Improved Decarbonization Planning Through Climate Resiliency Modeling

California has set ambitious decarbonization goals concerning both emissions and the portion of energy generated by renewable resources. However, climate change poses considerable uncertainties. Variation in load is driven both by the level of electrification as well as the impact of climate change on weather. Further, climate change stands to make weather more variable, impacting not just load but generation from renewable resources. In this paper, we approach the issue of the impacts of climate change on decarbonization planning from two perspectives. First, we look at the range of decarbonization pathways through 8 pathways that account for differences in socioeconomic development, global emissions, and warming. Second, we develop a more robust way of ensuring the reliability of energy resources planning than the commonly used planning reserve margin. We show that the proposed method can save between 6 and 14 billion dollars in investment and maintenance costs and outline critical policy implications concerning the reliance of power plants for satisfying planning reliability requirements, including the potential retirement of dozens of peaker power plants.