BILL ANALYSIS
AB 1585
Page 1
Date of Hearing: May 11, 2005
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Judy Chu, Chair
AB 1585 (Blakeslee) - As Amended: April 20, 2005
Policy Committee: UtilitiesVote:11-0
Natural Resources 10-0
(Consent)
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill requires the California Energy Commission (CEC) to
review the feasibility of increasing the renewable portfolio
standard (RPS) target to 33% by 2017 and to report the results
of this review to the Legislature and the governor by July 1,
2007.
FISCAL EFFECT
Absorbable costs to the CEC, which indicates it is already
conducting such an evaluation.
COMMENTS
1)Background and Purpose . SB 1078 (Sher), Statutes of 2002,
created California's RPS, under which the investor owned
utilities are required to increase their renewable procurement
each year by at least 1% of total sales, so that 20% of their
sales are from renewable energy sources by December 31, 2017.
Once a 20% portfolio is achieved, no further increase is
required. The Public Utilities Commission (PUC) is required
to adopt comparable requirements for direct access providers
and community choice aggregators.
The "Energy Action Plan" adopted by the PUC, the CEC and the
state Power Authority pledges that the agencies will
accelerate RPS implementation to meet the 20% goal by 2010,
instead of 2017. In the 2004 update to its Integrated Energy
Policy Report, the CEC recommended further advancing the
state's commitment to renewable resources by requiring retail
AB 1585
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sellers of electricity to achieve a 33% RPS by 2017. This
bill addresses this recommendation by requiring the CEC to
further study the feasibility of mandating that goal and
reporting to the Legislature and the governor by July 1, 2007.
2)Related Legislation . AB 1362, also on today's committee
agenda, accelerates the RPS to 20% by 2010 instead of 2017.
Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081