HomeMy WebLinkAbout13 Conservation water power plan Agenda Item # 13
TRUCKEE DONNER
Public Utility
WORKSHOP
To: Board of Directors
From: Doug Grandy
Date: June 18, 2008
Subject: Discussion of the Conservation Committee's Draft Water and Power
Conservation Plan
1. WHY THIS MATTER IS BEFORE THE BOARD
This is the Conservation Committee's routine monthly workshop item.
2. HISTORY
The Board appointed the Committee in June of 2007 to produce a Water and Power
Conservation Plan. This is the first draft of that plan to be released publicly.
3. NEW INFORMATION
ions, drafting, and re-drafting, this draft is before
After nearly 11 months of meetings, deliberat
the Board for the first time in its nearly complete state. While there are still a few chapters
missing, most of the Plan is there for the Board to consider. The Committee is eager to hear
the Board's feedback, and has time within its original charter to react to the feedback by
amending the draft before issuing a final report.
4. FISCAL IMPACT
There is no direct fiscal impact associated with this item.
5. RECOMMENDATION
Receive the report and provide comments.
Michael D. Holley
General Manager
Page 1 of 1
Draft Water and Power Conservation Plan
Barbara Cahill
From Doug Grandy[dgrandy@winfirst.com]
Sent: Friday, May 23, 2008 2:30 PM
To: Joe Aguera; Ron Hemig; resutton@sbcglobal.net;Tim Taylor;William Thomason
Cc: 'Anna Demm'; 'Ben Bensen'; 'Betony Jones'; 'Christa Finn'; 'Dan Dickerman'; 'Doug Grandy'; 'Eric Perlman';
erlm by';
'Gerald Herrick'; 'Jim Booth'; 'Joanna Walters'; 'John Hillstrom'; Michael Holley; 'Rolf Godon;
Scott Terrell; 'Susie Sutphin'; 'Tom Gorin'; Ed Taylor; Stephen Hollabaugh; Mary Chapman; Barbara Cahill
Subject: Draft Water and Power Conservation Plan
Dear Truckee Donner PUD Directors -
Attached is the draft of the Committee's work
ate on t to a Wais ter and
Pot is sr obviously
Conservation Plan. We have worked very hard to get
still a draft, with some parts still be be written. AftTherr we receive feedback from you on
e could still be significant changes
June 4th, we will complete the Plan document.
and new recommendations.
That said, we believe it is quite substantive, and hope talk ag the spi a hn a olh it was
d it as
we have seen it, and hope you'll appreciate the straight
intended, with the best interests of the District at heart.
On June 4th Doug does not plan a big presentation,V because he Plan is completed and
we're not
presenting it to you yet. That we will save fory
final. He will simply do a brief overview and open it up for your feedback.
The Committee wishes to wholeheartedly thank d to e sta alsfo for thank you for cits open dreatingtthis
communication with us, and their hard work, a
opportunity. We believe it serves the intended purposes, and hope you'll agree.
Sincerely,
Your Conservation Committee
<< >>
a Ins
Truckee Donner Public Utility District
Water and Energy Conservation Citizens Advisory
Committee
Water and Power Conservation Plan
Draft Version 4.0
5/23/08
1. Executive Summary
2. Introduction
3. Background and History
4. Policy and Legal Environment
5. Conservation Potential
6. Analysis Methodology
7. TDPUD's Unique Load Profile
8. Existing Programs and Their Effectiveness
9. Conservation Measures Considered
10. Rates and Rate Design
11. Outreach, Marketing, Partnerships,
12. Energy Production
13. Organizational Dynamics
14. Recommendations
15. Impact of Recommendations
16. Acknowledgements
17. Appendices
a. Details of Recommended Measures
b. KEMA Report
c. Resolution 2007--03
d. Relevant Statutes
e. Truckee Donner Public Utility District 2008 Conservation
Programs`Planning & Implementation Guide
f. TDPUD Conservation Committee Interim Recommendations
g. Moonshine Ink Media Kit
h. KTKE Rates
Water and Power Conservation Plan
"The duty of the Committee shall be to recommend to the TDPUD Board of
Directors a power supply plan that provides for the needs of the community.
The plan shall incorporate the following principles:
Cost is an important factor because it translates into rates paid by the
District's customers. There is a strong preference for cost-based rates when
purchasing wholesale power.
Overall power supply must be reliable and firm.
Power supply must satisfy the District's Renewable Portfolio Standard."
At its June 6, 2007 regular meeting, the Board was presented by staff
with four power supply contracts that more than met the requirements
of its newly adopted Renewable Portfolio Standard. The four contracts
also ensured adequate supplies of power resources for the District.
The next time contracts would come up for renewal would be the year
2011.
Given this situation, the usefulness of the Citizen Advisory Power
Supply Committee was called into question by the Board. On the
agenda for the same June 6 meeting was an item to review and
discuss applications for the two Committees, which had been
submitted to the District by June 1. When this item was discussed by
the Board, this awkward situation was resolved by.agreeing to
combine the two committees, and any applicants who had only applied
to be on the Supply Committee (many applicants applied to both
committees) would be included, with their consent, on the one
remaining Committee. The discussion in the room also acknowledged
the role of distributed generation, such as solar photovoltaics on
rooftops, and concluded that this was well within the purview of the
new combined committee.
Incorporating all of this information in its deliberations, the Committee
adopted as its own Mission Statement the following:
"The TDPUD Conservation Committee will reduce the consumption of electric
and water resources in the TDPUD service area through research, planning,
program development, community outreach and close cooperation with the
PUD Board of Directors. The Committee shall develop plans and programs to:
o satisfy the requirements of the public benefits program related to
conservation
o evaluate the cost/benefit ratio of various conservation methods
and recommend those practices that represent the best investment
of the District's limited resources
o reflect the District's preference for established and successful
conservation practices, avoiding those practices that are still in the
experimental or developmental stages
o give special attention to low income persons
o deal with the issue of irrigation water practices"
3
Water and Power Conservation Plan
and one for energy and water conservation, and began the search for
candidates for these committees.
