Interconnection Agreement Getting a YES from Public Agencies

Interconnection Agreement ‘Getting a YES from Public Agencies’ Michael Carbajal Director of Public Utilities, City of Fresno

City of Fresno • California’s 5 th largest city – 3 rd largest in PG&E’s Service territory • a DPU that includes wastewater treatment • Wastewater treatment plant generates biogas • Fresno biogas has generated electricity – has been flared – and now … is destined for the gas grid! https: //www. fresno. gov/publicutilities/

Local Government or Public Agency might mean: “The State of California and all other governmental entities, including, but not limited to, cities, counties, cities and counties, school districts and other special districts, local and regional agencies and joint power agencies” Constitution of the State of California Article XXII

Objectives Local Government Utility Costs Environmental Safety

Objectives Local Government Income Permits Utility Costs Integrated Waste Management Act of 1989 (AB 939) PM 2. 5 Waste of Resource Air Quality External Expertise Time Rates AB 2313 Return on Investment SB 1383 AB 1900 Environmental Safety Simplicity AB 1900 Safety & Enforcement Gas Quality

Connect Before Interconnection Know Local Government / Public Agency Limitations • Geographical area / area of jurisdiction • Legal restrictions on spending / consideration • Rules on contracting / purchasing / bidding • Risk Management / Liability / Insurance

A ‘yes’. . ? Concieving a single Interconnection Agreement? – OK, then the draft can address consistent local government / local agency issues – before it is final a YES is closer with… • Acknowledge Both Party’s Requirements, e. g. Over Siting • No Commercial "Performance Assurance” Requirements • No Implication of ‘Gift of Public goods’ • Crediting Local Governments’ Self-Insurance Option • Incorporating Local Government / Public Agency Limitations Generally

Partnership Fresno value’s its relationship with PG&E – ‘we’re in the marriage for the long haul’ • Fresno can’t complete its mission without PG&E • Partners don’t always agree • 'Counseling’ helps