AGENDA
MUNICIPAL SERVICES COMMITTEE
REGULAR MEETING NOTICE
OCTOBER 22, 2024
PUBLIC MEETING 4:00 P.M.
MEMBERS
Felicia Williams, Chair, District 2
Tyron Hampton, Councilmember, District 1
Justin Jones, Councilmember, District 3
Jason Lyon, Councilmember, District 7
STAFF
David Reyes, Interim General Manager
Lisa Hosey, Assistant City Attorney
Elizabeth Ashikyan, Recording Secretary
MISSION STATEMENT
The City of Pasadena is dedicated to delivering exemplary municipal services, responsive to our entire community and consistent
with our history, culture and unique character.
In compliance with the Americans with Disabilities Act of 1990, Assistive Listening Devices are available from the City Clerk’s Office with a 24-hour advance notice.
Please call (626) 744-4124 to request use of a listening device.
Language translation services are available for this meeting by calling (626) 744-4124 at least 24 hours in advance.
Habrá servicio de interpretación disponible para éstas juntas llamando al (626) 744-4124 por lo menos con 24 horas de anticipación.
Items on the agenda may not be called in order listed.
Agendas and supporting documents are available on the Internet at http://ww5.cityofpasadena.net/commissions/city-council-municipal-services-committee/ Materials related to an item on this Agenda submitted to the Municipal Services Committee after distribution of the agenda packet will be posted online and listed as: “Supplemental Agenda Material Received after the Posting of the agenda”.
PUBLIC COMMENT AT THE MUNICIPAL SERVICES COMMITTEE MEETING FOR OCTOBER 22, 2024, AT 4:00 P.M. WILL BE ACCEPTED IN-PERSON AND BY VIDEOCONFERENCE/TELECONFERENCE.
Link to City Meeting Policy:
cityofpasadena.net/CityCouncilMeetingPolicy
TO VIEW A LIVE STREAM OF THE MEETING:
http://pasadena.granicus.com/MediaPlayer.php?publish_id=9 AND
WWW.PASADENAMEDIA.ORG
In order to facilitate public participation at meetings the City will accept public comment in the following manner:
1. Whether participating in-person or virtually at the meeting, members of the public may provide public comment by submitting a speaker card prior to the start of public comment on that item, at the following webpage:
www.cityofpasadena.net/commissions/public-comment/
If a public comment speaker wishes to speak on more than one agenda item, please indicate which items on the online form (multiple item speakers will be handled according to the process posted on the agenda and as specified in the City meeting policy). Public comments are limited to 3 minutes each, and the Chair and Committee may limit this time if reasonable under the circumstances.
2. In-person Meeting Participation: Complete an online speaker card at the following website: www.cityofpasadena.net/commissions/public-comment/ After submitting a public speaker card, members of the public may attend the meeting in-person by coming to the Pasadena City Council Chamber, Room S249 at City Hall at the date and start-time of the posted meeting.
Virtual Meeting Participation: For virtual participants, you may attend by connecting to the meeting using a computer, other electronic device, or by telephone. Please review the agenda to identify the published start time for the meeting and connect to the meeting just prior to, or at the start of the meeting.
To participate in public comment for an item and to be recognized to speak, it is required that the speaker login to the meeting using the same name or telephone number used on the Speaker Card form. This will allow City staff to locate and promote the speaker into the meeting when it is time for their public comment.
Participants’ phone calls to the Committee meeting will be recorded as part of the Committee meeting. By staying on the line and making public comment during the Committee meeting by phone, you are agreeing to have your phone call recorded. Following is the connectivity information for virtual participation:
Computer or electronic devices, join the meeting at: cityofpasadena.net/cczoom Telephone only dial-in: 1-669-900-6833, Meeting ID: 161 482 446
3. Speaker Card Help Line: If a public comment speaker needs assistance in completing a speaker card, please call the City Clerk’s Office at: (626) 744-4124. The help line will open 30 minutes prior to the posted start time of the meeting.
4. Members of the public may submit correspondence of any length prior to the start of the meeting, at the following email address:
[email protected]
Correspondence will be forwarded to the Committee prior to the start of the meeting, posted online, and made part of the legislative record for the item.
