BILL NUMBER: AB 2189	CHAPTERED  09/29/06

	CHAPTER  747
	FILED WITH SECRETARY OF STATE  SEPTEMBER 29, 2006
	APPROVED BY GOVERNOR  SEPTEMBER 29, 2006
	PASSED THE ASSEMBLY  AUGUST 29, 2006
	PASSED THE SENATE  AUGUST 28, 2006
	AMENDED IN SENATE  AUGUST 22, 2006
	AMENDED IN SENATE  JUNE 14, 2006
	AMENDED IN ASSEMBLY  APRIL 20, 2006
	AMENDED IN ASSEMBLY  APRIL 6, 2006

INTRODUCED BY   Assembly Member Blakeslee

                        FEBRUARY 22, 2006

   An act to add Section 399.12.5 to the Public Utilities Code,
relating to energy.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2189, Blakeslee  Energy: renewable energy resources.
   Under existing law, the Public Utilities Commission has regulatory
authority over public utilities, including electrical corporations.
The Public Utilities Act imposes various duties and responsibilities
on the commission with respect to the purchase of electricity and
requires the commission to review and adopt a procurement plan and a
renewable energy procurement plan for each electrical corporation
pursuant to the California Renewables Portfolio Standard Program. The
program requires that a retail seller of electricity, including
electrical corporations, community choice aggregators, and electric
service providers, but not including local publicly owned electric
utilities, purchase a specified minimum percentage of electricity
generated by eligible renewable energy resources, as defined, in any
given year as a specified percentage of total kilowatthours sold to
retail end-use customers each calendar year (renewables portfolio
standard). The renewables portfolio standard requires each electrical
corporation to increase its total procurement of eligible renewable
energy resources by at least an additional 1% of retail sales per
year over its baseline amount so that 20% of its retail sales are
procured from eligible renewable energy resources no later than
December 31, 2017. Pursuant to the existing definition of an
"eligible renewable energy resource," the electricity generated by a
small hydroelectric generation facility of 30 megawatts or less
procured or owned by an electrical corporation as of January 1, 2003,
is eligible only for purposes of establishing the baseline of
renewable energy resources procured by the electrical corporation and
not for purposes of meeting the renewables portfolio standard.
   This bill would provide that a small hydroelectric generation
facility that is an eligible renewable energy resource retains
eligibility if efficiency improvements at the facility undertaken
after January 1, 2003, cause the generating capacity of the facility
to exceed 30 megawatts, and the efficiency improvements do not result
in a new or increased appropriation or diversion of water from a
watercourse.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 399.12.5 is added to the Public Utilities Code,
immediately following Section 399.12, to read:
   399.12.5.  Notwithstanding Section 399.12, a small hydroelectric
generation facility that satisfies the criteria for an eligible
renewable energy resource pursuant to Section 399.12 shall not lose
its eligibility if efficiency improvements undertaken after January
1, 2003, cause the generating capacity of the facility to exceed 30
megawatts, and the efficiency improvements do not result in a new or
increased appropriation or diversion of water from a watercourse. The
entire generating capacity of the facility shall be eligible.