In June of 2007 the Committee was selected, and as described in the
Introduction, combined into one Committee, called the Water and
Energy Conservation Citizens Advisory Committee, or just the
Conservation Committee for convenience. The Committee's first
meeting was held on July 12, 2007, and met at least monthly for a
year to produce this Plan.
b. Comparison with other utilities
i. Outage history
ii. Per capita carbon emissions
iii. Average bills
iv. Average executive salaries
v. Training budgets
4 Policy and Legal Environment
a. State Law
Public Benefit Funds (based on AB1890 (1996)): This bill, which
famously restructured the electric industry, created the concept of a
Public Good Charge to compensate for the new requirement of utilities
to be exposed to limited competition. Various programs that
heretofore had been required of regulated utilities, it was anticipated,
would be reduced or eliminated under competitive cost pressures. The
bill requires utilities to spend a percentage of electric sales on four
types of programs
1) Cost-effective demand-side management services to promote
energy efficiency and energy conservation;
2) New investments in renewable energy technology;
3) Research, development and demonstration; and
4) Services provided for low income electricity customers.
Energy Efficiency (based on AB2021 (2006)1: Only parts of this bill
apply to Publicly Owned Utilities (also known as municipal utilities).
Here are excerpts from this bill that are applicable:
. AB 1890 Public Benefits Program Guidebook, by California Municipal Utilities
Association, May 7, 1997
5
Water and Power Conservation Plan
subsidies start at not less than $2.80/watt and decline by 7%
annually thereafter. *
There is much discussion on the interpretation of these laws, but we
understand the overall intent to be as follows:
The funding from ratepayers for Public Benefit Funds is intended
to incent the public to adopt and install energy efficiency
measures and renewable energy programs that otherwise would
not happen without this financial support. The programs which
are the most efficient and reach the broadest audience are the
most preferred. Cost effective efficiency and renewable energy
programs are to be fully engaged before polluting fossil fuel
generation purchases are made.
Other relevant legislation that expands on the state's energy efficiency
and renewable energy efforts as they pertain to publicly-owned utilities
includes these billst:
SB 1037 (2005) This bill requires each local publicly owned electric
utility, in procuring energy, to first acquire all available energy
efficiency and demand reduction resources that are cost effective,
reliable, and feasible. The bill requires each local publicly owned
electric utility to report annually to its customers and to the Energy
Commission, its investment on energy efficiency and demand
reduction programs.
SB 1368 (2006) This bill prohibits any local publicly owned electric
utility from entering into a long-term financial commitment unless any
baseload generation complies with a greenhouse gases emission
performance standard. The bill would require the Energy Commission
to establish a greenhouse gases emission performance standard for all
baseload generation of local publicly owned electric utilities. The bill
would require that the greenhouse gases emission performance
standard not exceed the rate of emissions of greenhouse gases for
combined-cycle natural gas baseload generation
AB 32 (2006) This bill, known as the Global Warming Solutions Act of
2006, requires the state Air Resources Board to adopt a statewide
greenhouse gas emissions limit equivalent to the statewide
greenhouse gas emissions levels in 1990 to be achieved by 2020 and
' SB 1 Senate Bill Analysis, August 8, 2006 available online at
http://www.leginfo.ca.govlpub/05-06/bill/sen/sb 0001-
0050/sb 1 cfa 20060807 152401 sen comm.html
t All of the bills referenced here are included in full in the Appendix.
7
Water and Power Conservation Plan
There are a host of other bills, and other provisions within the above
bills, that pertain specifically to the state's investor-owned utilities.
While these laws do not per se impose requirements on publicly-owned
utilities, they make clear the intent of the Legislature, and give a
clearer picture of the policy environment in which provision of
electricity happens. The overarching themes in the context of this Plan
are:
• Greater and increasing emphasis on energy efficiency and
renewable energy in the "loading order" of electricity resources
• A clear trend toward more and better reporting of a utility's
environmental footprint
b. Efforts through NCPA
The Northern California Power Agency (NCPA) provides value to its
member agencies by handling many of these regulatory requirements
on the members' behalf. With respect to the issue of Public Goods
Charge funds and energy efficiency programs, they have contracted
with KEMA Inc. to develop a consistent methodology and database for
analysis of energy efficiency measures, both in terms of energy use
reduction and peak demand reduction. The final report from this effort
is attached to this report as Appendix A.
a. NCPA presentation - historical expenditures
In April of 2007,`the NCPA made a presentation to the TDPUD Board
addressing the issues arising from various recent state laws on the
topic of Public Goods. Among other related topics, they addressed the
issue of the District's compliance with the requirement to allocate a
minimum of 2.85% of its budget annually to the four parts of the
Public Goods budgets: energy efficiency, renewable energy
technology, low income assistance, and research and development.
They pointed out that the law is vaguely worded, and under one
interpretation in use by at least one other NCPA member district, they
found TDPUD to be in compliance with the law. Following are the
expenditures and the percentages they presented:
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Water and Power Conservation Plan
5 Conservation Potential
Zero energy buildings have been demonstrated for both residential and
commercial buildings. Theoretically at least, it is possible through a
combination of highly efficient design, and renewable generation, for
all buildings to achieve this level. The expense of this strategy would
vary for each building, but would exceed the current cost of providing
equivalent energy services through other systems. As a scientific fact,
it is technically possible to reduce the load to the utility to zero, or
even beyond.
While this technical potential is interesting, it is not particularly
practical, as electricity can be provided to homes and businesses at a
much lower cost through various other means. There is an existing
infrastructure in place to serve as a baseline against which we can
analyze opportunities to make further investment in the system, and
thereby improve the return on investment in this valuable asset to the
owners/ratepayers of the TDPUD.
