEEN CCA'S
THAT CAN COLLECTIVELY MEASURE
AND REPORT.
ON OUR PROGRESS TOWARDS A STATE
GOALS.
THERE IS A FOCUS HERE TODAY BOTH
ON THE ENERGY SUPPLY AND THEN
ALSO MELISSA ON THE SPRINT SPOKE
ALSO ABOUT THE PROGRAMS.
AND I THINK THAT DOTS ARE ALMOST
MORE DIFFICULT CHICHI ACCOUNTING
IS TO DETERMINE WHAT KIND OF
PROGRESS FOR MAKING ON THOSE
PROGRAMS --
IN THE COMMUNITIES AND THERE'S A
COUPLE OF THINGS THAT WERE
RAISED TODAY.
IN ONE BY ASSEMBLYMEMBER FRAZIER
BATTERY STORAGE --
IN TERMS OF HOW MUCH WE HAVE ON
THE GRID AND ALSO.
IT -- MISTER
OF FRIEDMAN'S COMMENTS --
SERVER CRITICISM THAT CCA'S
DON'T MAKE BIG NEW DEVELOPMENTAL
COMMITMENTS AND MS BRAND ALLUDED
TO SOME OF THAT IN TERMS OF THE
CCA'S WE COLLECT STOP FORMAT.
AT KELSEY CA ARM AND THERE WERE
A COUPLE OF THINGS THAT I I
THOUGHT I MIGHT BRING TO
ATTENTION ONE OF THE ODD IT ONE
OF THOSE IS.
JOINT PROCUREMENT THAT'S BEING
DONE BY THE CCAS SO FOR EXAMPLE
THE MONTEREY BAY COMMUNITY POWER
AND SILICON VALLEY CLEAN ENERGY
WENT OUT FOR JOINT SOLICITATION --
THEY WERE GOING TO THEIR ENTRY
INTO THREE RENEWABLE CONTRACTS
ONE IS FOR TWO HUNDRED MEGAWATTS
OF WIND GENERATION FOR FIFTEEN
YEAR TERMS AGAIN THAT QUESTION
ABOUT LONG TERM --
AND THIS IS ALL IN STATE
DEVELOPMENT THAT WILL BE
COMPLETED --
AT TO OTHERS ONE FOR FIFTEEN
YEAR TERM ONE FOR TWENTY YEAR
TERM BOTH HUNDRED FIFTY
MEGAWATTS OF SOLAR.
PLUS FORTY FIVE MEGAWATTS OF
STEP OF STORAGE.
THESE PROJECTS WILL BE
OPERATIONAL BY.
TWENTY TWENTY ONE AND THE
NOTIONAL VALUE OF THE THREE
CONTRACTS IS ONE BILLION.
SO JUST WANTED TO MAKE THE POINT
THAT YES --
PROCUREMENT IS BEING DONE FOR
RENEWABLES AND ON A LARGER SCALE --
THANK YOU VERY MUCH.
HELLO EVER BLIX FOR THE
INDEPENDENT ENERGY PRODUCERS
ASSOCIATION REPRESENTING LARGE
SCALE UTILITY --
UTILITY SIZED I'M INDEPENDENT
POWER PRODUCERS INCLUDING WIND
GEOTHERMAL.
BIOMASS AND SOLAR AND IP HAS
BEEN PARTICIPATING AT THE P. YOU
SEE OVER VARIOUS PROCEEDINGS
TRYING TO PUSH ADDITIONAL
RENEWABLE PROCUREMENT.
AND WE ARE SOMEWHAT CONCERNED
THAT AT THE P. YOU SEE THAT
HASN'T BEEN --
RENEWABLE PROCUREMENT OVER THE
LAST FOUR YEARS ON FOR SOME OF
THE LARGE SCALE RESOURCES THAT
WE REPRESENT.
AND WE BELIEVE THAT YOU NEED
CONTINUED AND SUSTAIN RENEWABLE
DEVELOPMENT AND I'M PROCUREMENT
TO REACH THE STATE'S RENEWABLE
ENERGY AND CLIMATE CHANGE GOALS --
INCLUDING USING THE STATE'S
INDIGENOUS RESOURCES LIKE
GOTHERMAL THAT MANY OF YOU MAY
HAVE IN YOUR DISTRICTS THAT WE
THINK ARE IMPORTANT --
WE RECOGNIZE THAT THERE ARE VERY.
FINING THE STATE AT THIS PERIOD
OF TIME AND WE WOULD JUST ASK
THAT WE MOVE EXPEDITIOUSLY AND
IN TERMS OF I AM.
WORKING TO SOLVE SOME OF THESE
CHALLENGES SO WE CAN KICK START
THAT CONTINUED AND SUSTAIN
RENEWABLE DEVELOPMENT THAT'S SO
IMPORTANT TO OUR STATE.