LIVESTREAM WITH CAPTIONING IS AVAILABLE AT WWW.PASADENAMEDIA.ORG, AND ALSO AT WWW.CITYOFPASADENA.NET/COMMISSIONS/AGENDAS,
IF YOU NEED A REASONABLE MODIFICATION OR ACCOMMODATION PURSUANT TO THE
AMERICANS WITH DISABILITIES ACT
BECAUSE YOU ARE UNABLE TO PARTICIPATE ELECTRONICALLY AS SET FORTH ABOVE, CONTACT THE CITY CLERK’S OFFICE
AS SOON AS POSSIBLE AT (626) 744-4124 OR [email protected].
CITY OF PASADENA
REGULAR MEETING OF
THE MUNICIPAL SERVICES COMMITTEE
OCTOBER 22, 2024
PUBLIC MEETING: 4:00 PM
PASADENA CITY HALL, COUNCIL CHAMBER
100 NORTH GARFIELD AVENUE, ROOM S249
NOTICE IS HEREBY GIVEN that the regular meeting of the Municipal Services Committee will be held on Tuesday, October 22, 2024, at 4:00 p.m., to discuss matters on the attached agenda.
I HEREBY CERTIFY that this agenda in its entirety, was posted on the Internet at https://www.cityofpasadena.net/commissions/city-council-municipal-services-committee/ and on the Council Chamber Bulletin Board, Room S249, and the Bulletin Board in the rotunda area; City Hall, 100 North Garfield Avenue, this October 17, 2024, by 5:00 p.m. and that copies hereof were faxed, emailed or delivered to each member of the City Council and to each local newspaper of general circulation, radio or television station requesting notice in writing, all of which recipients are identified on the distribution herein below.
Susana Castro
DISTRIBUTION:
MSC Committee Members Central Library General Manager Pasadena Weekly City Council City Clerk Director of Planning and Permitting Pasadena Star-News City Manager Director of Public Works Los Angeles Times Pasadena Now City Attorney Public Information Officer La Opinion Pasadena Journal In compliance with the Americans with Disabilities Act of 1990, listening assistive devices are available from the City Clerk's Office with a 24-hour advance notice.
Please call (626) 744-4124 to request use of a listening device. Language translation services may be requested with 24-hour advance notice.
Habra servicio de interpretacion disponible para estas juntas llamando al (626) 744-4124 por lo menos con 24 horas de anticipación.
REGULAR MEETING AGENDA
MUNICIPAL SERVICES COMMITTEE
OCTOBER 22, 2024
Public Meeting: 4:00 P.M.
Council Chamber, Pasadena
City Hall 100 North Garfield Avenue, Room S249
APPROVAL OF MINUTES
1. AUTHORIZE THE CITY MANAGER TO ENTER INTO A POWER SALES AGREEMENT
WITH SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY FOR RENEWABLE SOLAR ENERGY FOR AN AMOUNT NOT-TO-EXCEED $137,197,368 FOR THE
WATER AND POWER DEPARTMENT
2. AN ORDINANCE AMENDING PASADENA MUNICIPAL CODE CHAPTER 13.04 TO
REMOVE DIRECT ACCESS PROVISIONS AND RELATED TARIFFS, AND AMENDING
LONG-TERM CONTRACT PROVISIONS
3. ELECTRIC RATE STUDY INTRODUCTION
4. SOLAR SYSTEM INSTALLATIONS AND PERMITTING PROCESS
5. POWER DELIVERY SYSTEM RELIABILITY AND SUBTRANSMISSION SYSTEM
UPGRADE
PUBLIC MEETING - 4:00 P.M.
ROLL CALL
PUBLIC COMMENT
INFORMATION ONLY
ADJOURN
NEW BUSINESS
1 ITEM #1
2 3
4 5
6 7
8 ITEM #2
9 10
11 12
13 ITEM #3
14 PASADENA WATER AND POWER
MEMORANDUM
October 22, 2024
To: Municipal Services Committee
Fr
om: David M. Reyes
Interim General Manager
S
ubject: Electric Rate Study Introduction
This report provides information to the Municipal Services Committee (“MSC”) about the status of Pasadena Water and Power’s (“PWP”) Electric Rate Study.
BA
CKGROUND:
O
n April 23, 2024, the MSC recommended a contract with NewGen Strategies and Solutions, LLC (“NewGen”) for Electric Rate Study services to the City Council. On May 13, 2024, the Pasadena City Council approved the contract with NewGen.
