Bill Text: CA AB1302 | 2025-2026 | Regular Session | Amended

California Assembly Bill 1302

Bill Title: Electricity: customer generators: departing load charges.

Sponsorship: Partisan Bill (Republican 1)

Status: (Failed) 2026-02-02 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB1302 Detail]

Download: California-2025-AB1302-Amended.html

Amended IN Assembly March 25, 2025

CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION

Assembly Bill

No. 1302

Introduced by Assembly Member Wallis

February 21, 2025

An act to ~~amend Section 451 of the Public Utilities Code, relating to rates.~~ add and repeal Section 25619.1 of the Public Resources Code, relating to electricity.

LEGISLATIVE COUNSEL'S DIGEST

AB 1302, as amended, Wallis. ~~Public utilities: rates.~~ Electricity: customer generators: departing load charges.

Existing law requires the State Energy Resources Conservation and Development Commission to develop and coordinate a program of research and development in energy supply, consumption, and conservation and the technology of siting facilities, and to give priority to those forms of research and development that are of particular importance to the state, as specified.
This bill would require the commission, until December 31, 2031, to study and design a new system for allowing electrical customers of electrical corporations, community choice aggregators, local publicly owned electric utilities, and electrical cooperatives to generate their own electricity on their commercial or residential sites. The bill would require the commission, in designing the new system, to ensure all electrical customers are treated fairly, increase transparency in the calculation and application of departing load charges, promote the development and integration of renewable energy sources, support the state’s clean energy goals, consider the benefits of customer-generated energy, and provide a mechanism for stakeholder input, as provided. The bill would require the commission, on or before December 31, 2027, to submit a report to the Legislature detailing the proposed new process for departing load charges and any recommendations for legislative action.
Existing law vests the Public Utilities Commission with regulatory authority over public utilities. Existing law authorizes the commission to fix the rates and charges for every public utility and requires that those rates and charges be just and reasonable.
~~This bill would make nonsubstantive changes to the requirement that rates and charges be just and reasonable.~~

Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NO

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

SECTION 1.

Section 25619.1 is added to the Public Resources Code, to read:

25619.1.
(a) For purposes of this section, all of the following definitions apply:
(1) “Electrical customer” means a customer of an electrical utility.
(2) “Electrical utility” means all of the following:
(A) An electrical corporation, as defined in Section 218 of the Public Utilities Code.
(B) A community choice aggregator, as described in Section 366.2 of the Public Utilities Code.
(C) A local publicly owned electric utility, as defined in Section 224.3 of the Public Utilities Code.
(D) An electrical cooperative, as defined in Section 2776 of the Public Utilities Code.
(b) The commission shall study and design a new system for allowing an electrical customer to generate their own electricity on their commercial or residential site. In designing the new system, the commission shall do all of the following:
(1) Ensure that all electrical customers are treated fairly.
(2) Increase transparency in the calculation and application of departing load charges, making it easier for electrical customers to understand how these charges are determined.
(3) Promote the development and integration of renewable energy resources and support the clean energy goals of the state.
(4) Consider the benefits of energy generated by electrical customers, including the ability of electrical utilities to avoid the cost of building new generation and transmission and the cost of purchasing additional electricity.
(5) Provide a mechanism for stakeholder input, including from representatives from electrical utilities, consumer advocacy groups, and other interested parties.
(c) The commission shall submit a report to the Legislature, on or before December 31, 2027, detailing the proposed new process for departing load charges and any recommendations for legislative action.
(d) (1) A report to be submitted pursuant to subdivision (c) shall be submitted in compliance with Section 9795 of the Government Code.
(2) Pursuant to Section 10231.5 of the Government Code, this section is repealed on December 31, 2031.

SECTION 1.Section 451 of the Public Utilities Code is amended to read:
451.
(a)All charges demanded or received by a public utility, or by any two or more public utilities, for a product or commodity furnished or to be furnished or a service rendered or to be rendered shall be just and reasonable. Every unjust or unreasonable charge demanded or received for that product or commodity or service is unlawful.
(b)Every public utility shall furnish and maintain adequate, efficient, just, and reasonable service, instrumentalities, equipment, and facilities, including telephone facilities, as defined in Section 54.1 of the Civil Code, as are necessary to promote the safety, health, comfort, and convenience of its patrons, employees, and the public.
~~(c)All rules made by a public utility affecting or pertaining to its charges or service to the public shall be just and reasonable.~~