BILL NUMBER: SB 699 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY JUNE 19, 2013
AMENDED IN SENATE MAY 8, 2013
AMENDED IN SENATE APRIL 4, 2013
INTRODUCED BY Senator Hill
FEBRUARY 22, 2013
An act to add Section 586 353.17 to
the Public Utilities Code, relating to electricity.
LEGISLATIVE COUNSEL'S DIGEST
SB 699, as amended, Hill. Electricity: electrical corporations:
reporting. Clean distributed energy resources.
Under existing law, the Public Utilities Commission has regulatory
authority over public utilities, including electrical corporations,
as defined. The Public Utilities Act requires each public
utility to furnish such reports to the commission at such time and in
such form as the commission may require and in those reports the
utility is required to specifically answer all questions propounded
by the commission. The act authorizes the commission to require any
public utility to file periodic reports concerning any matter about
which the commission is authorized by any law to inquire or to keep
itself informed, or which it is required to enforce
each electrical corporation, as a part of its distribution planning
process, to consider specified nonutility owned distributed energy
resources as an alternative to investments in its distribution system
to ensure reliable electric services at the lowest possible costs
.
This bill would require an electrical corporation to
annually report to the commission capital expenditures included in
the distribution category of the electrical corporation's ratebase
for each project. The bill would require an electrical corporation to
report all interconnection costs charged to the customer for each
interconnection agreement to interconnect distributed energy
resources. the Public Utilities Commission, in
consultation with the State Energy Resources Conservation and
Development Commission, to direct an electrical corporation to, among
other things, determine the location on the distribution grid where
clean distributed energy resources, as defined, will provide optimal
benefits and to procure clean distributed energy resources to meet
distribution grid needs as a part of the electrical corporation's
transmission and distribution grid infrastructure investments.
Under existing law, a violation of the Public Utilities Act or any
order, decision, rule, direction, demand, or requirement of the
Public Utilities Commission is a crime.
Because the provisions of this bill are within the act and require
action by the Public Utilities Commission to implement its
requirements, a violation of these provisions would impose a
state-mandated local program by creating a new crime.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares all of the
following:
(a) Distributed Clean distributed
energy resources, including distributed generation, can reduce
emissions of greenhouse gases, reduce criteria air pollution, reduce
water consumption, increase grid reliability, localize power
generation, and decrease reliance on large, polluting generation
facilities.
(b) The Legislature has established programs and policies to
support the commercialization and growth of clean
distributed generation technologies, including the California Solar
Initiative, combined heat and power feed-in tariffs pursuant to the
Waste Heat and Carbon Emissions Reduction Act, the self-generation
incentive program, and the renewable market adjusting tariff.
(c) A central impediment to increased proliferation of distributed
energy resources is a lack of transparency in current utility
infrastructure investments in the distribution grid and in the costs
and process associated with interconnection to the utility grid,
costs that are ultimately born borne by
ratepayers.
(d) Transparency on what distribution grid investments have been
made will allow policymakers and stakeholders to better understand
and evaluate what types of clean distributed energy
resources may be more cost effective and better serve the grid and
ratepayers for future investments.
SEC. 2. Section 586 is added to the Public
Utilities Code, to read:
586. (a) For capital expenditures included in the distribution
category of the electrical corporation's ratebase, the electrical
corporation shall annually report expenditures for each project,
including all of the following:
(1) The total dollar amount.
(2) The type of equipment installed.
(3) The purpose of the expenditure.
(4) Whether or not the installations affect the interconnection
and management of distributed energy resources.
(b) For each interconnection agreement executed with customers
that interconnect distributed energy resources, the electrical
corporation shall report all interconnection costs charged to the
customer.
SEC. 2. Section 353.17 is added to the
Public Utilities Code , to read:
353.17. (a) The commission, in consultation with the Energy
Commission, shall direct each electrical corporation to do all of the
following:
(1) Determine the location on the distribution grid where clean
distributed energy resources will provide optimal benefits.
(2) Quantify the benefits of those resources.
(3) Report to the commission the costs and locations of current
investments in the distribution grid, including relevance to the
interconnection and management of clean distributed energy resources.
(4) Procure clean distributed energy resources to meet
distribution grid needs as a part of the electrical corporation's
transmission and distribution grid infrastructure investments.
(b) For the purposes of this section, "clean distributed energy
resources" means an electric generation technology that meets both of
the following requirements:
(1) Reduces greenhouse gas emissions as determined by the State
Air Resources Board greenhouse gas emissions factor pursuant to the
California Global Warming Solutions Act of 2006 (Division 25.5
(commencing with Section 38500) of the Health and Safety Code).
(2) Complies with emission standards and guidance adopted by the
State Air Resources Board pursuant to Sections 41514.9 and 41514.10
of the Health and Safety Code.
(3) Is interconnected to the electrical corporation's distribution
grid.
SEC. 3. No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.