BILL ANALYSIS Ó SB 454 Page 1 SENATE THIRD READING SB 454 (Corbett) As Amended September 3, 2013 Majority vote SENATE VOTE :28-11 TRANSPORTATION 10-3 APPROPRIATIONS 12-5 ----------------------------------------------------------------- |Ayes:|Lowenthal, Ammiano, |Ayes:|Gatto, Bocanegra, | | |Bloom, Bonta, Buchanan, | |Bradford, | | |Daly, Gordon, Gatto, | | Ian Calderon, Campos, | | |Nazarian, Quirk-Silva | |Eggman, Gomez, Hall, | | | | |Holden, Pan, Quirk, Weber | | | | | | |-----+--------------------------+-----+--------------------------| |Nays:|Linder, Morrell, |Nays:|Harkey, Bigelow, | | |Patterson | |Donnelly, Linder, Wagner | | | | | | ----------------------------------------------------------------- SUMMARY : Establishes requirements for the operation of electric vehicle (EV) charging stations to better serve consumers. Specifically, this bill : 1)Makes findings and declarations regarding transportation sector contributions to greenhouse gas (GHG) emissions and the need to encourage infrastructure development and use of EVs. 2)Defines a variety of terms related to EV charging systems. 3)Prohibits EV charging stations from precluding non-members or non-subscribers from using the EV charging station. 4)Requires that EV charging stations disclose the total actual charges for EV charging use to the public at the point of sale, including additional network roaming charges for non-members or those without a subscription for the service. 5)Requires that EV charging stations that charge a fee for use accommodate payment methods using a credit card or other mobile technology. 6)Requires EV charging station service providers to disclose to SB 454 Page 2 the National Renewable Energy Laboratory (NREL), the EV charging station's geographic location, fee schedule, accepted methods of payment, and network roaming charges. 7)Requires that EV charging stations be labeled in accordance with federal regulations. 8)Authorizes parking facilities with EV charging stations to use appropriate directional signage to identify the location of EV charging stations within the facility. 9)Authorizes the California Air Resources Board (CARB) to adopt interoperability billing standards for EV charging stations, if such standards have not been adopted by a national standards organization by January 1, 2015. 10)Requires, if CARB adopts interoperability standards, that all EV charging stations that require payment, meet the imposed interoperability standards within one year. 11)Requires CARB, when adopting interoperability standards for EV charging stations, to consider industry-developed interoperability billing standards and authorizes CARB to adopt interoperability billing standards promulgated by outside authoritative bodies. EXISTING LAW : 1)Enacts the Global Warming Act of 2006 that requires CARB to adopt statewide GHG emissions limits equivalent to the statewide GHG emissions levels in 1990 to be achieved by 2020. 2)Requires the adoption of a state plan to increase the use of alternative transportation fuels, including setting alternative fuel goals. 3)Requires CARB to adopt regulations that achieve the maximum feasible and cost-effective reduction of GHG emissions from motor vehicles. 4)Establishes the Alternative and Renewable Fuel and Vehicle Technology Program to help implement the state's GHG emission reduction goals. SB 454 Page 3 5)Requires a manufacturer of an EV fuel dispensing system, pursuant to federal law, 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. FISCAL EFFECT : According to the Assembly Appropriations Committee, if the ARB elects to adopt interoperability payment standards, in the absence of federal action, it will incur one-time contract costs of $300,000 to adopt the standards and ongoing costs of $100,000 to monitor compliance. Since ARB indicates it does not have a fee source appropriate to do the above work, these costs would be incurred by the General Fund. COMMENTS : In March 2012, Governor Brown issued an executive order (EO) directing state government to help accelerate the market for zero-emission vehicles (ZEVs) in California. The EO also established the goal of placing 1.5 million ZEVs on California's roadways by 2025. Also, in March 2012, the California Public Utilities Commission announced a $120 million dollar settlement with NRG Energy Inc. to fund the construction of a statewide network of charging stations for ZEVs that includes at least 200 public fast-charging stations and another 10,000 plug-in units at 1,000 locations across the state. In February 2013, the Governor's Office released the ZEV Action Plan, which identified strategies and actions to meet the benchmarks in the EO. The ZEV Action Plan specifically addressed improvements to facilitate the purchase and use of ZEVs by, among other things, improving access to EV charging stations, placing charging stations in a wide variety of locations, and establishing EV charging station interoperability standards. EV owners need to have the confidence that they will be able to locate EV charging stations and charge their vehicles using consistent and reliable payment methods. The author points out, however, that EV owners often do not have broad access to EV charging stations because many privately-owned charging stations require a subscription or membership for use. The author notes that some privately-owned EV charging stations allow non-members to use the facility but only offer payment through the SB 454 Page 4 subscription service, essentially barring non-members. It is the author's contention that these practices hinder rather than help encourage EV adoption and use because if an EV owner cannot charge their vehicle, the fear that they will become stranded will cause them to use their EV less and also discourage widespread adoption of EV technology. To address these concerns, the author has introduced this bill which would improve accessibility to EV charging stations. Specifically, the bill would prohibit EV charging stations from requiring a subscription or membership as a condition of use and would further require that EV charging stations allow for payment using credit cards or other mobile technology. Additionally, this bill would require that EV charging stations provide geographic and fee information to NREL, a federally-affiliated organization that collects and distributes information free of charge, so that the information on EV charging station location and fees can be more easily disseminated to EV owners via Web sites of mobile phone applications. To further improve consumer disclosure, this bill also requires that EV charging stations be labeled in accordance with federal requirements and encourages that appropriate directional signage be placed in parking areas or other facilities where EV stations are located. The bill also authorizes CARB to adopt interoperability standards currently being developed by an industry-led effort and makes it possible for CARB adopt these standards while at the same time providing CARB with the authority to develop interoperability standards independently in the unlikely event that the industry-led effort is unsuccessful. Previous legislation : SB 880 (Corbett), Chapter 6, Statutes of 2012, made changes to the rules on installation of EV charging stations in common interest developments. SB 209 (Corbett), Chapter 121, Statutes of 2012, provided that the prohibition on the installation or use of EV charging stations in any of the governing documents of a common interest development is void and unenforceable. AB 2502 (Blumenfield), Chapter 675, Statutes of 2012, revised the automobile conditional sales contract law to allow EV SB 454 Page 5 charging stations to be sold with, and financed as part of, an automobile purchase, with a required disclosure regarding charges. SB 1310 (Kehoe), Chapter 649, Statutes of 2010, expanded the voluntary contractual assessment to finance EV charging infrastructure affixed on real property and expanded the Property Assessed Clean Energy Reserve Program to assist local jurisdictions in financing the installation of EV charging infrastructure. Analysis Prepared by : Victoria Alvarez / TRANS. / (916) 319-2093 FN: 0002141