Amended in Assembly March 17, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 2271


Introduced by Assembly Member Quirk

February 18, 2016


begin deleteAn act to amend Section 388 of the Public Utilities Code, relating to energy. end deletebegin insertAn act to add Section 713 to the Public Utilities Code, relating to electricity.end insert

LEGISLATIVE COUNSEL’S DIGEST

AB 2271, as amended, Quirk. begin deleteEnergy efficiency. end deletebegin insertElectricity: research programs: peer review.end insert

begin insert

Existing law provides the Public Utilities Commission with broad authority over public utilities, including electrical corporations. Existing law requires the commission to convene, or continue, until August 26, 2025, an independent peer review panel to conduct an independent review of enhanced seismic studies and surveys of a certain nuclear powerplant.

end insert
begin insert

This bill would require the commission to establish a procedure for an independent peer review of certain research programs proposed by an electrical corporation for approval by the commission. The bill would require the independent peer review of a proposed research program to be conducted upon the commission’s receipt of the proposed program. The bill would require the commission to make available to the public on its Internet Web site the results of the review upon approval of the program.

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Existing law authorizes any state agency to enter into an energy savings contract with a qualified energy service company for the purchase or exchange of thermal or electrical energy or water, or to acquire energy efficiency services, water conservation services, or both, for a term not exceeding 35 years, at those rates and upon those terms that are approved by the agency.

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This bill would make nonsubstantive revisions to this authorization.

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Vote: majority. Appropriation: no. Fiscal committee: begin deleteno end deletebegin insertyesend insert. State-mandated local program: no.

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

P2    1begin insert

begin insertSECTION 1.end insert  

end insert

begin insertSection 713 is added to the end insertbegin insertPublic Utilities Codeend insertbegin insert,
2to read:end insert

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3

begin insert713.end insert  

(a) For purposes of this section, “research programs”
4means programs for the development of novel and innovative
5processes that are proposed by electrical corporations for approval
6by the commission and that would be funded through the rates of
7ratepayers of the electrical corporations. Research programs do
8not include programs that are funded pursuant to the Public
9Interest Energy Research, Demonstration, and Development
10Program (Chapter 7.1 (commencing with Section 25620) of
11Division 15 of the Public Resources Code) or the Electric Program
12Investment Charge program developed pursuant to Section 25711.5
13of the Public Resources Code.

14(b) The commission shall establish a procedure for independent
15peer review of research programs proposed by an electrical
16corporation. The independent peer review shall be conducted in
17accordance with the procedure upon the commission’s receipt of
18a proposed research program.

19(c) The commission shall make available to the public on its
20Internet Web site the results of the review upon the approval of
21the research program.

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22

SECTION 1.  

Section 388 of the Public Utilities Code is
23amended to read:

24

388.  

(a) Notwithstanding any other provision of law, a state
25agency may enter into an energy savings contract with a qualified
26energy service company for the purchase or exchange of thermal
27or electrical energy or water, or to acquire energy efficiency
28services, water conservation services, or both, for a term not
29exceeding 35 years, at those rates and upon those terms that are
30approved by the agency.

P3    1(b) The Department of General Services or any other state or
2local agency intending to enter into an energy savings contract
3may establish a pool of qualified energy service companies based
4on qualifications, experience, pricing, or other pertinent factors.
5Energy service contracts for individual projects undertaken by any
6state or local agency may be awarded through a competitive
7selection process to individuals or firms identified in such a pool.
8The pool of qualified energy service companies and contractors
9shall be reestablished at least every two years or shall expire.

10(c) For purposes of this section, the following definitions apply:

11(1) “Energy savings” means a measured and verified reduction
12in fuel, energy, or water consumption when compared to an
13established baseline of consumption.

14(2) “Qualified energy service company” means a company with
15a demonstrated ability to provide or arrange for building or facility
16energy auditors, selection and design of appropriate energy savings
17measures, project financing, implementation of these measures,
18and maintenance and ongoing measurement of these measures as
19to ensure and verify energy savings.

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