2024 Texas Gas Service (TGS) Rate Case Update & Gas Utility Policy Discussion Marija Norton| City Controller 2024 TGS Rate Case Timeline June 3: TGS filed application with the City of Austin (COA) and Railroad Commission (RRC) for New Rates to be effective July 8. TGS subsequently agreed to extend COA effective date of new rates to August 1. Settlement meeting. Settlement meeting. July 18: City Council suspended effective date of New Rates by 90 days. July 25: Aug. 6: Aug. 8: Discovery ends. Aug. 20: City testimony filed. Aug. 22: Settlement meeting. Aug. 27: Staff testimony filed. Aug. 29: COA Public Hearing on New Rates. Sept. 10: Rebuttal testimony filed. Sept. 19: Hearing. Sept. 26: Austin City Council denies TGS’ proposed rate increase. Oct. 30: COA deadline for final action on New Rates. Nov. 19: Commission decision. Dec. 5: Deadline for RRC action. 2 2024 TGS Rate Case Settlement Overview 3 2024 TGS Rate Case Settlement Overview 4 2024 TGS Rate Case Settlement Overview 5 Gas Utility Customer Class Counts Customer Class Residential Commercial Industrial Public Authority Texas Gas Service Atmos Energy CenterPoint Energy SiEnergy 219,806 9,971 7 341 10,710 307 2 2,274 106 TOTAL 230,125 11,019 2,380 303 1 1 305 6 Gas Utility Service Area - TGS 7 Gas Utility Service Area – Atmos Energy 8 Gas Utility Service Area – CenterPoint Energy 9 Gas Utility Service Area - SiEnergy 10 Important Dates – Rate Cases Atmos Energy – Settlement at Railroad Commission in March 2025 Texas Gas Service – Settlement at Railroad Commission in November 2024 CenterPoint Energy – Settlement at Railroad Commission in June 2024 SiEnergy – Settlement approved by City Council in August 2023 Typically, we see full rate cases filed every 4-5 years. If a company has filed a GRIP (Gas Reliability Infrastructure Program), they must file a full rate case within 5 1/2 years. 11 Important Dates – Franchise Agreements Texas Gas Service CenterPoint Energy Expires May 14, 2028 Expires Dec. 24, 2037 Expires Oct. 15, 2026 Expires Feb. 22, 2035 Atmos Energy SiEnergy 12 Important Dates – Gas Reliability Infrastructure Program (GRIP) Filings Texas Gas Service – • Filed 2/11/2025, with original effective date of 4/12/2025 • Council approved ordinance on 3/17/2025 extending the effective date by 45 days to 5/27/2025 • Increase of $3.36 per month for Residential, $12.88 per month for Commercial, $461.83 per month for Industrial, and $25.96 …
Austin Resource Management Commission Anthony Brown, Manager of Rates and Regulatory Bryan Weeks, Director of Engineering May 20, 2025 Natural Gas Serves Every Area of the Economy Source: Energy Information Administration, Monthly Energy Review, 2024 2 Third-largest Natural Gas Utility in Texas Committed to Texans • Serves 706,000 Texans • Available in 111 communities • Employs over 1,000 Texans • Economic impact of nearly $137M in 2024 • Charitable giving: $524,335 in 2024 We've delivered reliable, affordable natural gas to our customers since 1906 3 Cities in the Central-Gulf Service Area • Austin • Dripping Springs • Lakeway • Port Arthur • Bastrop Rural • Galveston • Lockhart • Port Neches • Bayou Vista • Georgetown • Luling • Rollingwood • Beaumont • Gonzales • Marble Falls • Shiner • Bee Cave • Groves • Mustang Ridge • Sunset Valley • Buda • Hutto • Nederland • Westlake Hills • Cedar Park • Jamaica Beach • Nixon • Yoakum • Cuero • Kyle • Pflugerville 4 Mission, Strategy and Core Values Mission – Why we exist We deliver natural gas for a better tomorrow Strategy – How we get there • Safe Operations • Capital Investments • Delivering Foundational Energy • Serving Customers • Engaged & High-performing Workforce Core Values – Our compass Safety: We are committed to operating safely and in an environmentally responsible manner. Ethics: We are accountable to the highest ethical standards and are committed to compliance. Inclusion & Diversity: We embrace an inclusive and diverse culture that encourages collaboration. Service: We provide exceptional service to our customers and support each other. Value: We create value for all stakeholders; our customers, employees, investor and communities. 