BILL NUMBER: AB 724 AMENDED
BILL TEXT
AMENDED IN SENATE SEPTEMBER 9, 2011
AMENDED IN SENATE SEPTEMBER 7, 2011
AMENDED IN SENATE AUGUST 30, 2011
AMENDED IN SENATE AUGUST 18, 2011
AMENDED IN ASSEMBLY MAY 17, 2011
AMENDED IN ASSEMBLY APRIL 28, 2011
INTRODUCED BY Assembly Member Bradford
(Principal coauthor: Assembly Member Williams)
FEBRUARY 17, 2011
An act to amend Section 25744 of, to add Sections 25740.6
, and 25744.7 to, and to add Chapter 7.2 (commencing with
Section 25621) to Division 15 of, and to repeal Sections 25740.5,
25743, 25744.5, 25746, and 25751 of, the Public Resources Code, and
to amend Sections 384 and 399.8 , 399.8, and
739 of, and to add Section 399.8.5 to, and to add Chapter 12
(commencing with Section 2120) to Part 1 of Division 1 of, the Public
Utilities Code, relating to energy, and declaring the urgency
thereof, to take effect immediately.
LEGISLATIVE COUNSEL'S DIGEST
AB 724, as amended, Bradford. Clean Energy Jobs and Investment
Act.
(1) Under the Public Utilities Act, the Public Utilities
Commission (PUC) has regulatory authority over public utilities,
including electrical corporations. The Public Utilities Act requires
the PUC to require, until January 1, 2012, an electrical corporation
to identify a separate electrical rate component (public goods
charge) to fund energy efficiency, renewable energy, and research,
development, and demonstration programs that enhance system
reliability and provide in-state benefits. A violation of the Public
Utilities Act is a crime.
This bill would extend this requirement to January 1, 2020.
Because a violation of this requirement is a crime, this bill would
impose a state-mandated local program.
The bill also would , commencing on January 1,
2012, increase the amount of funds the PUC would require an
electrical corporation to collect for these purposes.
This bill would result in a change in state taxes for the purpose
of increasing state revenues within the meaning of Section 3 of
Article XIII A of the California Constitution, and thus would require
for passage the approval of 2/3 of the membership of each house of
the Legislature.
The bill would provide that if the Legislature finds that moneys
collected on or after January 1, 2012, are not used for the
above-specified purposes, the collection of those moneys would cease
at the end of the calendar year in which the Legislature made that
finding.
(2) Existing law requires that the moneys collected between
January 1, 2007, and January 1, 2012, from the electrical
corporations for public interest research, development, and
demonstration projects be deposited in the Public Interest Research,
Development, and Demonstration Fund and be used for the purposes of
the Public Interest Research, Development, and
Demonstration, and Development Program.
This bill would , commencing January 1, 2012, repeal the
Public Interest Research, Demonstration, and Development Program for
most purposes and would enact the Clean Energy Jobs and
Investment Act. This bill would create the Clean Energy
Innovation Program Fund in the State Treasury and require that any
funds generated from the public goods charge collected before January
1, 2012, be transferred to the Energy Commission's Public Interest
Research, Development, and Demonstration Wrap-Up Account, which the
bill would create in the Clean Energy Innovation Program Fund, to be
available, upon appropriation by the Legislature, for expenditure
pursuant to provisions in effect prior to the enactment of this act.
This bill would expressly provide that the public
goods charge for public interest research, development, and
demonstration projects collected before January 1, 2012, be deposited
into the Public Interest Research, Development, and Demonstration
Fund and expended for the purposes of the Public Interest Research,
Development, and Demonstration Program. The bill would
establish the Clean Energy Innovation Program Fund in the State
Treasury and would require public goods charge collected on and after
January 1, 2012, to be deposited into the Clean Energy Innovation
Program Fund and expended by the State Energy Resources Conservation
and Development Commission (Energy Commission), upon appropriation,
for specified purposes.
(3) Existing law requires the Energy Commission to establish
programs to optimize public investment and ensure that the most
cost-effective and efficient investments in renewable energy
resources are vigorously pursued (Renewable Energy Resources
Program). Existing law requires, until January 1, 2012, that moneys
from the public goods charge collected for renewable energy be
transferred to the Renewable Resource Trust Fund, a continuously
appropriated fund, for the purpose of implementing the program.
This bill would revise and recast the Renewable Energy Resources
Program to, among other things, provide investment in energy storage
technologies. The bill would extend to January 1, 2020, the transfer
of the public goods charge collected for renewable energy to the
Renewable Resource Trust Fund. The bill would provide that moneys in
the Renewable Resource Trust Fund, upon appropriation by the
Legislature, be expended for the purposes of the program.
(4) Decisions of the PUC adopted the California Solar Initiative
(CSI). Existing law requires the PUC to undertake certain steps in
implementing the CSI. Existing law requires the PUC to ensure that
the total cost of the CSI over the duration of the program does not
exceed $3,350,000,000, including $400,000,000 from the Emerging
Renewable Resources Account within the Renewable Resource Trust Fund,
for programs for the installation of solar energy systems, as
defined, on new construction administered by the Energy Commission
(New Solar Homes Partnership).
This bill would provide that the $400,000,000 referenced above be
subject to supervision by the PUC. The bill would require the Energy
Commission to revise its guidelines applicable to the New Solar Homes
Partnership so that the program accomplishes specified matter.
(5) The bill would not become operative unless SB 870 of the
2011-12 Regular Session of the Legislature is enacted on or before
January 1, 2012.
(6) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
(7) This bill would declare that it is to take effect immediately
as an urgency statute.
Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Chapter 7.2 (commencing with Section 25621) is added to
Division 15 of the Public Resources Code, to read:
CHAPTER 7.2. CLEAN ENERGY JOBS AND INVESTMENT ACT
Article 1. General Provisions
25621. This chapter shall be known and may be cited as the Clean
Energy Jobs and Investment Act.
25621.1. The Legislature finds and declares all of the following:
(a) Investing in clean energy creates jobs, attracts and grows
businesses, and increases California's economic competitiveness.
(b) Investing in energy efficiency provides lower energy bills for
individual households and businesses and saves all ratepayers money
through reduced need for new powerplants and transmission and
distribution systems.
(c) Clean energy investments benefit ratepayers by cutting energy
waste, diversifying energy supplies, increasing energy security and
grid reliability, reducing harmful air pollutants, and protecting
public health and the environment.
