BILL ANALYSIS
AB 1947
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 1947 (Fong and Jones)
As Amended June 17, 2010
Majority vote
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|ASSEMBLY: |50-24|(June 2, 2010) |SENATE: |24-12|(August 23, |
| | | | | |2010) |
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Original Committee Reference: U. & C.
SUMMARY : Permits a publicly owned utility (POU) to implement a
solar program that allows customers to offset part or all of
their electricity demand, with a solar energy system not located
on the premises of the consumer.
The Senate amendment is minor and technical, and placed the
description of the system as a "combined residential and
commercial solar energy system" in the appropriate subsection.
EXISTING LAW establishes the California Solar Initiative (CSI),
which sets a goal for investor-owned utilities (IOUs) and POUs
to install 3,000 megawatts of photovoltaic (PV) solar energy in
California within 10 years and establishes criteria, including
that the solar energy system be located on the same premises of
the end-use consumer where the consumer's own electricity demand
is located, and is intended to offset part or all of that
customer's demand.
AS PASSED BY THE ASSEMBLY , this bill was virtually identical;
however, it included the description of the system in a
less-appropriate subsection.
FISCAL EFFECT : Keyed nonfiscal by Legislative Counsel.
COMMENTS : This bill is intended to assist a POU with achieving
its CSI goals. In IOU territories, because of deregulation and
the energy crisis, rates are high enough to provide individual
customers incentive to invest in solar PV panels to offset their
own load. This takes a substantial up-front investment for an
average single-family home and the payback period is usually
about five years or less. Because the Sacramento Municipal
Utility District and other POUs' retail prices can be
substantially less, it takes longer for the investment to pay
AB 1947
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off and customers are less likely to invest in solar PV for
financial reasons if they have to install it on their own
premises.
Analysis Prepared by : Gina Adams / U. & C. / 319-2083
FN: 0005176