Ne
wGen is a management and economic consulting firm specializing in serving the utility industry. NewGen primarily serves public sector utilities and provides expertise in load forecasting, utility cost-of-service and rate design studies, financial feasibility studies, municipalization efforts, depreciation and appraisal studies, litigation support for state and federal regulatory proceedings, utility financial planning, and community engagement for electric, water, wastewater, solid waste, and natural gas utilities. NewGen has recently completed multiple electric rate studies in Southern California, including Glendale, Anaheim, and Riverside.
The E
lectric Rate Study aims to evaluate and develop a recommended rate plan that aligns with established Council policies and legal constraints. The objective is to collect sufficient revenue while also supporting both community and utility goals. This is achieved by sending price signals to customers that convey important information and incentivize behaviors that are beneficial for both the community and the utility. With the use of empirical data and NewGen’s expertise of industry best practice, PWP will explore rate structures and pricing incentives that will accommodate evolving electric industry trends and customer practices.
The s
tudy is comprised of several phases, the first phase is the data gathering for the cost- of-service portion and building the financial model, which will serve as the primary tool for analysis. Future phases include a comprehensive public participation process, rate design, 15 Electric Rate Study Introduction
October 8, 2024
scenario analysis and ultimately, a recommendation to City Council for rate ordinance adoption.
P
roject Overview
W
ith this informational item, PWP is pleased to take the next steps in the electric rate study process with the first phase of cost allocations (or cost-of-service study) as well as building the foundational tool which will be used in the rate-making process (i.e. the financial model).
The Electric Rate Study will be aligned with the Optimized Strategic Plan (“OSP”). The OSP intends to outline power supply actions needed to achieve the City’s goal of sourcing 100% of electricity from carbon-free sources by the end of 2030. The outputs of the studies that comprise the OSP will be inputs to the financial model. Other inputs to the Electric Rate Study will include economic metrics combined with historical revenue and expenses, Council adopted operating and capital budgets, and Council policy parameters or directives to best inform future financial status of the Power Fund. Engagement with the community is also a critical piece of the project’s scope. PWP will study and assess how to best convey information and incentivize behavior in a way that uniquely fits Pasadena’s customers.
N
ext Steps
The e
lectric system data collection efforts are near completion and the development of the financial model and cost-of-service analysis are underway. Staff plans to return with an informational item regarding the study’s plan for public participation. Progress of the Electric Rate Study will be reported to MSC periodically throughout the project. 16 © 2024 NEWGEN STRATEGIES AND SOLUTIONS, LLC
ELECTRIC RATE STUDY
PHASE ONE
MSC
October 22, 2024
17 © 2024 NEWGEN STRATEGIES AND SOLUTIONS, LLC
NEWGEN STRATEGIES AND SOLUTIONS, LLC
2 OUR FIRM
12 Locations
nationwide
Be a consulting company that makes a
difference for our clients, our employees, and
in our communities.
2012 management and economic consulting
firm created by consultants who are
dedicated to our client’s mission and
recognized as experts in our respective
fields of service.
established
61 employees
OUR CLIENTS
OUR VALUES
18 © 2024 NEWGEN STRATEGIES AND SOLUTIONS, LLC
NEWGEN CALIFORNIA EXPERIENCE
3 Working with many California public power
entities:
• Assisted SVP with detailed cost of service and rate design analysis (2020).
• Completed comprehensive electric cost of service study for Riverside (2024).
• Completed electric cost of service analyses for Port of Oakland for Seaport and Airport operations (2024).
• Completed detailed analysis for Glendale Water and
Power (2023).
• Analytical rate support and data analysis for the majority of the California Community Choice Aggregators (CCAs)
(ongoing).
19 Procurement
Implementation
Consultant
Selection/Contract
Study / Financial Modeling
Public Hearings /
Adoption
Public Participation
Rate Design and Impact Analysis
Rate Implementation
ELECTRIC RATES ROADMAP
2024 2025 2026
Public
Participation
Cost of Service Study
Rate Design
Recommendation
/Budget Adoption
You are here
20 5NEWGEN STRATEGIES AND SOLUTIONS, LLC
Rate Study
Process:
Revenue
Requirement
STEP 1
STEP 2
STEP 4
STEP 3
STEP 5
Determine the revenue
requirements of the utility
Unbundle costs by functions and
services (power supply,
transmission, distribution, etc.)
Classify costs (demand, energy,
customer costs, etc.)
