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2016 Briefing Book 2016 Briefing Book Putting Customers First 1 Introduction 2 LADWP Leadership 3 Power System Power Facts and Figures ........4 Power Supply Transformation 5 Coal Transition ................................. 6 Road to Renewables .....................7-8 Local Solar Programs ................9-10 Rebuilding Power Plants.......... 11-12 Investing in Energy Efficiency....... 13 Greenhouse Gas Reductions ...13-14 Power Reliability ...................14 Electric Transportation......... 15 Advanced Metering ............... 15 Introduction Pre-craft Trainees ................ 16 he Los Angeles Department of leaders and other stakeholders in a Electric Rates and Finance ... 16 Water and Power (LADWP) is the widespread education and outreach nation’s largest municipal utility, effort that encompassed more 17 Water System T having provided water and power than 80 presentations and briefings Water Facts and Figures ...... 18 service to Los Angeles residents and throughout the city. The new rates, Sustainability ....................... 19 businesses for over 100 years. More which were approved by the City Urban Water Management Plan ..19 than 9,400 employees serve the City of Council in March 2016, went into Water Conservation ....................... 20 Los Angeles with water and power in effect April 15, 2016. Recycled Water .............................. 21 a cost-effective and environmentally Stormwater Capture...................... 21 Groundwater Cleanup ................... 22 responsible manner. LADWP is guided Key priorities for the rates request Owens Valley .................................. 23 by a five-member Board of Water and included: Safety/Water Quality ...........25 Power Commissioners, appointed • Replacing aging water and power Reliability/Infrastructure ....27 by the Mayor and confirmed by the infrastructure to ensure future Water Rates and Finance .....29 City Council. LADWP is a proprietary service reliability agency of the City, with full • Transforming water and power 31 Customer Service responsibility for meeting the electric supplies to protect the water and water requirements of supply from drought and transform 33 Corporate Performance 4 million people in Los Angeles. the power supply to meet clean energy mandates LADWP continues a major transition • Continue improving customer of its water and power supplies while service and keeping rates working to maintain and improve competitive reliability. Working together with the Mayor and City Council, LADWP Based on input from the independent is creating a clean energy future Office of Public Accountability/ for Los Angeles and planning for Ratepayer Advocate and stakeholders, a sustainable water future — one the water and power rate ordinances that addresses drought conditions incorporate interim rate reviews by reducing reliance on expensive and metrics reporting requirements imported purchased water and to improve LADWP’s performance, increasing the local water supply as accountability and transparency. well as conservation. This annual Briefing Book is designed In 2015, LADWP took the necessary to help frame the key initiatives and steps to put forth a five-year issues that drive the Department’s water and power rate request, operations, programs and policies. which was presented to the public over six months starting in July 2015. Led by General Manager Marcie Edwards, the Department engaged our customers, elected officials, neighborhood councils, the business community, environmental 2 Los Angeles Department of Water and Power 2016 Briefing Book David H. Wright LADWP Leadership General Manager David H. Wright, General Manager David H. Wright is the General Fleet Services, Equal Employment finance department, Manager of the Los Angeles Opportunity Services, the including serving as Department of Water and Power Communications and Marketing and the City Controller. (LADWP), appointed by the Board of Community Affairs Division, Project Water and Power Commissioners to Management Division, and Customer He holds both a bachelor’s and the post on August 16, 2016. Mr. Wright Service Division. master’s degrees in Business provides leadership for the utility in Administration, conferred upon him by providing reliable and competitively Prior to joining the Department, Mr. California State University, Fullerton. priced water and electricity while Wright worked at the Las Vegas Valley continuing to maintain and implement Water District as Deputy General Mr. Wright has been a part of and environmentally conscious policies Manager and Chief Financial Officer has long-standing relationships with and priorities. from September 2013. He has a broad- the leaders of various utility-related based knowledge of both water and organizations such as the Southern