5 Committed to Safety & Reliable Service • Work When Safe philosophy • Following guidelines set forth by state and federal agencies • Investing in damage prevention technology ▪ Line locating ▪ Leak detection • Reliable service ▪ No significant outages during Winter Storms Uri (2021), Elliott (2022), Mara (2023), Geri (2024) and Kingston (2025) despite frigid temperatures 6 Austin System Maps 7 Consumer Price Index (CPI) Inflation Rate 10.0 Austin, TX CPI Inflation Rate U.S. General Inflation Rate 8.0 6.0 4.0 2.0 0.0 2018 2019 2020 2021 2022 2023 2024 Source: U.S. Bureau of Labor Statistics 8 Labor Inflation Rate 10.0 U.S. Labor Inflation Rate Austin, TX Labor Inflation Rate 8.0 6.0 4.0 2.0 0.0 2018 2019 2020 2021 2022 2023 …
Gas Utility Briefing Resource Management Commission Paul Robbins March 25, 2025 Texas Gas Service: $342 Million, 63% Plant Cost Increase in Only 4 Years But 5% Increase in Customers in Only 4 Years Unlike Austin Energy and Austin Water, City Council Was Not Allowed in Decisions on Whether to Allocate This Money $185 Million in New Infrastructure in 4 Years $4 Million in Developer Construction Fees Only 2% Collected From Capital Recovery Fees ( aka Contribution to Aid in Construction) Central Texas Region Galveston Region Central Texas Region and Galveston Region Combined for Rates Over Austin’s Objections
RESOURCE MANAGEMENT COMMISSION MEETING MINUTES Tuesday, May 20, 2025 RESOURCE MANAGEMENT COMMISSION REGULAR CALLED MEETING MINUTES Tuesday, May 20, 2025 The Resource Management Commission convened in a Regular Called meeting on Tuesday, May 20, 2025, at Austin Energy Headquarters 4815 Mueller Blvd, Austin, TX 78723. Chair Charlotte Davis called the Resource Management Commission meeting to order at 6:01 p.m. Board Members/Commissioners in Attendance: Commissioner Charlotte Davis, Chair; Commissioner Paul Robbins, Vice Chair; Commissioner Trey Farmer; Commissioner GeNell Gary; Commissioner Dino Sasaridis; Commissioner Raphael Schwartz; Commissioner Alison Silverstein. Board Members/Commissioners in Attendance Remotely: Commissioner Joseph Gerland; Commissioner Danielle Zigon. PUBLIC COMMUNICATION: General- N/A APPROVAL OF MINUTES 1. Approve the minutes of the Resource Management Commission Regular Called Meeting on April 15, 2025. The motion approving the minutes of the Resource Management Commission regular called meeting of April 15, 2025 was approved on Commissioner Silverstein’s motion, Vice Chair Robbins’s second on a 9-0 vote, with Commissioner Luecke absent and one vacancy. DISCUSSION AND ACTION ITEMS 2. Recommend approval authorizing an amendment to a contract for continuation of the Better Building Energy Efficiency Lending Program for Austin Energy with Velocity Credit Union, to increase the amount by $5,000,000 and to extend the term by five years for a revised total contract amount not to exceed $14,400,000. Funding: $600,000 is available in the Operating Budget of Austin Energy. The motion to recommend approval authorizing an amendment to a contract for continuation of the Better Building Energy Efficiency Lending Program for Austin Energy with Velocity Credit Union, was approved on Commissioner Silverstein’s motion, Vice Chair Robbins second on an 8-0-1 vote, with Commissioner Zigon abstaining, Commissioner Luecke absent, and one vacancy. 3. Recommend approval authorizing a contract for Strategic Partnership of Utilities and Retailers program administration for Austin Energy with CLEAResult Consulting, Inc., RESOURCE MANAGEMENT COMMISSION MEETING MINUTES Tuesday, May 20, 2025 for an initial term of two years with up to three one-year extension options in an amount not to exceed $11,000,000. Funding: $1,250,000 is available in Operating Budget of Austin Energy. The motion to recommend approval authorizing a contract for Strategic Partnership of Utilities and Retailers program administration for Austin Energy with CLEAResult Consulting, Inc., was approved on Vice Chair Robbins motion, Commissioner Silverstein’s second on a 7-0-2 vote, with Commissioners Gary and Zigon abstaining, Commissioner Luecke absent, and one vacancy. STAFF BRIEFINGS 6. Staff Briefing regarding Austin Water’s proposed Go Purple Affordable …
