Energy Planning & Resources Committee
of the Clean Power Alliance of Southern California
Regular Meeting
Tuesday, May 28, 2024
11:00 a.m.
Visit CPA’s YouTube Channel to watch a Live Stream of the Meeting *There may be a streaming delay of up to 90 seconds. This is a view-only live stream.
Clean Power Alliance
Executive Conference Room
801 S. Grand Ave., Suite 400
Los Angeles, CA 90017
Members of the public may also participate in this meeting remotely at the following locations:
Manhattan Beach City Hall
City Manager Conference Room
1400 Highland Avenue
Manhattan Beach, CA 90266
Alhambra City Hall
Conference Room C
111 S. First St.
Alhambra, CA 91801
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
PUBLIC COMMENT: Members of the public may submit their comments by one of the following options:
• Email Public Comment: Members of the public are encouraged to submit written comments on any agenda item to [email protected] up to four hours before the meeting. Written public comments will be announced at the meeting and become part of the meeting record. Public comments received in writing will not be read aloud at the meeting. • Provide Public Comment During the Meeting: The General Public Comment item is reserved for persons wishing to address the Committee on any Clean Power Alliance-related matters not on today’s agenda. Public comments on matters on today’s Consent Agenda and Regular Agenda shall be heard at the time the matter is called. Comments on items on the Consent Agenda are consolidated into one public comment period. Members of the public who wish to address the Committee at CPA’s Office are requested to complete a comment card and provide it to staff. If you are attending from a remote location, please identify yourself to a CPA representative when your item is called. Each speaker is limited to two (2) minutes (in whole-minute increments) per agenda item with a cumulative total of five 5 minutes to be allocated between the General Public Comment, Agenda Page 1
the entire Consent Agenda, or individual items in the Regular Agenda. Please refer to Policy No. 8 – Public Comment for additional information.
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If the PDF is downloaded, the bookmark panel (ribbon icon) appears on the left side of the screen.
ACCESSIBILITY: Meetings are accessible to people with disabilities. Individuals who need special assistance or a disability-related modification or accommodation to participate in this meeting, or who have a disability and wish to request an alternative format for the meeting materials, should contact the Clerk of the Board at least two (2) working days before the meeting at [email protected] or (213) 713- 5995. Notification in advance of the meeting, while not required, will enable us to make reasonable arrangements to ensure accessibility to this meeting and the materials related to it.
CALL TO ORDER & ROLL CALL
GENERAL PUBLIC COMMENT
CONSENT AGENDA
1. Approve Minutes from the April 24, 2024, Energy Committee Meeting
2. Receive and File April 2024 Risk Management Team Report
REGULAR AGENDA
3. Oral Update from the Vice President of Power Supply
4. Receive Presentation on 2024 Clean Energy & Reliability RFO Overview and Provide Feedback
COMMITTEE MEMBER COMMENTS
ADJOURN – NEXT MEETING JUNE 26, 2024
Public Records: Public records that relate to any item on the open session agenda for a Committee Meeting are available for public inspection. Those records that are distributed less than 72 hours prior to the meeting are available for public inspection at the same time they are distributed to all, or a majority of, the members of the Committee. Public records are available for inspection at CPA’s Office at 801 S. Grand Ave., Suite 400, Los Angeles, CA 90017, or online at www.cleanpoweralliance.org/agendas.
Agenda Page 2
Staff Report – Agenda Item 1
To: Energy Planning & Resources Committee
Subject: Approve Minutes from the April 24, 2024 Energy Committee Meeting
Date: May 28, 2024
RECOMMENDATION
Approve.
ATTACHMENT
1. Minutes
Agenda Page 3
Energy Planning & Resources Committee Item 1
MINUTES
Energy Planning & Resources Committee
of the Clean Power Alliance of Southern California
Regular Meeting
Wednesday, April 24, 2024, 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
CPA Office
Executive Conference Room
801 S. Grand Ave., Suite 400
Los Angeles, CA 90017
Alhambra City Hall
Conference Room A
111 S. First Street
Alhambra, CA 91802
Los Angeles County Sanitation District
1955 Workman Mill Road
Whittier, CA 90601
West Hollywood City Hall
3rd Floor Conference Room
8300 Santa Monica Blvd.
West Hollywood, CA 90069
Sierra Madre City Hall
Council Chambers
232 W. Sierra Madre Blvd.
Sierra Madre, CA 91024
City of Oxnard Service Center 1
East Conference Room
214 South C Street
Oxnard, CA 93030
CALL TO ORDER & ROLL CALL
Chair 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 Remote
Carson Reata Kulcsar Committee Member Absent
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 Remote
All votes are unanimous, unless otherwise stated.
