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HomeMy WebLinkAboutStaff Report 13483City of Palo Alto (ID # 13483) City Council Staff Report Report Type: Consent Calendar Meeting Date: 9/27/2021 City of Palo Alto Page 1 Council Priority: Climate/Sustainability and Climate Action Plan Title: Adoption of a Resolution Approving and Attesting to the Veracity of the City's 2020 Annual Power Source Disclosure and Power Content Label Reports From: City Manager Lead Department: Utilities Recommendation Staff recommends that the City Council adopt a resolution (Attachment A) approving and attesting to the veracity of the City’s two Power Source Disclosure reports for 2020 and the City’s two Power Content Labels for 2020. Background Senate Bill 1305 (Link) was approved in 1997 to ensure that all retail suppliers of electricity disclose to consumers the sources of energy used to provide the electric service in an accurate, reliable, and easy to understand manner. The SB 1305 Report is commonly referred to as the Power Source Disclosure (PSD) report. The City of Palo Alto is required to submit an annual PSD Report to the California Energy Commission (CEC) by June 1st of each year. The information contained in this reporting is used to prepare the annual Power Content Label (PCL), which is mailed to our customers and posted on the City’s website by October 1st of each year at www.cityofpaloalto.org/powercontentlabel and on the CEC’s website at energy.ca.gov/power- content-label. Discussion In 2017, the CEC updated the regulation1 implementing SB 1305 making the changes retroactively effective in October 2016. (The regulation was subsequently modified in May 2020.2) The changes included a provision that requires utilities to engage a third-party certified 1 “Power Source Disclosure Program Regulations,” California Energy Commission, CEC-300-2017-048, October 2016. http://docketpublic.energy.ca.gov/PublicDocuments/14-OIR- 01/TN216978_20170412T103905_Power_Source_Disclosure_Program_Amended_Regulations.pdf. 2 “Modification of Regulations Governing the Power Source Disclosure Program,” California Energy Commission, Docket Number: 20-PSDP-01, May 2020. https://efiling.energy.ca.gov/GetDocument.aspx?tn=232986&DocumentContentId=65451 5 Packet Pg. 48 City of Palo Alto Page 2 public accountant to perform an audit to verify the specific purchases, resales, and self- consumption of energy by fuel type.3 However, the regulation includes an exemption from the audit requirement for publicly owned electric utilities, if the governing board of the utility “submits to the Energy Commission an attestation of the veracity of each annual report and power content label for the previous year.”4 In Palo Alto’s case, this means that the PSD reports and PCLs for the City’s two retail electricity products (the “standard power mix” product and the voluntary PaloAltoGreen product, which is available to all commercial customers and allows them to pay a small premium in order to receive a power supply comprising only wind and solar generation) can both be approved by the City Council, as described above. In 2020, CPAU’s hydroelectric generation was below long-term average levels, due to the drier than normal conditions the state experienced in 2019 and 2020. Also in 2020, with approval by the City Council (Staff Report 11556), CPAU staff began, via its REC Exchange Program, to take a regional approach to fulfilling its Carbon Neutral Electric Portfolio goals, selling renewable energy from the City’s long-term renewable contracts and using the most cost-efficient renewable energy from outside the state to fulfill carbon neutrality requirements. The earnings from this program can be used for purposes such as local decarbonization or rate reduction. Although the power sourced out-of-state remains renewable and carbon-neutral, the CEC categorizes such power as “unspecified power” on the PSD and PCL documents. Under the City’s REC Exchange Program the City sold a total of 348,700 MWh of in-state renewable generation in 2020, and purchased a total of 325,186 MWh of out-of-state renewable