REGULAR MEETING OF THE RESOURCE MANAGEMENT COMMISSION April 15, 2025 6:00 p.m. Austin Energy Headquarters; 1st Floor; Shudde Fath Conference Room 4815 Mueller Blvd, Austin, Texas 78723 Some members of the Resource Management Commission maybe participating by videoconference. Public comment will be allowed in-person or remotely by telephone. Speakers may only register to speak on an item once either in-person or remotely and will be allowed up to three minutes to provide their comments. Registration no later than noon the day before the meeting is required for remote participation. To register contact Natasha Goodwin, at Natasha.Goodwin@austinenergy.com or 512-322-6505. AGENDA Members: Louis Stone, Chair Paul Robbins, Vice Chair Charlotte Davis Trey Farmer GeNell Gary Joseph Gerland Martin Luecke Dino Sasaridis CALL MEETING TO ORDER Raphael Schwartz Alison Silverstein Vacant PUBLIC COMMUNICATION: GENERAL The first 5 speakers signed up prior to the meeting being called to order will each be allowed a three-minute allotment to address their concerns regarding items not posted on the agenda. APPROVAL OF MINUTES 1. Approve the minutes of the Resource Management Commission Meeting on March 25, 2025. DISCUSSION AND ACTION ITEMS 2. Conduct officer elections for the Chair and Vice Chair of the Resource Management Commission. 3. Recommendation regarding an audit of the Austin Energy District Energy and Cooling System. DISCUSSION ITEMS 4. Discussion on changes to Austin Energy’s Residential Rooftop Solar Program. FUTURE AGENDA ITEMS ADJOURNMENT The City of Austin is committed to compliance with the American with Disabilities Act. Reasonable modifications and equal access to communications will be provided upon request. Meeting locations are planned with wheelchair access. If requiring Sign Language Interpreters or alternative formats, please give notice at least 2 days (48 hours) before the meeting date. Please call Natasha Goodwin at Austin Energy, at (512) 322-6505 or email Natasha.Goodwin@austinenergy.com for additional information; TTY users route through Relay Texas at 711. For more information on the Resource Management Commission, please contact Natasha Goodwin at Austin Energy, at 512-322-6505 or email Natasha.Goodwin@austinenergy.com .
Resource Management Commission Resolution on Austin Energy District Energy and Cooling System WHEREAS, the City of Austin established its first District Energy and Cooling system plant in 2005; and WHEREAS, this system has now expanded to six locations around Austin, and is forecast to save 30 MW of summer peak demand by 2027 while providing air conditioning and refrigeration at a savings to at least 73 commercial customers; and WHEREAS, this system would have not been built without Austin Energy's support; and WHEREAS, the peak load reduction from the District Energy and Cooling System lowers Austin Energy’s wholesale electricity purchase costs for all Austin Energy customers; and WHEREAS, expansion of the district chilling system is an important strategy to save more energy and reduce carbon emissions as the new Austin Energy generation plan is implemented; and WHEREAS, Austin Energy has proposed sale of this system in the summer of 2024 because of the claim that it was not financially viable, which caused concern among its skilled workforce about the security of their jobs, which in turn puts the system at risk if these skilled employees take other jobs; and WHEREAS, Austin Energy has not released detailed information and data relevant to the financial viability of the district chilling system and the timeline by which a sale or other alternatives for the system might proceed; THEN BE IT RESOLVED that the Resource Management Commission: 1) ask the City Council to conduct an audit of Austin Energy's District Energy and Cooling system to determine when it will become profitable, and necessary steps that the City should take to ensure its financial viability; 2) ask Austin Energy to develop and share its plans, timing and rationale for the future expansion or sale of the District Energy and Cooling system; 3) request a public status report on the plans be made available in 4 months.
