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HomeMy WebLinkAbout7.1 Status of Community Default to East Bay Community Energy Renewable 100 PowerSTAFF REPORT CITY COUNCIL Page 1 of 6 Agenda Item 7.1 DATE:March 1, 2022 TO:Honorable Mayor and City Councilmembers FROM:Linda Smith, City Manager SUBJECT:Status of Community Default to East Bay Community Energy Renewable 100 PowerPrepared by:Shannan Young,Environmental &Sustainability Manager EXECUTIVE SUMMARY:The City Council will receive a report on the status of the default of residential accounts to Renewable 100 electricity through the City’s electricity provider, East Bay Community Energy, and will consider the default electricity power portfolio for non-residential accounts. STAFF RECOMMENDATION:Receive the report and provide direction on the East Bay Community Energy default electricity power portfolio for non-residential accounts. FINANCIAL IMPACT:There is no impact to the General Fund but a discussion regarding the potential cost impacts of the Renewable 100 electricity power portfolio for non-residential accounts is included below. Municipal electricity accounts are currently supplied with the Renewable 100 power portfolio. DESCRIPTION:BackgroundAt its January 12, 2021 meeting, the City Council adopted Resolution 04-21 (Attachment 1) requesting East Bay Community Energy (EBCE)enroll City of Dublin residential accounts in Renewable 100 as the default product. Renewable 100 is 100% greenhouse gas (GHG) emission-free and 100% renewable power (California-based wind and solar). The action was taken in support of the City’s Climate Action Plan 2030 and Beyond (CAP 2030) which was approved by the Council via Resolution 100-20 (Attachment 2) on September 15, 2020.CAP 2030 includes 22 measures that have the potential to achieve GHG emissions reductions of approximately 48,000 metric tons carbon dioxide equivalent by 2025.Approximately 28% of those GHG emissions reductions are expected to be achieved through the default enrollment of 439 Page 2 of 6 residential accounts into Renewable 100 beginning in January 2022. An additional 25% GHG emissions reductions can be achieved by transitioning non-residential accounts (e.g., commercial and industrial accounts) to Renewable 100. CAP 2030 Measure CF-1, Opt Up to 100% Renewable and Carbon-Free Electricity, planned for enrollment of all community-wide accounts into a GHG-free electric power portfolio, but due to the rapidly evolving Covid-19 pandemic and economic uncertainty in January 2021, it was decided to postpone consideration of transitioning non-residential accounts to Renewable 100 to a later date since those accounts typically use more electricity than residential accounts.Residential Account TransitionEBCE anticipated that the enrollment of residential accounts into Renewable 100 would occur in October 2021, however the transition was delayed until January 2022 to align with similar default transitions occurring in the cities of Pleasanton, Hayward, and Albany. These three cities requested that all accounts, including non-residential accounts, be defaulted to Renewable 100. To help EBCE staff manage the activities required to transition the four cities, all the transitions were scheduled for January 2022.Individual account transitions do not occur all at once. The exact date of an account transitioning to Renewable 100 is based on the individual Pacific Gas & Electric (PG&E) meter read date, which varies from customer to customer. Residents enrolled in California Alternate Rates for Energy (CARE) and Family Electric Rate Assistance (FERA) programs, as well as Medical Baseline accounts will remain on EBCE’s Bright Choice power portfolio which is offered at a 1% discount compared to PG&E’s standard rates and provides approximately 5% more renewable energy than PG&E’s standard service. All customers retain the option to choose Bright Choice at any time. The discounted Bright Choice rates will be reflected on a customer’s PG&E bill in one or two billing cycles, depending on the timing of the customer request in relation to the meter read date. Residential OutreachOutreach to residents about the transition to Renewable 100 is occurring via several methods, as shown in Table 1 below. Residents have been provided information regarding why the transition is occurring, what their choices are, and how they can take action if they desire to remain on Bright Choice or opt out to PG&E. Samples of the outreach material are provided in Attachment 3. 440 Page 3 of 6 Table 1. Renewable 100 Residential OutreachCommunication Method Message Provided By Date ProvidedPress Release EBCE 11/22/2021Direct mail notification,by letter (Notice 1)EBCE Beginning 11/30/2021 (sent to customers based on their meter read dates)Backyard Brief Newsletter City 12/1/2021Print and digital ads in The Independent EBCE 8 weeks in December 2021 and January 2022Tabling at the Holiday Tree Lighting Ceremony City and EBCE 12/2/2021Tabling at Breakfast with Santa City and EBCE 12/4/2021Email to customers with email addresses on file with PG&E (Notice 1)EBCE 12/7/2021 and 12/8/2021Webinars EBCE Various dates beginning 12/8/2021City of Dublin News Flash City 12/8/2021 (City list)12/13/2021 (Environmental list)Social media posts (Twitter and Facebook) –retweet of 11/22/2021 press release City 12/2/2021 and 12/8/2021Direct mail notification by postcard (Notice 2)EBCE Beginning 1/2/2022(sent to customers based on their meter read dates)Email to customers with email addresses on file with PG&E (Notice 2)EBCE 1/11/2022Direct mail notification City February 2022City Report City February 2022Web page updates City and EBCE On-goingConsideration of Non-Residential Accounts Transition to Renewable 100To reach the CAP 2030 goals, community-wide participation in and engagement with many of the 22 measures is required. This includes setting the default for non-residential electricity accounts from EBCE’s discount power product, Bright Choice, to Renewable 100. Non-residential accounts consume approximately 46.4% of the total electricity used in Dublin, which equates to about 11,844 metric tons carbon dioxide equivalent. This is a little more than a third of the remaining GHG emissions reductions that can be achieved by 2025 with the measures in CAP 2030.Table 2 below shows average monthly electricity usage and associated billing for the different rate categories in Dublin. With the exception of A10 and E20P, these are estimates using summary rates, based on annual kilowatt hours (kWh) electricity usage, and averaged using the March 2021 441 Page 4 of 6 Joint Rate Comparison blended rates, which are available from EBCE at https://ebce.org/rates/. The numbers for A10 and E20P rate categories are based upon EBCE territory-wide averages for each of these two rate categories instead of Dublin-specific usage. This is necessary because Senate Bill 1476, Public Utilities, Customer Privacy, Advanced Metering Infrastructure, requires aggregated data from a minimum of 15 customers to ensure customer data privacy.Table 2. Average Monthly Electricity Usage for Non-Residential Accounts in Dublin Summary Rate & Rate Category Accounts Avg. Monthly Usage(kWh)Monthly Bright Choice Avg.Monthly Renewable 100 Avg. Monthly Bright ChoiceAvg. Discount Monthly Renewable 100 Avg. Premium IncreaseA1-Small/ MediumCommercial 193 346.5 $91.38 $95.22 $0.38 $3.47 3.8%A1 TOU*-Small/ Medium Commercial 1,630 1,463.5 $395.40 $411.65 $1.60 $14.65 3.7%A10 -Small/ Medium Commercial**1 11,747 $2,819.72 $2,950.85 $13.86 $117.47 4.2%A10 TOU –Small/ Medium Commercial 211 15,548.6 $3,641.02 $3,814.70 $18.35 $155.33 4.3%E19 –Large Commercial 121 31,561.3 $6,215.38 $6,564.76 $33.77 $315.61 5.1%E20P -Large Commercial**1 754,170 $131,029.50 $139,310.28 $739.09 $7,541.69 5.8%* TOU means time-of-use. TOU rates change based on the time of day, with higher rates during peak electricity use times, typically 4 pm to 9 pm.