generation, yielding $2.94 million in net revenue. Per Council’s direction, for these 2020 earnings, at least one-third of this revenue will be invested locally in electrification efforts necessary to meet the City’s ambitious climate goals, while the remainder will be used to offset other supply purchase costs and avoid the need for rate increases as a way of helping the community manage the economic impacts of the pandemic. As a result of these renewable energy sales—and the fact that the CEC’s regulations do not recognize out-of-state renewable generation as an “eligible renewable” energy source—the share of the City’s standard power mix that comes from eligible renewables sources was lower in 2020 (20.4%) than in 2019 (36.3%) or 2018 (65%). However, as noted earlier, the City’s power supply remained carbon neutral in 2020 in accordance with the Council-adopted Carbon Neutral Plan (Staff Report 11556 Linked Document). Utilities Department staff submitted the City’s annual PSD reports for calendar year 2020 (Linked Document) to the CEC in May 2021, along with the associated staff attestation forms. The 2020 PCLs (Linked Document) will be mailed to each electric utility customer as a bill insert and posted on the City’s website in September 2021, in accordance with the regulation. The 3 California Code of Regulations Title 20, Section 1394.2(a). 4 California Code of Regulations Title 20, Section 1394.2(a)(2). 5 Packet Pg. 49 City of Palo Alto Page 3 attached resolution (Attachment A) approves the annual PSD reports and PCLs for both the standard power mix and the PaloAltoGreen product and provides for Council’s attestation to the veracity of these four documents as required for exemption from the third-party audit requirement. Staff anticipates submitting the City’s annual PSD report for calendar year 2021 to the CEC by June 2022 and providing the 2021 PCL to electric customers around September 2022. Resource Impact Adoption of the attached resolution will not result in a financial impact to the City. Policy Implications Adoption of the attached resolution will enable the City to comply with the CEC regulation implementing SB 1305 (California Code of Regulations, title 20, sections 1391 to 1394). Environmental Review Adoption of the attached resolution is not subject to California Environmental Quality Act (CEQA) review as an administrative government activity that will not result in any direct or indirect physical change to the environment as a result (CEQA Guidelines section 15378(b)(5)). Attachments: • Attachment5.a: Attachment A: Resolution 5 Packet Pg. 50 6055552 *Yet to be Passed* Resolution No. ____ Resolution of the Council of the City of Palo Alto Approving and Attesting to the Veracity of the City’s 2020 Power Source Disclosure and Power Content Label Reports R E C I T A L S A. The California Legislature adopted Senate Bill 1305 in 1997 to ensure that all retail suppliers of electricity, including the City of Palo Alto, disclose to consumers the sources of energy used to provide electric service in an accurate, reliable and easy to understand manner. B. The SB 1305 Report is commonly referred to as the Power Source Disclosure (PSD) report, which shows the City’s electric portfolio purchases for the prior calendar year, as well as the fuel mix for the City’s retail electricity sales for the prior calendar year. C. The information contained in the PSD report is used to prepare the City’s annual Power Content Label (PCL), which discloses the fuel mix of the City’s retail electricity sales during the prior calendar year, as well as the fuel mix for the state as a whole, and which is mailed to the City’s electric utility customers via a bill insert. D. California Code of Regs., title 20, sections 1394.2(a)(2), updated by the California Energy Commission effective May 2020, allows the City Council to approve and attest to the veracity of each PSD report and PCL for the previous year, including the reports for Palo Alto’s voluntary PaloAltoGreen product, which is provided to commercial customers who participate in the PaloAltoGreen