Resource Management Commission Resolution on Austin Energy District Energy and Cooling System WHEREAS, the City of Austin established its first District Energy and Cooling system plant in 2005; and WHEREAS, this system has now expanded to six locations around Austin, and is forecast to save 30 MW of summer peak demand by 2027 while providing air conditioning and refrigeration at a savings to at least 73 commercial customers; and WHEREAS, this system would have not been built without Austin Energy's support; and WHEREAS, the peak load reduction from the District Energy and Cooling System lowers Austin Energy’s wholesale electricity purchase costs for all Austin Energy customers; and WHEREAS, expansion of the district chilling system is an important strategy to save more energy and reduce carbon emissions as the new Austin Energy generation plan is implemented; and WHEREAS, Austin Energy has proposed sale of this system in the summer of 2024 because of the claim that it was not financially viable, which caused concern among its skilled workforce about the security of their jobs, which in turn puts the system at risk if these skilled employees take other jobs; and WHEREAS, Austin Energy has not released detailed information and data relevant to the financial viability of the district chilling system and the timeline by which a sale or other alternatives for the system might proceed; THEN BE IT RESOLVED that the Resource Management Commission: 1) ask the City Council to conduct an audit of Austin Energy's District Energy and Cooling system to determine when it will become profitable, and necessary steps that the City should take to ensure its financial viability; 2) ask Austin Energy to develop and share its plans, timing and rationale for the future expansion or sale of the District Energy and Cooling system; 3) request a public status report on the plans be made available in 4 months.
RESOURCE MANAGEMENT COMMISSION MEETING MINUTES Tuesday, April 15, 2025 RESOURCE MANAGEMENT COMMISSION REGULAR CALLED MEETING MINUTES Tuesday, April 15, 2025 The Resource Management Commission convened in a Regular Called meeting on Tuesday, April 15, 2025, at Austin Energy Headquarters 4815 Mueller Blvd, Austin, TX 78723. Chair Louis Stone called the Resource Management Commission meeting to order at 6:03 p.m. in Attendance: Commissioner Louis Stone, Chair; Board Members/Commissioners Commissioner Paul Robbins, Vice Chair; Commissioner Charlotte Davis; Commissioner Martin Luecke; Commissioner Raphael Schwartz; Commissioner Alison Silverstein. Board Members/Commissioners in Attendance Remotely: Commissioner GeNell Gary. PUBLIC COMMUNICATION: General- N/A APPROVAL OF MINUTES 1. Approve the minutes of the Resource Management Commission Regular Called Meeting on March 25, 2025. The motion approving the minutes of the Resource Management Commission regular called meeting of March 25, 2025 was approved on Commissioner Silverstein’s motion, Vice Chair Robbins’s second on a 6-0 vote, with Commissioner Luecke off the dais, Commissioners Farmer, Gerland, and Sasaridis absent, and one vacancy. DISCUSSION AND ACTION ITEMS 2. Conduct officer elections for the Chair and Vice Chair of the Resource Management Commission. The Commission recommended Commissioner Charlotte Davis as Chair on Commissioner Silverstein’s motion, Vice Chair Robbins second on a 7-0 vote, with Commissioners Farmer, Gerland, and Sasaridis absent, and one vacancy. The Commission recommended Commissioner Paul Robbins as Vice Chair on Commissioner Silverstein’s motion, Commissioner Schwartz’s second on a 6-1 vote, with Commissioner Gary voting against, Commissioners Farmer, Gerland, and Sasaridis absent, and one vacancy. 3. Recommendation regarding an audit of the Austin Energy District Energy and Cooling System. The Commission amended the recommendation accepting all changes provided on Commissioner Silverstein’s motion, second by Vice Chair Robbins failed on a 5-0-2 RESOURCE MANAGEMENT COMMISSION MEETING MINUTES Tuesday, April 15, 2025 vote with Commissioners Davis and Gary abstaining, Commissioners Farmer, Gerland, and Sasaridis absent, and one vacancy. DISCUSSION ITEMS 4. Discussion on changes to Austin Energy’s Residential Rooftop Solar Program. The Commission did not discuss this item. Item was tabled to a future meeting date. FUTURE AGENDA ITEMS • Recommendation regarding an audit of the Austin Energy District Energy and Cooling System. (Sponsors: Silverstein & Robbins) • Discussion on changes to Austin Energy’s Residential Rooftop Solar Program. (Sponsors: Sasaridis, Silverstein, & Robbins) • Briefing on Gas Utilities. (Sponsor: Robbins- June) ADJOURNMENT The meeting was adjourned at 6:35 p.m. The meeting minutes were approved at the May 20, 2025 meeting on Commissioner Silverstein’s …
