1. Local and Regional Govt Programs Jeremy Battis Regulatory Analyst, Energy Division May 7, 2015 Existing Buildings Energy Efficiency Workshop California Energy Commission Energy Efficiency in IOU Partnerships, Regional Energy Networks, and Marin Clean Energy

2. Approximately 60 Investor-Owned Utility (IOU) Local Government Partnerships serving over 200 cities and counties RENs offer programs in the nine-county Bay Area and the SoCal areas where SCE and SoCal Gas service territories overlap MCE at present is the only Community Choice Aggregator (CCA) in California administering energy efficiency (EE) activities; it has a presence beyond Marin, including portions of Napa, Contra Costa, and Solano counties Local Govt Partnerships, RENs, and MCE

3. Combined, these programs account for about $115 a year in spending or approximately 11.5 percent of the State’s annual EE budget Local Government Partnerships spending is over $75m per year or about 8 percent of the State’s annual EE budget –PG&E about $52m –SCE about $14m –SDG&E about $6m –SoCal Gas about $3m Local Govt Partnerships, RENs, and MCE

4. IOU Local Government Partnerships Three broad program areas EE upgrades of public agency buildings Promotion of certain IOU EE programs within local communities Activities drawn from the Local Government EE Strategic Plan Menu, which may include –Energy- and Climate-Action Plan writing –Reach Code writing, permit software procurement, and training of local building officials on Title 24 updates –Education of Public Officials on State’s Climate Goals –Water-Energy Nexus, Zero Net Energy buildings

5. Regional Energy Networks  Pilot programs administered by regional collaboratives of local governments and authorized to conduct EE programs for 2013 through 2015  Expected to be drivers of innovation, capturing next- generation savings opportunities while avoiding redundancy with existing IOU EE program offerings  BayREN budgeted at about $13m per year  Multi-family and single-family home upgrade, code compliance, water-energy nexus, and financing  SoCalREN budgeted at about $22m per year  Multi-family and single-family home upgrade, public agency technical support, and financing

6. Marin Clean Energy Community choice aggregator and permanent energy efficiency Program Administrator Entitled to provide EE to the CCA’s direct customers May apply to offer EE programs to its entire geographic footprint regardless of whether all potential customers purchase electricity from MCE Currently under $2M per year of EE programs that include –Electricity and Gas programs –Single- and Multi-family upgrade, financing, and small business Expected to become cost-effective Independent of utility, yet MCE savings are applied to PG&E total service area goal

7. Guiding Principle: Ratepayer Benefits The CPUC generally requires a direct IOU ratepayer benefit for the use of IOU ratepayer funds Energy efficiency measures and related technical assistance Water-energy measures Code compliance improvement For their internal staff activities, which may address broader sustainability efforts, local governments typically must use other funding sources Local government staff for climate- and energy-action plan implementation Broader efforts such as land-use and transportation planning, most LEED scoring criteria, and climate adaptation plans

8. Questions? California Public Utilities Commission www.cpuc.ca.gov Jeremy Battis Energy Division California Public Utilities Commission 415.703.3041 jeremy.battis@cpuc.ca.gov