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Puget Sound Energy (PSE) Application for Green-e Energy Certification of “Solar Choice” in Washington. Application Background and Comment Deadline PSE has applied for Green-e Energy certification of its second utility green pricing program, Solar Choice. This new option is a voluntary renewable electricity program offered to its customers in Washington. As part of the application process, Green-e Energy is seeking stakeholder feedback on the application and the program as designed for PSE’s electricity customers. This 21-day stakeholder comment process is your opportunity to weigh in on program design to make sure that the program meets your needs and expectations. Comments will be provided to the applicant and the Green-e Governance Board; the Board will review the application, comments and responses, and consider whether to approve the application for certification of PSE’s green pricing option in Washington as submitted or to suggest changes to the program. If you choose to submit comments, suggestions or other feedback regarding this application, please provide them by email to [email protected] no later than May 23, 2017. The application materials are provided below, and consist of the following documents: - Background Information (Formerly Appendix A) that describes the product offering and marketing channels - Sample Product Content Label, which would provide PSE customers with information on the renewable resources used in the green pricing option - A sample Price, Terms, and Conditions document that would offer standardized information on pricing and other terms associated with green pricing option Solar Choice will be 100% Solar from solar projects in Washington or Idaho. For reference, Green-e Energy’s primary governing documents are explained below and links are provided. - The Green-e Energy National Standard describes the rules for generation facility eligibility, resource types allowed to be used in Green-e Energy certified products, avoidance of double counting, specific rules around electric utilities’ green pricing options like PSE’s Solar Choice It is available at http://www.green- e.org/docs/energy/Green-eEnergyNationalStandard.pdf - The Code of Conduct and Customer Disclosure Requirements speak to how programs like PSE’s would be marketed, the disclosures necessary for customers and potential customers, language use guidelines and more. It is available at http://www.green- e.org/docs/energy/CodeofConductandCustDisclosure.pdf

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Puget Sound Energy (PSE) Application for Green-e Energy Certification of “Solar Choice”

in Washington.

Application Background and Comment Deadline

PSE has applied for Green-e Energy certification of its second utility green pricing program,

Solar Choice. This new option is a voluntary renewable electricity program offered to its

customers in Washington. As part of the application process, Green-e Energy is seeking

stakeholder feedback on the application and the program as designed for PSE’s electricity

customers.

This 21-day stakeholder comment process is your opportunity to weigh in on program design to

make sure that the program meets your needs and expectations. Comments will be provided to

the applicant and the Green-e Governance Board; the Board will review the application,

comments and responses, and consider whether to approve the application for certification of

PSE’s green pricing option in Washington as submitted or to suggest changes to the program.

If you choose to submit comments, suggestions or other feedback regarding this application,

please provide them by email to [email protected] no later than May 23, 2017.

The application materials are provided below, and consist of the following documents:

- Background Information (Formerly Appendix A) that describes the product offering

and marketing channels

- Sample Product Content Label, which would provide PSE customers with

information on the renewable resources used in the green pricing option

- A sample Price, Terms, and Conditions document that would offer standardized

information on pricing and other terms associated with green pricing option

Solar Choice will be 100% Solar from solar projects in Washington or Idaho.

For reference, Green-e Energy’s primary governing documents are explained below and links are

provided.

- The Green-e Energy National Standard describes the rules for generation facility

eligibility, resource types allowed to be used in Green-e Energy certified products,

avoidance of double counting, specific rules around electric utilities’ green pricing

options like PSE’s Solar Choice It is available at http://www.green-

e.org/docs/energy/Green-eEnergyNationalStandard.pdf

- The Code of Conduct and Customer Disclosure Requirements speak to how programs

like PSE’s would be marketed, the disclosures necessary for customers and potential

customers, language use guidelines and more. It is available at http://www.green-

e.org/docs/energy/CodeofConductandCustDisclosure.pdf

Green Pricing Application Form This form may be used for Renewable Energy Certificate (REC) Certification, Competitive Electricity Certification, and Green Pricing Certification. Please provide the information required below, including which type(s) of certification you are applying for. Date: 3/20/17 Renewable Energy Product Name:* Solar Choice *Please do not include “Green-e”, “Green-e Energy” or “Certified” in the product name. If the product is a REC product, do not include “Energy” or “Electricity” in the name unless the name also includes “REC” abbreviated or spelled out. Applicant Renewable Energy Seller (“Company”) Name: Puget Sound Energy Certified Product Type: Indicate one product type1 and one or more customer types2 that will be able to purchase the product, as well as customer and generation location information (for Renewable Electricity products only). REC Product Sold by REC Marketer or Electricity Provider Single Mix OR: Multiple Mix

