Amended in Assembly March 29, 2016

Amended in Assembly March 17, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 2323


Introduced by Assembly Member Ridley-Thomas

February 18, 2016


An act to add Section 740.13 to the Public Utilities Code, relating to energy.

LEGISLATIVE COUNSEL’S DIGEST

AB 2323, as amended, Ridley-Thomas. Electricity: rates: low-carbon fuel production facilities.

Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law authorizes the PUC to fix the rates and charges for every public utility, and requires that those rates and charges be just and reasonable. Existing law, with certain exceptions, prohibits a public utility from changing any rate, except upon a showing before the PUC and a finding by the PUC that the new rate is justified.

Existing law, enacted as part of the Clean Energy and Pollution Reduction Act of 2015, requires the PUC, in consultation with the State Energy Resources Conservation and Development Commission and the State Air Resources Board, to direct electrical corporations to file applications for programs and investments to accelerate widespread transportation electrification to reduce dependence on petroleum, meet air quality standards, achieve the goals set forth in the Charge Ahead California Initiative, and reduce emissions of greenhouse gases to 40% below 1990 levels by 2030 and to 80% below 1990 levels by 2050. That law requires that the programs proposed by electrical corporations seek to minimize overall costs and maximize overall benefits. The PUC is required to approve, or modify and approve, programs and investments in transportation electrification, including those that deploy charging infrastructure, through a reasonable cost recovery mechanism, if they are consistent with the above-described purposes, do not unfairly compete with nonutility enterprises, include performance accountability measures, and are in the interests of ratepayers, as specified.

This bill would require an electrical corporation that offers time-of-use rates, critical peak pricing, real-time pricing, or peak time rebates for the charging of electric vehicles, as part of a program to encourage transportation electrification, to offer similar rates to low-carbonbegin insert transportationend insert fuel production facilities and public and private fueling stations dedicated to providing low-carbon fuels for transportation purposes.

Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime.

Because the provisions of this bill are within the act, and because a violation of an order of the commission under these provisions would be a crime, 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 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:

P2    1

SECTION 1.  

Section 740.13 is added to the Public Utilities
2Code
, to read:

3

740.13.  

An electrical corporation that offers time-of-use rates,
4critical peak pricing, real-time pricing, or peak time rebates for
5the charging of electric vehicles, as part of a program to encourage
6transportation electrification, shall offer similar rates to low-carbon
7begin insert transportationend insert fuel production facilities and public and private
8fueling stations dedicated to providing low-carbon fuels for
9transportation purposes. Nothing in this section requires an
P3    1electrical corporation to offer time-of-use rates, critical peak
2pricing, real-time pricing, or peak time rebates to low-carbon
3begin insert transportationend insert fuel production facilities or low-carbon
4begin insert transportationend insert fueling stations that do not offer special electric
5service rates designed to encourage the use of electric vehicles.
6
begin insert For purposes of this section, “low-carbon transportation fuel”
7means a liquid or gaseous transportation fuel that meets the
8low-carbon fuel standard regulation end insert
begin insert(Subarticle 7 (commencing
9with Section 95480) of Article 4 of Subchapter 10 of Chapter 1 of
10Division 3 of Title 17 of the California Code of Regulations)
11requirements for reduced carbon intensity compared to the closest
12comparable petroleum fuel.end insert

13

SEC. 2.  

No reimbursement is required by this act pursuant to
14Section 6 of Article XIII B of the California Constitution because
15the only costs that may be incurred by a local agency or school
16district will be incurred because this act creates a new crime or
17infraction, eliminates a crime or infraction, or changes the penalty
18for a crime or infraction, within the meaning of Section 17556 of
19the Government Code, or changes the definition of a crime within
20the meaning of Section 6 of Article XIII B of the California
21Constitution.



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