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Resolution

San Jose City Council
August 26, 2025

Document
Resolution
Meeting
August 26, 2025
Body
San Jose City Council
Original file
212 KB
Text extracted from the city's file for reading and search. Open the original on legistar.granicus.com. That file is the official record.

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Council Agenda: 08-26-2025
Item No.: 2.8
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.

RESOLUTION NO. ______________

A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN

JOSE AMENDING THE SAN JOSE CLEAN ENERGY

GREEN TRANSPORTATION PROGRAM (A) TO INCLUDE
THE OFFERING OF PG&E’S NET BILLING TARIFF FOR

COMMERCIAL CUSTOMERS TO ELIGIBLE GREEN

TRANSPORTATION PROGRAM PARTICIPANTS,
EFFECTIVE UPON PG&E’S IMPLEMENTATION OF THE

NET BILLING TARIFF FOR COMMERCIAL CUSTOMERS IN
2026; AND (B) BEGINNING NO LATER THAN NOVEMBER
1, 2025, AND CONTINUING UNTIL PG&E’S NET BILLING

TARIFF BECOMES AVAILABLE TO COMMERCIAL
CUSTOMERS (ANTICIPATED IN APRIL 2026), OFFERING

INTERIM EXPORT COMPENSATION OF SIX CENTS PER
KILOWATT-HOUR ($0.06/KWH) FOR SURPLUS

ELECTRICITY GENERATED BY ELIGIBLE GREEN

TRANSPORTATION PROGRAM PARTICIPANTS

THROUGH REGENERATIVE BRAKING

WHEREAS, the City of San José (“City”) City Council approved the San José Clean Energy (“SJCE”) Green Transportation Program on May 14, 2024, to provide public transportation traction power customers, such as VTA and Caltrain, with 100% emissions-free electricity at a discounted rate; and

WHEREAS, the program supports the Climate Smart San José plan and the City’s goal of carbon neutrality by 2030; and

WHEREAS, 100% emissions-free electricity allows those customers to obtain Low Carbon Fuel Standard credits by claiming lower carbon intensity for their traction power; and

WHEREAS, this effectively reduces operating costs for these customers; and

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Council Agenda: 08-26-2025
Item No.: 2.8
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.

WHEREAS, in 2022, the California Public Utilities Commission adopted Decision 22-12- 056, establishing the Net Billing Tariff (“NBT”) as the successor to the Net Energy Metering 2.0 program for solar customers; and

WHEREAS, NBT is already in effect for residential customers and is scheduled to be extended to commercial customers by PG&E in 2026; and

WHEREAS, SJCE will mirror PG&E’s timeline and tariff offering to ensure consistency and fairness for customers across its service area; and

WHEREAS, the Caltrain Electrification Project, part of the Caltrain Modernization Program, aimed to modernize the commuter rail line between San Francisco and San José, focusing on electrification and improved service; and

WHEREAS, this included: electrifying the 51-mile corridor using an overhead catenary system, replacing diesel-powered trains with electrified trains; and

WHEREAS, regenerative braking is a key feature of the new electric trains, returning some energy to the grid during deceleration, enhancing efficiency, and reducing the carbon footprint; and

WHEREAS, the City has been a strong supporter of Caltrain’s efforts to electrify its fleet, including initial support for Caltrain’s pursuit of federal funding for its electrification project; and

WHEREAS, in the fall of 2024, Caltrain staff expressed an interest in obtaining energy export credit for the energy they are returning to the grid through regenerative braking and have expressed to City staff their desire to have SJCE provide that as an offering; and
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Council Agenda: 08-26-2025
Item No.: 2.8
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.

WHEREAS, while NBT has been available to SJCE customers since its implementation, the Green Transportation Program did not previously specify the option for participants to combine this tariff with their participation; and

WHEREAS, this resolution formalizes that eligibility;

NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF SAN JOSE THAT:

The San José Clean Energy Green Transportation Program is hereby amended:

A. To include the offering of PG&E’s Net Billing Tariff for commercial customers to eligible Green Transportation Program participants, effective upon PG&E’s implementation of the Net Billing Tariff for commercial customers in 2026; and

B. Beginning no later than November 1, 2025, and continuing until PG&E’s Net Billing Tariff becomes available to commercial customers (anticipated in April 2026), offering interim export compensation of six cents per kilowatt-hour ($0.06/kWh) for surplus electricity generated by eligible Green Transportation Program participants through regenerative braking.

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Council Agenda: 08-26-2025
Item No.: 2.8
DRAFT--Contact the Office of the City Clerk at (408)535-1260 or [email protected] for final document.

ADOPTED this _____ day of ___________, 2025, by the following vote:

AYES:

NOES:

ABSENT:

DISQUALIFIED:

MATT MAHAN
Mayor
ATTEST:

TONI J. TABER, MMC
City Clerk

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