Residential Commercial

Commercial Wholesale

Wholesale

REC Product Transacted by Broker (Multiple Mix only) Commercial

Wholesale

Renewable Electricity Product Sold by Competitive Electricity Supplier Single Mix OR: Multiple Mix

Residential Commercial

Commercial Wholesale

Wholesale

State(s), NERC, RTO, ISO or Balancing Authority where customers are served: Intended location of generation faculties (must be a region or state included above; or adjacent are with electricity wheeled into customer location): WECC/PNW

Please attach a list of zip codes where this product will be available so that we may list this electricity product on www.BuyCleanEnergy.org. (Whole states may be listed if serving all zip codes in that state.)

1 Define available product types 2 Define customer types

Renewable Electricity Product Sold by Electric Utility in Monopoly Market (Green Pricing) Single Mix only (check all customer types that apply)

Residential

Commercial

State(s), NERC, RTO, ISO or Balancing Authority where customers are served: WA Intended location of generation faculties (must be a region or state included above; or adjacent are with electricity wheeled into customer location): PNW

Please attach a list of zip codes where this product will be available so that we may list this electricity product on www.BuyCleanEnergy.org. (Whole states may be listed if serving all zip codes in that state.) Contact Information: Primary Contact Information

Company Name: Puget Sound Energy Subsidiary of:Puget Energy

Main Contact Person:Tyler O'Farrell Address: PO Box 97034, EST-10E

Phone: 425-398-6059 Bellevue, WA

Fax:425-456-2706 98009

E-mail:tyler.o'[email protected] Website address (where the product with be sold or advertised):www.pse.com/renewables

Additional Contact Information (if different from above contact information)

PMAC/UGPAC Contact1:Heather Mulligan

E-mail: [email protected] Phone: 425-456-2916

Sales Verification Contact: Tyler O'Farrell

E-mail: tyler.o'[email protected] Phone: 425-398-6059

Communications/Marketing Contact: John Inge

E-mail: [email protected] Phone: 425-462-3574

Invoicing Contact: Heather Mulligan

Mailing address if different from above:

E-mail: [email protected] Phone: 425-456-2916

Contact for Green-e Marketplace Information2: Heather Mulligan

Email: [email protected] Phone: 425-456-2916

Supporting Documents for Green Pricing Certification

1 You may list more than one contact to be on the Power Marketers Advisory Committee/Utility Green Pricing

Advisory Committee. Quarterly calls to discuss program and market developments are held with these groups. To learn more about PMAC and UGPAC, see http://www.green-e.org/about_who_gov_ac.shtml 2 This will often be the individual who acts as the main client relations contact for large commercial purchasers. To

lean more about Green-e Marketplace, which is a program to help promote your clients’ purchases and claims, see http://www.green-e.org/marketplace or contact a Green-e staff member.

Companies offering Green Pricing product must submit the materials required below, which will be shared with stakeholders in the state(s) served by the utility for a 21-day comment period followed by a 10-day review and comment period by the Green-e Governance Board. Stakeholders will be notified by email of a 21-day comment period. Stakeholders include utilities, regulators, renewable energy advocates, and consumer and environmental protection interests who support the creation of green pricing programs by utilities in the relevant state(s). Any interested stakeholder is welcome to comment, and Green-e Energy will encourage stakeholders to circulate the information to any other interested parties for comment. These submitted application materials will also be posted on the Certification section of the Green-e website (http://www.green-e.org/getcert_re_cert.shtml). During and after the stakeholder comment period, you will be given the opportunity to respond to any stakeholder comments. Certification will be subject to the approval of the Green-e Governance Board. After the 21-day stakeholder comment period, Green-e Energy staff will forward your application materials, any stakeholder comments and your responses to those comments (if any) to the Green-e Governance Board. The Green-e Governance Board will have ten days to reply. If no Board comments are received during that time, the item is deemed approved. If issues are raised by the Board during that time, this may trigger a meeting of the Green Pricing Subcommittee to resolve them, after which Green-e Energy will re-submit the issue by email to the Board as a consent item. Please submit the following for CRS review and approval: Program Information 1. A brief (1-2 page maximum) program summary indicating how the Green Pricing Program meets the Green-e Energy criteria. 2. Customer enrollment toll free number: 1-800-562-1482 3. Please indicate the price of the product per kWh: .033 4. The product will be sold in:

