Local Government Strategies for 100% Clean Energy

6/23/2020

Agenda

Introduction to SolSmart Danny Falk, The Solar FoundationIntroduction to 100% Clean Energy Debra Perry, Cadmus

Steve Hubble, City of Boise-County Collaboration Jeremiah

LeRoy, Buncombe CountyAurora Edington,

CadmusQ&A

About SolSmart

FundingU.S. Department of Energy Solar Energy Technologies Office

GoalHelp local governments make it faster, easier, and more affordable for residents and businesses to go solar

ParticipantsU.S. municipalities, counties, and regional organizations

DesignationSolSmartnationally recognizes local solar achievements by designating communities as SolSmartGold, Silver, or Bronze

Technical AssistanceProvided at no cost to help communities achieve designation

Technical Assistance Program Designation Program AdministratorDesignation Program Administrator

Program Design and Execution

SolSmartCategories

and identify areas for technical assistance in the following 8 categories:

Permitting

Planning, Zoning, & Development

Inspection

Construction Codes

Solar Rights

Utility Engagement

Community Engagement

Market Development and Finance

Acknowledgment and Disclaimer

Acknowledgment:This material is based upon work the supported by the Department of Energy and Office of Energy Efficiency and Renewable Energy (EERE), under Award Number DE-EE0007155.

Disclaimer:This report was prepared as an account of work sponsored by anagency of the United States Government.Neither the United States Government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by the United States Government or any agency thereof.The views and opinions of authors expressed herein do not necessarily state or reflect those of the United States Government or any agency thereof.

Debra Perry

Senior Associate, Cadmus

Pathways to 100%?

Over 150 cities, 10 counties, and 7 states across the U.S. have already adopted ambitious 100% clean energy goals. Six U.S. cities Aspen, Burlington, Georgetown, Greensburg, Rock Port, and Kodiak Island have already hit their targets.

Powered by 100% RE

Committed to 100% RE

Working toward 100% RE

https://www.sierraclub.org/ready-for-100/commitments

https://www.sierraclub.org/ready-for-100/commitments

How to frame your goal?

Consider your local context and prioritiesWhat is a meaningful timeframe in your community

Which of these might work best for your community?100% renewable electricity by 20XX100% renewable energy by 20XX1,000MW of renewable energy by 20XX1,000MW of clean energy by 20XX80% carbon reduction by 2050

Considerations

The community must balance different criteria:Increased renewable energy capacityEnvironmental impactsLocal impactsEquity impactsFinancial impacts

3 Steps to Transform Your Energy Supply

Map the energy landscape

Identify available strategies

Organize capacity,

resources, and partnerships

Determine the typeof utility

Outline key state energy policies and regulations

Map the energy landscape

Utility Implications

Investor-owned utilities (IOUs).State regulators determine most aspects of rates and services and local jurisdictions have little direct control. Intervening in state proceedings, leveraging buying power, taxing authority, franchise agreements, and municipalization can all influence the operations of IOUs.Rural electric cooperatives.Local jurisdictions have little direct control over cooperatives as well and state regulators have minimal oversight. Collaboration or lobbying the board of directors and/or member-owners for renewable energy programs and incentives are the primary avenues available.Municipal utilities. Municipalities have the greatest control over these utilities. Governance structures vary, but municipalities may have the authority to appoint board members, approve integrated resource plans, and/or secure procurement contracts.

Retail Electricity Choice

Partial Retail Electricity Choice

No Retail Electricity Choice

Credit: 21st Century Power Partnership; operating agent::

NREL

https://www.nrel.gov/docs/fy18osti/68993.pdf

https://www.nrel.gov/docs/fy18osti/68993.pdf

State Policy Implications

States with Net Metering Policies

State-developed mandatory rules for certain utilities

In transition to statewide distributed generation compensation rules other than net metering

Statewide distributed generation compensation rules other than net metering

No statewide mandatory rules, but some utilities allow net metering

Credit: DSIRE

https://s3.amazonaws.com/ncsolarcen-prod/wp-

content/uploads/2019/07/DSIRE_Net_Metering_April2019.pdf

States Allowing Power Purchase Agreements (PPA)

