BILL ANALYSIS
AB 2724
Page 1
ASSEMBLY THIRD READING
AB 2724 (Blumenfield)
As Amended April 27, 2010
Majority vote
UTILITIES & COMMERCE 10-0 NATURAL
RESOURCES 8-0
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|Ayes:|Bradford, Knight, Carter, |Ayes:|Chesbro, Gilmore, |
| |Fong, Fuentes, Furutani, | |Brownley, Hill, Huffman, |
| |Huffman, Ma, Skinner, | |Knight, Logue, Skinner |
| |Swanson | | |
| | | | |
|-----+--------------------------+-----+--------------------------|
| | | | |
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APPROPRIATIONS 17-0
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|Ayes:|Fuentes, Conway, Ammiano, | | |
| |Bradford, Charles | | |
| |Calderon, Coto, Davis, | | |
| |Monning, Ruskin, Harkey, | | |
| |Miller, Nielsen, Norby, | | |
| |Skinner, Solorio, | | |
| |Torlakson, Torrico | | |
| | | | |
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SUMMARY : Allows a state agency to receive a credit on their
electric bill for a state facility at one location, for power
generated by a renewable energy facility owned by the state at a
different location. Allows the state to exceed the currently
allowable amount of rebates from the California Solar Initiative
(CSI).
FISCAL EFFECT : Special fund costs to CPUC of about $170,000 in
the first year for 1.5 regulatory analyst positions to initiate
the required changes to the bill credit program and the CSI, and
$115,000 ongoing for one position to implement and to monitor
the impacts of the program. [Public Utilities Reimbursement
Account]
COMMENTS : AB 2466 (Laird), Chapter 540, Statutes of 2008,
AB 2724
Page 2
allows a local governmental entity to locate a renewable
electricity generating facility in one location and have the
utility credit the output of that facility against electricity
the local government consumes at another location. It required
the system to be sized to offset all or part of the electrical
load of the benefiting account. AB 2466 includes cities and
counties, school districts, and special districts. This bill
would expand the program eligibility to state buildings.
There is a concern that if the eligibility is extended to state
facilities, the funds could be depleted sooner than expected and
reward those contractors with existing state contracts or
service agreements. Current law allows the CSI rebates on the
first MW of solar installation. This bill allows the state to
apply for rebates for the full 5 MW of capacity.
Analysis Prepared by : DaVina Flemings / U. & C. / (916)
319-2083
FN: 0004678