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SF LAFCO, SFPUC staff recommend direct negotiations to get Clean Power SF moving
Summary
SFPUC and LAFCO staff told the Local Agency Formation Commission that no bidder met the city’s prior RFP terms for high-renewable, lower-cost supply, and recommended authorizing SFPUC to begin direct negotiations with suppliers while preserving a phased, risk-shared approach and targets to exceed state renewable standards.
Mike Campbell, director of the Community Choice Aggregation program (Clean Power SF), told the San Francisco Local Agency Formation Commission that the city received responses from major firms but none could deliver the high-renewable portfolio the city sought at a lower price than Pacific Gas & Electric without the city taking some financial risk. Campbell said staff’s planned recommendation to the SFPUC on Feb. 8 is to authorize direct negotiations with potential suppliers and a negotiation team that would include SFPUC staff, LAFCO staff, the city attorney and external consultants as needed.
The recommendation reflects two trade-offs, Campbell said: pursue a full-requirements supplier through bilateral negotiations — which shifts some operational risk to a single supplier and simplifies contracting — or build the program largely in-house at…
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