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Interconnection Agreement ‘Getting a YES from Public Agencies’

Learn how Fresno's Public Utilities Department successfully negotiated an interconnection agreement with PG&E to integrate biogas electricity into the grid, complying with local regulations and maximizing benefits. Understand the complexities and strategies involved in obtaining approval from public agencies.

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Interconnection Agreement ‘Getting a YES from Public Agencies’

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

  2. City of Fresno • California’s 5th largest city – 3rd 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/

  3. Constitution of the State of California Article XXII 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”

  4. Objectives Local Government Utility Costs Environmental Safety

  5. Objectives Local Government Utility Income Rates AB 2313 Costs Permits Return on Investment Integrated Waste Management Act of 1989 (AB 939) SB 1383 Environmental AB 1900 PM2.5 Waste of Resource Air Quality AB 1900 Safety Safety & Enforcement Gas Quality External Expertise Simplicity Time

  6. 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

  7. 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 A ‘yes’..?Concieving a single Interconnection Agreement? – OK, then the draft can address consistent local government / local agency issues – before it is finala YES is closer with…

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

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