The Los Angeles Department of Water and Power (LADWP) operates a vast and complex electric system, providing power to nearly four million residents and businesses across the city. This system is at a critical juncture, facing significant challenges driven by evolving environmental policies, technological advancements, and the imperative to maintain reliable and affordable service.
LA’s complex energy landscape is guided by several interrelated energy challenges and opportunities:
- Transition to Renewable Energy: LADWP is committed to achieving 100% clean energy by 2035, necessitating massive investments in renewable generation, energy storage, and grid modernization. This transition involves decommissioning traditional fossil fuel plants and integrating variable renewable sources like solar and wind.
- Grid Reliability and Resilience: As the grid becomes more decentralized and reliant on diverse energy sources, maintaining reliability and resilience against extreme weather events, cyber threats, and physical attacks is paramount. This requires significant upgrades to transmission and distribution infrastructure- but can also yield significant opportunities for consumers to take control of their own energy story.
- Infrastructure Investments and Costs: The scale of investment needed for clean energy transition, grid modernization, and aging infrastructure replacement is substantial. These costs directly impact rates and require careful management to ensure affordability for all customers.
- Technological Complexity: Integrating new technologies like smart meters, distributed energy resources, and advanced grid controls adds complexity to system operations and planning.
The Ratepayer Advocate's Role in Ensuring Affordability
The Office of Public Accountability (OPA) / Ratepayer Advocate plays a crucial role in balancing LADWP's ambitious goals with the financial interests of Los Angeles ratepayers. Our primary objective is to ensure that programs and investments related to the electric system are cost-effective, transparent, and ultimately contribute to affordable rates for residential, commercial, and industrial customers. We work to: