HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 05/27/2014 - PLATTE RIVER POWER AUTHORITY STRATEGIC PLANNING UPDATE:
STAFF:
May 27, 2014
Steven Catanach, Light & Power Operations Manager
Kevin Gertig, Interim Utilities Executive Director
John Phelan, Energy Services Manager
WORK SESSION ITEM
City Council
SUBJECT FOR DISCUSSION
Platte River Power Authority Strategic Planning Update.
EXECUTIVE SUMMARY
Ms. Jackie Sargent, General Manager of Platte River Power Authority (Platte River) and other Platte River staff
will provide an update on strategic planning - with a particular focus on efforts toward developing Platte River’s
next Integrated Resource Plan (IRP).
GENERAL DIRECTION SOUGHT AND SPECIFIC QUESTIONS TO BE ANSWERED
The work session will provide Council the opportunity to learn more about Platte River’s resource planning studies
- in support of their strategic initiative to diversify the future mix of electric resources serving member/owner
Municipalities (Estes Park, Fort Collins, Longmont and Loveland).
BACKGROUND / DISCUSSION
Platte River’s Board of Directors approved a new Strategic Plan in December 2014 - located at the link below:
<http://www.prpa.org/wp-content/uploads/2014/02/PRPA_SP14_Web.pdf>
As outlined in this plan, Platte River is conducting an analysis of alternatives for decreasing system level
greenhouse gas emissions including an identification of the associated cost implications using Colorado’s Climate
Action Plan as a guide (20% below 2005 levels by 2020 and 80% below 2005 levels by 2050).
Platte River selected, installed and is running electric system modeling software (EPIS/Aurora) and has retained
consultants to assist in the analysis associated with its 2014 IRP. Platte River plans to conduct detailed modeling
for a set of resource scenarios that includes reduced surplus sales, expanded energy efficiency and demand side
management programs, increased renewable resources (wind and solar), natural gas combined cycle generation
and distributed generation.
Alternatives will be presented to the Platte River Board of Directors for their consideration as part of Platte River’s
2014 Integrated Resource Plan (IRP). A draft IRP is currently scheduled to be provided to the Board of Directors
in December 2014.
Listening sessions and other public information activities related to the IRP were held in March and April (in all
four owner communities). Background information on the planning process that was presented during the
listening sessions can be accessed at the link below. Presentation slides and narrated video are provided.
www.prpa.org/irp <http://www.prpa.org/irp>
Efforts to update Fort Collins’ Climate Action Plan (CAP) will be closely coordinated with Platte River’s resource
planning process. More aggressive penetration levels for options studied by Platte River and new resource
options will be required to meet the CAP goals of an 80% reduction by 2030 (relative to the 20% target by 2020),
requiring additional modeling/analysis.
May 27, 2014 Page 2
City and Platte River staff have identified significant common ground for joint modeling and other analysis that will
provide information regarding resource options and associated costs to inform planning activities of both
organizations. A collaborative approach would also provide for economies of scale in the analysis efforts.
However, given the additional modeling work and consulting support needed for the Fort Collins CAP, additional
costs will be incurred - to be funded by Fort Collins (Utilities budget).
An Intergovernmental Agreement (IGA) is being developed to facilitate coordination between the entities. It is
anticipated that this IGA would be proposed to the Platte River Board for their approval on May 29 and is
scheduled for proposal to the Fort Collins City Council for approval on June 3.