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CA Digest CALIFORNIA Roundup, October 2015

A Message from LEAN’s Executive Director

Over the past year, CCA has evolved from an anomaly to an almost-standard item on the agendas of many local governments in California. Many coastal counties and several inland communities are in some stage of inquiry, and several are in pre-launch. Case in point, the San Mateo County Board of Supervisors had the first reading of their CCA ordinance on October 20, putting them on pace to be the next operational CCA in California!

California’s state leadership has recognized CCA as a viable and important part of the state’s energy strategy. And yet, there remain inconsistent signals about where the state’s energy policy and infrastructure is headed– in ways that will affect CCA in the future. For example, California has made a commitment to new and better green technologies, but the CPUC continues to approve gas-fired central station generation and appears to support utility proposals that could hurt development of behind-the-meter energy resources. While the State says it’s committed to increasing distributed resources, it seems to be setting up a process to support massive investments in transmission and huge, utility-scale renewable projects that have significant environmental impacts.

Bigger and more centralized resources may be increasingly anachronistic and yet we will be saddled with their environmental and economic costs for many years to come. Although the state’s CCAs have and should continue to have different power supply strategies, a few things are constant: California CCAs are proving to be effective vehicles for new clean power development, energy conservation programs, and the integration of clean technology at the local level. And that’s a story we plan to tell the world as we head to the UN Conference on Climate in Paris next month.

With the passage of SB 350 and the Governor’s explicit commitment to leadership on climate and energy, we will have many opportunities to raise these issues and inconsistences–and we appreciate your support and participation in the process.
Shawn Marshall signature
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We’re Headed to Paris!     

LEAN Energy US is among a small but mighty CCA delegation that is attending the UN Climate Talks in Paris this December. Thanks to the efforts of Tom and Jane Kelly and the support of the Sequoia Foundation, we’ll be sharing the results of California’s CCA leadership on Saturday, December 5thalongside colleagues from Columbia and India who will be sharing their stories of local energy innovation and climate solutions. It is a wonderful collaboration!
Watch our Facebook page for up-to-the-minute posts on the happenings in Paris. And check our website page for updates and downloads. We are thrilled to have the opportunity to bring clean energy CCA to the world stage!
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Update of CCA Program Developments in California
Earlier this week! The Contra Costa County Board of Supervisors approved exploration of CCA program options for the county and its cities. The San Mateo County Board of Supervisors voted unanimously to pass their CCA ordinance, putting Peninsula Clean Energy in the lead to be the next operational CCA in the State.
Other updates …   

City / County of San Francisco  
Announced a 6 week delay in program launch to deal with 50+ bids for power services exceeding SFPUC spending cap!
Los Angeles County  Technical Study underway; BKi is lead author; SouthBay Clean Power has secured supporting resolutions from 13 of the 16 Southbay COG communities.
City of San Diego  
Initial study published by Protect Our Communities Foundation shows viability in San Diego with one big regulatory challenge. Validation study planned shortly.
Mendocino County 
Has engaged LEAN to support community education effort, working on service RFP and program options with Lake and Humboldt Counties.
City of Davis / Yolo County  
Technical Study underway which will include an analysis of forming their own CCA or joinging Marin’s program; The Energy Authority is lead author.
Santa Barbara County / Ventura & San Luis Obispo 
SLO County voted to join with Santa Barbara County and Ventura County to develop tech study and allocated $50,000 to the work; load data authorizations and CCE advisory committee development underway.
Elsewhere…   
First New York program soon to launch with approximately 150,000 customers, expansion already occurring to neighboring counties in NY. Interest from some areas in UT is re-emerging.

