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AB-1191 Energy: assessments and forecasts.(2013-2014)

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Amended  IN  Assembly  March 21, 2013

CALIFORNIA LEGISLATURE— 2013–2014 REGULAR SESSION

Assembly Bill
No. 1191


Introduced by Assembly Member Patterson

February 22, 2013


An act to amend Section 25301 Sections 25304 and 25364 of the Public Resources Code, relating to energy.


LEGISLATIVE COUNSEL'S DIGEST


AB 1191, as amended, Patterson. Energy: assessments and forecasts.
The California Global Warming Solutions Act of 2006 establishes the State Air Resources Board, commonly known as the state board, as the state agency responsible for monitoring and regulating sources emitting greenhouse gases. The act requires the state board to adopt a statewide greenhouse gas emissions limit, as defined, to be achieved by 2020, equivalent to the statewide greenhouse gas emissions levels in 1990. The state board is additionally required to adopt rules and regulations in an open public process to achieve the maximum technologically feasible and cost-effective greenhouse gas emission reductions. Pursuant to the act, the state board has adopted the Low Carbon Fuel Standard regulations.
Existing law requires, beginning November 1, 2003, and every 2 years thereafter, the State Energy Resources Conservation and Development Commission, commonly known as the California Energy Commission, to adopt an integrated energy policy report that contains an overview of certain topics including specified transportation forecasting and assessment activities.
This bill would require the California Energy Commission, commencing November 1, 2014, until November 1, 2020, to conduct the transportation forecasting and assessment activities annually and, in conducting the transportation forecasting and assessment activities, to also evaluate the sufficiency of credits issued under the Low Carbon Fuel Standard regulations, as specified.

Existing law requires the State Energy Resources Conservation and Development Commission, at least every 2 years, to conduct assessments and forecasts of all aspects of energy industry supply, production, transportation, delivery and distribution, demand, and prices.

This bill would make technical, nonsubstantive changes to this provision.

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NOYES   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) California’s transportation energy sector provides citizens and businesses with the means and mobility for many essential activities. Industries, commercial businesses, households, transit agencies, and governments, both state and local, rely on transportation energy and expect that the necessary supplies will be available for movement of goods and people over highways, rail, waterways, and air. Transportation fuels also provide energy for off-road, industrial, agricultural, commercial, military, and recreational uses.
(b) State law charges the California Energy Resources Conservation and Development Commission with the responsibility of conducting transportation forecasting and assessment activities, including, but not limited to, assessments of the risks of supply disruptions, price shocks, or other events and the consequences of these events on the availability and price of transportation fuels and on the state’s economy.
(c) Under state law, these transportation forecasts and assessments are included in the biennial integrated energy policy adopted by the commission. For the purposes of ensuring consistency in the underlying information that forms the foundation of energy policies and decisions affecting the state, existing law requires the State Air Resources Board and other state agencies to carry out their energy-related duties and responsibilities based upon the information and analyses contained in the report.
(d) In January 2007, Governor Schwarzenegger issued Executive Order S-01-07, which established the goal of developing a low carbon fuel standard (LCFS) to reduce the carbon intensity of transportation fuels by at least 10 percent by 2020. The Executive Order provides that the LCFS shall apply to all providers of transportation fuels in California, shall be measured on a full fuels cycle basis, and shall authorize compliance through market-based methods.
(e) Executive Order S-01-07 directed the State Air Resources Board to determine if the LCFS could be adopted as a discrete early action measure under the California Global Warming Solutions Act of 2006 and, if so, to consider adoption of the LCFS on the list of Discrete Early Action Measures required to be identified by June 30, 2007, pursuant to Section 38560.5 of the Health and Safety Code.
(f) In 2010, the LCFS became fully operative through the adoption of regulations by the State Air Resources Board in Subarticle 7 (commencing with Section 95480) of Article 4 of Subchapter 10 of Chapter 1 of Division 3 of Title 17 of the California Code of Regulations.

SEC. 2.

 Section 25304 of the Public Resources Code is amended to read:

25304.
 (a) The commission shall conduct transportation forecasting and assessment activities to meet the requirements of paragraph (2) of subdivision (a) of Section 25302 including, but not limited to:

(a)

(1) Assessment of trends in transportation fuels, technologies, and infrastructure supply and demand and the outlook for wholesale and retail prices for petroleum, petroleum products, and alternative transportation fuels under current market structures and expected market conditions.

(b)

(2) Forecasts of statewide and regional transportation energy demand, both annual and seasonal, and the factors leading to projected demand growth including, but not limited to, projected population growth, urban development, vehicle miles traveled, the type, class, and efficiency of personal vehicles and commercial fleets, and shifts in transportation modes.

(c)

(3) Evaluation of the sufficiency of transportation fuel supplies, technologies, and infrastructure to meet projected transportation demand growth. Assessment of crude oil and other transportation fuel feedstock supplies; in-state, national, and worldwide production and refining capacity; product output storage availability; and transportation and distribution systems capacity and use.
(4) Evaluation of the sufficiency of credits issued under the Low Carbon Fuel Standard regulations, including both of the following:
(A) Data on the projected and actual costs of credits.
(B) Availability and source of credits.
(5) Assessment of the excess or deficiency of credits, if any.

(d)

(6) Assessments of the risks of supply disruptions, price shocks, or other events and the consequences of these events on the availability and price of transportation fuels and effects on the state’s economy.

