SB 723

Bill Subjects

Abstract

Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations and gas corporations, as defined. The Public Utilities Act requires the Public Utilities Commission to review and adopt a procurement plan for each electrical corporation in accordance with specified elements, incentive mechanisms, and objectives. The act requires that an electrical corporation's proposed procurement plan include certain elements, including a showing that the electrical corporation will first meet its unmet needs through all available energy efficiency and demand reduction resources that are cost effective, reliable, and feasible. Existing law requires the Public Utilities Commission, in consultation with the State Energy Resources Conservation and Development Commission, to identify all potentially achievable cost-effective electricity efficiency savings, and to establish efficiency targets for electrical corporations to achieve pursuant to their procurement plan. The act requires the Public Utilities Commission, in consultation with the State Energy Resources Conservation and Development Commission, to identify all potentially achievable cost-effective natural gas efficiency savings and to establish efficiency targets for gas corporations to achieve, and requires that a gas corporation first meet its unmet resource needs through all available gas efficiency and demand reduction resources that are cost effective, reliable, and feasible. This bill would require the Public Utilities Commission, in consultation with the State Energy Resources Conservation and Development Commission and the United States Armed Forces, to authorize a pilot program designed to evaluate the effects of using an alternative baseline energy efficiency methodology at United States Armed Forces bases and facilities. The bill would require electrical and gas corporations, using existing military contracting procedures, to the extent feasible, or new partnership with the federal government, to accomplish the goals of the pilot program. This bill would require the Public Utilities Commission to approve financial incentives for energy efficiency measures implemented at Armed Forces bases and facilities pursuant to the pilot program through existing energy efficiency programs administered by electrical corporations and gas corporations. Because a violation of an order or a direction of the commission is a crime, this bill would impose a state-mandated local program. This bill would repeal the pilot program on January 1, 2020. 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.