Agenda Page 4
Energy Planning & Resources Committee Item 1
GENERAL PUBLIC COMMENT
There was no public comment.
CONSENT AGENDA
1. Approve Minutes from February 28, 2024, Energy Committee Meeting
2. Receive and File March 2024 Risk Management Team Report Motion: Committee Member Byers, West Hollywood
Second: Committee Member Lesser, Manhattan Beach
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 an oral report on an upcoming energy storage contract.
4. Authorize CPA Staff to Enter Contract Negotiations with Two Bilateral Offers (Projects A and B) and Two Bilateral Offers (Projects C and D) Provided That Projects C and D Meet Certain Valuation Thresholds, as Recommended by the RFO Review Team
Ms. Descagnia presented the item. The 2023 Clean Energy and Reliability Request for Offers (RFO) aims to fill a larger portion of CPA’s portfolio with long-term contracts. In September 2023, the Energy Committee approved a shortlist of 10 projects and a waitlist of 17 projects. Staff believes there is risk related to CPA’s near-term goal of having 95% of its annual renewable energy and 90% of RA needs under long-term contract by 2027 because of changing market conditions and uncertainty around new project development. Staff recommend consideration of high-value bilateral project offers with FCDS, or a high likelihood to receive it, and not wait until the next RFO to consider the offers. Lower risk, viable projects with FCDS may not be available in the next RFO. CPA has been presented with four bilateral offers that meet these conditions of high-value projects with FCDS, or likely to receive it. Staff is recommending entering into contract negotiations for three of the offers and conditionally recommended one other offer contingent on valuation thresholds, recommended by the review team. Ms. Descagnia presented details about FCDS, a designation approved by CAISO. Two of the projects under committee consideration have FCDS. The two that do not are expected to receive notice from CAISO of an allocation at the end of May if they can secure a long-term contract. Ms. Descagnia also described challenging market conditions, such as limited supply, lack of available interconnection, FCDS challenges, rising financing, and supply chain issues.
Ms. Descagnia described the RFO shortlist, noting that some projects did drop out, with four remaining. Chair Parkhurst asked if the withdrawn projects were procured by another agency or if they failed to meet delivery or infrastructure demands. Staff responded that sometimes a project goes to another CCA, and in other cases there were contract terms that CPA was unwilling to agree to. Ms. Descagnia presented the details of four projects for Energy Committee approval. Projects B and C have FCDS; Projects A and D do not have FCDS. Project C would enter negotiations should it meet certain valuation thresholds.
Agenda Page 5
Energy Planning & Resources Committee Item 1
In response to Committee Member Byers’ question about relationships with energy project developers, staff stated that building relationships is important in the industry; one project can lead to another as both parties learn to work together and negotiate efficiently. Two of the projects under consideration are with a developer who has had contracts with CPA. Committee Member Lesser asked about CPA’s RA levels and if CPA can play a role in the industry to address structural limitations related to energy procurement. Regarding RA, staff responded that CPA is far from having too much RA, but if it did, it could sell the excess. If the RA was purchased at a low price and then sold at a peak time, CPA may profit. With regards to CPA’s role in the industry, CPA has informed regulators about the impact of their decisions, as well as adopted a Board position in favor of regionalization of the Western energy grid, involving governance reform of CAISO. Staff noted that CAISO now allows LSEs to participate in evaluating energy projects and gives LSEs priority in procurement over corporate buyers. In response to Committee Member Mallory’s question about standalone storage projects terms, staff explained that terms are usually 10- or 15-years, especially if its RA-only; CPA’s RFOs allow the developers the discretion to bid from 10 to 20 years.
Motion: Committee Member Lesser, Manhattan Beach
Second: Committee Member Byers, West Hollywood
Vote: The item was approved by a roll call vote.
COMMITTEE MEMBER COMMENTS
Chair Parkhurst reported that in the months of March and April, over a 40-day period, California had 100% renewable energy for 38 days and noted there was a time when people did not believe the grid could be run on 100% renewables; he expressed pride that California has had success, and thanked Committee Members for their service.
