HomeMy WebLinkAboutF-2.1. Customer Energy Efficiency Report 2021INFORMATION ITEM
TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AZUSA UTILITY
BOARD
FROM: MANNY ROBLEDO, DIRECTOR OF UTILITIES
DATE: APRIL 26, 2021
SUBJECT: ANNUAL SB 1037 REPORT
BACKGROUND:
In response to various State laws requiring publicly owned utilities (“POU”) such as Azusa Light
& Water (“ALW”) to offer energy efficiency (“EE”) education and programs for their customers,
all California POUs collaborate annually to prepare a combined compliance report for
submission to the California Energy Commission (“CEC”). For Fiscal Year (“FY”) 2020 ALW’s
EE programs saved a total of 3.208 million kilowatt-hours, or 1.3% of retail sales, which exceeds
the current 1% energy savings target. This fifteenth annual combined POU report, which was
submitted to the CEC, is hereby submitted to the Utility Board for receipt and filing.
RECOMMENDATION:
Staff recommends the Utility Board take the following action:
1)Receive and file informational report.
ANALYSIS:
The FY 2021 California POU Energy Efficiency report reflects public power’s response to the
following statutes requiring utility sponsored EE programs and education:
•Assembly Bill 1890 (Brulte, 1996) plays a prominent role in California’s EE legacy. The
bill established the Public Goods Charge, which has served as the primary funding source
of POUs EE programs for over two decades.
•Senate Bill 1037 (Kehoe, 2005) required each POU to report annually to its customers
and the CEC on its EE and demand reduction (“DR”) programs.
•Assembly Bill 2021 (Levine, 2006) directed each POU to identify all potentially
F-2Approved
Utility Board
4/26/21
Annual SB 1037 Report
April 26, 2021
Page 2
achievable cost-effective, reliable, and feasible EE savings and establish 10-year EE
targets.
• Senate Bill 350 (De León, 2015) required the annual report to include a comparison of
actual EE savings to the annual target adopted in the most recent 10-year potential study.
The bill also directed POUs to develop EE targets consistent with the statewide EE
targets adopted by the CEC.
The purpose of this report is not only to look back on the success of the past year, but also to
look ahead and to inform discussions on how to achieve additional energy savings in the future.
California Senate Bill 1037 (Kehoe) established several important policies regarding EE. Among
the many provisions of the law is a statewide commitment to cost-effective and feasible EE, with
the expectation that all utilities consider EE before investing in any other resources to meet
growing demand.
The California Municipal Utilities Association (“CMUA”), in partnership with the Northern
California Power Agency (“NCPA”) and the Southern California Public Power Authority
(“SCPPA”), began a collaborative effort in October 2005 to develop an evaluation tool to
measure EE program effectiveness and report program savings in a consistent and
comprehensive manner. ALW is among the over three dozen POUs submitting EE data in
compliance with the provisions of the legislation.
In summary, the report indicates the following:
• During Fiscal Year 19/20, ALW spent almost $980,000 on EE programs, reducing gross
peak demand by approximately 542 kilowatts, and in excess of 3.208 million gross
kilowatt-hours on an annual basis.
• The levelized cost for POUs to deliver all EE programs in the aggregate is $0.066 per
kilowatt-hour, while ALW is currently at $0.045 per kilowatt-hour.
• The report indicates that residential and non-residential lighting programs, residential
cooling programs, and non-residential process programs are generally the most cost-
effective programs offered by POUs. This is in line with the more successful programs
currently being offered by ALW.
• As a result of cost-effective and targeted programs, ALW once again exceeded the annual
energy savings target of 1% of retail sales.
ALW Staff will continue to modify and refine the EE programs in a continued effort to provide
the maximum savings at the lowest cost of implementation.
FISCAL IMPACT
There is no fiscal impact as a result of this report.
Annual SB 1037 Report
April 26, 2021
Page 3
Prepared by: Reviewed and Approved:
Paul Reid Manny Robledo
Environmental Programs Manager Director of Utilities
Reviewed and Approved:
Sergio Gonzalez
City Manager
Attachment:
1) Customer Energy Efficiency Annual Report 2021