BILL ANALYSIS Ó
AB 834
Page 1
Date of Hearing: April 29, 2013
ASSEMBLY COMMITTEE ON NATURAL RESOURCES
Wesley Chesbro, Chair
AB 834 (Williams) - As Amended: April 22, 2013
SUBJECT : Energy efficiency standards: administrative
enforcement
SUMMARY : Expands the California Energy Commission's (CEC)
administrative civil penalty enforcement authority to include
energy efficiency and water efficiency standards for buildings.
EXISTING LAW :
1)Requires the CEC to take specified actions to reduce the
wasteful, uneconomic, inefficient, or unnecessary consumption
of energy, including adopting energy and water efficiency
standards for appliances and for lighting, insulation climate
control systems, and other building design and construction
systems.
2)Establishes administrative civil penalties for violations of
the CEC's appliance efficiency standards. Authorizes CEC to
assess penalties of up to $2,500 for each violation. Requires
CEC to consider the following when determining the amount of a
penalty:
a) The nature and seriousness of the violation;
b) The number of violations;
c) The persistence of the violation;
d) The length of time over which the violation occurred;
e) The willfulness of the violation;
f) The violator's assets, liabilities, and net worth; and,
g) The harm to consumers and the state.
3)Provides that if CEC determines that a violation has occurred
or is threatening to occur, CEC may refer the matter to the
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Attorney General (AG) to petition a court to enjoin the
violation. Authorizes the court to grant prohibitory or
mandatory injunctive relief as warranted.
4)Specifies that the energy and water efficiency requirements
for buildings be enforced by the building department of every
city, county, or city and county. Specifies that where there
is no local building department, CEC shall enforce these
standards.
THIS BILL expands CEC's authority to assess administrative civil
penalties to energy efficiency and water efficiency standards
for buildings in the same manner as appliance efficiency
standards.
FISCAL EFFECT : Unknown
COMMENTS :
Energy efficiency . Energy efficiency is a top priority in
California's policies to achieve energy savings and reduce
greenhouse gas (GHG) emissions. The CEC is tasked with
developing the state's Title 24 energy efficiency building
regulations, which are updated every three years and specify
requirements relating to lighting, insulation, windows, heating,
ventilation, and air conditioning (HVAC) systems, and other
construction details designed to reduce energy consumption and
lower energy bills for consumers. The CEC also develops the
state's Title 20 energy efficiency appliance regulations that
specify energy use standards for most major household and
commercial appliances sold in California. Numerous programs
administered by CEC, the California Public Utilities Commission,
investor owned utilities, publicly owned utilities, and local
government agencies offer consumers incentives or rebates to
purchase energy efficient appliances and construct or install
energy efficient devices or technologies in residential and
commercial buildings.
In 2011, CEC launched Energy Upgrade California, a web portal
that provides consumers with a "one-stop-shop for home
improvement projects that lower your energy use, conserve water
and natural resources, and make your home healthier and more
comfortable." The site provides information on available
incentives and licensed contractors.
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Existing enforcement . The Contractors State License Board
(CSLB) is the state's lead agency for investigating complaints
against contractors. Investigations may result in a warning
letter, disciplinary action, or referral to a local prosecutor
for criminal charges. The disposition of a complaint varies by
county and depends on whether a contractor is licensed or not.
CLSB handles complaints referred by local building officials who
enforce Title 24 standards.
In July, 2010, CLSB and CEC entered into a memorandum of
understanding (MOU) to increase collaboration on education and
enforcement of building and appliance regulations. The MOU
identifies specific tasks for CEC, including outreach and
education and training for CLSB staff.
The AG's office has also encouraged the entities involved in
energy efficiency to work together to increase public outreach
and education to encourage consumers to use licensed contractors
and to acquire proper permits.
This bill would authorize CEC to enforce building standards
relating to energy efficiency that were adopted by CEC.
This bill . According to the author's office:
Our standards for building efficiency are recognized as
leading the nation in energy savings and serves as one of
the primary energy policy tools that resulted in
California's per capita energy use staying essentially
constant over the past 30 years, while the rest of the
United States' consumption increased steadily. However,
the effectiveness of the building energy efficiency
standards is dependent on compliance with the standards.
Violations of these standards not only threaten energy
savings, they also result in a substantial financial loss
to consumers who purchase energy efficiency goods and
services and represent unfair competition that dramatically
impacts the viability of legitimate businesses.
AB 834 is needed to ensure that reported energy savings are
real, consumers who purchase services for home improvement
are protected, and businesses that provide energy
efficiency services are operating on a level playing field.
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REGISTERED SUPPORT / OPPOSITION :
Support
California Utility Employees (sponsor)
Natural Resources Defense Council
Opposition
Air Conditioning Trade Association
Plumbing-Heating-Cooling Contractors Association
Western Electrical Contractors Association
Analysis Prepared by : Elizabeth MacMillan / NAT. RES. / (916)
319-2092