A Missing Piece: What

Smart Grid Means for Current

Environmental Discussions

August 30, 2016

Today’s Presenters

Cara LeeSenior Conservation Manager

The Nature Conservancy

Ronny SandovalDirector, Grid Modernization

Environmental Defense

Fund

Merrian BorgesonSenior Scientist, Energy Program

Natural Resources

Defense Council

Nathan ShannonDeputy Director

Smart Grid Consumer

Collaborative

Agenda

Merrian Borgeson - Natural Resources Defense Council

Question and Answer Session

Cara Lee - The Nature Conservancy

Ronny Sandoval - Environmental Defense Fund

Introduction

Speaker #1

Name Background

Ronny Sandoval Director of Grid Modernization at the Environmental Defense Fund

• Manages EDF's national grid modernization effortsthat increase the efficiency of the electric system and enable the integration of renewables and other emerging sources of energy

• Previously managed efforts to increase EE and reduce peak electricity use in capacity constrained areas of the system as part of Con Edison’s EE and Demand Management Department

• Developed plans and performed engineering analyses to ensure the safe and reliable operation of the Transmission andDistribution systems at Con Edison

• Bachelor of Science in Mathematics from NY University and a Bachelor of Engineering in Electrical Engineering from Stevens Institute of Technology

• Master of Business Administration from New York University and is a Certified Energy Manager

Missing Piece: What Smart Grid Means for the EnvironmentRonny Sandoval, Director, Grid ModernizationAugust 2016

Join the discussion – Tweet #GridModernizationIndex

CLIMATE + ENERGY

OCEANS

ECOSYSTEMS

HEALTH

Sound Science

Market-Based Solutions

Corporate Partnerships

Non-Partisan Policy

Environmental Defense Fund’s Approach

CLIMATE + ENERGY

Unleash the power of private capital

Level the playing field for clean energy resources

Align utility business models with desired objectives

Modernize the electricity grid

Climate Change Mitigation

• Conservation Voltage Reduction

• Voltage Optimization

• Renewables Integration

Climate Change Adaptation

• Enhanced Visibility, System Monitoring, and Control

• Microgrids

Addressing Climate Change through

Smart Grid Investments

The Plan

Conservation

Voltage

Reduction

Data Access

Grid

Modernization

with

Environmental

Metrics

How do we Modernize the Grid?

Source: Florida Power & Light Company

Where it’s WorkedWhere and how EDF has advanced grid modernization

The Clean Power Plan

EDF successfully advocated for:

Recognition of CVR as a potential

component of state compliance plans

Need for EPA to provide guidance to

ensure savings are properly

accounted for

Duke Indiana Grid Modernization

EDF supported and advocated for:

Voltage optimization throughout 50%

of Duke’s territory

Grid modernization with

environmental metric reporting on

voltage, energy, carbon reductions

Access to data through pilot

programs

New York Distribution System Implementation Plans

EDF instrumental in defining the

required plans from New York utilities to

provide a roadmap for how they will

invest in grid modernization

Currently working to further refine the

plans

Grid modernization priorities already

included

Thank You

Speaker #2

Name Background

Merrian Borgeson Senior Scientist in the Energy Program at the Natural Resources Defense Council

• Champions stronger climate policies by providing analysis and strategic guidance to help us shift to efficient, renewable energy

• Works closely with policymakers and stakeholders at the state, regional and national levels

• Previously worked as a team leader at LBNL• Previously served as the 1st director of the Sustainable Business

Network of Greater Philadelphia and as the managing director of the Business Alliance for Local Living Economies

• Currently a trustee for the Goggio Family Foundation and sits on the advisory boards of the Schumacher Center for New Economics

• Bachelor’s degree from Stanford University• Master’s from the University of California, Berkeley, Energy and

Resources Group• MBA from Berkeley’s Haas School of Business

Merrian Borgeson, Senior Scientist

Natural Resources Defense Council

August 29, 2016

Distributed Energy Resource PlanningAn Update from California

AB 327 Requires Better Planning and Integration

of Distributed Energy Resources (DERs)

• Public Utilities Code Section 769 was instituted by AB 327, Sec. 8 (Perea, 2013).