(e)

(7) Evaluation of the potential for needed changes in the state’s energy shortage contingency plans to increase production and productivity, improve efficiency of fuel use, increase conservation of resources, and other actions to maintain sufficient, secure, and affordable transportation fuel supplies for the state.

(f)

(8) Evaluation of alternative transportation energy scenarios, in the context of least environmental and economic costs, to examine potential effects of alternative fuels usage, vehicle efficiency improvements, and shifts in transportation modes on public health and safety, the economy, resources, the environment, and energy security.

(g)

(9) Examination of the success of introduction, prices, and availability of advanced transportation technologies, low- or zero-emission vehicles, and clean-burning transportation fuels, including their potential future contributions to air quality, energy security, and other public interest benefits.

(h)

(10) Recommendations to improve the efficiency of transportation energy use, reduce dependence on petroleum fuels, decrease environmental impacts from transportation energy use, and contribute to reducing congestion, promoting economic development, and enhancing energy diversity and security.
(b) Notwithstanding Section 25302, and commencing November 1, 2014, until November 1, 2020, the commission shall conduct the transportation forecasting and assessment activities described in this section annually.
(c) For purposes of this section, “Low Carbon Fuel Standard regulations” means those regulations adopted by the state board in Subarticle 7 (commencing with Section 95480) of Article 4 of Subchapter 10 of Chapter 1 of Division 3 of Title 17 of the California Code of Regulations.

SEC. 3.

 Section 25364 of the Public Resources Code is amended to read:

25364.
 (a) Any person required to present information to the commission pursuant to Section 25354 may request that specific information be held in confidence. Information requested to be held in confidence shall be presumed to be confidential.
(b) Information presented to the commission pursuant to Section 25354 shall be held in confidence by the commission or aggregated to the extent necessary to assure confidentiality if public disclosure of the specific information or data would result in unfair competitive disadvantage to the person supplying the information.
(c) (1) Whenever the commission receives a request to publicly disclose unaggregated information, or otherwise proposes to publicly disclose information submitted pursuant to Section 25354, notice of the request or proposal shall be provided to the person submitting the information. The notice shall indicate the form in which the information is to be released. Upon receipt of notice, the person submitting the information shall have 10 working days in which to respond to the notice to justify the claim of confidentiality on each specific item of information covered by the notice on the basis that public disclosure of the specific information would result in unfair competitive disadvantage to the person supplying the information.
(2) The commission shall consider the respondent’s submittal in determining whether to publicly disclose the information submitted to it to which a claim of confidentiality is made. The commission shall issue a written decision which sets forth its reasons for making the determination whether each item of information for which a claim of confidentiality is made shall remain confidential or shall be publicly disclosed.
(d) The commission shall not make public disclosure of information submitted to it pursuant to Section 25354 within 10 working days after the commission has issued its written decision required in this section.
(e) No information submitted to the commission pursuant to Section 25354 shall be deemed confidential if the person submitting the information or data has made it public.
(f) With respect to petroleum products and blendstocks reported by type pursuant to paragraph (1) or (2) of subdivision (a) of Section 25354 and information provided pursuant to subdivision (h) or (i) of Section 25354, neither the commission nor any employee of the commission may do any of the following:
(1) Use the information furnished under paragraph (1) or (2) of subdivision (a) of Section 25354 or under subdivision (h) or (i) of Section 25354 for any purpose other than the statistical purposes for which it is supplied.
(2) Make any publication whereby the information furnished by any particular establishment or individual under paragraph (1) or (2) of subdivision (a) of Section 25354 or under subdivision (h) or (i) of Section 25354 can be identified.
(3) Permit anyone other than commission members and employees of the commission to examine the individual reports provided under paragraph (1) or (2) of subdivision (a) of Section 25354 or under subdivision (h) or (i) of Section 25354.
(g) Notwithstanding any other provision of law, the commission may disclose confidential information received pursuant to paragraph (1) of subdivision (a) of Section 25304 or Section 25354 to the State Air Resources Board if the state board agrees to keep the information confidential. With respect to the information it receives, the state board shall be subject to all pertinent provisions of this section.

SECTION 1.Section 25301 of the Public Resources Code is amended to read:
25301.

(a)At least every two years, the commission shall conduct assessments and forecasts of all aspects of energy industry supply, production, transportation, delivery and distribution, demand, and prices. The commission shall use these assessments and forecasts to develop energy policies that conserve resources, protect the environment, ensure energy reliability, enhance the state’s economy, and protect public health and safety. To perform these assessments and forecasts, the commission may require submission of demand forecasts, resource plans, market assessments, and related outlooks from electric and natural gas utilities, transportation fuel and technology suppliers, and other market participants. These assessments and forecasts shall be done in consultation with the appropriate state and federal agencies including, but not limited to, the Public Utilities Commission, the Division of Ratepayer Advocates, the State Air Resources Board, the Independent System Operator, the Department of Water Resources, the Department of Transportation, and the Department of Motor Vehicles.

(b)In developing the assessments and forecasts prepared pursuant to subdivision (a), the commission shall do all of the following:

(1)Provide information about the performance of energy industries.

(2)Develop and maintain the analytical capability sufficient to answer inquiries about energy issues from government, market participants, and the public.

(3)Analyze and develop energy policies.

(4)Provide an analytical foundation for regulatory and policy decisionmaking.

(5)Facilitate efficient and reliable energy markets.