BILL ANALYSIS
SB 837
Page 1
SENATE THIRD READING
SB 837 (Florez)
As Amended August 2, 2010
Majority vote
SENATE VOTE :21-11
UTILITIES & COMMERCE 14-1
APPROPRIATIONS 16-0
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|Ayes:|Bradford, Knight, Tom |Ayes:|Fuentes, Conway, |
| |Berryhill, Buchanan, | |Bradford, |
| |Carter, Fong, Fuentes, | |Charles Calderon, Coto, |
| |Fuller, Furutani, | |Davis, |
| |Huffman, Ma, Skinner, | |De Leon, Gatto, Hall, |
| |Swanson, Villines | |Miller, Nielsen, Norby, |
| | | |Skinner, Solorio, |
| | | |Torlakson, Torrico |
| | | | |
|-----+--------------------------+-----+--------------------------|
|Nays:|Fletcher | | |
| | | | |
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SUMMARY : Requires the California Public Utilities Commission
(PUC) to ensure the investor owned utilities' (IOUs) smart meter
technologies are properly tested prior to installation and
deployment and specifies testing and technology standards.
FISCAL EFFECT : Any costs to the PUC would be minor and
absorbable.
COMMENTS: In the modernization of the national electricity
grid, the United States federal government and the states are
moving towards the creation of a Smart Grid. President Obama
signed into law in February 2009, the American Recovery and
Reinvestment Act (Recovery Act) which allocates $4.5 billion to
the Department of Energy's Office of Electricity Delivery and
Energy Reliability. These smart grid funds are coined to
develop a nationwide plan to modernize the electric grid,
enhance security of the U.S. energy infrastructure, and ensure
reliable electricity delivery to meet the growing demand.
The PUC has authorized the state's IOUs to replace conventional
SB 837
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customer meters with smart meters in order to give consumers
greater control over their energy use. Southern California
Edison (SCE) has been authorized to install approximately 5.3
million new smart meters, San Diego Gas and Electric (SDG&E) 1.4
million electric smart meters and 900,000 natural gas meters,
and Pacific Gas and Electric (PG&E) approximately 5 million
electric meters and 4.2 million natural gas meters.
This bill requires PUC to adopt testing and technology standards
for IOUs as part of the smart grid deployment plan. PUC claims
this provision could potentially overlap or conflict with
requirements already underway in the smart grid proceeding.
This bill also directs PUC to ensure that each meter technology
has been field tested and according to PUC staff analysis, this
provision may be obsolete in that each of the three IOUs have
already completed such field tests as part of their procurement
process and are currently in full-scale deployment of smart
meters in their service territory.
Analysis Prepared by : DaVina Flemings / U. & C. / (916)
319-2083 FN:
0005653