Agda Pkt 2025.12.08 Joint SA PFA

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EV Charging Fee Analysis Redwood City, CA Matrix Consulting Group 3 considered, the current average electricity rate per kWh for Redwood city $0.55 per kWh. As such, it would still be higher than all jurisdictions other than Millbrae. It is important to note that even though jurisdictions state that the fee is meant to cover electricity costs, depending on when the fee was adopted, electricity rates were much lower than they are currently. As such, the rates on their fee schedule may not be currently representative of electricity costs. ALTERNATIVE OPTION In lieu of operating and maintaining its own EV Charging Stations, the City has the option to outsource. The City is reviewing this option and has received a proposal from ChargeLink. ChargeLink would be responsible for maintaining the stations, upgrading, installation, and covering all electricity costs. They have proposed two different pricing options to the City: 1. Monthly Fee: Charge a monthly fee of $49 per month per charger, and ChargeLink would retain $0.10 per kWh as profit to the utility electricity cost. Under this model, the City’s full cost calculated would be approximately $0.71 per kWh. The vendor has stated it would cap the rate at $0.70 per kWh. 2. Minimum Retention: ChargeLink would retain a minimum of $0.60 per kW to cover the electricity cost, as well as an additional $0.30 per kW to profit on the electricity. Under this model the fee would be $0.90 per kWh. The vendor has stated it would cap the rate at $0.70 per kWh. Both of these options would allow the City to have a lower cost than the current full cost methodology. It will still result in higher fees than those of surrounding jurisdictions; but it will reduce the overhead incurred by the City in relation to operations, maintenance, and replacement of charging stations. SUMMARY Overall, the EV Fee analysis concludes that the City’s updated full cost is approximately $1.38 per kWh. If the City only wanted to recover the cost of electricity, it could reduce its current fee from $1.12 per kWh to $0.55 per kWh. Alternatively, the City could look at outsourcing, which would also reduce its costs. The City can utilize the information from this study to determine options for updating its EV fee to be in alignment with other jurisdictions, as well as recover the portion of costs that it is incurring. For the cheapest full cost solution, the City’s best option is outsourcing, as that will allow it to pass along its costs incurred, but still only be $0.34 per kWh higher than the surrounding jurisdictions. ATTACHMENT B7.B. - Page 8 of 8 135