BILL NUMBER: SB 1296	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Soto

                        FEBRUARY 17, 2004

   An act to add and repeal Section 379.7 to the Public Utilities
Code, relating to energy, and declaring the urgency thereof, to take
effect immediately.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1296, as introduced, Soto.  Bark beetle wood waste fueled
generating facilities.
   Existing law permits a private energy producer to generate
electricity not generated from conventional sources, as defined,
solely for his, her, or its own use or the use of its tenants, or
generating electricity to or for any electrical corporation, state
agency, city, county, district, or an association thereof, but not
the public, without becoming a public utility subject to the general
jurisdiction of the Public Utilities Commission. Existing law
requires the commission to review the charges paid by electrical
corporations to private energy producers for electricity generated by
other than conventional power sources and to review standby and
transmission charges made by electrical corporations to the private
energy producers.  The commission is further required, after the
review, to adjust those charges to encourage the generation of
electricity from other than conventional power sources.
   This bill would state the intent of the Legislature to promote
investment in, and the use of, power generation systems that have the
capability of utilizing bark beetle wood waste as fuel for
electrical power generation.
   The bill would define a "bark beetle wood waste fueled generating
facility" as an electrical generating facility that has the physical
capability of handling and consuming as fuel in the process of
generating electricity, bark beetle wood waste originating in the
counties of San Bernardino, Riverside, or San Diego.
   The bill would prohibit a bark beetle wood waste fueled generating
facility from being charged by an electrical corporation for any
exit fees or cost responsibility surcharges, as approved by the
commission and applicable to departing load customers, including
Department of Water Resources bond charges, Department of Water
Resources power charges, or any fees for recovery of utility power
cost undercollections or residual uneconomic generation charges, for
the energy it generates from the consumption of bark beetle wood
waste fuel.
   The provisions of this bill would be repealed on January 1, 2011.

   The bill would state that it is to take effect immediately as an
urgency statute.
   Vote:  2/3.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  no.


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


  SECTION 1.  The Legislature finds and declares as follows:
   (a) A condition of extreme peril to the people, property, and
environment exists within the boundaries of Riverside, San
Bernardino, and San Diego Counties due to imminent fire danger and
associated potential for erosion and other environmental damage
caused by the extraordinary number of dead, dying, and diseased trees
resulting from prolonged drought, overstocked forests, and
infestation by bark beetles and other decay organisms.
   (b) Unless the number of dead, dying, and diseased trees and other
vegetation is promptly reduced, there will be an increasing risk to
life and property from catastrophic erosion resulting from the
conditions created by fire.  It is estimated that removal of these
trees will take in excess of five years.
   (c) While the Governor issued a State of Emergency Proclamation on
March 7, 2003, to expedite the removal process, this proclamation
fails to address the ultimate disposal of the bark beetle wood waste.
  It is important that state and local government seek beneficial
uses for this material, including uses that minimize the impact on
landfill space and minimize pollution resulting from transportation
or uncontrolled burning of the material.
   (d) One beneficial use is the conversion of bark beetle wood waste
to electrical energy.  The conversion of bark beetle wood waste to
electrical energy during the anticipated five-year removal period
would provide an increased supply of generation capacity and energy
during a period in which the state's electrical generation capacity
is expanding to meet the state's needs, while simultaneously
providing for the disposal of the waste under environmentally
controlled conditions.
  SEC. 2.  It is the intent of the Legislature to promote investment
in, and the use of, power generation systems that have the capability
of utilizing bark beetle wood waste as fuel for electrical power
generation.  To encourage participation in this effort, it is
desirable and in the public interest to remove existing obstacles to
the participation by owners and operators of power generation systems
in the bark beetle wood waste removal process.
  SEC. 3.  Section 379.7 is added to the Public Utilities Code, to
read:
   379.7.  (a) For the purposes of this section, the term "bark
beetle wood waste fueled generating facility" shall mean an
electrical generating facility that has the physical capability of
handling and consuming as fuel in the process of generating
electricity, bark beetle wood waste originating in the counties of
San Bernardino, Riverside, or San Diego.
   (b) A bark beetle wood waste fueled generating facility shall not
be charged by an electrical corporation any exit fees or cost
responsibility surcharges, as approved by the commission and
applicable to departing load customers, including Department of Water
Resources bond charges, Department of Water Resources power charges,
or any fees for recovery of utility power cost undercollections or
residual uneconomic generation charges, for the energy it generates
from the consumption of bark beetle wood waste fuel.
  (c) This section shall remain in effect only until January 1, 2011,
and as of that date is repealed, unless a later enacted statute,
that is enacted before January 1, 2011, deletes or extends that date.

  SEC. 4.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect.  The facts constituting the necessity are:
   In order to reduce the imminent risk of fire in Riverside, San
Bernardino, and San Diego Counties, it is necessary that this act
take effect immediately.