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Overview of California Clean Energy Issues

April 4, 2024

�Nancy LaPlaca, J.D.

nancy@thirdact.org

828-434-3423

https://www.linkedin.com/in/nancylaplaca/

Thank you for attending this session, the first of many
Thank you for caring, for showing up, for lighting a candle in the dark
I want to make this interesting and even fun — I know that I’ve been intrigued by the promise — and many failures — of how much power state utility regulators have since first learning about them decades ago
I’ve been humbled by what I’ve learned, and outraged, and want to help others understand these critical state agencies that are supposed to work for the public, not the corporate monopolies they far too often serve.
The truth is that clean energy IS CHEAPER, the problem isn’t cost or technology, it’s CORPORATE manipulation of our political system, We HAVE the solutions - so let’s put them to use!
I am happy to be part of Third Act where together we know we can help put these solutions to good use!
…so WHY focus on PUCs? Because that’s where the decisions are made, PUCs are “the deciders.”

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Five Things To Remember From Today

PUCs need to change. Third Actors can make it happen!�
Solar is now the cheapest form of electricity on Earth�
Utilities don’t want clean energy… �
Utilities refuse to recognize the staggering damages from fossil gas and coal – these must be priced in�
Fossil gas investments are dangerous

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We are going to keep returning to these major themes, so please excuse repetition
PUCs need to change. Familiar Narrative: monopoly corporations capturing regulators; regulators serving and protecting utilities�Third Actors can play many roles, from making comments to making signs to participating in dockets as intervenors
Solar is now the cheapest form of electricity on Earth – BUT
Utilities don’t want clean energy – �they want large, central-station fossil gas plants and pipelines because this model centralizes the profits and funnels them up!
With centralization – even without renewable sphere – there’s a fight emerging starting now. �2024 Battle: utility-scale solar and small/residential rooftop solar solar vs. fossil/natural/fracked gas
Utilities refuse to recognize the staggering damages from fossil gas and coal – these must be priced in
Fossil gas investments are dangerous, foolish, risky, expensive and unnecessary. The only “benefactors” are fossil fuel companies and their shareholders. Everyone else loses.

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Major changes needed for the electricity system:

CENTRALIZED to DISTRIBUTED
From CORPORATE MONOPOLY control to COMPETITION and CUSTOMER ownership
From FOSSIL FUELED to CLEAN ENERGY
From THERMAL COMBUSTION to solar PV’s direct generation of electricity

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66% of Energy Lost When Converting Heat to Electricity in THERMAL Power Plants

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Coal plants: 66% of all acid rain, 40% of all mercury (and why nearly every body of water in the U.S. is contaminated), etc.

”Thermal” power plant boils water to turn a steam turbine, in other words, thermal heat is what is turning the power plant‘s turbine, and this process is extremely inefficient. This is true whether the thermal power plant runs on coal, fossil gas or nuclear.

This is what is so remarkable about solar: it converts sunlight DIRECTLY to electricity — no boiling water, no coal ash, no fracking, no leaking gas pipelines, no noisy compressors, no toxic chemicals that pollute our air and water and are destroying our future

THIS IS WHY ELECTRIFICATION IS CALLED “BENEFICIAL.” Electrification is more efficient.

Power plants are ~35-40% efficient - i.e. 60-65% of the energy in the coal or fossil gas is lost as heat and pollution
Cars are ~20% efficient - i.e. 80% of the energy in gasoline is lost as heat and pollution.

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What’s a “thermal” power plant?

From Yale Climate Connections: Traditional thermal power plants lose most of the energy going into them.

THERMAL generation means generating HEAT by burning coal, methane gas, or nuclear fuel
The heat is used to boil water to make steam
The steam turns a turbine
This is a VERY inefficient process, where ~66% of the energy is lost as heat and pollution
Utilities don’t count the damages from pollution, and far too many utility regulators ignore these staggering damages

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https://yaleclimateconnections.org/2022/10/energy-loss-is-single-biggest-component-of-todays-electricity-system/#:~:text=Traditional%20thermal%20power%20plants%20lose,of%20natural%20gas%20is%20increasing.

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CA Energy Commission shows changing electricity mix over time:

https://www.energy.ca.gov/data-reports/energy-almanac/california-electricity-data/2021-total-system-electric-generation/2016

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California and the Solar Coaster

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https://www.seia.org/state-solar-policy/california-solar

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https://www.seia.org/state-solar-policy/california-solar

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https://www.caiso.com/todaysoutlook/Pages/supply.aspx

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Per the U.S. EIA (see Speaker notes for link), CA spent $3.6 billion on natural gas fuel for electricity
70-90% of the cost to run natural gas power plants is FUEL and fuel-related (hedging, chemicals, transport etc.)

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Wind Saves $1 BILLION on Fuel Costs In 3 Days

https://www.awea.org/MediaCenter/pressrelease.aspx?ItemNumber=7088

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https://insideclimatenews.org/news/21092023/inside-clean-energy-utilities-rooftop-solar-competition-profits/

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https://insideclimatenews.org/news/21092023/inside-clean-energy-utilities-rooftop-solar-competition-profits/

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https://www.pv-magazine.com/2023/04/14/average-solar-lcoe-increases-for-first-time-this-year/

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https://emp.lbl.gov/news/berkeley-lab-s-latest-utility-scale-1

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U.S. Electricity Mix Still Heavily Fossil

1985: the U.S. electricity 64% fossil fuels
2022: the U.S. electricity 61% fossil fuels (FF) - why?

Count all the damages from fossil fuels

20-30 cents/kWh for coal; 8-14 cents/kWh for fossil gas

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Count all the benefits of clean energy:

Energy justice, good local jobs, cleaner air and water; reduce staggering health costs; climate damages; no price increases because no fuel costs
Energy efficiency - barely using at all; some states have zero

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Next Sessions: PUC Leadership Training

Two more sessions planned in this series, late April to early June
Slide Deck: PUC Resources for Third Actors �Session Two: Fossil Gas is the Problem, Solar and Clean Energy are the Solutions

Why the real fight now is between solar and fossil gas�

Session Three: Customer-Intervenor Training: �Make a Difference At the PUC!

What it means to intervene, making a comment vs. being a ‘party’; how to make clean energy arguments…

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TAKE ACTION: POWER UP COMMUNITIES!

Wherever you are, participate in Third Act’s Letter to the Editor Action – “Clean Energy, Clean Elections”�
Resources and trainings in key “Hotspots” for PUC advocacy�
Ex. this Friday Mar 29 12-1pm ET – NC Fuel Docket Presentation (RSVP anywhere)�
… but actions are unfolding throughout the country. Join one of Third Act’s 30+ State and Affinity Working Groups! (Map & Signup).�

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THANK

YOU!

Please send us comments, questions, ideas! We want this to work for YOU!�info@thirdact.org

nancy@thirdact.org