BILL NUMBER: AB 1348	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 2, 2005
	AMENDED IN ASSEMBLY  APRIL 19, 2005
	AMENDED IN ASSEMBLY  APRIL 7, 2005

INTRODUCED BY   Assembly Member Sharon Runner

                        FEBRUARY 22, 2005

   An act to add  and repeal  Section 379.7  to
  of  the Public Utilities Code, relating to
electricity.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1348, as amended, Sharon Runner.   Antelope Valley Fairgrounds
EE and PV Synergy Demonstration Project.
   Existing law requires the commission, in consultation with the
Energy Commission, to administer, until January 1, 2008, a
self-generation incentive program for distributed generation
resources in the same form that exists on January 1, 2004. 
Existing law establishes a net energy metering pilot program for
eligible biogas digester customer-generators. 
   This bill would  require the Public Utilities Commission
to establish   authorize  the Antelope Valley
Fairgrounds EE and PV Synergy Demonstration Project, as specified
 , at the Antelope Valley   Fairgrounds, that would
include the installation of cost-effective energy efficient equipment
and fixtures, and a photovoltaic solar energy system of up to 630
kilowatts. The bill would require an electrical corporation providing
electrical service to the Antelope Valley Fairgrounds to file a
tariff with the commission meeting certain criteria  .  
   Under existing law, a violation of the Public Utilities Act or an
order or direction of the commission is a crime.   
   Because the provisions of this bill would be a part of the act and
because the failure to file a required tariff or the violation of a
filed and approved tariff implementing its requirements would be a
crime, the bill would impose a state-mandated local program by
creating a new crime. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program:  no  yes  .



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

  
  SECTION 1.
   The Legislature finds and declares all of the following: 

   SECTION 1.    Section 379.7 is added to the 
 Public Utilities Code   , to read:  
   379.7.
   (a) The Legislature finds and declares that the demonstration
project authorized pursuant to this section, at the Antelope Valley
Fairgrounds, to determine actual energy and cost savings that may be
achieved when investments are made onsite to both reduce overall
electricity demand and to offset peak electricity demand through the
installation of (1) cost-effective energy efficient equipment and
fixtures, and (2) a photovoltaic solar energy system, will provide
valuable empirical data upon which to optimize future ratepayer
investments in cost-effective energy efficiency and photovoltaic
solar systems.
   (b) (1) The demonstration project authorized pursuant to this
section shall be referred to as the Antelope Valley Fairgrounds EE
and PV Synergy Demonstration Project.
   (2) To ensure that potential energy and cost savings from
cost-effective energy efficient equipment and fixtures are achieved,
the Antelope Valley Fairgrounds shall do both of the following:
   (A) Implement the recommendations of the energy audit performed on
July 27, 2004.
   (B) Include cost-effective energy efficient equipment and fixtures
in all future expansions of the fairgrounds.
   (3) To ensure that potential energy and cost savings are achieved
from a photovoltaic solar energy system of up to 630 kilowatts
installed at the Antelope Valley Fairgrounds, the photovoltaic solar
energy system shall meet both of the following criteria:
   (A) Be installed in a manner that optimizes operating efficiency,
including appropriate siting.
   (B) Consist of components that are new and unused and have a
warranty of not less than 10 years to protect against defects and
undue degradation of electrical generation output.
   (c) An electrical corporation providing electrical service to the
Antelope Valley Fairgrounds shall, by February 1, 2006, file with the
commission a tariff providing for an incentive rate consistent with
this section. The incentive rate shall provide stability and
certainty over a 10-year period in an amount and in a manner to
support investment in, and to test the durability of, the
photovoltaic solar energy system installed at the fairgrounds. The
incentive rate, together with an incentive from the self-generation
incentive program that recognizes the energy efficiency investments
made at the fairgrounds as authorized pursuant to Section 379.6,
shall provide for a 10-year payback period for the photovoltaic solar
energy system. The incentive rate shall not result in any cost
shifting among customer classes of the electrical corporation.
   (d) Actual energy and cost savings shall be determined through
annual energy audits and ongoing metering of electricity used and
electricity produced on a time-of-use basis.
   (e) The demonstration project will be complete 10 years from the
date the Antelope Valley Fairgrounds first takes electrical service
pursuant to the incentive rate required by this section.
   (f) Biennial reports shall be submitted to the commission and to
the Legislature by the Antelope Valley Fairgrounds. The reports shall
include actual recorded electricity usage by the fairgrounds and
electricity produced by the photovoltaic solar energy system at the
fairgrounds, on a time-of-use basis. A final report shall be
submitted to the commission and to the Legislature within six months
of the conclusion of the demonstration project. The final report
shall include an analysis of the energy and cost savings achieved at
the fairgrounds, the effectiveness of combining investment in energy
efficiency and a photovoltaic solar energy system on the same site,
the performance and durability of the photovoltaic solar energy
system over the life of the demonstration project, and
recommendations for optimizing ratepayer investment in energy
efficiency and photovoltaic solar energy systems.
   (g) This section shall remain in effect only until January 1,
2017, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2017, deletes or extends
that date.
   SEC. 2.   
   No reimbursement is required by this act pursuant to Section 6 of
Article XIII B of the California Constitution because the only costs
that may be incurred by a local agency or school district will be
incurred because this act creates a new crime or infraction,
eliminates a crime or infraction, or changes the penalty for a crime
or infraction, within the meaning of Section 17556 of the Government
Code, or changes the definition of a crime within the meaning of
Section 6 of Article XIII B of the California Constitution.


