California Renewables Portfolio Standard Program.

Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations, as defined. The Public Utilities Act imposes various duties and responsibilities on the commission with respect to the purchase of electricity and requires the commission to review and adopt a renewable energy procurement plan for each electrical corporation pursuant to the California Renewables Portfolio Standard Program. The California Renewables Portfolio Standard Program requires a retail seller, as defined, to purchase specified minimum quantities of electricity products from eligible renewable energy resources, as defined, for specified compliance periods. A violation of the Public Utilities Act is a crime. This bill would require, no later than December 31, 2024, each retail seller of electricity to procure a proportionate share, as determined by the commission, of a statewide total of 500 megawatts of electricity generated by specified baseload geothermal powerplants. The bill would require, no later than January 1, 2016, each retail seller to file with the commission a plan for complying with the procurement requirement. The bill would authorize the commission to determine whether the electricity procured by retail sellers from these baseload geothermal powerplants shall count towards meeting their obligations under the California Renewables Portfolio Standard Program to purchase specified minimum quantities of electricity products from eligible renewable energy resources. The bill would prohibit the commission from approving a power purchase agreement to procure electricity pursuant to the above-described requirement that would result in a cumulative increase in the average rate for electricity paid by the ratepayers of the retail seller of 1% or more. The bill would require projects generating electricity procured pursuant to the bill's requirements to demonstrate an environmental benefit to California. Because a violation of these provisions would be a crime under the Public Utilities Act, the bill would impose a state-mandated local program. The bill would require the commission, no later than July 1, 2015, to issue an order instituting an investigation to examine the expiration of power purchase agreements between retail sellers and existing geothermal generation facilities. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.