Item No. 1
Regular Meeting of the Board of Directors of the
Peninsula Clean Energy Authority (PCEA)
Minutes
Thursday, December 15, 2022
6:30 p.m.
Zoom Video Conference and Teleconference
CALL TO ORDER
Meeting was called to order at 6:34 p.m. in virtual teleconference.
ROLL CALL
Participating Remotely:
Dave Pine, San Mateo County
Rick DeGolia, Atherton, Chair
Donna Colson, Burlingame, Vice Chair
Ken Gonzalez, Colma
Roderick Daus-Magbual, Daly City
Sam Hindi, Foster City
Harvey Rarback, Half Moon Bay
Betsy Nash, Menlo Park
Elmer Martinez Saballos, Redwood City
Jeff Aalfs, Portola Valley
Marty Medina, San Bruno
James Coleman, South San Francisco
John Keener, Director Emeritus
Absent:
Warren Slocum, San Mateo County
Julia Mates, Belmont
Coleen Mackin, Brisbane
Carlos Romero, East Palo Alto
Laurence May, Hillsborough
Tom Faria, Los Banos
Anders Fung, Millbrae
Tygarjas Bigstyck, Pacifica
Laura Parmer-Lohan, San Carlos
Rick Bonilla, San Mateo
Jennifer Wall, Woodside
Pradeep Gupta, Director Emeritus
A quorum was established.
13 Item No. 1
PUBLIC COMMENT
Tom Kabat
ACTION TO SET THE AGENDA AND APPROVE REMAINING CONSENT AGENDA ITEMS MOTION: Director Medina moved, seconded by Director Rarback to set the Agenda, and approve Agenda Item Numbers 1-4.
1. Adopt Findings Pursuant to AB 361 to Continue Fully Teleconferenced Committee Meetings Due to Health Risks Posed by In-Person Meetings
2. Approval of the 2023 Board of Directors Schedule of Meetings
3. Approval of an Agreement Between the San Mateo County Attorney’s Office and the Peninsula Clean Energy Authority for Provision of Legal Services, in an Amount Not-to-Exceed $800,000, for a Term Ending February 29, 2024, and Accompanying Conflict Waiver
4. Approval of Contract Amendment No. 4 with David Fribush to Increase the Contract Amount by $150,000 to a Total Not-to-Exceed of $525,000 and to Extend the Term of the Agreement to December 31, 2023
MOTION PASSED: 12-0 (Absent: San Mateo County, Belmont, Brisbane, East Palo Alto, Hillsborough, Los Banos, Millbrae, Pacifica, San Carlos, San Mateo, Woodside)
JURISDICTION BOARD MEMBER YES NO ABSTAIN ABSENT
San Mateo County Director Pine X
San Mateo County Director Slocum X
Atherton Director DeGolia X
Belmont Director Mates X
Brisbane Director Mackin X
Burlingame Director Colson X
Colma Director Gonzalez X
Daly City Director Daus-Magbual X
East Palo Alto Director Romero X
Foster City Director Hindi X
Half Moon Bay Director Rarback X
Hillsborough Director May X
Los Banos Director Faria X
Menlo Park Director Nash X
Millbrae Director Fung X
Pacifica Director Bigstyck X
Portola Valley Director Aalfs X
Redwood City Director Martinez Saballos X
San Bruno Director Medina X
14 Item No. 1
San Carlos Director Parmer-Lohan X
San Mateo Director Bonilla X
South San
Francisco
Director Coleman X
Woodside Director Wall X
Totals 12 11
REGULAR AGENDA
5. Chair Report
Chair DeGolia marked a large change in membership on the Board of Directors and the Executive Committee. Chair DeGolia announced appointing Director Romero as an interim member of the Executive Committee leaving two open positions.
6. CEO Report
Jan Pepper, Chief Executive Officer, gave a presentation including staffing updates, regulatory updates, an update on the Sacramento legislature, an update on the power purchase agreement with the CalWind Wind Resource 1 project, an update on the Solar + Storage on Public Buildings project, and a request for additional membership on the legislative and marketing subcommittees.