The ideal economic analysis of alternatives to the current means of
providing electricity would examine the cost of a given measure, and
look at the economic savings resulting from the kilowatt-hours of
energy and kilowatts of,demand that the measure affects. The cost of
these electricity savings is a function of time and other loads on the
system at that point in time, as governed by the terms and conditions
of the Power Supply Contracts. Knowing how each measure would
affect the electricity purchases of the district over time, and then
calculating,the Net Present Value of that cash flow stream would yield
perfect information to inform the decision of whether or not to invest
in that given measure. If it produced a positive NPV, then one is
better off economically to make the investment. Knowing the rate at
which the measure can be implemented in reality -- that is, how
quickly can the program be rolled out -- will allow us to calculate the
cost savings over time with some precision.
In reality, our idealized economic analysis is hampered by a number of
factors. Any calculation involving the future, including electricity use
at a given point in time, future contract terms governing the cost of
that electricity use, the actual performance of the affected devices by
the end-users, the rate of implementation of the measures, and other
factors, have only a very small chance of producing an accurate result.
Estimates can be made, however, that will give us the best information
available to help inform decisions about investments in future
conservation and efficiency programs. We must keep in mind that not
11
Water and Power Conservation Plan
combination of the approaches depending on the specific measure. The
objectives and focus of the DEER data is to serve as a centralized
source of information for planning and forecasting issues for the
energy efficiency programs that are provided to customers across the
state.
The DEER database takes the form of an interactive web site where
users can query the data for specific measure information. The
database is located on the CPUC website and is available at:
http://eega.cpuc.ca.gov/deer/.
The PG&E workpapers are the documents that PG&E has prepared to
document all of their measure savings calculations related to all of
their existing programs. The workpapers for PG&E alone are a
substantive set of measure details that PG&E uses to defend energy
savings assumptions. The papers are filed on a regular basis with the
CPUC. This NCPA/SCPPA measure summary product used the 2005
version of the PG&E workpapers. The workpapers typically include
measures not in the DEER database or that are new to their programs.
Given that such a great amount of effort had been expended in the
development of an authoritative resource that would produce results
that would be on a consistent analytical basis with nearly all other
utilities in California, the Committee opted to use this methodology to
analyze potential efficiency;measures in the TDPUD service territory.
The KEMA report including the PG&E workpapers are available as
Appendix B to this report.
7 TDPUD's Unique Load Profile
Electricity
The hourly overall use of power in any jurisdiction can give important
clues about the use of power by end users, and can help reveal what
usage patterns may lead to the loads faced by the utility. The hourly
loads can also provide insight into patterns of use that cause costs to
be incurred by the utility to serve those loads. By examining closely
the load profile in the District, the Committee was able to discern the
usage patterns and amounts of electricity use that are prevalent at
various points in time. The Committee used this information to
evaluate some of the various potential strategies for reducing energy
use (e.g. since there is little variation in summer loads, indicating that
13
Water and Power Conservation Plan
year. The annual system peak occurs on the Saturday between
Christmas and New Years with a great degree of regularity. This peak
is followed closely by the President's Day holiday weekend. Peaks on
other winter weekends are also noticeably higher than winter
weekdays. The daily peaks taper off from the end of the ski season to
Memorial Day. There is then an increase through the July 4th summer
peak and then the load levels out through Labor Day.
Figure 7-1
2006 TDPUD Daily Peaks
40 .__ -.. .. __. .__�._ __ ...._.____�__. . ............._.___---_ ._....
i
35 - - -- -- -- -- - - - -- -- - -
PresitlenCs XMA
MLK
E
30
Thanks
giving
25 — -- ------ ---
July 4 Labor 1
Memorial,.
IL
3 20 - -- - --- - -
i
15
10
s
f
E
f
5 -- - --: - - - -
0
rA of ry co N rn M (. o W o M . o v W N n M n
k"
Daily load profiles
The TDPUD;system load profiles vary by season. Winter load profiles
peak in the evening due to the incidence of electric heating and extra
holiday lighting loads. Weekend afternoon and evening loads are
higher than weekday loads because of increased occupancy of second
homes and area lodging facilities. Winter weekday and weekend loads
are shown in Figure 7-2.
15
Water and Power Conservation Plan
Figure 7-3
TDPUD Summer Load Shapes
25 ._..._.__.._._.__.__._.___...._._..__..........__..._...._..._.__._........._._._._ ......._....__........__.....__..____. ___....._.._......_..............._...........__.....__...._.___._.__..__....._.................................
1
ol
i
i
i
r-
• i
o s
15
10
f ✓
3
- •-summer wkday j
—. -
summerwkend
--.--summer peak
5 _---- ---- - 3
0
1 2 3 4 5 6 7 8 9 10 11 "^12 13 14 15 16:I 17 18 19 20 21 22 23 24
hour
Comparison to Other Areas
To look at the uniqueness of the Truckee loads this report makes a
comparison:to the California Independent System Operator (CaISO),
Northern California Power Agency (NCPA) and Sierra Pacific Power
(SPP) loads. CaISO operates the power grid for about 80 percent of
California. SPP serves; Reno and the northern Nevada region and NCPA
is the total of municipal loads for cities in the NCPA interconnected
power pooling agreement.
Recent legislation regarding conservation programs and GHG
reductions assume that all utilities in California have similar loads.
That is to say there is an assumption that the daily peaks of utilities
follow the same pattern as the CaISO. For TDPUD this is not the case.
For most if not all other utilities in California the peak is in the summer
months when it is hot and not in the winter as in TDPUD. For
comparison purposes Figure 7-4 shows a comparison of daily peaks as
a percentage of annual peak for both TDPUD and the California ISO.
Percentages were used eliminate the difference in size of each entity.
While the TDPUD peak is about 36 MW the peak for the ISO is over
17
Water and Power Conservation Plan
SPP control area. Summer loads for SPP are driven by temperature
related air conditioning loads of Reno and the surrounding areas.
