HomeMy WebLinkAboutResolutions - No. 2014-109RESOLUTION NO. 2014-109
A RESOLUTION OF THE LODI CITY COUNCIL
AUTHORIZING THE CITY MANAGER TO EXECUTE
POWER PURCHASE AGREEMENT AND BUYERS JOINT
PROJECT AGREEMENT FOR ASTORIA 2 SOLAR
PROJECT WITH ADMINISTRATION BY THE ELECTRIC
UTILITY DIRECTOR
WHEREAS, current renewable energy requirements established by Senate Bill
X1 2 required the Lodi Electric Utility (LEU) to meet 20% of its retail load with renewable
energy by the end of 2013; 25% by 2016; and 33% by 2020; and
WHEREAS, the Astoria 2 Solar Project is a 75 MW photovoltaic plant being
developed by Recurrent Energy located in the southeastern portion of Kern County and
will enable the LEU to meet its Renewables Portfolio Standard (RPS) obligation through
2020; and
WHEREAS, the Astoria 2 Solar Project has already received pre -certification by
the California Energy Commission as an RPS eligible facility and is a party to a large
generator interconnection agreement allowing full capacity deliverability status with
resource adequacy benefits; and
WHEREAS, the Astoria 2 Solar Project was a successful proposal received by
the Southern California Public Power Authority (SCPPA) as part of its annual Request
for Proposals process for renewable energy projects and includes participation by
SCPPA and non-SCPPA members; and
WHEREAS, the LEU proposes to enter into a Power Purchase Agreement for the
purchase of 10 MW of project capacity and associated energy from the Astoria 2 Solar
Project at a fixed price of $64 per MWh for a period of 20 years; and
WHEREAS, at full capacity, the total annual cost of energy and renewable credits
associated with the Astoria 2 Solar Project will be approximately $2 million per year for
approximately 31,000 MWh annually; and
WHEREAS, with the assistance of outside legal counsel, the LEU negotiated a
Power Purchase Agreement and Buyers Joint Project Agreement and said agreements
were presented to and approved by the Risk Oversight Committee on May 19, 2014.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby
authorize the City Manager to execute the Power Purchase Agreement and Buyers Joint
Project Agreement for the Astoria 2 Solar Project with administration by the Electric
Utility Director; and
BE IT FURTHER RESOLVED that the Lodi City Council does hereby authorize
the City Manager to execute and deliver any and all other documents and instruments
and to do and cause to be done any and all acts and things necessary or advisable for
carrying out the transactions contemplated by this Resolution for the Astoria 2 Solar
Project, for the benefit of the City and the other parties to the Power Purchase
Agreement and the Buyers Joint Project Agreement with administrative duties performed
by the Electric Utility Director.
Dated: June 18, 2014
I hereby certify that Resolution No. 2014-109 was passed and adopted by the
City Council of the City of Lodi in a regular meeting held June 18, 2014, by the following
vote:
AYES: COUNCIL MEMBERS — Hansen, Johnson, Mounce, Nakanishi,
and Mayor Katzakian
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
NDI J L-OLSON
City lerk/Legislative Affairs Officer
2014-109