BILL ANALYSIS                                                                                                                                                                                                    



                                                                       


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                              UNFINISHED BUSINESS


          Bill No:  SB 183
          Author:   Sher (D)
          Amended:  7/16/03
          Vote:     21

           
           SENATE ENERGY, U.&C. COMMITTEE  :  7-0, 4/22/03
          AYES:  Bowen, Morrow, Alarcon, Battin, Dunn, Murray, Sher
          NO VOTE RECORDED:  McClintock, Vasconcellos

           SENATE APPROPRIATIONS COMMITTEE  :  10-0, 5/19/03
          AYES:  Alpert, Battin, Aanestad, Bowen, Escutia, Karnette,  
            Machado, Murray, Poochigian, Speier
          NO VOTE RECORDED:  Ashburn, Burton, Johnson

           SENATE FLOOR  :  35-1, 5/22/03
          AYES: Aanestad, Ackerman, Alarcon, Alpert, Ashburn, Battin,  
            Bowen, Burton, Cedillo, Chesbro, Denham, Ducheny, Dunn,  
            Figueroa, Florez, Hollingsworth, Johnson, Karnette,  
            Knight, Kuehl, Machado, Margett, McPherson, Morrow,  
            Murray, Oller, Ortiz, Perata, Poochigian, Scott, Sher,  
            Soto, Torlakson, Vasconcellos, Vincent
          NOES: McClintock
          NO VOTE RECORDED:  Brulte, Escutia, Romero, Speier

           ASSEMBLY FLOOR  :  49-28, 8/28/03 - See last page for vote


          SUBJECT  :    Energy:  renewable technologies

           SOURCE  :     Author


           DIGEST  :    This bill makes substantive and non-substantive  
                                                           CONTINUED





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          changes to the provisions governing renewable energy  
          programs (REP).

           Assembly amendments  (a) provide that out-of-state renewable  
          energy facilities may participate in the REP if they meet  
          specified criteria; and (b) make further technical,  
          clarifying changes.

           ANALYSIS  :    AB 1890 (Brulte), Chapter 854, Statutes of  
          1996, required ratepayers to fund a variety of system  
          reliability, in-state benefit and low-income customer  
          programs at specified levels from 1998 through 2001.  This  
          funding was intended to ensure that these "public goods"  
          programs continued (at least in the short term) in the  
          restructured electric industry.

          Among the public goods programs are in-state operation and  
          development of existing, new, and emerging renewable energy  
          sources.  Prior to awarding any of the money collected from  
          ratepayers, the California Energy Commission (CEC) was  
          required to submit a report to the Legislature describing  
          the programs it would support and the levels of support  
          those programs would receive.  This original CEC investment  
          plan was codified by SB 90 (Sher), Chapter 905, Statutes of  
           1997.

          SB 1194 (Sher), Chapter 1050, Statutes of 2000, extended  
          the collection of a public goods charge from ratepayers  
          until 2012 and again required the CEC to develop investment  
          plans for renewable energy and public interest research,  
          development, and demonstration.  The second CEC investment  
          plan, covering 2002-2007, was codified by SB 1038 (Sher),  
          Chapter 515, Statutes of 2002.  Utility ratepayers  
          contribute $135 million annually to the renewable energy  
          program.

          This bill:
           
           1. Repeals two code sections in the Public Utilities Code  
             relating to the funding and administration of renewable  
             energy programs at the CEC and recast the same language  
             in multiple code sections in the Public Resources Code.   
             Corrects related cross-references in other code  
             sections.







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          2. Requires CEC to annually publish the balance of consumer  
             incentive program funds available to emerging renewable  
             energy resources.

          3. Allows out-of-state renewable energy facilities to  
             participate in the REP if they meet specified criteria.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

          The Emerging Renewable Resources Account (ERRA) presently  
          has a balance of $105 million.  As this information is  
          currently available on the CEC's website, there are no  
          increased costs associated with the publication  
          requirement. 

          ERRA revenues are derived from the public goods surcharge  
          imposed on all utility bills; the surcharge sunsets in  
          2012.  Approximately $135 million is collected each year  
          and used for various programs.

           SUPPORT  :   (Verified  8/25/03)

          AMECO
          EcoEnergies
          Light Energy Systems
          Performance Solar Inc.
          POCO Solar Energy
          Shell Solar
          Six Rivers Solar, Inc.
          SoCal Solar Energy
          Southern California Edison


           ASSEMBLY FLOOR  :
          AYES:  Berg, Bermudez, Calderon, Canciamilla, Chan, Chavez,  
            Chu, Cohn, Corbett, Correa, Diaz, Dutra, Dymally,  
            Frommer, Goldberg, Hancock, Harman, Jerome Horton,  
            Jackson, Kehoe, Koretz, Laird, Leno, Levine, Lieber, Liu,  
            Longville, Lowenthal, Matthews, Montanez, Mullin, Nakano,  
            Nation, Negrete McLeod, Nunez, Oropeza, Parra, Pavley,  
            Reyes, Richman, Ridley-Thomas, Salinas, Simitian,  
            Steinberg, Vargas, Wiggins, Wolk, Yee, Wesson







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          NOES:  Aghazarian, Bates, Benoit, Bogh, Campbell, Cogdill,  
            Cox, Daucher, Dutton, Garcia, Haynes, Houston, Keene, La  
            Malfa, La Suer, Leslie, Maddox, Maldonado, Maze,  
            McCarthy, Mountjoy, Nakanishi, Pacheco, Runner,  
            Samuelian, Spitzer, Strickland, Wyland


          NC:sl  8/29/03   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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