California Legislature—2013–14 Regular Session

Assembly BillNo. 1406


Introduced by Committee on Utilities and Commerce (Bradford (Chair), Bonilla, Fong, Garcia, Quirk, Rendon, Skinner, and Williams)

March 13, 2013


An act to amend Section 399.11 of the Public Utilities Code, relating to energy.

LEGISLATIVE COUNSEL’S DIGEST

AB 1406, as introduced, Committee on Utilities and Commerce. Energy: renewable energy resources.

Existing law establishes the California Renewables Portfolio Standard Program, which requires the Public Utilities Commission to implement annual procurement targets for the procurement of eligible renewable energy resources, as defined, for all retail sellers, as defined, to achieve the targets and goals of the program.

This bill would make a technical, nonsubstantive change to the program’s legislative findings and declarations.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

P1    1

SECTION 1.  

Section 399.11 of the Public Utilities Code is
2amended to read:

3

399.11.  

The Legislature finds and declares all of the following:

4(a) begin deleteIn order to end deletebegin insertTo end insertattain a target of generating 20 percent of total
5retail sales of electricity in California from eligible renewable
P2    1energy resources by December 31, 2013, and 33 percent by
2December 31, 2020, it is the intent of the Legislature that the
3commission and the Energy Commission implement the California
4Renewables Portfolio Standard Program described in this article.

5(b) Achieving the renewables portfolio standard through the
6procurement of various electricity products from eligible renewable
7energy resources is intended to provide unique benefits to
8California, including all of the following, each of which
9independently justifies the program:

10(1) Displacing fossil fuel consumption within the state.

11(2) Adding new electrical generating facilities in the
12transmission network within the Western Electricity Coordinating
13Council service area.

14(3) Reducing air pollution in the state.

15(4) Meeting the state’s climate change goals by reducing
16emissions of greenhouse gases associated with electrical generation.

17(5) Promoting stable retail rates for electric service.

18(6) Meeting the state’s need for a diversified and balanced
19energy generation portfolio.

20(7) Assistance with meeting the state’s resource adequacy
21requirements.

22(8) Contributing to the safe and reliable operation of the
23electrical grid, including providing predictable electrical supply,
24voltage support, lower line losses, and congestion relief.

25(9) Implementing the state’s transmission and land use planning
26activities related to development of eligible renewable energy
27resources.

28(c) The California Renewables Portfolio Standard Program is
29intended to complement the Renewable Energy Resources Program
30administered by the Energy Commission and established pursuant
31to Chapter 8.6 (commencing with Section 25740) of Division 15
32of the Public Resources Code.

33(d) New and modified electric transmission facilities may be
34necessary to facilitate the state achieving its renewables portfolio
35standard targets.

36(e) (1) Supplying electricity to California end-use customers
37that is generated by eligible renewable energy resources is
38necessary to improve California’s air quality and public health,
39and the commission shall ensure rates are just and reasonable, and
40are not significantly affected by the procurement requirements of
P3    1this article. This electricity may be generated anywhere in the
2interconnected grid that includes many states, and areas of both
3Canada and Mexico.

4(2) This article requires generating resources located outside of
5California that are able to supply that electricity to California
6end-use customers to be treated identically to generating resources
7located within the state, without discrimination.

8(3) California electrical corporations have already executed,
9and the commission has approved, power purchase agreements
10with eligible renewable energy resources located outside of
11California that will supply electricity to California end-use
12customers. These resources will fully count toward meeting the
13renewables portfolio standard procurement requirements. In
14addition, there are nearly 7,000 megawatts of additional proposed
15renewable energy resources located outside of California that are
16awaiting interconnection approval from the Independent System
17Operator. All of these resources, if procured, will count as eligible
18renewable energy resources that satisfy the portfolio content
19requirements of paragraph (1) of subdivision (c) of Section 399.16.



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