blocks of 150 kWh per month

percent of the customer’s monthly energy use

other (please describe below)

5. A sample of the Price, Terms and Conditions you will provide to customers regarding the proposed Green-e Energy certified product.1 6. This tariff has received regulatory approval (if applicable): yes no not applicable Marketing Plan 7. Number of meters that utility serves that will have access to this product: Approximately 1,000,000 electric 8. List states where product will be marketed as “Green-e Energy Certified”: WA 9. Attach a brief description of the marketing plan for Product, including how the product will be sold (sales channel) and advertised (marketing channel): 10. Will product utilize the hub and spoke certification model, as outlined in Section V.E. of the Green-e Energy National Standard? Yes No

If you selected “yes” above, please attach a list of the participating spoke utilities along with appropriate contact information for each spoke. Please notify Green-e Energy staff of any change(s) to this list of spokes within 30 days of the change(s) being made.

Product Content

1 For more information on the requirements of the Price, Terms and Conditions, please see Appendix B: Green-e

Energy Code of Conduct and Customer Disclosure Requirements.

11. Attach a description of the facility(ies) that you expect will be used to supply this product, including, at a minimum, the facility location(s), date(s) the facility came on-line, type(s) of facility, and fuel source used (if applicable): Kingston Community Solar in WA came online Q3, 2016; Grandview Solar in Idaho, came online in Q4, 2016. 12. Attach a Product Content Label in the format you intend to use for distribution to your customers. Sample Product Content Labels for Green Pricing Products are included in Table 1 and Table 2 of Appendix B: Green-e Energy Code of Conduct and Customer Disclosure Requirements.

Puget Sound Energy – Solar Choice Application

Solar Choice is a Utility Green Pricing program designed for PSE electric customers to support

100% solar. Current resources include new solar energy generation from the Grandview Solar

Project in Idaho; and the Kingston Community Solar project in Washington. For as little as $5

(or in blocks of 150 kilowatt-hours) more a month, customers can match a portion of their power

usage with solar energy. Customers are welcome to participate in both PSE’s Green Power

program and Solar Choice.

Marketing Plan

The marketing plan for Solar Choice will feature several tactics that, we believe, will drive the

highest immediate participation. These include, but will not be limited to:

• E-mail

• Direct Mail

• Courtesy Knock

• Events

• Web Enrollments

Solar Choice will be available to residential & commercial electric customers, however, we plan

to focus directly on enrolling residential customers in 2017.

Green-E Requirements

We believe that the Solar Choice option will meet the requirements set forth by Green-E based

on the history of PSE’s Green Power Program.

Since 2007, PSE’s Green Power Program has been Green-E certified by the Center for Resource

Solutions and continues to meet audit approval on an annual basis. The Green Power Program

has also received several Green Power Leadership Awards such as Program of the Year (2009),

Green Power Market Development (2012) and Leadership in Green Power Education (2014).

PSE has offered its Green Power Program to both their commercial and residential electric

customers since 2002. In 2016, the program serviced more than 40,000 participants, and

produced more than 400 million kWh in sales. Since its inception, PSE’s Green Power Program

has consistently been on NREL’s list of Top Ten Utility Green Power Programs. Puget Sound

Energy is also a Green-E Governance Board participant.

The Green Power Program has also participated in annual Marketing Compliance Reviews and

continues to meet the requirements set forth by the Code of Conduct. After review of marketing

materials, if Green-E requests changes to specific documents, Puget Sound Energy immediately

complies within the allowed response time.