Figure 7-5
Comparison of Daily Peaks
(percentage of system annual peak)
2006 Normalized Daily Peaks TDPUD vs SPP
100%
l Y
It
60% - - - - -- t -sS ij -T1 +D
70% f }i -- --- -b - s
60%
40
30% -- - --- -- ——.� -- --- - --
tdpud j
20%
I
i
10% ----- - - ------ — --
0%
M �N O nR a W a�
a a a <O C N f a a a
Figure 7-6 provides a'similar comparison to the total NCPA daily peak
loads. What is notable in this comparison other than the similar
summer pattern is that the NCPA peaks appear to greatly decrease
during weekend periods while the TDPUD peaks increase during the
weekend periods in the winter (especially in winter and holiday
periods) and are relatively constant in the summer with the exception
of increases in holiday periods.
19
Water and Power Conservation Plan
Figure 7-7
Comparison of Daily Winter Loadshapes
Winter weekday load shape
100.00%
90.00% - -- -- - --- -
80.00% --- - --- -
70.00% --- - ._ -- -- - -
.► .y
a
c 50.00% -- — ---- -- -
c
a
40.00% ---- rt ---
30.00%
—o—CISO
-•i—TDPUD
20.00
j
i
10.00% - - -- --- - -- - -- --
0.00%
1 2 3 4 5 6 7 8 9 10 '11 12 13 14 15' _16 17 18 19 20 21 22 23 24
Figure 7-8 provides a comparison of summer loadshapes for TDPUD
and the CaISO. This is where there is a marked difference in daily
shape between TDPUD and other utilities. The summer TDPUD loads
are relatively flat throughout the daylight hours while the CaISO loads
show an increase over the afternoon caused by air conditioning load.
21
Water and Power Conservation Plan
indoor uses, such as personal hygiene, cooking, and washing, which
would not be expected to change based on weather or time of year.
The large midyear increase peaking in July and August can be
attributed to landscape watering. Summer water use is three times
the winter water use. The difference can be attributed to landscape
watering, as showering, washing, drinking etc. uses are not affected
by seasons.
Figure 7-9
Monthly Water Use
400,000,000
350,000,000 -- -- — - --
300,000,000
250,000,000 -- - -- - —
a � --2005
0
200,000,000 - - - - _ - - --- — \ --- - 2006
4 2007
150,000,000 - - --- —- --- -
100,000,000 _- - - - - — -- - ----
50,000,000 -----
, �
—— --
a J°j�5� �&
�c°a "'� � P� Q Q�e &`openo��
Given the significant growth rate in landscape watering, the
Committee felt that this area had high potential for efficiency
improvements. Advances have been recently made in landscape
watering control technology, such as systems that communicate with
irrigation controllers to indicate the expected plant evapotranspiration
rate for the day, and controllers that regulate the frequency and
duration of watering cycles to maximize soil absorption and all but
eliminate runoff. Efficiency improvements for the indoor uses are also
well established and effective, so the Committee examined those
technologies as well.
23
Water and Power Conservation Plan
leak testing and mitigation; residential compact fluorescent lighting
(CFL) efficiency program including a multi-family unit CFL light bulb
give away program; space heating system efficiency program including
ground source heat pumps; and water heating efficiency program
including the purchase of energy efficient electric water heaters and
solar water heater tanks.
Residential Water Conservation Rebate Program: TDPUD offered
financial rebates to residential customers for the installation of water-
saving measures including water-efficient clothes washers.
Community Programs:
Green Building Education/Installer: TDPUD partnered with the local
Sierra Green Building Association and the Town of Truckee Green
Building Committee to design and implement green building education
and training programs for the Truckee/Tahoe communities.
Green Buildings Tour: TDPUD worked with the Sierra Green Building
Association, the Town of Truckee and local groups to provide tours of
buildings in the community that incorporate green building design
features.
Landscape Water Conservation Workshops: TDPUD partnered with
local nurseries to conduct landscape water conservation workshops for
the community.
Million CFLs Program: The Million CFL°program'is a 10 year program
that is designed to provide incentives and CFL giveaways that will
result in significant lighting efficiency savings.
LED Light Swap Program: The District began an LED (light emitting
diode) lighting technology Christmas tree light swap program. The
program involves giving District customers up to three strands of LED
Christmas lights for swapping strands of old inefficient Christmas
lighting they bring in,.
Education Programs:
Public Schools: TDPUD personnel make presentations on energy issues
to local schools each year.
"Living Wise" Resource Efficiency Program: TDPUD collaborated with
the 6th grade staff in the local middle school to provide the curriculum
and resources for the "Living Wise" Resource Efficiency program.
Climate Change Symposium: TDPUD assists the Tahoe-Truckee
Regional Education Coalition w/Education Symposiums every year.
Community Education Programs:
Green Building Symposium: TDPUD helped organize and conduct a
presentation at the Truckee Home Show's Green Building Symposium.
25
Water and Power Conservation Plan
2007 Program Effectiveness
L
(A 40
O
RY Y � � � v > V� � � y
u► E .. M a� ai M d o = a n E � � d � c > w � = � o 4j
M a� aM CM � C _j c �; o
CM *' a Z3 �' x 'CV o �
aL c Z � 40 Z 0 Z � Z � C ~
Clothes
Washers 66 3 3 8,316 83,160 46 $6,600 $7,940
Dishwashers 33 1 1,389 18,054 10 $3,300 $3,593
Res Lighting 3,871 302 22 149,689 1,215,839 646_. '$11,742 $29,317
Res Refrig 68 1 1 4,935 88,834 48 $6,800 $8,206
Res Shell 12 1 1 691 9,370 5 $2,400 $2,559
Res Water
Heating 10 1,432 21,480 11 $1,250 $1,566
Non-Res
Lighting 1 74 74 252,213 3,530,982 1,957 $29,559 $87,992
Non-Res
Pumps 1 184,946 2,774,190 1,544 $183,150 $28,628
Total 4,062 382 102 603,611 7 741 909 4,267 244 801 369 801
These programs resulted in electricity savings that cost an average of
$0.05 / kWh, if we attribute all of the programs' costs to energy, not
to capacity. If we do that, the 102 kW peak reduction has no cost.
b. The 2008 'Programs
The 2008 program budget adopted by the Board in November of 2007
benefited from several months of Committee deliberations. While the
work of the Committee was far from complete, a set of interim
recommendations was put forward, and the Board, after some
deliberation of its own, embraced the interim recommendations, and
the Conservation Program budget was more than tripled from its 2007
level.
