BILL NUMBER: ABX2 26	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Calderon

                        MAY 17, 2001

   An act to add Section 380 to the Public Utilities Code, relating
to public utilities.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 26, as introduced, Calderon.  Electrical energy:  natural gas
generators:  air pollution.
   (1) Existing law defines a standby charge as a charge by an
electrical corporation for providing standby generation,
transmission, and distribution facilities to a private energy
producer employing other than a conventional power source for the
generation of electricity.
   This bill would amend the Public Utilities Act to require the
 commission   Public Utilities Commission 
to establish an appropriate cost-based rate structure for standby
charges for  a   an eligible  customer who
has installed a microgeneration facility, as defined, or a renewable
facility, as defined, or a facility that is powered by stranded
California natural gas on or after 90 days from the effective date of
the bill, if that facility meets certain requirements.   The
bill would specify that these provisions do not apply to those
eligible customer-generators that are not assessed specified standby
charges.   Because any violation of the act is a crime under
existing provisions of law, this bill would impose a state-mandated
local program by creating a new crime.
  (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.
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  yes.


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


  SECTION 1.  Section 380 is added to the Public Utilities Code, to
read:
   380.  (a) To recognize the potential for microgeneration and
renewable facilities to enhance reliability, power quality, and to
provide other demonstrable benefits to the electric transmission or
distribution system, the commission shall establish an appropriate
cost-based rate structure for standby charges  for eligible
customers  .
   (b) Any true-up of rates, which might be required as a result of
restructuring standby charges, may only be imposed on the specific
customer class which received an adjustment in standby charges.
   (c) As used in this section, the following terms have the
following meanings:
   (1) "Eligible customer" means a customer who has installed a
microgeneration facility as defined in subdivision (f) of Section
331, or a renewable facility or a facility that is powered by
stranded California natural gas, but does not include any facility
that is powered by diesel fuel, on or after 90 days from the
effective date of the act adding this section, if that facility meets
all of the following requirements:
   (A) Is operated in parallel with the electrical corporation's
transmission and distribution system.
   (B) Is subject to the electrical corporation's standby tariff.
   (C) Is in full compliance with the best available control
technology (BACT).
   (2) "Renewable facility" means a facility of less than one
megawatt that does not meet the definition of  a 
conventional power source, as defined in Section 2805.  
   (d) This section does not apply to those eligible
customer-generators that are not assessed standby charges pursuant to
subdivision (d) of Section 2827. 
  SEC. 2.  No reimbursement is required by this act pursuant to
Section 6 of Article XIIIB of the California Constitution because the
only costs that may be incurred by a local agency or school district
will be incurred because this act creates a new crime or infraction,
eliminates a crime or infraction, or changes the penalty for a crime
or infraction, within the meaning of Section 17556 of the Government
Code, or changes the definition of a crime within the meaning of
Section 6 of Article XIIIB of the California Constitution.