HomeMy WebLinkAbout2020-12-03 RMLD Board of Commissioners Minutes �iirx - UEiVED
Town of Reading TO /N CLERK
Meeting Minutes READING, MA.
2021 MAR 29 AM 1: 09
Board - Committee -Commission - Council:
RMLD Board of Commissioners
Date: 2020-12-03 Time: 06:00 PM
Building: Reading Municipal Ught Building Location: Winfred Spurr Audio Visual Room
Address: 230 Ash Street Session: Open Session
Purpose: General Business Version: Final
Attendees: Members - Present:
Due to the pandemic and the March 12, 2020 Governor's Executive Order
Suspending Certain Provisions of the Open Meeting Law, all particpants
attended remotely.
John Stempeck, Chair; David Hennessy, Vice Chair; David Talbot,
Commissioner; Robert Coulter, Commissioner; Phillip S. Pacino,
Commissioner.
Members - Not Present:
Others Present:
RMLD Staff: Coleen O'Brien, General Manager; Hamid laffari, Director of
Engineering and Operations; John McDonagh, Assistant Director of
Engineering and Operations; Charles Underhill, Director of Integrated
Resources; Greg Phipps,Assistant Director of Integrated Resources; Tom
011lia, Integrated Resource Engineer; Wendy Markiewicz, Director of
Business, Finance, and Utility Technology; Tracy Schultz, Executive
Assistant.
Vlvek Soni, Citizens'Advisory Board
Karen Herrick, Reading Select Board
Vanessa Alvarado, Reading Select Board
Gail Page, Green Sanctuaries; Coordinator, GRACE
Lynn Champion, 8 Franklin Avenue, Wilmington
James Satterthwaite, 8 Hunt Street, Reading
John Rogers, 39 Tower Hill Road, North Reading P
Michael Carpenter, 174 Walnut Street, Reading P
David Zeck, Reading Climate Action Committee
Minutes Respectfully Submitted By: Philip B. Pacino, Secretary Pro Tem {
Topics of Discussion: d[
Call Melding to Order
Chair Stempeck called the meeting to order and read RMLD's Code of Conduct,Chair Stempeck
announced that the meeting is being recorded via Zoom for dishibution to the community
television stations in North Reading,Lynnfield,and Wilmington.
Chair Stempeck asked Mr.Pacino to serve as Board Secretary.
G
l
Pape 11
f
t
Review of Board Policy 30
Mr.Stempeck explained that this Will be a three-part process that will provide factual background
as to the impact of changes in the present policy. Toright will explain the campricated matrix of
renewable pommy standards versus the Golden BN and IOUs. In two weeks, the estimated coat
impacts of various initiatives will be discussed, and in January, an independent consultant will
review what RMLD has done and offer guidance as to present and future alternatives. At that
time,the Board will vote on an amended Policy 30.
Mr. Underhill explained that the Renewable Portfolio Standard (RPS) is a statutory program
applicable to investorowned utilities (IOUs). The Clean Energy Standard (CES) increased RPS
requirements and added waste energy,fuel cell and thermal as qualifying resources. Roadmap
2050 has a goal of 100 percent non-carbon generation by 2050. The Golden III is a proposed
statutory program for municipal light plants(MLPs)and provides carbon-mitigation goals Intended
to be equivalent to the CES. In July of 2020 two bills were passed: H4912 and H4933. Each
incorporates the Golden BIII and further expanded the targets on the basis of Roadmap 2050. Mr.
Underhill then discussed what RMLD has done in terms of its portfolio management. RMLD is
looking to use its nuclear and hydro resources to meet a significant portion of its compliance
requirements. RMLD has a tremendous opportunRy in the open area of Its portfolio and has a lot
of decision-making capability, Mr.Underhill then went through current comparisons regarding the
IOUs component makeup far them to comply with the CPS and RPS. While It appears that they
have a significant compliance requirement,it's important to note that there is a significant portion
of IOU load that is under contract between retail bad and third-party vendors. Therefore, the
IOUs are only required to make their residual loads carbon-free. Mr. Underhill explained that
RMLD's portfolio was built with rote Impacts, risk mitigation, and flexibility in mind. When
considering RMLD's portfolio, it becomes apparent that RMLD doesn't have a lot of residual
carbon production. In terms of Roadmap 2050, given its current portfolio going forward. RMLD's
non-carbon portfolio component is 32 percent in 2020 (target of 20 percent),46 percent In 2030
(target of 50 percent),36 percent In 2040(target of 75 percent) and 18 percent In 2050(target of
100 percent). The 36 and the 189 percent reflect an expiration of contracts and opportunities to
add new resources. RMLD is currently 66 percent carbon:that can be changed.In 2030 RMLD will
only have 2 percent of its portfolio locked in with a carbon producing resource.
Ms. O'Brien added that the IOUs don't have long-term contracts:they purchase twice a year in
50 percent}ranches.They buy energy and then cover their RPS with RECs.RMLD needs to Increase
electrificaflon efforts to offset the sales lost due to energy efficiency measures. RMLD needs to
maintain economic development by considering cost impacts to avoid losing customers.
Mr.Coulter stated that energy will continue to become more renewable. Mr.Underhill stated that
RMLD uses a number of agents to help locate power supply resources. Being on the board of
Energy New England is an important resource. RMLD keeps its longer-term options open but is not
seeing a lot in natural gas opportunities. ChairStempeck added that the IOUs are looking at wind
and solar but they're playing a substitution game. Solar was expensive but has gotten
progressively cheaper. Mr.Underhill stated that RMLD has a share in Phase I and Phase If of Hydro
Quebec DC convertor transmission capacity, which will be 98 percent carbon-free. RMLD has
contracted with NextEra for a fixed 5-megawatt block of solar and nuclear power.
Mr.Talbot stated he would like to know what the ratepayers want RMLD to do regarding clean
energy,particularly RMLD's largest customers. ChoirStempeck stated that he would imagine that
large industrial customers wouldn't be open to rate increases. Ms.O'Brien stated that the survey
that RMLD is currently conducting asks customers about how much they would be willing to pay
to go green. Ms.O'Brien stated that she and Mr.Underhill can meet with Analog Devices but their
decision to locate to Wilmington was heavily influenced by RMLD's low rates.
Poge12
Adjoumment
At 6:53 p.m., Mr. Pacino made a motion, seconded by Vice Chair Hennessy, that the Board
adjourn.
Roll call vote:Mr.Coulter:Aye;Chair Stempeck:Aye;Vice Chair Hennessy:Aye;Mr.Talbot:Aye.
Motion Canted:540.
A true copy of the RMLD Board of Commissioners minutes
as approved by a majority of the Commission.
Philp B.Pacino,Secretary Pro Tem
RMLD Board of Commissioners
P.I.13