BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 58|
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CONSENT
Bill No: SB 58
Author: Runner (R), et al
Amended: 3/31/11
Vote: 21
SENATE ENERGY, UTIL. & COMM. COMMITTEE : 11-0, 5/3/11
AYES: Padilla, Fuller, Berryhill, Corbett, De León,
DeSaulnier, Pavley, Rubio, Simitian, Strickland, Wright
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
SUBJECT : Antelope Valley Fairgrounds EE and PV Synergy
Demonstration
SOURCE : Author
DIGEST : This bill extends the sunset date on the
Antelope Valley Fairgrounds EE and PV Synergy Demonstration
Project until January 1, 2018.
ANALYSIS : Existing law requires the CPUC to approve a
special rate for electrical service offered to the Antelope
Valley Fairgrounds (AVF) which will result in a ten-year
payback for a photovoltaic (PV) solar system when coupled
with other incentive payments. This program sunsets on
January 1, 2017.
Background
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As a result of 2005 legislation by this same author, a
demonstration project was established to show that actual
energy and cost savings may be achieved when investments
are made onsite to both reduce overall electric consumption
and to offset peak electricity demand through the
installation of cost effective energy efficient equipment
and fixtures and a PV solar energy system of up to 630
kilowatts. As a consequence Southern California Edison
(Edison) was approved by the CPUC to pay ratepayer funded
credits over the course of ten years. In exchange AVF was
to sign a contract with Edison specifying minimum operating
criteria for the generating facility.
Comments
According to the author's office, a dispute has arisen
between AVF and Edison as to the payments Edison owes to
AVF and also whether AVF is meeting its requirements under
the demonstration project. The author has convened
discussions between the parties which are ongoing. She
hopes that those discussions will resolve all outstanding
issues and that this bill will not be needed. However, in
the event that the parties are not able to come to
agreement, the author may want to use this bill to resolve
the issue in law.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
SUPPORT : (5/16/11)
50th District Agricultural Association
ARGUMENTS IN SUPPORT : The 50th District Agricultural
Association (50th DAA) writes that it is pleased to support
Senate Bill 58 as this legislation will ensure the
enactment of a tariff and the timely payment of funds, as
intended under Assembly Bill 1348 (S. Runner, 2005), to the
Antelope Valley Fair. AB 1348 (PU Code 379.7) authorizes
the establishment of the Antelope Valley Fairgrounds EE and
PV Synergy Demonstration Project (Demonstration Project).
PU Code 379.7 subsection (c) requires a "tariff be
established providing for an incentive rate consistent with
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this section. The incentive rate shall provide stability
and certainty over a 10-year period in an amount and in a
manner to support investment in, and to test the durability
of, the photovoltaic solar energy system installed at the
fairgrounds." SB 58 will ensure that SCE follows through
with the commitment outlined under AB 1348.
RM:rm 5/16/11 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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