Smart Meters Presentation by BayAreaNewsGroup

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									    CPUC Public Agenda 3260
Thursday, September 2, 2010, 10:00 a.m.
   505 Van Ness Ave, San Francisco




           Commissioners:
           Michael R. Peevey
           Dian M. Grueneich
             John A. Bohn
          Timothy Alan Simon
             Nancy E. Ryan
             www.cpuc.ca.gov
     Public Comment
• Per Resolution ALJ-252, any member of the public who wishes to
address the CPUC about matters before the Commission must either
sign up at the Commission's webpage section "Public Comment Sign-
Up" or with the Public Advisor before the meeting begins.

• Once called, each speaker has up to 3 minutes at the discretion of the
Commission President, depending on the number of speakers.

• A sign will be posted when 1 minute remains.

• A bell will ring when time has expired.

The following items are NOT subject to Public Comment:
      Items: 6, 18 & 30
      All items on the Closed Session Agenda
  Regular Agenda – Management Reports and
                Resolutions

Item #40 [9710] Pacific Gas and Electric Company's
Advanced Smart Metering Assessment Report by The
Structure Group
-------------------------------------------------------------------------------
The Structure Group, a consultant retained by the California
Public Utilities Commission to independently evaluate Pacific
Gas and Electric Company's advanced (smart) metering and
billing systems, will present a summary of its findings to the
Commission. The presentation will be accompanied by the
release of the report compiled by The Structure Group.
PG&E Advanced Metering Assessment 
  for Residential Electric Customers 

            September 2, 2010
Structure Overview
 Deep subject matter expertise with proven delivery methodologies
   to  address energy & utility companies’ transformation needs
Disclaimers
• Reasonable efforts performed to complete engagement
• No assurances that all issues were identified, or that 
  future issues may not develop after assessment 
  completion
• Impartial and independent evaluation
• Findings developed independently from CPUC and PG&E
• Results not shared with PG&E in advance
Assessment Scope
Independently evaluate and address 3 questions regarding PG&E’s 
Smart Meter system’s ability to accurately measure, collect, calculate, 
and bill electric customer usage: 


1. Does PG&E’s SmartMeterTM system measure and bill electric 
   usage accurately, both now and since PG&E’s Smart Meter 
   deployment began?
2. What factors contributed to Smart Meter high bill complaints?
3. How does PG&E’s SmartMeterTM Program’s past and current 
   operational and deployment practices compare against the 
   framework of industry best practices?
1. Does PG&E’s SmartMeterTM system measure and bill 
 electric usage accurately, both now and since PG&E’s 
            Smart Meter deployment began?
PRESENT                         SINCE DEPLOYMENT
 • Smart Meters are              • No systemic issues were 
   accurately recording            found beyond exceptions 
   electric usage                  already reported by PG&E

 • Systems are correctly         • Limited exceptions were 
   processing data & billing       identified  but were not 
   usage                           prevalent in deployed 
                                   meters
2. What factors contributed to high bill complaints?
3. How does PG&E’s SmartMeterTM program’s past and 
current operational and deployment practices compare 
against the framework of industry best practices? 

                                         Gaps in Best Practices

                                     •    Communication 
                                          backbone  installation 
                                          timing
                                     •    Manual meter read 
                                          transition
                                     •    Billing quality control
                                     •    Complaint 
                                          troubleshooting
Assessment Focus Areas
                                  • 156 meters
Laboratory Meter Testing
                                  • 6 meters ‐ environmental tests
                                  • 611 Smart Meters
Field Meter Testing
                                  • 147 electromechanical meters
                                  • 5 laboratory‐controlled meters
End‐to‐end Systems Testing        • 4 field complaint customers
                                  • Monitored over 1 month bill cycle
                                  • 1,378 complaints analyzed 
High Bill Complaint Evaluation    • 97,000 records – historical usage
                                  • 20 customer interviews

                                  • 8 practice areas, 152 audit items
Best Practices for Smart Meters
                                  • 3 peer industry experts consensus

