HomeMy WebLinkAbout14-Consideration of Adopting Energy Efficiency Targets to meet SB103,AB2021 RequirementsAgenda Item # 14
ACTION
To:
Board of Directors
From:
Steven Poncelet
Date:
January 16, 2013
Subject: Consideration of Adopting Energy Efficiency Targets to Meet the SB
1037/AB 2021 Requirement
1. WHY THIS MATTER IS BEFORE THE BOARD
It is the responsibility of the Board to adopt formal energy efficiency targets per
SB1037/AB 2021.
2. HISTORY
SB 1037 requires publicly -owned utilities (POUs) to invest in all cost-effective, reliable and
feasible energy efficiency as the first source of power in their energy portfolio. California
Assembly Bill 2021 restated that requirement and adds additional independent reporting
requirements for POUs to "identify all potentially achievable cost-effective electricity
efficiency savings and shall establish annual targets for energy efficiency savings and
demand reduction for the next 10-year period". The Board adopted the first set of energy
efficiency targets in 2007 (10,014 MWh, -r0.67% of total load per year) and again in 2010
(19,880 MWh, -1.1 % of total load per year). The District, as well as all participating
California POU's, must formally adopt their energy efficiency targets on a triennial basis.
3. NEW INFORMATION
The District, through a joint project with Northern California Power Agency (NCPA),
California Municipal Utilities Association (CMUA), and Southern California Public Power
Agency (SCPPA), is in the process of updating 10-year energy efficiency targets through a
member -wide study conducted by Navigant Consulting. Before the Board is the latesl
triennial update from the Navigant Consulting model. This updated model reflects the
District's unique load -profile (weekend, holiday, and winter peaking), our customer base
(predominately residential with the remainder being small business/commercial), the large
number of 2nd homes, and changes in the regulatory environment that will diminish the
significant impacts of the District's residential CFL programs.
An excerpt of the Navigant Consulting potential study results, by year, for the period
covering 2014-2023 is in Attachment 1. A summation of the 10-year results is:
Energy Savings: 12,837MWh (from 2014 through 2023, -0.80% MWh sold/year)
Demand Savings: 2,037 MW (from 2014 through 2023, -0.55% per year)
These targets are based on the District's documented energy saving results for the pass
but also acknowledges that, over a 10-year period, maintaining the District's energy
savings AND cost-effectiveness will become increasingly difficult as the District moves
past the 'low hanging fruit' and we start to saturate some programs. This trend of declining
energy savings and increasing program costs over times has been well documented in
California's electric utilities. The 0.80% per year target over 10 years, however, represents
significant electric savings and puts the District in the top half of California utilities for
setting energy savings targets.
4. FISCAL IMPACT
The costs for the District's energy conservation programs are included in the approved
FY13 budget and are projected to continue in future years. There is no direct fiscal
impact associated with this action item.
5. RECOMMENDATION
Adopt Truckee Donner Public Utility District's energy efficiency targets for the period 2014
through 2023 as follows:
Energy Savings: 12,837 MWh
Demand Savings: 2.037 MW
Steven Poncelet
Public Information & Conservation Manager
Michael D. Holley
General Manager