1. CALIFORNIA ENERGY COMMISSION Why Peak Demand Offset Measures Are Necessary When There Is “Enough” Energy Lorraine White Advisory to Vice Chair Pfannenstiel California Energy Commission Energy Workshops for Water/Wastewater Agencies August 2005

2. CALIFORNIA ENERGY COMMISSION Background Charged with  Licensing thermal power plants 50 MWs and larger  Adopting appliance and building energy efficiency standards  Forecasting state energy use  Conducting public interest energy research  Maintaining energy information and performing analysis  Proposing to the Governor integrated state energy policies

3. CALIFORNIA ENERGY COMMISSION California Population: 34 million, 1.1% per year growth Multiple Utility Service Territories 2004 Electricity Use: 262,000 GWH 2004 Peak Demand: 54,500 MW Annual growth: Consumption - 1.4% Peak - 1.65%

4. CALIFORNIA ENERGY COMMISSION Energy System Concerns Growing Demand Resource Adequacy Fuel Diversity Infrastructure Environmental Quality Long-term Uncertainty

5. CALIFORNIA ENERGY COMMISSION California 2/3 of Precipitation in North 2/3 Demand in the South Water Demand: 43 maf Energy Use: 48,000 GWh; 4,300 MTh Population by 2030: 48 million 2030 Water Demand: 43-50 maf ?

6. CALIFORNIA ENERGY COMMISSION Water System Concerns Growing Demand Resource Adequacy Water Quality Infrastructure Environmental Protection Long-term Uncertainty Energy Use ?

7. CALIFORNIA ENERGY COMMISSION 2005 IEPR Water-Energy Relationship –Demand and supply strategies –Changes in the hydrological cycle –Energy system implications Ensure reliability and sustainability http://www.energy.ca.gov/2005_energypolicy/documents/index.html

8. CALIFORNIA ENERGY COMMISSION Water Use Cycle Energy Intensities (kWh/MG) Collection, Extraction & Conveyance Water Treatment End-use Agricultural Residential Commercial Industrial Water Distribution Wastewater Treatment Wastewater Collection Discharge Recycled Water Treatment Recycled Water Distribution Source [0-16,000] [100-1,500] [700-1,200] [400-1,200] [1,100-4,600] [0-400] Preliminary Total = 1,900 to 23,700 kWh/MG

9. CALIFORNIA ENERGY COMMISSION WER Synergies Saving water can save energy Improve operational efficiency of systems Retrofit infrastructure with better designs and technologies Lower demand of end users Reduce Peak Demand Advanced metering Time-Of-Use rates Shifting load Energy generation Develop system resources (in-conduit hydro, biogas) Develop other renewable resource Reduce net energy requirement on grid R&D

10. CALIFORNIA ENERGY COMMISSION Regional Differences* * These numbers are preliminary. Source: California Energy Commission, Water-Energy Paper, 2005

11. CALIFORNIA ENERGY COMMISSION Why is Peak An Issue?

12. CALIFORNIA ENERGY COMMISSION Patterns of Daily Peak Demand

13. CALIFORNIA ENERGY COMMISSION Peak Demand Savings from Efficiency Programs Utility Programs Building & Appliance Standards

14. CALIFORNIA ENERGY COMMISSION Per Capita Electricity Consumption

15. CALIFORNIA ENERGY COMMISSION Conclusion There are plenty of challenges. We must act now for the short-term. –Increase energy efficiency –Develop available renewable resources –Improve infrastructure We need a comprehensive, coordinated, long-term program.

16. CALIFORNIA ENERGY COMMISSION CEC Information www.energy.ca.gov