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HomeMy WebLinkAboutRESO 9609160531 jb 6053781 Resolution No. 9609 Resolution of the Council of the City of Palo Alto Amending Electric Rate Schedule E­NSE­1 (Net Metering Net Surplus Electric Compensation) R E C I T A L S A. Net Energy Metering (NEM), is a billing arrangement that provides credit to customers for the full retail value of the electricity their system generates. B. State law, California Public Utilities Code Section 2827 et. seq., requires all electric utilities to offer NEM to eligible customers and to establish a Net Surplus Electricity Compensation Rate to compensate eligible customer ­generators for electricity produced in excess of on­site load at the end of each twelve month period. C. In December 2010, the ­NSE rate to compensate eligible customer­generators for their net surplus electricity at a value of 5.841 cents/kWh ­eligible contracts in FY 2010. D. Staff has developed, in conjunction with the FY 2016 electric cost of service analysis, an updated E­NSE­ for calendar year 2015. The updated E­NSE­1 compensation rate is based on historical data, taking into account the value of the energy and congestion costs, avoided capacity charges, avoided transmission and ancillary service charges, avoided transmission and distribution system loses and renewable energy credits. E. Pursuant to Chapter 12.20.010 of the Palo Alto Municipal Code, the Council of the City of Palo Alto may by resolution adopt rules and regulations governing utility services, fees and charges. The Council of the City of Palo Alto does hereby RESOLVE as follows: SECTION 1. Pursuant to Section 12.20.010 of the Palo Alto Municipal Code, Utility Rate Schedule E­NSE­1 (Net Metering Net Surplus Electric Compensation) is hereby amended to read as attached and incorporated. a) Utility Rate Schedule E­NSE­1, as amended, shall become effective July 1, 2016. b) The Net Metering Net Surplus Electric Compensation rate adopted by this resolution is based on a detailed analysis of historical data, the value of energy and congestion costs, avoided capacity charges, avoided transmission and ancillary service charges, avoided transmission and distribution system loses and renewable energy credits, and was developed analysis. DocuSign Envelope ID: 01ABBFF8-6DDF-4704-B659-32141F76CF1E 160531 jb 6053781 SECTION 2. The Council finds that the revenue derived from the adoption of this resolution shall be used only for the purpose set forth in Article VII, Section 2, of the Charter of the City of Palo Alto. SECTION 3. The Council finds that the fees and charges adopted by this resolution are charges imposed for a specific government service or product provided directly to the payor that are not provided to those not charged, and do not exceed the reasonable costs to the City of providing the service or product. SECTION 4. The Council finds that the adoption of this resolution changing electric rates is not subject to the California Environmental Quality Act (CEQA), pursuant to California Public Resources Code Sec. 21080(b)(8) and Title 14 of the California Code of Regulations Sec. 15273(a). After reviewing the staff report and all attachments presented to Council, the Council incorporates these documents herein and finds that sufficient evidence has been presented setting forth with specificity the basis for this claim of CEQA exemption. INTRODUCED AND PASSED: June 27, 2016 AYES: BERMAN, BURT, DUBOIS, FILSETH, HOLMAN, KNISS, SCHARFF, SCHMID, WOLBACH NOES: ABSENT: ABSTENTIONS: ATTEST: City Clerk Mayor APPROVED AS TO FORM: APPROVED: Senior Deputy City Attorney City Manager Director of Utilities Director of Administrative Services DocuSign Envelope ID: 01ABBFF8-6DDF-4704-B659-32141F76CF1E NET METERING NET SURPLUS ELECTRICITY COMPENSATION CITY OF PALO ALTO UTILITIES Supersedes Sheet No. E-NSE-1 Dated 1-1-2011 E-NSE-1 A. APPLICABILITY: B. TERRITORY: C. RATES: D. 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