HomeMy WebLinkAboutEnergy Conservation-Efficiency Program - Drafted at the Aspen Accord MeetingCITY OF PALM DESERT
City Manager's Office
Staff Report
REQUEST: REQUEST FOR CONSIDERATION OF A CITY-WIDE ENERGY
CONSERVATION/EFFICIENCY PROGRAM AS DRAFTED AT THE
ASPEN ACCORD MEETING IN AUGUST, 2005
SUBMITTED BY: Carlos L. Ortega, City Manager
DATE: September 22, 2005
CONTENTS: The Estonia Protocol
Program Outline
RECOMMENDATION:
By Minute Motion, direct the City Manager to bring back a detailed report for the creation of a
Department of Energy Management, staffing for same, an implementation program, and a
funding application, all for future City Council consideration.
BACKGROUND AND ANALYSIS:
The City of Palm Desert has taken a leadership role in the Coachella Valley by the
development of programs in a number of areas, including exterior water use, recycling, and
street legalized golf carts. In addition, the City has "plumbed" an affordable multi -family
residential project so that it is ready for the application of fuel cells as they become
commercially available. During the California Power Crisis in 2001, Palm Desert cut its
municipal electricity use by over 20% by putting its own house in orderfor the benefit of the City
and State. These initiatives highlight the City's commitment to a safe, secure, and healthy
community and proves that the vision for energy conservation can be turned into community
action.
Community Energy Partnership
For the past four years, the City of Palm Desert has participated in the Community Energy
Partnership program, a ten -city energy efficiency partnership with Southern California Edison
and The Gas Company, with The Energy Coalition as facilitating partner. Edison, The Gas
Company, and the Coalition have provided Palm Desert with customized energy efficiency
CITY COUNCIL STAFF REPORT SEPTEMBER 22, 2006
REQUEST FOR CONSIDERATION OF A CITY-WIDE ENERGY USE PROGRAM AS
DRAFTED AT THE ASPEN ACCORD MEETING IN AUGUST, 2005
services — ranging from the PEAK Student Energy Actions program in Desert Sands Unified
School District elementary and middle schools to community lamp exchanges and hundreds
of household and small business Tune -Ups. Through the Community Energy Partnership, a
million dollars worth of goods and services was brought into Palm Desert — at no cost to the
City other than staff time — that will leverage $5-10 million in direct community savings in the
next five to ten years and which will likely yield indirect benefits many times as great as the
direct benefits in the decades to come.
The Aspen Accord Policy Forum
For the past three years, Palm Desert has been participating in the Coalition's executive policy
forum known as the Aspen Accord. Councilmembers and City staff have participated in the
Accord and its international exchanges with Sweden. These meetings bring together senior
utility officials, city leaders, and regulators from both California and Sweden to explore better
ways of providing energy efficiency services. For 11 years, members of the Aspen Accord
have attended meetings in Sweden, California, and Aspen, Colorado, to work collaboratively
on policies and demonstration projects aimed at securing a healthy, safe, sustainable, and
affordable energy future.
The results of the Accord have been significant for California and Sweden. In 1998, thanks to
the foresight of the California Public Utilities Commission and Southern California Edison, the
Accord developed the model pilot program for the Community Energy Partnership. This then
began a policy shift toward local energy partnerships in California. Swedish Accord members
ran the PEAK program in Sweden, building an ethic that will last a lifetime, and providing fertile
student and teacher exchanges. The Accord recently supported the introduction of the
Business Energy Coalition demonstration project in San Francisco that links 34 major
downtown facilities in a network focused on power system reliability through community action
with the City's utility PG&E. Currently, the City of Santa Monica is developing a partnership with
Edison, The Gas Company, and the Coalition on a demonstration project at the village, a new
mixed use community at Civic Center in Santa Monica.
The Estonia Protocol
Mayor Buford Crites, Mayor Pro Tem Jim Ferguson, and I attended the Summer 2005 Aspen
Accord in Stockholm, Sweden, and Tallinn, Estonia. During the course of the meetings, we
realized that the City would benefit from a defined demonstration project for its community, one
that presented a clear and attainable vision for its businesses and residents. To prove our
commitment, we proposed to demonstrate how a city can reduce its electricity and natural gas
use by 30% in five years. While considered by many participants to be "stretch goals," we are
firm in our commitment to demonstrate something really meaningful. Palm Desert's residents
and businesses will get direct savings, will be able to be part of the solution to California's
energy woes, and the State of California will benefit from Palm Desert's role as a test bed for
such an important local initiative.
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CITY COUNCIL STAFF REPORT SEPTEMBER 22, 2005
REQUEST FOR CONSIDERATION OF A CITY-WIDE ENERGY USE PROGRAM AS
DRAFTED AT THE ASPEN ACCORD MEETING IN AUGUST, 2005
The demonstration project became titled "The Estonia Protocol" and was validated by members
of the Accord when officials from the California Public Utilities Commission, Southern California
Edison, Southern California Gas, and The Energy Coalition signed it prior to the adjournment
of the meeting. While it does not commit the parties to any specific financial values, it does
assure their support in what will be an invaluable demonstration for the City and for the State
on a partnership designed to engage highly responsible energy use.
The idea is that the City will design a program that will go beyond its current efforts through the
Energy Coalition to be funded principally by Grants.