program. E. In May 2021, Utilities Department staff submitted the 2020 Annual PSD reports for both the City’s standard carbon neutral portfolio and the PaloAltoGreen program, to the Energy Commission in accordance with the applicable regulations. The Council of the City of Palo Alto (“City”) RESOLVES as follows: SECTION 1. The City Council approves the submission and attests to the veracity of the 2020 Annual Power Source Disclosure reports for the City’s standard carbon neutral portfolio, and for the City’s voluntary PaloAltoGreen program (attached as Exhibit A to this resolution) which staff submitted to the California Energy Commission in May 2021. SECTION 2. The City Council approves and attests to the veracity of the 2020 Annual Power Content Label reports for the City’s standard carbon neutral portfolio, and for the City’s voluntary PaloAltoGreen program (attached as Exhibit B to this resolution) which staff will distribute to Utilities customers as an insert in their September Utilities bills. // // 5.a Packet Pg. 51 6055552 // SECTION 3. The Council finds that the adoption of this resolution is not subject to California Environmental Quality Act (CEQA) review because it is an administrative government activity that will not result in any direct or indirect physical change to the environment (CEQA Guidelines section 15378(b)(5)). INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: City Clerk Mayor APPROVED AS TO FORM: APPROVED: Assistant City Attorney City Manager Director of Utilities Director of Administrative Services 5.a Packet Pg. 52 Version: April 2021CONTACT INFORMATION2020 POWER SOURCE DISCLOSURE ANNUAL REPORTFor the Year Ending December 31, 2020RETAIL SUPPLIER NAMECity of Palo Alto UtilitiesELECTRICITY PORTFOLIO NAMEStandardRetail suppliers are required to use the posted template and are not allowed to make edits to this format. Please complete all requested information.GENERAL INSTRUCTIONSNAMEJames StackTITLESenior Resource PlannerMAILING ADDRESS250 Hamilton Ave.CITY, STATE, ZIPPalo Alto, CA 94301PHONE(650) 329-2314EMAILjames.stack@cityofpaloalto.orgIf you have questions, contact Power Source Disclosure (PSD) staff at PSDprogram@energy.ca.gov or (916) 639-0573.NOTE: Information submitted in this report is not automatically held confidential. If your company wishes the information submitted to be considered confidential an authorized representative must submit an application for confidential designation (CEC-13), which can be found on the California Energy Commissions's website at https://www.energy.ca.gov/about/divisions-and-offices/chief-counsels-office.WEBSITE URL FOR PCL POSTINGwww.cityofpaloalto.org/powercontentlabelSubmit the Annual Report and signed Attestation in PDF format with the Excel version of the Annual Report to PSDprogram@energy.ca.gov. Remember to complete the Retail Supplier Name, Electricity Portfolio Name, and contact information above, and submit separate reports and attestations for each additional portfolio if multiple were offered in the previous year. EXHIBIT A5.aPacket Pg. 53 Version: April 2021799,875 443,069356,806 - - - 443,069 157,5390.1970DIRECTLY DELIVERED RENEWABLESFacility Name Fuel TypeState or Province WREGIS ID RPS ID N/A EIA IDGross MWh Procured MWhResold Net MWh Procured Adjusted Net MWh Procured GHG Emissions Factor (in MT CO2e/MWh) GHG Emissions (in MT CO2e)N/A Ameresco Johnson Canyon - Ameresco Johnson CanyonBiomass & biowasteCA W3397 61353 58397 8,305 8,305 8,305 0.5579 4,633 Ameresco Keller Canyon - Ameresco Keller CanyonBiomass & biowasteCA W2071 61298 56897 12,076 12,076 12,076 0.0027 33 Ameresco Ox Mountain - Ameresco Ox MountainBiomass & biowasteCA W2033 60022 56895 30,867 30,867 30,867 0.0027 83 Ameresco San Joaquin - Ameresco San JoaquinBiomass & biowasteCA W3883 62433 58436 23,397 23,397 23,397 0.0026 61 Ameresco Santa Cruz Energy - Santa CruzBiomass & biowasteCA W2014 61297 56428 6,899 6,899 6,899 0.0023 16 Lewiston Powerplant - Lewiston Eligible hydro CA W 1108 61044 977 235 235 235 - - Nimbus Powerplant - Nimbus Plant (2) Eligible hydro CA W 1161 61045 444 7,100 7,100 