** A10 and E20P rates based upon territory-wide averages, not actualDublin accountsThe rate categories shown above roughly correspond with the size of electricity load consumed by the customer. Rate A1 is for a typical small business such as a small office or small food establishment. The next rate category, A10, is for operations that involve higher load activities such as power tools or refrigeration, such as a small market or grocery store. Rate categories E19 and E20 involve the largest commercial or industrial scale enterprises, such as those with heavy machinery or giant conditioned spaces that require a lot of onsite energy use. A large grocery store could be in the E19 rate category. PG&E’s Annual Rate SettingA factor that will impact electricity rates of all customers in PG&E’s territory was approved in December 2021 by the California Public Utilities Commission (CPUC) as part of PG&E’s annual rate review and true-up. To generate revenue needed to complete maintenance and repairs to the electric grid and to prevent equipment failures that spark wildfires, the CPUC approved a 10% 442 Page 5 of 6 rate increase for the transmission and distribution of electricity. The transmission and distribution fee, which on the PG&E bill is referenced as the PG&E electric delivery charge, is determined based on the amount of electricity consumed, the rate category, and the time of day itis consumed. The fee is lower during off-peak hours and highest in peak hours (4 pm to 9 pm). The 10% rate increase went into effect on January 1. Status of Default EnrollmentsEBCE has been tracking enrollment status in Dublin, Albany, Hayward, and Pleasanton to determine how the new community default enrollments are impacting customer decisions to optdown to Bright Choice or opt out to PG&E. Tables 3 and 4 below show residential account enrollment status and non-residential account enrollment status, respectively. As can be seen in the tables, most of the enrollment actions taken since November 2021, when outreach concerningthe default enrollments began, have been taken by residential customers. As of January 4, 2022, 3.47% of residential customers in Dublin acted to either stay on EBCE’s Bright Choice power or opt out to PG&E. This is a relatively low rate of enrollment actions compared to Albany, Hayward,and Pleasanton (12.42%, 11.86%, and 5.39%, respectively). The non-residential enrollment actions in those cities have been minor compared to the residential actions. In all three cities, fewer than 2% of non-residential customers made enrollment actions to either opt out of the default enrollment to Renewable 100 or opt down to Bright Choice. Non-residential accounts in Dublin are currently in Bright Choice. Noticing to date has been targeted to residential accountsabout the default enrollment to Renewable 100, however non-residential accounts may have taken action in response to the outreach. This may explain the non-residential enrollment action since November 2021 in Dublin.Table 3. EBCE Residential Account Enrollment Status As of January 4, 2022 Change from November 2021Total Eligible Total % Move to/Stay on Bright Choice % Opt Out % Move to/Stay on Bright ChoiceDublin25,126 3.20%0.27%3.20%Albany 6,674 13.35%0.21%12.21%Hayward 50,425 12.51%0.19%11.67%Pleasanton 28,105 5.46%0.66%4.73%All EBCE 608,087 1.72%0.10%1.58%Table 4. EBCE Non-Residential Account Enrollment StatusAs of January 4, 2022 Change from November 2021 Total Eligible Total % Move to/Stay on Bright Choice % Opt Out % Move to/Stay on Bright ChoiceDublin2,377 0.34%0.05%0.34%Albany 668 2.25%-0.03%1.34%Hayward 7,376 1.99%0.10%1.01%Pleasanton 3,980 2.56%0.19%1.76%All EBCE 65,985 4.11%0.04%3.93% 443 Page 6 of 6 Conclusion and Next StepsDublin made great strides to meet the goals established in CAP 2030 to reduce GHG emissions by 40% below 1990 levels by 2030 and achieve carbon neutrality by 2045 when the City Council requested that the EBCE Board default residential accounts to Renewable 100. The City can make additional gains towards achieving the goals by requesting