1. Governance Policies CleanPowerSF recommends the following structure regarding governance of the enterprise: Table 12: Governance Structure for CleanPowerSF Function Responsible Entity Role Overall Guidance Mayor Board of Supervisors SFPUC Commissioners Broad oversight Policy Adoption Contract Approval Strategic Direction SFPUC Executive Management Policy Recommendations Prioritization of Efforts Execution of Strategic Direction and Plan CleanPowerSF Director and Staff Business Services, External Affairs, and Communications Support Policy Analysis and Development Implementation of Plans Reporting and Metric Evaluation Customer Outreach and
Education Controls Business Services Adhere to Power, Business Services, and City-wide Procedures and Reporting Requirements External Audits CleanPowerSF’s operations will follow from the broad policy directions established by the Mayor, Board of Supervisors, and the SFPUC Commissioners. SFPUC Executive Management will propose strategy to the General Manager and also provide strategic direction to CleanPowerSF. There will be significant levels of controls outside of CleanPowerSF, including external audits as well as review of performance to ensure that CleanPowerSF meets City-wide procedures and reporting requirements for an operation of this magnitude. B. Performance Reporting Policy and Metrics In order to ensure compliance with management’s strategic direction for CleanPowerSF as well as City policy, CleanPowerSF will need to have clear, objective performance metrics andreporting requirements. The following table summarizes CleanPowerSF’s recommended performance metrics. 40 Table 13: Recommended Performance Reporting Policy and Metrics Performance Area Metric Renewable Energy Content % of supply from renewable energy by resource type Location of projects supplying energy Local Energy Production and Savings Amount of energy produced (and saved) locally (MWh) Amount of capacity and energy supplied behind-the-meter (MW and MWh) Environmental Benefits GHG content of energy supplied (lbs/MWh) Citywide GHGs reduced (lbs CO2e)
Economic and Social Benefits Direct and indirect jobs created (# of job-years) Customer bill savings (incl. energy efficiency and net metering ) ($ and % saved) Financial Metrics Progress towards reserves balance targets Debt coverage ratio The reporting metrics presented above are high-level reporting requirements. Individual elements within CleanPowerSF will also have reporting requirements, which will be recommended by CleanPowerSF management and approved by upper management. Examples include unhedged supply, value at risk, average supply costs by resource type and function (e.g., base load, peaking, Resource Adequacy), retail prices relative to comparable PG&E tariffs, and development status of different projects.