7,100 - - Spicer_1_Units - Spicer Meadow Project Eligible hydro CA W 1260 61580 54554 2,989 2,989 2,989 - - Stampede Powerplant - Stampede (2) Eligible hydro CA W 1177 61046 7066 1,036 1,036 1,036 - - 275 Cambridge Ave. Parking Garage - 275 Cambridge GarageSolar CA W5649 63982 P228 412 412 412 - - 445 Bryant St. Parking Garage - 445 Bryant St. Parking GarageSolar CA W5647 63610 P229 356 356 356 - - 475 Cambridge Ave. Parking Garage - 475 Cambridge GarageSolar CA W5650 63981 P230 456 456 456 - - 520 Webster St. Parking Garage - 520 Webster St. Parking GarageSolar CA W5648 63611 P231 564 564 564 - - Frontier Solar - Crow Creek Solar I Solar CA W4962 62248 60039 16,449 16,449 16,449 - - EE Kettleman Land - Centaurus - EE Kettleman Land - CentaurusSolar CA W4695 62422 59633 11,090 11,090 11,090 - - Elevation Solar C - Elevation Solar C Solar CA W5298 63192 59964 12,249 12,249 12,249 - - Hayworth Solar - Hayworth Solar Solar CA W4719 62744 59009 8,360 8,360 8,360 - - HP Inc. - Palo Alto HQ Solar CA W7686 64036 62732 1,922 1,922 1,922 - - Unitarian Universalist Church of Palo Alto - UUCPASolar CA W7382 63983 P232 204 204 204 - - Western Antelope Blue Sky Ranch B - Western Antelope Blue Sky Ranch BSolar CA W5300 61518 59961 18,248 18,248 18,248 - - FIRMED-AND-SHAPED IMPORTSFacility Name Fuel TypeState or Province WREGIS ID RPS IDEIA ID of REC SourceEIA ID of Substitute Power Gross MWh Procured MWh Resold Net MWh Procured Adjusted Net MWh Procured GHG Emissions Factor (in MT CO2e/MWh) GHG Emissions (in MT CO2e)Eligible for Grandfathered Emissions?- - #N/A- - #N/A- - #N/A- - #N/A- - #N/ASPECIFIED NON-RENEWABLE PROCUREMENTS Facility Name Fuel TypeState or Province N/A N/A N/A EIA IDGross MWh Procured MWh Resold Net MWh Procured Adjusted Net MWh Procured GHG Emissions Factor (in MT CO2e/MWh) GHG Emissions (in MT CO2e)N/A Collierville Large hydro CA 54555 72,415 72,415 72,415 - - WAPA - Folsom Large hydro CA 441 17,269 17,269 17,269 - - WAPA - Gianelli Large hydro CA 448 5,448 5,448 5,448 - - WAPA - Judge F Carr Large hydro CA 442 22,606 22,606 22,606 - - WAPA - Keswick Large hydro CA 443 16,166 16,166 16,166 - - WAPA - New Melones Large hydro CA 6158 22,172 22,172 22,172 - - WAPA - ONeill Large hydro CA 446 189 189 189 - - WAPA - Shasta Large hydro CA 445 82,529 82,529 82,529 - - WAPA - Spring Creek Large hydro CA 450 19,477 19,477 19,477 - - WAPA - Trinity Large hydro CA 451 21,586 21,586 21,586 - - PROCUREMENTS FROM ASSET-CONTROLLING SUPPLIERS GHG Emissions Intensity (in MT CO2e/MWh)Net Specified Natural GasNet Specified Coal & Other Fossil FuelsNet Specified Nuclear, Large Hydro, Renewables, and ACS PowerGHG Emissions (excludes grandfathered emissions)Retail Sales (MWh)Net Specified Procurement (MWh)Unspecified Power (MWh)Procurement to be adjusted2020 POWER SOURCE DISCLOSURE ANNUAL REPORTSCHEDULE 1: PROCUREMENTS AND RETAIL SALESFor the Year Ending December 31, 2020City of Palo Alto Electric UtilityStandardInstructions: Enter information about power procurements underlying this electricity portfolio for which your company is filing the Annual Report. Insert additional rows as needed. All fields in white should be filled out. Fields in grey auto-populate as needed and should not be filled out. For EIA IDs for unspecified power or specified system mixes from asset-controlling suppliers, enter "unspecified", "BPA," "Powerex,", or "Tacoma" as applicable. For specified procurements of ACS power, use the ACS Procurement Calculator to calculate the resource breakdown comprising the ACS system mix. Procurements of unspecified power must not be entered as line items below; unspecified power will be calculated automatically in cell N9. Unbundled RECs must not be entered on Schedule 1; these products must be entered on Schedule 2. At the bottom portion of the schedule, provide the other electricity end-uses that are not retail sales including, but not limited to transmission and distribution losses or municipal street lighting. Amounts should be in megawatt-hours.5.aPacket Pg. 54 Version: April 2021Facility Name Fuel Type N/A N/A N/A N/A EIA IDGross MWh Procured