the EBCE Board do the same with non-residential accounts. As with the residential consumers, commercial and industrial users would retain the option to remain on Bright Choice or opt out to PG&E. With City Council direction to default non-residential accounts to Renewable 100, Staff would bring a resolution back to the City Council for adoption at the next meeting. This would allowEBCE time to align Dublin’s transition with those occurring in Berkeley and San Leandro in October 2022. Staff would partner with EBCE to conduct a robust outreach effort to commercial and industrial customers about the default to Renewable 100. STRATEGIC PLAN INITIATIVE:None. NOTICING REQUIREMENTS/PUBLIC OUTREACH:The City Council Agenda was posted. ATTACHMENTS:1) Resolution 04-21 Requesting East Bay Community Energy (EBCE) Enroll City of Dublin Residential Accounts in Renewable 100 as the Default Electricity Product2) Resolution 100-20 Adopting the City of Dublin Climate Action Plan 2030 and Beyond3) Samples of Renewable 100 Residential Outreach 444 $WWDFKPHQW 445 446 Reso No. 100-20, Item 6.1, Adopted 09/15/2020 Page 1 of 2 RESOLUTION NO. 100 - 20 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN ADOPTING THE CITY OF DUBLIN CLIMATE ACTION PLAN 2030 AND BEYOND WHEREAS, on November 16, 2010 the City Council adopted Resolution 167-10 approving the City of Dublin Climate Action Plan establishing greenhouse gas (GHG) reduction goals for 2020; and WHEREAS, under the California Environmental Quality Act (CEQA) a city may prepare a qualified GHG Reduction Strategy or Climate Action Plan to evaluate a community’s cumulative impact due to GHG emissions from future planned development; and WHEREAS, if a project is consistent with an adopted, qualified GHG Reduction Strategy or Climate Action Plan, the Strategy/Plan can be used as a basis for determining that the project would have a less than significant impact on a community’s cumulative GHG emissions under CEQA; and WHEREAS, on October 15, 2013 the City Council adopted Resolution 177-13 approving the City of Dublin Climate Action Plan Update to use as a basis for determining that a future project that was consistent with the adopted Climate Action Plan Update would have a less than significant impact on Dublin’s cumulative GHG emissions under CEQA through 2020; and WHEREAS, the City of Dublin is on track to meet the 2020 GHG reduction goals established by the Plans; and WHEREAS, in 2016, the California Legislature adopted Senate Bill (SB) 32 to extend the State’s commitment to GHG emissions reductions by tightening the target to 40% below 1990 levels by 2030; and WHEREAS, in 2018, Governor Brown adopted Executive Order (EO) B-55-18 setting a Statewide goal of reaching carbon neutrality by no later than 2045; and WHEREAS, on December 17, 2019, the City Council provided consensus to align the City’s future Climate Action Plan with both SB 32 and EO B-55-18 goals and consensus to proceed with the draft strategies and measures to achieve those goals; and WHEREAS, the Climate Action Plan 2030 and Beyond establishes the following targets: 1. Reduce GHG emissions to 40% below 1990 levels by 2030 2. Reach carbon neutrality by 2045; and WHEREAS, the Climate Action Plan 2030 and Beyond contains 22 measures grouped into the five strategies listed below to reduce GHG emissions by roughly 73,000 metric tons carbon dioxide equivalent by 2030: 1. 100% Renewable and Carbon-Free Electricity 2. Building Efficiency and Electrification 3. Sustainable Mobility and Land Use Attachment 2 447 Reso No. 100-20, Item 6.1, Adopted 09/15/2020 Page 2 of 2 4. Material and Waste Management 5. Municipal Leadership; and WHEREAS, the implementation of the Climate Action Plan 2030 and Beyond will result in co-benefits in the following areas: economic growth, reduced traffic congestion, improved public health, healthier ecosystems, robust landscapes, carbon sequestration, enhanced resilience, equity and inclusion, community leadership and partnerships, and cutting-edge technologies; and WHEREAS, the City Council held a properly noticed public hearing on the Climate Action Plan 2030 and Beyond and related Negative Declaration on September 15, 2020; and WHEREAS, the City Council did review and consider the Negative Declaration and the Climate Action Plan 2030 and Beyond and all said reports, recommendations, and testimony herein and set forth prior to making its decision on the Climate Action Plan 2030 and Beyond. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does hereby approve and adopt the Climate Action Plan 2030 and Beyond attached hereto as Exhibit A to the Resolution and authorizes Staff to make any non-substantive grammatical or editing changes in the final document. PASSED, APPROVED AND ADOPTED this 15th day of September 2020, by the following vote: AYES: Councilmembers Goel, Hernandez, Josey, Kumagai and Mayor Haubert NOES: ABSENT: ABSTAIN: Mayor ATTEST: City Clerk 448 Recipient Name Here 123 Local Address Ln City, ST 12345 Electricity Accounts Will Transition to 100% Renewable Energy in January 2022. To help achieve its Climate Action Plan goals, the City of Dublin receives its electricity from East Bay Community Energy (EBCE), a local energy provider supplying greener electricity to the East Bay community. In 2022, Dublin residents will default to 100% renewable energy available through EBCE. In January 2021, the Dublin City Council voted to set the default electricity option for Dublin residents to EBCE’s Renewable 100 service starting in January 2022. Renewable 100 service is sourced from California wind and solar facilities including EBCE’s new 57.5 megawatt wind farm in Livermore, and costs an additional 1 cent per kilowatt-hour above PG&E rates—that’s about $5 more per month for a typical home. EBCE also offers their Bright Choice service, which is priced 1% below PG&E rates and contains approximately 5% more renewable energy than PG&E. Customers who prefer to power their home with Bright Choice are welcome to do so by visiting ebce.org/Dublin and clicking on “Remain on Bright Choice,” or by calling 1-833-699-EBCE (3223) during business hours (9AM–5PM on weekdays). Take action by December 22 if you prefer to avoid automatic enrollment in Renewable 100. Customers who participate in CARE, FERA, and Medical Baseline programs will remain on Bright Choice service automatically, but can still choose Renewable 100. Customers can change their EBCE service or return to PG&E service anytime. EBCE will be hosting a series of webinars to review the basics about their service, and to answer any questions. Details are available at ebce.org/Dublin. The East Bay’s Public Power Agency Contact us 1-833-699-EBCE (3223) customer-support@ebce.org Visit and follow us ebce.org @PoweredbyEBCE Attachment 3 449 Las cuentas de electricidad pasarán a energía 100 % renovable en enero de 2022. Para ayudar a cumplir sus objetivos del Plan de Acción Climática (Climate Action Plan), la ciudad de Dublin recibe su electricidad de East Bay Community Energy (EBCE), un proveedor de energía local que provee electricidad menos contaminante a la comunidad de East Bay. En 2022, los residentes de Dublin pasarán de forma predeterminada a energía 100 % renovable disponible mediante EBCE. En enero de 2021, el ayuntamiento de Albany votó fijar como opción predeterminada de electricidad para los residentes de Dublin al servicio Renewable 100 de EBCE a partir de enero de 2022. El servicio Renewable 100, que viene de instalaciones de energía eólica y solar de California, incluido el nuevo parque eólico de 57.5 megavatios de EBCE en Livermore y cuesta 1 centavo más por kilovatio hora por encima de las tasas de PG&E— alrededor de $5 más por mes para un hogar típico. EBCE también ofrece su servicio de Bright Choice, que cuesta 1 % menos que las tarifas de PG&E y contiene aproximadamente 5 % más de energía renovable que PG&E. Los clientes que prefieran tener energía en sus hogares o comercios con Bright Choice pueden