Solar Choice Prices, terms and conditions Puget Sound Energy’s Solar Choice Program is certified by Green-e Energy which requires participating utilities and companies to provide their customers with this notice of Price, Terms and Conditions for this service. For more information about Green-e Energy, write to Green-e, c/o Center for Resource Solutions, 1012 Torney Avenue, 2nd floor, San Francisco, CA 94129 or visit www.green-e.org.

The amount of your selected Solar Choice purchase will be added to your PSE electricity bill each month until you discontinue your participation. You may discontinue your agreement to purchase renewable energy from Solar Choice at any time by calling our Energy Advisors at 1-800-562-1482 or writing to the address below.

Company: Puget Sound Energy Solar Choice, EST-10E P.O. Box 97034 Bellevue, WA 98009-9734 Who should I contact for more information? Call a PSE Energy Advisor at 1-800-562-1482, Monday through Friday, 8 a.m. – 5 p.m. Or send postal mail to the address provided above..

How will I be billed? Your selected Solar Choice purchase amount will be listed as a separate line item on your monthly PSE electricity bill.

How will my bill be calculated? Customers who choose to purchase blocks of green power must purchase a minimum block of $5 a month, which allows PSE to buy 150 kilowatt hours (kWh) of energy on your behalf. You can choose to purchase additional Solar Choice blocks of 150 kWh at $5 each. The Solar Choice charge will appear on your bill and is in addition to your monthly electricity bill. You must also pay all applicable federal, state, and local taxes and charges.

How much will my total electricity service cost, including utility charges? Customers who participate in Solar Choice will pay their normal monthly electricity charge plus the block option amount of their choice. For example, if—in a given month—your electricity charge is $53 and you have selected a $5.00 block of Solar Choice, then your monthly charge will be $58 that month.

Monthly Electricity Cost $105* Solar Choice Pricing Premium $5.00 Total: $110.00 *Actual electricity rates may vary.

Will my rates change over time? Utility service rates are subject to change over time. All rate changes require approval from the Washington Utilities and Transportation Commission. Customers will be notified within one-month of a green power rate increase or decrease.

pse.com/renewables

What sources will be used in my certified product?

The product content label, which shows the proportion of resources used for Solar Choice, is depicted below. Visit pse.com/renewables for a complete listing of program resources.

If I want to terminate this agreement/contract, is there an early termination fee?

There is no termination fee. You may discontinue your participation at any time.

What length of agreement/contract is required?

You may discontinue your participation in Solar Choice at any time.

What other fees might I be charged?

There are no additional fees associated with PSE’s Solar Choice Program.

2017 PROSPECTIVE PRODUCT CONTENT LABEL 1

PSE Solar Choice is sold in blocks of 150 kilowatt-hours (kWh). In 2017, PSE Solar Choice will be made

up of the following new renewable resources averaged annually.

Green-e Energy Certified New2 Renewables in PSE Solar Choice 2017 Generation Location

-Solar 100% WA or ID

Total Green-e Energy Certified New Renewables 100%

1. These figures reflect the renewables that we have contracted to provide. Actual figures may vary according to resource

availability. We will annually report to you before August 1 of next year in the form of a Historical Product Content Label the actual

resource mix of the electricity you purchased.

2. New Renewables come from generation facilities that first began commercial operation within the past 15 years.

For comparison, the current average mix of resources supplying PSE includes: Hydroelectric (36%), Coal (35%), Natural Gas (24

%), Wind (3%), Nuclear (1%), and Other* (1 %). *Biomass, landfill gas, petroleum and waste. Source Published by the Washington

Department of Commerce, December 2015, with data reported by PSE in April 2015.

The average home in the United States uses 909 kWh per month. Source: U.S. EIA, 2013. The average PSE home uses 1000 kWh

per month.

For specific information about this product, please visit pse.com/renewables, email [email protected], or contact a PSE Energy

Advisor at 1-800-562-1482, Monday through Friday 8 a.m. to 5 p.m.

PSE Solar Choice is Green-e Energy certified, and meets the environmental and consumer-protection standards set forth by the

nonprofit Center for Resource Solutions. Learn more at www.green-e.org.