REPORT TO COUNCIL
SUBJECT
Title
Action on Amendment No. 1 to Call 17-1 with Nexant, Inc. to Provide the Specialized Commercial and Industrial Operational Optimization Program Third Party Energy Efficiency Program
Report
BACKGROUND
In accordance with Public Utilities Code (PUC) Section 385 covering Public Benefits Charge, and with the City's Public Benefits Program Policy Statement adopted by Council on May 12, 1998, Staff has developed a wide range of cost-effective energy efficiency and renewable energy programs for customers. State law requires that the utility spend a minimum of 2.85% of retail revenue on these programs, in order to encourage customer investments by reducing the payback period in these areas.
In order to expand its programs, Silicon Valley Power (SVP) periodically issues a Request for Proposals (RFP) for Third Party Energy Efficiency Programs. An RFP was issued in August 2016 and the City selected the Specialized Commercial and Industrial Operational Optimization Program Third Party Energy Efficiency Program offered by Nexant, Inc. to complement its existing energy efficiency programs. In January 2017 SVP entered into an agreement with Nexant (titled "Call 17-1 Agreement"). Measured by the number of projects completed to date and current Program enrollment, customer interest is exceeds initial expectations, and the original budget will be fully committed by November 2019. Additional customers have expressed interest in enrolling in the Program and show significant opportunity for energy savings through the Program offering. This Amendment to the Call 17-1 Agreement will extend the Program until January 24, 2022, and with the allocation of additional funds, the Program will continue to contribute to SVP's energy efficiency goals and serve additional customers.
DISCUSSION
The Specialized Commercial and Industrial Operational Optimization Program ("Program") provides engineering support and analysis to large customer facilities to effec...
Click here for full text