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2008 California Energy Legislation
Distributed Generation
AB 811: Levine Authorizes all cities and counties in California to designate areas within which city officials and willing property owners may enter into contractual assessments to finance the installation of distributed generation renewable energy sources and energy efficiency improvements. Signed into law 7/21/08
SB 1124: Senate Local Government Committee enacts the Local Government Omnibus Act of 2008, making changes to the state laws affecting local agencies and land use, among them an exemption from the Subdivision Map Act leases and easements for solar electrical generation devices. Signed into law 9/30/08
SB 1399: Simitian allows the owner of property where the solar collector is to be installed to provide, prior to the its installation, a written notice by certified mail containing specified information to owners of affected property. It exempts trees and shrubs planted prior to the time of the installation of a solar collector. It would redefine "solar collector" to be a device or structure on the roof of a building that is primarily used to transform solar energy into thermal, chemical, or electrical energy. It would provide that a local ordinance specifying the requirements for tree preservation or solar shade control would govern within the jurisdiction that adopted the ordinance. Signed into law 7/22/08
AB 1451: Leno amends tax law that currently excludes solar systems from being included in ad valorem taxes (for annual building reassessment) to specify that "the construction or addition of an active solar energy system" includes the construction of an active solar energy system in a new building in which the owner-builder incorporated an active solar energy system in the initial construction of the new building and the owner-builder does not intend to occupy or use the new building. Signed into law 9/28/08
SB 1512 Wiggins permits an agricultural customer, who uses solar or wind generation to offset the customer's own electrical needs, to aggregate the electricity use of properties adjacent or contiguous to the generator that are under the same ownership, for purposes of net-metering the customer's energy consumption. Last Action: Assembly Appropriations passed to Consent Calendar 7/9/08
AB 1892: Smyth applies the provision that “any covenant, restriction, or condition contained in any deed, contract, security instrument, or other instrument affecting the transfer or sale of, or any interest in, real property that effectively prohibits or restricts the installation or use of a solar energy system is void and unenforceable” to the unenforceability of prohibitions or restrictions relating to solar energy systems to the governing documents of a common interest development. Signed into law 6/30/08
AB 2269: Fuentes authorizes the electricity generated by a solar energy system (for use by a Public Owned Utility) located on the consumer's premises to be sold to the local publicly owned electric. It provides that the requirement that the solar energy system be located on the same premises of the end-use consumer where the consumer's own electricity demand is located, but does not require that the solar energy system be owned by the consumer. It also allows the utility to receive incentives for installation of the solar system through the California Solar Initiative. Vetoed on 9/28/08
AB 2180: Lieu requires that the approval or denial of an application to install a solar energy system is in writing and provided. If an application is not approved within 60 of the date it is received then the application is deemed approved unless the delay is a result of a reasonable request for additional information. Signed into law 9/28/08
AB 2791: Blakeslee allows nonprofit organization that is exempt from taxation, federal, state, and local governments to participate in an existing program that enables customers who plan to have a generating capacity of no more than 20 megawatts of electricity from a combined heat and power ( CHP) system to finance all of the upfront costs for the purchase and installation of a CHP system by repaying those costs through on-bill financing. Signed into law 8/1/08
AB 2804: Hayashi requires the California Public Utilities Commission to grant a school district or community college a extension on the time frame after the school has applied for a rebate under the California Solar Initiative ( CSI) in which the school must install a solar energy system and still be eligible for rebates by up to 540 days (three 180 day extensions). Signed into law 9/28/08
AB 2863: Leno clarifies that companies offering solar power purchase agreements are not electrical corporations and thus are not subject to the same level of regulation as a monopoly electric utilities. To some extent institutional investors are reluctant to invest in the residential solar market out of fear that PPAs will be regulated like monopoly electrical corporations. The bill would impose a civil liability on those who violate specified provisions in the amount of actual damages suffered by a transferee or transferor of the real property as a consequence of that violation. Signed into law 9/28/08
Climate Change/Greenhouse Gas
AB 1075: Cook adds, to the types of composting operations and composting facilities regulated by the California Integrated Waste Management Board (CIWMB), an operation or facility that uses anaerobic digestion (AAD) to produce compost. Last Action: Senate Appropriations postponed a hearing on 6/16/08.