7. Citizens Advisory Committee Report
Cheryl Schaff, Citizens Advisory Committee (CAC) Chair, gave a recap of the December 1, 2022 CAC meeting including information on the Inflation Reduction Act and a recap of Peninsula Clean Energy achievements.
Vice Chair Colson asked if there are any openings on the CAC. Kirsten Andrews-Schwind, Senior Manager of Community Relations, explained that the CAC is fully staffed.
8. Recognition for 2022 Departing Board Members (Discussion) Chair DeGolia recognized Rick Bonilla, Larry May, Joe Goethals, Rae Gonzalez, Giselle Hale, Laura Parmer Lohan, Tom Faria, Carole Groom, and Charles Stone for their time served on the Peninsula Clean Energy Board of Directors.
Jan Pepper, Chief Executive Officer, Director Pine, and Shawn Marshall, Chief Operating Officer, shared recollections and appreciation of outgoing Board Members. Director Bonilla, Director May, Director Goethals, and Ken Gonzalez on behalf of Rae Gonzalez, accepted and reflected on time spent on the Peninsula Clean Energy Board of Directors.
9. Approval of new Peninsula Clean Energy Rates, to be Effective February 1, 2023 with a Minimum Net 5% Discount in Generation Charges for ECOplus Compared to PG&E Generation Rates, Effective January 1, 2023 (Action)
Leslie Brown, Director of Account Services, shared a presentation on the Peninsula Clean Energy Ratemaking process including maintaining the 5% value proposition to new customers, information on a negative Power Charge Indifference Adjustment (PCIA), and PCIA vintages. 15 Item No. 1
MOTION: Vice Chair Colson moved, seconded by Director Medina to Approve a Resolution authorizing staff to calculate and implement new Peninsula Clean Energy ECOplus rates to be effective February 1, 2023 to reflect changes to PG&E rates effective January 1, 2023. Peninsula Clean Energy staff will calculate two new sets of rates ensuring a minimum net 5% discount relative to January 1, 2023 PG&E generation rates.
MOTION PASSED: 12-0 (Absent: San Mateo County, Belmont, Brisbane, East Palo Alto, Hillsborough, Los Banos, Millbrae, Pacifica, San Carlos, San Mateo, Woodside)
JURISDICTION BOARD MEMBER YES NO ABSTAIN ABSENT
San Mateo County Director Pine X
San Mateo County Director Slocum X
Atherton Director DeGolia X
Belmont Director Mates X
Brisbane Director Mackin X
Burlingame Director Colson X
Colma Director Gonzalez X
Daly City Director Daus-Magbual X
East Palo Alto Director Romero X
Foster City Director Hindi X
Half Moon Bay Director Rarback X
Hillsborough Director May X
Los Banos Director Faria X
Menlo Park Director Nash X
Millbrae Director Fung X
Pacifica Director Bigstyck X
Portola Valley Director Aalfs X
Redwood City Director Martinez Saballos X
San Bruno Director Medina X
San Carlos Director Parmer-Lohan X
San Mateo Director Bonilla X
South San Francisco Director Coleman X
Woodside Director Wall X
Totals 12 11
10. Approval of Long-Term Resource Adequacy Agreement with PG&E (Action) Jeff Wright, Power Resources Manager, gave a presentation including background on resource adequacy, background on the agreement with PG&E, contract structure, and risks and benefits of the agreement.
