BILL NUMBER: SB 1709	ENROLLED
	BILL TEXT

	PASSED THE ASSEMBLY   JULY 6, 2000
	PASSED THE SENATE   MAY 24, 2000
	AMENDED IN SENATE   MAY 16, 2000

INTRODUCED BY   Senator Kelley

                        FEBRUARY 22, 2000

   An act to amend Section 218 of the Public Utilities Code, relating
to public utilities.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1709, Kelley.  Public utilities:  electrical corporation.
   The Public Utilities Act defines electrical corporation to include
every corporation or person owning, controlling, operating, or
managing any electric plant for compensation within this state,
except where electricity is generated on or distributed by the
producer through private property solely for its own use or the use
of its tenants and not for sale or transmission to others.  The act
specifically excludes specified power producers from that definition,
including a corporation or person employing landfill gas technology
for the generation of electricity for certain purposes.
   This bill, in addition, would exclude those corporations or
persons employing digester gas technology for the generation of
electricity for certain purposes from the definition of an electrical
corporation.


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


  SECTION 1.  Section 218 of the Public Utilities Code is amended to
read:
   218.  (a) "Electrical corporation" includes every corporation or
person owning, controlling, operating, or managing any electric plant
for compensation within this state, except where electricity is
generated on or distributed by the producer through private property
solely for its own use or the use of its tenants and not for sale or
transmission to others.
   (b) "Electrical corporation" does not include a corporation or
person employing cogeneration technology or producing power from
other than a conventional power source for the generation of
electricity solely for any one or more of the following purposes:
   (1) Its own use or the use of its tenants.
   (2) The use of or sale to not more than two other corporations or
persons solely for use on the real property on which the electricity
is generated or on real property immediately adjacent thereto, unless
there is an intervening public street constituting the boundary
between the real property on which the electricity is generated and
the immediately adjacent property and one or more of the following
applies:
   (A) The real property on which the electricity is generated and
the immediately adjacent real property is not under common ownership
or control, or that common ownership or control was gained solely for
purposes of sale of the electricity so generated and not for other
business purposes.
   (B) The useful thermal output of the facility generating the
electricity is not used on the immediately adjacent property for
petroleum production or refining.
   (C) The electricity furnished to the immediately adjacent property
is not utilized by a subsidiary or affiliate of the corporation or
person generating the electricity.
   (3) Sale or transmission to an electrical corporation or state or
local public agency, but not for sale or transmission to others,
unless the corporation or person is otherwise an electrical
corporation.
   (c) "Electrical corporation" does not include a corporation or
person employing landfill gas technology for the generation of
electricity for any one or more of the following purposes:
   (1) Its own use or the use of not more than two of its tenants
located on the real property on which the electricity is generated.
   (2) The use of or sale to not more than two other corporations or
persons solely for use on the real property on which the electricity
is generated.
   (3) Sale or transmission to an electrical corporation or state or
local public agency.
   (d) "Electrical corporation" does not include a corporation or
person employing digester gas technology for the generation of
electricity for any one or more of the following purposes:
   (1) Its own use or the use of not more than two of its tenants
located on the real property on which the electricity is generated.
   (2) The use of or sale to not more than two other corporations or
persons solely for use on the real property on which the electricity
is generated.
   (3) Sale or transmission to an electrical corporation or state or
local public agency, provided, however, that the sale or transmission
of the electricity service to a retail customer shall only be
provided through the transmission system of the existing local
publicly owned electric utility or electrical corporation of that
retail customer.
   (e) The amendments made to this section at the 1987 portion of the
1987-88 Regular Session of the Legislature do not apply to any
corporation or person employing cogeneration technology or producing
power from other than a conventional power source for the generation
of electricity that physically produced electricity prior to January
1, 1989, and furnished that electricity to immediately adjacent real
property for use thereon prior to January 1, 1989.