SB 1550: Florez requires the State Controller to develop a voluntary, investor-based standard for use by listed corporations doing business in California that addresses climate change risks in order to help investors make better informed decisions. Last Action: Senate refuses to concur in Assembly amendments 8/31/08.
SB 1672: Steinberg authorizes, subject to voter approval at an unspecified 2010 statewide election, $2.25 billion worth of state general obligation (G.O.) bonds to fund capital outlay projects at institutions offering career development related to clean technology, renewable energy or energy efficiency and to fund a revolving loan for capital outlay projects undertaken by public and private entities involved in such career development. Last Action: Set second hearing. Held in Assembly Appropriations committee and under submission 8/7/08.
SB 1760: Perata creates the Climate Action Team (CAT), consisting of representatives from specified state agencies that shall be responsible for coordinating the states overall climate policy. Requires the CAT, on or before January 1, 2010, and annually thereafter, to prepare, adopt, and present to the Legislature, a strategic research, development, and demonstration plan that establishes priorities and identifies key expenditure categories for research, development, demonstration, and deployment funds to be expended by the state agencies represented on the CAT for the following fiscal year. Requires the CAT, on or before January 1, 2010, and biennially thereafter, to prepare and adopt a climate change impact adaptation and protection plan that includes specified information. The bill requires research, development, and demonstration funds that are administered by the Department of Transportation and are allocated for clean technology, environmental protection, and public interest energy research to be expended consistent with the plan. Vetoed on 9/30/08
AB 1851: Nava establishes advertising standards for greenhouse gas emission credits and provides for civil penalties for violations of the standards. These requirements would become operative on January 1, 2010, and would become inoperative if the Federal Trade Commission adopts binding and enforceable trade rules or regulations for claims or representations for greenhouse gas emission reduction credits or reductions to protect consumers. Last Action: Inactivate file on motion of Assembly Member Nava, 8/31/08.
AB 2224: De La Torre would establish the California Clean Energy Curriculum and Training Initiative and would require the Labor and Workforce Development Agency (agency) to develop a standardized training curriculum for use at schools and provide outreach, assistance, and guidance on creating clean energy training programs. This bill would impose a tax. Last Action: In Senate Appropriations committee. Set first hearing and held under submission 8/7/08.
AB 2267: Fuentes requires the California Energy Commission to give priority to California-based entities when making Public Interest Energy Research, Demonstration and Development awards. This bill would require the commission to provide from existing program funds an additional incentive of 20% for the installation of eligible distributed generation resources from a California supplier. Signed into law 9/28/08
AB 2679: Nunez claries the statutory authority of the California Integrated Waste Management Act of 1989 and enforcement agencies to allow those agencies to take appropriate enforcement actions to protect the public health and the environment from illegal or inappropriate solid waste disposal. Signed into law 9/28/08
AB 2855: Hancock establishes 2 new categories of partnership academies, the Green Technology Partnership Academies and the Goods Movement Partnership Academies. Signed into law 9/30/08
Energy Efficiency
AB 625: Levine permits California's higher education facilities to request funding from awards derived from Williams Settlement Agreement (WSA) to integrate energy efficiency technologies in the educational curriculum and perform energy-efficiency retrofits on schools and public buildings. Requires WSA funds to be appropriated by the Legislature in the annual budget process. Last Action: In Senate Appropriations committee. Set first hearing and held under submission 8/7/08.
AB 1065: Lieber requires the CEC to revise its building energy efficiency standards (for new construction) to decrease energy usage from offsite sources on a per square foot basis to achieve the following benchmarks: A reduction of 20% by 2015, a goal of net energy for new residential buildings by 2020, and a zero net energy for new nonresidential buildings by 2030. Last Action: In Senate Appropriations committee. Set first hearing and held under submission 8/7/08.
SB 1460: Wiggins requires the Public Utilities Commission ( PUC) to develop a program to facilitate the deployment of energy efficiency measures and solar energy projects for apartment buildings and similar rented residential complexes that are individually metered. The bill would require the PUC ensure that the program is cost effective for utility customers. The PUC would be required to develop the program and submit a report by 7/1/2010. Last Action: In Senate Appropriations committee. Set second hearing and held under submission 8/7/08.
