Silicon Valley Clean Energy
Executive Committee Meeting
Monday, November 14, 2022
1:00 p.m.
Pursuant to State of California Gov’t Code Section 54953 (e) the meeting was conducted via teleconference.
MEETING MINUTES
Call to Order
Chair Tyson called the meeting to order at 1:02 p.m.
Roll Call
Present:
Chair George Tyson, Town of Los Altos Hills
Vice Chair Neysa Fligor, City of Los Altos
Director Liz Gibbons, City of Campbell
Director Javed Ellahie, City of Monte Sereno (arrived at 1:06 p.m.) Director Yvonne Martinez Beltran, City of Morgan Hill
Absent:
None.
All present committee members participated via teleconference.
Public Comment on Matters Not Listed on the Agenda
No speakers.
Consent Calendar
MOTION: Director Gibbons moved and Director Martinez Beltran seconded the motion to approve the Consent Calendar.
Chair Tyson opened public comment.
No speakers.
Chair Tyson closed public comment.
The motion carried unanimously with Director Ellahie absent by verbal roll call vote. 1) Approve Minutes of the August 26, 2022, Executive Committee Meeting Regular Calendar
2) CEO Update (Discussion)
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DocuSign Envelope ID: 18DB2791-2B5C-4BD7-B59D-26103D98C702 CEO Girish Balachandran spoke to two items: 1) resource adequacy compliance for the year 2023, and 2) NEM
3.0 proposed decision.
CEO Balachandran commented SVCE was unable to purchase sufficient capacity for 2023 and would be subject to penalties. CEO Balachandran noted staff would continue to close the compliance gap, and responded to committee member questions on the penalty and if there had been any discussion on if there would be any extensions or fee waivers.
CEO Balachandran provided information on the NEM 3.0 proposed decision, noting this second version of NEM
3.0 aligns with SVCE’s position, and responded to committee member questions on the specifics of the proposed decision and background of the previous proposal. Don Bray, Director of Strategic Development, provided brief information on the new electrification rate in comparison to the standard time of use rates.
Chair Tyson opened public comment.
No speakers.
Chair Tyson closed public comment.
3) Update on Hybrid Meetings Following Termination of Emergency Order (Discussion) Kevin Armstrong, Deputy Director of Administrative Services, presented information on hybrid meeting requirements following termination of Governor Newsom’s emergency order, and information on AB 2449 which allows for the continuation of relaxed noticing requirements for remote locations if specific requirements are met. Staff presented a recommendation to utilize Cupertino Community Hall as the primary physical meeting location for Board of Director meetings and the SVCE office as the primary physical location for Brown Act committee meetings, and with advance notice, assisting board members in setting up alternative public meeting locations to participate remotely if desired.
Deputy Director of Administrative Services Armstrong and Bena Chang, Senior Government Affairs Manager, responded to committee member questions regarding specifics of the requirements for use of AB 2449.
The committee discussed the differences between traditional Brown Act rules and AB 2449.
Chair Tyson opened public comment.
No speakers.
Chair Tyson closed public comment.
4) SVCE Information Update on 2023 SVCE Board Elections (Discussion) Board Clerk Andrea Pizano presented information on the appointment process for Chair, Vice Chair, and committees for 2023 and responded to committee member questions.
Chair Tyson opened public comment.
No speakers.
Chair Tyson closed public comment.
5) Establishing an Electrification Discount Rate (Discussion) Don Bray, Director of Strategic Development, Peter Mustacich, Energy Services Lead, and Adam Selvin, Director of Energy Services and Community Relations, presented information on 2023 rate setting and a
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DocuSign Envelope ID: 18DB2791-2B5C-4BD7-B59D-26103D98C702 potential electrification discount. The presentation included a budget update, timeline for setting 2023 rates and discounts, 2023 discount options, information on the electrification discount, information on the multifamily direct-install program, and various scenarios for how the staff recommendation to increase SVCE’s overall discount rate for 2023 and provide a new ‘electrification discount’ and expand the multifamily direct-install program would be funded.
Staff recommended a hybrid approach for 2023 rate setting and discounts to include:
1) increase SVCE’s general 2023 discount to 4% ($11M);
2a) allocate $9.5M to fund an ongoing electrification discount of ~10+% for the ‘Electric Home’ rate, beginning in early 2023, and
2b) add $9.5M to the Multifamily Direct-Install program budget, enabling further electrification and energy efficiency in lower-income communities.
The committee reviewed and discussed the various discount scenario alternatives and staff responded to questions.
CEO Balachandran summarized committee member comments:
- There was support for the staff recommendation of alternative three, with a second choice of alternative two;
- There was desire for flexibility in funding; and
- Learning would be a big part of the program, as this is the first time it will be done, and coming back with changes as needed, for example if there is more money in reserves, staff can come back for approval to expand funding for the electrification rate or multifamily direct-install program.
Chair Tyson opened public comment.
Bryan Mekechuk made the following comments: 1) when looking at the average monthly bill comparison, consider how it will change with more people having electric vehicles and the rates they will pay for the electricity for those electric vehicles, and 2) if you are dealing with a multiyear program, think about the next series of reach codes and what is going to happen as electrification increases.
Chair Tyson closed public comment.
6) Program Snapshot: GridShift: FutureFit Homes (Presentation) Justin Zagunis, Director of Decarbonization Programs and Policy, and Jessamyn Allen, Program Manager, provided a presentation on the FutureFit Homes Program, which expands SVCE’s residential building electrification incentvies by providing up to $8k in rebates for HPWH, HP HVAC, panel upgrades, pre-wiring for future electric appliances, and removal of the gas meter.
Chair Tyson opened public comment.
No speakers.
Chair Tyson closed public comment.
Committee/Staff Remarks
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DocuSign Envelope ID: 18DB2791-2B5C-4BD7-B59D-26103D98C702 CEO Balachandran invited committee members to attend a reception recognizing outgoing board members December 15, 2022 at 5:30pm at Cupertino Community Hall.
Adjournment
Chair Tyson adjourned the meeting at 2:55 p.m.
ATTEST:
_____________________________
Andrea Pizano, Board Secretary
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DocuSign Envelope ID: 18DB2791-2B5C-4BD7-B59D-26103D98C702