Demand Management

Demand management is one method for addressing groundwater overdraft and supporting sustainability of the groundwater supply. The Salinas Valley Basin Groundwater Sustainability Agency (SVBGSA) will determine if and when demand management might be implemented at any of the six subbasins it manages and co-manages. This determination will be done through methods such as stakeholder engagement, deliberate discussion of demand management as a tool, and assessment of its benefits as well as impacts.

Background

In August 2022, the SVBGSA retained the services of California State University Sacramento (CSUS), Consensus and Collaboration Program (CCP) to conduct a stakeholder assessment regarding potential future actions regarding demand management approaches. The assessment aimed to provide a neutral analysis of conditions regarding if and how the agency should address demand management.

In March 2023, the Demand Management Assessment Report was presented to the SVBGSA Board, and the Board approved the recommendations. SVBGSA staff and CSUS Project Manager Dave Ceppos developed a comprehensive work plan for carrying out the recommendations. Recognizing the Salinas Valley Basin’s geographic scale and governance complexity, the process is designed to implement the scope in phases. Between the phases, periodic assessments are conducted. Preset decision points allow the Board to determine whether the process will continue and if any modifications are necessary.

In July 2023, the SVBGSA contracted with Minasian Law, LLP, to prepare a legal analysis for demand management measures. That work is underway and is intended to be a resource for evaluating the feasibility of implementing various demand management measures.

In August 2024, the SVBGSA added another component to this workstream by executing a contract with ERA Economics to conduct an economic analysis of demand management programs. They will work closely with the rest of the team to ensure alignment of the efforts.