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HomeMy WebLinkAbout2020-10-29; Clean Energy Alliance - San Diego County Water Authority SDCWA Poseidon Desalination Plant; Haber, JasonTo the members of the: CllY COUNCIL Date10~bcCA ✓CC ✓ CM v ACM ✓ DCM (3) ✓ October 29, 2020 To: From: Via: Re: Council Memorandum {cityof Carlsbad Memo ID #2020243 This memorandum is to share an update from Clean Energy Alliance Interim Chief Executive Officer, Barbara Boswell, regarding an initial discussion with San Diego County Water Authority staff related to SDCWA, and specifically, the Poseidon Desalination Plant, becoming a customer of the Clean Energy Alliance. Next Steps Staff will keep the City Council updated as CEA's discussions with SDCWA progress. Attachment: October 24, 2020 -Clean Energy Alliance Memorandum: Discussions with San Diego County Water Authority re: Poseidon Desalination Plant/Rancho Penasquitos Pressure Control and Hydroelectric Facility cc : Geoff Patnoe, Assistant City Manager Celia Brewer, City Attorney City Manager's Office Intergovernmental Affairs 1200 Carlsbad Village Dr. I Carlsbad, CA 92008 I 760-434-2820 t Clean Energy Alliance JOINT POWERS AUTHORITY October 24, 2020 Ellie Haviland, Board Chair Kristi Becker, Board Vice Chair Cori Schumacher, Board Member RE: Discussions with San Diego County Water Authority re: Poseidon Desalination Plant/Rancho Penasquitos Pressure Control and Hydroelectric Facility Chair Haviland and Board Members, As part of the analysis of the proposed phased implementation plan for Clean Energy Alliance (CEA) staff became aware of a special billing arrangement (known as a Renewable Energy Self-Generation Bill Credit Transfer or RES-BCT) approved by the California Public Utilities Commission (CPUC) that benefits the San Diego County Water Authority (SDCWA) and Poseidon Desalination Plant in the City of Carlsbad. This billing arrangement provides the ability for credits produced by energy generated by SDCWA's Rancho Penasquitos Pressure Control and Hydroelectric Facility (Hydroelectric Facility) to be applied to the Poseidon Desalination Plant San Diego Gas & Electric (SDG&E) electric bill, offsetting energy generation costs. Since the Hydroelectric Facility is outside the CEA territory, SDCWA would lose this benefit should they enroll with and take service from CEA. Understanding the importance of the Desalination Plant as a CEA customer, staff reached out to SDCWA staff to begin discussion on the goals of SDCWA, benefits being provided by the RES-BCT arrangement, CEA's goals and how the agencies can work together for our mutual benefit. The initial meeting, which took place Tuesday October 20, was fruitful in laying the groundwork for working together as SDCWA considers its options related to becoming a CEA customer. Staff is optimistic that by working together we can identify a plan that benefits SDCWA, the Desalination Plant and CEA. Staff will keep the Board updated on the on-going discussion as it progresses. As always, please let me know if you have any questions. Barbara Boswell Interim Chief Executive Officer ceo@TheCleanEnergyAlliance.org C -661-510-0425 cc: Clean Energy Alliance Board Alternates Jason Haber, City of Carlsbad Clem Brown, City of Del Mar Dan King, City of Solana Beach 1200 Carlsbad Village Drive I Carlsbad, CA 92008 I 760-434-2808 thecleanenergyalliance.org