Bill Text: CA SB427 | 2015-2016 | Regular Session | Introduced

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Bill Title: Renewable energy resources.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2016-02-01 - Returned to Secretary of Senate pursuant to Joint Rule 56. [SB427 Detail]

Download: California-2015-SB427-Introduced.html

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BILL NUMBER: SB 427	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Fuller

                        FEBRUARY 25, 2015

   An act to amend Section 399.14 of the Public Utilities Code,
relating to energy.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 427, as introduced, Fuller. Renewable energy resources.
   Under existing law, the Public Utilities Commission has regulatory
authority over public utilities, including electrical corporations,
as defined, while local publicly owned electric utilities, as
defined, are under the direction of their governing board. The
existing Renewables Portfolio Standard Program (RPS program) requires
a retail seller of electricity, as defined, and local publicly owned
electric utilities to purchase specified minimum quantities of
electricity products from eligible renewable energy resources, as
defined, for specified compliance periods. The specified minimum
quantities of electricity products are based upon a percentage of the
utility's total retail sales of electricity in California. The RPS
program authorizes an electrical corporation to apply to the
commission for approval to construct, own, and operate an eligible
renewable energy resource, and requires the commission to approve the
application if certain conditions are met.
   This bill would make technical, nonsubstantive changes to the RPS
program authorization for electrical corporations to apply to the
commission for approval to construct, own, and operate an eligible
renewable energy resource.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


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

  SECTION 1.  Section 399.14 of the Public Utilities Code is amended
to read:
   399.14.  (a) (1) An electrical corporation, pursuant to Chapter 5
(commencing with Section 1001), and in order to meet its unmet
renewables portfolio standard procurement requirements, may apply to
the commission for approval to construct, own, and operate an
eligible renewable energy resource.
   (2) If the proposed eligible renewable energy resource complies
with the requirements of subdivision (b), the commission shall
approve an application filed pursuant to paragraph (1), until the
commission has approved applications for eligible renewable energy
resources for the electrical corporation that, when constructed and
operating, will provide 8.25 percent of the electrical corporation's
anticipated retail sales by December 31, 2020, and thereafter.
   (3) The commission may approve additional applications for
eligible renewable energy resources once the commission has approved
sufficient applications for eligible renewable energy resources for
the electrical corporation that, when constructed and operating, will
provide 8.25 percent of the electrical corporation's anticipated
retail sales by December 31, 2020, and thereafter.
   (b) The commission shall not approve any application by an
electrical corporation pursuant to subdivision (a) unless both of the
following conditions are met:
   (1) The eligible renewable energy resource utilizes a viable
technology at a reasonable cost.
   (2) The eligible renewable energy resource provides comparable or
superior value to ratepayers when compared to then recent contracts
for generation provided by eligible renewable energy resources.
   (c) In approving any application by an electrical corporation for
approval to construct, own, and operate an eligible renewable energy
resource, the commission shall apply traditional cost-of-service
ratemaking. When applying traditional cost-of-service ratemaking, the
commission, in the certificate authorizing the new construction,
shall specify the maximum cost determined to be reasonable and
prudent for the construction of the facility and the cost of initial
operation of the facility. Upon a filing by the electrical
corporation, the commission may authorize an increase in the maximum
cost of construction if it determines that the cost has in fact
increased,  that  the cost increase is determined to
be reasonable and prudent, and  that  the present
or future public convenience or necessity require construction of the
project at the increased cost.