Credit: DSIRE

https://s3.amazonaws.com/ncsolarcen-prod/wp-

content/uploads/2019/07/DSIRE_3rd-Party-PPA_June_2019.pdf

Apparently disallowed by state or otherwise restricted by legal barriers

Authorized by state or otherwise currently in use, at least in certain jurisdictions

Status unclear or unknown

https://s3.amazonaws.com/ncsolarcen-prod/wp-content/uploads/2019/07/DSIRE_Net_Metering_April2019.pdfhttps://s3.amazonaws.com/ncsolarcen-prod/wp-content/uploads/2019/07/DSIRE_3rd-Party-PPA_June_2019.pdf

Identify available strategies

Consumer-oriented strategiesTargeting municipal operationsUtility -focused strategies

Identify Available Strategies

Identify Available Strategies –Consumer Oriented Strategies

Identify Available Strategies –Municipal Operations

Identify Available Strategies –Utility -Focused Strategies

Organize capacity,

resources, and partnerships

Staffing UpPartnering + Collaborating

Engaging Stakeholders

Engaging the Community

Putting It All Together: Developing a RE Strategy

I. Sourcing Ideas + Input II. Selection III. Synthesis

Input + Ideas(Vision,

Goals, + Potential

Strategies)

FINAL Strategy

COMMUNITY VISIONING

BENCHMARKING & BESTPRACTICE ANALYSIS

REVIEW OF EXISTING PROGRAMS &

PLANS

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Scenario Modeling Approach

1. Develop model of baseline energy consumption in the city over time

2. Identify policy actions of interest and expected impacts

3. Add policy impacts into model

4. Model provides energy, environmental, and economic outputs

Reflecting Your Community Priorities

If the City prioritizes… A renewable energy policy may involve…

Increased localrenewable installed capacity

Strategies that encourage or requirelocal renewable energy production, which may sacrifice scale of impact or project economics.

A climateresilient renewable energy transition

Strategies that focus on increasing the climate resilience of the electric grid and community, which may impact scale of impact or project economics.

An equitablerenewable energy transition

A focus on local programs, jobcreation,and a reduction of income-related market barriers. This may result in a smaller increase in RE capacity than other strategies.

Financialsavings to the city and its residents/businesses

Targeted installation or participation in renewable energy purchasingprograms that offer financial benefits, and would likely sell any RECs obtained.

Resources: Select Planning Guides + Frameworks

Pathways to 100: An Energy Supply Primer for U.S. Cities

Cadmus

http://www.mc -group.com/pathways-to-100/

Community Energy Resource Guide

Rocky Mountain Institute, Carbon War Room

https://rmi.org/wp -content/uploads/2017/04/Community_Energy_Resource_Guide_Report_2015.pdf

Framework for Long-Term Deep Carbon Reduction Planning

CNCA + INC

http://www.usdn.org/uploads/cms/documents/cnca-framework-12-16-15.pdf

SolSmartToolkit for Local Governments

SolSmart

https://solsmart.org/solar-energy-a-toolkit -for-local-governments/

http://www.mc-group.com/pathways-to-100/https://rmi.org/wp-content/uploads/2017/04/Community_Energy_Resource_Guide_Report_2015.pdfhttp://www.usdn.org/uploads/cms/documents/cnca-framework-12-16-15.pdfhttps://solsmart.org/solar-energy-a-toolkit-for-local-governments/

Covid-19 Implications for RE Planning

Finding meaningful approaches to virtual engagement, particularly for historically underrepresented communities2020 data an anomaly or new normal? Perhaps a trial run for future strategies? Telecommuting, etc.

Steve Hubble

Deputy Environmental Manager, Department of Public Works, City of Boise, Idaho

Background

Boise background:- Idaho Capital

- Population: 230,000 (City)/700,000 (Region)

- Utilities Regulated/Vertically Integrated

- Idaho Power/Intermountain Gas

Boise action:- Climate agreements

- Climate Adaptation Assessment

- Electric vehicles

- Municipal building energy use goals

Project Background

Overall Objective: Develop guidance document and establish ambitious yet achievable energy goals.

