Valley Clean Energy Board of Directors Meeting – September 11, 2025 Item 11 – AgFIT (Dynamic Pricing) Pilot Program Update
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Public Comments
2 To Provide Public Comment on any agenda item please:
➢ E-mail 300 words or less to: [email protected] OR
Join the Public Comment Queue by
➢ “Raising Hand” on Zoom Meeting
OR
➢ Press *9 if joining by phone
Emailed comments received before the item has concluded will be read into the record.
Emailed comments received after the item has concluded but before the end of the meeting will not be read but will be included in the meeting record.
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 3 Item 11 – AgFIT (Dynamic Pricing) Pilot Program Update Background
• Power Outages in Summer 2020 led to the Emergency OIR on Summer Reliability
• VCE, Polaris and TeMix responded with Agricultural Flexible Irrigation Technology (AgFIT) proposal, granted in CPUC Decision for 3-year Pilot • Designed to shift load
off-peak
• 7 customers, 65 service
points/meters
• Nearly 4 MW of enrolled
load – PLUM
• Row crops, orchards
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 4 Item 11 – AgFIT (Dynamic Pricing) Pilot Program Update Key Takeaways
• Price response outside of peak window (ramp hours)
• Automation drives customer action
• Most customers scheduled a week ahead with little/no modification in customer portal
• Community/industry connections, “word-of-mouth” marketing drove enrollment • Customers need to see results of performance-timely access to data was an issue • Pilot Expanded by CPUC early 2024 into Hourly Flex Pricing (HFP pilots • Customers faced constraints that could limit response in some cases • Most customers shifted load and saved money (2023 average bundled credit:
$325/month/service point)
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 5 Item 11 – AgFIT (Dynamic Pricing) Pilot Program Update Next Steps: Hourly Flex Pricing (Expanded
Pilots)
• AgFIT participants ineligible for
incentives
• Pilot 1: Agricultural
• 12 ag service points enrolled (includes
2 AgFIT customers)
• Pilot 2: Commercial and Residential
• 7 Commercial; 1 Residential service
points enrolled
• Integrating HFP into other program
designs (e.g. REACT) Irrigation automation equipment deployed in the field VCE Board of Directors - 2026-2029 Strategic Plan Workshop September 11, 2025 – City of Woodland Council Chambers
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Public Comments
7 To Provide Public Comment on any agenda item please:
➢ E-mail 300 words or less to: [email protected] OR
Join the Public Comment Queue by
➢ “Raising Hand” on Zoom Meeting
OR
➢ Press *9 if joining by phone
Emailed comments received before the item has concluded will be read into the record.
Emailed comments received after the item has concluded but before the end of the meeting will not be read but will be included in the meeting record.
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 8 VCE 2026-29 Strategic Plan Workshop: Overview
Overview
This workshop provides the Board with the opportunity for high-level feedback on the Initial Draft of the Strategic Plan Major Update for 2026-2029.
This presentation provides:
1. Background
2. Review of Major Plan Updates
a) General Updates
b) Goal 2 Update
3. Summary and Discussion
9 VCE 2026-29 Strategic Plan Workshop
2026-2026 Strategic Plan
Background
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 10 VCE 2026-29 Strategic Plan Workshop: Background
VCE Strategic Plan Update – How we got here
• VCE's initial Strategic Plan covered a fixed period from 2021 to 2023 • First Update: 2023 through end of 2025
• Strategic Plan Guidelines VCE developed a “Rolling Approach” • Minor Updates – Plan internal review/update every two years • Major Updates – More Comprehensive review every four years Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 11 VCE 2026-29 Strategic Plan Workshop: Background
• Valley Clean Energy is a public energy agency based in Yolo County that is focused on achieving better energy outcomes for the customers and communities we serve.
• VCE’s Strategic Plan guidesthe organization’s long-term planning and actions to work toward those goals.
• This Strategic Plan Major Update will help VCE:
• Identify Changes that we need to consider over the next few years: economics, policy, technology, etc.
