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HomeMy WebLinkAboutStaff Report 2412-38473.Discussion on the Progress of the Grid Modernization Project (Discussion 7:45 PM – 8:15 PM) Staff: Mohammad Fattah Item No. 3. Page 1 of 1 Utilities Advisory Commission Staff Report From: Alan Kurotori, Utilities Chief Operating Officer Lead Department: Utilities Meeting Date: January 7, 2025 Report #: 2412-3847 TITLE Discussion on the Progress of the Grid Modernization Project RECOMMENDATION Staff is presenting an update to the Utilities Advisory Commission on the progress of the grid modernization project. No action is required. ATTACHMENTS Attachment A: Presentation AUTHOR/TITLE: Alan Kurotori, Utilities Chief Operating Officer Staff: Mohammad Fattah, Electric Engineering Manager Electric Grid Modernization Project Update for the Utilities Advisory Commission (UAC) January 7, 2025 www.cityofpaloalto.org/utilities 2 •Pilot and Phase 1 Project Overview •Grid Modernization Project Timeline •Pilot Project Status •Pilot Lessons Learned •Next Steps Agenda A heavy crane with a tall boom lifts a 45-Foot pole to replace a Deteriorated backyard pole 3 •Pilot Project – A small-scale Pilot Project consisting of 908 homes to test the feasibility, time, cost, risk, and performance of various materials and processes and to identify any potential issues before a full-scale rollout. •Phase 1 Project – 6,784 homes in a City-wide project to replace power poles, transformers, and secondary wire, to increase capacity and improve reliability, and to support additional electric demand. •Project Timeline – 2026 Pilot and Phase 1 Project Overview GMOD Phase 1 6,784 Homes GMOD Pilot 908 Homes 1 Grid Modernization Project Timeline Phase Scope Council Approval Construction Start In Service Date 2024 2025 2026 2027 2028 2029 2030 2031 2032 1 OH Distribution 2024 2025 2026 2 OH Distribution 2025 2026 2027 3 OH Distribution 2026 2027 2028 4 East Meadow Substation 2026 2027 2028 5 Colorado Substation 2026 2028 2029 6 UG Distribution 2027 2028 2029 7 UG Distribution 2028 2029 2030 8 Colorado Substation 2028 2029 2030 9 Hansen Way Substation 2030 2031 2032 10 Feeder Optimization 2030 2031 2032 City Council Approval Task Duration 5 •Pilot Project Status – To-date more than 400 homes (close to 50%) in the Pilot Project area have been completed. •Community Outreach – The City of Palo Alto Utilities (CPAU) communicates directly with customers both, through US mail, as well as email, in the construction area to inform them of the work and what to expect. •Estimated Pilot Project Completion Date – February/March 2025 Pilot Project Status An example of a pole before and after replacement showing tree trimming andnew fiberglass crossarms. 6 •Materials Procurement – Standardize and diversify supplier pool, pre-order long-lead time items in advance of construction (transformers – 2 years, wire - 1 year, poles – 6 months) •Construction Contracts – Diversify supplier pool and negotiate strong contracts. •Project Schedules – Clear goals, realistic deadlines, and active monitoring of progress. •Change Requests – Minimize change requests through detailed scopes of work, thorough documentation, and contingency planning. Pilot Lessons Learned 7 •Distribution System Planning – Analyze the City’s electric loads and determine optimal routes and number of customers for each of the electric distribution feeders •Design and Engineering – Finalize the scope of work for each phase and begin the Request for Proposal (RFP) process for electric distribution construction work. •Public Bid Construction Contracts – Analyze bids and award contracts with engineering and construction firms and prepare construction work order packages. •Construction Inspection – Analyze bids and award contracts with construction management firms and assign construction inspectors to oversee construction projects. Next Steps 7 •Project Progress – Establish annual updates on communicating capital project progress to the UAC. Next Steps 8 Questions & Answers