BILL ANALYSIS Ó
AB 270
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Date of Hearing: April 8, 2013
ASSEMBLY COMMITTEE ON UTILITIES AND COMMERCE
Steven Bradford, Chair
AB 270 (Bradford) - As Amended: April 1, 2013
SUBJECT : Energy Efficiency: data transparency
SUMMARY : This bill would require public information on
ratepayer-funded energy efficiency expenditures. Specifically,
this bill : would require the California Public Utilities
Commission (PUC) to:
a)Order Investor-Owned Utilities (IOUs) to establish, by June 1,
2014, a publicly available Internet Web site containing
specified information regarding ratepayer-funded energy
efficiency programs while maintaining customer
confidentiality.
b)Include in its annual report to the Legislature on its effort
to identify and eliminate ratepayer-funded energy efficiency
programs that duplicate programs administered by other
specified state agencies.
EXISTING LAW
1)Establishes ratepayer-funded programs to assist low-income
households through billing discounts and weatherization and
appliance replacement programs. (Public Utilities Code 327 and
382)
2)Directs the PUC to administer cost-effective energy efficiency
programs funded by a nonbypassable system benefits charge
assessed on ratepayers to fund energy efficiency programs.
(Public Utilities Code 381)
3)Requires electrical corporations to first meet its unmet
resource needs through all available energy efficiency and
demand reduction resources that are cost effective, reliable,
and feasible. (Public Utilities Code 454.5 (b)(9)(C)).
4)Requires gas corporations to first meet its unmet resource
needs through all available natural gas efficiency and demand
reduction resources that are cost effective, reliable, and
feasible. (Public Utilities Code 454.56(b))
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5)Establishes a surcharge on all natural gas consumed to fund
low-income assistance programs, cost-effective energy
efficiency activities, and research and development programs.
(Public Utilities Code 890)
FISCAL EFFECT : Unknown
COMMENTS :
1)Author's Statement. "The state currently lacks a comprehensive
framework that fully coordinates these activities to help
ensure that the state's goals are being achieved. California's
energy efficiency programs need collaboration, accountability,
and transparency to make sure we are on track to achieve
energy and climate goals for energy efficiency. We need to
know if California has adequate monitoring of programs and
results. We need to know if state agencies and departments are
coordinating and collaborating successfully to make sure our
energy efficiency goals will be met. Ratepayers deserve to
have confidence that their money is being used in the right
way.
2)The Loading Order . California statute requires IOUs to "first
meet its unmet resource needs through all available energy
efficiency and demand reduction resources that are cost
effective, reliable, and feasible." This is referred to as
'the loading order," meaning that new energy resources are
procured in the following order: (1) Energy efficiency and
demand response; (2) Renewable energy resources; (3) Clean and
efficient fossil generation. As a result of this
prioritization, many programs have been funded toward
achieving greater levels of energy efficiency.
3)Ratepayers have paid $15 Billion (so far) on Energy
Efficiency. In response to a directive in the 2012-13 Budget
Package the Legislative Analyst's Office (LAO) released a
report in December 2012 titled "Energy Efficiency and
Alternative Energy Programs." The report explored over a dozen
major programs that are intended to support the development of
energy efficiency and alternative energy in the state. It
found that over the past 10 to 15 years, the state has spent a
combined total of approximately $15 billion on such efforts,
the majority of which has been funded by utility ratepayers.
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In November 2012, the PUC adopted 2013-2014 budgets for
ratepayer-funded energy efficiency programs at $1 billion per
year over the two year program.
4)Where did the money go? There is no public database showing
where energy efficiency improvements are occurring, how much
was spent to acquire the improvements, or the results of those
improvements. Lack of public information prevents assessment
of which programs are working well, need improvement, should
be discontinued, or are duplicative with other programs. Lack
of information constrains program evaluation to the PUC, the
consultants working for the PUC, or the utilities and causes
delays in assessing programs until well after the program
funds have been spent.
5)PUC proposed expenditure for an Energy Data Center . The PUC
currently has a rulemaking underway to consider whether
establishing an Energy Data Center is in the public interest.
