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Qualifying Facilities and CHP Program Settlement

Qualifying Facilities and Combined Heat and Power Program Settlement  Commission Decision (D).10-12-035 adopted a comprehensive Settlement for Qualifying Facilities and Combined Heat and Power (QF/CHP Settlement).  This Settlement is the result of an 18 month-long negotiation between the investor-owned utilities (IOUs), CHP trade representatives and ratepayer advocacy groups.  The Settlement addresses numerous QF-related issues and transitions to a new QF/CHP Program focused on CHP benefits and greenhouse gas (GHG) emissions reductions.

The new CHP Program, established by the Settlement, identifies two goals:  (1) IOUs will procure a minimum of 3,000 megawatts (MW) of CHP over the program period, and (2) the IOUs will reduce GHG emissions consistent with the ARB Climate Change Scoping Plan.

Progress towards these goals is tracked via CHP Program Semi-Annual Reports that the IOUs submit to Energy Division.  The publicly available reports are posted on this site along with a summary of both the MW and GHG Emissions Reduction Targets.

Key Documents

  • D.10-12-035  Decision adopting the proposed QF/CHP Settlement
  • QF/CHP Settlement Term Sheet  Document outlining settlement periods, PPA matters, CHP procurement processes, targets and accounting methodologies, Semi-Annual CHP Program Reports, SRAC pricing structure and other items.
  • D.11-03-051  Decision denying rehearing of D.10-12-035, as modified, on certain issues
  • D.11-07-010  Decision granting petition to modify D.10-12-035
  • A.08-11-001  Consolidated QF/CHP Docket Card (closed)
  • R.12-03-014  Long Term Procurement Plan Docket Card
  • R.13-12-010 Long Term Procurement Plan Docket Card

CHP Reports

  • CHP Program Semi-Annual Reports (updated 2014-07-07) - Download a zip folder containing the current and all previous Semi-Annual Reports. Each Report has aggregated information on the IOUs' CHP procurement and data on how individual projects contribute to the IOUs' MW and GHG reduction targets under the QF/CHP Settlement. Each successive report provides cumulative information on the IOUs' CHP resources.
  • CHP Reporting Template (Version 3.3.3)  Download the CHP Program Semi-Annual reporting template.  Reported facilities are fictitious and are provided for demonstrative use only.

QF Semi-Annual Reports

QF/CHP Decisions and Resolutions

The Decisions and Resolutions pursuant to the QF/CHP Settlement below are listed with the most recent ones at the bottom.

  • PG&E: E-4412 (Pacific Oroville)
  • PG&E, SCE, SDG&E: E-4424 (AB 1613 Tariffs)
  • PG&E: E-4427 and per AL 4336-E (DG Fairhaven)
  • SCE: E-4443 (Fixed Energy Price Amendments) 
  • PG&E: A.11-07-010 (GWF)
  • PG&E: E-4452 (Pacific Oroville)
  • PG&E: E-4455 (The Five)
  • PG&E: E-4485 (Collins Pine)
  • PG&E: E-4478 and per AL 4335-E  (Honey Lake)
  • PG&E, SCE, SDG&E, CalPeco, Pacificorp: E-4496 (AB 1613 Tariffs)
  • PG&E: E-4491 (Burney Forest)
  • SCE: E-4490 (Fixed Energy Price Amendments)
  • PG&E: A.11-12-003 (Thermal Energy)
  • PG&E: E-4528 and E-4578 (Bailey Creek)
  • PG&E: E-4494 (Agnews)
  • SCE: E-4537 (Watson)
  • SCE: E-4553 (Berry)
  • SCE: E-4571 (Kern River and Sycamore)
  • SCE: E-4569 (Los Medanos and Gilroy)
  • PG&E: E-4529 (Los Medanos)
  • PG&E: E-4581 (Pacific Oroville)
  • SCE: E-4554 (Harbor)
  • SCE: E-4555 (Sycamore)
  • PG&E: E-4594 (Kern River)
  • PG&E: E-4632 (Anderson II)
  • PG&E: E-4627 (Cymric)
  • SDG&E: E-4642 (CP Kelco)
  • PG&E: E-4648 (Richmond)
  • SCE: D.14-07-019 (El Segundo)
  • PG&E: E-4662 (ArcLight)
  • PG&E: E-4661 (Midway Sunset)
  • SCE: E-4681 (Berry University) forthcoming
  • SCE: E-4683 (U.S. Borax) forthcoming
  • SCE: E-4684 (New-Indy Oxnard & Ontario) forthcoming
  • SDG&E: E-4698 (Goal Line) forthcoming
  • SDG&E: E-XXXX (Yuma) forthcoming
  • PG&E: E-XXXX (Tesoro) forthcoming
  • PG&E: D.XX-XX-XXX (Rio Bravo Poso) forthcoming
  • SCE: E-XXXX (ACE) forthcoming

Quick Links

  • CHP Overview  Includes a description of CHP programs and projects.
  • CHP Procurement Processes  Procurement options available under the QF/CHP Settlement and information on SRAC pricing.
  • IOU pages on the QF/CHP Settlement including links to their CHP Request for Offers (RFOs).

Overview of CHP Program Targets

IOUs must procure a minimum of 3,000 MW of CHP for the entire QF/CHP Program and reduce GHG emissions consistent with the ARB Scoping Plan.

Pursuant to Decision 10-12-035, the IOUs submit CHP Program Semi-Annual Reports to track their MW and GHG reduction targets outlined in the Settlement.

GHG Emissions Reduction Targets

In the Climate Change Scoping Plan, ARB has identified a CHP GHG Emissions Reduction Target of 6.7 million metric tonnes (MMT) by 2020.  The investor owned utilities (IOUs) are responsible for 4.8 MMT of the statewide target, which is allocated among the IOUs based on retail sales from bundled and unbundled customers within their service territories.

Utility

IOU Retail Sales

(%) 2012              

IOU Target by 2020

(MMT)                         

PG&E

44.7

2.16

SCE

44.9

2.17

SDG&E

10.4

0.50

Total

100.0

4.8

Refer to the GHG ERT Calculator (updated 2014-01-16) for the assumptions used in the allocation of the Emissions Reduction Target.

Megawatt Procurement Targets

Utility

Target A

(MW)       

Target B

(MW)       

Target C

(MW)

Total

(MW)

SCE

630

378

394

1,402

PG&E

630

376

381

1,387

SDG&E

60

50

50

160

Total

1320

804

825

2,949*

*SDG&E will procure an additional 51 MW by 2018 in the Second Program Period to meet the minimum procurement Target of 3,000 MW.

Three MW target periods (A, B and C) correspond to the three CHP competitive solicitations (or Request for Offer or RFOs) and are outlined in the QF/CHP Program Settlement Term Sheet (Section 5.1.2).  The three CHP RFOs will be scheduled at regular intervals. The IOUs initiated their first RFO by the end of February 2012.

To view the term sheet and other background information, visit the QF/CHP Settlement page.



 
 
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