BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                            Senator Carole Migden, Chair

                                           984 (McClintock)
          
          Hearing Date:  5/23/05          Amended: 5/18/05
          Consultant:  Lisa Matocq        Policy Vote: E, U & C 9-0
          _________________________________________________________________ 
          ____
          BILL SUMMARY:   

          SB 984 requires the California Energy Commission (CEC) to  
          perform an assessment of life-cycle costs and environmental  
          impacts of existing and proposed electric generation  
          technologies, including fossil, nuclear, renewable, and  
          hydroelectric, as specified.  
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions               2005-06     2006-07    2007-08    Fund
                                                                   
          CEC                                 $585              $85         
              $385            Special*

          *Energy Resources Program Account (ERPA) 
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: This bill meets the criteria for referral to the  
          Suspense File.  
          
          Current law requires the CEC to conduct assessments to address  
          public interest energy strategies as follows:  emerging trends  
          in energy efficiency technologies and measures, renewable energy  
          industry, and energy research, development, and demonstration  
          activities; and progress in reducing statewide greenhouse gas  
          emissions and addressing the effects of climate change on  
          California.  

          This bill adds to the above list "identification and comparative  
          analysis of the life-cycle costs and environmental impacts of  
          existing and proposed major electric generation technologies, as  
          specified, including fossil, nuclear, renewable, and  
          hydroelectric technologies", using existing government,  
          academic, industry, and public sources.  











          First year costs are estimated at $500,000 for contract services  
          to gather, review, and summarize existing information, and  
          prepare reports and presentations for workshops; and two  
          personnel years (avg. salary and benefits of $85,000) for  
          project management and coordination, product review, and  
          scheduling and conducting meetings and workshops. The  
          assessments are ongoing, therefore increased costs in outyears  
          are estimated at $300,000 for contract costs and two personnel  
          years (every other year) for updating existing information. 

          ERPA revenues are derived from a surcharge on electricity bills  
          and is the primary funding source for the CEC's contract and  
          operating expenses.