REGULAR MEETING OF THE RESOURCE MANAGEMENT COMMISSION March 25, 2025 6:00 p.m. Austin Energy Headquarters; 1st Floor; Shudde Fath Conference Room 4815 Mueller Blvd, Austin, Texas 78723 Some members of the Resource Management Commission maybe participating by videoconference. Public comment will be allowed in-person or remotely by telephone. Speakers may only register to speak on an item once either in-person or remotely and will be allowed up to three minutes to provide their comments. Registration no later than noon the day before the meeting is required for remote participation. To register contact Natasha Goodwin, at Natasha.Goodwin@austinenergy.com or 512-322-6505. AGENDA Raphael Schwartz Alison Silverstein Vacant GeNell Gary Joseph Gerland Martin Luecke Dino Sasaridis Members: Louis Stone, Chair Paul Robbins, Vice Chair Charlotte Davis Trey Farmer CALL MEETING TO ORDER PUBLIC COMMUNICATION: GENERAL The first 5 speakers signed up prior to the meeting being called to order will each be allowed a three-minute allotment to address their concerns regarding items not posted on the agenda. APPROVAL OF MINUTES 1. Approve the minutes of the Resource Management Commission Meeting on February 18, 2025. DISCUSSION ITEMS 2. Discussion of the sub-quorum meeting with AE staff regarding information request and future plans for District Cooling. 3. Presentation by Texas Gas Service regarding a quarterly update of the Central Texas Energy Efficiency Program by Christy Bell, Energy Efficiency Program Supervisor. 4. Discussion on natural gas utilities in Austin. DISCUSSION AND ACTION ITEMS 5. Recommend changes to Austin Energy’s Residential Rooftop Solar Program, with inclusion of energy storage batteries. FUTURE AGENDA ITEMS ADJOURNMENT The City of Austin is committed to compliance with the American with Disabilities Act. Reasonable modifications and equal access to communications will be provided upon request. Meeting locations are planned with wheelchair access. If requiring Sign Language Interpreters or alternative formats, please give notice at least 2 days (48 hours) before the meeting date. Please call Natasha Goodwin at Austin Energy, at (512) 322-6505 or email Natasha.Goodwin@austinenergy.com for additional information; TTY users route through Relay Texas at 711. For more information on the Resource Management Commission, please contact Natasha Goodwin at Austin Energy, at 512-322-6505 or email Natasha.Goodwin@austinenergy.com .
Central Texas Energy Efficiency Program Overview Christy Bell – Supervisor, EE Programs Texas Gas Service Energy Efficiency Program Q4 2024 Program Highlights Program sunset on December 31, 2024, Conservation Adjustment Clause tariffs were withdrawn, program surcharge removed from bills, and TGS will continue processing residential rebate requests through June 29, 2025 for work completed in 2024 Revisions made to TGS website to create awareness about program changes After June 29, 2025, TGS will begin work determining a balance adjustment to return unused funds back to customers 2 Energy Efficiency Program 3 Energy Efficiency Program Commercial Direct Install Rebates: Administered by Sink Aerators Low-Flow Showerheads Pre-Rinse Spray Valves Weather Stripping Steam Traps Dryer Smart Devices Overhead Door Weather Stripping 4 Texas Gas Service Energy Efficiency Program Commercial Program Highlights 5 Texas Gas Service Energy Efficiency Program Outreach Campaigns Austin Board of Realtors Print ad ran 10/1-10/31 Community Impact Ads Print ad ran 10/1-10/31 Digital ad ran 11/4-11/8 KUT/KUTX Radio Ads Radio campaign ran 10/1-12/9 6 Energy Efficiency Program Education & Outreach Events Dia de los Muertos - Nov. 1st Mueller Farmers Market - Oct. 20th & Nov. 3rd Community Connections Resource Fair - Oct. 26th Texas Book Festival booth shared with Austin Energy - Nov. 16th & 17th 7 Questions?