                                  • Requirements per AMI‐SEC “best 
Security Assessment
                                    practices” standard
METER Test Results
OTHER Results
Conclusion
AMI system deployed by PG&E appeared:
•Consistent with industry standards

•Accurate from meter data flow to  billing  

•Weak focus on customer service 

•Some PG&E practices found to be partially non‐
compliant relative to industry best practices
         THANK YOU 

         STACEY WOOD
     THE STRUCTURE GROUP
Inquiries@thestructuregroup.com
  Regular Agenda – Management Reports and
                Resolutions

Item #40 [9710] Pacific Gas and Electric Company's
Advanced Smart Metering Assessment Report by The
Structure Group
-------------------------------------------------------------------------------
The Structure Group, a consultant retained by the California
Public Utilities Commission to independently evaluate Pacific
Gas and Electric Company's advanced (smart) metering and
billing systems, will present a summary of its findings to the
Commission. The presentation will be accompanied by the
release of the report compiled by The Structure Group.
      Agenda Changes
• Items shown on the Consent Agenda will be taken up and voted on as a group in one of
the first items of business of each CPUC meeting.

• Items on Today’s Consent Agenda are: 1, 3, 5, 6, 7, 8, 10, 12, 13, 14, 15, 16, 17, 18, 20,
21, 23, 24, 25, 26, 27, 28 & 29.
• Any Commissioner, with consent of the other Commissioners, may request an item
from the Regular Agenda be moved to the Consent Agenda prior to the meeting.
Items: 35, 36, 38 & 39 from the Regular Agenda have been added to the Consent Agenda.
• Any Commissioner may request an item be removed from the Consent Agenda for
discussion on the Regular Agenda prior to the meeting.
Items: 11 & 22 have been moved to the Regular Agenda.

• Items: None have been withdrawn.
• The following items have been held to future Commission Meetings:

          Held to 9/23/10: 2, 4, 9, 19, 30, 33 & 34

          Held to 10/14/10: 31 & 37
    Regular Agenda
• Each item on the Regular Agenda (and its alternate if any) will be
introduced by the assigned Commissioner or CPUC staff and
discussed before it is moved for a vote.

• For each agenda item, a summary of the proposed action is included
on the agenda; the CPUC’s decision may, however, differ from that
proposed.

• The complete text of every Proposed Decision or Draft Resolution is
available for download on the CPUC’s website: www.cpuc.ca.gov.

• Late changes to agenda items are available on the Escutia Table.
    Regular Agenda – Energy Resolutions and Written
                       Reports
Item #11 [9676] Southern California Edison Company's Two Renewable
Energy Power Purchase Agreements With Desert Sunlight LLC and
Desert Stateline LLC

Res E-4347, Advice Letter 2391-E Filed on October 16, 2009 and Advice
Letter 2391-E-A Filed on October 29, 2009 - Related matters.
------------------------------------------------------------------------------------------------------
PROPOSED OUTCOME:
•   Approves cost recovery for two long-term renewable energy power purchase agreements
    (PPA), one between Southern California Edison Company and Desert Sunlight LLC and
    one between Southern California Edison Company and Desert Stateline LLC.
•   These PPA’s are approved without modification.


ESTIMATED COST:
•   Costs of the PPA’s are confidential at this time.
Resolution E-4347 (Agenda Item 11)




              Energy Division
   California Public Utilities Commission
                September 2, 2010
       Resolution E-4347

Southern California Edison Company
   (SCE) requests approval of two
  renewable energy contracts with
           First Solar, Inc
                         Contract Summary
Generating     Tech      Contract     Capacity     Expected        Expected       Project
 Facilities               Term      (megawatts)    Deliveries     Online Date    Location
                                                   (gigawatt
                                                  hours / year)
  Desert      Solar PV   20 years    250 MW        571 GWh           April,       Desert
 Sunlight                                                            2015       Sunlight, CA

  Desert      Solar PV   20 years    300 MW        673 GWh        December,        San
 Stateline                                                          2015        Bernardino,
                                                                                    CA