• Review key organizational elements: Mission, Vision, and Goals • Incorporate long-term adjustments to help meet strategic and customer requirements Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 12 VCE 2026-29 Strategic Plan Workshop: Background
Plan Update Foundation
After the preliminary review, Staff and the Strategic Plan Task Group generally agreed VCE’s existing strategic plan was:
• Robust and comprehensive
• Addressed key priorities; and
• Provided a solid base from which to move forward with a Plan update Working from the existing Strategic Plan and using feedback gathered through CAC meetings/workshops, a survey, and CAC Task Group input, several iterations of the draft Plan Update were developed and considered during the update process.
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 1 3
VCE 2026-29 Strategic Plan Workshop: What CCAs Do and Don’t Do Regulators
e.g. CPUC
Energy
Markets
PG&E
(IOU)
VCE
(CCA)
Regulating IOUs, Regulating CCAs, Overseeing
Compliance with state energy policies and mandates (e.g.,
RPS, RA, IRP)
Transmission & Distribution of electricity (poles, wires, substations). (60% Utility Bill)
Metering, billing, and customer service—even for CCA
customers.
Maintaining grid reliability and safety.
Power Cost Indifference Adjustment (PCIA) (~0-20% of VCE Generation Bill)
CAISO - Wholesale electricity market / Grid operation
IOUs (e.g. PG&E) - Transmission and Distribution
Independent Power Producers - Sell electricity to CAISO, IOUs, CCAs.
Energy & Commodity Brokers/Traders – Trade electricity & futures
Purchasing or generating electricity
Setting electricity generation rates
Meeting/exceeding state-mandated energy goals
Long-term power procurement planning
Customer outreach and programs
Strategic Plan 2026-2029
M A J O R U P D A T E T I M E L I N E
April 24
CAC
Introduction of
Strategic Plan Rough
Draft & Timeline
M A Y 2 2 ND
E S P A R T O
C O M M U N I T Y
C E N T E R - R I S E
CAC
Goals Outreach
1) Financial Strength /
Rates
2) Procurement &
Power Supply
May 22 June 26 July 24 August 28 September 11 October 9 A P R I L 2 4 TH
C I T Y O F D A V I S
C O N F E R E N C E
R O O M
J U N E 2 6 TH
U C A N R - D A V I S
J U L Y 2 4 TH
C I T Y O F
W O O D L A N D
C H A M B E R S
A U G U S T 2 8 TH
C I T Y O F D A V I S
C O N F E R E N C E
R O O M
CAC
Review of Preliminary
Draft Strategic Plan
recommendation &
Initial (#1) Survey
Results
CAC
2026-2029 Strategic Plan
Major Update
Recommendation
Board
Workshop Review of
CAC Strategic Plan
Recommendations,
Survey #1 Results and
Next Steps
S E P T E M B E R 1 1 TH
C I T Y O F
W O O D L A N D
C H A M B E R S
Board
Recommended
Strategic Plan Adoption
O C T O B E R 9 TH
C I T Y O F D A V I S
C O U N C I L
C H A M B E R S
CAC
Goals Outreach
1) Customers and
Community
2) Decarbonization
and Grid innovation
Brief Survey Issued May
1 st – Points allocation for
customer priorities
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 15 VCE 2026-29 Strategic Plan Workshop: Public Feedback Plan Update Development Feedback/Input
Based on gathered feedback, general themes and several specific points outlined below were incorporated into the draft Plan Update. • Affordability
• Incorporating additional local distributed energy resources into VCE’s resource mix • Specific reference to energy resilience and energy efficiency/weatherization • Affirming commitment and focus on low-income and other vulnerable customers Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 16 VCE 2026-29 Strategic Plan Workshop: Customer Survey Results Survey Results: Qualitative Feedback (200+ responses)
Feedback was varied but included some recurrent themes:
• Affordability/High Rates
• Education/VCE Marketing (more brand recognition needed) • Desire for VCE Municipalization
Examples of free form responses:
“Cheaper electricity, right now there's not much real savings over just using PGE. Bills are too high to really think about other priorities.”
“Customer service is a plus one being able to talk to someone for help.” “Customer education about electricity and gas prices even though gas is not your game.” “Replace PGE.” “LOWER RATES!”