THINK IT LOOKS YOU MIGHT JUST TO
GET HERE SO.
IF WE IF WE DON'T ACCELERATE
PROCUREMENT.
HAVE YOU GUYS STARTED DOING THE
MATH ON COSTS. TO THE STATE OR
AYE IT IS IT IS A COST SAVINGS
POTENTIALLY TO BE PROCURING EVEN
THOUGH IT'S ACTUALLY SPENDING
MORE MONEY OR I STARTED LOOKING
AT THAT AGE I THINK HOW I WOULD
THEM DESCRIBE IT IS THAT WE
REPRESENT A LARGE SKILLED
GENERATORS IN THE STATE AND WE
THINK.
THAT WE CAN DO IT THE MOST
AFFORDABLY COST EFFECTIVELY AND
RELIABLY SO I THINK THAT'S HOW I
WOULD ANSWER THAT QUESTION
[inaudible]
OKAY.
MAYBE YOU COULD ACTUALLY MS
MILLS MAYBE THAT COMMENT ON THAT
TOO ID GERMANE TO YOUR GOOD
AFTERNOON I'M DANIEL MALES I'M
BEHALF OF THE AMERICAN WIND
ENERGY ASSOCIATION CALIFORNIA
CAUCUS --
SENATOR START YOUR POINT I THINK
THAT THE CALIFORNIA PUBLIC
UTILITIES COMMISSION IDENTIFIED
A SAVINGS OF A HUNDRED AND FORTY
THREE MILLION DOLLARS PER YEAR
AND LEVEL AS STE TWENTY SIXTEEN
DOLLARS. FOR DOING NEAR TERM
PROCUREMENT OF TAX ADVANTAGED
RENEWABLES WHICH INCLUDES WINS
WIND AND SOLAR --
BOTH WIND AND SOLAR AVAILABLE AT
ABOUT A 30% DISCOUNT RIGHT NOW
COMPARED TO POST PTC COSTS --
AND THOSE PROJECTS WOULD HAVE TO
COMMENCE CONSTRUCTION AND TWENTY
NINETEEN SO.
UP THERE IS A SAVINGS ASSOCIATE
WOULD DO WITH DOING THIS
PROCUREMENT NOW IT HAS BEEN
STUDIED --
BY THE STATE AND I ALSO WANT TO
NOTE THAT THE STATE COULD ALSO
DIFFER SOME OF THE DELIVERY ON
THESE CONTRACTS INTO LEADER IN
THE TWENTY TWENTIES.
AND BY DOING THAT THEY COULD
ALSO DEFER PAYMENTS ON THOSE
PROJECTS INTO THE LATE TWENTY
INTO THEM AND TWENTY TWENTIES.
SO YOU COULD STRUCTURE
PROCUREMENT TO ALIGN WITH THE
STATE'S NEED FOR RENEWABLES --
AND LOCK IN A SAVINGS OF THE TAX
CREDITS EARLY.
AND JUST ONE OTHER KIND OF MORE
BROAD NOTE.
I WANT TO EMPHASIZE THAT THERE'S
A LOT OF WORK TO BE DONE STILL
HAVE AND I THINK IT'S OFTEN SAID
THAT THE UTILITIES ARE WELL ON
THEIR WAY. TO MEETING THE 50%
ARE YES --
WE NEED ABOUT TEN GIGAWATTS OF
RENEWABLES WE'RE FACING.
MORE EXTREME A NEED.
TO AND BUILDING SECTORS AND ALL
OF THIS CAN BE DONE COST
EFFECTIVELY WITH HOLES IN
RENEWABLES THINK IF.
THANK YOU IN YOUR HOUSE.
OKAY SEEN IT AND NO OTHER PUBLIC
COMMENTS THANK YOU SO MUCH FOR
JOINING US WE SET OUT TO BE VERY
BASIC QUESTIONS --
TO AND I PREFACE THIS
CONVERSATION IT WAS ABOUT
TRACKING GREENHOUSE GAS
EMISSIONS FROM OUR PROCUREMENT
PROCESS [inaudible]
AT CHALLENGES AND OPPORTUNITIES
ALONG THE WAY.
AS WELL AS THEM TIMELINES.
SOMETIMES HEARINGS BRING ABOUT
MORE QUESTIONS AND THEN ANSWERS.
BUT NEVERTHELESS HAVE IS
CONVERSATION I WAS EXTREMELY
PART FOR US AND VERY TIMELY OF
FOR MEMBERS.
OF VARIOUS AGENCIES AS WELL AS
OTHER STAKEHOLDERS TO WATCH AYE
MITCHELL THANK YOU AGAIN FOR
YOUR TIME.
AND BUILDINGS [inaudible]
VOTE [inaudible]
RATHER [inaudible]
YEAH