BILL ANALYSIS Ó 1 SENATE ENERGY, UTILITIES AND COMMUNICATIONS COMMITTEE ALEX PADILLA, CHAIR SB 454 - Corbett Hearing Date: April 30, 2013 S As Amended: April 16, 2013 FISCAL B 4 5 4 DESCRIPTION Current law exempts from the definition of a public utility a facility that supplies electricity to the public only for use to charge light duty plug-in electric vehicles (PEVs). (Public Utilities Code 216) Current federal law requires a manufacturer of an electric vehicle (EV) fuel dispensing system to determine the electric charge of a system and affix a permanent legible marking or permanently attached label that discloses the manufacturer's name, the model number, serial number, or other identifier of the system, and the fuel rating. (16 CFR 309) Current law requires that 22 percent of the vehicles produced and delivered for sale in California by specified manufacturers be zero emission vehicles by 2025. (Cal. Admin. Code tit. 13, § 1962) Current law requires all new PEVs to be equipped with a conductive charger inlet and charging system which meets all the specifications contained in Society of Automotive Engineers Surface Vehicle Recommended Practice and be equipped with an on-board charger with a minimum specified output. (Cal. Admin. Code tit. 13, § 1962) This bill prohibits the provider of an EV charging station from requiring a subscription or membership as a condition of using the station but permits the payment of a roaming charge with full disclosure at the point of sale and requires that the station accept payment by credit card or mobile technology, or both. This bill requires that the providers of EV charging stations disclose all charging sites to the California Energy Commission (CEC) and to the public, along with a schedule of fees, accepted methods of payment and the amount of network roaming charges for nonmembers. The CEC is permitted to release the information to governmental entities, developers of software applications, or the public. This bill permits the CEC to adopt interoperability billing standards for network roaming payment methods and requires providers to meet those standards within one year of adoption. This bill requires the Department of Consumer Affairs (DCA) to maintain a toll-free number, email address or Internet Web site to collect consumer complaints regarding violations by providers of EV charging stations. This bill defines a public parking space. BACKGROUND ZEV Executive Order - In 2012 the Governor signed an executive order laying the foundation for 1.5 million zero-emission vehicles (ZEVs) on California's roadways by 2025 which came on the heels of a California Air Resource Board (CARB) mandate on the largest automakers to derive 22 percent of their annual California sales from PEVs and other zero or near-zero emissions vehicles by 2025. The Governor's executive order set the following targets: By 2015, all major cities in California will have adequate infrastructure and be ZEV ready; By 2020, the state will have established adequate infrastructure to support 1 million ZEVs in California; By 2025, there will be 1.5 million ZEVs on the road in California; and By 2050, virtually all personal transportation in the State will be based on ZEVs, and greenhouse gas emissions from the transportation sector will be reduced by 80 percent below 1990 levels. As a result of the order an interagency working group was established with oversight by the Governor's Office of Planning and Research (OPR) which released the "2013 Zero-emission Vehicle Action Plan" in February. The plan identifies specific strategies and actions that state agencies will take to meet the milestones of the executive order focusing on four broad goals to advance ZEVs: complete needed infrastructure and planning; expand consumer awareness and demand; transform fleets; and grow jobs and investment in the private sector. The plan acknowledged the unique fueling infrastructure required for ZEVs which is fundamentally different for each vehicle type. "PEV primarily rely on strategically deployed charging stations in a variety of locations including drivers' homes, workplaces, fleet facilities and public places such as parking lots and parking garages. The process of installing PEV charging stations can sometimes be complex, protracted and expensive." The plan called for the development of interoperability standards for EV charging stations that allow all drivers to charge at a station regardless of membership in a vehicle charging network." Related to this bill the OPR action plan specifically calls for (1) requiring that future state-funded PEV charging stations are open to the public and accessible to all PEV drivers regardless of drivers' memberships or subscriptions to electric vehicle supply equipment (EVSE) networks and that industry efforts are encouraged "to develop interoperability standards for EV charging stations that enable PEV drivers to locate and reserve public charging stations and be billed regardless of drivers' memberships or subscriptions to a network of EV chargers." CPUC Funded Network - In March 2012 the CPUC announced a $120 million dollar settlement with NRG Energy Inc. that will fund the construction of a statewide network of charging stations for ZEVs, including at least 200 public fast-charging stations and another 10,000 plug-in units at 1,000 locations across the state. The settlement stemmed from California's energy crisis. Of significance to this bill is a requirement of NRG that all EV charging stations established under the settlement allow single-use customers to use a "remote credit card swipe reader mechanism." Plug-in Electric Vehicle Resource Center - This center is a microsite of the CARB's DriveClean.ca.gov website, developed to provide more in-depth information specifically for PEVs in order to raise awareness and demand for PEVs. The PEV Resource Center was created in partnership with the California Plug-in Electric Vehicle Collaborative. The intent of the website is to be a comprehensive and impartial source of information to help various audience groups better understand plug-in electric drive technology and to provide car buyers with the information they need to purchase and own a PEV. Information and resources are developed to educate a variety of audiences, including consumers, local government officials, policymakers, fleet managers, original equipment manufacturers (OEMs), auto dealers, business owners, electricians, first responders, and the media Alternative Fuels Data Center - This website is sponsored by the U.S. Department of Energy and provides information, data, and tools to help fleets and other transportation decision makers find ways to reduce petroleum consumption through the use of alternative and renewable fuels, advanced