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AB-64 Electricity: renewable energy and zero-carbon resources: state policy: strategy.(2021-2022)

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Date Published: 12/07/2020 09:00 PM
AB64:v99#DOCUMENT


CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill
No. 64

Introduced by Assembly Member Quirk

December 07, 2020

An act to amend Section 454.53 of the Public Utilities Code, relating to electricity.


LEGISLATIVE COUNSEL'S DIGEST


AB 64, as introduced, Quirk. Electricity: renewable energy and zero-carbon resources: state policy: strategy.
Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations, while local publicly owned electric utilities, as defined, are under the direction of their governing boards. Existing law establishes as policy of the state that eligible renewable energy resources and zero-carbon resources supply 100% of retail sales of electricity to California end-use customers and 100% of electricity procured to serve all state agencies by December 31, 2045.
Existing law requires the PUC, the State Energy Resources Conservation and Development Commission (Energy Commission), and the State Air Resources Board (state board) to, in consultation with all California balancing authorities, issue a joint report to the Legislature by January 1, 2021, and at least every 4 years thereafter, that includes specified matters.
The bill would require the PUC, Energy Commission, and state board, in consultation with all balancing authorities, to additionally develop a strategy, by an unspecified date, on how to achieve the above-described state policy in a cost-effective and environmentally beneficial manner. The bill would require the strategy to include, among other things, a plan to promote the development of technologies that can help achieve that state policy.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   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) One purpose for the state making ambitious goals for greenhouse gas neutral energy generation is to show the United States and the world how to achieve these goals.
(b) There is no technology yet developed that would allow the state to have sufficient energy throughout the year at costs comparable to today's prices.
(c) Unless investment is made starting now, the necessary technologies and infrastructure will not be available in 2045.
(d) Therefore, it is important that a variety of possible technological paths be developed and investments made to develop the necessary technologies and infrastructure to meet the state’s ambitious greenhouse gas reduction goals.

SEC. 2.

 Section 454.53 of the Public Utilities Code is amended to read:

454.53.
 (a) It is the policy of the state that eligible renewable energy resources and zero-carbon resources supply 100 percent of all retail sales of electricity to California end-use customers and 100 percent of electricity procured to serve all state agencies by December 31, 2045. The achievement of this policy for California shall not increase carbon emissions elsewhere in the western grid and shall not allow resource shuffling. The commission and Energy Commission, in consultation with the State Air Resources Board, shall take steps to ensure that a transition to a zero-carbon electric system for the State of California does not cause or contribute to greenhouse gas emissions increases elsewhere in the western grid, and is undertaken in a manner consistent with clause 3 of Section 8 of Article I of the United States Constitution. The commission, the Energy Commission, the State Air Resources Board, and all other state agencies shall incorporate this policy into all relevant planning.
(b) The commission, Energy Commission, state board, State Air Resources Board, and all other state agencies shall ensure that actions taken in furtherance of subdivision (a) do all of the following:
(1) Maintain and protect the safety, reliable operation, and balancing of the electric system.
(2) Prevent unreasonable impacts to electricity, gas, and water customer rates and bills resulting from implementation of this section, taking into full consideration the economic and environmental costs and benefits of renewable energy and zero-carbon resources.
(3) To the extent feasible and authorized under law, lead to the adoption of policies and taking of actions in other sectors to obtain greenhouse gas emission reductions that ensure equity between other sectors and the electricity sector.
(4) Not affect in any manner the rules and requirements for the oversight of, and enforcement against, retail sellers and local publicly owned utilities pursuant to the California Renewables Portfolio Standard Program (Article 16 (commencing with Section 399.11) of Chapter 2.3) and Sections 454.51, 454.52, 9621, and 9622.
(c) Nothing in this section shall This section does not affect a retail seller’s obligation to comply with the federal Public Utility Regulatory Policies Act of 1978 (16 U.S.C. Sec. 2601 et seq.).
(d) The commission, Energy Commission, and state board State Air Resources Board shall do both all of the following:
(1) Utilize Use programs authorized under existing statutes to achieve the policy described in subdivision (a).
(2) In consultation with all California balancing authorities, as defined in subdivision (d) of Section 399.12, as part of a public process, issue a joint report to the Legislature by January 1, 2021, and at least every four years thereafter. The joint report shall include all of the following:
(A) A review of the policy described in subdivision (a) focused on technologies, forecasts, then-existing transmission, and maintaining safety, environmental and public safety protection, affordability, and system and local reliability.
(B) An evaluation identifying the potential benefits and impacts on system and local reliability associated with achieving the policy described in subdivision (a).
(C) An evaluation identifying the nature of any anticipated financial costs and benefits to electric, gas, and water utilities, including customer rate impacts and benefits.
(D) The barriers to, and benefits of, achieving the policy described in subdivision (a).
(E) Alternative scenarios in which the policy described in subdivision (a) can be achieved and the estimated costs and benefits of each scenario.
(3) In consultation with all California balancing authorities, as defined in Section 399.12, develop a strategy by ____ on how to achieve the policy described in subdivision (a) in a cost-effective and environmentally beneficial manner. The strategy shall do all of the following:
(A) Consider the factors, including, but not limited to, interregional renewable power generation, short-term energy storage, seasonal energy storage, and carbon capture and storage, that affect the ability to achieve the policy described in subdivision (a). The energy storage methods considered by the strategy shall include, but are not limited to, batteries, pumped storage, hydrogen generation and storage, and other developing technologies.
(B) Include a plan to promote the development of technologies that can help achieve the policy described in subdivision (a) to determine the feasibility of those technologies.
(C) Include a plan for how feasible technologies can be deployed in a manner that would achieve the policy described in subdivision (a).
(e) Nothing in this section authorizes This section does not authorize the commission to establish any requirements on a nonmobile self-cogeneration or cogeneration facility that served onsite load, or that served load pursuant to an over-the-fence arrangement if that arrangement existed on or before December 20, 1995.