Peninsula Clean
Energy Board
Meeting
May 28, 2026
This meeting will begin shortly.
Thank you!
Agenda
• Call to Order / Roll Call
• Public Comment (for items not on the Agenda)
• Please note, send Zoom chats to Brianna Arroyo, Admin Asst. • Action to set the Agenda and Approve Consent Items 1-4 • Consent – Public Comment
• Regular Agenda items
• Adjournment
Chair Report
CEO Report
CEO Report: General Updates
• 22 member agency briefings are now complete - Thank you! • Sunzia is live and serving our grid
• CPUC approved 30-day extension for WestLight’s Joint Rate Mailer • Board Survey – look for it from Nelly in next two weeks Upcoming Ribbon Cuttings
• Brisbane Pool Electrification Project on June 9
• Sunzia on June 16
• Tumbleweed on June 18
6 Survey Themes:
1. Mission-Driven Pride & Impact: Staff are highly motivated by PCE’s climate mission and proud of the organization’s leadership and impact.
2. Strong, Trusted Leadership: Leadership is viewed as
transparent, empowering, empathetic, and supportive.
3. Exceptional Culture & Talent: Staff consistently described PCE as collaborative, innovative, and people-centered.
4. Work-Life Balance & Wellness: Hybrid flexibility, wellness benefits, and healthy boundaries are major strengths.
5. Key Opportunity Areas: Career growth, management
coaching, and recognition for support teams emerged as key opportunities.
PCE’s overall staff satisfaction score is 91.5
CEO Report – Feedback is a Gift!
CEO Report –WestLight Energy is Coming Soon!
Key Operational Dates
May 28: Board vote to approve JPA Amendment
May 29: Name registered with Secretary of State
Week of June 1: Partners notified of upcoming name change June 26: Internal operations switch-over to WestLight Energy June 29: WestLight Energy website launches
July 1: Official Customer Launch of WestLight Energy
Customer Communications
• "WestLight is Coming Soon" starting June 4 (e-newsletter, email, limited direct mail; digital letter from city managers, social media)
• Official announcement on July 1 (press release, mass email, social media) • Rebrand campaign launches on July 15 (digital and print ads, bus ads, etc) • Joint Rate Mailer with new branding by August 1
• And other fun events and public advertising (Caltrain wrap) • May Revise: Revenues Up | Structural Deficit Remains
• C&I: Program changes = $2B lower revenues
• Major CalCCA Bills Off of the Floor:
o AB 1761: PCIA Data Transparency
o SB 1138: Resource Adequacy
• PCE Co-sponsored Legislation Off of Suspense:
o AB 2111(Papan): Transmission Planning – Apr 8 Hearing • Policymaker Focus:
o Affordability; reliability; load growth; AI / DCs; transmission CEO Report: State Legislative Update
• Uncertainty Reins: Federal energy policy uncertainty
remains elevated heading into the 2026 midterms.
• Energy Tax Credits: Congress is unlikely to pursue
energy tax credit rollbacks in reconciliation
negotiations.
• Large Loads Focus: Federal focus on AI/data centers
continues accelerating at FERC and in Congress.
• Security Front and Center: Cybersecurity and grid
resilience are emerging as major bipartisan priorities.
Permitting Momentum: Permitting reform is active,
particularly around transmission + infrastructure
deployment.
CEO Report: Federal Update
Howard from Portola Valley
Personalized support call to fully
electrify home through Home Upgrade
program
“Everyone I interacted with at PCE… took
real interest in my issues and concerns… I
could not possibly be any happier with
everything.”
Customer Success Story
Mark Your Calendars!
Fall Summit: Wednesday, September 30th, ~3:30 pm -7:30 pm Office Warming Holiday Party: Tuesday, December 1st, time TBD Reminder that there will be no public meetings in August Upcoming Meetings – June 2026
Audit and Finance Committee:
• Cancelled: Monday, June 8, at 8:30 a.m.
• Next: September 14, at 8:30 a.m.
Executive Committee:
• Monday, June 8, at 10:00 a.m.
Board of Directors Meeting:
• Thursday, June 25 at 6:30 p.m.
Public Hearing
Update on AB
2561
Leilani Johnson, Director of People
and Culture
What is AB 2561?
14 Public Hearing Requirement: Public agencies must conduct a public hearing at least once per fiscal year to discuss the status of their vacancies, recruitment, and retention strategies.
Focus on Recruitment and Retention: The bill aims to shed light on public sector staffing challenges and encourage transparency and collaboration between agencies and employee representatives.
AB 2561 became effective on January 1, 2025.
AB 2561 is a California law that requires public agencies to hold an annual public hearing to present information about their job vacancies, recruitment, and retention efforts.
