BILL NUMBER: AB 2269	ENROLLED
	BILL TEXT

	PASSED THE SENATE  AUGUST 26, 2008
	PASSED THE ASSEMBLY  AUGUST 30, 2008
	AMENDED IN SENATE  AUGUST 21, 2008
	AMENDED IN SENATE  AUGUST 13, 2008
	AMENDED IN SENATE  JUNE 12, 2008
	AMENDED IN ASSEMBLY  APRIL 9, 2008

INTRODUCED BY   Assembly Member Fuentes
   (Principal coauthor: Senator Padilla)

                        FEBRUARY 21, 2008

   An act to add Section 387.7 to the Public Utilities Code, relating
to energy.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2269, Fuentes. Renewable energy resources: local publicly owned
electric utility: solar energy systems.
   Existing law requires all local publicly owned electric utilities,
as defined, that sell electricity at retail, on or before January 1,
2008, to adopt, implement, and finance a solar initiative program,
as prescribed, for the purpose of investing in, and encouraging the
increased installation of, residential and commercial solar energy
systems. Existing law requires, in part, that solar energy systems
receiving monetary incentives are intended primarily to offset part
or all of the consumer's own electricity demand and be located on the
same premises of the end-use consumer where the consumer's own
electricity demand is located.
   This bill would, notwithstanding those provisions, authorize a
local publicly owned electric utility that serves more than 750,000
customers and also conveys water to its customers to use monetary
incentives pursuant to its solar initiative program for the
installation of a solar energy system on any property located in that
corporation's service territory, including solar energy systems that
are owned by the local publicly owned electric utility, and would
authorize the electricity generated by a solar energy system
receiving monetary incentives through a solar initiative program to
be sold to the local publicly owned electric utility if specified
requirements are met.


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

  SECTION 1.  Section 387.7 is added to the Public Utilities Code, to
read:
   387.7.  (a) Notwithstanding paragraphs (2) and (5) of subdivision
(d) of Section 387.5, the electricity generated by a solar energy
system receiving monetary incentives through a solar initiative
program established pursuant to Section 387.5 may be sold to the
local publicly owned electric utility that serves more than 750,000
customers and also conveys water to its customers, if the solar
energy system meets both of the following requirements:
   (1) Is located within the service territory of a local publicly
owned electric utility owned by a municipal corporation that
prohibits direct transactions.
   (2) Is initially owned by either a local publicly owned electric
utility that prohibits direct transactions or a third party that may
or may not own or control the property on which the solar energy
system is located.
   (b) Notwithstanding paragraphs (2) and (5) of subdivision (d) of
Section 387.5, a local publicly owned electric utility that serves
more than 750,000 customers and that conveys water to its customers
may use monetary incentives required by subdivision (b) of Section
387.5 for the installation of a solar energy system on any property
located in the utility's service territory, including solar energy
systems that are owned by the local publicly owned electric utility.
   (c) Once any tax credits are exhausted and recapture provisions
are satisfied, the individual or entity that owns or controls the
property on which the solar energy system is located, or the local
publicly owned electric utility, may own the solar energy system.