Energy: program eligibility and costs.

(1) The California Alternative Energy and Advanced Transportation Financing Authority Act established the California Alternative Energy and Advanced Transportation Financing Authority. The act defines the term "alternative sources" to mean the application of cogeneration technology, the conservation of energy, and the use of specified renewable energy sources under 30 megawatts, or other sources of energy that reduce the use of fossil and nuclear fuels and are intended primarily to offset part or all of a customer's own electrical requirements. The authority is authorized to purchase alternative source energy or projects for sale to a specified participating party and to make a loan to a participating party to purchase alternative source energy or projects by entering into various specified instruments including prepayment purchase contracts. This bill would change the definition of "alternative sources" by deleting the requirement that the energy sources be intended primarily to offset part or all of a customer's own electrical requirements. The bill would require the authority to enter into a prepayment contract with a participating party only for energy derived from an alternative source to the extent the prepayment is for energy intended to primarily offset part or all of the authority's or a participating party's own electrical requirements. (2) A decision of the Public Utilities Commission (PUC) adopted the California Solar Initiative. Existing law requires the PUC to undertake certain steps in implementing the California Solar Initiative, defines what is an eligible solar energy system for purposes of the program, and regulates the use of funds under the California Solar Initiative, including ensuring that not less than 10% of the funds for the California Solar Initiative are utilized for the installation of solar energy systems on low-income residential housing, defined to include, among other housing, a multifamily residential complex in which at least 20% of the total units are sold or rented to lower income households and those units are subject to a deed restriction or affordability covenant with a public entity that ensures those units' affordability for a period of at least 30 years. This bill would revise and recast the definition of "low-income residential housing" for the purposes of the California Solar Initiative. (3) Existing law requires every electrical corporation, as defined, to file with the PUC a standard tariff providing net energy metering for eligible fuel cell customer-generators. Under existing law, a fuel cell electrical generating facility, as defined, is eligible for participation in the tariff if its operation commenced before January 1, 2010. This bill would extend this eligibility to January 1, 2014. (4) Existing law requires the PUC to prepare a written report for the Governor and the appropriate policy committees of the Legislature, on an annual basis, regarding the costs of specified programs and activities conducted by electrical or gas corporations that have more than a specified number of customers in California. Existing law requires the report to be completed and submitted no later than February 1 of each year. This bill instead would require that report to be completed and submitted no later than May 31 of each year. (5) This bill would declare that it is to take effect immediately as an urgency statute.