Bill Text: CA AB33 | 2015-2016 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Electrical corporations: energy storage systems: long duration bulk energy storage resources.

Spectrum: Bipartisan Bill

Status: (Passed) 2016-09-26 - Chaptered by Secretary of State - Chapter 680, Statutes of 2016. [AB33 Detail]

Download: California-2015-AB33-Amended.html

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BILL NUMBER: AB 33	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JUNE 6, 2016
	AMENDED IN SENATE  SEPTEMBER 4, 2015
	AMENDED IN SENATE  AUGUST 18, 2015
	AMENDED IN SENATE  JUNE 23, 2015
	AMENDED IN ASSEMBLY  JUNE 1, 2015
	AMENDED IN ASSEMBLY  APRIL 6, 2015

INTRODUCED BY   Assembly Member Quirk
   (Coauthors: Assembly Members Chávez, Jones, and Weber)
   (Coauthors: Senators Anderson and Hueso)

                        DECEMBER 1, 2014

   An act to add Section  454.53   2836.8 
to the Public Utilities Code, relating to electricity.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 33, as amended, Quirk. Electrical corporations: 
procurement plans.   energy storage systems. 
    Under existing law, the Public Utilities Commission has
regulatory authority over public utilities, including electrical
corporations, as defined.  The Public Utilities Act requires
the commission to review and adopt an overall procurement plan for
each electrical corporation to meet electricity demand for its
customers in accordance with specified elements, incentive
mechanisms, and objectives. The act requires the commission to review
and accept, modify, or reject each electrical corporation's
procurement plan and requires that each approved procurement plan
accomplish specified objectives.   Existing law requires
the commission to open a proceeding to determine appropriate
targets, if any,   for each load-serving entity, as defined,
to procure viable and cost-effective energy storage systems to be
achieved by December 31, 2015, and December 31, 2020. If determined
to be appropriate, the commission is required to adopt the
procurement targets, by October 1, 2013, and to reevaluate the
determinations not less than once every three years. Pursuant to
these requirements the commission adopted Decision 13-10-040 (October
17, 2013), Decision Adopting Energy Storage Procurement Framework
and Design Program.  
   This bill would require the commission, as part of a new or
existing proceeding, to determine what role large scale energy
storage could play as part of the state's overall strategy for
procuring a diverse portfolio of resources and to consider specified
factors in making that determination.  
   If, beginning January 1, 2017, the commission increases the
targets for a load-serving entity to procure viable and
cost-effective energy storage systems, this bill would require the
commission to authorize pumped hydroelectric storage facilities of
any size that become operational on or after January 1, 2017, to be
eligible to meet those requirements, without limit, to the extent
that those facilities meet otherwise applicable requirements. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    The Legislature finds and declares all
of the following:  
   (a) According to the California Independent System Operator (ISO),
the state is experiencing unprecedented changes in the generation,
delivery, and consumption of electricity. Along with these changes
come challenges for operating the state's electrical grid and
resources in the most efficient manner, particularly in terms of
timing of generation in relation to the demand for electricity. 

   (b) As part of the long term procurement planning process at the
Public Utilities Commission, the ISO has identified a need for
fast-ramping and flexible resources to balance the electrical grid
and mitigate the effects of over-generation from renewable energy
resources.  
   (c) The ISO has identified energy storage, with its unique ability
to both utilize excess electricity generated by renewable energy
resources and to quickly inject that electricity back onto the
electrical grid to meet ramping and peak demand needs, as a part of
the new strategy for efficiently operating the electrical grid in a
manner that best protects the environment.  
   (d) Pumped hydroelectric storage, in particular, when constructed
in a sufficiently large scale, possesses the characteristics to meet
our electrical grid's need for rapid ramping capability and the
capacity to utilize over-generation from renewable energy resources.
 
   (e) Even with the recognized need identified by the ISO, there
remains a lack of incentive for the state's electrical utilities to
procure large pumped hydroelectric energy storage because that
procurement does not meet any current utility mandate. 
   SEC. 2.    Section 2836.8 is added to the  
Public Utilities Code   , to read:  
   2836.8.  Beginning January 1, 2017, if the commission increases
the targets for a load-serving entity to procure viable and
cost-effective energy storage systems, pumped hydroelectric storage
facilities of any size that become operational on or after January 1,
2017, shall be eligible without limit to the extent that those
facilities meet otherwise applicable requirements.  
  SECTION 1.    Section 454.53 is added to the
Public Utilities Code, to read:
   454.53.  The commission shall, as part of a new or existing
proceeding, determine what role, if any, large scale energy storage
could play as part of the state's overall strategy for procuring a
diverse portfolio of resources and, in making that determination,
shall consider factors including, but not limited to,
cost-effectiveness, the projected value of renewable integration
services, and indirect greenhouse gas emissions reductions over the
anticipated life of the large scale energy storage resource.