BILL NUMBER: SB 654	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Haynes

                        FEBRUARY 23, 2001

   An act to amend Section 2822 of the Public Utilities Code,
relating to public utilities.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 654, as introduced, Haynes.  Electricity: standby charges.
   Existing law requires the Public Utilities Commission to approve
and establish standby charges for electrical corporations.
   This bill would require the commission to prohibit the imposition
of standby charges on the use or operation of distributed energy
resources, as defined.
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  no.


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


  SECTION 1.  Section 2822 of the Public Utilities Code is amended to
read:
   2822.   The   (a) Except as otherwise
specified in subdivision (b), the  commission shall approve and
establish standby charges for electrical corporations.  The
commission may act in this regard on its own motion or on application
of an electrical corporation or a private energy producer.  
   (b) The commission shall prohibit standby charges on the use or
operation of distributed energy resources.  "Distributed energy
resources" for the purposes of this section means any generation,
storage, or related ancillary technology designed primarily to serve
the local demand for electricity other than from conventional power
sources.