SFPUC details contributions to city Climate Action Plan; staff outline water, buildings and equity goals

PUC staff presented the agency's contributions to the City's Climate Action Plan update on May 20, outlining targets for water conservation, new local water supplies, ecosystem restoration, and measures to speed building electrification.

The presentation, delivered by assistant general manager Barbara Hale and staff from the water, wastewater and power enterprises, described specific targets staff said will support the citywide plan: keeping indoor residential water use below the state 42 gallons-per-capita-per-day standard, expanding recycled water to about 2,500,000 gallons per day and increasing groundwater pumping to 4,000,000 gallons per day, and using on-site reuse systems in large new developments. Staff also described strategies to increase green infrastructure and manage stormwater.

"The Climate Action Plan is a crucial living document for the city and county to achieve its climate goals," Commissioner John Darr said before the presentation, and Barbara Hale described the PUC's role in shaping the buildings, water and energy strategies the plan envisions.

PUC water staff said the agency will expand conservation programs and on-site reuse grants and continue planning for a purified water demonstration facility. "We will come back to you in the fall for what's expected to be an authorization of that climate action plan after we get public comment," Hale said.

On healthy ecosystems and stormwater, Sarah Minnick of the wastewater enterprise said the PUC is working with other city agencies to integrate biodiverse greening into streets and green infrastructure, and aims to manage roughly 440,000,000 gallons of stormwater per year through those measures.

Catherine Spalding, deputy assistant general manager for Power, described buildings and energy actions: the PUC will support electrifying existing buildings (new construction is already all-electric in San Francisco), launch a customer bill-credit program for heat-pump water heaters, continue the all-electric multifamily assistance program, and decarbonize the Civic Center steam loop so its boilers are no longer gas-fired. "We will be converting the gas-fired boilers that are owned and operated by Cordia," Spalding said, "but we will be heating with clean, renewable Hetch Hetchy hydropower."

The PUC's power staff said the agency provides roughly 75% of the electricity consumed in San Francisco through its two retail programs, Hetch Hetchy Power and Clean Power SF, and that achieving citywide 100% renewable electricity will require acquiring distribution assets now owned by PG&E. "The acquisition of those grid assets are a critical component to being successful in our climate action plan goals," Spalding said.

Staff also discussed a potential pilot for gas decommissioning and the need to coordinate across city departments and community groups. Cindy Comerford of the San Francisco Environment Department described the plan update process: it follows a city ordinance requiring updates every five years, included 18 city departments and more than 200 community organizations during the recent public-engagement kickoff, and will return to boards and commissions after the summer engagement period.

Members of the public asked the PUC to scale up upfront financing and rebates to accelerate electrification. "Without greatly expanded public rebate and financing options, many building owners may still find they can't afford the upfront costs of heat pump appliances," said Susan Green, a Clean Power SF customer and member of the San Francisco Climate Emergency Coalition.

Daniel Young, manager of customer programs for the power enterprise, said the PUC has been testing approaches that combine contractor incentives and bill credits and noted existing regional and state funding that helps cover installations. "We've been offering $1,000 for installs paid to contractors through the BayREN program," Young said, and staff said the program recently ended; the PUC is evaluating next steps.

Advocates urged more on-bill financing, zero-interest loans, and direct PUC funding of the Climate Equity Hub, a city program that pays for heat-pump water heaters for households under 80% of area median income and provides workforce development and tenant protections. "So much more access to up-front incentives and rebates could be possible if the PUC were to directly fund the Climate Equity Hub," said Nancy Haber of 350 San Francisco.

Staff and commissioners agreed the work will require interagency coordination and additional resources to implement large-scale electrification and resilience measures. The commission did not take action on the plan itself; staff said they will return after the public-engagement period and further refinements.

Community members and commissioners asked staff to continue reporting on how the PUC will finance incentives and minimize rate impacts while meeting equitable access goals.

Ending: The PUC said it will continue public engagement over the summer and return to boards and commissions in the fall with a draft Climate Action Plan for authorization and further public review.