Bill Text: CA AB1999 | 2023-2024 | Regular Session | Amended
Bill Title: Electricity: fixed charges.
Spectrum: Partisan Bill (Democrat 22-0)
Status: (Introduced) 2024-05-16 - In committee: Set, first hearing. Referred to APPR. suspense file. [AB1999 Detail]
Download: California-2023-AB1999-Amended.html
Amended
IN
Assembly
May 08, 2024 |
Introduced by Assembly Members Irwin, Addis, Berman, Connolly, Muratsuchi, Papan, Pellerin, Quirk-Silva, Ting, Ward, and Weber (Principal coauthor: Assembly Member Bauer-Kahan) (Principal coauthor: Senator Wiener) (Coauthors: Assembly Members Boerner, Bonta, Friedman, Lee, Low, and Maienschein) (Coauthor: Senator Blakespear) |
January 30, 2024 |
LEGISLATIVE COUNSEL'S DIGEST
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YESBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 739.9 of the Public Utilities Code is amended to read:739.9.
(a) “Fixed charge” means any fixed customer charge, basic service fee, demand differentiated basic service fee, demand charge, or other charge not based on the volume of electricity consumed.(2)
SEC. 2.
Section 739.9 is added to the Public Utilities Code, to read:739.9.
(a) “Fixed charge” means any fixed customer charge, basic service fee, demand differentiated basic service fee, demand charge, or other charge not based on the volume of electricity consumed.SEC. 3.
Section 913.7 is added to the Public Utilities Code, to read:913.7.
(a) The commission, on or before July 1, 2027, but no sooner than two years after the adoption of the fixed charge for default residential rates pursuant to subdivision (e) of Section 739.9, shall submit a public report to the relevant policy committees of both houses of the Legislature on electrical corporations’ implementation of the fixed charge and other cost-saving options. The report shall include all of the following information:SEC. 4.
No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.(a)“Fixed charge” means any fixed customer charge, basic service fee, demand differentiated basic service fee, demand charge, or other charge not based on the volume of electricity consumed.
(b)Increases to electrical rates and charges in rate design proceedings, including any reduction in the California Alternate Rates for Energy (CARE) program discount, shall be reasonable and subject to a reasonable phase-in schedule relative to the rates and charges in effect before January 1, 2014.
(c)Consistent with the requirements of Section 739, the commission may modify the seasonal definitions and
applicable percentage of average consumption for one or more climatic zones.
(d)The commission may adopt new, or expand existing, fixed charges for the purpose of collecting a reasonable portion of the fixed costs of providing electrical service to residential customers. The commission shall ensure that any approved charges do all of the following:
(1)Reasonably reflect an appropriate portion of the different costs of serving small and large customers.
(2)Not unreasonably impair incentives for conservation, energy efficiency, and beneficial electrification and greenhouse gas emissions reduction.
(3)Are set at levels that do not overburden low-income customers.
(e)For purposes of this section and Section 739.1, the commission may, beginning January 1, 2015, authorize fixed charges that do not exceed ten dollars ($10) per residential customer account per month for customers not enrolled in the CARE program and five dollars ($5) per residential customer account per month for customers enrolled in the CARE program. Beginning January 1, 2016, the maximum allowable fixed charge may be adjusted by no more than the annual percentage increase in the Consumer Price Index for the prior calendar year. This subdivision applies to any default rate schedule, at least one optional tiered rate schedule, and at least one optional time-variant rate schedule.
(f)Notwithstanding the requirements of subdivision (d) of Section 739 and Section 739.7, the commission shall not apply the composite tier method to the treatment of any
revenues resulting from any fixed charge adopted pursuant to this section.
No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.