REPORT TO COUNCIL
SUBJECT
Title
Approval of Silicon Valley Power's Energy Storage Procurement Plan to Re-Evaluate Energy Storage as an Element of the Electric Utility Power Supply Plans in Compliance with California Assembly Bill 2514
Report
COUNCIL PILLAR
Deliver and Enhance High Quality Efficient Services and Infrastructure and Sustainability
BACKGROUND
In 2013, Assembly Bill 2514 codified Public Utilities Code Section 2836(B) that requires the governing board of each local publicly owned electric utility (POU) to determine appropriate targets for the utility to procure viable and cost-effective energy storage systems to be achieved by December 31, 2016, and December 31, 2020, on or before October 1, 2014 as part of their supply plan. There are no requirements for POUs to set targets for energy storage. The statute also requires each governing board to re-evaluate the determinations made pursuant to this subdivision not less than once every three years, where the first three-year period ended in 2017, and the second evaluation period will end December 31, 2020. Post-2020, Silicon Valley Power (SVP) will continue to report progress on its energy storage procurement, strategy and deployment in SVP's Integrated Resources Plan which would be reviewed and approved by the City Council and subsequently submitted to the California Energy Commission (CEC) every five years.
DISCUSSION
SVP's Energy Storage Procurement Plan is a re-evaluation of energy storage targets and goals for SVP, and provides a summary of the comprehensive research and analysis of energy storage technologies, economic modeling, industry and technology research, and collaboration with other joint power agencies, municipal utilities, and Community-Choice Aggregators (CCAs) that SVP has carried out to support its findings. SVP conducted and continues to research and review emerging technologies across electrochemical (battery), thermal, mechanical, and hydrogen storage technologies.
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