MWh Resold Net MWh Procured Adjusted Net MWh Procured GHG Emissions Factor (in MT CO2e/MWh) GHG Emissions (in MT CO2e)N/A - #N/A- #N/A- #N/A- #N/AEND USES OTHER THAN RETAIL SALES MWh5.aPacket Pg. 55 Version: April 2021325,186 RETIRED UNBUNDLED RECSFacility Name Fuel TypeState or Province RPS ID Total Retired (in MWh)Calligan Creek Hydroelectric Project Eligible hydro WA 63934 3,501 Hancock Creek Hydroelectric Project Eligible hydro WA 63935 4,133 Youngs Creek Hydroelectric Project Eligible hydro WA 62016 4,366 Campbell Hill - Campbell Hill Wind WY 61017 14,186 Carousel Wind - Carousel Wind Wind CO 63340 228,000 Colorado Highlands Wind - Colorado Highlands WindWind CO 61229 50,000 Dunlap I - Dunlap I Wind WY 61188 21,000 Total Retired Unbundled RECs2020 POWER SOURCE DISCLOSURE ANNUAL REPORTSCHEDULE 2: RETIRED UNBUNDLED RECSFor the Year Ending December 31, 2020City of Palo Alto Electric UtilityStandardINSTRUCTIONS: Enter information about retired unbundled RECs associated with this electricity portfolio. Insert additional rows as needed. All fields in white should be filled out. Fields in grey auto-populate as needed and should not be filled out. 5.aPacket Pg. 56 Version: April 2021Adjusted Net Procured (MWh)Percent of Total Retail SalesRenewable Procurements163,214 20.4% Biomass & Biowaste81,544 10.2% Geothermal- 0.0% Eligible Hydroelectric11,360 1.4% Solar 70,310 8.8% Wind- 0.0%Coal- 0.0%Large Hydroelectric279,855 35.0%Natural gas- 0.0%Nuclear- 0.0%Other- 0.0%Unspecified Power356,806 44.6%Total 799,875 100.0%799,875 434 40.7%Total Retail Sales (MWh)GHG Emissions Intensity (converted to lbs CO2e/MWh)Percentage of Retail Sales Covered by Retired Unbundled RECs2020 POWER SOURCE DISCLOSURE ANNUAL REPORTSCHEDULE 3: POWER CONTENT LABEL DATAFor the Year Ending December 31, 2020City of Palo Alto Electric UtilityStandardInstructions: No data input is needed on this schedule. Retail suppliers should use these auto-populated calculations to fill out their Power Content Labels. 5.aPacket Pg. 57 Version: April 2021POWER SOURCE DISCLOSURE ANNUAL REPORTATTESTATION FORM for the year ending December 31, 2020CITY OF PALO ALTO UTILITIESSTANDARD PRODUCTI, James Stack, Senior Resource Planner, declare under penalty of perjury, that the statements contained in this report including Schedules 1, 2, and 3 are true and correct and that I, as an authorized agent of City of Palo Alto Utilities, have authority to submit this report on the company's behalf. I further declare that the megawatt-hours claimed as specified purchases as shown in these Schedules were, to the best of my knowledge, sold once and only once to retail customers.Name: James StackRepresenting (Retail Supplier): City of Palo Alto UtilitiesSignature: __________________________________________________________Dated: June 16, 2021Executed at: Palo Alto, CA5.aPacket Pg. 58 Version: April 2021If you have questions, contact Power Source Disclosure (PSD) staff at PSDprogram@energy.ca.gov or (916) 639-0573.NOTE: Information submitted in this report is not automatically held confidential. If your company wishes the information submitted to be considered confidential an authorized representative must submit an application for confidential designation (CEC-13), which can be found on the California Energy Commissions's website at https://www.energy.ca.gov/about/divisions-and-offices/chief-counsels-office.WEBSITE URL FOR PCL POSTINGwww.cityofpaloalto.org/powercontentlabelSubmit the Annual Report and signed Attestation in PDF format with the Excel version of the Annual Report to PSDprogram@energy.ca.gov. Remember to complete the Retail Supplier Name, Electricity Portfolio Name, and contact information above, and submit separate reports and attestations for each additional portfolio if multiple were offered in the previous year. CITY, STATE, ZIPPalo Alto, CA 94301PHONE(650) 329-2314EMAILjames.stack@cityofpaloalto.orgNAMEJames StackTITLESenior Resource PlannerMAILING ADDRESS250 Hamilton Ave.CONTACT INFORMATION2020 POWER SOURCE DISCLOSURE ANNUAL REPORTFor the Year Ending December 31, 2020RETAIL SUPPLIER NAMECity of