 

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The Latest from California CCAs
MCE UPDATE–MCE’s CEO, Dawn Weisz, reports on MCE’s progress with various programs:

    Energy Efficiency–MCE has applied to the CPUC to be default services provider, which would allow MCE to roll in cheaper program components (now performed by PG&E) into more comprehensive building envelope projects, making MCE projects more cost-effective overall. MCE also wants to be the single point of contact for customers in order to improve market penetration and level of service. As part of this approach, MCE would offer services related to traditional energy efficiency improvements, storage, demand response, solar, water heating and water conservation measures. MCE is already working with the local water district to leverage the conservation programs of both agencies.

    Hiring for Local Energy Project Construction –MCE has a 50% local hire requirement for its 10.5 MW solar project in the City of Richmond. It is working with RichmondBUILD’s construction training program to get local residents work on the project. It has also coordinated efforts with the Laborer’s Union and iBEW. IBEW states it will not be able to provide job candidates for the project but the Laborer’s Union continues to collaborate with MCE on this.

    Integrated Resource Planning–MCE’s new 10-year integrated energy planincludes a supply portfolio that is 80% renewable and 95% greenhouse gas free by 2025! The County’s new climate action goal for 2030 would reduce greenhouse gas emissions to levels 30% below 1990 levels. Press release here…
For more information on MCE’s programs, please visitwww.mcecleanenery.com
LCE FULLY LAUNCHED! Lancaster Choice Energy’s program director, Barbara Boswell, reports that the City launched its citywide CCA program on October 1. Opt out rate so far is less than 5%, although Barbara warns that number could go up with additional customer notices. LCE has experienced some operational challenges in its interface with SCE but they are not expected to be ongoing or expensive to fix.

Kudos to LCE for some great regulatory victories this past week including the Energy Division’s rejection of SCE’s attempt (in an advice letter) to remove the PCIA exemption for CARE customers.  This sets important precedent for CCAs in Edison territory. See the SCE disposition letter here. We’ll have more to report about LCE’s regulatory victories next month.

For more info on LCE’s program please visit www.lancasterchoicenergy.com
SCP UPDATE –Kate Kelly, Director of Public Affairs and Marketing, reports on some key SCP updates:
  • SCP hosted the “Drive Electric” vehicle event with Tesla that was well-attended; SCP has stated its objective to support EV development in its service area as part of its resource strategy
  • SCP’s feed-in tariff is already 50% subscribed
  • SCP has started its “Recapture” campaign, designed to invite opt-out customers back to SCP

For more info on SCP’s programs, please visit www.sonomacleanpower.org

What Are “Back Office Operations,” Anyway?

Drake Welch, VP of Customer Care at Noble Energy Solutions, describes the nature of CCA “back office” services.
Back office functions are the components of a CCA’s operations that manage load and meter data, and interface with customers and the utility on billing issues and data requirements. These services include:

  • Electronic Data Communication, including EDI certification
  • Customer Information System (CIS)/ Customer Relationship Management (CRM) System that provides electronic data management and information
  • Billing Administration Services
  • Settlement Quality Meter Data Reporting Services
  • Customer Call Center Services
  • Qualified Reporting Entity (QRE) Services, including reports required by CAISO for firming and shaping delivered supplies and settlements
  • Reporting Services, including information about Aging, Call Center Statistics, Cash Receipts, Collections, Invoice Summary, Opt Up/Out Transactions, Snapshot, Unbilled 810s
For a copy of Drake’s slide presentation on this topic, please contact Alison Elliott at LEAN Energy, aelliott@leanenergyus.org.
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Regulatory and Legislative Happenings
A couple of CPUC updates this month…
  • PG&E 2016 ERRA Application (A. 15-06-001) MCE, SCP and LEAN filed briefs opposing PG&E’s proposal to increase the PCIA by 70%. The briefs proposed addressing ways to stabilize the PCIA rate with a sort of amortization account or in another phase of the proceeding. LEAN will be asking for your support on the opposition to this unprecedented rate increase during the decision-making process – more on this soon.
  • Long Term Procurement Planning Rulemaking (LTPP) (R. 13-12-010) – The ALJ in the proceeding published a proposed decision that would, among other things, require SCE and PG&E to incorporate CCA forecasted load losses in their demand forecasts. While this is already Commission policy, its application has been in question.
In Sacramento…
  • Governor Vetoes SB 660 (Leno)–In spite of overwhelming support from both sides of the aisle, Governor Brown vetoes SB 660, which would have required various reforms to CPUC decision-making. You can see the veto message here.
PCIA and CAM Decoded…
  • MCE has provided an overview of two regulatory “mechanisms” that are key for CCAs, which should help the rest of us understand these complicated issues and how they affect CCA operations and customers. This is an important document that outlines policy recommendations and regulatory fixes to these vexing issues. (view here)
If you would like more information or have ideas for collaboration, please contact Kim Malcolm  kmalcolm@leanenergyus.org