(d) California has been a leader in clean energy development and
deployment, saving consumers billions of dollars from increased
energy efficiency, creating new jobs and businesses, and fostering
innovation through research and development.
(e) Meeting California's renewable energy, energy efficiency, and
emissions reduction policies will require strategic public
investments in clean energy research, development, deployment, and
commercialization.
25621.2. It is the intent of the Legislature that investments
made pursuant to this chapter do all of the following:
(a) Develop and deploy clean energy technologies that maximize job
creation and regional sustainability, strengthen California
businesses and economic competitiveness, and provide multiple
benefits to ratepayers.
(b) Save ratepayers money through reduced need for new powerplants
and transmission and distribution systems.
(c) Accelerate the development and deployment of clean energy
technologies that meet the California renewables portfolio standard
specified in Chapter 1 of the Statutes of the First Extraordinary
Session of 2011, energy storage requirements specified in Chapter 469
of the Statutes of 2010, Chapter 470 of the Statutes of 2009, and
subparagraph (C) of paragraph (9) of subdivision (b) of Section 454.5
of the Public Utilities Code.
(d) Respond to changing energy and technology market conditions.
(e) Leverage investments in clean energy to maximize ratepayer
benefits, reduce costs, and achieve sustainable changes in the market
so that public investment will no longer be needed.
(f) Help local governments to plan, permit, finance, and implement
clean energy development.
(g) Maximize opportunities for low-income households and
disadvantaged communities, beyond those already assisted by the
Public Utilities Commission's program for low-income energy
assistance and the California rate assistance program for low-income
rate discounts in urban and rural areas of the state, to participate
in these programs.
(h) Promote business and employment opportunities for small
business and women-, minority-, veteran-, and disabled-owned
businesses.
(i) Recognize energy savings from water use efficiency and
conservation programs.
25621.3. For purposes of this chapter, the following terms mean
the following:
(a) "Biogas" means digester gas, landfill gas, and any gas derived
from an eligible biomass feedstock.
(b) "Biomass" means an organic material not derived from fossil
fuels, including, but not limited to, agricultural crops,
agricultural wastes and residues, waste pallets, crates, dunnage,
manufacturing and construction wood wastes, landscape and
right-of-way tree trimmings, mill residues that result from milling
lumber, rangeland maintenance residues, biosolids, sludge derived
from organic matter, biosolids produced at publicly owned
wastewater treatment plants, and wood and wood waste from
timbering operations.
(c) "CEIP" or "program" means the Clean Energy Innovation Program,
formerly known as the Public Interest Energy Research (PIER)
program, developed pursuant to Section 25621.12.
(d) "Clean energy" means energy efficiency, renewable energy,
integration of electric vehicles, distributed generation, energy
storage, and integrated demand-side management.
(e) "Comprehensive energy efficiency retrofit," "whole house
retrofit," and "whole building retrofit" mean energy efficiency
retrofits that achieve greater than 20-percent energy savings through
a comprehensive package of audits, demand-side management options,
and energy-saving improvements, such as insulation and duct sealing;
heating, ventilation, and cooling system improvements; window and
appliance upgrades; lighting upgrades; demand response cool roofs;
measures to ensure that retrofits and existing infrastructure
continue to operate as efficiently as possible; and other measures to
increase energy efficiency.
(f) "Disadvantaged community" has the same meaning as that set
forth in Section 79505.5 of the Water Code.
(g) "Distributed generation" means an electrical generation
facility that is 20 megawatts or smaller in size and located close to
a load center.
(h) "Energy storage" means technology or resources capable of
absorbing energy, storing it for a period of time, and thereafter
dispatching the energy, including energy storage management systems.
(i) "Financial investment tools" includes revolving loans,
low-interest loans, loan-loss reserves, loan guarantees, interest
rate buy-down, property-secured financing, on-bill financing or
repayment, grants, rebates, incentives, regional municipal financing
programs, performance guarantees, use of the California
Infrastructure and Economic Development Bank, the California
Alternative Energy Transportation Financing Authority, or other
appropriate financing mechanisms.
(j) "Grid" means California's electrical grid, including both
transmission and distribution systems.
(k) "Grid integration" means the interconnection, and the seamless
and reliable operation, of generation and demand management
resources and strategies into the grid.
(l) "Low income" means an income at a level that is 200 percent of
the federal poverty level or lower.
(m) "Renewable energy" means eligible renewable energy resources
as defined in Section 399.12 of the Public Utilities Code.
SEC. 2. Section 25740.5 of the Public Resources Code, as amended
by Section 5 of Chapter 1 of the First Extraordinary Session of the
Statutes of 2011, is repealed.
SEC. 3. Section 25740.6 is added to the Public Resources Code, to
read:
25740.6. (a) The commission shall implement the Clean Energy
Investment Program to support achievement of the state's renewable
energy goals, including the growth of distributed generation, and
seek creative solutions to barriers to development and deployment of
technologies to achieve those goals. The program shall provide
technical assistance, tools, and resources to support industry, local
government, economic, and workforce development leaders in efforts
to overcome these barriers.
(b) Activities eligible for investment pursuant to this chapter
include, but are not limited to, those which will maximize job
creation and economic growth through the deployment and
commercialization of renewable energy, grid integration, and energy
storage technologies. Activities authorized by this chapter shall
support and foster the development of a diverse, reliable, and
environmentally sustainable portfolio of renewable energy sources,
including, but not limited to, distributed generation, demonstration
projects on California state buildings or property, renewable
generation on farmland or from agricultural, livestock, poultry and
food processing operations, wastewater, the New Solar Homes
Partnership (NSHP), energy storage, clean energy manufacturing in
California, existing and advanced biogas, biomass, and other clean
energy technologies, and workforce development.
(c) Any investments in biomass or biogas made pursuant to this
section shall be targeted to both existing facilities and to
incubate and commercialize technologies and facilities that do
one or more of the following:
(1) Increase efficiency and reduce air pollution from existing
biomass facilities.
(2) Incubate and commercialize technologies and facilities that
generate energy from livestock, poultry, agricultural, wastewater,
and food processing byproducts or waste.
(3) Develop or expand facilities to capture emissions and generate
biogas from wastewater treatment facilities, including codigestion
or landfills.
(4) Generate energy from community-scale, woody biomass facilities
that promote safe and resilient forests, provide rural community
benefits, and protect air and water quality, based on criteria
determined by the commission in coordination with the Natural
Resources Agency and the California Environmental Protection Agency.