Palo Alto UtilitiesELECTRICITY PORTFOLIO NAMEPaloAltoGreenRetail suppliers are required to use the posted template and are not allowed to make edits to this format. Please complete all requested information.GENERAL INSTRUCTIONS5.aPacket Pg. 59 Version: April 202125,594 25,594- - - - 25,594 00.0000DIRECTLY DELIVERED RENEWABLESFacility Name Fuel TypeState or Province WREGIS ID RPS ID N/A EIA IDGross MWh Procured MWhResold Net MWh Procured Adjusted Net MWh Procured GHG Emissions Factor (in MT CO2e/MWh) GHG Emissions (in MT CO2e)N/A Western Antelope Blue Sky Ranch B - Western Antelope Blue Sky Ranch BSolar CA W5300 61518 59961 4,414 4,414 4,414 - - High Winds - High Winds, LLC Wind CA W229 60726 56075 5,109 5,109 5,109 - - Shiloh I Wind Project - Shiloh I Wind Project LLC Wind CA W231 60488 56362 16,071 16,071 16,071 - - FIRMED-AND-SHAPED IMPORTSFacility Name Fuel TypeState or Province WREGIS ID RPS IDEIA ID of REC SourceEIA ID of Substitute Power Gross MWh Procured MWh Resold Net MWh Procured Adjusted Net MWh Procured GHG Emissions Factor (in MT CO2e/MWh) GHG Emissions (in MT CO2e)Eligible for Grandfathered Emissions?- - #N/A- - #N/A- - #N/A- - #N/A- - #N/ASPECIFIED NON-RENEWABLE PROCUREMENTS Facility Name Fuel TypeState or Province N/A N/A N/A EIA IDGross MWh Procured MWh Resold Net MWh Procured Adjusted Net MWh Procured GHG Emissions Factor (in MT CO2e/MWh) GHG Emissions (in MT CO2e)N/A - - #N/A- - #N/A- - #N/A- - #N/A- - #N/A- - #N/A- - #N/A- - #N/A- - #N/APROCUREMENTS FROM ASSET-CONTROLLING SUPPLIERSFacility Name Fuel Type N/A N/A N/A N/A EIA IDGross MWh Procured MWh Resold Net MWh Procured Adjusted Net MWh Procured GHG Emissions Factor (in MT CO2e/MWh) GHG Emissions (in MT CO2e)N/A END USES OTHER THAN RETAIL SALES MWhRetail Sales (MWh)Net Specified Procurement (MWh)Unspecified Power (MWh)Procurement to be adjusted2020 POWER SOURCE DISCLOSURE ANNUAL REPORTSCHEDULE 1: PROCUREMENTS AND RETAIL SALESFor the Year Ending December 31, 2020City of Palo Alto Electric UtilityPaloAltoGreen GHG Emissions Intensity (in MT CO2e/MWh)Net Specified Natural GasNet Specified Coal & Other Fossil FuelsNet Specified Nuclear, Large Hydro, Renewables, and ACS PowerGHG Emissions (excludes grandfathered emissions)Instructions: Enter information about power procurements underlying this electricity portfolio for which your company is filing the Annual Report. Insert additional rows as needed. All fields in white should be filled out. Fields in grey auto-populate as needed and should not be filled out. For EIA IDs for unspecified power or specified system mixes from asset-controlling suppliers, enter "unspecified", "BPA," "Powerex,", or "Tacoma" as applicable. For specified procurements of ACS power, use the ACS Procurement Calculator to calculate the resource breakdown comprising the ACS system mix. Procurements of unspecified power must not be entered as line items below; unspecified power will be calculated automatically in cell N9. Unbundled RECs must not be entered on Schedule 1; these products must be entered on Schedule 2. At the bottom portion of the schedule, provide the other electricity end-uses that are not retail sales including, but not limited to transmission and distribution losses or municipal street lighting. Amounts should be in megawatt-hours.5.aPacket Pg. 60 Version: April 2021Adjusted Net Procured (MWh)Percent of Total Retail SalesRenewable Procurements25,594 100.0% Biomass & Biowaste- 0.0% Geothermal- 0.0% Eligible Hydroelectric- 0.0% Solar 4,414 17.2% Wind21,180 82.8%Coal- 0.0%Large Hydroelectric- 0.0%Natural gas- 0.0%Nuclear- 0.0%Other- 0.0%Unspecified Power- 0.0%Total 25,594 100.0%25,594 - 0.0%Total Retail Sales (MWh)GHG Emissions Intensity (converted to lbs CO2e/MWh)Percentage of Retail Sales Covered by Retired Unbundled RECs2020 POWER SOURCE DISCLOSURE ANNUAL REPORTSCHEDULE 3: POWER CONTENT LABEL DATAFor the Year Ending December 31, 2020City of Palo Alto Electric UtilityPaloAltoGreenInstructions: No data input is needed on this schedule. Retail suppliers should use these auto-populated calculations to fill out their Power Content Labels. 