SB 1305, as introduced, Morrell. Advanced electrical distributed generation technology.
Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations, as defined. The existing definition of an electrical corporation excludes a corporation or person employing cogeneration, as defined, or producing electricity from other than a conventional power source for certain purposes. Existing law places certain limitations upon gas rates and surcharges charged cogenerators. Existing law prohibits placing alternative fuel capability requirements upon gas customers that use gas for purposes of cogeneration.
Existing law authorizes the commission and the State Air Resources Board to treat advanced electrical distributed generation technology, as defined, as cogeneration, and makes the existing limitations upon gas rates and surcharges charged to cogenerators applicable to an advanced electrical distributed generation technology. Existing law also makes the prohibition upon placing alternative fuel capability requirements upon gas customers that use gas for purposes of cogeneration applicable to a generator using advanced electrical distributed generation technology. These provisions do not apply to an advanced electrical distributed generation technology that is first operational at a site on and after January 1, 2016.
This bill would delete those provisions relating to advanced electrical distributed generation technology.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 379.8 of the Public Utilities Code is 
2repealed.
(a) As used in this section, “advanced electrical 
4distributed generation technology” means any electrical distributed 
5generation technology that generates useful electricity and meets 
6all of the following conditions:
7(1) The emissions standards adopted by the State Air Resources 
8Board pursuant to the distributed generation certification program 
9requirements of Article 3 (commencing with Section 94200) of 
10Subchapter 8 of Chapter 1 of Division 3 of Title 17 of the 
11California Code of Regulations.
12(2) Produces de minimis emissions of sulfur oxides and nitrogen 
13oxides.
14(3) Meets the greenhouse gases
				  emission performance standard 
15established by the commission pursuant to Section 8341.
16(4) Has a total electrical efficiency of not less than 45 percent. 
17If legislation is enacted that increases the 42.5 percent efficiency 
18described in subdivision (b) of Section 216.6 above 45 percent, 
19the commission may adjust the electrical efficiency standard 
20described in this paragraph to ensure that this electrical efficiency 
21standard meets or exceeds the standard enacted for the purposes 
22of subdivision (b) of Section 216.6.
23(5) Is sized to meet the generator’s onsite electrical demand.
24(6) Has parallel operation to the electrical distribution grid.
25(7) Utilizes renewable or nonrenewable fuel.
26(b) (1) An advanced electrical distributed generation technology 
27shall qualify for the rate established by the commission pursuant 
28to Section 454.4.
29(2) The limitation in subdivision (b) of Section 6352 upon the 
30assessment of surcharges for gas used to generate electricity by a 
31nonutility facility applies to an advanced electrical distributed 
32generation technology.
P3    1(3) The limitation in Section 2773.5 upon imposing alternative 
2fuel capability requirements upon gas customers that use gas for 
3purposes of cogeneration applies to an advanced electrical 
4distributed generation technology.
5(c) The commission or State Air Resources Board may, in 
6furtherance of the state’s goals for achieving cost-effective 
7reductions in emissions of greenhouse gases, meeting resource 
8adequacy requirements,
				  or meeting the renewables portfolio 
9standard, treat advanced electrical distributed generation technology 
10as cogeneration.
11(d) Subdivisions (b) and (c) do not apply to an advanced 
12electrical distributed generation technology that is first operational 
13at a site on and after January 1, 2016.
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