(d) (1) Not less than twenty-five million dollars ($25,000,000) of
the funds collected annually for 2012 and 2013 , and not less
than twenty million dollars ($20,000,000) of the funds collected
annually for 2014 and 2015, pursuant to paragraph (1) of
subdivision (d) of Section 399.8 of the Public Utilities Code shall
be used for the purposes of incubating and commercializing
technologies and facilities that generate energy from livestock,
poultry, biosolids that are produced at publicly owned
wastewater treatment plants, agricultural or food processing
byproducts, or waste, and for wastewater, and for biomass
programs that would provide financial incentives to new or existing
biomass electric generating facilities that purchase and convert
agricultural and forestry waste and residues. This section does
not exclude funding for those purposes in subsequent years.
(2) New projects eligible under this subdivision may receive
matching grants of up to 25 percent of the total project costs not to
exceed two million five hundred thousand dollars ($2,500,000) per
project.
(e) Any direct financial incentives determined to be necessary by
the commission and made available to existing renewable biomass
generation facilities shall be contingent upon utilization of
regional agricultural forestry and waste residues.
(f) (1) In implementing the program, the commission may, in
coordination with the Office of Planning and Research and the
Secretary of the Natural Resources Agency, provide targeted financial
and technical assistance to local and regional governments for the
planning, siting, and permitting of renewable energy facilities.
These investments may include grants to enable local governments to
participate in regional energy and conservation planning pursuant to
the Natural Communities Conservation Planning Act, (Chapter 10
(commencing with Section 2800) of Division 3 of the Fish and Game
Code), Chapter 10 of the Statutes of the 2011-12 First Extraordinary
Session, and other applicable laws. These investments may also
include the development of model permitting applications and
ordinances for distributed generation facilities and other measures
that facilitate efficient and cost-effective development of renewable
energy.
(2) Notwithstanding Section 2851 of the Public Utilities Code, the
funds collected pursuant to Section 399.8 of the Public Utilities
Code and used for the California Solar Initiative pursuant to
paragraph (3) of subdivision (e) of Section 2851 of the Public
Utilities Code shall be supervised by the Public Utilities
Commission. The Public Utilities Commission shall supervise the
program according to guidelines established by the commission
pursuant to this chapter. The commission shall adopt and update New
Solar Home Partnership guidelines and rebate levels as needed.
(3) (A) The New Solar Home Partnership shall continue to be
administered according to guidelines established by the commission
pursuant to Chapter 8.6 (commencing with Section 25740) and Chapter
8.8 (commencing with Section 25780). The commission shall adopt and
update the New Solar Homes Partnership program guidelines and rebate
levels as needed to ensure that the New Solar Homes Partnership
funding does all of the following:
(i) Includes solar hot water heating.
(ii) Gives priority to new housing developments in economically
distressed and disadvantaged communities.
(iii) Seeks to provide no less than 25 percent of the funds
collected for the NSHP to be expended for multifamily units and
rental dwellings.
(iv) Seeks to provide no less than 25 percent of the funds
collected for the NSHP shall be expended in disadvantaged
communities.
(v) Provides for increased accountability, a streamlined
application process.
(B) This paragraph does not prevent New Solar Home Partnerships
funds from being allocated to otherwise eligible New Solar Home
Partnerships projects if the designated categories are not reserved
annually.
(4) Funds collected through the renewable energy public goods
charge for the support of the New Solar Homes Partnership shall be
allocated and administered pursuant to Section 25744.6.
(5) Within 90 days of the enactment of the act adding this section
during the first year of the 2011-12 Regular Session, the commission
shall establish and impose project costs caps for residential and
nonresidential projects under the New Solar Home Partnership, based
on national and state installed cost data.
(g) The commission shall, in coordination with other state
entities, periodically analyze the renewable technology market and
workforce trends and identify barriers to renewable energy industry
development in the state.
(h) The commission and the Office of Planning and Research shall
coordinate with state and local environmental regulators to identify
regulatory barriers that prevent or delay implementation of renewable
energy and energy efficiency projects.
(i) (1) The commission shall develop and adopt an annual
investment plan to establish priority activities for the program to
achieve the goals of this section and describe how funding will
complement but not duplicate existing public and private investments,
including existing state programs that further the goals of this
section.
(2) On or before March 15, 2012, and annually thereafter, the
commission shall submit a draft of a multiyear investment plan, in
accordance with paragraph (1) and including the upcoming fiscal year
to all relevant policy and fiscal committees of the Legislature. The
intent of this requirement is to ensure legislative oversight of the
program and provide to the Legislature all of the information
necessary to fully understand the manner in which funds are to be
allocated and prioritized within the program.
(j) The commission shall create and consult with an advisory body
to work with the commission as it develops the investment plan
pursuant to subdivision (g). The advisory body shall be subject to
the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section
11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the
Government Code). The commission shall, at a minimum, hold at least
two annual public hearings on the advisory body's recommendations on
the commission's proposed investment plan prior to the commission's
consideration and approval of the investment plan.
(k) Membership of the advisory body created pursuant to
subdivision (h) shall include, but is not limited to, representatives
of investor-owned utilities, the Public Utilities Commission and the
Independent System Operator, clean energy businesses and investors,
local governments, building industries, labor organizations,
environmental groups, environmental justice groups, ratepayer groups,
business associations, and research and technical experts. The
advisory body shall meet at least twice annually to provide strategic
and technical guidance.
(l) The commission shall submit an annual report to the
Legislature that highlights and explains the rationale for any
year-to-year changes to the commission's activity strategy and
priorities, particularly with respect to specific demonstration
programs or policy initiatives.
(m) It is the intent of the Legislature that submission of the
draft investment plan, along with timely notification of
modifications to the investment plan thereafter, as reported in the
commission's annual reports to the Legislature, will ensure
legislative oversight of the program and provide the Legislature with
all of the necessary information to fully understand how and why
funds are to be allocated and prioritized within the program.
(n) The commission may make a single source or sole source award
pursuant to this section. The same requirements set forth in former
Section 25620.5, as described in paragraph (3), shall apply to awards
made on a single source basis or a sole source basis.
(o) (1) Notwithstanding any other provision of law, moneys
collected for renewable energy pursuant to Article 15 (commencing
with Section 399) of Chapter 2.3 of Part 1 of Division 1 of the
Public Utilities Code shall be transferred to the Renewable Resource
Trust Fund.
(2) Moneys collected on and after January 1, 2012, and before
January 1, 2020, shall be used for the purposes specified in this
section.
