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Date: October 31, 2022
To: Newsha Ajami, President
Sophie Maxwell, Vice President
Tim Paulson, Commissioner
Tony Rivera, Commissioner
Kate Stacy, Commissioner
Through: Dennis J. Herrera, General Manager
Barbara Hale, Assistant General Manager, Power
Catherine Spaulding, Deputy AGM, Power – Programs and Planning Michael Hyams, Deputy AGM, Power – CleanPowerSF
From: Justin Pine, Acting Manager, Power Customer Solutions -- CleanPowerSF
Daniel Young, Manager, Power Customer Programs
Re: Net Energy Metering and Shared Renewable Energy Annual Report to the Commission for Fiscal Year 2021-2022
Attached is the Net Energy Metering and Shared Renewable Energy Annual Report for Fiscal Year 2021-2022. Commission Resolutions 16-0086 and 16- 0072 direct the General Manager to report annually on the performance of Hetch Hetchy Power’s Net Energy Metering/Shared Renewable Energy program, and CleanPowerSF’s Net Energy Metering program.
CleanPowerSF / Hetch Hetchy Power
Net Energy Metering and Shared Renewable Energy
Annual Report to Commission for FY 2021-2022
Introduction
Hetch Hetchy Power’s Net Energy Metering and Shared Renewable Energy Program and CleanPowerSF’s Net Energy Metering Program are customer program offerings from the SFPUC Power Enterprise that allow customers with on-site renewable energy systems to gain financial credits for the generation of solar electricity not consumed on site.
SFPUC Resolutions 16 -0086 and 16 -0072 direct the General Manager to report annually on the performance of these programs. Specifically, these resolutions require reporting on the total rated generating capacity enrolled in the program, the amount of net surplus electricity compensation provided to eligible customer- generators under the program, as well as potential program refinements and enhancements that may furt her protect non -participants from cost shifting and/or improve the ability of the SFPUC to promote the continued development of local renewable energy resources in a financially sustainable manner. Pursuant to those resolutions, this report for Fiscal Year 2021-2022 is presented for the Commission’s review.
Hetch Hetchy Power’s Net Energy Metering and Shared Renewable Energy Program In Fiscal Year 2021-2022, Hetch Hetchy Power continued to have two customers, Pier 1 and Fort Mason, participating in the Shared Renewable Energy program, with an estimated total solar capacity of 455 Direct Current (DC) kilowatts (kW). The systems credited several benefitting ac counts. The solar system at Pier 1 generated 227,558 kilowatt-hours (kWh), which was credited to five benefitting accounts. Fort Mason’s solar array generated 355,612 kWh, of which 346,331 kWh was credited to the benefitting accounts. Pier 1 and Fort Mason remained the only two participants for Fiscal Year 2021-2022.
The Power Enterprise has recently implemented program enhancements . Hetch Hetchy Power has officially adopted the Net Energy Metering and Shared Renewable Energy programs into the 2022-2023 Rates Schedule & Fees. Eligible customers on SFPUC- owned and operated distribution are now able to directly apply for these programs, utilizing a newly developed Net Energy Metering Application and Acknowledgement form. This form is available for download on o ur new Hetch Hetchy Power Net Energy Metering webpage ( https://www.sfpuc.org/hetch-hetchy-power-net-energy-metering- programs), which also provides additional information on customer eligibility as well as instructions for how to apply.
2 CleanPowerSF’s Net Energy Metering Program
In Fiscal Year 2021 2022, CleanPowerSF served 10,645 Net Energy Metering customers with an estimated total solar capacity of 51,751 DC kW.1 Net Energy Metering customers represented 2.8 percent of all active CleanPowerSF customers. As of May 2022, participating Net Energy Metering customers generated 3,353,998 kWh in ex cess electricity, or more electricity than they consumed over the previous 12 months . A total compensation of $ 277,241 was provided to 2,322 customers that produced excess electricity under the program during the previous year . As of October 1 3, 2022 , an estimated 360 Net Energy Metering customers have requested to cash out their Net Energy Metering credit balance following the May 2022 True Up. Staff anticipates that the remaining 1,962 net generators will receive a “roll over” bill credit for their net surplus compensation.
In May 2022, this Commission approved Resolution 22-0094 adopting changes to the CleanPowerSF Net Energy Metering Tariff. The adopted tariff changes can be summarized as follows:
• Eliminated the exclusion of an annual true -up for Net Surplus Compensation for CleanPowerSF NEM customers who have less than 10 monthly billing cycles in the program • Clarified that while the CleanPowerSF NEM Tariff is available to customers on PG&E’s Net Energy Metering Aggregation Tariff, those custom ers are not eligible to receive Net Surplus Compensation, consistent with California Public Utilities Code Section 2827(h)(4)(B) , which states customers participating in NEM Aggregation are “permanently ineligible to receive net surplus electricity compensation.”
• Streamlined the process for customers seeking cash outs upon closing their accounts by cashing out the customer’s NEM credit balance, avoiding the time -consuming calculations of net generation required under the previous version Tariff.
With the above changes effective July 1, 2022, staff do not foresee the need for additional program refinements or enhancements at this time.
1 CleanPowerSF’s estimated total solar capacity was calculated using California Distributed Generation Statistics’ NEM Currently Interconnected Data Set, produced by the California Solar Initiative (CSI). A verage system capacity (in direct current-rated kilowatts) among San Francisco solar PV sites was calculated for each rate class and multiplied by the number of active CleanPowerSF NEM customers in each rate class to estimate the total NEM capacity in CleanPowerSF’s service territory.