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Community Choice Aggregation Feasibility Analysis Alameda County <br /> Greenhouse Gas Emissions <br /> As modeled, there are no greenhouse gas benefits for Scenario 1—in fact there are net <br /> incremental emissions. This is because both the CCA and PG&E are meeting the same RPS <br /> requirements, but over 40%of PG&E's supply portfolio is made up of nuclear4 and large hydro <br /> generation,both of which are considered emissions-free. <br /> The Alameda County CCA's GHG emissions under Scenario 2 are much lower than those under <br /> Scenario 1. This is due to the higher renewable content in the CCA's generation mix under <br /> Scenario 2, but more importantly, the 50%hydro content in the non-renewable generation mix. <br /> Figures ES-5 compares the GHG emissions from 2017-2030 for the Alameda County CCA under <br /> Scenario 2 with what PG&E's emissions would be for the same load if no CCA is formed. <br /> PG&E's GHG emissions are initially comparable to,the CCA's emissions. The expected <br /> retirement of Diablo Canyon in 2025 increases PG&E's emissions by approximately 30% in <br /> 2025.5 Following this, PG&E's emissions are expected to decrease from 2026 to 2030 as PG&E <br /> procures renewables to meet its mandated RPS goals. However,they still remain higher than the <br /> CCA's expected GHG emissions. <br /> The results of Scenarios 1 and 2 illustrate that if the CCA wants to reduce is net carbon <br /> emissions, it must include hydroelectric (or other low- or carbon-free resources) in its portfolio. <br /> Note that the analysis assumes "normal" hydroelectric output for PG&E. during the drought <br /> years, PG&E's hydro output has been at about 50%of normal, and the utility has made up these <br /> lost megawatt-hours through additional gas generation. This means that our PG&E emissions are <br /> the PG&E emissions shown here are lower that the "current" emission. If, as is expected by <br /> many experts, the recent drought conditions are closer to the"new normal, then PG&E's GHG <br /> emissions in the first 8 years would be approximately 30%higher, resulting in GHG savings for <br /> Scenario 2 rather than parity. <br /> Similar to Scenarios 1 and 2, under Scenario 3 the Alameda County CCA's GHG emissions first <br /> increase from 2017 to 2019 as the CCA is phased in into the entire county. However, in Scenario <br /> 3 this increase is partially offset by the increasing renewable content in the CCA's supply mix <br /> (Figure ES-6). Thus the CCA's emissions in this scenario grow at a slower rate from 2017 to <br /> 2019 than in the first 2 scenarios, then decrease until 80% renewable supply is achieved in 2021, <br /> and remain flat thereafter. The CCA's GHG emissions under this scenario are lower than <br /> PG&E's expected emissions for the same load if no CCA is formed, for all years except for 2017 <br /> for which the emissions are comparable. <br /> 4 40%of PG&E portfolio is nuclear and hydro 2017-2024; in 2024 the Diablo Canyon retires and is replaced by gas- <br /> fired generation. <br /> 5 Between when this study was conducted and the final report released,PG&E announced its intention to retire <br /> Diablo Canyon at the end of its current license and replace it with storage,energy efficiency and renewables. <br /> Qualitatively,if Diablo Canyon is replaced with storage etc.,PG&E GHG emissions would be significantly lower <br /> than the PG&E base case(i.e.,the big jump up on PG&E GHG emissions in 2025 would not occur). <br /> July 2016 vii MRW&Associates,LLC <br />