(3) Moneys collected on and after January 1, 2007, and before
January 1, 2012, shall be expended in accordance with former Section
25740.5 and former Sections 25742 to 25751, inclusive, as those
former sections read on the day before the date that the act adding
this section was enacted during the first year of the 2011-12 Regular
Session.
SEC. 4. Section 25743 of the Public Resources Code is repealed.
SEC. 5. Section 25744 of the Public Resources Code is amended to
read:
25744. (a) Seventy-nine percent of the money collected pursuant
to the renewable energy public goods charge on and after January 1,
2007, and before January 1, 2012, shall be used for a multiyear,
consumer-based program to foster the development of emerging
renewable technologies in distributed generation applications.
(b) Any funds used for emerging technologies pursuant to this
section shall be expended in accordance with this chapter, subject to
all of the following requirements:
(1) Funding for emerging technologies shall be provided through a
competitive, market-based process that is in place for a period of
not less than five years, and is structured to allow eligible
emerging technology manufacturers and suppliers to anticipate and
plan for increased sale and installation volumes over the life of the
program.
(2) The program shall provide monetary rebates, buydowns, or
equivalent incentives, subject to paragraph (3), to purchasers,
lessees, lessors, or sellers of eligible electricity generating
systems. Incentives shall benefit the end-use consumer of renewable
generation by directly and exclusively reducing the purchase or lease
cost of the eligible system, or the cost of electricity produced by
the eligible system. Incentives shall be issued on the basis of the
rated electrical generating capacity of the system measured in watts,
or the amount of electricity production of the system, measured in
kilowatthours. Incentives shall be limited to a maximum percentage of
the system price, as determined by the commission. The commission
may establish different incentive levels for systems based on
technology type and system size, and may provide different incentive
levels for systems used in conjunction with energy-efficiency
measures.
(3) Eligible distributed emerging technologies are fuel cell
technologies that utilize renewable fuels, including fuel cell
technologies with an emission profile equivalent or better than the
State Air Resources Board 2007 standard, and that serve as backup
generation for emergency, safety, or telecommunications systems.
Eligible renewable fuels may include wind turbines of not more than
50 kilowatts rated electrical generating capacity per customer site
and other distributed renewable emerging technologies that meet the
emerging technology eligibility criteria established by the
commission and are not eligible for rebates, buydowns, or similar
incentives from any other commission or Public Utilities Commission
program. Eligible electricity generating systems are intended
primarily to offset part or all of the consumer's own electricity
demand, including systems that are used as backup power for
emergency, safety, or telecommunications, and shall not be owned by
local publicly owned electric utilities, nor be located at a customer
site that is not receiving distribution service from an electrical
corporation that is subject to the renewable energy public goods
charge and contributing funds to support programs under this chapter.
All eligible electricity generating system components shall be new
and unused, shall not have been previously placed in service in any
other location or for any other application, and shall have a
warranty of not less than five years to protect against defects and
undue degradation of electrical generation output. Systems and their
fuel resources shall be located on the same premises of the end-use
consumer where the consumer's own electricity demand is located, and
all eligible electricity generating systems shall be connected to the
utility grid, unless the system purpose is for backup generation
used in emergency, safety, or telecommunications in California. The
commission may require eligible electricity generating systems to
have meters in place to monitor and measure a system's performance
and generation. Only systems that will be operated in compliance with
applicable law and the rules of the Public Utilities Commission
shall be eligible for funding.
(4) The commission shall limit the amount of funds available for a
system or project of multiple systems and reduce the level of
funding for a system or project of multiple systems that has
received, or may be eligible to receive, any government or utility
funds, incentives, or credit.
(5) In awarding funding, the commission may provide preference to
systems that provide tangible demonstrable benefits to communities
with a plurality of minority or low-income populations.
(6) In awarding funding, the commission shall develop and
implement eligibility criteria and a system that provides preference
to systems based upon system performance, taking into account
factors, including shading, insulation levels, and installation
orientation.
(7) At least once annually, the commission shall publish and make
available to the public a statement on the balance of funds available
for emerging renewable energy resources for rebates, buydowns, and
other incentives for the purchase of these resources.
(c) Any funds for photovoltaic or solar thermal electric
technologies shall be awarded in compliance with Chapter 8.8
(commencing with Section 25780), and not with this section.
SEC. 6. Section 25744.5 of the Public Resources Code is repealed.
SEC. 7. Section 25744.7 is added to the Public Resources Code, to
read:
25744.7. (a) The commission shall adopt guidelines governing the
funding programs authorized under this section and Section 25740.6,
as specified in, and subject to, Section 25747.
(b) Funds to further the purposes of this section and Section
25740.6 may be committed for multiple years.
(c) The commission may award funding under this section and
Section 25740.6 in the form of contracts, grants and loans, and other
funding or financing mechanisms identified by the commission. Any
actions taken by an applicant to apply for, or to become or remain
eligible to receive, grant or loan payments or awards shall not
constitute the rendering of goods, services, or a direct benefit to
the commission.
(d) An award made pursuant to this section and Section 25740.6,
the amount of the award, and the terms and conditions of the award
are public information.
(e) The commission shall report to the Legislature on or before
January 31, 2013, and annually thereafter, regarding the results of
the mechanisms funded pursuant to this section and Section 25740.6.
The report shall contain all of the following:
(1) A description of the allocation of funds.
(2) The status of any repayments.
(3) A description of the cumulative commitment of awards, the
relative demand for funds, and a forecast of future awards.
(4) A discussion of the progress being made toward achieving the
targets established under Section 25740 through funding provided
pursuant to this section and Section 25740.6.
(5) A description of the allocation of funds from interest
earnings.
(6) An itemized list, including project descriptions, award
amounts, and outcomes for projects awarded funding in the prior year.
(f) An existing biomass electricity-generating facility shall not
be eligible for funding in the form of electricity production
incentives under this section and Section 25740.6 unless it meets
other requirements specified in the commission's investment plan and
applicable guidelines.
(g) A small-scale distributed electricity-generating facility
using wind resources or a fuel cell system using renewable fuels
shall not be eligible for funding in the form of rebates, buy-downs,
or equivalent incentives under this section and Section 25740.6
unless the emerging technology being funded satisfies the
requirements under paragraph (3) of subdivision (b) of Section 25744
and meets other requirements specified in the commission's investment
plan and applicable guidelines.