BOARD/COMMISSION RECOMMENDATION Resource Management Commission Resolution on Changes to Residential Rooftop Solar Rebate Program WHEREAS, streamlining Austin Energy’s Residential Solar program will reduce customers’ and installers’ cost and time necessary for solar and battery installation while reducing administrative overhead for Austin Energy (AE); and WHEREAS, given the reasonably expected large increase in AE load growth in the next few years, aggressively increasing energy efficiency measures, distributed energy resources, solar installations, and onsite energy-storage batteries are critical means to achieve the Austin Energy Resource Generation and Climate Protection Plan and advance local resilience; NOW, THEREFORE BE IT RESOLVED that the Resource Management Commission makes the following recommendations to the Austin City Council to modify AE’s rooftop solar program. 1. Streamlining Administration a. AE shall eliminate the solar education course and quiz, replacing it with a digital information flyer and engaging <5-minute video integrated into the solar and battery installation application process that contains the most useful information, such as an explanation of Value of Solar, how much yearly energy production to expect per panel, explanation of kW vs kWh, and other basic information. b. AE shall not condition rebate approval upon the customer’s current electricity usage. AE should require the contractor to provide values for expected usage and production to the customer. AE may warn the applying customer if proposed arrays exceed a certain percentage of the customer’s present electricity usage, to help the customer understand that they may be buying more solar and/or battery equipment than they may need. c. AE shall not place additional requirements on the installation or parts used other than those required by NFPA 70 National Electrical Code 2023. Exceptions: AE may require new components be purchased for the installation, and this requirement does not extend to the software configuration of said parts, I.e. export limits or grid operator control settings. 2. Consumer Protection a. AE shall specify a minimum set of 10-year warranty provisions (they must identify exactly what is included in the warranty) that every installer must offer to be eligible for the rebate list. Installers can offer other provisions beyond that minimum set. This is a consumer protection requirement which intends to eliminate the possibility of a security-blanket warranty, which may have loop-holes in the warranty. b. AE shall provide up-to-date interactive reference solar benchmark cost estimates for a few house types and roof scenarios to give customers a valid point of comparison …
BOARD/COMMISSION RECOMMENDATION Resource Management Commission Resolution on Changes to Residential Rooftop Solar Rebate Program WHEREAS, streamlining Austin Energy’s Residential Solar program will reduce customers’ and installers’ cost and time necessary for solar and battery installation while reducing administrative overhead for Austin Energy (AE); and WHEREAS, given the reasonably expected large increase in AE load growth in the next few years, aggressively increasing energy efficiency measures, distributed energy resources, solar installations, and onsite energy-storage batteries are critical means to achieve the Austin Energy Resource Generation and Climate Protection Plan and advance local resilience; NOW, THEREFORE BE IT RESOLVED that the Resource Management Commission makes the following recommendations to the Austin City Council to modify AE’s rooftop solar program and initiate a battery incentive program.. 1. Streamlining Administration a. AE shall eliminate the solar education course and quiz, replacing it with a digital information flyer and materialengaging <5-minute video integrated into the solar and battery installation application process that contains the most useful information, such as an explanation of Value of Solar, how much yearly energy production to expect per panel, explanation of kW vs kWh, and other basic information. b. B. AE shall not condition rebate approval upon the customer’s current electricity usage. AE should require the contractor to provide values for expected usage and production to the customer. AE may warn the applying customer if proposed arrays exceed a certain percentage of the customer’s present electricity usage, to help the customer understand that they may be buying more solar and/or battery equipment than they may need,. 