12.8.2014 51st State Submission Process Webinar

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Helping Utilities Make Smart Solar Decisions

51st State Submission Process December 8, 2014

Webinar FAQs • Recording & slides will be sent to all registered attendees next week. • Submit questions in the chat window at any time. • Questions will be answered following the presentation • Please fill out the post webinar survey

Helping Utilities Make Smart Solar Decisions

Upcoming SEPA Webinars Thursday, January 22, 2015:

“Building a Solar-Ready Utility” Join SEPA, Optony, NV Energy and City of Palo Alto Utilities for a discussion of practical opportunities for utilities to streamline and improve interconnection standards and procedures, DG rate tariffs, solar financing options and solar market development.

Registration is open at www.solarelectricpower.org

Helping Utilities Make Smart Solar Decisions

Speakers

John Sterling Senior Director, Research & Advisory Services SEPA

Mike Taylor Director of Research SEPA

Helping Utilities Make Smart Solar Decisions

Agenda

1. The 51st State 1. Submission Process 1. Assessment Process

1. Questions & Feedback

Helping Utilities Make Smart Solar Decisions

(1)51ST STATE

Helping Utilities Make Smart Solar Decisions

History • A new state has been formed • National policies and regulations apply - Federal Investment Tax Credit (ITC) - Public Utility Regulatory Policies Act (PURPA) • No existing electricity or solar/DER market exists • No state incentives exist • Assume existing technology and cost conditions Helping Utilities Make Smart Solar Decisions

Goals • Create a structure to generate and deliver electricity or equivalent services to consumers • Create sustainable and growing distributed solar/DER market over short- and longterm

Helping Utilities Make Smart Solar Decisions

Why Submit? • Help shape the future of the U.S. energy industry • Build/expand relationships with other participating energy thought leaders • Get national visibility: -

Focus of 51st State Summit - April 27 Distinction award at Utility Solar Conference - April 28-29 Extensive SEPA marketing, communications & education campaign Ongoing speaking opportunities at industry events

• Represent the foundation for future 51st State plans Helping Utilities Make Smart Solar Decisions

(2)SUBMISSION PROCESS

Helping Utilities Make Smart Solar Decisions

Guidelines • Focus on constructive suggestions. Do not attack other entity or industry positions. • Allow for continued growth of solar/DER markets. • Provide electric system cost recovery. • Not promote any specific product or tool. • Discuss how the proposed ideas or designs affect major stakeholder groups (consumers, solar/DER industry, grid operators, public, etc). • Explain the underlying principles for rate structures, using Bonbright or alternative options.

Helping Utilities Make Smart Solar Decisions

Key Stakeholders • • • • • • •

Grid operators The solar/DER industry value chain The solar/DER customer The non-solar/DER customer Regulatory and policy-making bodies Independent power producers Other affected market stakeholders

Helping Utilities Make Smart Solar Decisions

Submission Process

• Paper:

Up to 20 pages maximum, PDF format

• 1 Slide:

Slide template for paper summary on website

Helping Utilities Make Smart Solar Decisions

Key Dates • December 17 • February 27 • March 1 Online • March 27 Complete • April 27 • April 28 • May-Sept 2015

Intent to Submit Submission Deadline Screened Papers Posted

Panel Selections 51st State Summit Selection Awards at USC Media Campaign & Speaking Circuit

Helping Utilities Make Smart Solar Decisions

(3)ASSESSMENT PROCESS

Helping Utilities Make Smart Solar Decisions

Review Panel

Ron Binz

Nancy Pfund

Jim Rogers

Jigar Shah

Sue Tierney

Public Policy Consulting

DBL Investors Founder

Retired

Consultant

Analysis Group

Formerly: FERC Chair Nominee CO PUC Chair CO Consumer Council NARUC NASUCA

Boards of Directors: SolarCity Brightsource Energy

Boards of Directors: Global Sustainable Electricity Partnership Asia Society Aspen Institute Duke University Nicholas Institute for Environmental Policy Solutions

Boards of Directors: Carbon War Room

Boards of Directors: National Renewable Energy Laboratory ClimateWorks Foundation World Resources Institute Alliance to Save Energy Resources for the Future Energy Foundation

Formerly: JP Morgan Intel State of California Stanford University Sierra Club

Formerly: Duke Energy President/CEO

Formerly: Carbon War Room CEO SunEdison founder BP Solar DOE Contractor

Formerly: USDOE Asst. Secretary Massachusetts Water Resource Authority

Please do not contact the panel members about the project. Helping Utilities Make Smart Solar Decisions

51st State Initiative: Review Criteria SEPA Staff Screening Criteria Creates Sustainable Solar Market

YES / NO

Provides for Grid Infrastructure Cost Recovery

YES / NO

Identifies Impacts to All Stakeholder Groups

YES / NO

Requires All YES to Qualify Review Committee Scoring Criteria

Practicality of Solution

0 – 10 points

Sustainable Over the Long-Term

0 – 10 points

Works Across Multiple Future Scenarios

0 – 10 points

Comprehensive => Works With Multiple Distributed Energy Resource Technologies

0 – 10 points

Addresses Impacts to Key Stakeholders

0 – 10 points

1

2

Preliminary Scoring Completed by Each Reviewer & Aggregated for Committee Consideration Review Committee Discusses & Selects Top 3-5 Submissions Providing Broad Spectrum of Future Structures

Guidance Submissions could range from... •

Keep the existing grid and solar model



Tweak the existing grid and/or solar model



Redefine one, the other, or both

Stress test your model against the scoring criteria and the extremes of electricity or solar market growth or decline, electricity or solar price increases or declines, new technologies, etc.

Regardless of the structure proposed, submitters must discuss: - How all of the objectives of the 51st State are met - How each key constituency group is impacted

Helping Utilities Make Smart Solar Decisions

Project Updates General Updates: http://sepa51.org/mailsignup.html Submitter Updates: http://sepa51.org/intent.php

We will send out project updates, modifications, or other information as needed.

Helping Utilities Make Smart Solar Decisions

(4)QUESTIONS AND FEEDBACK

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Audience Q&A

John Sterling Senior Director, Research & Advisory Services SEPA

Mike Taylor Director of Research SEPA

Helping Utilities Make Smart Solar Decisions

Project Feedback Contact SEPA at any time for project clarification, questions, or suggestions: Submission inquiries:

John Sterling [email protected] 202-559-2022 Press inquiries: Bob Gibson [email protected] 202-280-1556 Helping Utilities Make Smart Solar Decisions