(h) That portion of revenues collected by electrical corporations
for the benefit of renewable energy, pursuant to Section 399.8 of the
Public Utilities Code, shall be transmitted to the commission at
least quarterly for deposit in the Renewable Resource Trust Fund,
which is hereby established in the State Treasury, for the purposes
specified in Section 25740.6. After setting aside in the fund money
that may be needed for expenditures authorized by the annual Budget
Act in accordance with subdivision (i), the Treasurer shall
immediately deposit money received pursuant to this section into the
Renewable Resource Trust Fund.
(i) The money in the Renewable Resource Trust Fund may be
expended, only upon appropriation by the Legislature in the annual
Budget Act, for the purposes of this chapter.
SEC. 8. Section 25746 of the Public Resources Code is repealed.
SEC. 9. Section 25751 of the Public Resources Code is repealed.
SEC. 10. Section 384 of the Public Utilities Code is amended to
read:
384. (a) Funds transferred to the Energy Commission pursuant to
this article for purposes of public interest research, development,
and demonstration that are
collected prior to January 1, 2012, shall be transferred to the
Public Interest Research, Development, and Demonstration Fund, which
is hereby created in the State Treasury, to be available for
expenditure pursuant to Chapter 7.1 (Commencing with Section 25620)
of Division 15 of the Public Resources Code. Funds collected, on and
after January 1, 2012, for those purposes shall be transferred to the
Clean Energy Innovation Program Fund, which is hereby created in the
State Treasury to be available, upon appropriation, for expenditure
pursuant to Article 2 (commencing with Section 25621.10) of Chapter
7.2 of Division 15 of the Public Resources Code. The fund is a trust
fund and shall contain money from all interest, repayments,
disencumbrances, royalties, and any other proceeds appropriated,
transferred, or otherwise received for purposes pertaining to public
interest research, development, and demonstration. Any appropriations
that are made from the fund shall have an encumbrance period of not
longer than two years, and a liquidation period of not longer than
four years.
(b) The Energy Commission shall report annually to the appropriate
budget committees of the Legislature on any encumbrances or
liquidations that are outstanding at the time the Energy Commission's
budget is submitted to the Legislature for review.
384. (a) The Clean Energy Innovation Program Fund is hereby
created in the State Treasury to be available, upon appropriation by
the Legislature, for expenditure pursuant to Article 2 (commencing
with Section 25261.10) of Chapter 7.2 of Division 15 of the Public
Resources Code. Funds collected from the utilities before January 1,
2012, shall be transferred to the Energy Commission's Public Interest
Research, Development, and Demonstration Wrap-Up Account, which is
hereby created in the Clean Energy Innovation Program Fund, to be
available, upon appropriation by the Legislature, for expenditure
pursuant to Chapter 7.1 (commencing with Section 25620) of Division
15 of the Public Resources Code. Funds collected from the utilities
on and after January 1, 2012, shall be transferred to the Clean
Energy Innovation Program Fund. These are trust funds and shall
contain money from all interest, repayments, disencumbrances,
royalties, and any other proceeds appropriated, transferred, or
otherwise received for purposes pertaining to public interest
research, development, and demonstration. Any appropriations that are
made from the fund shall have an encumbrance period of not longer
than two years, and a liquidation period of not longer than four
years.
(b) The State Energy Resources Conservation and Development
Commission shall report annually to the appropriate budget committees
of the Legislature on any encumbrances or liquidations that are
outstanding at the time the commission's budget is submitted to the
Legislature for review.
SEC. 11. Section 399.8 of the Public Utilities Code is amended to
read:
399.8. (a) In order to ensure that the citizens of this state
continue to receive safe, reliable, affordable, and environmentally
sustainable electric service, it is the policy of this state and the
intent of the Legislature that prudent investments in energy
efficiency, renewable energy, and research, development and
demonstration shall continue to be made.
(b) (1) Every customer of an electrical corporation shall pay a
nonbypassable system benefits charge authorized pursuant to this
article. The system benefits charge shall fund energy efficiency,
renewable energy, and research, development and demonstration.
(2) Local publicly owned electric utilities shall continue to
collect and administer system benefits charges pursuant to Section
385.
(c) (1) The commission shall require each electrical corporation
to identify a separate rate component to collect revenues to fund
energy efficiency, renewable energy, and research, development and
demonstration programs authorized pursuant to this section beginning
January 1, 2012 2002 , and ending
January 1, 2020. The rate component shall be a nonbypassable element
of the local distribution service and collected on the basis of
usage.
(2) This rate component may not exceed, for any tariff schedule,
the level of the rate component that was used to recover funds
authorized pursuant to Section 381 on January 1, 2011. If the amounts
specified in paragraph (1) of subdivision (d) are not recovered
fully in any year, the commission shall reset the rate component to
restore the unrecovered balance, provided that the rate component may
not exceed, for any tariff schedule, the level of the rate component
that was used to recover funds authorized pursuant to Section 381 on
January 1, 2011. Pending restoration, any annual shortfalls shall be
allocated pro rata among the three funding categories in the
proportions established in paragraph (1) of subdivision (d).
(3) (A) Moneys collected pursuant to this section on or before
January 1, 2012, shall be expended for the purposes of Article 2
(commencing with Section 26520.10) of Chapter 7.2 of Division 15 of
the Public Resources Code, Chapter 8.6 (commencing with Section
25740) of Division 15 of the Public Resources Code, and Chapter 12
(commencing with Section 2120).
(B) If the Legislature finds that moneys collected pursuant to
this section on or after January 1, 2012, are used for purposes other
than those specified in subparagraph (A), the collection of the
nonbypassable system benefits charge pursuant to this section shall
cease at the end of the calendar year in which the Legislature made
that finding.
(d) (1) The commission shall order San Diego
Gas and Electric Company, Southern California Edison
Company , and Pacific Gas and Electric Company to collect
these funds commencing on January 1, 2012
2002 and ending on December 31, 2011 , as follows:
(1) Two hundred fifty million dollars ($250,000,000) per year in
total for energy efficiency and conservation activities, seventy-five
million dollars ($75,000,000) in total per year for renewable
energy, and seventy-five million dollars ($75,000,000) in total per
year for research, development and demonstration.
(A) Two hundred twenty-eight million dollars ($228,000,000) in
total per year for energy efficiency and conservation activities,
sixty-five million five hundred thousand dollars ($65,500,000) in
total per year for renewable energy, and sixty-two million five
hundred thousand dollars ($62,500,000) in total per year for
research, development, and demonstration.
(2)
(B) The amounts shall be adjusted annually at a rate
equal to the lesser of the annual growth in electric commodity sales
or inflation, as defined by the gross domestic product deflator.