Allocate cost among customer
classes
Design rates
Revenue Requirement
Cost Allocation
5 21
© 2024 NEWGEN STRATEGIES AND SOLUTIONS, LLC
FINANCIAL FORECAST – SCENARIO ANALYSIS AND OPTIMIZATION Financial Forecast Optimization –
Manage/Adjust the Following:
6 PWP’s Financial Metrics measure financial
sustainability and health. These will directly
impact the cost of debt and credit agencies
ratings.
Debt Rate
Changes
Prioritize
Capital
Cash
Reserves
Monitor Key Financial Metrics:
• Debt Service Coverage Ratio
(PWP Targets and Bond
Requirements)
• Days Cash on Hand (Cash Reserves)
Identify
optimal mix to
meet PWP
goals
22 © 2024 NEWGEN STRATEGIES AND SOLUTIONS, LLC
FINANCIAL FORECAST AND REVENUE REQUIREMENT
7 Test Year Revenue Requirement:
Total costs to provide electric services to customers over the study period (e.g., 2026–2030). Foundation of the COS and based on forecast.
Base Year Financials
Budget Year 2025
Costs
Adjustments and
Evaluations
Forecast 2026–2030
Debt/Rate/CIP
Amounts Set
Test Year Revenue
Requirement
(Avg. Costs for
2026–2030)
23 © 2024 NEWGEN STRATEGIES AND SOLUTIONS, LLC
FULL COST OF SERVICE PROCESS
8 Step 1 Step 2 Step 3 Step 4
Illustrative – not PWP classes.
24 © 2024 NEWGEN STRATEGIES AND SOLUTIONS, LLC
COS RESULTS VS. CURRENT REVENUES
9 Illustrative – not PWP COS or classes.
25 © 2024 NEWGEN STRATEGIES AND SOLUTIONS, LLC
GOING FROM COST OF SERVICE TO RATE DESIGN
10 Cost of Service
• Revenue Requirement
• Functionalize
• Classify
• Allocate
• Guide for cost-based
rates
“Rate Making”
• Policy Decisions
• Incentivize behavior
• Industry practice is to
move towards COS
Rates do not always
match COS; prop 26
compliance
Rates
• Collect sufficient revenue
• Support community goals
• Support utility goals
• Price signal to customers
• Convey information
• Change behavior
26 11NEWGEN STRATEGIES AND SOLUTIONS, LLC
ELECTRIC
RATE STUDY
UP NEXT
• Ordinance legacy items clean-up
• Information on public engagement plan
11 27
© 2024 NEWGEN STRATEGIES AND SOLUTIONS, LLC
2029
Plan Integrations and Dependencies
JulJunMayAprMarFebJanDecNovOctSepAugJulJunMayTask
Optimized Strategic Plan
Preparatory Studies
Portfolio Development
Cost Impacts
Optimized Plan
Community Partners Engagement
Electric Rate Study
Preparatory Analysis
Rate Development
Rate Adoption
Community Partners Engagement
Operating Budget Development
Capital Budget Development
2027Power Delivery Master Plan
2028Integrated Resources Plan
2029
Annually with 5-year forecasts
Annually with 5-year plan
Where relevant, all planning efforts will
work in concert to leverage the
available resources and use the best
available information for decision-
making.
PWP will coordinate closely to avoid
confusion to customers.
FY 2026FY 2025FY 2024
28 ITEM #4
29 P ASAD EN A W AT ER A N D PO W ER
MEMORANDUM
October 22, 2024
To: Municipal Services Committee
From: David Reyes
Interim General Manager
Subject: Solar System Installations & Permitting Process
This memorandum is for information only.
BACKGROUND:
The attached presentation provides the Municipal Services Committee with detailed information on current solar system installations and the associated permitting process. It includes general insight into residential solar systems, their impact on the power grid, rate structure, and the steps residents must follow to obtain the necessary permits for safe solar system installation and operation in Pasadena. Additionally, the presentation highlights recent improvements made by the Pasadena Water and Power, the Planning, and the Fire Departments.