AB 2561: PCE F26 YTD
15 Upcoming Talent Challenges:
- Retaining our current talent as we look at 1-3 years of slower growth.
- 82% of PCE’s staff sees themselves continuing to work for PCE for the next 3 years. This is a 12.5% drop from a year ago, likely caused by perceived lower
advancement opportunity due to lower turnover and
slower growth.
What PCE has going for us?
- Current staff engagement is very high – 92%!
- PCE offers competitive compensation & benefits
- Our culture is highly attractive to great candidates: we are mission-driven, highly diverse, hybrid workplace
FY 2025 – 2026 Budgeted Headcount
Total FTE Budgeted 68
New FTE Added in F26 6
New FTE Filled as of May 2026 7
Average Time to Hire 38 Days
Retention Rate 98.5%
Average Turnover Rate 1.5%
*Reporting period: F26 – July 2025 – June 2026 (YTD at time of report) *Average Time to Hire: Days from role posted to offer acceptance *FTE: Full-time employee; YTD: Year-to-date
This slide and data presented ensure compliance to AB 2561, which requires local public agencies to present the status of vacancies and recruitment and retention efforts at a public hearing before the governing board of the local agency at least once per fiscal year.
Approval of Fourth
Amendment to the
Joint Powers
Authority
Agreement
Jennifer Stalzer, Legal Councel
Recommendation
Approval of the Fourth Amendment to the Peninsula Clean Energy Authority Joint Powers Authority (JPA) Agreement, effective June 26, 2026, Reflecting the Authority's Name Change to WestLight Energy.
Reach Codes
Contract
(Action)
Phillip Kobernick, Associate
Director, Energy Programs
Delegate authority to the Chief Executive Officer to finalize and execute an agreement with TRC Engineers, Inc. to
provide Reach Codes Technical Assistance services,
in an amount not to exceed $2,000,000, for a term
beginning June 1, 2026 and ending December 31, 2029,
and in a form approved by the General Counsel.
Request
Agenda
Reach Codes Background
New Opportunities
Proposed Contract
Questions
Programs Portfolio
21 *
*
*
+
* Low-income program + Includes low-income benefits
*
*
*
+
*
California Building Standards
• Title 24 – The California
Building Standards
• Re-adopted every 3 years
• 2025 Code went into effect on
Jan, 1 2026
• 12 Parts
• Part 6 – Energy Code
• Part 11 – Green Building
Code
What Are Reach Codes?
Reach Codes are local ordinances adopted by the local government that exceed and enhance the state’s building standards.
Emphasize common-sense, cost-effective options.
Reach Codes can apply to the following:
New Construction Alterations Additions Equipment
Replacement
Benefits of Reach Codes & All-Electric Buildings
Support Local Goals Limit local climate risk
• Buildings contribute
significant climate
emissions
Prevent air pollution
• Gas appliances increase
asthma and respiratory
illness risk, especially for
vulnerable residents.
Climate
& Health
Deliver Cost Benefits
• Heat pumps are cheaper than a
combination of AC and gas furnace.
• Heat pumps save $200+ in utility bills
over gas appliances
Lower construction costs
• All-electric buildings have lower
construction costs and streamline
construction.
• Rebates reduce retrofit costs.
Cost
Savings
Prepare for Upcoming Rules
• California to be carbon neutral by 2045.
• Bay Area Air District Rule 9-4 and Rule 9-
6 will limit the sale of gas equipment
starting in late 2027.
Future Proofing
• Help residents get homes ready
during common-sense upgrades.
• Provide education on cost savings of
electric options.
Forward-Thinking
Technical Support for member agencies
• Model Ordinances & Staff Reports
• Adoption Assistance
• Implementation Assistance
Technical Assistance Program for contractors and developers www.bayareareachcodes.com
PCE/SVCE Reach Code Assistance Program
Sponsored by
Technical consultant
2019-2025 – New Construction Reach Codes
All-electric buildings EV charging for
every new apartment
21 PCE member agencies
have adopted reach
codes
2,000+
Buildings have been
designed all-electric
and/or with added EV
charging
$31 million
In avoided PCE incentive
costs for PCE customers
$80+ million
In avoided construction
costs for PCE customers
CA Code Progress…Thanks to Our Local Agencies
2019 2022 2025
New Era for Reach
Codes: Existing Buildings
Reach Codes First Era
(2019-2025)
Target: New construction (easiest
intervention point)
Approach: Encourage heat pumps +
EV readiness
Goals: Build momentum, influence
state codes
The Next Era of Reach Codes
Reach Codes Next Era
(2026+)
Target: Existing buildings, remodels,
and new multi-family construction
heat pump systems
Approach: Remodels, appliance
replacements, etc.