(2) The commission shall order San Diego Gas and Electric Company,
Southern California Edison, and Pacific Gas and Electric Company to
collect these funds commencing on January 1, 2012, as follows:
(A) Two hundred fifty million dollars ($250,000,000) in total per
year for energy efficiency and conservation activities, seventy-five
million dollars ($75,000,000) in total per year for renewable energy,
and seventy-five million dollars ($75,000,000) in total per year for
research, development, and demonstration.
(B) The amounts shall be adjusted annually at a rate equal to the
lesser of the annual growth in electric commodity sales or inflation,
as defined by the gross domestic product deflator.
(e) The commission shall ensure that each electrical corporation
allocates funds transferred by the Energy Commission pursuant to
subdivision (b) of Section 25743 in a manner that maximizes the
economic benefit to all customer classes that funded the New
Renewable Resources Account.
(f) The commission and the Energy Commission shall retain and
continue their oversight responsibilities as set forth in Sections
381 and 383, and Chapter 7.1 (commencing with Section 25620) and
Chapter 8.6 (commencing with Section 25740) of Division 15 of the
Public Resources Code.
(g) An applicant for the Large Nonresidential Standard Performance
Contract Program funded pursuant to paragraph (1) of subdivision (b)
and an electrical corporation shall promptly attempt to resolve
disputes that arise related to the program's guidelines and
parameters prior to entering into a program agreement. The applicant
shall provide the electrical corporation with written notice of any
dispute. Within 10 business days after receipt of the notice, the
parties shall meet to resolve the dispute. If the dispute is not
resolved within 10 business days after the date of the meeting, the
electrical corporation shall notify the applicant of his or her right
to file a complaint with the commission, which complaint shall
describe the grounds for the complaint, injury, and relief sought.
The commission shall issue its findings in response to a filed
complaint within 30 business days of the date of receipt of the
complaint. Prior to issuance of its findings, the commission shall
provide a copy of the complaint to the electrical corporation, which
shall provide a response to the complaint to the commission within
five business days of the date of receipt. During the dispute period,
the amount of estimated financial incentives shall be held in
reserve until the dispute is resolved.
(h) The provisions of this section are severable. If any provision
of this section or its application is held invalid, that invalidity
shall not affect other provisions or applications that can be given
effect without the invalid provision or application.
SEC. 12. Section 399.8.5 is added to the Public Utilities Code, to
read:
399.8.5. (a) It is the intent of the Legislature that the New
Solar Homes Partnership established under paragraph (3) of
subdivision (e) of Section 2851 continue to meet the solar energy
system goals established in Section 25710 of the Public Resources
Code and Section 2851.
(b) The Energy Commission shall, in consultation with the
commission, determine the reasonable portion of the seventy-five
million dollars ($75,000,000) collected for renewable energy programs
pursuant to paragraph (1) of subdivision (d) of Section 399.8 that
shall be necessary to support the New Solar Homes Partnership program
in accordance with the expenditure requirements of paragraph (3) of
subdivision (e) of Section 2851 as follows:
(1) In 2012 and 2013, the annual amount for the New Solar Homes
Partnership shall be twenty-five million dollars ($25,000,000),
collected and administered by San Diego Gas and Electric Company,
Southern California Edison Company, and Pacific Gas and Electric
Company.
(2) In 2013, for the years 2014 to 2016, inclusive, the Energy
Commission shall recommend an annual amount for the New Solar Homes
Partnership program, considering factors such as past and projected
new housing market demand and conditions, while balancing the other
goals of the Renewable Resource Trust Fund.
(c) After receiving the determination from the Energy Commission,
the commission shall conduct an expedited proceeding to evaluate the
funding requirements for the years 2014 to 2016, inclusive, and order
San Diego Gas and Electric Company, Southern California Edison
Company, and Pacific Gas and Electric Company to collect and
administer the funding amounts for the New Homes Solar Partnership
established under paragraph (3) of subdivision (e) of Section 2851
through December 31, 2016.
SEC. 13. Section 739 of the Public
Utilities Code is amended to read:
739. (a) As used in this section:
(1) "Baseline quantity" means a quantity of electricity or gas
allocated by the commission for residential customers based on from
50 to 60 percent of average residential consumption of these
commodities, except that, for residential gas customers and for
all-electric residential customers, the baseline quantity shall be
established at from 60 to 70 percent of average residential
consumption during the winter heating season. In establishing the
baseline quantities, the commission shall take into account climatic
and seasonal variations in consumption and the availability of gas
service. The commission shall review and revise baseline quantities
as average consumption patterns change in order to maintain these
ratios. In setting summer baseline quantities, the commission
shall set the baseline based on the warmest 4 months, unless the
commission finds that the longer period is more equitable for that
climate region.
(2) "Residential customer" means those customers receiving
electrical or gas service pursuant to a domestic rate schedule and
excludes industrial, commercial, and every other category of
customer.
(b) The commission shall designate a baseline quantity of gas and
electricity which that is necessary to
supply a significant portion of the reasonable energy needs of the
average residential customer. In estimating those quantities, the
commission shall take into account differentials in energy needs
between customers whose residential energy needs are currently
supplied by electricity alone or by both electricity and gas. The
commission shall develop a separate baseline quantity for
all-electric residential customers. For these purposes, "all-electric
residential customers" are residential customers having electrical
service only or whose space heating is provided by electricity, or
both. The commission shall also take into account differentials in
energy use by climatic zone and season.
(c) (1) The commission shall establish a standard limited
allowance which that shall be in
addition to the baseline quantity of gas and electricity for
residential customers dependent on life-support equipment, including,
but not limited to, emphysema and pulmonary patients. A residential
customer dependent on life-support equipment shall be allocated a
higher energy allocation than the average residential customer.
(2) "Life-support equipment" means that equipment which
that utilizes mechanical or artificial means to
sustain, restore, or supplant a vital function, or mechanical
equipment which that is relied upon for
mobility both within and outside of buildings. "Life-support
equipment," as used in this subdivision, includes all of the
following: all types of respirators, iron lungs, hemodialysis
machines, suction machines, electric nerve stimulators, pressure pads
and pumps, aerosol tents, electrostatic and ultrasonic nebulizers,
compressors, IPPB machines, and motorized wheelchairs.
(3) The limited allowance specified in this subdivision shall also
be made available to paraplegic and quadriplegic persons in
consideration of the increased heating and cooling needs of those
persons.
(4) The limited allowance specified in this subdivision shall also
be made available to multiple sclerosis patients in consideration of
the increased heating and cooling needs of those persons.
