Biomethane: gas corporations.

Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including gas corporations. Existing law authorizes the commission to fix the rates and charges for every public utility and requires that those rates and charges be just and reasonable. Existing law requires the commission to adopt policies and programs that promote the in-state production and distribution of biomethane, as defined, and that facilitate the development of a variety of sources of in-state biomethane. The commission has adopted 2 decisions implementing these requirements, the 2nd of which adopted a 5-year monetary incentive program effective June 11, 2015, for biomethane projects. Existing law requires the commission to modify the monetary incentive program in specified respects and to extend the program, as modified, until December 31, 2021. This bill would require the commission to extend the program until December 31, 2026, or until all available program funds are expended, whichever occurs first. Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime. Because the bill extends the monetary incentive program and requires continuation of action by the commission to implement certain requirements, and because failure to comply with these commission actions would be a crime, the bill would impose a state-mandated local program by extending the operation of a crime. 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.