Conservation`Rebates & Refrigerator/Freezer Recycling $117,000
Residential Lighting Change-Out $5,000
Commercial Lighting Change-Out $45,000
Clothes Washers, Refrigerators/Freezers, Dishwashers $15,000
Refrigerators/Freezers Recycling $12,000
Electric Water Heaters $5,000
Ground Source Heat Pumps $5,000
Building Envelope & Distribution System Testing & Mitigation $10,000
Thermally-efficient Windows $10,000
Home & Business Electronic Equipment $10,000
Low/Moderate Income Energy Assistance Program $50,000
27
Water and Power Conservation Plan
9 Conservation Measures Considered
Electricity
The DEER database presents a comprehensive list of some 5,500
efficiency measures that could potentially be used by any utility district
in the development of its conservation/efficiency programs.
Committee members combed through the list and eliminated measures
related to residential air conditioning, because with such a small
number of homes with a/c, the measure simply would not work in
Truckee. Similarly measures that would affect commercial equipment
that is not present were eliminated.
The following lists give the set of measures finally selected by the
Committee for recommendation. Table 9-1 lists the measures that
apply to residential facilities, and Table 9'-2 lists the measures for the
Commercial Sector.
Table 9-1 Residential Measures
X = indicates existing program
Appliances
Clothes Washers X
Dishwashers X
Refrigerators X
Cooking Equipment
Building Efficiency
Attic/Ceiling Insulation
Caulking/Weatherstripping X
Floor Insulation
Wall Insulation
Windows
Electronics
Phantom Load Strategies
Battery Charging Systems
Digital-Analog Converter Boxes
Cordless Phones
TV/VCR & TV/DVD Combo Units
External Power Adapters
Home Audio
Televisions
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Water and Power Conservation Plan
Insulated Hot Food Cabinet- Energy Efficient
Insulated Hot Food Cabinet- High Performance
Display Case w/Doors- Low Temperature
Display Case w/Doors- Medium Temperature
Building Efficiency
Door Gaskets
Door Auto-Closers
Electronics
Computers
Copiers & Fax Machines
Digital Duplicators
External Power Adapters
Notebook Computers/Tablet Personal Computers
Mailing Machines
Monitors
Printers, Scanners, All-in-Ones
Water Coolers
Lighting X
Exit Signs- Light Emitting Diodes (LEDs)
Channel Sign- LEDs
Channel Sign- Replacement
Channel Sign- Retrofit
Replacing Incandescents
Replacing with Compact Fluorescent Lights (CFLs) & LEDs
Incandescent to Mercury Vapor
Fixture Replacements
Fixture Replacement- Linear Fluorescent
Hard-wired Fluorescent Fixtures
Incandescent- External Pulse Start
Fixture Replacement- CFLs
Lamp & Ballast Retrofit
Lamp & Ballast Retrofit- Dimming
Lamp & Ballast'Retrofit- Non-Dimming
Lamp Removal
Induction lamps & Fixtures
Occupancy Sensors
Photocells
High Intensity Discharge (HID) - Internal Pulse Start
HID Fixtures
Case Lighting- Electronic Ballasts
Metal Halide Pulse Start Ret. Fixture
31
Water and Power Conservation Plan
Manager, on November 6, 2007, and by Michael Holley, General
Manager on April 3, 2008.
The TDPUD watershed is protected by federal law and isolated
morphologically. The only way to lose water from this system is
through runoff into the river, or through evaporation. The aquifer
appears to be sufficient to provide for the needs of the District for the
foreseeable future.
Delivery of this water to the District's customer-owners is another
matter. The costs of pumping the water over the significant elevations
present in the service territory amount to 8% of the District's electrical
load, the largest single electricity customer. The infrastructure to
deliver the water presents a large fixed cost. The energy used in
pumping creates a significant "carbon footprint" due to the:`
predominance of coal-fired power plants in the District's supply
portfolio. All of these issues offer good reasons to conserve water,
even though the commodity itself is plentiful.
Table 9-3 shows the water conservation measures presented by the
staff, and recommended by the Committee, for adoption.
Table 9-3
Water Conservation Strategies
Residential & Commercial
X= Indicates existing program
Appliance Efficiency
Clothes Washers- Energy Star energy & water savers X
Dishwashers- Energy Star energy & water savers X
Building Efficiency
Plumbing Design/Layout & Water Heater Location
Low & Ultra-low Flush Toilets
Grey Water Systems
Rooftop/Cistern Collection
Water Audits
Landscaping
Low-water using plant species selection
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Water and Power Conservation Plan
largest customer classes, which also have a demand charge, non-time
differentiated.
The price signal for the non-demand customers is as follows: nothing
can be done about which rate class you're in, or the customer charge.
You can save some money on raw kWh consumption, but there is no
difference what time of day, or time of year you reduce consumption.
There is no difference in the cost of an avoided kWh if you are looking
at some easy and cost-effective opportunities, or whether your next
saved kWh comes at a dear cost.
Demand rates do not vary by time of year, but by their very nature
offer some incentive to stagger one's loads so that even if you end up
using the same number of kWh overall, you don't want to run all your
loads at once if you can help it. Kilowatt-hours all cost the same, so it
doesn't matter when you use them, just so long as you keep your
overall demand level minimized.
Residential water rates have a flat charge, which is unavoidable. After
paying the fee, there is no additional charge for the water, so it's free.
Saving water would be economically,pointless at best, and if it cost
you anything at all, even contrary to your economic interest.
Larger water customers are metered, so the water isn't free, but the
rate is lower the more you use, so you have an incentive to use more.
b. Tiered Rates
Rates -Electric
The intention of tiered rates is to encourage the high users to make
the changes that would reduce their electric bills. With two months of
data (]an, Aug), we calculated that the top 25% of customers use
about 50% of the energy. If a new rate schedule encourages these
customers to reduce their usage just 10%, that translates to an annual
savings of 2,392 MWh. All-electric heated homes should be given a
higher winter baseline, so these customers are not unduly penalized.