(5) The limited allowance specified in this subdivision shall also
be made available to scleroderma patients in consideration of the
increased heating needs of those persons.
(6) The limited allowance specified in this subdivision shall also
be made available to persons who are being treated for a
life-threatening illness or have a compromised immune system, if a
licensed physician and surgeon or a person licensed pursuant to the
Osteopathic Initiative Act certifies in writing to the utility that
the additional heating or cooling allowance, or both, is medically
necessary to sustain the life of the person or prevent deterioration
of the person's medical condition.
(d) (1) The commission shall require that every electrical and gas
corporation file a schedule of rates and charges providing baseline
rates. The baseline rates shall apply to the first or lowest block of
an increasing block rate structure which that
shall be the baseline quantity. In establishing these rates,
the commission shall avoid excessive rate increases for residential
customers, and shall establish an appropriate gradual differential
between the rates for the respective blocks of usage.
(2) In establishing residential electric and gas rates, including
baseline rates, the commission shall ensure that the rates are
sufficient to enable the electrical corporation or gas corporation to
recover a just and reasonable amount of revenue from residential
customers as a class, while observing the principle that electricity
and gas services are necessities, for which a low affordable rate is
desirable and while observing the principle that conservation is
desirable in order to maintain an affordable bill.
(3) At least until December 31, 2003, the commission shall require
that all charges for residential electric customers are volumetric,
and shall prohibit any electrical corporation from imposing any
charges on residential consumption that are independent of
consumption, unless those charges are in place prior to April 12,
2001.
(e) (1) Each electrical corporation and each gas corporation
shall, in a timeframe consistent with each electrical and gas
corporation's next general rate case, disclose on the billing
statement of a residential customer all of the following:
(A) Cost per kilowatthour or gas therm per tier.
(B) Allocation of kilowatthour or gas therm per tier.
(C) Visual representation of usage and cost per tier.
(D) Usage comparison with prior periods.
(E) Itemized cost components in the bill to identify state and
local taxes.
(F) Identification of delivery, generation, public purpose, and
other charges.
(G) Contact information for the commission's Consumer Affairs
Branch.
(2) An electrical corporation and a gas corporation shall make
available online to residential customers both of the following:
(A) Examples of how conservation measures, including changing
thermostat settings and turning off unused lights, could reduce
energy usage and costs.
(B) Examples of how energy-saving devices and weatherization
measures could reduce energy usage and costs.
(3) The commission may modify, adjust, or add to the requirements
of this subdivision as the individual circumstances of each
electrical corporation or gas corporation merits, or for master-meter
customers, as individual circumstances merit.
(4) The commission shall, as part of the general rate case of an
electrical corporation or gas corporation, assess opportunities to
improve the quality of information contained in the utility's
periodic billings.
(f) Wholesale electrical or gas purchases, and the rates charged
therefor for those purchases , are
exempt from this section.
(g) Nothing contained in this section shall be construed to
prohibit experimentation with alternative gas or electrical rate
schedules for the purpose of achieving energy conservation.
SEC. 13. SEC. 14. Chapter 12
(commencing with Section 2120) is added to Part 1 of Division 1 of
the Public Utilities Code, to read:
CHAPTER 12. INVESTMENT IN ENERGY EFFICIENCY RETROFITS
2120. (a) The commission shall implement the following elements
and principles for the state's investments in energy efficiency
retrofits pursuant to this chapter and Sections 399.4, 399.8, and
454.5.
(b) The commission, in evaluating energy efficiency investments
under its existing statutory authority, shall do all of the
following:
(1) Maximize in-state job development with an emphasis on job
creation and economic dev elopment in disadvantaged
communities and communities with high rates of unemployment .
(2) Create and expand financing mechanisms that produce long-term
benefits and that can become self-sustaining over time.
(3) Ensure that moneys collected by an electrical corporation are
expended to provide financial investment tools to the ratepayers of
that electrical corporation. This section does not prohibit
expenditure of program funds to subsidize the manufacture,
distribution of the wholesale or retail stocking of efficient
appliances, or the provision of appliance rebates from retail outlets
within the service territory of an electrical corporation.
(4) Maximize the participation of energy users and the achievement
of energy efficiency savings.
(5) Coordinate with state and local agencies to identify and
address any regulatory barriers that may prevent or delay
implementation of energy efficiency improvements.
(c) It is the intent of the Legislature that, to the extent
practicable, the commission shall adopt definitions of "cost
effective" for the energy efficiency program participants consistent
with other state and federal definitions.
(d) Funds collected pursuant to Section 399.8 and allocated to
energy efficiency programs, consistent with subparagraph (C) of
paragraph (9) of subdivision (b) of Section 454.5, shall be used to
invest in and leverage resources for energy efficiency retrofits. The
funds used pursuant to this section shall be targeted to do any of
the following:
(1) Achieve the goals in Sections 399.4 and 399.8, subparagraph
(C) of paragraph (9) of subdivision (b) of Section 454.5, the scoping
plan adopted pursuant to Section 38561 of the Health and Safety
Code, Chapter 470 of the Statutes of 2009, Chapter 496 of the
Statutes of 2010, the commission's energy efficiency goals and
policies, and other state energy efficiency policies.
(2) Maximize energy savings, job creation, and economic
development by establishing financing mechanisms that leverage funds
provided pursuant to this chapter to the maximum extent feasible,
encourage significant private investments in energy efficiency,
operate in coordination with other energy efficiency and clean energy
programs, and seek to achieve lasting market transformation and
sustainability and maximize participation in cost-effective energy
saving retrofits.
(3) Develop and adopt financial investment tools for comprehensive
energy retrofits in coordination with other commission and utility
efficiency programs and consistent with guidelines adopted pursuant
to Chapter 470 of the Statutes of 2009 and in a manner that leverages
ratepayer funds to the maximum extent feasible and is cost effective
to increase investment in energy efficiency where appropriate in a
manner that will ensure that the investments produce energy savings.
(4) Ensure opportunities for low- and moderate-income households,
including multifamily households, and economically disadvantaged
communities to participate in financial investment tools for
comprehensive energy efficiency retrofits, and include preferences
for programs and program providers in economically disadvantaged
communities in coordination with those services made available
pursuant to Sections 739 and 2790.
(5) Coordinate with other energy efficiency programs, including
low-income energy efficiency and weatherization programs, including
those administered by other state and local agencies and
community-based organizations, to maximize the effectiveness and
efficiency of both programs.
