BILL NUMBER: AB 200	ENROLLED
	BILL TEXT

	PASSED THE SENATE  JULY 1, 2005
	PASSED THE ASSEMBLY  APRIL 11, 2005

INTRODUCED BY   Assembly Member Leslie

                        JANUARY 31, 2005

   An act to add Section 399.17 to the Public Utilities Code,
relating to renewable energy resources.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 200, Leslie.  Renewable energy resources: California Renewables
Portfolio Standard Program.
   The Public Utilities Act imposes various duties and
responsibilities on the Public Utilities Commission with respect to
the purchase of electricity and requires the commission to review and
adopt a procurement plan and a renewable energy procurement plan for
each electrical corporation pursuant to the California Renewables
Portfolio Standard Program. The program requires that a retail seller
of electricity, including electrical corporations, community choice
aggregators, and electric service providers, but not including local
publicly owned electric utilities, purchase a specified minimum
percentage of electricity generated by eligible renewable energy
resources, as defined, in any given year as a specified percentage of
total kilowatthours sold to retail end-use customers each calendar
year (renewables portfolio standard). The renewables portfolio
standard requires each electrical corporation to increase its total
procurement of eligible renewable energy resources by at least an
additional 1% of retail sales per year so that 20% of its retail
sales are procured from eligible renewable energy resources no later
than December 31, 2017.
   This bill would adopt certain modifications to the renewables
portfolio standard program that are applicable only to an electrical
corporation with 60,000 or fewer customer accounts in California that
serves retail end-use customers outside California.


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


  SECTION 1.  Section 399.17 is added to the Public Utilities Code,
to read:
   399.17.
   (a) Subject to the provisions of this section, the requirements of
this article apply to an electrical corporation with 60,000 or fewer
customer accounts in California that serves retail end-use customers
outside California.
   (b) For an electrical corporation with 60,000 or fewer customer
accounts in California that serves retail end-use customers outside
California, an eligible renewable energy resource includes a facility
that is located outside California, if the facility is connected to
the Western Electricity Coordinating Council (WECC) transmission
system, provided all of the following conditions are met:
   (1) The electricity generated by the facility is procured by the
electrical corporation on behalf of its California customers, and is
not used to fulfill renewable energy procurement requirements in
other states.
   (2) The electrical corporation participates in, and complies with,
the accounting system administered by the Energy Commission pursuant
to subdivision (b) of Section 399.13.
   (3) The Energy Commission verifies that the electricity generated
by the facility is eligible to meet the annual procurement targets of
this article.
   (c) The commission shall determine the annual procurement targets
for an electrical corporation with 60,000 or fewer customer accounts
in California that serves retail end-use customers outside
California, as a specified percentage of total kilowatthours sold by
the electrical corporation to its retail end-use customers in
California in a calendar year.
   (d) An electrical corporation with 60,000 or fewer customer
accounts in California that serves retail end-use customers outside
California, may use an integrated resource plan prepared in
compliance with the requirements of another state utility regulatory
commission, to fulfill the requirement to prepare a renewable energy
procurement plan pursuant to this article, provided the plan meets
the requirements of Sections 399.11, 399.12, 399.13, and 399.14, as
modified by this section.
   (e) Procurement and administrative costs associated with long-term
contracts entered into by an electrical corporation with 60,000 or
fewer customer accounts in California that serves retail end-use
customers outside California, for eligible renewable energy resources
pursuant to this article, at or below the market price determined by
the commission pursuant to subdivision (c) of Section 399.15, shall
be deemed reasonable per se, and shall be recoverable in rates of the
electrical corporation's California customers, provided the costs
are not recoverable in rates in other states served by the electrical
corporation.