BILL ANALYSIS ------------------------------------------------------------ |SENATE RULES COMMITTEE | AB 1031| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 445-6614 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ THIRD READING Bill No: AB 1031 Author: Canciamilla (D) Amended: 7/18/01 in Senate Vote: 21 SENATE ENERGY, U.&C. COMMITTEE : 7-2, 6/26/01 AYES: Bowen, Alarcon, Murray, Sher, Speier, Vasconcellos, Vincent NOES: Morrow, Battin SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8 ASSEMBLY FLOOR : 74-0, 5/30/01 - See last page for vote SUBJECT : Natural gas supplies SOURCE : Author DIGEST : This bill requires long-term forecasts of the demand for natural gas and other specified information to be included in its report to the Governor and Legislature relative to emergency trends and availability of natural gas. Senate Floor Amendments of 7/18/01 remove inaccurate and obsolete reference to the California Public Utilities Commission. ANALYSIS : Existing law requires the State Energy Resources and Conservation Commission to publish and submit to the Governor and the Legislature, every two years, a CONTINUED AB 1031 Page 2 comprehensive report describing emerging trends relating to the use, availability and pricing of various fuels, including natural gas. This bill requires the report to include, with respect to long range forecasts of the demand for natural gas, an evaluation of average conditions, as well as best as best and worst case scenarios, and an evaluation of the impact of increasing renewable resources on natural gas demand. Background Currently, the CEC is required under the Warren-Alquist Act to submit a biennial fuels report to the Governor and the Legislature that includes a description of emerging trends in the use of natural gas. The report is required to include long-range forecasts of natural gas demand from retail consumers, electrical generation and transportation. The CPUC is required to review and comment on the report as it relates to its jurisdiction. Separately, the CPUC adopts a biennial forecast of natural gas demand for each utility it regulates in order to set rates. The CPUC also requires each utility to prepare an annual natural gas report. These reports include historical gas demand and long-term (i.e., 20-year) forecasts of gas demand. The CPUC may use these forecasts for long-term planning purposes, such as determining the need for infrastructure additions to ensure adequate service. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: No ASSEMBLY FLOOR AYES: Aanestad, Alquist, Aroner, Bates, Bogh, Calderon, Bill Campbell, Canciamilla, Cardenas, Cedillo, Chan, Chavez, Chu, Cogdill, Cohn, Corbett, Correa, Cox, Daucher, Diaz, Dickerson, Dutra, Firebaugh, Florez, Frommer, Goldberg, Harman, Havice, Hollingsworth, Horton, Jackson, Keeley, Kehoe, Kelley, Koretz, La Suer, Leach, Leonard, Leslie, Liu, Longville, Lowenthal, Maddox, Maldonado, Matthews, Migden, Mountjoy, Nation, Negrete McLeod, Oropeza, Robert Pacheco, Rod Pacheco, Papan, AB 1031 Page 3 Pavley, Pescetti, Reyes, Richman, Runner, Salinas, Shelley, Simitian, Steinberg, Strickland, Strom-Martin, Thomson, Vargas, Wayne, Wesson, Wiggins, Wright, Wyland, Wyman, Zettel, Hertzberg NC:kb 7/17/01 Senate Floor Analyses SUPPORT/OPPOSITION: NONE RECEIVED **** END ****