CEC Finds Munis Look Adequate on Resources

By Published On: May 18, 2007

California municipal utilities generally are doing a good job of ensuring that they have surplus generating capacity to meet super-high electricity demand, according to a preliminary review by the California Energy Commission. “To a very large extent, it appears publicly owned load-serving entities are doing their share to meet their own local obligations,” said Jim Woodward, CEC electricity analysis office analyst. He spoke at a May 15 CEC workshop that explored resource adequacy among the state’s munis based on self-generated reports. Most of the largest munis have 10-year resource-adequacy plans, explained Adam Pan, commission electricity analysis office analyst. They typically include reserve margins based on adopted standards, added Gary Lawson, Sacramento Municipal Utility District generation engineering supervisor. For instance, the Turlock Irrigation District plans to maintain a 15 percent supply cushion, a district representative told the commission. State rules require investor-owned utilities to maintain a 15 to 17 percent reserve margin to promote the reliability of the state’s power grid. Amid growing concern about the reliability of the grid, lawmakers mandated munis to begin filing resource-adequacy reports with the commission in 2006. The CEC plans to summarize what the reports show in a technical appendix to its 2007 Integrated Energy Policy Report. The summary will be released at a July 2 workshop.

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