BILL NUMBER: AB 1935	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Campos

                        FEBRUARY 19, 2014

   An act to amend Section 769 of the Public Utilities Code, relating
to electricity.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1935, as introduced, Campos. Electricity: clean distributed
energy technologies.
   Existing law requires each electrical corporation, no later than
July 1, 2015, to submit to the Public Utilities Commission a
distribution resources plan proposal to identify the optimal
locations for the deployment of distributed resources. Existing law
defines the term "distributed resources." Existing law requires the
commission to review and approve the plan.
   This bill would revise the definition of "distributed resources"
to include clean distributed energy technology, as defined.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 769 of the Public Utilities Code is amended to
read:
   769.  (a) For purposes of this section,  "distributed
  the following terms have the following meanings: 

   (1) "Clean distributed energy technology" means any of the
following:  
   (A) An energy generation technology that meets all of the
following criteria:  
   (i) Converts an energy resource into electricity or heat. 

   (ii) Meets or exceeds the emission factor for electricity
developed by the State Air Resources Board in the scoping plan
adopted pursuant to Section 38561 of the Health and Safety Code.
 
   (iii) Meets or exceeds the oxides of nitrogen emissions rate
standard set forth in Section 94203 of Title 17 of the California
Code of Regulations.  
   (iv) Has a nameplate rated generation capacity of 20 or less
megawatts.  
   (B) A conversion technology that meets all of the following
criteria:  
   (i) (I) Converts organic waste into a useful energy resource.
 
   (II) For the purposes of this clause, "organic waste" means waste
consisting of organic matter, as defined by the Department of
Resources Recycling and Recovery pursuant to Division 30 (commencing
with Section 40000) of the Public Resources Code, that is a byproduct
of another process that would normally be emitted or transported to
the environment.  
   (ii) Meets or exceeds the oxides of nitrogen emissions rate
standard set forth in Section 94203 of Title 17 of the California
Code of Regulations.  
   (iii) Has a nameplate rated generation capacity of 20 or less
megawatts. 
    (2)     "Distributed  resources" means
distributed renewable generation resources,  clean distributed
energy technology,  energy efficiency, energy storage, electric
vehicles, and demand response technologies. 
   (3) "Energy resource" means a gas, liquid, or solid that can be
converted into mechanical work, electricity, or heat. 
   (b) Not later than July 1, 2015, each electrical corporation shall
submit to the commission a distribution resources plan proposal to
identify optimal locations for the deployment of distributed
resources. Each proposal shall do all of the following:
   (1) Evaluate locational benefits and costs of distributed
resources located on the distribution system. This evaluation shall
be based on reductions or increases in local generation capacity
needs, avoided or increased investments in distribution
infrastructure, safety benefits, reliability benefits, and any other
savings the distributed resources provides to the electric grid or
costs to ratepayers of the electrical corporation.
   (2) Propose or identify standard tariffs, contracts, or other
mechanisms for the deployment of cost-effective distributed resources
that satisfy distribution planning objectives.
   (3) Propose cost-effective methods of effectively coordinating
existing commission-approved programs, incentives, and tariffs to
maximize the locational benefits and minimize the incremental costs
of distributed resources.
   (4) Identify any additional utility spending necessary to
integrate cost-effective distributed resources into distribution
planning consistent with the goal of yielding net benefits to
ratepayers.
   (5) Identify barriers to the deployment of distributed resources,
including, but not limited to, safety standards related to technology
or operation of the distribution circuit in a manner that ensures
reliable service.
   (c) The commission shall review each distribution resources plan
proposal submitted by an electrical corporation and approve, or
modify and approve, a distribution resources plan for the
corporation. The commission may modify any plan as appropriate to
minimize overall system costs and maximize ratepayer benefit from
investments in distributed resources.
   (d)  Any   An  electrical corporation
spending on distribution infrastructure necessary to accomplish the
distribution resources plan shall be proposed and considered as part
of the next general rate case for the corporation. The commission may
approve proposed spending if it concludes that ratepayers would
realize net benefits and the associated costs are just and
reasonable. The commission may also adopt criteria, benchmarks, and
accountability mechanisms to evaluate the success of any investment
authorized pursuant to a distribution resources plan.