Attachment: PowerPoint presentation
cc: Jennifer Paige, Director of Planning & Community Development Chad Augustin, Fire Chief
30 City of Pasadena
City of Pasadena
Solar System Installations
& Permitting Process
Pasadena Water and Power
&
Planning & Community Development
Item 4
October 22, 2024
31 City of Pasadena
Agenda
• Solar System Interconnections and Statistics
• Impact of Solar Systems on Distribution System
• Net Energy Metering (NEM) Rate Structure
• Permitting Process
• Improvements
2 32
City of Pasadena
Typical Residential Solar System with
Energy Storage
3 33
City of Pasadena
4 • Pasadena Municipal Code
• PMC 13.04-177 - Solar system size is intended to offset all or part of the facility's own electrical requirements
• Pasadena’s Regulations 21 and 23
• Regulation 21 – Electric Service Requirements (ESR)
• Regulation 23 – Distributed Generation Facilities Interconnection Requirements
Solar System Installation Requirements
34 City of Pasadena
5 Cumulative Totals
2013 (513 – 4.5MW)
2014 (661 – 6.0MW)
2015 (824 – 6.9MW)
2016 (1043 – 8.3MW)
2017 (1188 – 9.5MW)
2018 (1420 – 10.7MW)
2019 (1588 – 12.0MW)
2020 (1820 – 14.5MW)
2021 (2045 – 18.7MW)
2022 (2353 – 23.4MW)
35 City of Pasadena
6 Cumulative Size of Solar Systems
Solar Only (87%)
As of 07/01/2024
• Average residential solar
system size ~6kW
36 City of Pasadena
7 Solar Installations by Customer
Sector and Capacity
Solar Only (87%)
Commercial,
11,371 , 40%
Residential,
17,056 , 60%
Capacity of Solar Systems (KW AC)
Commercial, 107 , 4%
Residential,
2,813 , 96%
Number of Solar Systems
37 City of Pasadena
Impact to Distribution Network
8 Positive Impacts
• Renewable distributed energy resource closer to the
load
• Reduces system load during high demand periods
Negative Impact *
Potential overloading and/or voltage rise beyond
acceptable limits when multiple solar systems are
connected to the same local network (i.e. transformer
and wires)
* Requires costly distribution system improvements
38 City of Pasadena
Solar Rates: A Brief History
http://www.leginfo.ca.gov/pub/95-96/bill/sen/sb_0651-0700/sb_656_bill_950804_chaptered.html The structure as we know it today (NEM
1.0) was first adopted in 1995 (SB656).
There have been many change since. State Legislation
NEM 1.0 applied to all California publicly-
owned utilities (except LADWP) and
investor-owned utilities
Impacted Power
Utilities
• Customers must have eligible generating
systems
• Billed/credits through a net metering
structure
Structure
39 City of Pasadena
Solar Rates: A Brief History
http://www.leginfo.ca.gov/pub/95-96/bill/sen/sb_0651-0700/sb_656_bill_950804_chaptered.html Compensation rate adopted by Utility’s
ratemaking authority – i.e. City Council.
Rate ordinance in place since 2008 in
PMC.
Compensation Rate
Program is subject to cap (i.e. the
incentive can be replaced after a certain
amount of customer adoption). Pasadena
reached its cap in 2020.
Limits/Sunset
Many have gone to a model beyond
“NEM”, once their cap had been
reached. Glendale is on NEM 1.0,
Burbank is not considering NEM 3.0+
State of Our Peers
40 City of Pasadena
11 Rate Structure
Energy Charge with PCA
$0.1381
Transmission Charge
$0.0161
Distribution Charge
$0.0575
Public Benefits Charge
$0.0068
Grid Access Charge
$0.0088
Customer Charge
$0.0076
FY2025 Proposed Operating Budget Average System Rate = $0.2349 per kWh Charged based on usage (per kWh
charge)
Charged per account
Charged based on State law (non-
discretionary charge)
41 City of Pasadena
A Day for NEM customers
42 City of Pasadena
Energy Charge with PCA
$0.1381
Transmission Charge
$0.0161
Distribution Charge
$0.0575
$0.2117 per
kWh
Amount per kWh not billed or
credited for renewable electrical
generation facility use
On a sunny morning
Customer Avoided
Costs - self-generation
and use that is not
billed
43 City of Pasadena
Energy Charge Credit
$0.1381
Renewable Energy Attributes
or Credits
$0.025
Bi-monthly Net Metering
Credit
$0.066
Mid-day - Credit
Customer CREDIT of
$0.2291 per kWh
for a bi-monthly customer
44 City of Pasadena
Energy Charge with PCA
$0.1381
Transmission Charge
$0.0161
Distribution Charge
$0.0575
After sundown - Charge
Customer CHARGE of
$0.2117 per kWh
45 City of Pasadena
16 NEM Rate Structure
FY2025 Proposed Operating Budget Average System Rate = $0.2349 per kWh This process is repeated every day of the billing cycle. Charges and credits are determined either monthly, bi-monthly or annually depending on account status and interconnection agreement when self-generation is installed Net Creditis $0.0174 per kWh on bill +
full retail amount saved by consumed before the meter
@ 750 kWh/month (500 internal use, 125 export,
125 import) = $108.025 return on investment for solar/mo Per kWh Charge
(Credit)
Bill Component
$0.1381Energy Charge with PCA
$0.0161Transmission Charge
$0.0575Distribution Charge
$(0.1381)Energy Charge Credit
$(0.025)Renewable Energy Attributes or Credits
$(0.066)Bi-monthly Net Metering Credit
$(0.2291)
$0.2117
46 City of Pasadena
Building Permit Process
17 PWP
Application
submitted on
PowerClerk
PWP Initial
Review
Building
Permit
PTO Request &
PWP
Inspection
PWP Meter
Installation
•Permission to
Operate
Building
& Safety
Building
Permit
Building
Inspection
Fire
Fire
Inspection on
ESS
• Same Day Permit Issuance
> Over the Counter or Express Solar
> Building Permit is valid for 2-Years on Single Family properties and 3-Years on Multifamily and Commercial properties in accordance with City Council Ordinance 7416 (November 2023).