5.aPacket Pg. 61 Version: April 2021POWER SOURCE DISCLOSURE ANNUAL REPORTATTESTATION FORM for the year ending December 31, 2020CITY OF PALO ALTO UTILITIESPALOALTOGREENI, James Stack, Senior Resource Planner, declare under penalty of perjury, that the statements contained in this report including Schedules 1, 2, and 3 are true and correct and that I, as an authorized agent of City of Palo Alto Utilities, have authority to submit this report on the company's behalf. I further declare that the megawatt-hours claimed as specified purchases as shown in these Schedules were, to the best of my knowledge, sold once and only once to retail customers.Name: James StackRepresenting (Retail Supplier): City of Palo Alto UtilitiesSignature: __________________________________________________________Dated: May 29, 2021Executed at: Palo Alto, CA5.aPacket Pg. 62 CHECK OUT PALO ALTO’S POWER CONTENT LABEL FOR 2020 Individuals with disabilities who require accommodations to access City facilities, services or programs, or who would like information on the City’s compliance with the Americans with Disabilities Act (ADA) of 1990, may contact the City’s ADA Coordinator at (650) 329-2368 (voice) or email ada@cityofpaloalto.org 09/21 Printed on 100% post-consumer recycled paper, bleached without chlorine. WHERE DOES OUR ELECTRICITY COME FROM? 100% CARBON-NEUTRAL ELECTRICITY SINCE 2013 Like a nutrition facts label that shows the ingredients in food, the Power Content Label shows the sources of electricity purchased by City of Palo Alto Utilities to power local homes and businesses. Carbon-neutral electricity comes from a variety of sources, including renewable resources like solar, wind and small hydroelectric plants. Large hydroelectric sources are also carbon- free, but the state of California doesn’t consider them renewable. Since 2016 the City of Palo Alto Utilities has had long-term contracts with California-based renewable energy providers to provide 100% Carbon Neutral power to the community. In 2020, as the value of in-state renewable energy rose, CPAU began taking a regional approach to purchasing power, selling its high priced in-state renewable energy and buying the most cost-efficient renewable energy from outside the state. This program generates earnings ($2.9M in 2020) which are being split between pandemic rate relief and investments in local decarbonization efforts necessary to meet our ambitious climate goals. Although the power sourced out-of-state remains carbon-neutral, it’s not recognized as renewable by the state and instead is labeled as “unspecified.” But CPAU retains its long- term contracts, and when this in-state / out-of-state energy exchange program ends, the Power Content Label will look like it did in 2019: 100% renewable and carbon-neutral sources. SOLAR 8.8% ELIGIBLE HYDROELECTRIC 1.4% UNSPECIFIED POWER 44.6% BIOMASS AND BIOWASTE 10.2% LARGE HYDROELECTRIC 35.0% Palo Alto is reducing greenhouse gas emissions to 80% below 1990 levels by 2030 POWER SOURCES IN 2020 CPAU power sources include five solar PV projects, two wind projects, five landfill gas-fired projects, the Calaveras hydroelectric project, and the Western Area Power Administration (Western) contract, which is sourced from Central Valley Project hydroelectric facilities. All of these resources are located in California. Power supply percentages vary annually based on the available output from our contracted generators. In 2020, CPAU’s hydroelectric generation was somewhat lower than long- term average levels due to relatively dry weather conditions, so CPAU needed to purchase additional renewable generation from other utilities in the western US. Find more details at cityofpaloalto.org/PowerContentLabel and cityofpaloalto.org/CarbonNeutral EXHIBIT B 5.a Packet Pg. 63 5.a Packet Pg. 64 CHECK OUT PALO ALTO’S POWER CONTENT LABEL FOR 2020 Individuals with disabilities who require accommodations to access City facilities, services or programs, or who would like information on the City’s compliance with the Americans with Disabilities Act (ADA) of 1990, may contact the City’s ADA Coordinator