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California Energy Commission
               gy
             Policy
 California Center for Sustainable Energy 6th
             Annual Conference

          San Diego Convention Center

                  September 16, 2010

               Robert B. Weisenmiller
                  Commissioner

                                                1
CA’s Energy Policy Relies on a
Loading Order…

   California’s Energy Action Plan defined a loading order to
          address the state’s increasing energy needs

                        1. Energy efficiency and
                           demand response
                        2. Renewable energy and
                           distributed generation
                        3. Clean fossil-fueled sources
                           and infrastructure
                           improvements
 This t t
 Thi strategy benefits CA b reducing CO2
              b    fit     by d i
 emissions and diversifying energy sources.
                                                                2
California Greenhouse Gas (GHG)
Emissions




Source: http://www.arb.ca.gov/cc/inventory/data/graph/graph.htm


                                                                  3
Greenhouse Gas Emission Reduction
Potential

• Over 13 Million Existing Homes in California
• 70% of Housing Predates Energy Standards
• Existing Homes Offer # 1 GHG Reduction
         g
  Potential




                                                 4
ARRA Energy Efficiency Community Block
Grant - $3 million to San Diego County

• California Comprehensive Residential Building
  Retrofit Program
• Consortium of local governments, workforce
  development organizations community colleges
                  organizations,          colleges,
  utilities, others will:
   – Expand Home Energy Rating System (
         p                gy   g y    (HERS) into
                                           )
    second program phase (HERS II)
  – Develop multi-family residential energy audit &
    building simulation tools
  – Train home energy auditors & retrofit contractors
  – Launch pilot local financing programs

                                                        5
Local Ordinances Exceeding 2008 Building
Energy Efficiency Savings

• City must complete: Feasibility/cost studies &
  ordinance presentation/vetting to the public
• Apply to Energy Commission  Approval at
  Business Meeting  Send to CA Buildings
  Standards Commission
• Example: City of Chula Vista
   – New Residential
            Climate 7: 15% above 2008 Building Standards
            Climate 10: 20% above 2008 Building Standards
   – New Commercial
            Climate 7 and 10: 20% above 2008 Building Standards

 Source of Climate zone information can be found at: http://www.energy.ca.gov/maps/building_climate_zones.html


                                                                                                                 6
AB 758 (Skinner, Statutes of 2009)


• Requires Energy Commission to develop/
  implement comprehensive program to achieve
  greater energy savings in California’s existing
  residential and nonresidential buildings.
                                        g
• Energy Commission will open Rulemaking
  p
  process to develop p g
                   p program regulations
                               g
• Will build off ARRA State Energy Program,
  HERS II and AB 1103
  – AB 1103 - Will establish operational energy rating
    disclosure process between parties in a financial
    transaction (lease lend or sale)
                (lease,

                                                         7
Senate Bill 1
One Million Solar Roofs in California by 2016!

       SB 1 enacts Governor Schwarzenegger’s
             Million Solar Roofs Initiative
 SB 1 (2006) includes the CPUC’s
 California Solar Initiative program, CEC’s
 New Solar Homes Partnership (NSHP)(NSHP),
 and the Publicly owned utilities portion.
 SB 1 includes municipal utilities
 that the CPUC does not
 oversee.
 Requires production
 homebuilders of 50+ homes to
 offer solar as an option for new
 homes starting in 2011.
 Adds energy efficiency improvements as a
 condition to receiving incentive for roof-top solar
 energy.
                                                       8
New Solar Homes Partnership

  The NSHP intends to create a sustainable market for solar homes and
        gain builder commitment to install solar energy systems.

     High-performing solar systems on highly efficient residential
     construction
     Target: 400 MW installed capacity by the end of 2016
     Solar energy systems on 50%
     of new homes by end of
     program
     Self-sufficient solar industry
     One-time,
     One-time up-front incentive
     Incentives decline as megawatt
     targets are reached.
     Incentives decline to zero over
     10 years.
                                                                        9
Energy Commission RPS Implementation


 CA Renewable Portfolio Standard (RPS)
 enacted in 2002 and amended in 2006
   20% of electricity resources to be renewable by year
   end
   Executive Order S-14-08 set 33% target by 2020
 Certify renewable facilities as eligible for RPS
       y                            g
 Design and implement an accounting system to
 track and verify RPS compliance
                y
 The Commission developed a Renewables
 Portfolio Standard Eligibility Guidebook to
                       g      y
 implement and administer its responsibilities
 under RPS
                                                          10
CEC RPS Certification

              Facilities certified as RPS eligible represent
                   more than 10,560 MW of capacity.*
 Biofuels (gas & liquid)                     374                                            CEC ROLE
                                                                                     Certify renewable facilities
          Biomass (solid)                          769                               as eligible for the RPS

            Conduit Hydro                   179                                      Design and implement an
                                                                                     accounting system to track and
                                                                                     verify RPS compliance
                Geothermal                                           2,472
      Incremental Hydro                 0
       MSW Combustion                   22
                              PV        39
                Small Hydro                         998
             Solar Thermal                   453
                          Wind                                                             5,254

                                    0             1000    2000        3000   4000   5000       6000
                                                               MEGAWATTS
 *Includes only the percent of capacity certified as RPS eligible.
 Data as of April 2010.                                                                                               11
What is the Western Renewable Energy
Generation Information System?

       WREGIS tracks renewable generation to help ensure the
       credibility of the "green" value of renewable electricity
  WREGIS is a voluntary, i d
             i     l t      independent renewable
                                    d t           bl
  energy registry and tracking system for the                      CEC ROLE
  Western states transmission area                         Certify renewable facilities as
                                                           eligible for the RPS
   – Uses verifiable renewable energy g
                                    gy generation          Design and implement an
                                                           accounting system to track
     data                                                  and verify RPS compliance

   – Creates renewable energy certificates
     (WREGIS certificates)
   – Accounts for transactions involving certificates
   – Supports voluntary and regulatory markets for
     certificates
  WREGIS was launched in June 2007
  Retail sellers and renewable facilities participating in California’s RPS
  are required to register with and use WREGIS. Publicly owned utilities
  (POUs) can opt to use WREGIS to track their RPS energy.
RESULTS as of June 2010:
     More than 335 companies and over 1,400 generators are
     approved to be WREGIS Account Holders.                                                  12
Solar Thermal Projects Seeking ARRA Funding
Currently in the CEC Siting Process
Seven Active Solar Thermal Projects Seeking ARRA
funding currently in the CEC Siting/Permitting Process


 • Ivanpah Solar Electric Generating System (370 MW) – 9/22/10
     CEC decision
 •   Imperial Valley Solar Project (709 MW) – 9/29/10
 •   Genesis Solar Energy Project (250 MW) – 9/29/10
 •   Calico Solar Project (850 MW) – November/December 2010
 •   Palen Solar Power Project (484 MW)– December 2010
 •   Rice Solar Energy Project (150 MW) - December 2010
 •   Beacon Solar Energy Project (250 MW) – APPROVED 8/25/10
 •   Abengoa Mojave Solar (250 MW) – APPROVED 9/8/10
 •   Blythe Solar P
     Bl th S l Power Project (1000 MW) – APPROVED 9/15/10
                     P j t
      •   Ridgecrest Solar Power Project (250 MW) – delayed for biological resource studies
General Challenges for Permitting ARRA
Solar Projects

• Solar projects require about 75 percent more
  resources than natural gas fired projects!
                         gas-fired
• Most projects located in areas inhabited by rare
  and endangered animal and plant species;
  requires extensive analysis to determine impacts
  and appropriate mitigation
        pp p          g
• Projects are typically located in arid regions with
  limited access to water requiring complex
                             q     g   p
  analyses to determine impacts and necessary
  mitigation, including relocation


                                                        15
General Challenges for Permitting ARRA
Solar Projects (Cont.)

• Projects cover such large areas they have a
  significant impact on surface drainage which
  necessitates extensive hydrological analyses to
  ensure erosion potential is minimized
                  p
• The large size of the projects and their location
  on typically undisturbed lands often results in
      yp     y
  impacts to a wide array of cultural resources,
  particularly Native American resources of great
  antiquity,
  antiquity which requires extensive analysis to
  ensure compliance with federal and state laws


                                                      16
Solar on State-Property Project




                                  17
Questions/ Comments


        Thank you very much!!