MOTION: Director Medina moved, seconded by Director Daus-Magbual to Approve the Resolution Delegating Authority to Chief Executive Officer to Execute a Master Power Purchase and Sale Agreement Resource Adequacy Confirmation Letter with Pacific Gas and Electric Company and any necessary ancillary documents with a Resource Adequacy Delivery Term of 15 years beginning on January 1, 2024, in an amount not to exceed $10 million. 16 Item No. 1
MOTION PASSED: 12-0 (Absent: San Mateo County, Belmont, Brisbane, East Palo Alto, Hillsborough, Los Banos, Millbrae, Pacifica, San Carlos, San Mateo, Woodside)
JURISDICTION BOARD MEMBER YES NO ABSTAIN ABSENT
San Mateo County Director Pine X
San Mateo County Director Slocum X
Atherton Director DeGolia X
Belmont Director Mates X
Brisbane Director Mackin X
Burlingame Director Colson X
Colma Director Gonzalez X
Daly City Director Daus-Magbual X
East Palo Alto Director Romero X
Foster City Director Hindi X
Half Moon Bay Director Rarback X
Hillsborough Director May X
Los Banos Director Faria X
Menlo Park Director Nash X
Millbrae Director Fung X
Pacifica Director Bigstyck X
Portola Valley Director Aalfs X
Redwood City Director Martinez X
San Bruno Director Medina X
San Carlos Director Parmer-Lohan X
San Mateo Director Bonilla X
South San Francisco Director Coleman X
Woodside Director Wall X
Totals 12 11
11. Discussion on Proposed Net Energy Metering (NEM) 3.0 Decision Jeremy Waen, Director of Regulatory Policy, gave a presentation including the history of Net Energy Metering (NEM), political tensions within NEM reform, a comparison between the initial proposed decision and the revised proposed decision, and a summary of the joint Community Choice Aggregation (CCA) advocated changes.
Chair DeGolia asked if export compensation is the largest difference between NEM 2.0 and NEM 3.0, and also if export compensation only addressed the generation from rooftop solar that is exported to the grid in excess of what that customer uses from the grid, and if that is calculated over a year-long time period. Jeremy explained that there is an annual truing up of energy consumed versus supplied to the grid. NEM 3.0 is using an annualized netting process but will be sensitive to hours of the day energy is pulled or supplied to the grid. Jeremy explained there are different ways to deploy a solar system, you can offset your own demand during the day, or, especially with storage, you can prioritize to put back as much power as possible during the high value hours.
Chair DeGolia asked for clarification if customers could create an export compensation by offloading energy during peak hours when annually, they have an annualized deficit. Jeremy explained that part of the netting process in the annualized netting where there are non-passable charges customers 17 Item No. 1
have to pay based on how much power is pulled from the grid. Jeremy explained if customers aren’t exporting at a high amount, much of what is created during the year off-sets the non-passable charges.
Vice Chair Colson expressed her gratitude to Jeremy Waen and Marc Hershman, Director of Government Affairs, for their help with a letter sent from the City of Burlingame. She requested information that can be shared with constituents following the December 15, 2022 California Public Utilities Commission (CPUC) meeting. Jeremy explained that a redline document was released yesterday by the CPUC and that tomorrow there will likely be an official document that can be shared with constituents.
Director Emeritus Keener asked if there were changes to the allowable size of individual customer rooftop arrays. Jeremy explained that customers are allowed to oversize their arrays by up to 50% and that there are changes to the language relating to this on the technicalities of how one does that, including that the 50% threshold can be determined from the previous year of use.
Director Pine asked if Peninsula Clean Energy will reconsider their own NEM pricing policies and if prior policies were successful in attracting more solar customers. Jeremy explained that Peninsula Clean Energy’s premium is in line with other CCAs and that adapting the premium to be time-based is something that CCAs can work together on to come to a common structure.
Jan Pepper shared the founding board member photo from 6 years ago. Jan also noted that there will be social media posts planned regarding the spike in gas prices starting tomorrow to Twitter and Facebook followers.
12. Board Members’ Reports (Discussion)
Director Pine wanted to note that Justin Pine has joined Peninsula Clean Energy and is not of relation to Dave Pine.
Betsy Nash asked if the Twitter gas price info could be sent via email to board members. KJ Janowski, Director of Marketing and Community Relations explained that those posts will be shared with Nelly Wogberg, Board Clerk, who will forward them to the Board.
ADJOURNMENT
Meeting was adjourned at 8:14 p.m.
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