Goals: Equitable transition,
accelerate decarbonization
Retrofit Model Codes Available Today
Single Family Policies
Two-way A/C
› “Time of Installation”
› Requires property owners
installing AC to install
either:
1. A heat pump
2. Efficiency measures
› CALGreen Voluntary
Pathway
Electric Readiness
› “Time of Renovation”
› Targeted to permit
applicants completing a
relevant addition or
alteration.
› Requires electric readiness
(circuits or conduit).
FlexPath
› “Time of Renovation”
› Applies to projects
completing major additions
or alterations to select 1-3:
1. Energy efficiency
measures
2. Electrification measures
3. Solar PV
Commercial
Two-way A/C
› “Time of Installation”
› Expands on a new 2025
requirement to larger units.
› Requires property owners
installing AC to install
either:
1. A heat pump
2. Efficiency measures
New Model Codes in Development or Exploration
Multifamily new
construction
Energy performance standard
encouraging all-electric
construction
Existing single-family
homes
Gas water heater to heat pump
water heater
Building Performance
Standards
Flexible options to reduce
emissions over time backed by
PCE data
New Agreement
with TRC Engineers
Continue
1. Develop model reach codes
2. Stakeholder engagement
and outreach
3. Develop tools, cost-effectiveness studies, etc.
4. Provide Technical Assistance
for commercial projects
New
1. Equity analysis
2. Building Performance Standards
3. Support permit modernization
Contract Overview with TRC Engineers
Expanded Objectives, Expanded Team
Delegate authority to the Chief Executive Officer to finalize and execute an agreement with TRC Engineers, Inc. to
provide Reach Codes Technical Assistance services,
in an amount not to exceed $2,000,000, for a term
beginning June 1, 2026 and ending December 31, 2029,
and in a form approved by the General Counsel.
Request
Q&A
Approval of the
Dave Pine Community
Energy Award
(Action)
Kirsten Andrews-Schwind, Associate
Director of Community Relations and
Climate Equity
Award Overview
• Annual recognition in honor of
former Supervisor and first Board
Chair, Dave Pine
• One award per year for an
organization, partnership, or
community member
• Public recognition and inclusion of
honoree’s name on plaque in PCE
Board meeting room
Proposed Award Criteria
• Work that advances PCE’s mission
• Demonstration of potential to achieve significant greenhouse gas (GHG) reductions
• Advancement of community equity goals
• Projects or initiatives are conducted within Peninsula Clean Energy’s service area
Proposed Process
1. Staff and Board members submit nominations
2. Staff-led committee reviews nominees and develops a
recommendation
• Committee comprised of Board Members and key staff
• Invitation to Supervisor Pine to participate
3. Board votes on recommendation for final approval
4. Nominee is honored at an appropriate occasion
Study Session:
Beyond the Power Content Label:
Understanding Clean Energy
Procurement
Roy Xu, Senior Director Power
Resources
Objectives
Debrief on PCE Energy 101 Concepts - Refresher +
Decipher the Power Content Label
Differentiate Annual v. Hourly Emission Accounting
Discern the Implications of “Additionality”
Demystify Clean Energy Procurement - How does it really work? Power Content Label 2025 (Draft)
Power Content Label Is NOT PERFECT
Origin of Power Source Disclosure (PSD) & Power Content Label (PCL):
• Established through SB 1305 (1997)
• Required retail electricity suppliers to Annually:
• Report power procurement data (PSD) to the California Energy Commission (CEC); and
• Provide customers a standardized annual form (PCL) showing resource mix and GHG emissions
• Any retail or marketing claims related to GHG emissions must be consistent with the information on a retail suppliers PCL
• Any significant structural changes to the reporting requirements generally would require legislative action, while the CEC retains regulatory authority to modify reporting methodologies, calculation rules, and implementation details What the PCL Does Not Do:
• The PCL does not reflect hourly timing of electricity generation, consumption, and associated emissions
Annual
v.
Hourly
A Deeper Dive into Clean Energy Procurement
Where does PCE get its energy to serve its customer load? What are the functions of PCE’s long-term renewable contracts? How are short-term contracts similar and different?