47 City of Pasadena
Building Permit Types
18 SB379
38.4 KW
Single Family Residential
Roof Mounted Solar
Battery Optional
• Solar Express
• Over the Counter
• Standard Solar Permit
> All other types of Solar and Battery Systems
48 City of Pasadena
Building Permit Inspection Requirements
19 Battery
Interior
Battery
Exterior
Solar
OnlyInspections Required
XFire Alarm and Fire Ratings
XXFire Final Inspection
XXXBuilding Final Inspection
XXXPWP Inspection
49 City of Pasadena
City Improvements Since Last Update
• Maintenance fixes on Express Solar Permitting
system that complies with SB379 (Wiener, 2022)
> Improved system integration with PowerClerk software. > Improved immediate customer feedback on the
application validation.
• Simplified inspection request options via online
scheduling system.
• Improved inspection coordination between
Building and Fire services.
• Currently evaluating the effectiveness of Sola
r
E
xpress system implemented in 2023.
20 50
City of Pasadena
PWP Improvements Since Last Update
• Insurance requirements for systems above
15kW
• Electronic/Adobe signatures
• Usage History – only latest bill
21 51
City of Pasadena
Resources for Customers/Contractors
22 Websites
• PWP Solar: PWPweb.com/solar
• PWP Solar Application Portal: pwpinterconnect.powerclerk.com • Pasadena Solar App
Expr
ess: https://mypermits.cityofpasadena.net/Permit/Express Contact Information
• PWP Electric Service Planning (626) 744-4495 (option 1) • PWP Customer Service (billing questions) (626) 744-4005 • Pasadena Permit Center (626) 744-4200
52 City of Pasadena
Questions?
23 53
ITEM #5
54 P ASAD EN A W AT ER A N D PO W ER
MEMORANDUM
October 22, 2024
To: Municipal Services Committee
From: David Reyes
Interim General Manager
Subject: Power Delivery System Reliability and Subtransmission System Upgrade
This memorandum is for information only.
BACKGROUND:
The attached presentation offers the Municipal Services Committee an update on the current status of Power Delivery ’s reliability metrics. It also emphasizes the need to expedite the upgrading of power subtransmission lines to maintain and improve overall system reliability.
Attachment: PowerPoint presentation
55 Pasadena Water and Power
Power Delivery
.
