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W A T E R E N E R G Y L I F E <br /> RIVERSIDE PUBLIC UTILITIES <br /> Board Memorandum <br /> PUBLIC UTILITIES <br /> BOARD OF PUBLIC UTILITIES DATE: February 17, 2412 <br /> ITEM NO: 9 <br /> SUBJECT: ENERGY STORAGE SYSTEMS--AB 2514 COMPLIANCE PROCESS <br /> ISSUE: <br /> AB 2514 (Energy Storage Systems) requires the local governing board of each California publicly-owned <br /> utility[POU]to open a proceeding by March 1, 2412 to determine appropriate targets, if any,for the utility to <br /> procure viable and cost-effective energy storage systems. <br /> RECOMMENDATION: <br /> That the Board of Public Utilities open a proceeding to determine appropriate targets, if any, for Riverside <br /> Public Utilities to procure viable and cost-effective energy storage systems. <br /> BACKGROUND: <br /> AB 2514 was passed by the State Legislature and signed by the Governor on September 29,2414. The law <br /> establishes compliance obligations for POUs and investor-owned utilities (IOU) relating to energy storage <br /> systems. Specifically, AB 2514 requires the governing board of each POU to: <br /> 1. On or before March 1, 2012, open a proceeding to determine appropriate targets, if any, for the <br /> utility to procure viable and cost-effective energy storage systems; and <br /> 2. On or before October 1, 2014, adopt or decline to adopt energy storage procurement targets. <br /> This law requires that each POU identify various energy storage technologies and evaluate whether procuring <br /> those technologies would be viable and cost-effective for its electric resource portfolio. Based on the results <br /> of the analysis, the POU must either adopt or decline to adopt procurement targets for energy storage <br /> systems by the October 1, 2014 deadline. If the POU determines that energy storage procurement targets <br /> are appropriate and adopts its own targets, it will have until December 31, 2016 and December 31,2021 to <br /> achieve those targets. <br /> This law requires that each POU report to the California Energy Commission any developments regarding <br /> energy storage system procurement targets and other policies adopted by the governing board as a result of <br /> the proceeding. <br /> FISCAL IMPACT: <br /> There is no fiscal impact associated with this report. <br /> Prepared by: Reiko A. Kerr, Public Utilities Assistant General Manager/interim Resources <br /> Approved by: David H. Wright, Public Utilities General Manager <br /> Approved by: Belinda J. Graham, Assistant City Manager <br /> Approved as to form: Gregory P. Priamos, City Attorney <br /> Attachment: <br /> 1. AB 2514 <br />