BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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                              UNFINISHED BUSINESS


          Bill No:  SB 626
          Author:   Kehoe (D)
          Amended:  7/1/09
          Vote:     21

           
           SENATE ENERGY, U. & C. COMMITTEE  :  11-0, 4/21/09
          AYES:  Padilla, Benoit, Calderon, Corbett, Cox, Kehoe,  
            Lowenthal, Simitian, Strickland, Wiggins, Wright

           SENATE TRANSPORTATION & HOUSING COMMITTEE  :  9-1, 4/28/09
          AYES:  Lowenthal, Huff, Ashburn, DeSaulnier, Harman, Kehoe,  
            Pavley, Simitian, Wolk
          NOES:  Hollingsworth
          NO VOTE RECORDED:  Oropeza

           SENATE APPROPRIATIONS COMMITTEE  :  11-0, 5/18/09
          AYES:  Kehoe, Cox, Corbett, Denham, DeSaulnier, Hancock,  
            Leno, Runner, Wolk, Wyland, Yee
          NO VOTE RECORDED:  Oropeza, Walters

           SENATE FLOOR  :  30-1, 6/1/09
          AYES:  Aanestad, Alquist, Calderon, Cogdill, Corbett,  
            Correa, Cox, DeSaulnier, Florez, Hancock, Harman, Huff,  
            Kehoe, Leno, Liu, Lowenthal, Maldonado, Negrete McLeod,  
            Oropeza, Padilla, Pavley, Romero, Runner, Simitian,  
            Steinberg, Strickland, Wiggins, Wolk, Wright, Wyland
          NOES:  Hollingsworth
          NO VOTE RECORDED:  Ashburn, Benoit, Cedillo, Denham,  
            Ducheny, Dutton, Walters, Yee, Vacancy

           ASSEMBLY FLOOR  :  58-17, 9/2/09 - See last page for vote

                                                           CONTINUED





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           SUBJECT :    Electrical infrastructure:  plug-in hybrid and  
          electric vehicles

           SOURCE  :     Author


           DIGEST  :    This bill requires the Public Utilities  
          Commission, in consultation with specified parties, to  
          evaluate policies to provide fueling infrastructure for  
          plug-in hybrid and electric vehicles.

           Assembly Amendments change the date by which the Public  
          Utilities Commission is to adopt rules from January 1, 2011  
          to July 1, 2011.

           ANALYSIS :    In 2006, the Legislature passed and the  
          Governor signed AB 32 (Nunez and Pavley), Chapter 488,  
          Statutes of 2006, to establish a statewide greenhouse gas  
          emissions limit such that by 2020 California reduces its  
          greenhouse gas emissions to the level they were in 1990.

          Existing law authorizes the California Energy Commission  
          (CEC) to monitor transportation fuel supplies and prices in  
          California, including publishing a biennial integrated  
          energy policy report that examines issues of supply,  
          demand, and supply reliability for transportation fuel. 

          Existing law charges the Air Resource Board (ARB) with  
          primary responsibility for the control of mobile source air  
          pollution, including the adoption of rules for the  
          reduction of harmful vehicle emissions and the  
          specification of vehicular fuel composition.

          Existing law requires the Public Utilities Commission  
          (PUC), in consultation with the CEC, ARB, the air quality  
          management districts and air pollution control districts,  
          regulated electrical and natural gas corporations, and the  
          motor vehicle industry to evaluate and implement policies  
          that promote the use of electric power and natural gas to  
          fuel low-emission vehicles.  The PUC shall report every two  
          years beginning January 30, 1993, on the policy it and  
          other agencies implement.








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          This bill requires the PUC, in consultation with the CEC,  
          ARB, electrical corporations, and the motor vehicle  
          industry, to evaluate policies to develop infrastructure  
          sufficient to overcome any barriers to the widespread  
          deployment and use of plug-in hybrid and electric vehicles.  
          Specifically, this bill requires the PUC, by July 1, 2011,  
          to adopt rules to address:

          1. Electricity-delivery infrastructure needed to  
             accommodate the widespread use of plug-in hybrid and  
             electric vehicles, including the development of public  
             charging infrastructure.

          2. The impact of plug-in hybrid and electric vehicles on  
             power grid stability.

          3. The technical advances needed and the state role in  
             providing these advances to ensure the widespread use of  
             plug-in hybrid and electric vehicles.

          4. Existing legal impediments to the widespread use of  
             these vehicles and recommended changes to those legal  
             impediments.

          5. The role the state should take to ensure that  
             technologies employed in plug-in hybrid and electric  
             vehicles are harmonized across utility service areas.

          6. The impact of widespread use of plug-in hybrid and  
             electric vehicles on achieving the state's AB 32 goals  
             and renewables portfolio standards, including what steps  
             should be taken to address shifting emissions reductions  
             from the transportation sector to the electrical  
             industry.

           Background  

           Plug-in hybrid vehicles  .  Plug-in hybrid electric vehicles  
          are powered both by an engine that runs on a fuel, such as  
          gasoline, and an electric motor that runs on a battery,  
          which is rechargeable by plugging it into an electrical  
          outlet.  With the exception of a small number of  
          demonstration vehicles, the only plug-in hybrids available  
          today are conversions of the commercially available  







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          standard hybrids, such as the Toyota Prius.  Plug-in  
          conversions are reported to obtain approximately 100 miles  
          to the gallon.

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

          According to the Assembly Appropriations Committee,  
          one-time special fund costs to the PUC of $110,000 for one  
          regulatory analyst position to administer and conduct a  
          proceeding within the allotted 18-month time frame.

           SUPPORT  :   (Verified  9/3/09)

          AAA
          American Federation of State, County and Municipal  
          Employees
          California Electric Transportation Coalition
          Nissan North America
          Plug in America
          PowerGenix (Scripps Ranch)
          Tesla Motors
          Toyota Motor North America, Inc.
          Union of Concerned Scientists


           ARGUMENTS IN SUPPORT  :    While various programs of the CEC  
          and the ARB examine lower carbon fuels and the  
          infrastructure required to deploy these fuels, the author's  
          office asserts that the state also needs to examine how  
          electric vehicle infrastructure will be integrated into the  
          state power grid.  Proponents note that the impact of  
          plug-in vehicles on California's electric utility systems  
          and infrastructure could be significant, unless utilities  
          are able to shift the time that consumers charge them to  
          off-peak periods.  They assert that utilities need to  
          evaluate potential impacts of large numbers of plug-in  
          vehicles on their systems and to develop strategies to  
          address this electrical load.  This bill directs the PUC to  
          begin that process.
          

           ASSEMBLY FLOOR  : 
          AYES:  Ammiano, Arambula, Beall, Bill Berryhill, Blakeslee,  







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


          DLW:mw  9/3/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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