at (650) 329-2368 (voice) or email ada@cityofpaloalto.org 09/21 Printed on 100% post-consumer recycled paper, bleached without chlorine. WHERE DOES OUR ELECTRICITY COME FROM? 100% CARBON-NEUTRAL ELECTRICITY SINCE 2013 Like a nutrition facts label that shows the ingredients in food, the Power Content Label shows the sources of electricity purchased by City of Palo Alto Utilities to power local homes and businesses. Carbon-neutral electricity comes from a variety of sources, including renewable resources like solar, wind and small hydroelectric plants. Large hydroelectric sources are also carbon-free, but the state of California doesn’t consider them renewable. Since 2016 the City of Palo Alto Utilities has had long-term contracts with California-based renewable energy providers to provide 100% Carbon Neutral power to the community. In 2020, as the value of in-state renewable energy rose, CPAU began taking a regional approach to purchasing power, selling its high priced in-state renewable energy and buying the most cost-efficient renewable energy from outside the state. This program generates earnings ($2.9M in 2020) which are being split between pandemic rate relief and investments in local decarbonization efforts necessary to meet our ambitious climate goals. Although the power sourced out-of-state remains carbon-neutral, it’s not recognized as renewable by the state and instead is labeled as “unspecified.” But CPAU retains its long-term contracts, and when this in-state / out-of-state energy exchange program ends, the Power Content Label will look like it did in 2019: 100% renewable and carbon-neutral sources. SOLAR 8.8% ELIGIBLE HYDROELECTRIC 1.4% UNSPECIFIED POWER 44.6% BIOMASS AND BIOWASTE 10.2% LARGE HYDROELECTRIC 35.0% Palo Alto is reducing greenhouse gas emissions to 80% below 1990 levels by 2030 POWER SOURCES IN 2020 CPAU power sources include five solar PV projects, two wind projects, five landfill gas-fired projects, the Calaveras hydroelectric project, and the Western Area Power Administration (Western) contract, which is sourced from Central Valley Project hydroelectric facilities. All of these resources are located in California. Power supply percentages vary annually based on the available output from our contracted generators. In 2020, CPAU’s hydroelectric generation was somewhat lower than long-term average levels due to relatively dry weather conditions, so CPAU needed to purchase additional renewable generation from other utilities in the western US. PaloAltoGreen’sa Prospectiveb Product Content Label for 2021 Consists of 100% Wind Energyc a PaloAltoGreen is a voluntary renewable energy program from City of Palo Alto Utilities that matches up to 100% of your estimated monthly electricity usage with Green-e® certified Renewable Energy Credits (RECs) from new renewable energy resources, specifically from generation facilities that first began commercial operation in the last 15 years. b Prospective Product Content Label: These figures reflect the renewables that we have contracted to provide. Actual figures may vary according to resource availability. We will annually report to you before October 1st of next year in the form of a Historical Product Content Label the actual resource mix of the electricity you purchased. c Sourced from wind energy RECs located in the western U.S. (CA, OR, WA, ID, NV, UT, AZ, MT, WY, CO, or NM) or Canada (BC or AB). Green-e EnergyCERTIFIEDPaloAltoGreen™ PaloAltoGreen is Green-e® Energy certified and meets the environmental and consumer- protection standards set forth by the nonprofit Center for Resource Solutions. For more information on Green-e® Certified Energy, call 1-888-63-GREEN or visit green-e.org PaloAltoGreen 2020 Historical Product Content Label (reflected in the “Palo Alto Green” column of the table on page 2): These figures reflect the power delivered to PaloAltoGreen’s customers in 2020. Solar energy and wind energy sourced from California facilities. Find more details at cityofpaloalto.org/PowerContentLabel and cityofpaloalto.org/CarbonNeutral 5.a Packet Pg. 65 5.a Packet Pg. 66