vehicles, and other fuel-saving measures. The website includes an Alternative Fueling Station Locator. Data are gathered and verified through a variety of methods by the National Renewable Energy Laboratory (NREL) which obtains information about new stations from trade media, Clean Cities coordinators, an "Add-a-Station" form on the website, and through collaborating with infrastructure equipment and fuel providers. COMMENTS 1. Author's Purpose . According to the author, EV charging stations are currently not as convenient as gas stations. The public has access to only a few stations, and these stations offer few payment options. Most charging stations require a subscription or membership, forcing drivers to buy several memberships and carry them in order to drive longer distances. The author believes this bill will provide the framework for EV charging stations to operate similarly to gas stations, allowing drivers to use their credit cards or phone to pay for charging. Facilitating charging will assist the state in achieving its ZEV, greenhouse gas emission reduction, and air pollution reduction goals, as well as reduce the state's dependence on oil. 2. Charging Station Access . As the market for PEVs develops there are a handful of different companies which are installing charging stations throughout the state each with different costs and access systems. The stations tend to be hosted in parking lots at workplaces, retail centers and transportation hubs. The intent of the author is to ensure that PEV owners can charge their PEV at any public charging station regardless of whether they are a member or a subscriber to a particular company. The bill has two different access standards referenced neither of which may be the most accessible and manageable structure. The first is "network roaming" (page 4, lines 18-21) which is defined as the ability of a subscriber of one charging network to use a charging station network to which they do not subscribe with the same network account information." This standard would likely require companies to share subscriber information and develop costly integration technologies. The second access standard is that stations permit a customer to "pay via credit card or mobile technology or both." This phrase could only require that a customer be able to use a smart phone or a smart phone that can facilitate a credit card transaction. Although early adopters of PEVs may be tech-savvy and have their smart phones with them at all times and in all places, there are still many consumers who do not carry these technologies. Most PEV charging companies allow a non-member or non-subscribing PEV owner to use their charging station by calling an 800 number and providing a credit card number. In order to ensure consistency in the bill, the greatest access for the greatest number of car owners, and ease of administration for EV charging station providers, the author and committee may wish to consider striking both standards and instead requiring the use of accredit card by through an 800 number. 3. Charging Station Network Oversight . This bill requires the provider of an EV charging station that is accessible to the public to disclose to the CEC its location, fees, and payment methods. The CEC would be authorized to disclose that information to the public, private companies, and the NREL. The CARB has established a very detailed website (DriveClean.ca.gov) to provide consumers interested in purchasing PEVs and PEV owners with in-depth information including charging access. The author and committee may wish to consider striking the direction to the CEC and instead requiring data tracking and reporting by CARB which has already established the website and necessary linkages to perform this task. Additionally, the reference to a "provider" of an EV charging station as the responsible reporting party is not clear since it does not distinguish between the operator of the charging network and the host of the station (e.g. an airport or retail store). The author and committee may wish to consider replacing "provider of an EV charging station" with "provider of EV service equipment" which is the common industry standard in this new market. To also reflect the standard, "EV service equipment" should also replace "battery charging station." The need for this clarification was raised by the National Electrical Manufacturers Association. 4. Interoperability . The CEC is authorized in this bill to develop "interoperability billing standards for network roaming payment methods." The necessity of this authorization is not clear since the bill establishes an access standard by requiring payment by a credit card or mobile technology or both. Earlier in the bill "interoperability is defined as the "ability of one charging station network to use another network." The two different references are confusing. Nationally the adoption of interoperability standards is underway by the National Electrical Manufacturers Association, National Institute of Science and Technology, and the American National Standards Institute. Those standards are focused on the equipment necessary for connectivity between the electricity supply point and the charger of electric vehicles. Lastly, if any standards were appropriate, the CARB has already done a lot of work in this area and adopted regulations affecting PEVs. Given the question of necessity of interoperability since the standard is set in the bill and the confusion between interoperability for fee payment and connectivity, the author and committee may wish to consider striking this provision. Absent that change, at a minimum, CARB should be the responsible agency rather than the CEC since CARB has already established itself as the lead agency on PEV regulation. 5. Collecting Complaints . The bill requires the DCA to collect customer complaints about EV charging stations and make a summary of the complaints available to the public. The bill also authorizes DCA to respond to complaints. Given the extensive work of CARB to stimulate and manage the EV infrastructure, and its comprehensive "DriveClean.ca.gov" website, the author and committee may wish to consider striking the DCA and adding CARB as the responsible agency. 6. Double Referral . This bill was approved by the Senate Committee on Transportation and Housing on April 9, 2013, by a vote of 6-3. POSITIONS Sponsor: Plug In America Support: American Planning Association, California Chapter Greenlots NRG Energy, Inc., if amended Sierra Club California UCLA Luskin Center for Innovation Oppose: ChargePoint, unless amended ECOtality, unless amended National Electrical Manufacturers Association, unless amended North Bay Nissan Kellie Smith SB 454 Analysis Hearing Date: April 30, 2013