   (a) Investment in cost-effective energy efficiency produces energy
savings, reduces customer demand, and contributes to the safe and
reliable operation of the electric distribution grid.
   (b) Investment in solar technology that generates electricity
directly from sunlight produces on-peak generating capacity, reduces
dependence on fossil fuels, and can increase system reliability.
   (c) Investment in cost-effective energy efficiency and solar
technology on the same site in a location with above-average solar
incidence on an annual basis could provide synergies that optimize
ratepayer benefits.
   (d) A demonstration project, if properly structured, would provide
empirical data by which to evaluate synergies between energy
efficiency and solar technology. A properly structured demonstration
project would provide for all of the following:
   (1) The installation of cost-effective energy efficient equipment
and fixtures.
   (2) The installation of solar generating capacity to optimize
operating efficiency.
   (3) The adoption of an incentive rate to support investment in,
and test durability of, solar generating capacity.
   (4) On-going monitoring of performance to test efficiency,
durability, and synergy.
   (e) The Antelope Valley Fairgrounds, recently completed the
construction of a complex, including exhibition halls, administration
building, cattle and sheep barn, swine barn, show arena, and clock
tower. The Antelope Valley Fairgrounds is located in Climate Zone 14,
and enjoys more than "300" days of sunshine on an average annual
basis.
   (f) An energy audit performed on that site on July 27, 2004, found
that cost-effective energy efficient heating, ventilation, and air
conditioning (HVAC) equipment and cost-effective energy efficient
lighting fixtures had been installed, along with a state of the art
energy management system (EMS).
   (g) The Antelope Valley Fairgrounds has applied through the
Self-Generation Incentive Program (SGIP) for incentives to install an
onsite photovoltaic solar system to provide cost-effective energy
savings. 
  SEC. 2.  Section 379.7 is added to the Public Utilities Code, to
read:
   379.7.
   The commission shall establish a demonstration project at the
Antelope Valley Fairgrounds to be referred to as the Antelope Valley
Fairgrounds EE and PV Synergy Demonstration Project, that would
require all of the following:
   (a) The calibration of energy management system (EMS) settings,
the installation of variable speed drive on exhaust fans, the
relocation of compressor-condenser units, the installation of
occupancy sensors for lighting control, and the inclusion of all
cost-effective energy efficient equipment in future expansions of
fair facilities.
   (b) The installation of an onsite 630kW photovoltaic (PV)solar
system, for which an incentive application has been made through the
Self-Generation Incentive Program, in a manner that optimizes
operating efficiency, including appropriate siting. Authorized
incentives shall recognize the energy efficiency synergy of the
project. All components of the solar energy system shall be new and
unused and shall have a warranty of not less than 10 years to protect
against defects and undue degradation of electrical generation
output.
   (c) The establishment of incentive rate that provides rate
stability and certainty over a 10-year period in an amount and in a
manner that would support investment in, and test the durability of,
the photovoltaic solar system to be established. The incentive rate
together with an SGIP incentive that recognizes the energy efficiency
investments made in the project, as authorized pursuant to
subdivision (c) of Section 379.6, shall provide for a 10-year payback
period.
   (d) The performance of annual energy audits conducted by the
electrical corporation providing electrical service to further
calibrate the EMS, the ongoing monitoring of PV systems conducted to
determine performance, operating efficiencies, and durability, the
installation of meters to track actual demand and actual energy
production on a time-of-use basis, and the preparation of biennial
reports to be submitted to the commission.