1. A. c. C. AE shall not place additional requirements on the installation or parts used other than those coveredrequired by normal inspectionNFPA 70 National Electrical Code 2023. Exceptions: AE may require new components be purchased for the installation, and this requirement does not extend to the software configuration of said parts, I.e. export limits or grid operator control settings. 2. 2. Consumer Protection A. a. AE shall specify a minimum set of 10-year warranty provisions (they must identify exactly what is included in the warranty) that every contractorinstaller must offer to be eligible for the rebate list. Installers can offer other provisions beyond that minimum set. This is a consumer protection requirement which intends to eliminate the possibility of a security-blanket warranty, which may have loop-holes in the warranty. b. B. AE shall provide up-to-date interactive reference solar and battery benchmark cost estimates …
Gas Utility Briefing Resource Management Commission Paul Robbins March 25, 2025 On February 13, 2025, the Resource Management Commission’s purview was expanded to advise City Council: Regarding recommendations for the natural gas utility ratemaking, franchise agreement priorities, and operational policies for which the City has regulatory authority. Total Residential Gas Customers in Austin 2023: 230,870 Total Residential Austin Energy Customers in Austin 2023: 487,096 47% / Does Not Include Master-Metered Multifamily Units Census: Majority of Homeowners in Austin and Travis County Served by Gas Heat Majority of Renters in Austin and Travis County Served with Electric Heat Total Austin Gas Utility Revenue 2023: $204 million Total Residential Gas Utility Revenue 2023: $135 million 20% of Austin Energy’s 2023 Residential Revenue Carbon Footprint: 45% of Austin Energy Carbon Emissions TGS Service Territory Austin Atmos Service Territory Austin Reasons for High Cost of Texas Gas Service Texas Gas Service: $342 Million, 63% Plant Cost Increase in Only 4 Years But 5% Increase in Customers in Only 4 Years Unlike Austin Energy and Austin Water, City Council Was Not Allowed in Decisions on Whether to Allocate This Money $185 Million in New Infrastructure in 4 Years $4 Million in Developer Construction Fees Only 2% Collected From Capital Recovery Fees ( aka Contribution to Aid in Construction) Texas Gas Service Company, a Division of ONE Gas, Inc. (cid:18)(cid:39)(cid:94)(cid:4) ISOS RTCS TYE December 31, 202(cid:1007) Exhibit AL-1 Page 1 of 1 Central Texas Region Galveston Region Central Texas Region and Galveston Region Combined for Rates Over Austin’s Objections Central-Gulf Service Area Central-Gulf Service Area Rio Grande Valley Service Area Rio Grande Valley Service Area West-North Service Area West-North Service Area Gas Utility Regressive Rates in Texas The More You Use, the Less You Pay Per Unit of Energy • Discourages Energy Conservation • Punished Low-Income Ratepayers The More You Earn, the More You Burn From: Residential Energy Consumption Survey 2020 for Southern U.S. U.S. Energy Information Administration A Main Reason for Regressive Rates is High Monthly Customer Charge But it is Common to Have Lower Monthly Charges at Other Utilities Examples of Gas Utilities With Low Customer Charges 2025 Cascade Natural Gas Oregon Cascade Natural Gas Washington Citizens Energy Group Indiana Colorado Springs Utilities Colorado CPS Energy Texas DTE Energy Michigan Eversource Eastern Massachusetts Gainesville Regional Utilities Florida Memphis Light, Gas & Water Tennessee Pacific Gas and Electric California Piedmont Natural Gas North Carolina Piedmont …
A Resolution Summary Resolution on Changes to Residential Rooftop Solar Rebate Program D. SASARIDIS 25 MARCH 2025 Recall… Feb 3, 2025 – Commissioners Sasaridis, Silverstein, Robbins introduce “Resolution on Changes to Residential Rooftop Solar Rebate Program” – discussed proposed changes to policy, inspection, for both solar and batteries. Feb 18, 2025 – Tim Harvey presents Austin Energy perspective March 25, 2025 – Today – Presenting redlined version of “Resolution on Changes to Residential Rooftop Solar Rebate Program” What’s new in the redlined resolution? 1) All battery-related language removed to avoid potential commissioner interest conflict. 