Chamber members are encouraged to make public comment at the CPS Energy Board of Trustees meeting at 1:00 on December 19, 2022 in support of the Chamber’s recommended Energy Generation Portfolio – P2. In order to make your voice heard you must register HERE, by 1 pm tomorrow, Friday, December 16, 2022. The rationale for the support of P2 follows.
The CPS Energy Rate Advisory Committee (RAC) is considering recommendations that will affect CPS Energy’s generation portfolio. The RAC has been presented with nine Energy Generation Portfolios to assess the replacement of aging power plants, continuing operating coal units, analyzing power generation concepts and types of resources to be added, and planning for population growth. Plan objectives include reliability and flexibility, affordability, sustainability, workforce impact, and CPS financial stability, with consideration to the City of San Antonio’s Climate Action and Adaption Plan (CAAP). This assessment has included extensive studies, research, analysis, and community input informing Generation Portfolio Recommendations, identifying two viable options to achieve 2030 CAAP targets.
Of the 9 portfolios considered, we understand the P2 and P9 Energy Generation Portfolios are the two choices the CPS Energy RAC will recommend to the Board (they are meeting at the time of this writing). The P2 Energy Generation Portfolio is a blend of gas, solar, wind, and storage additions. The P9 Energy Generation Portfolio is a renewable energy generation portfolio with wind, solar, and storage additions.
P2 – Blend: Gas, Solar, Wind and Storage Additions
- Convert Coal to Gas, adds Gas with Renewables
- Increased reliability, affordability, and stability; does not rely on purchasing energy from ERCOT and retains experienced workforce to support lower-carbon transition
- P2 meets the 2030 CAAP target, but will require evolution to meet 2040 CAAP target
P9 – Renewables: Wind, Solar, and Storage Additions
- Short-term converts Coal to Gas, then retires both, adds only Renewables
- P9 allows us to meet CAAP 2030/2040 only with developing technology
- P9 challenges our ability to ensure reliability during extreme weather conditions – relies on energy purchase from ERCOT to meet needs
CPS Energy is a foundational asset for our community’s economic success and must meet the growing needs of the City’s energy infrastructure and institute innovative solutions to meet increasing demands. Its current generation plan is well-diversified with 46% gas, 21% renewables, 19% coal and 14% nuclear with CPS leading in renewable energy generation (#1 in Texas; #5 in the U.S. in solar capacity). The rapid push to shut down gas and coal plants and move to all renewable energy too soon could jeopardize reliability and negatively impact affordability, workforce, and the economy.
The P2 Energy Generation Portfolio prioritizes reliability, affordability, and stability. The P9 energy generation portfolio heavily relies on ERCOT purchasing power. A well-balanced generation portfolio provides reliable and affordable energy supply to power our businesses and homes. P2 is the most balanced energy portfolio and will ensure that our businesses and homes have reliable, affordable, and stable energy, with little risk to our local workforce and economy.