What is the concept of “offsetting” on an annual basis? Products PCE Procures
70 Energy RA
REC MTR
1 Renewable Energy Credit (REC) = 1MWh of
energy generated by an eligible renewable resource
and delivered to the grid;
* PCE procures PCC-1 REC only
1 Carbon Free Attribute (CF) = 1MWh of energy
generated by a carbon free resource and delivered
to the grid
CF
Renewable Carbon Free
Solar Large Hydro
Wind Nuclear
Geothermal
Small Hydro
Biogas / Biomass*
Operating in A Wholesale Energy Market
Fossil
Fuel Plants
Renewables
PCE Load
71 • All energy generations are injected
into the grid and all consumptions are
drawn from the grid
• Grid power is composed of a mixture
of resources depending on the hour of
the year
• PCE’s renewable resources do not
serve PCE’s load DIRECTLY
• PCE buys ALL energy consumption
from the market or the grid
Energy Market Exposure
PCE Load = 100 MWh
Mkt Price= $100/MWh
(@ Load)
Pay CAISO
$10,000
Energy Flow
Mkt Price PCE Cost
$200 $20,000
$500 $50,000
$1,000 $100,000
❖ Fully exposed to Market volatility without any Risk Mitigation Tool Roles of A Long-Term Renewable Contract
73 PCE Load = 100 MWh
Mkt Price= $1,000/MWh
(@ Load)
PCE Gen = 100 MWh
Mkt Price = $1,000/MWh
(@ Generator)
Pays CAISO
$100,000
Paid by CAISO
$100,000
Energy Flow
Energy Flow
Pays PPA Cost: $40 x 100MWh = $4,000
PPA Cost Mkt Cost Mkt Rev. Net Cost
Settlement $4,000 $100,000 -$100,000 $4,000
Hedge
REC x100
Clean Energy Procurement Structures
74 Energy RA
REC MTR
Energy REC
1 Bundled Medium/Long-Term PPAs
• Energy Hedge
• PCC-1 REC
2 Separate Short-Term Transactions
• Energy Hedge
• PCC-1 REC or Carbon Free Attributes
OR
Internal Goals
Regulatory Requirements
Flexibility/Portfolio Fit
Resource Availability
PCIA
Affordability
CF
Additionality
The Concept of “Offsetting” on An Annual Basis
PCE’s Annual Load
~3,600,000 MWh
REC
CF
From Medium/Long-Term Bundled
Procurement
From Short-Term Procurement
From PG&E Hydro Allocation
From PG&E Nuclear Allocation
REC
CF
CF
≥
Power Content Label – An Annual Accounting System
100%
Renewable to
Serve All Retail
Sales on An
Annual Basis by
2030 -
ON TRACK
Power Source Disclosure (PSD) – Going Hourly
Transition from Annual to Hourly PSD Reporting:
SB 1158 (Becker, 2022) directed the CEC to transition PSD reporting to hourly accounting beginning in 2027 to improve transparency around when clean energy is delivered and consumed
NOTE: The customer-facing PCL will remain an annual disclosure PCE Advocacy on SB 1158:
Peninsula Clean Energy actively supported SB 1158 and participated in stakeholder and industry advocacy efforts, advancing the transition from annual to hourly PSD accounting
PCE’s Hourly Renewable Matching Effort
Theoretical 90% Hourly Matching
Reality Check
• The CA grid still relies on fossil fuel for certain hours of the year to support demand
• There is a lack of resource diversity in the interconnection queue to enable cost-effective hourly-matching in the near-term • Pursuing aggressive hourly matching is going to be costly and risky in the current environment
• Goal is to reduce grid-wide emissions while balancing affordability Takeaways
• PCE purchases its energy from the grid, like other Load Serving Entities in the CAISO • PCE contracts with ONLY renewable and clean resources, then offers their energy to the grid • PCE’s long-term contracts have enabled the development of over 1GW of clean capacity • PCE acquires sufficient PCC-1 RECs and carbon free attributes through procurement and allocation to match PCE’s load on an annual basis, making PCE’s Power Content Label (PCL) 100% clean. However, the PCL accounting method is far from perfect! • PCE has always maintained clarity in its messaging and communication:
o 100% clean annually – based on PCL since 2021
o 100% renewable annually – on track by 2030
o Maximize 24/7 hourly renewable when feasible – in the current Strategic Plan • PCE and other CCAs are accelerators of the clean energy transition! CCAs’ Resource Mix v. Other Load Serving Entities
• 80% of CCAs’ retail sales was served by clean resources in 2024 • None of CCAs’ specified energy contracts was with fossil fuel plants Data Source: CEC
Compiled by: CalCCA
How About Resource Adequacy (RA)?
A Reliability Product & A Compliance Instrument–
• Grid reliability requires a diverse mix of resources to be available in order “to keep the lights on”!
• PCE must procure sufficient RA to meet CPUC’s
compliance obligations, and to contribute its share
of the responsibility to maintain grid reliability
Energy RA
REC MTR
Questions?
Board Members’ Reports
Adjournment