Amended in Assembly March 28, 2014

California Legislature—2013–14 Regular Session

Assembly BillNo. 1763


Introduced by Assembly Member Perea

February 14, 2014


An act tobegin delete amend Section 25301end deletebegin insert add and repeal Section 25303.6end insert of the Public Resources Code, relating to energy.

LEGISLATIVE COUNSEL’S DIGEST

AB 1763, as amended, Perea. begin deleteEnergy: assessments and forecasts. end deletebegin insertState energy plan for 2030 and 2050.end insert

Existing law requires the State Energy Resources Conservation and Development Commission, at least everybegin delete twoend deletebegin insert 2end insert years, to conduct assessments and forecasts of all aspects of energy industry supply, production, transportation, delivery, distribution, demand, and prices.

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This bill would make a technical, nonsubstantive change to the above provision.

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This bill would require the commission, in consultation with the Independent System Operator, other relevant state and local agencies, and interested stakeholders, in an open and public process, to develop and submit to the Governor and the Legislature, by January 1, 2016, a report containing a state energy plan for 2030 and 2050 that promotes economic growth, ensures reliable and affordable energy supplies, and positions the state as a leader in the United States and world energy markets. For these purposes, “energy” is defined to mean electricity, natural gas, and transportation fuels that are used for powering homes, businesses, motor vehicles, and aircraft in the state.

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Vote: majority. Appropriation: no. Fiscal committee: begin deleteno end deletebegin insertyesend insert. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1begin insert

begin insertSECTION 1.end insert  

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begin insertThe Legislature finds and declares all of the
2following:end insert

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3(a) California is the most populous state in the nation and the
4eighth largest economy in the world.

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5(b) It is in the interest of California and its citizens to ensure
6that an adequate and reliable supply of energy be available for
7the benefit of residents and commerce.

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8(c) California continues to lead the nation in designing and
9implementing innovative policies and strategies to use energy more
10efficiently, replace use of fossil fuels with renewable energy
11resources, and develop the electrical infrastructure needed to
12deliver safe, reliable, and affordable electricity to consumers and
13businesses throughout the state.

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14(d) California must adopt and implement an energy plan that
15assures its electricity and transportation fuel needs will be met in
162030 and 2050.

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17(e) It is important to make sure that the infrastructure needed
18to generate and deliver adequate electricity and natural gas is in
19place.

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20(f) Movement of people and goods by vehicles, rail, airplanes,
21and other transportation modes accounts for about 40 percent of
22all energy consumed within the state. The transportation sector is
23a major user of energy and is essential to California’s economy.

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24(g) Although gasoline consumption continues to decrease, the
25state’s population continues to grow, and the penetration of
26alternative vehicles and fuels remains relatively low.

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27(h) State law charges the State Energy Resources Conservation
28and Development Commission with the responsibility of conducting
29energy forecasting and assessment activities, including assessments
30of the opportunities and risks relative to the delivery of electricity
31and transportation fuels to consumers and the associated impact
32of these opportunities and risks on the state’s economy.

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33(i) Under state law, these energy forecasts and assessments are
34included in the biennial integrated energy policy report adopted
35by the commission. For the purposes of ensuring consistency in
36the underlying information that forms the foundation of energy
37policies and decisions affecting the state, existing law requires the
38State Air Resources Board and other state agencies to carry out
P3    1their energy-related duties and responsibilities based upon the
2information and analyses contained in the report.

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3begin insert

begin insertSEC. 2.end insert  

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begin insertSection 25303.6 is added to the end insertbegin insertPublic Resources Codeend insertbegin insert,
4to read:end insert

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5

begin insert25303.6.end insert  

(a) For the purposes of this section, “energy” means
6electricity, natural gas, and transportation fuels that are used for
7powering homes, businesses, motor vehicles, and aircraft in the
8state.

9(b) On or before January 1, 2016, the commission, in
10consultation with the Independent System Operator, other relevant
11state and local agencies, and interested stakeholders, in an open
12and public process, shall develop and submit to the Governor and
13the Legislature a report containing a state energy plan for 2030
14and 2050 that promotes economic growth, ensures reliable and
15affordable energy supplies, and positions the state as a leader in
16the United States and world energy markets.

17(c) In developing the state energy plan, the commission shall
18consider all of the following:

19(1) Energy forecasts based upon California’s current and future
20energy supply mix forecast to 2030 and 2050.

21(2) An analysis of California’s energy infrastructure needs,
22including a review of current infrastructure and new infrastructure
23needed for an evolving supply mix forecast to 2030 and 2050.

24(3) Recommendations on ensuring long-term energy supply
25reliability and affordability through 2030 and 2050.

26(d) The report submitted pursuant to subdivision (b) is intended
27to assist in establishing state policy and does not independently
28change any statute, regulation, or regulatory decision.

29(e) The report shall be submitted in compliance with Section
309795 of the Government Code.

31(f) Pursuant to Section 10231.5 of the Government Code, this
32section is repealed on January 1, 2020.

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33

SECTION 1.  

Section 25301 of the Public Resources Code is
34amended to read:

35

25301.  

(a) At least every other year, the commission shall
36conduct assessments and forecasts of all aspects of energy industry
37supply, production, transportation, delivery and distribution,
38demand, and prices. The commission shall use these assessments
39and forecasts to develop energy policies that conserve resources,
40protect the environment, ensure energy reliability, enhance the
P4    1state’s economy, and protect public health and safety. To perform
2these assessments and forecasts, the commission may require
3submission of demand forecasts, resource plans, market
4assessments, and related outlooks from electric and natural gas
5utilities, transportation fuel and technology suppliers, and other
6market participants. These assessments and forecasts shall be done
7in consultation with the appropriate state and federal agencies
8including, but not limited to, the Public Utilities Commission, the
9Office of Ratepayer Advocates, the State Air Resources Board,
10the Electricity Oversight Board, the Independent System Operator,
11the Department of Water Resources, the California Consumer
12Power and Conservation Financing Authority, the Department of
13Transportation, and the Department of Motor Vehicles.

14(b) In developing the assessments and forecasts prepared
15pursuant to subdivision (a), the commission shall do all of the
16following:

17(1) Provide information about the performance of energy
18 industries.

19(2) Develop and maintain the analytical capability sufficient to
20answer inquiries about energy issues from government, market
21participants, and the public.

22(3) Analyze and develop energy policies.

23(4) Provide an analytical foundation for regulatory and policy
24decisionmaking.

25(5) Facilitate efficient and reliable energy markets.

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