2025 Tree Mortality Renewable Portfolio Standard Energy and Resource Adequacy Sale Request for Offers

Overview and History

As authorized by D.18-12-003, SDG&E is issuing this 2025 Tree Mortality (“TM”) Request for Offers (“RFO”) seeking proposals from third parties (“Offerors”) who are interested in purchasing resource-specific (i) bundled electric energy and renewable energy credits (“Bundled Energy Product”), and/or (ii) resource adequacy (“RA”) attributes from HL Power, a Bioenergy Renewable Auction Mechanism (“BioRAM”) resource under contract with SDG&E (“Resource”). By responding, Offerors are bound by the terms and conditions of this RFO. 

In this RFO, SDG&E endeavors to sell Bundled Energy Product, defined as the energy plus the environmental attribute from renewable generation facilities with a first point of interconnection within a California Balancing Authority (“CBA”), or facilities that directly schedule electricity into a CBA on an hourly or sub-hourly basis. The Bundled Energy Product is derived from a Resource that meets the California Renewables Portfolio Standard (“RPS”) eligibility criteria set forth by the California Energy Commission (“CEC”).

Additionally, SDG&E seeks to sell California Independent System Operator (“CAISO”) System RA attributes up to the amount and for the delivery period defined below.

 This RFO solicits bids from financial institutions, energy service providers, utilities, municipal utilities, industrial end users, wholesale power marketers, and any other entity that would have a need to purchase Bundled Energy Product or RA attributes.

Latest News & Update

Offerors are encouraged to check the RFO website periodically for updates, notices, and postings. SDG&E, at its sole discretion or pursuant to orders from the CPUC, may change the terms, requirements and schedule of this solicitation. Offerors should monitor the RFO website for announcements regarding any updates or changes including posted questions & answers. SDG&E will post all solicitation announcements, including scheduling changes or RFO amendments to this website. In particular, check the RFO website for posting of answers to submitted questions.

Key RFO Documents

This website provides an overview of the market solicitation. Offerors must read the RFO Protocols document to fully understand all aspects of this RFO.

Offerors should submit any mark-ups to the applicable pro forma confirmation with their Offer. For each Shortlisted Offer, SDG&E will send the Offeror a redlined version for review and execution.

RFO Protocols

322.33 KB
PDF
RFO Protocols
RFO Protocols

Pro Forma Confirmations

68.18 KB
DOCX
Bundled Energy Pro Forma Confirmation
Bundled Energy Pro Forma Confirmation
279.00 KB
DOC
Resource Adequacy Sale RFO Confirmation
Resource Adequacy Sale RFO Confirmation

Offer Forms

118.04 KB
XLSX
Offer Form for Bundled Renewable Energy
Offer Form for Bundled Renewable Energy
73.69 KB
XLSX
Offer Form for Resource Adequacy
Offer Form for Resource Adequacy

Credit Application

47.53 KB
DOCX
Credit Application
Credit Application

Product Types

 Table 1 - January 1, 2026 (expected) through December 31, 2029. Bundled Energy Product

Product Type:

Bundled Energy Product

Minimum Term:

1 year

Maximum Term:

4 years

Delivery Start Date:

Start no earlier than January 1, 2026

Point of Delivery:

NP-15 EZ Gen Hub

Min Total Contract Volume:

10,000 MWh (As Available)

Max Total Contract Volume:

up to 175,000 MWh per year (As Available per year)

In addition, SDG&E is offering to sell RA from the Resource for the period of Table 2 - Calendar Years (CY) 2026-2029. Please see the table below for details.

Product Type:

CAISO System Resource Adequacy

Minimum Term:

1 year

Maximum Term:

4 Years

Delivery Start Date:

January 1, 2026

Available NQC (MW):

Up to 24 MW

Flexible Attribute:

None

Minimum Volume:

Full unit NQC Quantity for each month

Price:

$/kW-year

Non-Binding Schedule for the 2025 TM RFO

The following schedule and deadlines apply to this RFO. SDG&E reserves the right to revise this schedule at any time and in SDG&E’s sole discretion. Offerors are responsible for monitoring the RFO Website for updated schedules and possible amendments to the RFO or the solicitation process.

No

Event

Date

1

Launch RFO

August 20, 2025

2

Deadline to submit questions

August 26, 2025

3

Answers to all Questions will be posted on SDG&E's website

August 29, 2025

4

Offer package due no later than 12 pm PPT on this date

September 2, 2025

5

SDG&E Notifies Offerors of selection

September 24, 2025

6

SDG&E issues appreciation notices to unsuccessful Offerors

September 30, 2025

7

PPAs are executed

October 2025

8

SDG&E submits Tier 1 Advice Letter to CPUC

October 2025

9

Anticipated CPUC approval for Tier 1 Advice Letter

November 2025

Contact Information

All questions or other communications regarding this 2022 TM RFO MUST be submitted via email to BioRamRPSRECs2@sdge.com with a CC to keith.oliver@merrimackenergy.com (Independent Evaluator).

All questions and their answers will be posted publicly on this website anonymously soon after receipt. SDG&E cannot respond directly or confidentially to any questions.

Registration and Submission Information

The RFO and all subsequent revisions and documents are available for download from the RFO Website. Potential Offerors are responsible for monitoring the RFO Website for subsequent updates, notices and postings.

Offerors must submit bids into the 2025 TM RFO event on the PowerAdvocate® website. Offerors intending to submit an Offer but who do not yet have an existing account with PowerAdvocate® must first register to create a username/password to receive access to the event. Please review the RFO protocols for more information.

Participation from Diverse Business Enterprises

SDG&E analyzes the qualitative aspects of each conforming offer to determine how well the offer aligns with the priorities set out by the CPUC, including supplier diversity. In accordance with the CPUC’s General Order 156 (GO 156), SDG&E supports the utilization of Diverse Business Enterprises (DBEs) owned and controlled by women, minorities, disabled veterans, members of the LGBT community and persons with disabilities, as well as Small Business Administration 8(a) enterprises. Furthermore, SDG&E encourages developers to consider utilizing DBE subcontractors during various stages of project development and construction, solely to the extent that they are the most competitive bid for the work in question. To comply with the CPUC’s annual supplier diversity reporting requirement, SDG&E will require developers to report their DBE subcontractor spending, if any, each month via its DBE Subcontracting Spend Portal. Under GO 156, supplier diversity goals are not rigid, inflexible requirements or quotas, which are expressly forbidden and shall not be used to exclude any qualified businesses from participating in contracting opportunities under this RFO.

SDG&E provides equal opportunities for businesses owned by all persons without regard to race, sex and other traits protected by law and makes all decisions about suppliers without regard to protected traits. SDG&E expects developers and developers’ subcontractors to utilize business enterprises without regard to protected traits.

Additional information on SDG&E’s supplier diversity program and CPUC regulations can be found at www.sdge.com/ResponsibleSourcing and www.cpuc.ca.gov/SupplierDiversity.