            Contact Information:
           Robert B. Weisenmiller
               Commissioner
              (
              (916) 654-4001
                  )
        rweisenm@energy.state.ca.us


                                      18

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CCSE Conference Plenary Presentation

  • 1. California Energy Commission gy Policy California Center for Sustainable Energy 6th Annual Conference San Diego Convention Center September 16, 2010 Robert B. Weisenmiller Commissioner 1
  • 2. CA’s Energy Policy Relies on a Loading Order… California’s Energy Action Plan defined a loading order to address the state’s increasing energy needs 1. Energy efficiency and demand response 2. Renewable energy and distributed generation 3. Clean fossil-fueled sources and infrastructure improvements This t t Thi strategy benefits CA b reducing CO2 b fit by d i emissions and diversifying energy sources. 2
  • 3. California Greenhouse Gas (GHG) Emissions Source: http://www.arb.ca.gov/cc/inventory/data/graph/graph.htm 3
  • 4. Greenhouse Gas Emission Reduction Potential • Over 13 Million Existing Homes in California • 70% of Housing Predates Energy Standards • Existing Homes Offer # 1 GHG Reduction g Potential 4
  • 5. ARRA Energy Efficiency Community Block Grant - $3 million to San Diego County • California Comprehensive Residential Building Retrofit Program • Consortium of local governments, workforce development organizations community colleges organizations, colleges, utilities, others will: – Expand Home Energy Rating System ( p gy g y (HERS) into ) second program phase (HERS II) – Develop multi-family residential energy audit & building simulation tools – Train home energy auditors & retrofit contractors – Launch pilot local financing programs 5
  • 6. Local Ordinances Exceeding 2008 Building Energy Efficiency Savings • City must complete: Feasibility/cost studies & ordinance presentation/vetting to the public • Apply to Energy Commission Approval at Business Meeting Send to CA Buildings Standards Commission • Example: City of Chula Vista – New Residential Climate 7: 15% above 2008 Building Standards Climate 10: 20% above 2008 Building Standards – New Commercial Climate 7 and 10: 20% above 2008 Building Standards Source of Climate zone information can be found at: http://www.energy.ca.gov/maps/building_climate_zones.html 6
  • 7. AB 758 (Skinner, Statutes of 2009) • Requires Energy Commission to develop/ implement comprehensive program to achieve greater energy savings in California’s existing residential and nonresidential buildings. g • Energy Commission will open Rulemaking p process to develop p g p program regulations g • Will build off ARRA State Energy Program, HERS II and AB 1103 – AB 1103 - Will establish operational energy rating disclosure process between parties in a financial transaction (lease lend or sale) (lease, 7
  • 8. Senate Bill 1 One Million Solar Roofs in California by 2016! SB 1 enacts Governor Schwarzenegger’s Million Solar Roofs Initiative SB 1 (2006) includes the CPUC’s California Solar Initiative program, CEC’s New Solar Homes Partnership (NSHP)(NSHP), and the Publicly owned utilities portion. SB 1 includes municipal utilities that the CPUC does not oversee. Requires production homebuilders of 50+ homes to offer solar as an option for new homes starting in 2011. Adds energy efficiency improvements as a condition to receiving incentive for roof-top solar energy. 8
  • 9. New Solar Homes Partnership The NSHP intends to create a sustainable market for solar homes and gain builder commitment to install solar energy systems. High-performing solar systems on highly efficient residential construction Target: 400 MW installed capacity by the end of 2016 Solar energy systems on 50% of new homes by end of program Self-sufficient solar industry One-time, One-time up-front incentive Incentives decline as megawatt targets are reached. Incentives decline to zero over 10 years. 9
