city of San Antonio

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File #: 20-7268   
Type: Misc - Financial Services
In control: City Council A Session
On agenda: 1/14/2021
Posting Language: Ordinance approving the extension and funding of the CPS Energy Conservation and Sustainability Save for Tomorrow Energy Plan (STEP) Program through July 31, 2022, through an adjustment in the fuel surcharge. [Ben Gorzell Jr., Chief Financial Officer; Troy Elliott, Deputy Chief Financial Officer]
Attachments: 1. Draft Ordinance
Related files: 20-1105

DEPARTMENT HEAD: Troy Elliott, Deputy Chief Financial Officer



Request for an 18-month extension and funding of CPS Energy's Save for Tomorrow Energy Plan (STEP program), currently authorized through January 31, 2021, to grant additional time for achievement of program goals delayed due to COVID-19 and allow CPS Energy to align its FlexSTEP recommendation with the timing of other Flexible Path strategic initiatives.


This item requests approval of an ordinance to extend CPS Energy's STEP program for an additional 18 months, through July 31, 2022. The STEP program was created in 2009 as a progressive energy efficiency and conservation program. When CPS Energy met the STEP goal of 771 megawatts (MW) of demand reduction savings one year ahead of schedule, City Council extended the STEP program for one year through January 31, 2021, to provide program continuity until the development of a successor program - FlexSTEP. Due to COVID-19 related impacts, the FlexSTEP program is still in development and has not been taken to City Council for approval. Accordingly, CPS Energy is requesting a STEP program extension with authorization to expend up to an additional $70 million for energy efficiency and conservation programs with a goal of achieving an estimated 75 MW of additional demand reduction. The ordinance allows CPS Energy to continue the program's historical practice of recovering STEP costs through an adjustment in the fuel surcharge.

CPS Energy anticipates developing the FlexSTEP program and taking it to City Council within the next year; however, the requested authorization for 18 months is due to uncertainties related to COVID-19. Much like the original STEP program launched in 2009, the FlexSTEP program will be a long term, 10-year energy efficiency and conservation program. The FlexSTEP program will include programs to help customers save energy through weatherization, ho...

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