Committee Member Lesser stated he looks forward to working with the CPA to enlarge its role in dealing with structural limitations in the industry related to green energy generation.
ADJOURN
Chair Parkhurst adjourned the meeting at 12:09.
Agenda Page 6
Staff Report – Agenda Item 2
To: Energy Committee
From: Lyon Hardgrave, Director, Energy Risk Management
Approved By: Ted Bardacke, Chief Executive Officer
David McNeil, Chief Financial Officer
Subject: Receive and File April 2024 Risk Management Team Report Date: May 28, 2024
April 2024 RMT REPORT
Key Actions
• Reviewed the counterparty credit exposure summary
• Reviewed January 2024 day-ahead load forecast performance • Reviewed March 2024 market performance
• Reviewed energy positions and approved 2024-2028 hedges for monthly RFO • Reviewed positions for Resource Adequacy (RA), RPS and Carbon-Free energy • products (CF)
• Update provided on 2024 Long Term PPA deliveries
• Reviewed the 2025-2027 slice of day RA position
• Reviewed Energy Risk Management Policy (ERMP) compliance for RA, REC, CF, and Energy
• Reviewed April 2024 CRR Allocations
• Reviewed and approved the Negative REC Price Strategy Policy Compliance
Policy Deviation Required Action
In December 2023, the
second quarter (April to
June) Energy Hedge
Position increased above
the maximum second
quarter hedge limit
starting in 2027 and
continuing in the second
None.
The policy deviations arise from CPA continuing to enter into long term contracts for renewable energy consistent with its objective to reduce exposure to the short-term renewable energy market. The deviations occur during
the second quarter because electricity consumption by
CPA customers is projected to be at its lowest level in this quarter. The deviations are expected to resolve
Agenda Page 7
Energy Committee Item 2
quarter of each year
through the end of the
measurement window in
2033.
themselves as the electricity production period nears and the corresponding policy hedge limit maximums increase
above the level of energy hedges under contract.
During the 2024 ERMP review, staff will consider
proposing an amendment to the ERMP, increasing the
maximum hedge limit in the second quarter of years that are four and more years in the future to eliminate policy deviations caused by load and generation patterns
specific to the second quarter.
ATTACHMENT
None.
Agenda Page 8
Staff Report – Agenda Item 3
To: Energy Planning & Resources Committee
From: Lindsay Descagnia, Vice President, Power Supply
Subject: Oral Update from Vice President, Power Supply
Date: May 28, 2024
The VP will provide an oral report on CPA energy procurement activities, including:
Update on Integrated Resource Plan
2024 Resource Adequacy compliance
Preview of PPA for June Board Meeting
Agenda Page 9
Staff Report – Agenda Item 4
To: Energy Planning & Resources Committee
From: Lindsay Descagnia, Vice President, Power Supply
Approved By: Ted Bardacke, Chief Executive Officer
Subject: 2024 Clean Energy & Reliability RFO Overview
Date: May 28, 2024
RECOMMENDATION
Staff will provide a presentation on the item and request feedback from the Energy Committee.
ATTACHMENTS
1. Presentation on 2024 Clean Energy and Reliability RFO Launch Agenda Page 10
2024 Clean Energy and
Reliability RFO Launch
May 28, 2024
Agenda Page 11
CPA intends to launch the 2024 Clean Energy and Reliability Request for Offers (RFO) in early June
Staff continues to recommend securing renewable energy and Resource Adequacy supply under long-term contracts to reduce exposure to short-term market volatility
The RFO design for 2024 will be similar to 2023, with modifications to incorporate changes for early-stage projects in the California Independent System Operator’s (CAISO) Queue Cluster (QC)15 to request grid interconnection
2 Executive Summary
The purpose of this meeting is to give an overview of the 2024 Clean Energy and Reliability RFO design for Energy Committee’s feedback
Agenda Page 12
Agenda
RFO Overview
Next Steps
Agenda Page 13
3 RFO Overview
Agenda Page 14
4 RFO Overview and Goals
The purpose of the 2024 Clean Energy and Reliability RFO is to fill a larger portion of CPA’s portfolio needs for renewable energy and RA with long-term contracts and satisfy CPA’s small remaining Mid-term Reliability (MTR) compliance requirements for baseload resources.
