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RESOLUTION 2007-05
RESOLUTION ADOPTING AN AMENDED
RENEWABLE PORTFOLIO STANDARD
WHEREAS Truckee Donner Public Utility District provides electric service to residences and businesses in
its service territory; and
WHEREAS California Senate Bill 1078, signed into law on September 12, 2002 requires the District to
adopt a Renewable Energy Portfolio whose purpose is to define the District's goal with respect to securing
renewable energy in its power supply mix; and
WHEREAS the Board of Directors of the District wish to amend the District's current Renewable Energy
Portfolio by better defining its goal for securing renewable energy resources;
NOW THEREFORE BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AS FOLLOWS:
1. The following Renewable Portfolio Standard is hereby adopted
2.The prior Renewable Portfolio Standard adopted by the Board on February 4,2004 is hereby repealed.
PURPOSE:
Truckee Donner Public Utility District's policy regarding S131078—Renewable Portfolio Standard
(RPS). This RPS will replace and update the RPS approved by the Board in 2003.
BACKGROUND:
State Senate Bill 1078 (SB1078)was signed into law on September 12, 2002 and was effective
January 1, 2003. The SB1078 legislation modifies the California Public Utilities Code to include
a specific renewable resource requirement for investor owned utilities(IOUs). SB1078 required
IOU's to maintain a minimum of 20% of their power from eligible renewable resources by 2017.
SB107 (Simitan) was passed in 2006 and accelerates the IOU target to 20% by 2010.The
legislation (SB1078) also includes provisions that apply to publicly owned utilities. These
provisions would include:
• Requirement that the governing body implement and enforce a renewable portfolio
standard to encourage renewable resources
• Each public utility governing board must define the terms of its RPS. The terms would
include:
o What qualifies as a renewable resource (i.e. whether or not to count large
hydroelectric projects (in excess of 30MW)
o The percentage of the total energy resources that are to be renewable
o The time frame in which to meet the "goal" of the defined standard
1 RPS Res. 2007-05
Discussion points:
1. Although excluded for the purposes of the IOU's requirements under SB1078, TDPUD's
future share in "large" hydroelectric projects is a valuable and critical component of the
energy needs of the community. TDPUD's allocation of the Western Area Power
Administration (WAPA) started on January 1, 2005. This power is under a long term
contract with the Department of Energy's Western Area Power Administration (WAPA).
Truckee Donner Public Utility District believes that a separation of large and small
hydroelectric projects at a 30MW level is arbitrary and ignores the unique nature of the
resources provided by WAPA and the Department of Interior's Bureau of Reclamation.
Truckee Donner Public Utility District will include all hydroelectric regardless of size and
location as meeting the District's renewable portfolio standard.
2. The District's location in the Sierra Pacific Power transmission control area differs from all
of the other publically-owned utilities in California. TDPUD is a transmission dependent
utility(TDU)electrically internal to Sierra Pacific Power's control area.The interconnection
points to Sierra Pacific Power's control area are Summit Intertie(to CAISO), Alturas Line
(to near COB), Gonder Substation near Utah (this is the current location of our existing
contract deliveries and includes the Pacific Corp and LADWP control areas), and
Midpoint Substation (to Idaho Power). This transmission configuration must be taken into
account when trying to identify future renewable resources.
POLICY:
Truckee Donner Public Utility District RPS Objectives
• Meet the intent of SB 1078 to encourage renewable resources.
• Maintain reliable overall energy supply portfolio.
• Minimize adverse impact of acquiring new renewable energy resources on customer
electric rates.
Truckee Donner Public Utility District Electric Qualified RPS Resources
• Renewable resources are defined as non-fossil fueled electric generating resources,
including hydroelectric. These would include but may not be limited to any resource that
meets the definition of "Eligible renewables" pursuant to section 398.4(h)(1) of the
California SB 1305, which sets forth the requirements for power content labels:
o Geothermal (including low-temperature geothermal heat pumps)
o Hydroelectric
o Solar
o Wind
o Biomass and waste
-100*1 o Fuel cells
2 RPS Res. 2007-05
RPS Target:
• At such time that projected resources do not exceed projected demand, TDPUD will
strive to include qualifying resources to meet projected demand.
• Truckee Donner Public Utility District resource mix will have a minimum of 21% of
renewable resources by 2010. Renewable resources are defined as non-fossil fueled
electric generating resources, including hydroelectric.
Strategies for meeting RPS objectives:
• Public benefit funds may be used to implement projects and may be used to supplement
the production projects.
• TDPUD's allocation of the Western Area Power Administration (WAPA) started on
January 1, 2005 is a non-fossil fuel resource will be included in the RPS objective.
TDPUD will strive to acquire small hydro electric from WAPA within the Sierra Pacific
control area.
• In the future, TDPUD may contract for geothermal generation in Northern Nevada and
Wind generation backed by Natural Gas.
Ongoing Review of Truckee Donner Public Utility District RPS
• A two-year review standard of the RPS will address changes in the Truckee Donner
l-- Public Utility District power portfolio including market power purchases, entitlement shares
of projects and potential changes in the renewable energy technologies.
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 21 st day of March, 2007.
AYES: Directors Aguera, Hemig, Sutton, Taylor and Thomason
NOES: None
ABSTAIN: None
ABSENT: None
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
Tim F. Taylor, esi
ATTEST: V"�
Peter L. Holzmeister, District Clerk
3 RPS Res. 2007-05