The goal of the research center would be to encourage
"independent research and analysis of current state,
Commission and utility programs using customer-specific data
but publishing results of that data in an aggregated and
anonymized form that protects customers' privacy."
In the PUC's proceeding, the PUC is seeking comments from
intervenors on whether the Energy Data Center should be funded
by cap-and-trade auction revenue administrative funds,
electric program investment charge funds, energy efficiency
evaluation, measurement, and verification funds, a new source
from utility customers.
The PUC's proposed 2013-2014 Energy Efficiency Budget
allocates $1.4 million to energy efficiency program data
management.
In a recent Utilities & Commerce Committee Hearing, held on
March 6, 2013, the Committee found that ratepayers may have
funded at least three comprehensive energy efficiency
databases already.
6)Public accountability. A recent Department of Finance (Office
of State Audits and Evaluations) audit of the PUC which found
"significant weaknesses within PUC's budget operations which
compromise its ability to prepare and present reliable and
accurate budget information." it would be useful to have
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public accountability as to the use and status of the
ratepayer funds allocated to energy efficiency programs.
7)Technical Amendments. The bill, as written, acknowledges that
personal customer information shall not be disclosed, however,
this could be clarified to make the meaning personal customer
information more specific. The bill also directs the
commission to report on its efforts to identify and eliminate
programs that are duplicative with other state programs. Some
programs may be similar and complementary to PUC programs. The
author may wish to modify the language in the bill to
acknowledge complementary programs. The author may also wish
to amend the bill to clarify the intent to create a single
website, the meaning of up-to-date information, and the
location of links to the database on IOU websites.
The following amendments will address these issues so that the
bill is specific about protection of private customer
information, make clear that ratepayer-funded programs are to
be complementary and not duplicative of other similar State
agency programs, and clarifies that there shall be a single
website, the meaning of 'up to date' information, and the
location of links to the database on IOU websites.
589 (a) In an existing or new proceeding, the commission shall
require the electrical and gas corporations to cooperate in
establishing an a single Internet Web site available to the
public that provides up-to-date information, no less frequent
than every 30 days, regarding ratepayer-funded energy
efficiency assistance programs that include all of the
following, to the extent such information is available, in an
aggregated format that would not provide identifying
information about individual customers of the electrical and
gas corporations :
(1) The types of energy efficiency measures installed.
(2) The location of each customer receiving ratepayer-funded
energy efficiency assistance without disclosing personal
information about the customer.
(b) (1) The commission shall order the electrical and gas
corporations to establish, based on data, ratepayer-funded
energy efficiency assistance program reports on energy
efficiency program totals, geographical and monthly
statistics, cost distribution, and progress toward program
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goals.
(e) The commission shall have a link to the Internet Web site
established pursuant to subdivision (a) on the commission's
Internet Web site and require the electrical and gas
corporations to have a link to the Internet Web site
established pursuant to subdivision (a) on its the appropriate
page on the Internet Web sites of each electrical and gas
corporation .
(g) Unless the affected person, customer or entity consents,
the information, data and reports required to be provided and
published under this section shall not include:
(i) personal information as defined in Civil Code Section
1798.80(e);
(ii) a customer's electrical or gas consumption data as
defined in Public Utilities Code Section 8380(a); or
(iii) other information excluded from public disclosure
under the California Public Records Act, Government Code
Sections 6250, et seq.
747.6. The commission shall report annually on its effort to
identify and eliminate ratepayer-funded energy efficiency
programs that are similar to programs administered by the
State Energy Resources Conservation and Development
Commission, the State Air Resources Board, and the California
Alternative Energy and Advanced Transportation Financing
Authority in its annual report prepared pursuant to
subdivision (b) of Section 747 and to require revisions to
ratepayer-funded programs, as necessary, to ensure that the
ratepayer funded programs complement and do not duplicate
other State agencies' programs.
REGISTERED SUPPORT / OPPOSITION :
Support
California Energy Efficiency Industry Council
California Public Utilities Commission (CPUC) (if amended)
Division of Ratepayer Advocates (DRA)
The Greenlining Institute
Opposition
None on file
AB 270
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Analysis Prepared by : Susan Kateley / U. & C. / (916)
319-2083