Amended in Senate August 31, 2015

Amended in Senate August 18, 2015

Amended in Senate July 7, 2015

Amended in Senate June 9, 2015

Amended in Assembly April 16, 2015

California Legislature—2015–16 Regular Session

Assembly Bill No. 793

Introduced by Assembly Member Quirk

February 25, 2015

An act to amend Section 2790 of, and to add Section begin delete 8365 end delete begin insert 717 end insert to, the Public Utilities Code, relating to public utilities.

LEGISLATIVE COUNSEL’S DIGEST

AB 793, as amended, Quirk. Energy efficiency.

(1) Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations and gas corporations, as defined. Existing law requires the commission to require an electrical or gas corporation to perform home weatherization services for low-income customers if the commission determines that a significant need for those services exists in the corporation’s service territory. For these purposes, existing law authorizes weatherization, where feasible, to include certain measures for a dwelling unit. Existing law also authorizes weatherization, for these purposes, to include other measures determined by the commission to be feasible, taking into consideration the cost-effectiveness of the measures as a whole and the policy of reducing energy-related hardships facing low-income households.

This bill would require weatherization, for the above-specified purposes, to include energy management technology determined by the commission to be feasible, taking into consideration the above-described factors.

(2) Existing law requires the commission, by July 1, 2010, and in consultation with the State Energy Resources Conservation and Development Commission, the Independent System Operator, and other key stakeholders, to determine the requirements for a smart grid deployment plan consistent with specified policies and federal law. Existing law requires each electrical corporation, by July 1, 2011, to develop and submit a smart grid deployment plan to the commission for approval.

This bill would require the commission to require an electrical or gas corporation to develop a program to provide incentives to a residential or small or medium business customer to acquire energy management technology for use in the customer’s home or place of business. The bill would require the commission to require an electrical or gas corporation to develop a plan to educate residential customers and small and medium business customers about the incentive program. The bill would require the commission to require the electrical or gas corporation to annually report to the commission on actual customer savings resulting from the incentive program.

The bill would require the commission to evaluate all electrical or gas corporation energy savings claims achieved pursuant to the incentive program described above in a manner consistent with commission-adopted evaluation protocols.

(3) Because a violation of any part of any order, decision, rule, direction, demand, or requirement of the Public Utilities Commission is a crime, this bill would impose a state-mandated local program.

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:

begin insert

begin insert SECTION 1. end insert   

end insert

begin insert Section 717 is added to the end insert begin insert Public Utilities Code end insert begin insert ,
to read: end insert

begin insert

begin insert 717. end insert   

(a) The commission shall require an electrical or gas
corporation to do all of the following:

(1) Develop a program no later than January 1, 2017, within
the electrical or gas corporation’s demand-side management
programs authorized by the commission, to provide incentives to
a residential or small or medium business customer to acquire
energy management technology for use in the customer’s home or
place of business. The electrical or gas corporation may allow
third parties or local governments to apply for incentives on behalf
of customers. The electrical or gas corporation shall work with
third parties, local governments, and other interested parties in
developing the program. The electrical or gas corporation shall
establish incentive amounts based on savings estimation and
baseline policies adopted by the commission.

(2) Develop a plan by September 30, 2016, to educate residential
customers and small and medium business customers about the
incentive program developed pursuant to paragraph (1). The
commission may require that the plan be integrated into, or
coordinated with, any education campaign required by the
commission.

(3) Annually report to the commission on actual customer
savings resulting from the incentive program established pursuant
to this section. The commission shall evaluate all electrical or gas
corporation energy savings claims achieved pursuant to the
incentive program in a manner consistent with commission-adopted
evaluation protocols and determine if the program shall continue
or be modified.

(b) For purposes of this section, “energy management
technology” may include a product, service, or software that allows
a customer to better understand and manage electricity or gas use
in the customer’s home or place of business.

(c) Nothing in this section shall be construed to amend or limit
the ability of a community choice aggregator to apply to administer
an energy efficiency or conservation program or a demand-side
management program as set forth in Section 381.1.

end insert

begin delete SECTION 1. end delete
begin insert SEC. 2. end insert   

Section 2790 of the Public Utilities Code is amended
to read:

2790.  

(a) The commission shall require an electrical or gas
corporation to perform home weatherization services for
low-income customers, as determined by the commission under
Section 739, if the commission determines that a significant need
for those services exists in the corporation’s service territory, taking
into consideration both the cost-effectiveness of the services and
the policy of reducing the hardships facing low-income households.

(b) (1) For purposes of this section, “weatherization” may
include, where feasible, any of the following measures for any
dwelling unit:

(A) Attic insulation.

(B) Caulking.

(C) Weatherstripping.

(D) Low flow showerhead.

(E) Waterheater blanket.

(F) Door and building envelope repairs that reduce air
infiltration.

(2) The commission shall direct any electrical or gas corporation
to provide as many of these measures as are feasible for each
eligible low-income dwelling unit.

(c) “Weatherization” may also include other building
conservation measures, energy management technology,
energy-efficient appliances, and energy education programs
determined by the commission to be feasible, taking into
consideration for all measures both the cost-effectiveness of the
measures as a whole and the policy of reducing energy-related
hardships facing low-income households.

(d) Weatherization programs shall use the needs assessment
pursuant to Section 382.1 to maximize efficiency of delivery.

(e) For purposes of this section, “energy management
technology” may include a product, service, or software that allows
a customer to better understand and manage begin delete energy end delete begin insert electricity or
gas end insert use in the customer’s home.

begin delete

SEC. 2.  

Section 8365 is added to the Public Utilities Code, to
read:

8365.  

(a) The commission shall require an electrical or gas
corporation to do the following:

(1) Develop a program no later than January 1, 2017, within the
electrical or gas corporation’s demand-side management programs
authorized by the commission, to provide incentives to a residential
or small or medium business customer to acquire energy
management technology for use in the customer’s home or place
of business. The electrical or gas corporation may allow third
parties or local governments to apply for incentives on behalf of
customers. The electrical or gas corporation shall work with third
parties, local governments, and other interested parties in
developing the program. The electrical or gas corporation shall
establish incentive amounts based on savings estimation and
baseline policies adopted by the commission.

(2) Develop a plan by September 30, 2016, to educate residential
customers and small and medium business customers about the
incentive program developed pursuant to paragraph (1). The
commission may require that the plan be integrated into, or
coordinated with, any education campaign required by the
commission.

(3) Annually report to the commission on actual customer
savings resulting from the incentive program established pursuant
to this section. The commission shall evaluate all electrical or gas
corporation energy savings claims achieved pursuant to the
incentive program in a manner consistent with commission-adopted
evaluation protocols and determine if the program shall continue
or be modified.

(b) For purposes of this section, “energy management
technology” may include a product, service, or software that allows
a customer to better understand and manage electricity use in the
customer’s home or place of business.

(c) Nothing in this section shall be construed to amend or limit
the ability of a community choice aggregator to apply to administer
an energy efficiency or conservation program or a demand-side
management program as set forth in Section 381.1.

end delete

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.