SB 1670: Kehoe If approved by the voters at the November 4, 2008, statewide general election, would enact the Energy Efficiency and Carbon Reduction State Building Trust Fund Act of 2008 to authorize the issuance of $2 billion of in state general obligation bonds for implementing programs to reduce the energy used by state entities for state-owned and long-term leased buildings; to assist state entities in retrocommissioning and recommissioning state funded buildings with the goal of ensuring that energy and resource consuming equipment are installed and operated at optimal efficiency; and to assist public schools, colleges, and universities in financing energy efficiency measures consistent with the Green Building Action Plan. Last Action: In Senate Appropriations committee. Set second hearing and held under submission 8/7/08.
AB 2176: Caballero requires the California Energy Commission ( CEC) to administer funds allocated to the state from the federal Energy Independence and Security Act of 2007 (Energy Act) for energy efficiency measures, and requires that 60% of those funds be used to provide grants to cities and counties with relatively small populations. The bill requires the remaining 40% to be used to provide grants to entities eligible under the federal act. All grants are to be prioritized based on cost-effective energy efficiency, and no more than 5% of the funds received can be expended on administrative expenses. Signed into law 8/1/08
AB 2309: DeSaulnier requires the CPUC to authorize the investor-owned utilities (IOUs) to provide owner-requested energy efficiency audits for owner-occupied residential buildings built before January 1, 2006 and make recommendations to the owner on cost-effective measures that would decrease the building's energy usage. Signed into law 8/1/08
AB 2404: Salas requires the CPUC to report to the Legislature the outcome of a pilot project the CPUC established to determine whether cost-effective energy efficiency could be achieved by water conservation projects, and make recommendations as to whether the utilities could achieve cost-effective energy efficiency improvements via water conservation projects. Signed into law 8/1/08
AB 2678: Nunez requires the CPUC, on or before March 1, 2009, to establish an ongoing proceeding to develop requirements for time of sale energy efficiency audits for residential and nonresidential buildings. Before adopting the requirements, the CPUC would be required to consult with specified entities and to hold at least 3 public hearings. Last Action: In Senate Appropriations committee. Set first hearing and held under submission 8/7/08.
Rates/Utilities
SB 1438: Padilla establishes smart grid as the policy of the state and requires the CPUC, in consultation with the CEC and ISO, to develop a definition of the smart grid and establish a plan for implementation. Electrical corporations would also be required to adopt a plan for implementation of a smart grid no later than July 1, 2011. Last Action: In Senate Appropriations committee. Set second hearing and held under submission 8/7/08.
SB 1714: McLeod expands an existing program that requires utilities to purchase electricity from small-scale renewable electricity generators owned by a public water or wastewater agency to include renewable electricity produced by any customer of an electric utility and to allow for larger renewable generating facilities to be eligible for the program. Last Action: Place on inactive file on request of Senator Negrete McLeod 8/31/08.
AB 1755: Fuentes requires the Public Utilities Commission to review its Plant Held for Future Use Guidelines and determine whether it needs to open a proceeding to adjust the time period allowed for costs associated with property held by electrical utilities within a designated transmission corridor zone to be carried in the utilities' rate bases. Vetoed on 9/28/08
AB 1763: Blakeslee requires each electrical and gas corporation to disclose and itemize the charges for each rate block (tier) on residential customers' billing statements. Signed into law 9/28/08
AB 1920: Huffman requires every electric utility to develop a standard contract or tariff providing for net energy metering, and to make this standard contract or tariff available to eligible customer-generators, upon request, on a first-come-first-served basis until the time that the total rated generating capacity used by eligible customer-generators exceeds 2.5 percent of the electric utility's aggregate customer peak demand. Last Action: withdrawn from Senate Appropriations committee and re-referred to the committee on rules 8/30/08
AB 2466: Laird authorizes local governments to receive a bill credit to a designated benefiting account for electricity supplied to the electric grid by an eligible renewable generating facility, and requires the CPUC to adopt a rate tariff for the benefiting account. Under existing law, a violation of the Public Utilities Act or an order or direction of the commission is a crime. Signed into law 9/28/08
