2016  1 Community Meeting

2016  2 Welcome

2016  3 Agenda I.Introduction to CCE II.Community Feedback III.Overview of Progress & Study Results IV.Next Steps V.Q&A / Group Discussion VI.Live Audience Post-Poll VII.Take Action: How to Get Involved

2016  4 Introduction to Community Choice Energy (CCE)

2016  5 CCE Overview CCE Overview Video available at  Resourceshttp://

2016  6 What is Community Choice Energy? Customers are automatically enrolled into CCE program Customers can “opt-out” to stay with PG&E for bundled service Customers receive at least 4 notices (2 pre- and 2 post-enrollment)

2016  7 How is CCE visible to customers?

2016  8 Overview - Silicon Valley Clean Energy (SVCE) Sponsoring Partner Agencies Sunnyvale | Cupertino | Mountain View | Santa Clara County Also Participating Campbell | Gilroy | Los Altos | Los Altos Hills Los Gatos | Monte Sereno | Morgan Hill | Saratoga

2016  9 SVCE Priority Goals Offer renewable energy options that exceed the renewable content offered by PG&E. Reduce GHG emissions to support local climate action goals. Provide competitive, potentially lower, electricity rates for all customers. Facilitate the use of clean technology, local clean power, and other energy innovations. Create and maintain a local public agency that is well managed and financially sustainable.

2016  10 What We Learned: Community Meetings

2016  11 Phase 1 Summary Brand Collateral  Website  Reports & Guide  Meeting Materials  Community Leaders Toolkit 15 Community Meetings + Requests Business Forum, Webinars + Requests RESULTS: ~325 Attendees ~50 Engaged Businesses ~500 Web Partners

2016  12 Question: If provided as an option, how much more would you be willing to pay to have all your electricity generated by renewable sources, such as wind and solar? Pre-PollPost-Poll 0% 14% 8% 1-5% 18% 31% 6-10% 22% 19% 11-15% 20% 26% Don't Know 27% 16% 76% Question: What's the most important outcome for you in creating a locally- controlled nonprofit public agency? Pre-PollPost-Poll Create more renewable energy17%12% Reduce our carbon Footprint58%72% Reduce prices for electricity11%8% Create local jobs1%0% Other2%4% Question: What's your main concern about our community implementing a CCE program? Pre-PollPost-Poll Costs will go up23%25% Power won't be as reliable16%12% Service will suffer5%2% I don't have any concerns32%39% Other15%19% Question: Do you think it's a good idea to create a locally controlled nonprofit public agency to provide cleaner, greener electricity for you at competitive prices? Yes 88% No 3% Don't know 10% Polling Results

2016  13

2016  14 Overview of Progress/ Draft Technical Study Results

2016  15 SVCE Milestones and Timeline We are Here Phase 1Phase 2Phase 3 I NITIAL S TUDY T ECHNICAL F EASIBILITY CCE P ROGRAM D EVELOPMENT CCE L AUNCH  ID potential agency partners  ID opportunities, costs, and risks  Investigate other CCEs  Inform community and gather feedback  Framework for next steps  ID partners & funding  Technical Study: load and rate analysis, economics, supply options, environmental outcomes  Community outreach & input  JPA Formation  Enabling Ordinance  Energy Svcs Pricing and Procurement  Expand Outreach  Implementation Plan to CPUC  Agmt with PG&E  Bridge financing to revenue  Staffing and Org setup  Energy and other Service Contracts  Customer notifications and service  Conservation & Renewables programming Completed July 2015 Completed March 2016 Launch Begins Winter 2017

2016  16 Technical Study - Scenarios Additional Assumptions for All Scenarios: Scenario 1 No GHG Redux: Match PG&E GHG, Exceed PG&E RE MAXIMIZE $ Savings Scenario 2 Reduce GHG 20% Exceed CA min. RE 51% (Yr 1), 66% (Yr 10) $ Savings Scenario 3 MAXIMIZE RE/GHG-Free No $ Savings: Match PG&E $ 2% Opt-Up to 100% RE Local Energy Programs (Net Metering, Feed-in-Tariff) No Unbundled RECs No Nuclear, No Coal 85% Participation

2016  17 Risks & Uncertainties Financial Risk Competitive and Pricing Risk/ Opt-Out Rates Market Exposure Regulatory Risk Political Risk Effect on Business Probability of Event

2016  18 Tech Study Findings & Conclusions No “correct” answer, but in general terms, the technical study indicates that the SVCE program could be economically viable while also achieving the Partners’ environmental objectives Scenario 1 Yr. 1: 36% RE 63% GHG-free 4% cost savings Yr. 10: 49%RE 75% GHG-free 3% cost savings Scenario 2 Yr. 1: 51% RE, 70% GHG-Free 20% GHG savings 3% cost savings Yr.10: 66% RE 80% GHG-Free 20% GHG savings 1% cost savings Scenario 3 Yr. 1: 76% RE 85% GHG-Free 60% GHG savings 1% cost savings Yr.10: 76% RE 97% GHG-Free 86% GHG savings Rate Parity Rate Competitive No GHG Impacts Rate Competitive w/RE & Carbon- Free Content Rate Parity w/ Environmental Benefits

2016  19 Next Steps

2016  20 Parallel Tracks Program Development Stakeholder Engagement Agency Agreement & Preparation

2016  21 Apr ‘16MayJunJulAugSepOctNovDecJan ‘17FebMarApr Path Ahead April 2016 Launch JPA July 2016 Implementation Plan to CPUC November 2016 Finalize Energy Services Contracts Ramp up Operations January 2017 Set Rates Notices Begin April 2017 Launch!! Service Begins

2016  22 Date/ TimeAgency Tuesday, 12/1/15Cupertino City Council Tuesday, 12/15/15Sunnyvale City Council Thursday, 12/16/15Morgan Hill City Council Tuesday, 1/12/16Mountain View City Council Thursday, 1/27/16Los Altos Hills Council Tuesday, 2/2/16Campbell City Council Tuesday, 2/2/16Los Gatos Council Wednesday, 2/3/16Saratoga City Council Tuesday, 2/9/16County Board of Supervisors Tuesday, 2/9/16Los Altos City Council Tuesday, 2/16/16Monte Sereno City Council Monday, 3/7/16Gilroy City Council Credit: Partner Decision Making Schedule * Study Session; decision making to be scheduled

2016  23 Group Discussion

2016  24 Take Action: How To Get Involved

2016  25

2016  26 Thank you