Amended in Assembly April 16, 2013

California Legislature—2013–14 Regular Session

Assembly Bill No. 1406

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

March 13, 2013

An act begin insert to repeal Section 25741.5 of the Public Resources Code and end insert to amend Section 399.11 of the Public Utilities Code, relating to energy.

LEGISLATIVE COUNSEL’S DIGEST

AB 1406, as amended, 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. begin insert Existing law makes various legislative findings including, among other findings, a finding that the program is intended to complement the Renewable Energy Resources Program administered by the State Energy Resources Conservation and Development Commission. end insert

This bill would begin delete make a technical, nonsubstantive change to the program’s legislative findings and declarations end delete begin insert repeal the above specified legislative finding end insert .

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Existing law requires the State Energy Resources Conservation and Development Commission, by June 30, 2011, to study and provide to the Legislature a report that analyzes run-of-river hydroelectric generation facilities in British Columbia. Existing law repeals this provision on January 1, 2015.

end insert begin insert

This bill would repeal the above provision on January 1, 2014.

end insert

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

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

begin insert

begin insert SECTION 1. end insert   

end insert

begin insert Section 25741.5 of the end insert begin insert Public Resources Code end insert begin insert is
repealed. end insert

begin delete

25741.5.  

(a) By June 30, 2011, after providing public notice
and an opportunity for public comment, including holding at least
one public workshop, and following consultation with interested
governmental entities, the commission shall study and provide a
report to the Legislature that analyzes run-of-river hydroelectric
generating facilities in British Columbia, including whether these
facilities are, or should be, included as renewable electrical
generation facilities pursuant to Section 25741 or eligible
renewable energy resources pursuant to Article 16 (commencing
with Section 399.11) of Chapter 2.3 of Part 1 of Division 1 of the
Public Utilities Code.

(b) By completing the study and making recommendations, the
commission shall consider the effect that inclusion would have
upon all of the following:

(1) Emissions of carbon dioxide and other greenhouse gases.

(2) Emissions of air pollutants.

(3) Water quality, recreation, and fisheries.

(4) Any other environmental impact caused by run-of-river
hydroelectric generating facilities.

(c) The report submitted pursuant to this section shall be
submitted in compliance with Section 9795 of the Government
Code.

(d) Pursuant to Section 10231.5 of the Government Code, this
section is repealed on January 1, 2015.

end delete

begin delete SECTION 1. end delete
begin insert SEC. 2. end insert   

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

399.11.  

The Legislature finds and declares all of the following:

(a) To attain a target of generating 20 percent of total retail sales
of electricity in California from eligible renewable energy resources
by December 31, 2013, and 33 percent by December 31, 2020, it
is the intent of the Legislature that the commission and the Energy
Commission implement the California Renewables Portfolio
Standard Program described in this article.

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

(1) Displacing fossil fuel consumption within the state.

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

(3) Reducing air pollution in the state.

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

(5) Promoting stable retail rates for electric service.

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

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

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

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

begin delete

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

end delete begin delete

(d)

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begin insert (c) end insert  New and modified electric transmission facilities may be
necessary to facilitate the state achieving its renewables portfolio
standard targets.

begin delete

(e)

end delete

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

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

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