HomeMy WebLinkAbout2002-01-22 - AGENDA REPORTS - ENERGY ADVISORY FINAL (2)CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR
DATE: January 22, 2002
City Manager
Items to be presented bp." Terri Maus
SUBJECT: COMMUNITY ENERGY ADVISORY COMMITTEE FINAL REPORT
DEPARTMENT: Field Services
RECOMMENDED ACTION
City Council receive report regarding the status of the Community Energy Advisory Committee,
suspend Committee work, direct staff to monitor energy issue and legislative remedies over
upcoming months, and continue development of Citywide energy efficiency program.
BACKGROUND
In response to the anticipated energy crisis of summer 2001, the City Council directed staff to
establish a Community Energy Advisory Committee and retain an energy consultant to develop
a strategy for short-, mid-, and long-range options to address the situation. The Community
Energy Advisory Committee, appointed on July 10, 2001, consisted of the following members:
• Councilmember Bob Kellar
• Councilmember Cameron Smyth
• Anthony Nisich, Former Director of Transportation & Engineering Services
• John Ahrens
• Wayne Crawford
• Josef Grafues
• John Grannis
• Charles O'Connor
• Brad Packer
• Jim Schrage
• Douglas Sink
• Connie Worden-Roberts
• Glen Becerra, Southern California Edison Advisor
The stated goal of the Committee was to develop alternatives that would provide lower rates
and enhance energy reliability. After thorough research conducted by City staff, members of
the Committee, and Steve McClary of MRW and Associates throughout the summer months,
the following options were identified:
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COMMUNITY ENERGY ADVISORY COMMITTEE FINAL REPORT
January 22, 2002 — Page 2
• Remain with the current energy provider.
• Purchase energy from an alternative provider.
• Participate in a joint powers energy purchase agreement.
• Aggregate for the City and/or community needs.
• Evaluate the feasibility of municipalization.
• Pilot distributed generation throughout the City.
Additionally, the Committee took action to recommend to the City Council the adoption of a
Municipalization Resolution, designed to keep many options open to the City should Santa
Clarita wish to pursue municipalization in the future. Furthermore, the Committee conducted
a community -wide energy survey to determine interest, knowledge, and needs pertaining to
energy.
After examining the alternatives, the Committee focused on community aggregation, which
provides for purchase of energy on the open market and utilizes Southern California Edison's
infrastructure to deliver power. Legislation proposed during the 2001 session, specifically
Assembly Bill 9XX, would have allowed for community choice and community
aggregation. However, Governor Gray Davis vetoed the bill on October 14, 2001, virtually
ending any hope of community aggregation. This action, coupled with the Public Utilities
Commission action to suspend direct access, eliminates community aggregation as a feasible
option at this time.
Given that the anticipated energy crisis of 2001 did not fully materialize and citizens
throughout California exceeded conservation goals set by the State, the overall impact to
businesses and residents was minimal. The report prepared by the energy advisor analyzed a
variety of opportunities available to the City, given the best information available, now and into
the future. The research of the various alternatives and review of the City energy profile within
the report provide an excellent overview of multiple opportunities for the City of Santa Clarita,
and provide a foundation for continued work in this area when necessary.
ALTERNATIVE ACTION
Other action as determined by the City Council.
FISCAL IMPACT
None.
ATTACHMENT
Energy Strategy for City of Santa Clarita Report (available in City Clerk's Reading File).
/admin/ccitems/energyfinal.doc