BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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                                    THIRD READING


          Bill No:  AB 270
          Author:   Bradford (D)
          Amended:  8/22/13 in Senate
          Vote:     21

           
           SENATE ENERGY, UTIL. & COMMUNIC. COMMITTEE  :  8-0, 6/18/13
          AYES:  Padilla, Fuller, Corbett, DeSaulnier, Hill, Knight, Wolk,  
            Wright
          NO VOTE RECORDED:  Cannella, De León, Pavley
           
          SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8
           
          ASSEMBLY FLOOR  :  70-0, 5/16/13 (Consent) - See last page for  
            vote


           SUBJECT  :    Public utilities:  ratepayer-funded energy  
          efficiency assistance

           SOURCE  :     Author


           DIGEST  :    This bill requires the Public Utilities Commission  
          (PUC) to direct investor-owned utilities (IOUs) to establish a  
          single public Internet Web site containing aggregate information  
          on ratepayer-funded energy efficiency programs by June 1, 2014.

           Senate Floor Amendments  of 8/22/13 clarify the level at which  
          customer information should be aggregated to protect customer  
          identity and privacy.

           ANALYSIS  :    
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          Existing law:

          1. Requires electrical and gas corporations (IOUs) to pursue all  
             cost effective and feasible energy efficiency and demand  
             reduction resources to meet unmet resource needs before  
             additional energy procurement.  The PUC is required to  
             identify potential energy efficiency savings and establish  
             targets for electrical and gas utilities.  

          2. Requires that the PUC prepare a written report to the  
             Legislature detailing mandated programs and their costs to  
             ratepayers.  

          This bill:

          1. Requires the PUC, by June 1, 2014, to direct the IOUs to  
             produce a single Internet Web site for public access of  
             information regarding energy efficiency programs including  
             data on ZIP Code location, project cost, and projected energy  
             savings.  Customer specific information will be excluded from  
             the Web site.

          2. Requires the PUC to report on its efforts to identify  
             ratepayer-funded energy efficiency programs that are similar  
             to programs administered by other state agencies.  The PUC is  
             also required to make revisions to programs to ensure they  
             are complimentary and not duplicative of other state efforts.  


           Background
           
           Energy efficiency  .  California has pursued its energy demand  
          reduction goals through two primary avenues:  utility-sponsored  
          programs to reduce end-user consumption, and codes and standards  
          designed to lower the energy use of buildings and appliances.   
          By 2004, these efforts had cumulatively saved more than 40,000  
          gigawatt hours (GWh) of electricity and 12,000 megawatts (MWs)  
          of peak electricity, equivalent to 24 500-MWs power plants.   
          More than half of the statewide savings has come from the  
          building and appliance standards, with the balance resulting  
          from programs implemented by the state's IOUs and local  
          publicly-owned utilities (POUs).  As a result of these efforts  
          California's energy use per capita has remained stable for more  

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          than 30 years while the national per capita average has  
          increased by 40% and is nearly double that of California. 

          Energy efficiency is at the top of the "loading order," and  
          California's utilities are required to first meet their energy  
          needs through cost-effective energy efficiency measures before  
          renewable and conventional generation.  The state's IOUs and, to  
          a lesser extent, the POUs, administer hundreds of energy  
          efficiency programs that provide financial incentives and  
          rebates for installing energy efficient appliances, lighting,  
          windows, HVAC systems and other technologies or measures.  The  
          Legislative Analyst's Office reports that these programs have  
          totaled $9 billion in ratepayer funding since IOUs began  
          administering them in 1998.  The PUC reports the IOUs have  
          requested roughly $2 billion in funding for energy efficiency  
          programs in 2013-14, including HVAC, lighting, government  
          partnerships, non-residential custom projects, and financing  
          programs.  These programs are expected to generate 4,670 GWh of  
          energy savings in that cycle.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

           SUPPORT  :   (Verified  8/9/13)

          Division of Ratepayer Advocates
          Silicon Valley Leadership Group

           ARGUMENTS IN SUPPORT  :    According to the Silicon Valley  
          Leadership Group, "New programs to increase energy efficiency  
          are being developed consistently through the California Public  
          Utilities Commission (CPUC) and other state agencies.   
          Ratepayers are often reliant on these programs to help manage  
          energy bills.  However, there is currently no central publically  
          available information on how and where energy efficiency funds  
          are being expended and what results are being achieved.  AB 270  
          aims to eliminate this issue by creating a public website that  
          contains details regarding current ratepayer-funded energy  
          efficiency programs.  The Leadership Group appreciates this  
          effort to help close the information gap and alleviate program  
          duplication."

           ASSEMBLY FLOOR  :  70-0, 5/16/13
          AYES:  Achadjian, Alejo, Ammiano, Atkins, Bigelow, Bloom,  

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            Blumenfield, Bocanegra, Bonilla, Bonta, Bradford, Brown, Ian  
            Calderon, Campos, Chau, Chávez, Chesbro, Conway, Cooley,  
            Dahle, Daly, Dickinson, Donnelly, Fong, Fox, Frazier, Garcia,  
            Gatto, Gomez, Gordon, Gorell, Gray, Hagman, Hall, Harkey,  
            Roger Hernández, Jones, Jones-Sawyer, Levine, Linder, Logue,  
            Lowenthal, Maienschein, Mansoor, Medina, Mitchell, Mullin,  
            Muratsuchi, Nazarian, Nestande, Olsen, Pan, Patterson, Perea,  
            V. Manuel Pérez, Quirk, Quirk-Silva, Rendon, Salas, Skinner,  
            Ting, Torres, Wagner, Waldron, Weber, Wieckowski, Wilk,  
            Williams, Yamada, John A. Pérez
          NO VOTE RECORDED:  Allen, Buchanan, Eggman, Beth Gaines, Grove,  
            Holden, Melendez, Morrell, Stone, Vacancy


          JG:k  8/26/13   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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