MINUTES
Energy Planning & Resources Committee
of the Clean Power Alliance of Southern California
Regular Meeting
Wednesday, January 24, 12:15 p.m.
Meeting videos are available on CPA's YouTube Channel.
http://www.youtube.com/@CPApublicmeetings
Committee Members participated in this meeting from the following locations:
Manhattan Beach City Hall
City Manager Conference Room
1400 Highland Avenue
Manhattan Beach, CA 90266
Alhambra City Hall
Conference Room A
111 S. First Street
Alhambra, CA 91802
Carson City Hall
Executive Conference Room
701 East Carson Street
Carson, CA 90745
Sierra Madre City Hall
Council Chambers
232 W. Sierra Madre Blvd.
Sierra Madre, CA 91024
West Hollywood City Hall
3rd Floor Conference Room
8300 Santa Monica Blvd.
West Hollywood, CA 90069
City of Oxnard Service Center 1
East Conference Room
214 South C Street
Oxnard, CA 93030
Thousand Oaks City Hall
Public Works Conference Room
2100 Thousand Oaks Blvd.
Thousand Oaks, CA 91362
Los Angeles County Sanitation District
1955 Workman Mill Road
Whittier, CA 90601
Clean Power Alliance
Executive Conference Room
801 S. Grand Ave., Suite 400
Los Angeles, CA 90017
CALL TO ORDER & ROLL CALL
Chair Robert Parkhurst called the meeting to order at 12:15 p.m. and, Gabriela Monzon, Board Clerk, conducted roll call.
ROLL CALL
Alhambra Jeff Maloney Committee Member Absent
Carson Reata Kulcsar Committee Member Remote
Manhattan Beach David Lesser Committee Member Remote
Oxnard Kathleen Mallory Committee Member Remote
Sierra Madre Robert Parkhurst Committee Chair Remote
South Pasadena Diana Mahmud Committee Member Absent
Thousand Oaks Helen Cox Committee Member Absent
West Hollywood Chelsea Byers Committee Member Present
All votes are unanimous, unless otherwise stated.
GENERAL PUBLIC COMMENT
There was no public comment.
CONSENT AGENDA
1. Approve Minutes from September 27, 2023, Energy Committee Meeting
2. Receive and File September-December 2023 Risk Management Team Report Motion: Committee Member Byers, West Hollywood
Second: Committee Member Kulcsar, Carson
Vote: The consent agenda was approved by a roll call vote.
REGULAR AGENDA
3. Oral Update from the Vice President of Power Supply
Lindsay Descagnia, Vice President of Power Supply, provided a report on upcoming Energy Committee items. The Committee will review long-term product content assumptions, the 2024 Integrated Resource Plan (IRP), resource adequacy (RA), and multiple RFOs.
In response to Committee Member Lesser’s question about the Committee’s role in the review process for items recommended to the Board, staff explained that the Committee usually examines technical items such as the IRP and the Energy Risk Management Policy. In response to Committee Member Chelsea Byers’ question regarding changes to product content, Ted Bardacke, CEO, responded that the process is tied in with the IRP and considers market conditions and budget. Committee Members emphasized that sufficient background and training should be provided to ensure that the Committee understands the IRP process.
4. Receive Presentation on 2023 Clean Energy & Reliability RFO and 2023 Power Ready RFO Status
John McNamara, Director of Structured Contracts, presented the status of the 2023 Clean Energy RFO Shortlist and the 2023 Power Ready RFO. In February, the Board will consider two energy storage contracts: a 60 MW stand-alone storage project and a 300 MW stand-alone storage project. Mr. McNamara reviewed the Full Capacity Deliverability Status (FCDS) that a project must receive from CAISO to provide Resource Adequacy (RA). Some of CPA’s shortlisted projects have not received FCDS but expect status from CAISO in May 2024. Mr. McNamara presented on Project C, a battery storage project in Moorpark with 300 MW / 1200 MWh, contract to start June 1, 2027, FCDS expected in 2024; and Project E, a battery storage project in Castaic with 60 MW / 240 MWh, COD expected June 1, 2026, FCDS expected in 2024.
In response to questions regarding FCDS from Committee Members Byers and Mallory, staff clarified that if a project does not receive FCDS, CPA may not have time to negotiate with other projects and could look to the next RFO; determination of FCDS is based on the availability of grid capacity at any given point and/or how many other projects are applying. Committee Member Kulcsar asked if there would be changes in the PPA terms if a developer was granted partial deliverability status. Mr. Langer responded that partial deliverability may be acceptable and the project may be downsized or the contract may be re-negotiated. Committee Member Lesser asked about the vulnerabilities of the RFO shortlist and waitlist process; Mr. Langer explained that there is more competition as the market has changed and more load serving entities have purchased more renewables. In the future, CPA may have two separate tracks for projects with FCDS and without; CPA expects that some projects won’t move forward, and staff have set procurement goals at three times what is needed.
Mr. McNamara presented on the Power Ready RFO. CPA received proposals from installation companies. The selected proposer will be fully responsible for securing permits, site leases, planning, commissioning, and maintenance of the systems. Services will be contracted through a 20-year PPA with CPA. The proposal is made up of a consortium of multiple entities with significant experience, willingness to secure a Project Labor Agreement, and commitment to bring systems online within 18 months. It scored high on the evaluation ranking. Mr. Bardacke added that staff is working to secure more communities in the program; staff is preparing for round two of recruitment in the Fall.
Committee Member Kulcsar thanked staff for implementing lessons learned from the first round of the program. Committee Member Mallory asked about current participating communities and next steps. John Spector, Program Manager of Resiliency Programs and Grants, said staff is developing materials for member agency review relating to feasibility and installation; 11 agencies are currently participating. Mr. Bardacke added that site lease will be a critical issue. In response to Committee Member Lesser’s question about flexibility in the 20-year term and other site options, Mr. Bardacke noted that 20 years is necessary for projects to be financially sound; other public agency buildings or non-profit entities may offer suitable alternative locations for member agencies to participate in the program.
COMMITTEE MEMBER COMMENTS
Chair Parkhurst reflected on the work ahead for the Energy Committee, welcomed new committee members and staff members, and expressed excitement for the SunZia project and for new cities joining CPA.
ADJOURN
Chair Parkhurst adjourned the meeting at 1:04 p.m.