2021 Filings Overview
- Filings: 72
- CPUC: 60
- CEC: 3
- CAISO: 8
- Legislature: 1
California Public Utilities Commission (CPUC)
- Energy efficiency process and technical improvements in the form of a return to 4-year cycles, the end of the “Rolling Portfolios” experiment, and the use of significantly better 2020 ACC values for 2022–2023 EE portfolios
- Previous paradigm set 10-Year goals, rolling funding cycle for investor-owned utilities
- Returns to 4-year filing cycles in 2024 that will (hopefully) improve portfolio issues
- Returns TRC to 1.0 (from 1.25), providing some relief from ongoing c/e issues
- Segmented programs into resource acquisition, market support, equity segments and exempts the latter two from cost-effectiveness requirements
- Changes portfolio assessment metric to Total System Benefit (TSB) beginning 2024
- Use of significantly better 2020 Avoided Cost Calculator (ACC) values for 2022-23 EE programs, rather than the 2021 ACC
- Key emergency reliability progress for both energy efficiency and demand response resources
- Energy efficiency
- $180M of incremental EE opportunities
- $150M Market Access program
- $30M in third-party solicitations
- Cost-effectiveness requirements suspended for these
- NMEC measurement methodology required for these
- $180M of incremental EE opportunities
- Demand response
- Approval of a bilateral DR solicitation for 2022 and 2023: In D.21-12-015, the CPUC directed the IOUs to procure incremental DR through bilateral solicitations. With the DRAM budget being cut in 2019, the Council and members have been seeking additional opportunities to sell their capacity outside of IOU DR programs. We pushed for bilateral solicitations and an expanded DRAM budget in Phase 1 and 2 of the Emergency Reliability proceeding. We struck out in Phase 1 but managed to get some approved in Phase 2. Expansion of DR programs for resiliency, including expansion Smart Thermostat incentive allocation to third parties
- Waives all cost-effectiveness requirements for new and modified DR programs in 2022 and 2023
- Energy efficiency
- Integrated Resource Planning now explicitly incorporates DERs
- The CPUC “state[s] definitively that demand-side resources and distributed energy resources, are eligible to count toward the capacity requirements in this decision” in response to comments from CEDMC and other parties
- Improvements to the Load Impact Protocol (LIP) process
- In response to a Council recommendation, the CPUC revised the LIP evaluation process by adding the option for DR providers and IOUs to update their respective DR Qualifying Capacity (QC) values twice throughout the Resource Adequacy (RA) delivery year to reflect more up-to-date enrollments.
California Energy Commission (CEC)
- Expanding options for DR Qualifying Capacity (QC) counting
- In the CEC’s Supply Side DR QC Methodology working group, the Council has sponsored multiple methodology proposals that will reduce barriers to DR providers to sell Resource Adequacy (RA) capacity to IOUs and LSEs.
- The Council presented its proposals at the December 3, 2021 CEC Independent Energy Policy Report workshop where its proposals received a positive reception by CEC Commissioners
- In addition, senior Energy Division staff expressed an openness to testing at least one of the Council’s DR QC methodology proposals for the 2023 RA year.
- The CEC has indicated that one of the Council’s proposals will be included in the CEC’s working group report to be submitted to the CPUC in late February in the RA proceeding.
- In the CEC’s Supply Side DR QC Methodology working group, the Council has sponsored multiple methodology proposals that will reduce barriers to DR providers to sell Resource Adequacy (RA) capacity to IOUs and LSEs.
CAISO
- Preserving the value of Demand Response
- Successful appeal of Proposed Revision Request (PRR) 1280 that would have eliminated the Resource Adequacy (RA) value of IOU and LSE DR programs and resources when credited by the CPUC Energy Division against IOU and LSE RA requirements.
- New baseline options: At least partly in response to the consistent efforts by the Council to draw attention to the inaccuracies of CAISO baselines under extreme heat conditions, the CAISO adopted an alternative baseline option that would allow DR providers to remove the cap on their day-of adjustment. In addition, the CAISO is working with Recurve to develop customer comparison groups that can be used by all DR providers to more accurately measure their performance in the CAISO market.
Legislative and Gubernatorial Activity
- Worked directly with key Legislators, their staffs, and the Governor’s office to underscore the value energy efficiency, demand response, and other behind-the-meter distributed energy resources (DERs) play in increasing reliability and resiliency
- Ensured effective implementation of AB 841 passed in previous legislative session
Partnering with Utilities
- Held Business Forums with all four investor-owned utilities
- Liaised with IOU partners on key issues, including custom projects, normalized metered energy consumption (NMEC) issues, and third-party energy efficiency program solicitations and implementation
Member Services and Events
- Elevated our efforts to help you stay informed about all the changes in the industry in the wake of the COVID-19 crisis with our calls, newsletters, special alert dispatches, and Member Forums, as well as the inauguration of 7 member working groups.
- In 2021, we held the Spring Symposium and Industry Training session virtually due to COVID-19, and held a hybrid (virtual and in-person) Fall Conference. In 2022, EM&V Forum will be virtual. We are hoping to move all major events to in-person later in 2022 as the pandemic allows.