(6) Increase participation in energy efficiency financing and
implementation by independent third-party energy efficiency service
providers, including, but not limited to, local and regional
government energy offices, nonprofit organizations, California
Conservation Corps, community organizations such as conservation
corps and youth corps, small businesses, and minority-, women-, and
disabled veteran-owned businesses.
(7) Coordinate with the Clean Energy Innovation Program to ensure
that proven new technologies are integrated into program
implementation.
(8) Require independent evaluation, measurement, and verification
consistent with requirements established pursuant to Chapter 470 of
the Statutes of 2009.
(9) Utilize market analyses, pilot programs, and commercialization
strategies to support development of financial investment tools and
to best achieve the objectives of this chapter.
(10) Improve coordination among federal, state, local, and private
programs to mobilize investment in energy efficiency and efficiency
retrofits and to eliminate duplication.
(e) The commission shall develop or authorize financing mechanisms
consistent with this section that are appropriate for individual
market segments in coordination with the Energy Commission.
(f) The commission shall establish a standard for what constitutes
cost-effective energy efficiency retrofits to ensure that the
benefits of energy efficiency retrofits exceed their cost.
(g) The commission shall ensure that ratepayer investments in
cost-effective energy efficiency retrofits are accountable and
transparent by doing each of the following:
(1) Making data publicly available while maintaining customer
privacy in a manner that provides sufficient information to ascertain
the total program costs and benefits, typical installed cost of
energy efficiency measures where appropriate, the amount of expected
energy savings over the life of the retrofit measure or program
compared to the incentive and other expenditures incurred, the
geographic distribution of projects where appropriate, the type of
measures deployed in each electrical corporation's service area, and
the performance of energy efficiency measures for the utility service
area individually or collectively as appropriate.
(2) Verifying energy demand reductions by region and assess
progress toward meeting energy efficiency goals, and ensuring that
consumer information is made publicly available to assist customers
in finding licensed contractors, if a licensed contractor is
required, and energy efficiency measures, and understanding the cost
and benefits of energy efficiency measures, their energy bills, and
the costs and benefits of various means of financing energy
efficiency measures.
(3) Making all contract bidding opportunities publicly available,
including contracts administered by electrical corporations or
third-party administrators, and ensuring that small businesses and
minority-, women-, and disabled veteran-owned
businesses are afforded full opportunities
to participate during the contract bidding process.
(4) Ensuring that major products of all consultant contracts of
the commission are made available in a timely manner on the
commission's Internet Web site.
(h) The commission shall, in coordination with the Energy
Commission and consistent with Chapter 470 of the Statutes of 2009,
adopt measurable goals and performance standards for each financing
mechanism. Financial assistance shall be limited to no more than the
amount deemed cost effective pursuant to this chapter.
(i) The commission shall convene a stakeholder advisory committee
no fewer than two times annually to provide technical and strategic
guidance for the development and administration of energy efficiency
financing programs developed pursuant to this section. The committee
shall include representatives of the investor-owned utilities, the
Energy Commission, commercial and residential building industry,
existing building owners and managers, labor, representatives of
energy consumer organizations including agricultural energy users,
customers, and other end users, energy efficiency investors,
technology companies, building industry, installers, local
governments, commercial real estate industry, labor, diverse
environmental groups, including environmental justice groups,
commercial building owners and managers, the office of the Treasurer,
the California Public Employees' Retirement System, and other
entities, as appropriate.
(j) The commission shall authorize funding in a manner that
provides opportunities for all customer sectors to participate,
including, but not limited to, residential single family and
multifamily, commercial and small business, agriculture and food
processing, public buildings owned by state or local governments or
special assessment and school districts, and industrial entities.
(1) In developing and expanding financial investment tools for
energy efficiency retrofits in commercial buildings, the commission
should consider the unique challenges related to energy retrofits in
commercial buildings, including length of payback, access to capital,
allocation of costs between tenants and owners, and related issues.
(2) The commission shall analyze and determine the most effective
means to increase cost-effective investment in residential energy
efficiency retrofits, including local and regional, public and
private, financing mechanisms to reduce the cost of capital and
leverage public funds to the maximum extent practicable. This
evaluation shall be used to prioritize the adoption of financial
investment tools for residential energy efficiency retrofits pursuant
to Section 399.8 and other provisions as appropriate.
(3) The commission shall evaluate and authorize financial
investment tools to finance comprehensive energy efficiency retrofits
of public buildings. This evaluation shall be used to prioritize the
adoption of financial investment tools for public building energy
efficiency retrofits pursuant to Section 399.8 and other provisions
as appropriate.
(4) The commission shall consider factors such as an administrator'
s potential for fostering innovation and market transformation,
minimizing administrative costs, and achieving scales that can
maximize participation and lower overall ratepayer costs. The
commission shall ensure that all administrators and providers are
held to the same standards of performance and accountability.
(k) The commission shall encourage local government participation
in, and administration of, public building retrofit financing
programs. For purposes of this subdivision, local governments include
local and regional energy offices, joint powers authorities, special
assessment districts, local government councils and associations,
and other local government entities. The commission shall coordinate
with the office of the Treasurer, the Energy Commission, electrical
corporations, and local governments to identify the most appropriate
and suitable local and regional government administrators.
(l) The commission shall consider authorizing a program to
encourage the replacement of diesel agricultural water pumps with
electric pumps similar to the program administered by Pacific Gas and
Electric Company and Southern California Edison under the commission'
s Decision D.05-06-016.
(l)
(m) Funds collected pursuant to Section 399.8 and
allocated for energy efficiency that are subject to the requirements
of this section shall be supervised by the commission.
SEC. 14. SEC. 15. In implementing
this act, the public goods charge collected on or before December 31,
2011, pursuant to Section 399.8 of the Public Utilities Code to fund
renewable energy shall be expended pursuant to the provisions of law
that are in effect the day before the effective date of this act.
The public goods charge collected for this purpose on and after
January 1, 2012, shall be expended pursuant to the law in effect on
and after the effective date of this act.
SEC. 15. SEC. 16. This act shall not
become operative unless Senate Bill 870 of the 2011-12 Regular
Session of the Legislature is enacted on or before January 1, 2012.
SEC. 16. SEC. 17. 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.
SEC. 17. SEC. 18. This act is an
urgency statute necessary for the immediate preservation of the
public peace, health, or safety within the meaning of Article IV of
the Constitution and shall go into immediate effect. The facts
constituting the necessity are:
In order to improve the environment, it is necessary that this act
take effect immediately.