Establish Project Team

Data Collection

Community Engagement

Develop Goals and Opportunities

Implementation

Community Energy Use

Electricity Generation Mix

Community Engagement

Community Engagement

Electricity Goals and Actions

100% of the electricity

be cleanby 2035while prioritizing affordability and accessfor all.

Idaho Power Goal

Thermal Goals and Actions

Implementation/Next Steps

Existing Efficiency Programs - Increase Customer Participation

Regulatory Activities- Public Utilities Commission- Utility Advisory Groups Integrated Resources Plan/Energy

Efficiency

Thermal Plan- Establish quantitative goals and detailed actions for renewable transition

Climate Action

Lessons Learned

Community Engagement- Foundational Equity- Broader Public Engagement

Financial Analysis- Expand quantifying risks and benefits

Data Specificity

Potential for Impact

Jeremiah LeRoy

Sustainability Officer, Buncombe County, North Carolina

Local Context

Renewable Goals100% RE for Buncombe County operations by 2030 100% RE Community-wide by 2042

community goal

Regulatory Framework for NCState Regulated/Monopolized Energy MarketDuke Energy Largest Investor Owned Utility in the U.S.3rd Party power purchases are not allowed

Collaboration

Buncombe and Asheville:Similar goals and limited resources

Issued a joint RFP for Renewable Energy Planning Services Contracted with The Cadmus Group

Pathways to 100 Results

Click here to view the full report

https://www.ashevillenc.gov/news/come-learn-about-asheville-buncombe-county-100-renewable-energy-initiative/

Pathways to 100%

Pathway: Highly Local, Feasible Actions

Streamlined permitting, zoning, and inspection for the community

Implementation of high-

Solar Design

Energy Modeling

Lifecycle Cost Analysis

Lease government-owned land to the utility for renewable

energy development

Aggregated procurement of renewable energy projects on

public facilities

Aggregated Procurement

Solar RFP for Public Agencies

City, County, School Systems, Community College

Site IdentificationStructural AssessmentsInitial System DesignPreliminary BudgetsBid Drawings/SpecificationsSolicitation Issued for construction

Additional Efforts

Duke Energy Climate CollaborativeSpecifically working with local govts in an effort to help them reach their clean energy goalsDeveloped a Green Tariff; enhancing EE program offerings

Cities InitiativeFunded through the NC EDFPartnership between local govts in NC to address the climate crisis by sharing resources and leveraging collective voicesFocus on State and Utility level policy

https://www.duke-energy.com/business/products/renewables/green-source-advantage

Aurora Edington

Senior Analyst, Cadmus

West Chester Area, PA Renewable Energy Study

Six townships (East Bradford, East Goshen, West Goshen, Westtown, West Whiteland and West Chester Borough) worked through the West Chester Area Council of Governments (WCACOG) to study the pathways for achieving a transition to:

100% renewable electricity by 2035

100% renewable energy by 2050

The six municipalities hired the Cadmus Group in 2019 to complete a study on:Strategies to achieve an energy transition The energy impact, feasibility, and financial impact associated with the strategies

Cadmus Approach

Stakeholder and

Community Engagement

Conducted intake

interviews

Convened an Advisory

Group workshop

Held a Community

Visioning workshop

Project website

maintenance

Strategy Analysis and

Siting Review

Identified potential

strategies

Developed evaluation

criteria

Assessed strategies

against key criteria

Conducted a solar siting

analysis for eight sites

Analyzed baseline energy

levels

Analyzed potential energy

impacts of selected

strategies on energy mix

Assessed cost impacts to

municipalities

Energy and Financial

Impact Modeling

Cadmus Approach

Stakeholder and

Community Engagement

Conducted intake

interviews

Convened an Advisory

Group workshop

Held a Community

Visioning workshop

Project website

maintenance

Strategy Analysis and

Siting Review

Identified potential

strategies

Developed evaluation

criteria

Assessed strategies

against key criteria

Conducted a solar siting

analysis for eight sites

Analyzed baseline energy

levels

Analyzed potential energy

impacts of selected

strategies on energy mix

Assessed cost impacts to

municipalities

Energy and Financial

Impact Modeling

Energy Baseline

First want to understand the current and baseline consumption to determine the scale of change necessary to achieve the renewable electricity and energy goals of the townships.