• PPAs were selected through SCE’s 2008 RPS solicitation
• Initial deliveries may begin in 2013 as projects are developed in phases
• Total expected generation will contribute approximately 8% towards
  SCE’s 2016 RPS requirement under the current 20% RPS rules
 Viable Projects priced below the Market
             Price Referent
Projects are highly viable
  • Employ commercialized First Solar photovoltaic technology
  • Projects have made significant permitting progress
  • Desert Sunlight is listed as a “fast-track” project for permitting by the Bureau of
    Land Management

Contract prices do not exceed the applicable Market Price Referent (MPR)
 • Contracts offer RPS-eligible generation at very competitive prices
 • Cost is below the benchmark established to approximate new fossil-fuel
   generation costs during the same time period
    Regular Agenda – Energy Resolutions and Written
                       Reports
Item #11 [9676] Southern California Edison Company's Two Renewable
Energy Power Purchase Agreements With Desert Sunlight LLC and
Desert Stateline LLC

Res E-4347, Advice Letter 2391-E Filed on October 16, 2009 and Advice
Letter 2391-E-A Filed on October 29, 2009 - Related matters.
------------------------------------------------------------------------------------------------------
PROPOSED OUTCOME:
•   Approves cost recovery for two long-term renewable energy power purchase agreements
    (PPA), one between Southern California Edison Company and Desert Sunlight LLC and
    one between Southern California Edison Company and Desert Stateline LLC.
•   These PPA’s are approved without modification.


ESTIMATED COST:
•   Costs of the PPA’s are confidential at this time.
    Regular Agenda – Energy Resolutions and Written
                       Reports
Item #22 [9696] California Solar Initiative Research, Development,
Deployment and Demonstration Program's Winning Grant Recipients

Res E-4354
------------------------------------------------------------------------------------------------------

PROPOSED OUTCOME:
•   Program Manager will enter into grant agreements with nine selected recipients for a total
    of up to $14.6 million. These will be paid from the California Solar Initiative Research
    Development, Deployment and Demonstration Program Budget.


ESTIMATED COST:
•   No additional cost is associated with this Resolution, as funds were authorized by a
    previous decision.
          Click to edit Master title style

       Resolution E-4354 (Item 22)

               Award of Grants Under the
California Solar Initiative (CSI) Research, Development,
  Demonstration and Deployment (RD&D) Program
               Second Grant Solicitation


                   Energy Division
                  September 2, 2010
   CSI Research, Development, Demonstration and
           Deployment (RD&D) title style
          Click to edit Master Program

Purpose:
  Help build a sustainable and self-
  supporting industry for customer-sited
  solar in California
Objectives:
  Lower solar technology electricity prices to
  levels comparable to retail electricity prices
  Support the deployment of distributed solar
  to accomplish the CSI goal of 3000 MW by
  2016
Timing:
  CPUC adopted D.07-09-042 authorizing
  $50 million in funding and establishing the
  “Adopted CSI RD&D Plan”

                                                   27
        Objectives of CSI RD&D Adopted Plan
          Click to edit Master title style
The objectives of the CSI RD&D Adopted Plan are:

1. Improve the economics of solar - reduce costs and increase
   performance.
2. Focus on issues that benefit California.
3. Fill knowledge gaps to enable successful, wide-scale deployment of
   solar.
4. Overcome significant barriers to technology adoption.
5. Leverage California’s wealth of data from past, present, and future
   installations.
6. Provide bridge funding to help promising solar technologies achieve
   commercial viability.
7. Address integration of distributed solar power into the grid in order to
   maximize value to ratepayers.


                                                                              28
Allocation of Funding in the Adopted CSI RD&D Plan
          Click to edit Master title style
Allocation of Funds by RD&D Stages
   Research: 20%
   Development: 5-10%
   Demonstration: 45-55%
   Deployment (Market Support): 5-10%


Allocation of Funds by Target Activities
   Grid-Integration – 50-65%
       Improving PV integration with transmission and distribution systems
   Production Technologies – 10-25%
       Supporting commercialization of new photovoltaic (PV) technologies
   Business Development and Deployment – 10-20%
       Providing support for the PV market and end-users



