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          |SENATE RULES COMMITTEE            |                  AB 1923|
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                                 THIRD READING


          Bill No:  AB 1923
          Author:   Evans (D)
          Amended:  4/8/10 in Assembly
          Vote:     21

           
           SENATE ENERGY, U.&C. COMMITTEE  :  6-3, 6/15/10
          AYES:  Corbett, Florez, Kehoe, Lowenthal, Simitian, Wright
          NOES:  Padilla, Dutton, Strickland
          NO VOTE RECORDED:  Cox, Oropeza

           ASSEMBLY FLOOR  :  46-25, 5/6/10 - See last page for vote


           SUBJECT  :    Solar energy systems:  theft prevention

           SOURCE :     Author


           DIGEST  :    This bill authorizes the Public Utilities  
          Commission (PUC) to use funds dedicated for research and  
          development from the California Solar Initiative for  
          antitheft technology to protect investments in solar energy  
          systems.

           ANALYSIS  :    Current law provides $3.3 billion in  
          ratepayer-funded incentives for the California Solar  
          Initiative (CSI) which includes $50 million for Research,  
          Development, Deployment, and Demonstration (RD&D) for  
          development of solar and other distributed generation  
          technologies. 

          Current law requires the Public Utilities Commission (PUC)  
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          to report to the Legislature a description of each RD&D  
          grant awarded, including the intended purpose(s) to be  
          achieved by the particular grant, and the results of each  
          grant.

          This bill authorizes the PUC to allocate RD&D funds for  
          RD&D of anti-theft technology to protect investments in  
          solar energy systems. 

           Background  

          The CSI has a budget of $3.3 billion of which $50 million  
          is allocated for RD&D.  Approximately half of that $50  
          million has been allocated by the PUC in the form of  
          competitive grants.  Currently the intended use of the RD&D  
          money is to fund solar research and demonstration projects  
          that will measurably reduce the cost of and accelerate the  
          installation of solar and other distributed technologies  
          that could employ solar for generation, storage, or that  
          could reduce the use of natural gas.  While none of that  
          RD&D money is currently spent on solar security, the RD&D  
          program does not prevent the PUC from awarding a contract  
          to a project related to anti-theft technologies.

          The nation's domestic solar photovoltaic market grew from  
          220 megawatts (MW) in 2007 to 357 MW in 2008.  There were  
          more than 60,000 distributed solar electric systems  
          interconnected across the United States by the end of 2008.  
           Unfortunately, this increase in the number of  
          installations has created more opportunity for solar panel  
          theft.  According to the California State Sheriffs'  
          Association, between June 2008 and September 2009 in Napa  
          County alone, over 400 solar panels worth more than  
          $400,000 were stolen from wineries.  Solar panels that are  
          stolen are nearly impossible to recover because many panels  
          have no serial number or other method of identification.   
          Consequently, the potential for contractors to buy them  
          cheap and sell them back to customers at full price without  
          any repercussions exists.  Each three-foot by four-foot  
          panel costs approximately $1,000 or more.  It has been  
          estimated that two people working together can dismantle a  
          fairly large solar array and abscond with as many as 50  
          panels in approximately an hour.  "Putting them up takes  
          some time, taking them down is simple."  There are current  

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          security options for solar panels:  While there are no  
          foolproof systems to prevent theft, in the last few years  
          several companies have begun selling customized  
          stainless-steel nuts and bolts to lock the panels down.   
          The fasteners fit the different types of solar rack  
          assemblies and can be cut in a one-of-a-kind pattern so  
          regular wrenches and screwdrivers do not work to remove the  
          panels.  The installer and/or owner keep the key.  The cost  
          is approximately $400 for installation of a 50-panel  
          system.  

          A second solar security option involves wiring an alarm  
          through each panel that sounds a 120 decibel siren if a  
          panel connection is disturbed.  Simultaneously, the system  
          dials up to eight pre-programmed numbers to notify the  
          owner and police.  The cost of these systems is between  
          $1,000 to $2,000. 

          While the CSI has not focused on distributed solar security  
          technologies, the CSI program "promotes" the use of  
          continuous metering and monitoring technologies that notify  
          system owners immediately if the system has been tampered  
          with.  Specifically, the CSI program rules currently  
          require metering and monitoring on all systems (with an  
          exception for small systems and systems built before 2007).  
           In addition, the CSI program conducts marketing and  
          outreach to potential and existing solar customers.  These  
          programs have been expanded to include additional  
          information about avoiding solar system theft. 

           Federal Action  .  United States Representative Mike Thompson  
          (Napa Valley) has added a provision against solar thefts in  
          the Solar Technology Roadmap Act.  The provision creates a  
          national registry for solar panel serial numbers than can  
          be referred to in case of theft.  The bill has been passed  
          by the House of Representatives and now awaits a Senate  
          vote.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No    
          Local:  No

           SUPPORT  :   (Verified  6/16/10)

          California Solar Industries Association

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          California State Sheriffs' Association 
          Napa County Sheriff-Coroner's Office
          Napa Valley Vintners
          Pacific Gas and Electric Company 
          Wine Institute

           OPPOSITION  :    (Verified  6/16/10)

          Public Utilities Commission

           ARGUMENTS IN SUPPORT  :    The Napa County Sheriff's  
          Department noted that in Napa County alone, more than  
          $400,000 worth of solar panels have been stolen in just  
          over a year.  Wineries, with large ground-level installed  
          arrays, have been particularly hard hit.  Moreover, there  
          have been numerous newspaper articles highlighting the  
          issue.  Thieves steal the solar energy systems because they  
          are out in fields and not on roof-tops.  This is 
          not a problem exclusively incurred by wineries.  Many  
          agricultural areas have experienced increased rates of  
          theft of solar energy systems. 

           ARGUMENTS IN OPPOSITION  :    The PUC argues that this bill  
          is unnecessary due to the fact that the PUC RD&D program  
          does not prevent the PUC from awarding a contract to a  
          project related to anti-theft technologies.   
           

           ASSEMBLY FLOOR  :
          AYES:  Ammiano, Arambula, Beall, Blakeslee, Blumenfield,  
            Bradford, Brownley, Buchanan, Caballero, Charles  
            Calderon, Carter, Chesbro, Coto, Davis, De Leon, Eng,  
            Evans, Feuer, Fong, Fuentes, Furutani, Galgiani, Hall,  
            Hayashi, Hernandez, Hill, Huber, Huffman, Jones, Lieu,  
            Bonnie Lowenthal, Ma, Nava, V. Manuel Perez, Portantino,  
            Ruskin, Salas, Saldana, Skinner, Solorio, Swanson,  
            Torlakson, Torres, Torrico, Yamada, John A. Perez
          NOES:  Adams, Anderson, Bill Berryhill, Tom Berryhill,  
            Conway, Cook, DeVore, Fletcher, Fuller, Gaines, Garrick,  
            Hagman, Harkey, Jeffries, Knight, Logue, Miller,  
            Nestande, Niello, Nielsen, Silva, Smyth, Audra  
            Strickland, Tran, Villines
          NO VOTE RECORDED:  Bass, Block, De La Torre, Emmerson,  
            Gilmore, Mendoza, Monning, Norby, Vacancy

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          DLW:mw  6/16/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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