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HomeMy WebLinkAbout9 California Solar Initiative Agenda Item # I LTRUCKEE ,, Public Utility District i 0. Memorandum To: Board of Directors From: Kathleen Neus, Project Manager Date: October 5, 2007 Subject: SBA; California Solar Initiative 1. WHY THIS MATTER IS BEFORE THE BOARD With the enactment of SB-1, the California Solar Initiative, all local publicly-owned electric utilities within the State of California, must prepare, adopt and implement a solar program to encourage its customers to install solar energy systems. SB-1 is an unfunded state mandated program to begin by January 1, 2008. Objectives: 5. Manage the District in an environmentally sound manner. Goals: 5.3district will support a program of distributed generation within its Service Area 5.4 District will conduct its business in an environmentally lawful manner. 5.5 District will maintain a program of energy and water use efficiency. 5.6 District will seek to minimize any negative impact of its operations on the environment. 2. HISTORY As part of Governor Schwarzenegger's Million Solar Roof Program, local public owned electric utilities must adopt, implement and finance a solar initiative program by January 2008. S13-1 imposes a state mandated local program that requires the District to make program information available to its customers. The District must use ratepayer funds and expend $1,773,408 over ten years; the dollar amount was set by the California State Legislature. The dollar amount is based upon the District's percentage of the total statewide load served by all local publicly owned electric utilities within California. In addition, S13-1 establishes specific requirements for local programs, including system incentives and a minimum rebate amount. The Board hired Efficiency Services Group in June of 2007 to help the District to prepare and implement the District's Solar Program as required by S13-1. 3. NEW INFORMATION Efficiency Services Group have prepared presentation on a draft solar program for the October 17, 2007 Board Meeting. During the presentation the Board will be asked to direct staff on issues such as system sizes, rebate amounts, customer sector focus and how the program will be funded. 4. RECOMMENDATION There is no formal action is being asked of the Board at this time; staff needs direction on system sizes, rebate amounts, customer sector focus and how the program will be funded. Ex: Ian Harry, G neral ervices Jo Irich, 1 GM 5. SOURCE OF FUNDING (if applicable) for project or a u' ment Funding for Efficiency Services Group will be provided by the Electric Department and reimbursed by the surcharge collected on customer bills (MO 2007-73). 6. BOARD AUTHORIZATION TO TRANSFER FUNDS Truckee-Donner PUD s . solar Incentive Program TDPUD Board Work Session October 17, 2007 Jim Brands Doug Boleyn, P. E. Efficiency Services Group EFFICIENCY SERVICES Group Efficiency Services Group ■ Operating since 2001 ■ Provides Program Design and Delivery Services to Publicly Owned Utilities in Oregon and California ■ Currently provides services to 14 client utilities ■ Previous Programs : o Energy Efficiency EFFICIENCY SERVICES Group Efficiency Services Group Introduction ■ Jim Brands, Manager 0 22 years experience program design and delivery 0 14 years program management for Publicly Owned Utilities ■ Doug Boleyn, P.E. , Solar Programs 0 30 years solar energy professional/technical experience 0 15 years utility program design and delivery EFFICIENCY SERVICES Group Discussion Outline ■ SB- 1 Introduction/Requirements ■ TDPUD Program Choices EFFICIENCY SERVICES Group California SB1 for Publicly Owned Utilities : Basic Requirements ( 1 ) ■ Every publicly owned utility required to have solar incentive program by January 112008 ■ Incentive starts at $2 .80 per watt for solar electric systems ■ Incentive to decline each year at > 7% per year. ■ Must have a public proceeding to fund the program to support portion of 3000 MW goal . EFFICIENCY SERVICES Group California SB1 for Publicly Owned Utilities : Basic Requirements (2 ) ■ Solar electric systems must meet technical eligibility requirements ■ Utility must report program info yearly to CEC. ■ Program funds cannot be taken from any existing EE programs ■ Expenditure based on utility's percentage of the total statewide POU load EFFICIENCY SERVICES Group Basic PV System Technical Requirements ■ Meets Design, installation, and electrical output standards. ■ Intended primarily to offset consumer's own electricity demand . ■ All components are new and unused ■ The system has a warranty >= 10 years. ■ Located where the consumer's own electricity demand is located . ■ Connected to the public utility's electrical distribution system within CA. ■ Has meters or other devices that measure electricity generated . ■ Installed meeting manufacturer's specifications and all applicable electrical and building codes. EFFICIENCY SERVICES Group TDPUD Program Choices ■ Rate of Incentive ■ Rate of decrease of incentive over time EFFICIENCY SERVICES Group Questions EFFICIENCY SERVICES Group t s v 3 � b z , yam SB- 1 Kathleen Neus Project Manager I Program Requirements ■ TDPUD = 0 . 23 % of POU loads ■ Total Incentive estimate : o $ 177 , 400 average per year for ten years $ 1 , 774 ,000 total o kW goal : 1610 Kilowatts o Incentive: $2 . 80 per watt installed minimum to ? Topics for Discussion ■ Who receives the rebates o Residential o Commercial o Non-profit Government ■ How much is the rebate o $2 .80 / $4.00 / $5 .00 ■ Minimum size o Size range Program Options ■ Starting incentive ■ Residential , Commercial , Non-profit government (kW) o Many small systems, few large systems ■ Distribution of incentives Schedule -incentive ,"Possible kW / Res., Comm., kW / Res., Comm., kW / Res., Comm., Steps Step Non-profit Gov. Step Non-profit Gov. Step Non-profit Gov. 1 64 $2.80 45 $4.00 36 $5.00 2 78 $2.27 50 $3.60 40 $4.50 3 87 $2.04 55 $3.24 44 $4.05 4 97 $1 .84 61 $2.92 49 $3.65 5 108 $1 .65 68 $2.62 54 $3.28 6 119 $1 .49 75 $2.36 61 $2.95 7 132 $1 .34 84 $2.13 67 $2.66 8 147 $1 .21 93 $1 .91 74 $2.39 9 164 $1 .08 103 $1 .72 83 $2.15 10 183 $0.97 115 $1 .55 92 $1 .94 10 Yr Total 1179 $1 ,7745000.00 749 $1 ,7745000.00 600 $157749000.00 EM Items Requiring Board Direction] ■ Who qualifies to receive rebates ■ How much is the rebate ■ Minimum size of PV System ■ How money will be raised Boa ,rd J L ■ Questions ■ Direction Possible Annual Incentive Schedule] Year Kilowatts Annual Budget Estimated Systems Per year Installed per year 2008 60 $177,400.00 20 2009 80 $177,400.00 27 2010 90 $177,400.00 30 2011 100 $1777400.00 33 2012 115 $177,400.00 38 2013 145 $177,400.00 48 2014 180 $177,400.00 60 2015 225 $177,400.00 75 2016 275 $177,400.00 92 2017 340 $177,400.00 113 10-year Total 1610 kW $11774,000.00 536