Similar to the 2023 RFO, the 2024 has a ‘fast track’ provision that will allow CPA to target high-value projects that have Full Capacity Deliverability Status (FCDS)
For the first time, CPA also has an opportunity to allocate “Commercial Interest Points” and enter exclusive negotiations with QC 15 projects which are in the early stages of development.
Agenda Page 15
5 Significant Changes to the 2024 RFO
1) New Minimum System Size Requirements:
Staff intends to increase the minimum size eligibility requirement for most product categories from 5 MW to 15 MW to concentrate on offers that will be impactful to CPA’s procurement needs. The minimum size eligibility requirement for projects located within Los Angeles or Ventura county will remain at 5 MWs. CPA also intends to issue another Power Share RFO for smaller projects once the CPUC provides guidance on program refinement and/or expansion.
2) Energy-Only RPS contracts:
Staff intends to allow for “Energy-Only” offers which are offers that will not include Full Capacity Deliverability Status (FCDS) and don’t provide RA. Energy-Only projects provide CPA with the opportunity to contract for projects that supply just renewable energy under long-term Power Purchase Agreements (PPAs). 3) Blended Fuel or Hybrid Natural Gas Projects with Reduced Emissions:
Similar to 2023, staff intends to allow offers for energy and RA from natural gas projects. The difference in 2024 is a requirement that all products must come from facilities that utilize blended fuels and/or add battery energy storage in order to reduce GHG-emissions.
4) Specific instructions for Queue Cluster 15 (QC 15) projects:
A separate track in the RFO will be implemented to accommodate CAISO’s Queue Cluster (QC) 15 projects.
Load Serving Entities (LSEs) may allocate points to projects that will allow the projects to continue in the interconnection study process. This will require CPA to evaluate projects at a much earlier stage of development than usually considered for point allocation purposes. The RFO changes are intended to increase CPA’s opportunity to contract for the projects after completing the interconnection study process.
Agenda Page 16
6 Product Types and Eligibility
7 Product Types Description of Eligible Resources Term (Years) Size (MW) 3 Max Start Date4 Renewable Portfolio
Standard (RPS)
Generation Only
Solar, wind, geothermal, biomass, small hydro (bundled
with RA or energy-only) 10 to 201 15 to 500 December 31, 20302 RPS Generation +
Storage RPS generation paired with storage 10 to 20 15 to 500 December 31, 2030 Standalone Storage Standalone storage facilities with a minimum duration of at least 4 hours 10 to 20 15 to 500 December 31, 2030
Resource Adequacy
(RA) - Only Offers from any technology for RA capacity (no energy) 5 to 15 15 to 500 December 31, 2030 Blended or Hybrid
Tolls
Natural gas facilities that reduce emissions by converting to a blended fuel source and/or adding battery energy
storage
2 to 10 10 MW Minimum December 31, 2030
1 Term limits for Energy Only offers will be 5 to 20 years 2 MTR Eligible baseload projects can come online as late as 6/1/2031 3 The minimum size eligibility requirement for projects located within Los Angeles or Ventura county (excluding product type Blended or Hybrid Tolls) will remain at 5 MWs 4 There will be no limitation on the max start date for any QC 15 project bidding into the RFO Agenda Page 17
Evaluation Criteria
With the exception of natural gas tolls, projects will be ranked using CPA’s standard criteria (see Appendix for detailed descriptions):
Environmental
Stewardship
Workforce
Development
Quantitative
Evaluation
(Value)
Development
Risk
Project
Location
Benefits to
DACs
Agenda Page 18
8 Impediments to near-term project development persist, including:
o A limited number of viable projects on the market, all of which are in high demand as a result of the CPUC’s Mid-term Reliability procurement orders o A lack of available interconnection and difficulty obtaining FCDS o Supply chain issues for batteries, solar panels and wind turbine components remain o Rising financing costs due to increased demand on banks and uncertainty in tax credit values
In order to secure high value projects, CPA will allow for fast-track negotiations in the RFO to shorten the potential execution timeline
o RFO participants may request fast tracked negotiations which CPA will consider on a case-by-case basis o Staff may also identify projects with FCDS that should be fast tracked o Staff may engage in negotiations for fast track offers ahead of shortlisting notifications, but final shortlisting decisions will be made by the RFO Review Team 9 Fast Track Negotiations
Agenda Page 19
Due to an increasing and unprecedented number of applications over the last several years, the CAISO has implemented a significant change to the interconnection process, starting with Queue Cluster 15 projects.
