1. CLIMATE LITERACY 201: Energy and Greenhouse Gas Emissions William Forsythe, Chief, Power Planning Branch SWP Power and Risk Office

2. Power vs. Energy POWER is the RATE at which work is performed - - energy is generated or consumed 1 MegaWatt = 1,000,000 Watts (MW) 1 MW can serve ~ 1,000 homes with electricity One Edmonston pump uses 60 MW

3. Power vs. Energy ENERGY = amount of power produced or consumed over a period of time 1 MW generated for one hour = 1 MWh

4. To get 100,000 MWh Annually, You Need: Typical Capacity Factor Size of Facility Resource(MW) Natural Gas 0.6019 Wind 0.3434 Solar 0.2742 Bio Mass 0.8114 Geothermal 0.9412 Technology Matters Capacity Factor

5. SWP PUMPING AND GENERATING SWP is the largest single power consumer in California  Pumping capacity  Pumping capacity = 2,600 MW  6 million to 9.6 million MWh consumed to move water  40% to 60% from our own hydro resources SWP Pumping

6. SWP GENERATION SWP is the third largest generator of clean hydropower in CA  Generation capacity = 1,700 MW  4 million to 7 million MWh generated  Produces about 14% of California’s hydropower

7. Comparison to CA Utilities 4% of CAISO Load Consumes 3% of all electricity used by CA electric utilities 6 th largest CA electrical consumption by utility Only about 9% size of PG&E SWP Comparison to CA Utilities

8. Benefits to the Grid SWP’s off-peak pumping = fewer plants are cycling up and down Less on-peak pumping reduces the stress on the grid Limitations:  Delta restrictions  Water deliveries drive power schedules Benefits to the Grid

9. 2011 SWP Pump load 8,508 Million MWh

10. Energy Used to Deliver Water Energy Used to Deliver Water Inc. Transmission Losses Data from SWPAO for Allocating Off-Aqueduct Power Facility Costs 7/20/11 MWh per acre-foot (a) Pumping PlantsAtCumulative Plantfrom Delta Barker Slough. 223 Cordelia Benicia. 434.657 Cordelia Vallejo. 178.401 Cordelia Napa. 563. 786 Harvey O. Banks (Delta). 296 South Bay Including Del Valle.869 1.165 Dos Amigos. 138. 434 Buena Vista.242. 676 Teerink. 295. 971 Chrisman. 639 1.610 A.D. Edmonston 2.236 3.846 Pearblossom.703 4.549 Greenspot. 871 5.420 Crafton Hills 1.087 6.507 Cherry Valley.224 6.731 Oso.280 4.126 Las Perillas.077. 511 Badger Hill.200.711 Devils' Den.705 1.416 Bluestone.705 2.121 Polonio Pass.705 2.826

11. Greenhouse Gas Emissions

12. Transportation, 40.7% Ag & Forestry, 8.3% Industrial, 20.5% Electric Power, 21.6% SWP, 0.6% Others, 8.3% GHG Emissions in California Sources of CA’s 2004 GHG Emissions By End Use Sector

13. 2007 – 2009: California Climate Action Registry. Verified 1 of only 5 state agencies to achieve this status 2010 : The Climate Registry. Completing verification Reported 2011 emissions. Starting on 2012 reporting Annual reporting of energy use to Air Resources Board GHG Emissions Reporting

14. THE CLIMATE REGISTRY Nonprofit collaboration sets consistent and transparent standards to calculate, verify and publicly report GHG emissions into a single registry

16. 50% reduction below 1990 levels by 2020 which exceeds AB 32 goal 80% reduction below 1990 levels by 2050 DWR Emission Reduction Goals

17. LODI ENERGY CENTER 296 MW Combined Cycle Natural Gas Power Plant Highly efficient 13 Public Participants DWR share 99 MW 33% of facility $140 Million DWR investment Operational Nov 2012

18. Fast start technology Ramp up and down quickly Help provide firming power for renewable energy that is generating intermittently

19. Termination of Coal-Fired Resource Four units at the Reid Gardner Facility in Nevada SWP has 67.8% equity ownership of Unit 4 (a 275 MW unit) Expires July 25, 2013

20. Comparison to CA Utilities Feb 2013 executed 20-year power purchase agreement 45 MW solar project with delivery start in 2015/16 Oct 2012 executed a 4 year power purchase agreement 28.3 MW geothermal and 5.3 MW landfill gas Renewable Energy Contracts

21. The Future of the California Aqueduct ? 21

22. 22 Usable 68 acres ±10 MW of solar Higher elevation Already secured area Env. Surveys completed Interconnection application to SCE Solar at Pearblossom Pumping Plant

23. Decreased power use – 40,000 MWh annually Energy savings equivalent to a 24-acre solar farm Edmonston Pump Replacement Project

24. Other “Green” Activities Wind and Solar RFPs Development of small hydro Testing of in-aqueduct hydrokinetic generation Governor’s Climate Action Team Other Greening Activities

25. Cap and Trade for Emission Allowances Final regulation adopted by CARB 10/20/11 Generator or importer will need to obtain and retire GHG credits equal to the amount of GHG produced beginning with 2013 emissions 1 allowance = 1 MT CO2e

26. Emission Allowances 90% allocated free to retail load serving utilities SWP specifically named in the regulation SWP will NOT receive any free emission allowances 10% retained by CARB Oct 2012 auction Floor price of $10/MTCO2e Containment reserve $50/MTCO2

27. Cost and Use of Allowances Allowances reduced by 2% per year thru 2020 SWP Direct and Indirect Costs estimated to be $23 M in 2013 Direct cost ~$ 8 M Indirect cost ~$ 15 M Use of allowances: o Still being developed o Renewables? o Energy efficiency? o Rebates?

28.  SWP has a GHG policy that will meet or exceed all AB-32 milestones  SWP provides strong public benefits to the California electrical grid the California electrical grid  DWR is pursuing a suite of tools to reduce GHG: Acquiring renewable energy resources Acquiring renewable energy resources Refurbishing pumps and generators Refurbishing pumps and generators to improve energy efficiency to improve energy efficiency Switching from coal to cleaner natural gas resources Switching from coal to cleaner natural gas resources Developing small hydro Developing small hydro Summary of Actions