Mr. Wright came to LADWP to serve electric utility operations and worked California Public Power Authority as the Senior Assistant General for the City of Riverside, California (SCPPA): He was also SCPPA Manager of the LADWP’s Power for approximately 25 years, most president in 2008; was president System in February 2015. Shortly recently as the Public Utilities General and is a long-standing member of thereafter, he became the Chief Manager, a position he earned after the California Municipal Utilities Operating Officer, overseeing the being Deputy Public Utilities Director Association (CMUA). He has also Water and Power Systems, and and Public Utilities Chief Financial been on various committees of the operations of the Information Officer for nearly 12 years. He joined Riverside Chamber of Commerce Technology Services, Supply Chain the City of Riverside in 1988 and held from 1998 to 2013. Services, Human Resources, a number of positions within the Board of Water and Power Commissioners Board President Mel Levine was Jill Banks Barad was appointed appointed to the Board of Water and to the Board of Water and Power Power Commissioners by Mayor Eric Commissioners by Mayor Eric Garcetti Garcetti and was confirmed by the Los and was confirmed by the Los Angeles Angeles City Council on September 11, City Council on September 11, 2013. 2013. He was elected President of the She is a recognized civic leader and Board on October 1, 2013. Mr. Levine businesswoman. joined the international law firm of Gibson, Dunn & Crutcher as a partner in 1993. He retired Michael F. Fleming was appointed as a partner in the firm in 2012 but continues to act as to the Board of Water and Power Counsel. He served as a member of the United States Commissioners by Mayor Eric Garcetti Congress from 1983 until 1993 and as a member of the and was confirmed by the Los Angeles California Assembly from 1977 to 1982. City Council on September 11, 2013. Mr. Fleming is the Executive Director of the William W. Funderburk Jr., Vice David Bohnett Foundation. President, was appointed to the Board of Water and Power Commissioners by Christina Noonan was appointed Mayor Eric Garcetti and was confirmed to the Board of Water and Power by the Los Angeles City Council on Commissioners by Mayor Antonio R. September 11, 2013. He was elected Villaraigosa and confirmed by the Los as Vice President on October 1, 2013. Angeles City Council on August 10, 2010. Mr. Funderburk is a founding partner She was re-appointed by the Mayor and of Castellón & Funderburk LLP, a business litigation then re-confirmed by City Council on boutique. August 12, 2011. She is a Senior Vice President of Jones Lang LaSalle’s Los Angeles office. 3 Los Angeles Department of Water and Power 2016 Briefing Book WASHINGTON WINDY POINT LINDEN RANCH Wind Wind PEBBLE SPRINGS WILLOW CREEK Wind Wind Power System CELILO AC-DC Los Angeles’ CONVERTER STATION Power Generation and Transmission OREGON IDAHO If stretched end to end, LADWP’s 15,000 miles of power lines and cable are longer than the distance from Los Angeles to Australia and back. PLEASANT CALIFORNIA VALLEY Wind NEVADA INTERMOUNTAIN GENERATING STATION DONALD A. CAMPBELL 1&2 Coal Geothermal MILFORD 1&2 Wind OWENS GORGE UTAH Hydro APEX GENERATING STATION Natural Gas MOAPA RE CINCO Solar Solar PINE TREE Wind & Solar SPRINGBOK 1&2 HOOVER DAM Solar NAVAJO MANZANA Hydro BEACON COPPER MTN 3 GENERATING Wind * Solar Solar STATION Coal SYLMAR AC-DC POWER PLANT 1 CONVERTER STATION ADELANTO Hydro Solar CASTAIC POWER PLANT Hydro/Pumped Storage POWER PLANT 2 LOS ANGELES Hydro BASIN HUDSON RANCH PALO VERDE VALLEY GENERATING STATION Geothermal HEBER-1 GENERATING STATION Natural Gas Geothermal Nuclear LOCAL LANDFILL ARIZONA Biogas FEED-IN-TARIFF SOLAR INCENTIVE PROGRAM COMMUNITY SOLAR SCATTERGOOD GENERATING STATION Natural Gas CITY OF LOS ANGELES IN-BASIN GENERATING STATIONS HAYNES GENERATING STATION Natural Gas HARBOR GENERATING STATION * LADWP expects to stop Natural Gas receiving coal power from Navajo Generating Station on July 1, 2016. 4 Los Angeles Department of Water and Power 2016 Briefing Book Andrew C. Kendall Michael S. Webster Executive Director - Executive Director - Construction, Maintenance Engineering & Technical Power System & Operations Services LADWP’s Power System is the nation’s largest municipal electric utility, and serves a 465-square-mile area in Los Angeles and much of the Owens Valley. LADWP began delivering electricity in Los Angeles in 1916. Power Facts and Figures Power Use Typical residential energy use per customer is about LADWP’s Power System supplies more than 26 million 500 kilowatt-hours (kWh) per month. Business and megawatt-hours (MWh) of electricity a year for the City industry consume about 70 percent of the electricity in of Los
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