SFPUC Power Business Plan POWER ENTERPRISE BUSINESS PLAN 2016 | Seite 2
Dear Customers, Commissioners and Stakeholders,
POWER ENTERPRISE
BUSINESS
PLAN 2016
As presented in Public
Workshops held April 28 and
July 28, 2015, and available for
viewing at sfgovtv.org.
The city of San Francisco depends upon the SFPUC’s Power Enterprise to
provide 100% greenhouse gas-free power for all of its municipal facilities.
Our power supply is one of the cleanest in the nation, and that has
enabled us to become a leader in carbon emission reduction.
It is an exciting time for the Power Enterprise. We are now serving clean
Hetch Hetchy electricity to residential and commercial customers in
the Hunter’s Point Shipyard, creating the very first greenhouse gas-free
community in San Francisco.
Our legacy began in 1913, when the Raker Act granted the city of
San Francisco the right to build and operate the Hetch Hetchy Water
& Power System. Since its completion, this system has benefited San
Francisco with a steady supply of clean water and power. It serves the
same benefits to the Modesto and Turlock Irrigation Districts.
Electricity sales supported the cost of initial construction and ongoing
build out of the joint water and power system. The Power Enterprise has
gone on to provide significant additional city benefits which have helped
to increase energy efficiency and diversify our power portfolio.
Nevertheless, the existing Power business model is functionally and
operationally out of balance. Our sales cannot support the increasing
costs of maintaining our infrastructure. We are at risk of losing our
highest-value customers unless we ensure a level playing field with PG&E
and prioritize investment in distribution infrastructure in San Francisco.
Supplies exceed customer demand. Transmission redundancies,
distribution cost uncertainties, and operational inefficiencies are leaving
market opportunities untapped, putting long-term financial stability and
critical City energy programs at risk.
This Power Business Plan recommends six operational strategies to
provide lasting, long-term financial stability. These recommended
strategies are designed to ensure the Power Enterprise continues to
provide high-quality service to current customers, while positioning
the Enterprise to grow our customer base. Simply, we need to add new
customers while containing costs to achieve financial security.
Our Utility Systems
Water
Delivering high quality water every day
• 2.6 Million People
• 217 Million Gallons per Day (MGD)
• 1.6B kW hrs of Clean Hydroelectricity
• 167 Miles Across the State
• Gravity-fed
Power
Sewer
• 100% of San Francisco’s Municipal Load
• 3 Treatment Facilities
• 380.5MW Hydroelectic Generation
• 1,000 Miles of Pipes
• 10.8MW Solar and Biogas Generation
• 85 MGD Treated Dry Weather
• 45,000 SF Street Lights Powered
• 575 MGD Treated Wet Weather
• 160 Miles of Transmission Lines
• 40 Billion Gallons Treated per Year
Generating clean energy for vital
services
Protecting public health and the
environment
As communities worldwide struggle with the impacts of climate change,
maintaining the fiscal strength of our clean energy portfolio is crucial in
addressing these challenges in San Francisco. While other utilities move
toward cleaner energy, Hetchy Power has already accomplished this
goal. Our mandate is to protect the long-term financial stability of this
vital source of power for San Franciscans while ensuring our investments
support our local economy.
Harlan L. Kelly, Jr.
General Manager
Barbara Hale
Assistant General Manager,
Power Enterprise
SFPUC Power Business Plan 2016
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