BILL NUMBER: AB 1330 AMENDED
BILL TEXT
AMENDED IN SENATE JUNE 15, 2016
AMENDED IN SENATE SEPTEMBER 4, 2015
AMENDED IN SENATE SEPTEMBER 1, 2015
AMENDED IN SENATE AUGUST 18, 2015
AMENDED IN SENATE JUNE 30, 2015
AMENDED IN ASSEMBLY JUNE 2, 2015
AMENDED IN ASSEMBLY APRIL 27, 2015
INTRODUCED BY Assembly Member Bloom
FEBRUARY 27, 2015
An act to add Chapter 7 (commencing with Section 8400) to
Division 4.1 of the Public Utilities Code, relating to energy.
An act to amend Sections 454.55 and 454.56 of the
Public Utilities Code, relating to energy.
LEGISLATIVE COUNSEL'S DIGEST
AB 1330, as amended, Bloom. Demand response.
Energy efficiency.
Under existing law, the Public Utilities Commission (PUC) has
regulatory authority over public utilities, including electrical and
gas corporations. Existing law requires the State Energy Resources
Conservation and Development Commission, on or before November 1,
2017, and every third year thereafter, in collaboration with the PUC
and local publicly owned electric utilities, to establish annual
targets for statewide energy efficiency savings and demand reduction
that will achieve a cumulative doubling of statewide energy
efficiency savings in electricity and natural gas final end uses of
retail customers by January 1, 2030. Existing law requires the PUC to
identify all potentially achievable cost-effective electricity and
natural gas efficiency savings and to establish efficiency targets
for electrical and gas corporations to achieve.
This bill would require the PUC to ensure that there are
sufficient moneys available for electrical and gas corporations to
meet those efficiency targets, and, if the PUC finds that additional
moneys are necessary to meet those targets, to increase available
moneys up to 20% per year until the moneys available for energy
efficiency savings and demand reduction doubles from the amount
authorized on January 1, 2016.
Under existing law, the Public Utilities Commission (PUC) has
regulatory authority over public utilities, including electrical
corporations and gas corporations, as defined, while local publicly
owned electric utilities, as defined, are under the direction of
their governing boards.
The existing Warren-Alquist State Energy Resources Conservation
and Development Act requires the State Energy Resources Conservation
and Development Commission (Energy Commission), on or before November
1, 2007, and every 3 years thereafter, in consultation with the PUC
and local publicly owned electric utilities, in a public process that
allows input from other stakeholders, to develop a statewide
estimate of all potentially achievable cost-effective electricity and
natural gas efficiency savings and establish statewide annual
targets for energy efficiency savings and demand reduction over 10
years.
This bill would require the PUC, in consultation with the Energy
Commission, electrical corporations, local publicly owned electric
utilities, and community choice aggregators, by June 30, 2018, to
establish an annual goal for demand response, with a timetable for
achieving that percentage. The bill would require the PUC to require
electrical corporations to achieve the annual goal. The bill would
specify that the governing boards of local publicly owned electric
utilities and certain community choice aggregators are responsible
for achieving the annual goal.
Under existing law, a violation of any order, decision, rule,
direction, demand, or requirement of the Public Utilities Commission
is a crime.
Because a violation of an order or decision of the Public
Utilities Commission implementing the bill's requirements with
respect to an electrical corporation would be a crime, the bill would
impose a state-mandated local program by creating a new crime. By
placing additional requirements upon local publicly owned electric
utilities, the 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 specified reasons.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes no .
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 454.55 of the Public
Utilities Code is amended to read:
454.55. (a) The commission, in consultation with the Energy
Commission, shall identify all potentially achievable cost-effective
electricity efficiency savings and establish efficiency targets for
an electrical corporation to achieve, pursuant to Section 454.5,
consistent with the targets established pursuant to subdivision (c)
of Section 25310 of the Public Resources Code.
(1) By July 1, 2018, and every four years thereafter, each
electrical corporation shall report on its progress toward achieving
the targets established pursuant to subdivision (a).
(2) By July 1, 2019, and every four years thereafter, the
commission shall, pursuant to Section 9795 of the Government Code,
report to the Legislature on the progress toward achieving the
targets established pursuant to subdivision (a). The commission shall
include specific strategies for, and an update on, progress toward
maximizing the contribution of electricity efficiency savings in
disadvantaged communities identified pursuant to Section 39711 of the
Health and Safety Code.