2) Edited to address commissioner & Austin Energy feedback from last meeting (Feb 18) Commissioners’ Feedback – Feb 18 Meeting “Excellent Presentation” Commissioner Gary “Why there is such a high fail rate? Why is there online inspection in other cities?” Vice Chair Robbins “110% rule – is it updated on the website?” Commissioner Schwartz “As a person who used to install these systems, I appreciate the safety concerns that you brought to this. I think people make mistakes on [getting] excited about getting the system and overdoing it sometimes or making mistakes, and I think it's important to really understand it before you go and do it. We are talking about a very complicated device, and there's a whole bunch of moving parts there.” Commissioner Leucke “And so that really helped me see that, particularly as it relates to protecting consumers from unscrupulous vendors. That was giving me pause in, in the resolution about taking away things that, might actually be protecting consumers.” Commissioner Davis Defining the problem Electrification of work previously done by hydrocarbons. Why Residential Matters - Solar at the edge of the grid Relieves constraint https://www.rff.org/publications/explainers/renewables-101-integrating-renewables/ Constraint What Success Looks Like – Australia https://pv-map.apvi.org.au/historical#7/-37.064/146.569 Austin Greater Adelaide Population 0.98 M 1.4 M Solar Penetration 6.6 % ~35 % Solar Cost $3 / W $ 1 / W Austin, TX- 103 MW / 10 kW avg install = 10.3k homes 10.3k / 155 k = 6.6% Sources: https://austinenergy.com/about/company-profile/electric-system/power-plants https://www.infoplease.com/us/census/texas/austin/housing-statistics Solar Equipment Costs are Plummeting Year Cents/W Q2 2023 Q3 2023 Q1 2024 Q3 2024 14.5 12.5 11 9.6 45% drop in <2 years! Source: BloombergNEF, NREL Solar as a Luxury Good Soft costs are high, material costs are low Cost increasing vicious cycle Legitimate installers have high overhead, so they must counter- position as the solution to bad actors, position solar as a luxury …
RESOURCE MANAGEMENT COMMISSION MEETING MINUTES Tuesday, March 25, 2025 RESOURCE MANAGEMENT COMMISSION REGULAR CALLED MEETING MINUTES Tuesday, March 25, 2025 The Resource Management Commission convened in a Regular Called meeting on Tuesday, March 25, 2025, at Austin Energy Headquarters 4815 Mueller Blvd, Austin, TX 78723. Vice Chair Paul Robbins called the Resource Management Commission meeting to order at 6:05 p.m. Board Members/Commissioners in Attendance: Commissioner Paul Robbins, Vice Chair; Commissioner Charlotte Davis; Commissioner Joseph Gerland; Commissioner Martin Luecke; Commissioner Dino Sasaridis; Commissioner Raphael Schwartz; Commissioner Alison Silverstein. Board Members/Commissioners in Attendance Remotely: Commissioner Louis Stone, Chair. PUBLIC COMMUNICATION: General • Richard Rioppel- District Cooling APPROVAL OF MINUTES 1. Approve the minutes of the Resource Management Commission Regular Called Meeting on February 18, 2025. The motion approving the minutes of the Resource Management Commission regular called meeting of February 18, 2025 was approved on Commissioner Silverstein’s motion, Commissioner Luecke’s second on a 7-0-1 vote, with Chair Stone abstaining, Commissioners Farmer and Gary absent, and one vacancy. DISCUSSION ITEMS 2. Discussion of the sub-quorum meeting with AE staff regarding information request and future plans for District Cooling. The commission discussed the item. 3. Presentation by Texas Gas Service regarding a quarterly update of the Central Texas Energy Efficiency Program by Christy Bell, Energy Efficiency Program Supervisor. The presentation was presented by Christy Bell, Energy Efficiency Program Supervisor. 4. Discussion on natural gas utilities in Austin. The commission discussed the item. RESOURCE MANAGEMENT COMMISSION MEETING MINUTES Tuesday, March 25, 2025 DISCUSSION AND ACTION ITEMS 5. Recommend changes to Austin Energy’s Residential Rooftop Solar Program, with inclusion of energy storage batteries. The commission discussed the item, and no action was taken. This item will be taken up at a future meeting. FUTURE AGENDA ITEMS • Recommend changes to Austin Energy’s Residential Rooftop Solar Program, with inclusion of energy storage batteries. (Sponsors: Sasaridis, Silverstein, & Robbins) • Conduct officer elections for the Chair and Vice Chair. • Briefing on the Retrofit Program (Home Performance with Energy Star) (Sponsor: Robbins) • Briefing on Heat Pump Water Heater Rebates to new builders. (Sponsor: Robbins) • Briefing on Customer Energy Solutions Programs. (Sponsor: Robbins) ADJOURNMENT The meeting was adjourned at 8:39 p.m. The meeting minutes were approved at the April 15, 2025 meeting on Commissioner Silverstein’s motion, Commissioner Davis’s second on a 6-0 vote, with Commissioner Luecke off the dais, Commissioners Farmer, Gerland, and Sasaridis absent, and one …