The tiered structure can be designed so that there is no negative
revenue impact. In fact, it can be set so that the TDPUD receives more
revenue for delivering the same amount of power. Annual Budget $0
Expected Savings: 2,392 MWh per year
Using tiered rates in blocks of kWh will deter people from using
excessive amounts of electricity. Charging tiered rates will also more
closely match the higher incremental cost of the power supply.
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Water and Power Conservation Plan
• District revenues will get an initial increase due to 2nd and 3rd
tier rate increases. If revenues drop, they will match a drop in
power supply costs more closely, thereby hedging the District's
risk on sales volume.
Financials
Specific rates need to be determined with the staff to calculate the
expected revenue and power supply impact. Here is an example that
would increase revenue 6% in winter and 19% in summer each
month, while keeping the rates the same for over 75% of all
customers.
Winter Tiers Summer Tiers %increase over
Tier 1
Tier 1 0 - 1,500 kWh/month 0 - 700 kWh/month n/a
Tier 1,501 - 3,000 701 - 1,400 15%
1 kWh/month kWh/month
Tier over 3,000 over 1,400 35%
3 kWh/month kWh/month,
The first tier should have a cutoff that will not cause undue hardship
for most customers.'75% 'of all customers would fall into the 1st tier of
usage in both winter and summer. Other utilities have set rates so that
70% of customers in winter and ,60% in summer fall into the first tier,
so this is a generous percentage. Since the Tier 1 rate was set at the
current P1 rate, only S1 customers would be affected. They would
have Dills that are up to 12% less than currently.
This proposed first tier structure will accomplish one of the major tasks
given to the Committee by the Board, that of giving special attention
to low-income persons. This first tier will represent the lowest rate
that the District offers for what could be considered a subsistence-level
of power.
If the second tier covers the next 21% of customers, and the rates for
this tier are 15% higher, the customer in this bracket would have bills
that increase between 0.5%-7.5% depending on season and usage.
This translates to increases on their monthly bill that range from $.90-
$26.10. S1 customers would still see a decline in their monthly bills.
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Water and Power Conservation Plan
Water rates are currently set up so that commercial customers that
use more than their allowance are charged a lower rate per gallon. We
propose that the per gallon rate for metered accounts (only
commercial at this time) increases as more water is consumed.
Water Rates
Residential water customers are currently charged a flat rate for their
water use plus a variable zone to reflect the higher cost of pumping
water to customers at upper elevations. All homes built during the last
ten years have had a water meter installed and customers will be
charged a metered rate at some point in the future, as required by
California law.
Commercial customers are charged a water allowance, a zone charge
(pumping power to higher elevations)_ and, in some cases, a variable
water fee based on actual metered water consumption. Beyond the
allowance, commercial customers are charged a separate fee based on
the amount of water use exceeding the allowance.
Commercial rates apply to all multiple dwelling units, trailer parks and
other commercial businesses.
Description
Here are the current commercial water rates (also from the TDPUD
website). All of these rates were raised 6% on both Jan 1, 2007 and
again on Jan 1, 2008.
Commercial Water Rates - Apply to all duplex and other multiple
dwelling units, trailer parks, and other commercial establishments
Size Gallons/Month Base Rate
3/4" 6,000 $44.97
1" 11,000-``.: 53.64
1-1/4" 17,000 64.57
1-1/2" 24,000 75.41
2" 43,000 103.66
3" 96,000 173.53
4" 171,000 248.30
Water used in any month above the allowance will be charged as
follows:
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Water and Power Conservation Plan
b. Overview
Other than automobiles, electrical and water consumption are the
largest energy consumers, and have probably the highest
environmental impact by the consumers in our community. TDPUD, as
the purchaser and distributor of these high use and impact
commodities is in a unique position to be a steward of our natural
resources and to contribute to the reduction of our community's green
house gas emissions by taking a leadership role in energy conservation
and the use of renewable energy sources.
Our community is significantly invested in maintaining our natural
mountain environment. Surveys have consistently shown a high
percentage of support for "living green". Additionally, there is a local
pool of professionals in these areas and many others who are well
versed in energy matters. Our community is home to many
organizations with a "green" mission.
However, there is little coordination and networking between these
individuals and organizations. While public agencies such as the
TDPUD and the Town of Truckee have begun to network with each
other and some of these organizations, there has been little to no
coordination or networking between public agencies.
Marketing is an essential and necessary part of creating a successful
Conservation Program. The PUD must either increase staff or acquire
the services of an outside marketing firm to come up with fresh
marketingstrategies. In order to ensure a successful program, the
public has to be aware that it exists and believe that their support
makes it work.
It appears that only a small percentage of residents and homeowners
are aware of and are utilizing the existing conservation programs.
Marketing, awareness building and implementation at the residential
and commercial levels are all underdeveloped.
The following ideas can help:
I. Interagency Interface
Form an interagency committee whose purpose is to create "green"
programs, rules, regulations and structures. As major energy
consumers, these agencies can jointly develop internal programs of
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Water and Power Conservation Plan
for that population or focus area. And, it would include a wide range
of avenues of intervention, education and implementation. An
essential part of this plan is a data gathering element to track and
record results. It would define specific and measurable goals and
timelines which could then be measured.
