SB 37

Bill Subjects

Abstract

(1) The Warren-Alquist State Energy Resources Conservation and Development Act (act) establishes the State Energy Resources Conservation and Development Commission (Energy Commission) and requires the commission to prepare a biennial integrated energy policy report containing specified information related to major energy trends and issues facing the state, as well as a biennial energy policy review. The act requires the commission to certify sufficient sites and related facilities that are required to provide a supply of electricity sufficient to accommodate projected demand for power statewide. This bill would enact the Liquefied Natural Gas Market Assessment Act and would require the Energy Commission, as a component of the integrated energy policy report, to conduct a study of the need for liquefied natural gas imports to meet the state's energy demand. The bill would also require the Energy Commission, prior to a lease or permit being issued by the State Lands Commission or the California Coastal Commission to license a liquefied natural gas facility on the California coast, to update its study of the need for liquefied natural gas imports at least 60 days prior to a hearing by the State Lands Commission or the California Coastal Commission if the Energy Commission has not issued an integrated energy policy report within 180 days of the hearing. The bill would also require a liquefied natural gas terminal project applicant to include in the application evidence that it has consulted with the United States Department of Defense and its impacted service components. For a project involving the construction or operation of a liquefied natural gas terminal for which an application submitted to the Federal Energy Regulatory Commission (FERC) or the United States Maritime Administration has not been deemed data adequate on or before January 1, 2012, and the application is being processed for further action by the FERC or the United States Maritime Administration, an environmental impact report prepared for that project by a lead agency would be required to contain specified information. By requiring a local agency to prepare an environmental impact report that contains specified information, the bill would increase the level of service provided by a local agency, thereby imposing a state-mandated local program. The bill would require the Energy Commission, on or before July 1, 2012, to create a matrix on its Internet Web site containing information related to the construction and operation of a liquefied natural gas terminal project, and would require the matrix to be updated quarterly. The bill would also require the commission to impose a fee upon a liquefied natural gas terminal project applicant proposing a liquefied natural gas terminal that would be subject to the bill's provisions and would authorize the commission to expend the fees, upon appropriation by the Legislature, to implement those provisions. (2) 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.