Amended in Senate August 18, 2015

Amended in Senate June 23, 2015

Amended in Assembly June 1, 2015

Amended in Assembly April 6, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 33


Introduced by Assembly Member Quirk

December 1, 2014


An act to add Section 38561.5 to the Health and Safety Code, relating to greenhouse gases.

LEGISLATIVE COUNSEL’S DIGEST

AB 33, as amended, Quirk. California Global Warming Solutions Act of 2006: Energy Sector Emissions Reduction Advisory Council.

The California Global Warming Solutions Act of 2006 establishes the State Air Resources Board as the state agency responsible for monitoring and regulating sources emitting greenhouse gases. The act requires the state board to prepare and approve a scoping plan for achieving the maximum technologically feasible and cost-effective reductions in greenhouse gas emissions and to update the scoping plan at least once every 5 years.

This bill would establish the Energy Sector Emissions Reduction Advisory Council in state government and would require the council to recommend strategies for the electricity sector for incorporation into the scoping plan prepared by the state board, based on conclusions of specified analyses, including, among others, an analysis of the various strategies that could be implemented to reduce emissions of greenhouse gases from the electricity sector and integrate increasing amounts of renewable energy into the electricity grid. The bill would require the council to first convene by February 1, 2016, and to develop a schedule that ensures the recommendations and analyses are delivered to the state board early enough to be considered during development of the next scoping plan update. The bill would provide that the council shall cease to exist as of the end of the following December 31 after the council delivers its recommendations and analyses to the state board.

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

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

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SECTION 1.  

(a) The Legislature finds and declares all of the
2following:

3(1) Several state agencies, boards, commissions, and other
4entities possess expertise on how to reduce emissions of greenhouse
5gases from the electricity sector, in furtherance of the state’s mid-
6and long-term greenhouse gas reduction goals.

7(2) These agencies and entities have completed and are
8performing analyses of the changes that will be needed in how
9electricity is generated, delivered, and consumed throughout the
10state, and the technologies and other strategies that can be used to
11help achieve those goals.

12(3) The State Air Resources Board is charged by the California
13Global Warming Solutions Act of 2006 (Division 25.5
14(commencing with Section 38500) of the Health and Safety Code)
15with developing and updating a scoping plan to achieve the state’s
16greenhouse gas emission reduction goals.

17(4) In developing the next scoping plan update, the State Air
18Resources Board should consider the best information, modeling,
19and analysis produced by the relevant state agencies on available
20strategies that could be implemented to reduce greenhouse gas
21emissions from the state’s power supply, while ensuring the
22reliability of the electricity grid, and the technical feasibility and
23cost-effectiveness of those strategies.

24(b) The purpose and intent of this act is to complement the
25relevant state agencies’ ongoing efforts and ensure that these
26agencies coordinate, through a public process and in furtherance
27of the state’s greenhouse gas emission reduction goals, to develop
P3    1and deliver a complete and coherent set of recommendations to
2the State Air Resources Board before the next scoping plan update
3on technically feasible strategies that will achieve the required
4reductions in emissions of greenhouse gases from the electricity
5sector in a manner that is cost-effective and maintains reliability,
6including those strategies that will be needed to integrate increasing
7amounts of renewable energy into the electricity grid while
8minimizing over-generation.

9

SEC. 2.  

Section 38561.5 is added to the Health and Safety
10Code
, to read:

11

38561.5.  

(a) The Energy Sector Emissions Reduction Advisory
12Council is hereby established in state government, and it shall
13consist of all of the following members:

14(1) The chair of the State Energy Resources Conservation and
15Development Commission, or his or her designee.

16(2) The president of the Public Utilities Commission, or his or
17her designee.

18(3) The president of the California Independent System
19Operator, or his or her designee.

20(4) The chair of the State Water Resources Control Board, or
21his or her designee.

22(5) The chair of the state board, or his or her designee.

23(b) The council shall recommend strategies for the electricity
24sector, other than and in addition to any market-based mechanisms
25established pursuant to subdivision (c) of Section 38562 or Section
2638570, for incorporation into the scoping plan developed pursuant
27to Section 38561, based on the conclusions of all of the following
28analyses that the council shall complete:

29(1) An analysis of the various

30 strategies that could be implemented to reduce emissions of
31greenhouse gases from the electricity sector and integrate
32increasing amounts of renewable energy into the electricity grid,
33which evaluates and compares these strategies based upon their
34technical feasibility, cost-effectiveness, and the extent to which
35their implementation would minimize over-generation, maintain
36the reliability of the electricity grid, and reduce emissions of
37greenhouse gases. The analysis shall consider, at a minimum, all
38of the following strategies in light of the criteria indicated in this
39paragraph:

P4    1(A) Increasing the volume of renewable energy generation by
2the amounts required by state law or otherwise needed to achieve
3begin delete the goals established pursuant to Section 38550.end deletebegin insert statewide
4greenhouse gas emissions limits.end insert

5(B) Deepening regional coordination in the Western
6Interconnection.

7(C) Increasing energy storage, including pumped-hydroelectric
8storage.

9(D) Retrofitting existing natural gas-fired electrical generation
10facilities to increase their operational flexibility.

11(E) Using renewable energy generation facilities to provide
12operational flexibility.

13(F) Deploying carbon capture and storage and other greenhouse
14gas emissions reduction technology at existing fossil fuel-fired
15electrical generation facilities.

16(G) Increasing the role of demand response through all of the
17following:

18(i) Transitioning to time-of-use or real-time pricing, or both,
19for all customer classes.

20(ii) Increasing market integration of, and opportunities for,
21supply-side demand response.

22(iii) Increasing customer access to real-time or near-real-time
23energy usage and wholesale price data, enhancing the sharing of
24these data with third parties, and enabling the market for
25programmable devices that use these data.

26(H) Increasing energy efficiency.

27(I) Ensuring that adequate generating capacity remains available
28to meet demand through measures such as multi-year capacity or
29reliability payments.

30(2) An economic analysis using the best available economic
31models and data of the various strategies required to be analyzed
32pursuant to paragraph (1).

33(3) An analysis of the benefits to the health, safety, and welfare
34of state residents, worker safety, the state’s environment and quality
35of life, and any other benefits associated with the various strategies
36required to be analyzed pursuant to paragraph (1).

37(c) The council shall first convene no later than February 1,
382016, and, at that time, develop a schedule in consultation with
39the chair of the state board for delivery of the recommendations
40and analyses required by subdivision (b) that shall ensure the
P5    1recommendations and analyses are delivered to the staff of the
2state board early enough to be considered during development of
3the next scoping plan update required by Section 38561. The
4council’s preliminary recommendations and analyses shall be made
5available for public comment for no less than thirty days. After
6considering comments received, the council shall finalize and
7deliver the recommendations and analyses required by subdivision
8(b) to the state board, at which time the council’s duties shall be
9completed, and the council shall cease to exist as of the end of the
10following December 31.

11(d) The recommendations made and analyses completed
12pursuant to subdivision (b) are intended to assist in updating the
13scoping plan pursuant to Section 38561 and to inform the
14regulations and approaches of the represented agencies and do not
15change any statute, regulation, or regulatory decision.



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