17 VCE 2026-29 Strategic Plan Workshop
2026-2026 Strategic Plan
Initial Draft Plan
General/Administrative Updates
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 18 VCE 2026-29 Strategic Plan Workshop : General/Administrative Updates Categories of Plan Updates
• General/Administrative
• Specific Goal/Objective
General/Administrative Updates
General administrative updates that have been included in the draft Plan update include:
• Near-Term Vision (Launch) – Transition Plan language to “completed during launch”. • “Affordability” as a focus – Added throughout the document to emphasize and elevate existing customer rate priority.
• For example, VCE MISSION - Deliver cost-competitive affordable clean electricity, product choice, price stability, energy efficiency, and greenhouse gas emission reductions. • Startup to Operational – In general, VCE has completed key organizational startup steps and transitioned to operational effectiveness and efficiency. • Transitioned language related to startup phase in specific sections. • Language transitioned from “establish” or “obtain” to “sustain” or “maintain”.
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 19 VCE 2026-29 Strategic Plan Workshop: Initial Draft Updates Affordability – An emphasis has been generally incorporated in the Goals and Objectives of the attached draft Update.
• e.g. Objective 1.4: Manage customer rates to optimize VCE’s financial goals while maintaining rate affordability and competitiveness with PG&E.
Start-up to Operational – Growth in VCE’s in independence, performance, and technology. • e.g. 6.8 Objective: Deploy a modernized IT infrastructure Enterprise Resource Planning (ERP) approach that enables knowledge management, dashboard analytics, and collaboration through robust use of live data and information resources Re-emphasize commitment and focus on low-income and other vulnerable customers. • e.g. Objective 3.7 Develop a roadmap to integrate and address the concerns and priorities of emerging and historically marginalized communities in the design and implementation of VCE's services and programs.
20 VCE 2026-29 Strategic Plan Workshop
2026-2026 Strategic Plan
Initial Major Plan
Goal 2 Updates
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 21 VCE 2026-29 Strategic Plan Workshop: Goal/Objective Updates Revised Goal 2 and Objective 2.3 (Initial Draft)
These modifications are driven mainly by forecasted renewable projects' costs, regulatory changes to Power Charge Indifference Adjustment (PCIA), providing additional grid resiliency, and rate affordability to balance overall customer and community impact. • Maintain a high renewable target (minimum 90%)
• Align with California’s State 2045 goal of 100% carbon free • Allows VCE to explore local investment in distributed energy Updated Goal 2 (Initial Draft):
Manage power supply resources to consistently exceed California’s Renewable Portfolio Standard (RPS) while working toward a resource portfolio that is a minimum 90% Renewable and 100% Carbon Free 100% renewable by 2030.
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 22 VCE 2026-29 Strategic Plan Workshop: Goal/Objective Updates Objective 2.3 (Initial Draft)
Develop strategies to identify and pursue cost-effective, local distributed energy resources.
Identify and pursue cost-effective, local distributed energy resources, including both front-of-meter solar+storage resources for VCE’s renewable energy supply portfolio, as well as behind-the-meter solar+storage aggregations (VPPs) to help reduce RA requirements.
Strategies could include, but are not limited to, an allocation of resource portfolio investment in cost-effective local energy and storage resources even though such local investment may affect achievement of overall resource portfolio goals. 23 VCE 2026-29 Strategic Plan Workshop
2026-2026 Strategic Plan
Summary & Discussion
Item X – Short Title and Slide Description [Calibri (Body) 29 font (not bold)] 24 VCE 2026-29 Strategic Plan Workshop: Summary & Discussion Summary
This workshop provides the Board with the opportunity for high-level feedback on the Initial Draft of the Strategic Plan Major Update for 2026-2029.
Staff, the Strategic Plan Task Group, and the CAC at large believe that the initial 2026- 2029 Strategic Plan Major Update represents a balanced approach to moving the organization forward, setting reasonable goals for the near term based on input from VCE’s stakeholders.
Staff plans to provide an updated 2026-2029 strategic plan to the VCE Board of Directors for consideration at the October 9, 2025, meeting.
25 VCE 2026-29 Strategic Plan Workshop
Contact/Strategic Plan Feedback:
Email us at
[email protected]