(b) (1) By December 31, 2023, the commission shall, in a new or
existing proceeding, undertake a comprehensive review of the
feasibility, costs, barriers, and benefits of achieving a cumulative
doubling of energy efficiency savings and demand reduction by 2030
pursuant to subdivision (c) of Section 25310 of the Public Resources
Code.
(2) Notwithstanding subdivision (c) of Section 25310 of the Public
Resources Code, if the commission concludes the targets established
for electrical corporations to achieve pursuant to subdivision (a)
are not cost effective, feasible, or pose potential adverse impacts
to public health and safety, the commission shall revise the targets
to the level that optimizes the amount of energy efficiency savings
and demand reduction and shall modify, revise, or update its policies
as needed to address barriers preventing achievement of those
targets.
(c) The commission shall ensure that there are sufficient moneys
available to electrical corporations to meet the efficiency targets
established pursuant to subdivision (a). If the commission finds that
additional moneys are necessary to meet those targets, the
commission shall increase available moneys up to 20 percent per year
until the moneys available for energy efficiency savings and demand
reduction doubles from the amount authorized on January 1, 2016. This
subdivision shall not be construed to authorize the commission to
impose or increase any tax.
SEC. 2. Section 454.56 of the Public
Utilities Code is amended to read:
454.56. (a) The commission, in consultation with the Energy
Commission, shall identify all potentially achievable cost-effective
natural gas efficiency savings and establish efficiency targets for
the gas corporation to achieve, consistent with the targets
established pursuant to subdivision (c) of Section 25310 of the
Public Resources Code.
(b) A gas corporation shall first meet its unmet resource needs
through all available natural gas efficiency and demand reduction
resources that are cost effective, reliable, and feasible.
(c) By July 1, 2018, and every four years thereafter, each gas
corporation shall report on its progress toward achieving the targets
established pursuant to subdivision (a).
(d) By July 1, 2019, and every four years thereafter, the
commission shall, pursuant to Section 9795 of the Government Code,
report to the Legislature on the progress toward achieving the
targets establish pursuant to subdivision (a). The commission shall
include specific strategies for, and an update on, progress toward
maximizing the contribution of energy efficiency savings in
disadvantaged communities identified pursuant to Section 39711 of the
Health and Safety Code.
(e) Notwithstanding subdivision (c) of Section 25310 of the Public
Resources Code, if the commission concludes in its review pursuant
to paragraph (1) of subdivision (b) of Section 454.55 that the
targets established for gas corporations to achieve pursuant to
subdivision (a) are not cost effective, feasible, or pose potential
adverse impacts to public health and safety, the commission shall
revise the targets to the level that maximizes the amount of energy
efficiency savings and demand reduction and shall modify, revise, or
update its policies as needed to address barriers preventing
achievement of those targets.
(f) The commission shall ensure that there are sufficient moneys
available to gas corporations to meet the efficiency targets
established pursuant to subdivision (a). If the commission finds that
additional moneys are necessary to meet those targets, the
commission shall increase available moneys up to 20 percent per year
until the moneys available for energy efficiency savings and demand
reduction doubles from the amount authorized on January 1, 2016. This
subdivision shall not be construed to authorize the commission to
impose or increase any tax.
SECTION 1. Chapter 7 (commencing with Section
8400) is added to Division 4.1 of the Public Utilities Code, to read:
CHAPTER 7. DEMAND RESPONSE
8400. (a) By June 30, 2018, the commission, in consultation with
the Energy Commission, electrical corporations, local publicly owned
electric utilities, and community choice aggregators, in a public
process that allows input from other stakeholders, shall establish an
annual goal for demand response, with a timetable for achieving that
goal, that advances renewable energy resources integration,
greenhouse gas reductions, and grid reliability and that shall be
achieved by each electrical utility through supply-side demand
response and types of load-modifying demand response. In doing so,
the commission shall consider the role of clean technologies, such as
consumer-sited energy storage, electric vehicle charging, and
distributed generation resources.
(b) The commission shall require electrical corporations to
achieve the goal established pursuant to subdivision (a).
(c) The governing board of each local publicly owned electric
utility and each community choice aggregator that elects to
administer energy efficiency programs for its customers pursuant to
Section 381.1 shall be responsible for achieving the goal established
pursuant to subdivision (a).
SEC. 2. No reimbursement is required by this
act pursuant to Section 6 of Article XIII B of the California
Constitution because a local agency or school district has the
authority to levy service charges, fees, or assessments sufficient to
pay for the program or level of service mandated by this act or
because 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.