Conservation marketing opportunities specific to the town of Truckee
are available to the Truckee Donner Public Utility District.
c. Media and Marketing Outlets
After establishing the new marketing strategy, the District should
utilize a variety of outlets in the community such as: print advertising
(Sierra Sun, Moonshine Ink), direct mail (bill inserts, newsletter), radio
(KTKE), television (local programs, cable ads, Community Cable),
internet (TDPUD website, links on partner websites, email lists), public
relations (announcements, event sponsorships, news articles), and
possibly a door-to-door grassroots approach to raising awareness, and
encouraging participation in conservation programs.
d. Partnerships
The next step is creating partnerships with various groups and
companies in Truckee such as Southwest Gas, Truckee Climate Action
Network, Town of Truckee, TTUSD, Truckee Rec & Parks, Sierra
Business Council, Sierra College, SiGBA, Truckee Watershed Council,
etc., who can also promote the PUD program.
e. Outreach Opportunities
Finally, taking advantage of community events such as Truckee Clean
Up Day, Truckee River Day, Earth Day, Easter Egg Hunt, Fourth of
July, and the newly implemented LED Light Swap, are all events that
will provide an opportunity for the PUD to convey information on how
the community can participate in the various programs offered.
Holding at least one event per quarter will keep the programs in the
public eye.
Other important outreach opportunities exist in education, going to the
local schools and providing the students with important conservation
ideas and visiting low-income areas and providing information to the
residents on how to conserve and take advantage of the PUD
programs.
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Water and Power Conservation Plan
against price increases, by reducing the amount that is needed to
purchase. But at the end of the day, there has to be some electricity
supplied.
Another form of risk is due to the nature of the way the District
operates. As a distribution-only utility, it has little control over the
operation of powerplants. Further, as a captive customer it has limited
leverage when negotiating power contracts. This leverage would be
increased by developing alternatives to the negotiated settlement in
question. One of the best ways to do this would be through directly
developing generation resources.
This is not to suggest that the District should gear up for a major new
set of operations which are currently not a core competency. One of
the gray areas between supply and demand is in the area of
distributed generation (DG). They are generators, but in terms of
utility operations they look more like demand measures, particularly
when they are behind a customer's meter. In recent years, various
DG technologies, described below, have evolved that are very
accessible and appropriately scaled for TDPUD operations.
The District should look into developing generation resources within
the District, both customer-owned and District-owned. This would not
only spread its risk, but would reduce its carbon dioxide and criteria
pollutant emissions, increase reliability, efficiency, and stabilize costs.
a. Distributed Generation
Distributed Generation refers to those sources of generation that are
located nearby where the electricity is being consumed, and normally
are sized to meet the electricity needs of the load, and typically do not
export significant power to the grid. By being close to the end use of
the electricity, these generatorsdo not have losses from the electricity
distribution system, which are about 5% for a typical utility. Also, if
they make waste heat, this heat can be captured and used in the
facility.
There are several advantages to distributed generation, or DG. As
mentioned, it avoids distribution system losses. From a utility
planning perspective, it therefore bolsters the distribution system, and
may, if carefully placed where most needed, avoid distribution system
capital upgrades to accommodate load growth. When waste heat is
recovered (called variously cogeneration, combined heat and power
(CHP), or combined cooling, heat, and power (CCHP)) efficiencies up
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Water and Power Conservation Plan
Commission regulations permit this, and while it is legal, it is a
practice that is misleading at best. The District should disclose that
most of the power it buys comes from coal.
13 Organizational Dynamics
a. Management Structure
The status of a given function within an organization says a great deal
about how highly regarded that function is by the organization, in fact
more than any words can. One manifestation of this is very tangible:
the higher up the function resides on an organization chart, the more
it has the highest level resources within an organization devoted to
that task. Less tangible is how that function is regarded by other staff
members. Is association with that activity goody for one's career? If
so, people will flock to it, competition for open positions will be robust,
and the corporate culture will hold the program in high regard, which
is noticed outside the organization as well as within. Within the PUD,
conservation was once a function that reporteddirectly to the General
Manager. In recent years it has been lowered two levels.
The committee suggests that the PUD raise both its external and its
internal commitments to conservation. The PUD should be
commended for its increasing public presence: information booths, CFL
giveaways, etc. The PUD should also be commended for rising to the
challenge and increasing the conservation program budget. But the
committee notes a vacuum in broad support among PUD staff. We
propose the following:
1 All PUD staff should undertake a modest level of conservation
training, so they understand and can explain to customers what
the conservation programs are, why they are important and
what will be coming in the future. This would also help create a
positive atmosphere.
2. Staff should be offered incentives to implement conservation
practices in their own homes, and disincentives to decline.
3. Staff should be informed that conservation knowledge is
important to career advancement in this organization.
4. The PUD building should be retrofitted to increase its
efficiency to a reasonable maximum and those practices should
be demonstrated to the community with interactive displays in
both the foyer and the conservation office. The PUD must walk
the walk, not just talk the talk.
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Water and Power Conservation Plan
c. Develop and implement a comprehensive
marketing program to raise awareness of TDPUD's
conservation programs.
The simple existence of a comprehensive conservation program will
not make it effective. The public must be made aware of its existence
and be persuaded to participate. This will be an ongoing task requiring
consistent attention and imagination, as detailed in Section 11.
d. Elevate status and budget of conservation within
the organization
The organizational status of a program sends a very strong message
to staff and customers about the actual priority of the program with
the Board and District management. The conservation program should
be restored to its former position reporting directly to the General
Manager. Staffing levels need to keep pace with the increasing
workload.
e. Increase training of staff in energy and water
conservation
Every employee of the District has a role in the stewardship of
resources and the communication and implementation of the mission.
Increase the training budget to a specific percentage of payroll.
Ensure that all District employees complete a training regimen that
gives them a solid grounding in environmental consequences and
options for the provision of electricity and water services.
f. Adopt increasing tiered rates for electricity and
water
Design of rate structures is probably the most powerful tool the
District has to influence the behavior of customers and capture the
economic benefit to all of participation in District programs. Adopt a
tiered rate structure to make the last incremental kilowatt-hour of
electricity or gallon of water the most expensive one, and the first tier
encompass the subsistence allowance.
Penalty rates must reflect the seriousness with which the PUD regards
the implementation of conservation. Although customer conservation
behavior modification is the primary goal, those who refuse to change
will at least contribute monetarily to support conservation efforts by
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Water and Power Conservation Plan
lowering carbon and criteria pollutant emissions, and increasing
reliability. It should be strongly encouraged.
j. Consider District ownership of generators.