As a preliminary step, Energy Coalition and City representatives have put together an outline
of the program, the expected participants, benefits, and evaluation criteria. The idea is for the
City of Palm Desert to serve as a model for a program that can be duplicated by other cities.
The outline is attached to this memorandum.
FISCAL IMPACT:
The City of Palm Desert could potentially save hundreds of millions of dollars by partnering in
this effort with the utilities, the State of California as represented by the Public Utilities
Commission, and The Energy Coalition, a non-profit with a four-year working relationship with
the City.
By leveraging the power of the partnership proposed, and given the magnitude of the project,
The Estonia Protocol initiative could bring $25-50 million of special funding into Palm Desert
in the next five years. This money is earmarked to come from public goods charge funds
collected by Southern California Edison and Southern California Gas, from the California
Energy Commission, and potentially other State and Federal program sources. The City might
also seek foundation grants for innovative projects, as well as private sector support for
different initiatives within the community. These funds will be used to manage the initiative and
to provide a variety of incentives to residents and businesses as well as to develop programs,
financial mechanisms, and City policies to assure that the City's energy use is reduced by 30%
by the end of 2010.
By undertaking this project and stepping forward with the above level of activity, the City of
Palm Desert will set a precedent in leadership and conviction in defining its energy future and
providing a model for the Coachella Valley and cities throughout California to follow.
If the City Council agrees with this direction, I will come back with a well-defined program, up
to and including staffing and a funding application, for additional City Council consideration.
CARLOS L. EGA
CITY MANAGER
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Desiqn Schirette
"Energy Champion City"
D. Project Scope/Implementation
G. Budget
Palm Desert, California
1. Municipal Sector/Government
1. Funding Sources
2. Residential
a. City revolving financing HIP
A. Executive Summary
- Low/mod housing
b. Utilities
- Retrofit
c. PUC
B. Purpose, Goals, Objectives
- New construction
d. Foundation
- 130% reduction
3. Commercial
e. Mfg of windows
- Estonia Protocol
- Resorts/hotels/golf courses
- CA Demonstration
- Peak Plus, household advanced
H. Project Management
metering
- Advisory Committee
C. Benefits - Gross Economic Benefits
4. Schools
- Office of energy management
- Individuals
- Tech, communications,
- Community
E. Outreach/Community Organizing
political
- Statewide
- Create awareness, enthusiasm, civic
- Partner utilities
pride, action, commitment
- The Energy Coalition
- Kiosk
- Local stakeholders
- To other cities
- Others
F. Timeline
Linkages to utility, state & other programs
Chart savings detail
I. Evaluation Criteria
- Measurement (Impact)
- Process evaluation
J. Replication Recommendations
- Lessons learned
- Opportunity
THE ESTONIA PROTOCOL
This Agreement in principle, made the 9t' day of August, 2005 in Tallinn,
Estonia, is entered into as between representatives of the Southern California Electric
Company, ("Edison") the Southern California Gas Company, a Sempra Company ("Gas
Company") the California Public Utilities Commission ("PUC") The Energy Coalition
("Coalition") and the City of Palm Desert ("Palm Desert") (collectively the "Parties")
with respect to the following findings:
WHEREAS, Edison and the Gas Company are the major public energy utility providers
to the Palm Desert service area in southern California; and
WHEREAS, the PUC is charged with the oversight and regulation of the operation of
public utility providers in the state of California; and
WHEREAS, Palm Desert's climate and rapid growth have combined to create major
demand for the provision of energy; and
WHEREAS the City believes that it can significantly improve and expand
conservation/efficiency programs through partnerships; and
WHEREAS, The Energy Coalition believes that energy conservation/efficiency and the
wise use of resources is central to it's mission
WHEREAS, Edison, the Gas Company, the PUC and Palm Desert are participating in the
Aspen Accord, a principal purpose of which is to achieve energy conservation/efficiency
by municipalities and utilities alike; and
WHEREAS, it the desire of the Parties to continue to move energy
conservation/efficiency objectives beyond discourse and demonstration projects into the
realm of significant and quantifiable energy reduction results across the city-wide load of
a community energy profile;
WHEREAS, representatives of Edison, the Gas Company, the PUC and Palm Desert are
present at the 2005 Aspen Accord, but do not and cannot bind their respective corporate
or governmental boards, councils or commissions, but have the ability to recommend in
good faith to their governing bodies certain protocols with respect to energy
conservation:
NOW THEREFORE, the Parties do hereby declare and resolve as follows,
1. Palm Desert will set the target of reducing its energy consumption by thirty
percent (30%) f its 2005 calendar base year calculation by the end of calendar
year 2010. "A P4WM+ k 9 rou r(n
2. Palm Desert will establish an Office of Energy Management and will make
reduction of energy use central to community planning and economic
development and will invest municipal resources in measureable sustainable
programs.
3. The Energy Coalition will facilitate the development and implementation of
programs consistent with Palm Desert's energy reduction goals.
4. Edison and the Gas Company will partner with Palm Desert in this effort through
implementation of energy conservation/efficiency technologies, education
programs and financial assistance for a migration from traditional energy usage
profiles to greater efficiency.
5. the PUC hereby resolves to facilitate this type of municipal/utility collaboration
consistent with theX�State of California Energy Action Plant.
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