PG&E Corporate Responsibility and Sustainability Report 2021

COVID-19 Response

Renewable Energy and Storage

PG&E delivers some of the nation’s cleanest energy, while also working to keep service safe, reliable and affordable for customers. We strongly support California’s clean energy policies, renewable goals and efforts to limit and adapt to climate change, as clean energy is foundational to this work.

Our Approach

PG&E is committed to meeting California’s vision for a sustainable energy future in a reliable and cost-effective manner for customers. SB 100 increased California’s Renewables Portfolio Standard (RPS) target to 60% by the end of 2030 and requires 100% of retail sales to come from eligible renewables or zero-carbon resources by the end of 2045. Additionally, a state Executive Order directs all sectors of the California economy to achieve carbon neutrality by 2045 and to be net greenhouse gas negative thereafter.

In recent years, the dynamics of California’s energy landscape have changed, highlighted by the expansion of retail customer choice and the growth of distributed generation, such as private rooftop solar. As a result of these changes, PG&E is managing and optimizing our existing portfolio, including selling surplus renewable energy. This ultimately influences our end-of-year RPS position.

Reflecting California’s changing energy landscape, the CPUC approved in 2018 several key elements of a joint proposal with labor and environmental organizations that would phase out PG&E’s production of nuclear power in California by 2025 while still meeting California’s greenhouse gas reduction goals.

Measuring Progress

In 2020, about 85% of the electricity we supplied was greenhouse-gas free. More than 35% of our delivered electricity came from RPS-eligible sources, including solar, wind, geothermal, small hydroelectric, and various forms of bioenergy. We continue to deliver some of the nation’s cleanest energy, and we are well on our way to meet the state’s 60% by 2030 renewable energy mandate.

The chart below shows our overall electricity supply mix for 2020, which included the electricity PG&E generated and procured as a percent of retail sales using the method required by the California Energy Commission (CEC) for the Power Content Label. This methodology differs from the CPUC’s method to determine renewable energy percentages for RPS compliance and therefore results in a lower renewable energy percentage.

PG&E’s 2020 Electric Power Mix Delivered to Retail Customers
  Percent of Bundled Retail Sales (Power Content Label) Footnote 1
Eligible Renewable 30.6%
Fossil Fuel-Fired 16.4%
Nuclear 42.8%
Large Hydroelectric 10.1%
Others, Net Footnote 2, Footnote 3 0.0%
  • 1. Numbers may not add up to 100 due to rounding.1
  • 2. The allocation of bundled retail sale amounts and “Others, Net” is consistent with current California Energy Commission guidelines, applied to specified electric generation and procurement volumes (i.e., fossil fuel-fired, nuclear, large hydroelectric, and renewable). Total reported generation and procurement volumes equate to actual electric retail sales.2
  • 3. Amount is mainly comprised of net California Independent System Operator open market (sales)/purchases.3
Composition of PG&E’s 2020 Total Eligible Renewable Resource Footnote 1
Percent of Bundled Retail Sales (Power Content Label)
Total 30.6%
Solar 15.9%
Wind 8.3%
Geothermal 2.6%
Biomass and Waste 2.6%
Eligible Hydroelectric 1.2%
  • 1. As defined in Senate Bill 1078, which created California’s Renewables Portfolio Standard, and Senate Bill 1038, which modified the definition of “in-state renewable electricity generation technology,” an eligible renewable resource includes geothermal facilities, hydroelectric facilities with a capacity rating of 30 MW or less, biomass and biogas, selected municipal solid waste facilities, photovoltaic, solar thermal, and wind facilities, ocean thermal, tidal current, and wave energy generation technologies. These figures are preliminary and will not be finalized until verified by the California Energy Commission.1