The Interconnection Process Enhancements (IPE) are designed to narrow down the pool of applications for projects to those most ready to be studied.
CAISO’s intent with the new process is to encourage project developers to focus on the most viable projects and invest time and money prior to submitting an interconnection request.
CAISO has created criteria that will rank and score projects against one another to qualify for entering the CAISO’s interconnection queue to start the study phase of the interconnection process.
For the first time, Load Serving Entities (LSEs) will be part of the process. Each LSE will have the ability to allocate points to individual projects which will increase the likelihood that a project is studied and ultimately interconnects to the grid. 10 QC 15 Interconnection Process Enhancements
Agenda Page 20
CAISO
Interconnection
Queue
Interconnection Requests for
Cluster 15
Projects Capacity (GW)
541 354
Agenda Page 21
11 1. Commercial Interest: Opportunity for LSEs to express interest in particular projects. • LSE point allocation is based on load share
• LSE points will account for 30% of the overall scoring weight • CAISO encourages LSEs to solicit QC 15 projects, conduct due diligence and allocate LSE scoring points • LSE’s will have to allocate their points to projects by a certain date (expected December 22, 2024) • 79,000 MW of allocated capacity (points) are available. There are 354,000 MW in the queue.
2. Project Viability: Developers will be given scores based on two separate criteria:
• Percent completion of engineering design plan
• New build or expansion of existing facility
3. System Need: Developers will be given scores based on two separate criteria:
• Located in a designated Transmission Zone
• Long-Lead Time Resources (defined as geothermal, out-of-state wind, offshore wind, pumped hydro and long duration energy storage)
12 CAISO Scoring Process for QC 15 Projects
There are three key categories CAISO will use to evaluate projects in order for projects to advance in the interconnection study process.
Agenda Page 22
13 CPA’s QC 15 RFO and Scoring Process
CPA will evaluate offers and allocate points to projects submitted as part of the 2024 Clean Energy and Reliability Request for Offers (RFO)
• Developers will complete QC 15 specific questions in the Offer Form as part of the submittal process into CPA’s 2024 Clean Energy and Reliability RFO.
• Projects will be at an early stage, so certain details will be preliminary, including submission of an indicative price
• Projects will be evaluated and ranked based on quantitative and qualitative metrics in alignment with CPAs traditional scoring criteria
• Top ranked projects will be offered Commercial Interest points. In return, the developer must sign an Exclusivity Agreement that will require the developer to rebid the project after the interconnection study process is complete, when there is more certainty of the project's timelines and costs, and the developer can bid a firm price
• As part of the Exclusivity Agreement, CPA will collect a collateral deposit from the developer which will only be returned if the project fails to be studied, withdraws from the interconnection process, or executes a PPA with CPA
Agenda Page 23
NEXT STEPS
Agenda Page 24
14 RFO Process
• Staff presents confidential valuation results to RFO Review Team • Review Team meets to develop shortlisting approach and recommended shortlist for Energy Committee consideration • Shortlisted bidders are invited to enter exclusivity
• Negotiations begin for bidders in exclusivity except those Fast Tracked or QC 15 • Intake all offers in partnership with Ascend Analytics • Perform quality control (QC) on all offers
• Perform valuation and enter into negotiations with fast track candidates • PPAs brought to full Board for approval on a rolling basis • Announce RFO to market
• Recommended shortlist presented to Energy Committee for approval • Confidential information is removed
Agenda Page 25
Backup Slides
Agenda Page 26
16 Zonal Approach: The CAISO will make information available to stakeholders to enable the zonal approach, which encourages interconnection requests in transmission zones with available and approved transmission capacity.
FERC Order No. 2023: Interconnection requests will have to meet FERC Order No. 2023 requirements for site control, entry fees, and deposits, and are expected to submit documentation to enable their progression through the interconnection process.
Scoring Criteria: The ISO proposes to score interconnection requests based on a set of clear and verifiable criteria used to rank the projects for progression to the study process.