• This new code section requires the electrical corporations to file distribution resources

plan proposals by July 1, 2015. It defines “distributed energy resources” as

“distributed renewable generation resources, energy efficiency, energy storage,

electric vehicles, and demand response technologies.”

• Currently active at the California Public Utilities Commission in two proceedings:

– Distribution Resources Plans (DRP) - R.14-08-013

– Integrated Distributed Energy Resources (IDER) – R.14-10-003

19

DER Integration Requires Improved

Planning + Sourcing

• Distribution Resources Plans (DRP) - This proceeding

requires the utilities to submit more detailed distribution-

level plans than ever before, creates tools and access to

public data to inform DER integration, and aims to value

the distribution-level benefits of DERs.

• Integrated Distributed Energy Resources (IDER) - This

proceeding is intended to explore options for “sourcing”

DERs including tariffs, programs, competitive solicitations,

and other mechanisms.

20

Distribution Resources Plans (DRP)

Proceeding Activities

Key elements:

• DRPs (submitted July 2015)

• Integration Capacity Analysis (ICA)

• Locational Net Benefits Analysis (LNBA)

• Demonstration projects

• Other policy issues (Track 3)

• Data Access

21

Integration Capacity Analysis

22

23

Integrated Distributed Energy Resources (IDER)

Proceeding Activities

Key elements:

• Cost Effectiveness

• Competitive Solicitation Framework

• Utility incentives for DER investments

• Hopefully more to come….

24

Merrian Borgeson, Senior Scientist

Natural Resources Defense Council

mborgeson@nrdc.org

Thanks!

Speaker #3

Name Background

Cara Lee Senior Conservation Manager at The Nature Conservancy• Leads work on energy issues in New York, ranging from grid

modernization and renewable energy to creation of “Development by Design” tools

• Initial project was creation of the state’s first comprehensive biodiversity and energy development mapping tool, in collaboration with the NY State Energy Research Development Authority

• Continues to work on developing science-based tools and information that will promote responsible energy and infrastructure development and will improve the ability to establish policies and make decisions that will reduce carbon emissions and will avoid, minimize and mitigate impacts on natural resources

• Received her Masters in Environmental Management from Yale University’s School of Forestry and Environmental Studies

Smart Grid Consumer Collaborative

Cara Lee

The Nature Conservancy

Senior Conservation Manager

August 30, 2016

Smart Grids and ClimatePublic Opinion and the Pathway to

CLEAN ENERGY in NY

The Imperative:

Driving to a Low-Carbon Future

Energy Production Snapshot:Elect r ic i ty is Largest Dr iver of GHG Emiss ions

Total US GHG Emissions by Sector, 2012. Source: EPA

P E A K D E M A N D G R O W I N G

F A S T E R T H A N O V E R A L L

E L E C T R I C I T Y U S E I N N Y

Meeting NY’s Energy Needs in the Future

L I G H T S O U T F O R 9 D A Y S I N

“ S O P O ”

S U P E R S T O R M S A N D Y

S H O W C A S E D T H E V A L U E O F

D I S T R I B U T E D E N E R G Y

R E S O U R C E S

October 2012 - Superstorm Sandy

CHALLENGES

• Aging Infrastructure

• Poor System Efficiency

• Lack of Interconnections for Renewables

• Vulnerable to Severe Weather

OPPORTUNITIES

• Reduced Renewables Cost

• “Smart” Technologies

• New Business Models

Reinventing Electricity in New York

New York’s “Reforming the Energy Vision” (REV)

Empowering

Customers to

better manage

energy…

Improving

affordability

Stimulating

markets for

distributed

energy…

Improving

efficiency,

Reducing carbon

emissions and

reducing climate

impacts

NY Greenhouse Gas Reduction Goal

40% Reduction in Greenhouse Gas Emissions by 2030

NY’s Clean Energy Standard

50% generation from renewables by 2030

REV Programs

Is climate change a concern?