  • 10. Energy Commission RPS Implementation CA Renewable Portfolio Standard (RPS) enacted in 2002 and amended in 2006 20% of electricity resources to be renewable by year end Executive Order S-14-08 set 33% target by 2020 Certify renewable facilities as eligible for RPS y g Design and implement an accounting system to track and verify RPS compliance y The Commission developed a Renewables Portfolio Standard Eligibility Guidebook to g y implement and administer its responsibilities under RPS 10
  • 11. CEC RPS Certification Facilities certified as RPS eligible represent more than 10,560 MW of capacity.* Biofuels (gas & liquid) 374 CEC ROLE Certify renewable facilities Biomass (solid) 769 as eligible for the RPS Conduit Hydro 179 Design and implement an accounting system to track and verify RPS compliance Geothermal 2,472 Incremental Hydro 0 MSW Combustion 22 PV 39 Small Hydro 998 Solar Thermal 453 Wind 5,254 0 1000 2000 3000 4000 5000 6000 MEGAWATTS *Includes only the percent of capacity certified as RPS eligible. Data as of April 2010. 11
  • 12. What is the Western Renewable Energy Generation Information System? WREGIS tracks renewable generation to help ensure the credibility of the "green" value of renewable electricity WREGIS is a voluntary, i d i l t independent renewable d t bl energy registry and tracking system for the CEC ROLE Western states transmission area Certify renewable facilities as eligible for the RPS – Uses verifiable renewable energy g gy generation Design and implement an accounting system to track data and verify RPS compliance – Creates renewable energy certificates (WREGIS certificates) – Accounts for transactions involving certificates – Supports voluntary and regulatory markets for certificates WREGIS was launched in June 2007 Retail sellers and renewable facilities participating in California’s RPS are required to register with and use WREGIS. Publicly owned utilities (POUs) can opt to use WREGIS to track their RPS energy. RESULTS as of June 2010: More than 335 companies and over 1,400 generators are approved to be WREGIS Account Holders. 12
  • 13. Solar Thermal Projects Seeking ARRA Funding Currently in the CEC Siting Process
  • 14. Seven Active Solar Thermal Projects Seeking ARRA funding currently in the CEC Siting/Permitting Process • Ivanpah Solar Electric Generating System (370 MW) – 9/22/10 CEC decision • Imperial Valley Solar Project (709 MW) – 9/29/10 • Genesis Solar Energy Project (250 MW) – 9/29/10 • Calico Solar Project (850 MW) – November/December 2010 • Palen Solar Power Project (484 MW)– December 2010 • Rice Solar Energy Project (150 MW) - December 2010 • Beacon Solar Energy Project (250 MW) – APPROVED 8/25/10 • Abengoa Mojave Solar (250 MW) – APPROVED 9/8/10 • Blythe Solar P Bl th S l Power Project (1000 MW) – APPROVED 9/15/10 P j t • Ridgecrest Solar Power Project (250 MW) – delayed for biological resource studies
  • 15. General Challenges for Permitting ARRA Solar Projects • Solar projects require about 75 percent more resources than natural gas fired projects! gas-fired • Most projects located in areas inhabited by rare and endangered animal and plant species; requires extensive analysis to determine impacts and appropriate mitigation pp p g • Projects are typically located in arid regions with limited access to water requiring complex q g p analyses to determine impacts and necessary mitigation, including relocation 15
  • 16. General Challenges for Permitting ARRA Solar Projects (Cont.) • Projects cover such large areas they have a significant impact on surface drainage which necessitates extensive hydrological analyses to ensure erosion potential is minimized p • The large size of the projects and their location on typically undisturbed lands often results in yp y impacts to a wide array of cultural resources, particularly Native American resources of great antiquity, antiquity which requires extensive analysis to ensure compliance with federal and state laws 16
  • 18. Questions/ Comments Thank you very much!! Contact Information: Robert B. Weisenmiller Commissioner ( (916) 654-4001 ) rweisenm@energy.state.ca.us 18