hacerlo visitando ebce.org/Dublin y haciendo clic en “Seguir en Bright Choice” (“Remain on Bright Choice”) o llamando al 1-833-699-EBCE (3223) durante el horario de atención (de 9 a. m. a 5 p. m. en días de semana). Actúe antes del 22 de diciembre si prefiere evitar la inscripción automática en Renewable 100. Los clientes que participen en programas de Tarifas Alternativas de Energía en California (California Alternate Rates for Energy, CARE), el Programa Familiar de Reducción de las Tarifas de Energía (Family Electric Rate Assistance, FERA) y Medical Baseline seguirán automáticamente en el servicio de Bright Choice, pero aun así pueden elegir Renewable 100. Los clientes pueden cambiar su servicio de EBCE o volver al de PG&E en cualquier momento. EBCE organizará una serie de webinarios para revisar los aspectos básicos de su servicio y responder preguntas. La información está disponible en ebce.org/Dublin. Agencia de energía pública del Área este de la Bahía de San Francisco Contáctenos customer-support@ebce.org 1-833-699-EBCE (3223) Visítenos y síganos ebce.org @PoweredbyEBCE 450 电力账户将于 2022 年 1 月转移至 100% 可再生能源计划。 为实现气候行动计划目标,都柏林市通过东湾社区能源 (EBCE) 获取电 力,EBCE 是为东湾社区提供绿色电力的当地能源供应商。到 2022 年, 都柏林居民将默认使用 EBCE 提供的 100% 可再生能源。 2021 年 6 月,都柏林市议会投票决定,将都柏林居民的默认电 力选项设置为从 2022 年 1 月开始使用 EBCE 的 Renewable 100 服 务。Renewable 100 服务来自加利福尼亚的风能和太阳能设施,其中包括 EBCE 在利弗莫尔新建的 57.5 兆瓦风电场,每千瓦时的费用相比 PG&E 费率高出 1 美分,以典型家庭为例,每月大约多出 5 美元电费。 同时,EBCE 还提供 Bright Choice 服务,相比 PG&E,该计划服务价格费 率降低 1%,并且包含的可再生能源大约增加了 5%。若客户想要选择 Bright Choice 为家庭供电,欢迎访问 ebce.org/Dublin 并单击“继续使用 Bright Choice”,或在工作时间致电 1-833-699-EBCE (3223)(工作日上午 9 点至下午 5 点)进行购买。若您不希望自动加入 Renewable 100 计划, 请在 12 月 22 日之前更改服务。参加加州能源优惠计划 (CARE)、家庭电 费补助计划 (FERA) 和/或医疗用电补助配给计划 (Medical Baseline) 的客户 将继续使用 Bright Choice 服务,但也可以选择 Renewable 100 计划服务。 客户可以随时更改自己的 EBCE 服务或返回 PG&E 服务。 EBCE 将举办一系列网络研讨会,回顾其服务项目的相关基础知识,并回 答所有问题。有关详细信息,请访问 ebce.org/Dublin。 东湾公共电力机构 联系我们 customer-support@ebce.org 1-833-699-EBCE (3223) 访问并关注我们 ebce.org @PoweredbyEBCE 451 452 453 454 455 456 Status of Community Default to East Bay Community Energy Renewable 100 Power March 1, 2022 457 Outline •Background •Status of Residential Account Transition •Consideration of Non-Residential Account Transition •Conclusions and Next Steps 458 Background •Climate Action Plan 2030 and Beyond adopted in September 2020. •Measure CF-1 has greenhouse gas (GHG) emissions reduction potential equal to 53% of total CAP 2030 reductions. •January 12, 2021 Resolution 04- 21 adopted requesting residential enrollment in Renewable 100. 459 Residential Account Transition •Residential accounts began transitioning in January 2022 with the exception of: –California Alternate Rates for Energy (CARE) –Family Electric Rate Assistance (FERA) –Medical Baseline Accounts •All accounts in Pleasanton, Hayward, and Albany transitioned at the same time. 460 Residential Account Transition •Outreach began with a press release issued by EBCE in November 2021. •Direct mail, social media, print and digital ads, webinars, web pages, City Report, and tabling. 461 Residential Account Transition 462 Consideration of Non-Residential Account Transition •Non-residential accounts consume approximately 46.4% of total electricity used in Dublin. •This is slightly more than 1/3 of the GHG emissions reductions remaining in total in CAP 2030. 463 Consideration of Non-Residential Account Transition 464 Consideration of Non-Residential Account Transition 465 Conclusion and Next Steps •With the default of residential accounts to Renewable 100, Dublin has made great strides to meet CAP 2030 goals: –Reduce GHG emissions by 40% below 1990 levels by 2030 –Achieve carbon neutrality by 2045 •If City Council desires to consider transitioning non-residential accounts to Renewable 100, Staff will bring the item for adoption at an upcoming City Council meeting. 466 Staff Recommendation •Receive the report and provide direction on the East Bay Community Energy default electricity power portfolio for non-residential accounts. 467