Do people want more clean energy options?

Are New Yorkers willing to pay more for cleaner energy?

Would New Yorkers be willing to change behaviors?

Do New Yorkers support REV concepts?

C U S T OME R E N GA GE ME N T I S K E Y

T O S U C C E SS OF R E V

Why Do Public Opinion Research?

A M A J O R I T Y R A T E G L O B A L

W A R M I N G A S “ E X T R E M E L Y ” O R

“ V E R Y ” S E R I O U S

N E A R L Y 2 / 3 T H I N K A B O U T H O W

T H E I R A C T I O N S A N D C H O I C E S

A F F E C T C L I M A T E C H A N G E

Climate Change

8 4 % W A N T E D M O R E C O N T R O L

O V E R T H E I R C H O I C E O F

E N E R G Y S E R V I C E S

7 7 % W O U L D L I K E T O H A V E

M O R E O P T I O N S F O R E N E R G Y

S E R V I C E S

Consumer Choice

84

77

1419

Would like more control onenergy choices

Would like more options forenergy service

Agree Disagree

9 5 % S U P P O R T “ S M A R T ” G R I D ;

S U P P O R T F O R I N C R E A S E D

S O L A R P O W E R I N C E N T I V E S

N E A R L Y U N I V E R S A L A T 9 4 %

8 9 % S U P P O R T E D U S I N G M O R E

W I N D P O W E R

3 I N 5 W A N T 7 1 - 1 0 0 % T O C O M E

F R O M C L E A N R E N E W A B L E

S O U R C E S

Clean Energy Elements

9 0 % W I L L I N G T O R E D U C E

T H E I R U S E D U R I N G P E A K

D E M A N D P E R I O D S

8 9 % W I L L I N G T O M A K E E N E R G Y

E F F I C I E N C Y I M P R O V E M E N T S

8 9 % W I L L I N G T O U S E

T E C H N O L O G Y S U C H A S S M A R T

T H E R M O S T A T T O A D J U S T U S E

Willingness to Change

Behaviors

A M A J O R I T Y S A W A C O S T

I N C R E A S E O F A S M U C H A S $ 1 0

/ M O A S “ A C C E P T A B L E

7 4 % S A W I N C R E A S E O F $ 5 A S

A C C E P T A B L E

8 7 % S A W A $ 2 I N C R E A S E A S

A C C E P T A B L E

Willingness to Pay87

74

56

12

25

42

0

10

20

30

40

50

60

70

80

90

100

$2/month $5/month $10/month

Acceptable

Unacceptable

M O D E R N I Z E G R I D T O R E D U C E

C O S T S , I N C R E A S E R E L I A B I L I T Y ,

R E D U C E G H G E M I S S I O N S

R E V H A D S T R O N G T O T A L

S U P P O R T – 8 9 % .

Support for REV

• F U T U R E - C H I L D R E N A N D

G R A N D C H I L D R E N W I L L B E L E S S

D E P E N D E N T O N F O S S I L F U E L S

• C L I M A T E - A D O P T I N G C L E A N

E N E R G Y T E C H N O L O G I E S W I L L

G I V E P E O P L E A B I L I T Y T O

R E D U C E C A R B O N P O L L U T I O N

• W I N - W I N - P R O T E C T T H E

E N V I R O N M E N T A N D S A V E M O N E Y

I N T H E L O N G R U N

Strongest Messages

41

42

49

82

80

84

Future + Climate

Climate

Future

Total Convincing Very Convincing

New York is Taking the Lead

contact: Cara Lee clee@tnc.org

Questions?

Thank you! You will receive a copy of today’s slides at the email

address you used to register.

Cara LeeSenior Conservation Manager

The Nature Conservancy

Ronny SandovalDirector, Grid Modernization

Environmental Defense

Fund

Merrian BorgesonSenior Scientist, Energy Program

Natural Resources

Defense Council

Nathan ShannonDeputy Director

Smart Grid Consumer

Collaborative