 
Thanks to our Members!
barn raising pix
We’d like to extend an enthusiastic thanks to all our members, whether you’re new on the scene or renewing your membership. Your support is critical to our success, and to the success of CCA everywhere.

Thanks to our newest members!

BKi Energy Services
San Mateo Community Choice
South Bay Clean Power
David McCoard 

What?

You say you’re not a member yet?! You can join through our website
 sign-up form, or contact LEAN’s Administrative Coordinator, AlisonElliott, at aelliott@leanenergyus.org

Click here for our membership flyer information.
You can see logos of all our current members on our website HOME page. Please take the time to peruse their websites–you may find some important contacts there.

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Our Consulting Clients 
In addition to providing information resources to all interested parties, LEAN Energy also provides consulting services to communities involved in CCA investigation and development.

Whether you’re just considering formation or further along, LEAN can help flatten your learning curve, provide critical guidance, and prep you for launch in record time. You’ll learn from those who’ve already done it successfully and from those who are well along the path.

Here are some of LEAN’s current CCA consulting clients:

Alameda County

Contra Costa County

San Mateo County
Silicon Valley CCE Partnership
Santa Cruz County/Monterey Bay        Community Power
City of Davis
Santa Barbara County
Mendocino County

Looking for help with CCA Formation? Call Us!   

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Odds and Ends
Educational Workshops Available

Would a workshop on CPUC regulation or an informational CCA webinar be useful for your community or working group? LEAN Energy can help!

To inquire or schedule a session, contact Alison Elliottaelliott@leanenergyus.org

 

 

Next Monthly Market Call
Friday, Nov. 13th, 10-11 am
Join us to hear about all the latest developments in the CA marketplace. Contact Alison Elliott for more information.aelliott@leanenergyus.org or register here.

Help Design our Market Calls
We’re asking for input and suggestions about what’s most important to YOU.

Please

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to take our very brief survey and make sure your voice is heard!
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Acronym Cheat Sheet 

Are the acronyms and abbreviations stumping you? Here’s a quick glossary of some frequently used terms:

 

ALJ – Administrative Law Judge 

BoS – Board of Supervisors

CAISO – California Independent System Operator

CAM – Cost Allocation Mechanism

CIS – Customer Information System

CPUC – California Public Utility Commission

CRM – Customer Relationship Management

ERRA – Energy Resource Recovery Account

iBank – California Infrastructure & Economic Development BankIBEW – Int’l Brotherhood of Electrical Workers

ISO – Independent System Operator 

JPA – Joint Powers Authority

PCIA – Power Charge Indifference Adjustment

PPA – Power Purchase Agreement

QRE – Qualified Reporting Entity

REC – Renewable Energy Credit

T & D Rates – Transmission and Distribution Rates
TOU Rates – Time of Use Rates

CCA vs. CCE – What’s the difference? Nothing!
Community Choice Aggregation is sometimes called Community Choice Energy. The first is a legal term; the second is more descriptive and consumer-friendly.

LEAN Energy US
www.LEANenergyus.org / 415-888-8007

PO Box 961 / Mill Valley / CA  94941