Self-generation incentive program: energy storage systems.

Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations. Existing law requires the commission to require the administration, until January 1, 2021, of a self-generation incentive program to increase the development of distributed generation resources and energy storage technologies, and authorizes the annual collection of moneys for the program, through December 31, 2019, not to exceed double the amount authorized for the program in the 2008 calendar year. Existing law requires the commission, on January 1, 2021, to provide for repayment of all unallocated funds collected to pay for the program to reduce ratepayer costs. This bill would, in addition to the moneys already authorized to be collected to pay for the self-generation incentive program, authorize an additional annual collection of not more than $140,000,000 by the 3 largest electrical corporations to provide for energy storage systems, as specified. The bill would, beginning January 1, 2019, require that the commission direct those corporations to reserve not less than 40% of the additional moneys collected for those corporations to develop, own, and operate energy storage system projects located within, and benefiting customers in, low-income communities, low-income households, or multifamily residences. The bill would require the commission to direct those corporations to reserve the remaining 60% of the additional moneys collected for projects located within, and benefiting customers in, census tracts with median household incomes at or below an unspecified percent of the statewide median income. The bill would require the commission to optimize the value for customers and the electrical system by requiring customers receiving or benefiting from incentives to be on a time-of-use rate and by directing electrical corporations to operate storage so as to minimize the bills of customers and overall system costs by considering periods of high solar generation system ramping demands.