R-087-14 Target for the Colton Electric Department to procure energy storage systems is not appropriate due to lack of cost-effective alternatives

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PA 31 Al 5 6 7 8 :] IM 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 PC] RESOLUTION NO. R-87-14 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COLTON DETERMINING THAT A TARGET FOR THE COLTON ELECTRIC DEPARTMENT TO PROCURE ENERGY STORAGE SYSTEMS IS NOT APPROPRIATE DUE TO LACK OF COST-EFFECTIVE ALTERNATIVES WHEREAS, California Assembly Bill 2514 requires the governing board of each local publicly -owned electric utility to determine appropriate targets, if any, for the utility to acquire cost-effective energy storage systems; and WHEREAS, All energy storage systems must be cost-effective in comparison to other capacity and energy procurement alternatives; and WHEREAS, Colton Electric Department staff undertook an analysis of the cost- effectiveness of energy storage systems in comparison with other alternatives for meeting its load; and WHEREAS, Colton Electric Department staff concluded that energy storage systems at this time are not economically viable due to their high cost and the contracts and ownership of generation resources that the Colton Electric Department currently has available to it; and WHEREAS, The Colton Utility Commission reviewed Colton Electric Department staff recommendation and agreed that at this time energy storage systems are currently non- economic for the Colton Electric Department; and WHEREAS, the Colton City Council agrees that establishing a target for energy storage systems would increase ratepayer costs. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COLTON DOES HEREBY RESOLVE AS FOLLOWS: To satisfy the City of Colton's obligations pursuant to Assembly Bill 2514, the Colton City Council determines that setting a capacity target for energy storage system options for the Colton Electric Department is not appropriate at this time;