                                                                             29
              Recent CSI RD&D Activities
           Click to edit Master title style
First Grant Solicitation (up to $15 million available)
   Targets Integration of PV into the Utility Grid
   Solicitation released June 2009 with proposals due August 24, 2009
       21 Proposals submitted
       19 Proposals scored
        8 Proposals recommended for funding
   Awards were approved via Resolution E-4317 in March 2010


Second Grant Solicitation (up to $15 million available)
   Targets Improved Photovoltaic Production Technologies and Innovative
   Business Models
   Solicitation released November 2009 with proposals due February 16, 2010
       97 Proposals submitted
       66 Proposals scored
        9 Proposals recommended for funding




                                                                              30
                                             Results of Second Solicitation
                                                                                                              Funding        Match
   Applicant
                                 Click to edit Master title style
                                                              Proposal title
                                                                                                              Request       funding
SunPower
                       Photovoltaic and Advanced Energy Storage for Demand Reduction                         $1,875,000    $625,000*
Corporation
                       Improved Cost, Reliability, and Grid Integration of High Concentration Photovoltaic
Amonix, Inc.                                                                                                 $2,139,384    $3,287,000
                       Systems
Solaria
                       Solaria: Proving Performance of the Lowest Cost PV System                             $1,217,500    $635,000*
Corporation
                       Innovative Business Models, Rates and Incentives that Promote Integration of High
Viridity Energy        Penetration PV with Real-Time Management of Customer Sited Distributed Energy         $1,660,000     $840,000
                       Resources

                       Low-Cost, Smart-Grid Ready Solar Re-Roof Product Enables Residential Solar Energy
ConSol                                                                                                       $1,000,000    $579,633*
                       Efficiency

University of
California             West Village Energy Initiative: CSI RD&D Project                                      $2,500,000    $750,000*
Regents

Solar City             Advanced Grid-Interactive Distributed PV and Storage                                  $1,774,780    $1,057,187

                       Reducing California PV Balance of System Costs by Automating Array Design,
SunLink                                                                                                       $996,269      $927,031
                       Engineering and Component Delivery
                       Improved Manufacturing and Innovative Business Models to Accelerate
Skywatch                                                                                                     $1,467,125
                       Commercialization in California of Hybrid Concentrating Photovoltaic/Thermal Tri-                   $2,774,157
Energy, Inc
                       Generation (CPV/T-3G) Technology
                       Total                                                                                 $14,630,058   $11,475,008

                *Higher levels of match funding are required for current funding request.                                      31
    Regular Agenda – Energy Resolutions and Written
                       Reports
Item #22 [9696] California Solar Initiative Research, Development,
Deployment and Demonstration Program's Winning Grant Recipients

Res E-4354
------------------------------------------------------------------------------------------------------

PROPOSED OUTCOME:
•   Program Manager will enter into grant agreements with nine selected recipients for a total
    of up to $14.6 million. These will be paid from the California Solar Initiative Research
    Development, Deployment and Demonstration Program Budget.


ESTIMATED COST:
•   No additional cost is associated with this Resolution, as funds were authorized by a
    previous decision.
                    Regular Agenda – Energy Orders
Item #32 [9643] San Diego Gas & Electric Company's Solar Photovoltaic
Program

A08-07-017 Application of San Diego Gas & Electric Company (SDG&E)
for Approval of the SDG&E Solar Energy Project.

Ratesetting                                                       Comr. Peevey/ ALJ Ebke
------------------------------------------------------------------------------------------------------
PROPOSED OUTCOME:
• Adopts a solar photovoltaic program for San Diego Gas & Electric Company.
• Closes the proceeding.

ESTIMATED COST:
• The capital cost for the 26 megawatts of utility-owned projects under this program will be
   capped at $3.50/watt. The operations and maintenance cost will be at $25/kilowatt-year.
• The cost of the 26 megawatts of power purchase agreements executed under this
   program will be capped at $235/megawatt-hour.
Commissioners’ Reports
Commissioners’ Reports
Management Reports
    The CPUC Thanks You
For Attending Today’s Meeting
 The Public Meeting is adjourned.

     The next Public Meeting will be:


September 23, 2010, at 10:00 a.m.

								
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