MINUTES
of the
POWER PLANT TASK FORCE
Thursday, March 1, 2007 at 4:00 p.m.
City Hall
1 Dr. Carlton Goodlett Place, Room 82
San Francisco, CA
1. CALL TO ORDER AND ROLL CALL
Chair Philip DeAndrade called the meeting to order at 4:20 p.m.
Present: Joe Boss
Al Collins Steven Moss
Philip DeAndrade Dick Millet
Absent: Karen Pierce
2. APPROVAL OF THE MINUTES
By motion of Dick Millet and second by Joe Boss, the Minutes of the meeting of January 23, 2007 were unanimously approved as written.
3. DEPARTMENT REPORTS RE JANUARY 23 SPECIAL COMMUNITY MEETING AND SITING OF CT
a. PUC–Barbara Hale, Assistant General Manager for Power: encouraged by Mirant's statements; ISO did stay true to ISO action plan by maintaining support for it.
b. Deputy City Attorney Theresa Mueller: despite change from RMR to local capacity requirement, PG&E or another entity could have signed a contract to run plant; ability of merchant plant to enter into another contract is not new, absent RMR. Doesn't think PG&E wants political fallout from reopening plant.
c. Barry Flynn, RCI, Consultant to PUC and City Attorney: PG&E can buy the power and pass on costs to ratepayers.
d. PUC–Karen Kubik, CT Project Manager: three in-city units have been licensed; finished CEQA for unit at airport in December. PUC has been in active negotiations with NEPC contractor on the terms. Now negotiating the operations and maintenance contract which would be in place when the CTs are up and built. Assembling the building blocks for the financing agreement. Thirteen items will be before the Commission in late spring: MOUs between departments, various contracts, interconnection sites for gas will be considered.
4. SITING OF THE COMBUSTION TURBINE GENERATORS (CTs)
Chair DeAndrade asked the Task Force if it is prepared to make a recommendation to the Board regarding the siting. Mr. Boss suggested that members create a list of elements that should be included in the motion and voted on at the next meeting. Mr. Moss concurred and recommended that the Task Force support the siting of the CTs with the following conditions:
a. CALISO will remove the RMR contract
b. Potrero Plant is likely to be uneconomic
c. City is doing its best to see that the Potrero Plant is closed.
d. There should be a covenant that revenues will be dedicated to a green future.
e. Mr. Collins: support for CTs is not just for energy reliability but an improvement of air quality in the southeast part of the City.
f. Chair DeAndrade wants to add something re public power.
g. Mr. Moss added that the CTs should be closed if they are no longer needed for reliability.
Recommendations will be assembled and brought to next Task Force meeting for a vote.
5. TASK FORCE POSITION ON THE TRANSBAY CABLE
Chair DeAndrade: City of Pittsburg is seeking approval of a lease for the underwater cable to transmit power to San Francisco across Port property. Project will not come before PUC and Dept. of the Environment; will go before Port Commission and Board of Supervisors.
B. Hale: PUC has not taken a position on the cable; has been asked to opine on the need for the cable; is supporting the Port staff in understanding how the cable fits into the grid; supporting the Port's efforts to put together a public benefits package to compensate the Port for having the cable situated on Port property. The Final EIR's response to the comments raised by the PUC was weak
Task Force concerned that process moving too quickly. Mr. Moss moved that the chair submit a letter to the Clerk of the Board of Supervisors reasserting the Task Force resolution re the Transbay Cable. Additionally a letter should be sent to the Port Commission requesting that the Task Force have the opportunity to participate in the discussion. Mr. Millet seconded the motion and the motion passed unanimously.
Chair DeAndrade stated that he would be out of town on the day of the Task Force's regular meeting. The Task Force agreed to schedule a special meeting on March 29th.
5. ADJOURNMENT
The meeting was adjourned at 6:30 p.m.