System Reliability
&
Subtransmission System Upgrade
Municipal Services Committee
October 22, 2024
56 Pasadena Water and Power
Reliable Public Power Provider
2 PWP has earned APPA’s
highest designation (Diamond
RP3®) as a Reliable Public
Power Provider
57 Pasadena Water and Power
Underground vs Overhead
3 69%
UG
OVERHEAD CABLE
VS
UNDERGROUND CABLE
31%
OH
Pasadena
2022 COMPARISON WITH OTHER
UTILITIES IN SOUTHERN CALIFORNIA
OVERHEAD CABLE: 570 MILES
UNDERGROUND CABLE: 1,254 MILES
58 Pasadena Water and Power
Reliability Indices Definitions
• SAIDI (System Average Interruption Duration Index)
> Duration (in minutes) of electric interruptions per
y
ear that the average customer experienced
• SAIFI (System Average Interruption Frequency Index)
> Frequency (in number of outages) of electric
interruptions per year that the average customer
e
xperienced
4 59
Pasadena Water and Power
2022 SAIDI Benchmarking with Publicly
Owned Utilities in Southern California
5 Pasadena
Note: Benchmarking was conducted anonymously by Southern California Public Power Authority (SCPPA) and First Quartile Consulting comparing performance with publicly owned utilities in Southern California. 60 Pasadena Water and Power
Outage Duration Reliability Goals
6 Up to 9/30/24
Light blue is projected
to end of year (2024)
Master Plan Goal – 35 minutes
61 Pasadena Water and Power
2022 SAIFI Benchmarking with Publicly
Owned Utilities in Southern California
7 Pasadena
Note: Benchmarking was conducted anonymously by Southern California Public Power Authority (SCPPA) and First Quartile Consulting comparing performance with publicly owned utilities in Southern California. 62 Pasadena Water and Power
Outage Frequency Reliability Goals
8 Up to 9/30/24
Light blue is projected
to end of year (2024)
Master Plan Goal – 0.31
Less than one outage in every three years
63 Pasadena Water and Power
9 56%
Distribution
Equipment
Failure
14%
Substation
Outages
11%
Animals
5%
Trees
5%
Human Error
3%
Weather4%
Other
0.3%
Unknown
0.4%
Overload
0.2%
Foreign
Interference
(Cars, Dig-ins,
Balloons, etc)
Customer Interruptions by Cause
(excluding planned outages)
A majority of our
outages have
been due to
equipment failure,
showcasing an
increase in aging
infrastructure and
operational stress
on equipment
0 5000
10000
15000
20000
2019 2020 2021 2022
Number of Customer
Interruptions Due to
Equipment Failures
0 0.1
0.2 0.3
0.4 0.5
2019 2020 2021 2022
SAIFI
64 Pasadena Water and Power
Ongoing Strategies and Initiatives
Designed to Improve Reliability
• Distribution Infrastructure Replacement
> Switches, transformers, poles, vaults, overhead and underground cables • Aging Substation Unit Replacements
• Voltage conversions (4kV to 17kV)
> 4kV is generally older and less reliable than 17kV. It also does not offer as much capacity as 17kV
> Some of these projects involve moving load from overhead to underground, providing additional reliability benefits
• Upgrading existing protection systems
> Provides faster responses to failures, reducing any damage to othe r
e
quipment
• Advanced Metering Infrastructure (“AMI”)
> Will assist in detecting and locating outages more quickly and accurately • Subtransmission cable upgrades/replacements
> Vault restorations and repair. Asbestos abatement
> Subtransmission cable replacement
10 65
Pasadena Water and Power
Subtransmission System
Upgrade
11 66
Pasadena Water and Power
Subtransmission System
Network of cables that move power from the east
side of Pasadena to the west. Approximately 54% of
the total system load passes through this path
PWP All Time System Peak (2024):
330MW
CAISO/SCE
97% of KWH
GLENARM
3% of KWH
67 Pasadena Water and Power
13 Subtransmission System – Aerial View
CAISO/SCE
GLENARM
POWER PLANT
68 Pasadena Water and Power
Master Plan / Risk Assessment
• Subtransmission Line (Path 2) Replacement is
a Power Delivery Master Plan project to
complete by FY31
• Need to accelerate project execution
> Currently failures of are more frequent due to
age/condition
> Risk of cascading failure is possible
> Many vaults on the path are also in poor condition
14 69
Pasadena Water and Power
Sample Underground Vault Condition
15 70
Pasadena Water and Power
16 Project Scope
• Civil Infrastructure Repairs – Ongoing
> Asbestos Abatement
> Vault Restorations and Repairs
• Cable Replacement
> Approximately 200,000 feet of cable
> Full line outage necessary during cable replacement
• Glenarm Power Plant generation needed
during construction
71 Pasadena Water and Power
Schedule/Cost Comparison
17 Execution of accelerated plans A or B will depend on:
• Cable manufacturing and delivery lead-time
• Contractor’s ability and availability
TotalFY31FY30FY29FY28FY27FY26FY25
$51.05M$12M$12M$12M$12M$3M$25k$25KOriginal Master Plan
Schedule
$51.05M----$48M$50k$3MAccelerated Plan A
$51.05M---$24M$24M$50k$3MAccelerated Plan B
72