17 Highlighted Changes to the Interconnection Process
CAISO’s plan includes the following, among other changes:
Agenda Page 27
APPENDIX:
Qualitative
Scoring for
Renewable
Resources
Agenda Page 28
18 Development Score
Projects will be ranked from high (good) to low (bad)
The development risk metric is a composite rank based on a number of factors impacting project risk:
o Site control
o Interconnection status
o Environmental screens
o Land use and permits
o Project financing
o Developer experience
o In the case of QC 15 projects, CPA will also include a separate numerical score Agenda Page 29
Environmental Stewardship
Projects are ranked high, medium, neutral, and low based on the following prioritization:
Demonstrates multiple benefits (provides additional societal, health, economic, water saving, or environmental benefits beyond the climate and GHG reduction benefits of renewable energy)
HIGH
Located in an area designated as a preferred renewable energy zone and received required land use entitlement permits
MEDIUM
LOW Project is located in a high conflict area
NEUTRAL Project does not demonstrate either preference or avoidance criteria Agenda Page 30
Workforce Development
Projects are ranked high, medium, and low based on the following prioritization:
The project will use targeted-hire, union labor, or multi-trade project labor agreements (including requirements for state-apprenticeship graduates) HIGH The project does not have a labor agreement, but can demonstrate prevailing wage, union labor, and targeted hire commitments MEDIUM The project does not demonstrate prevailing wage, union labor, and targeted hire commitments
LOW
Agenda Page 31
Benefits to Disadvantaged Communities
(excluding tolls)
Projects are ranked high, medium, neutral, and low based on the following prioritization:
Located within a DAC and demonstrates DAC workforce and community development benefits HIGH
Project not located within a DAC but can demonstrate DAC benefits and has completed community outreach MEDIUM
LOW Project is inconsistent with community priorities
NEUTRAL Project does not demonstrate DAC benefits
Agenda Page 32
Project Location (excluding tolls)
HIGH In Los Angeles and Ventura counties
Other counties within California
Projects located within a Federally-designated energy community or on tribal lands with demonstrated community support (including outside of California)
MEDIUM
Projects outside of California not located in a Federally-designated energy community or on tribal lands without demonstrated community support LOW
Projects are ranked high, medium, and low based on the following prioritization:
Agenda Page 33
APPENDIX:
Natural Gas Tolls
Evaluation Criteria
Agenda Page 34
24 Toll Evaluation Criteria
CPA could receive tolling offers from hybrid natural gas facilities that incorporate battery energy storage or convert to a blended fuel source, such as green hydrogen Only offers that can demonstrate a plan for transition to a cleaner alternative will be eligible for participation in this RFO
CPA will use the following criteria when evaluating these offers:
Workforce
Development
Quantitative
Evaluation
(Value)
Plan for
Transition to
Cleaner
Operations
Benefits to
DACs
25 GHG
Emissions
Agenda Page 35
GHG Emissions
26 CPA will forecast the expected generation and associated GHG emissions of each blended fuel or hybrid fuel/battery storage facility CPA may receive offers from facilities that are very efficient and are expected to run frequently and offers from facilities that are less efficient and expected to run infrequently
CPA will use forecasted data to analyze a facility’s total GHG output and the facility’s efficiency and determine the effects such facility will have on CPA's Product Content Label and GHG emissions profile
This will be a quantitative measure, not ranked High, Medium, Low Agenda Page 36
Disadvantaged Community Impacts
Blended fuel and hybrid natural gas/battery storage resources will have differing impacts on DACs than renewable resources. Impacts to DACs will be assessed in conjunction with scoring in the three qualitative evaluation criteria; 1) impacts of the agreement on a transition to cleaner operations, 2) workforce development, and 3) GHG emissions
HIGH Demonstrates DAC benefits, including transition to cleaner operations NEUTRAL Project does not demonstrate additional DAC benefits, or is not located in a DAC LOW Project is harmful or inconsistent with community priorities Agenda Page 37
Workforce Development
CPA will use its traditional workforce development criteria with a slight modification to address existing facilities
The project is a union site or will use targeted-hire, union labor, or multi-trade project labor agreements (including requirements for state-apprenticeship graduates) HIGH
The project is not a union site or does not have a labor agreement, but can demonstrate prevailing wage, union labor, and targeted hire commitments MEDIUM
The project does not demonstrate prevailing wage, union labor, and targeted hire commitments
LOW
Agenda Page 38