Components of the baseline analysis include: The current breakdown of energy generation sourcesProjections of the energy mix if no additional actions taken between now and 2050.

Modeling Workflow

Energy Baseline –2018 Energy Use

Components of the baseline analysis include: The current breakdown of energy generation sourcesProjections of the energy mix if no additional actions were taken by WCA between now and 2050.

WCA Energy Consumption by Sector WCA Energy Consumption by Sector and Fuel Type

Energy Baseline –2018 Energy Use

Components of the baseline analysis include: The current breakdown of energy generation sourcesProjections of the energy mix if no additional actions were taken by WCA between now and 2050.

2018 Energy Consumption by Source

Energy Baseline –Projecting Electricity Use

Components of the baseline analysis include: The current breakdown of energy generation sourcesProjections of the energy mixif no additional actions were taken by WCA between now and 2050.

Electricity Generation by Source

Assumptions

Nuclear - forecasted by

incorporating the shutdown of

the Three Mile Island nuclear

power plant in 2019. Assumes

remaining nuclear plants in the

state generate through 2050.

Coal - forecasted to decrease by

10% annually with natural gas

replacing it.

Renewables forecasted to

meet the current PA Alternative

Energy Portfolio Standard then

grow at a constant rate each

year afterwards.

Energy Modeling Methodology

Cadmus modeled the likely energy impacts selected strategies by the townships would have toward increasing renewable energy in the WCA with input from the Advisory Group.Some considerations for each modeled strategy are below:

The year in which a strategy is expected to begin affecting distributed generation buildout or the power supply to the townships. Year Started

Area in which a strategy impacts the electricity supply. Strategies either increase distributed generation in the townships directly or cause broader impacts to the power mix supplying the townships.

Area of Impact

Extent to which a strategy affects renewable generation and how large the impact is assumed to be per year. Scale of Impact

Methodology: Solar Siting Task

East Goshen Public Works Annex

Estimated PV Potential

DC Capacity (kW) 78.8

AC Capacity (kW) 62.6

No. Modules 216

Estimated Annual

Production (kWh)102,144

Percent of Current

Electricity Load Offset100%

Methodology: Solar Siting Task - Applied

Information from the solar siting task was applied to more accurately project the energy impacts of modeled strategiesFor example, assumptions of one relevant strategy are summarized below:

Install Renewable Energy On-Site to Supply Municipal

Operations

Assume we install rooftop solar.Assume average solar system size of 81.5 kW per building (sourced from the Technical Assistance siting task sites). Assume each roof has a solar capacity factor equal to the average capacity of PA, 14%.Assume each municipality adds solar to 10 buildings (60 installations total)Assume solar is added to municipal buildings over a 5-year period. This results in adding solar to two buildings in each township every year.

Modeling Results

Benefits and Limitations of Modeling

Benefits

Quantitatively portray the current and projected energy mixPrioritize potential strategies to be considered in decision-making

Limitations

Unable to account for certain constraints Projections are not the future

Benefits and Limitations of Modeling

Benefits

Quantitatively portray the current and projected energy mixPrioritize potential strategies to be considered in decision-making

Limitations

Unable to account for certain constraints Projections are not the futureExample: COVID-19

Source: U.S. EIA. Hourly Electric Grid Monitor. NOAA.

Q&A

Jeremiah LeRoyJeremiah.LeRoy@buncombecounty.org

Steve Hubbleshubble@cityofboise.org

Aurora EdingtonAurora.Edington@cadmusgroup.com

Upcoming Webinars

July 15 Using Community Choice Aggregation to Support the Expansion of Renewable EnergyAugust 4 How Local and Regional Governments Can Buy Renewable Energy and Support Market Development

Engaging Your Community with SolSmart

No-cost technical assistance can help your community achieve solar energy goals, including 100% clean energy targetsAvailable to all municipalities, counties, and regional organizations

Contact us for more information at info@solsmart.org.