Especially with respect to DG technologies, District ownership would
hedge price risk, thereby helping to stabilize costs, increase reliability,
and provide increased negotiating leverage for the resources which still
need to be purchased.
k. Perform a Full Conservation and Distributed
Power retrofit of TDPUD District office building
Walk the talk. The District should invest in a full energy and water
efficiency retrofit of the main building on Donner Pass Rd. For
example, all conference rooms, halls, bathrooms, etc. should be
retrofit with motion sensor light switches.: All applicable programs
recommended for commercial clients should be implemented at the
main District Office.
I. Spend the full 2.85% Public goods charge fund on
energy efficiency, research and development, and
low income assistance.
The amount of funding resulting from this surcharge can be readily put
to work in the District as required by state law. The energy efficiency
portion represents cost-effective investments for the District, while the
other portions fill the needs of long-term information gathering and
humanitarian assistance. Fully fund these programs each year.
Study ramping up these funds to 5% and 8%, and perform a benefit-
cost analysis.
m.Account for the Public Benefit Funds with a
separate line item on all bills.
Concurrent with this, the funds would be credited each month to a
separate account in the system. The initial balance should be adjusted
with a journal entry. Spending from this account should be monitored
closely to confirm it fits with the legislative requirements for these
funds.
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Water and Power Conservation Plan
Sanitary District; Tahoe-Truckee Sanitation Agency; Truckee-Tahoe
Airport; and the Tahoe Truckee Unified School District.
Concluding Recommendations Going Forward
Despite its diligent efforts, the work of the Committee is not finished.
It is a good start to what must necessarily be an ongoing process.
An important conclusion the Committee came to in its first meeting is
that further study is needed. Loads need to be characterized, carbon
and criteria pollutant emissions need to be examined as a function of
time of year and time of day. Physical and economic parameters of
practical energy-using equipment need to be incorporated into the
analysis, and then knowing the cost of power at any point in time, the
interactions of end-uses and power contracts can be optimized. At
that point the District will be able to develop a vision and various
scenarios, and will be well-equipped to move forward with incentives,
mandates, programs, and other measures.
While there is much conventional wisdom to be applied to the
challenge of how to most economically provide electricity and water to
the customer-owners of the TDPU.D while minimizing or even
eliminating the criteria pollutant and COz emissions, further study and
analysis will reveal ever more effective solutions. The Committee has
identified some low-hanging fruit, which is certainly of benefit to the
ratepayer-owners of the district. The Committee expects that many
more benefits are available to move the District forward in its quest for
sustainable, non-polluting, economical energy and water services.
15 Impact of Recommendations
To be added
16 Acknowledgements
To be added
53
Public
Resolution No. 2007 - 03
RESOLUTION ESTABLISHING A CITIZEN ADVISORY
WATER AND POWER CONSERVATION COMMITTEE
WHEREAS Truckee Donner Public Utility District provides electric power and potable water to
its customers; and
WHEREAS the District must meet the entire power and water needs of its customers; and
WHEREAS the mission statement of the District recognizes the need to offer economical
rates to its customers, the need to be environmentally responsible, and to use our resources
wisely; and
WHEREAS the Board of Directors of the District is committed to conserving water and electric
power resources; and
WHEREAS the Board recognizes that discussion of the issues of water and electric power
conservation and the development of related programs are issues that Truckee's citizens wish
to participate in;
NOW THEREFORE BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE
TRUCKEE DONNER PUBLIC UTILITY DISTRICT THAT
1. There is hereby established the Citizen Advisory Water and Power Conservation
Committee consisting of approximately twenty members appointed by the Board of
Directors of the District.
2. Membership of the Committee shall be appointed so as to reflect the characteristics of
the Truckee community.
3. The Committee shall select the chair of the Committee.
4. The Committee shall submit a report to the Board of Directors within twelve months of
its formal appointment containing a description of its work, it findings and
recommendations. (or at any appropriate time)
5. The Committee shall submit monthly progress reports to the TDPUD Board of
Directors.
The duty of the Water and Power Conservation Committee shall be to recommend to
the TDPUD Board of Directors a water and power conservation plan that provides for
the needs of the community. The plan needs to incorporate the following principles:
Citizen Advisory-Water& Power Conservation Res. 2007-03
• The plan needs to satisfy the requirements of the public benefits program
related to conservation.
• The plan needs to give special attention to assisting low income persons
• The plan must deal with the issue of irrigation water practices.
• The plan needs to evaluate the cost/benefit ratio of various conservation
methods and recommend those practices that represent the best investment of
the District's limited resources
• The District has a preference for established and successful conservation
practices. Experimental conservation practices or conservation practices that
are still in the experimental or developmental phase are to be avoided.
6. The Committee shall determine its meeting schedule, conduct all of its business in
"open session", allowing any member of the public to attend and provide input, post
notices of meetings and agendas at least 24 hours prior to meetings in the same
locations where notices and agendas for meetings of the District's Board of Directors
are posted, and allow for additions to and deletions from the agendas at meetings as
determined by the Committee.
7. The Board of Directors of the District shall provide financial assistance to enable the
Committee to meet reasonable and necessary expenses. Requests for payment of
expenses shall be submitted to the District for review and action by the Board of
Directors.
8. The TDPUD Board of Directors shall appoint subject matter experts or consultants to
provide assistance to the Committee and shall pay their expenses.
9. The Committee shall be advisory to the Board of Directors and its members shall not
be considered public officials
PASSED AND ADOPTED by the Board of Directors of the Truckee Donner Public Utility
District in a meeting duly called and held within said District on the 7t' day of March, 2007.
AYES: Directors Aguera, Hemig, Sutton, Taylor and Thomason
NOES: None
ABSTAIN: None
ABSENT: None
TRUCKEE�, DONNE#,PUBLIC UTILITY DISTRICT
Tim F. Taylor, President
ATTEST:
Peter L. Holzmeister, District Clerk
2 Citizen Advisory-Water&Power Conservation Res. 2007-03