Energy (Energy Resilience)

Existing law requires the State Energy Resources Conservation and Development Commission (Energy Commission) , in consultation with the Public Utilities Commission (PUC) , the Independent System Operator, and the State Air Resources Board, on or before December 31, 2023, to submit to the Legislature an assessment of the firm zero-carbon resources that support a clean, reliable, and resilient electrical grid in the state and will achieve the policy of the state that eligible renewable energy resources and zero-carbon resources supply 100% of all retail sales of electricity to the state's end-use customers and 100% of electricity procured to serve all state agencies by December 31, 2045, as specified. This bill would require the Energy Commission, working with the PUC, to prepare and submit to the Legislature, on or before January 1, 2028, a statewide assessment of the role and necessity of firm zero-carbon resources in meeting the state's clean energy and reliability objectives, potential technologies and strategies for integrating firm zero-carbon resources into the state's energy mix, recommendations on procurement, policy, and planning actions to deploy and support firm zero-carbon resources, and current and projected renewable and firm zero-carbon generation capacity, reliability requirements under varying system conditions, and the cost and emission implications of firm zero-carbon resources.

Existing law vests the Public Utilities Commission (PUC) with regulatory authority over public utilities, including electrical corporations. Existing law requires the PUC, in consultation with the State Energy Resources Conservation and Development Commission and the Independent System Operator, to take specified actions to facilitate the commercialization of microgrids for distribution customers of large electrical corporations, including developing microgrid service standards necessary to meet state and local permitting requirements and developing methods to reduce barriers for microgrid deployment without shifting costs between ratepayers. This bill would require a large electrical corporation, upon request, to collaborate with local governments, tribal governments, or community choice aggregators within its service area to support resiliency planning, as provided. The bill would require large electrical corporations to provide local governments, tribal governments, and community choice aggregators with access to data, including electrical distribution equipment data, transmission and distribution circuit data, grid hardening plans, and other information as directed by the commission, to support resiliency planning by local governments and tribal governments to ensure local governments, tribal governments, and community choice aggregators are able to plan potential microgrid projects to support critical facilities. The bill would authorize the commission to require large electrical corporations to share this information in aggregated and anonymized form to protect customer privacy and electrical grid security. Under existing law, a violation of any order, decision, rule, direction, demand, or requirement of the PUC is a crime. Because the violation of a PUC action implementing the bill's requirements would be a crime, this bill would impose a state-mandated local program. 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.

Existing law provides that it is the policy of the state that each electrical corporation upgrade the state's electrical distribution systems as needed. Existing law requires the Public Utilities Commission (PUC) , in consultation with the State Energy Resources Conservation and Development Commission (Energy Commission) and the Independent System Operator (ISO) , to take specified actions to facilitate the commercialization of microgrids for distribution customers of large electrical corporations. This bill would require the Governor's Office of Business and Economic Development, in conjunction with the ISO, to identify six electrical infrastructure modernization zones, as provided. The bill would require the PUC and the Energy Commission to recognize these zones as load growth priority areas. The bill would authorize an electrical corporation that serves a customer within an electrical infrastructure modernization zone to work with the local jurisdiction to update its electrical load projections. The bill would require the PUC to authorize an electrical corporation that serves a customer within an electrical infrastructure modernization zone to expedite cost recovery and to manage microgrids, as specified. Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the PUC is a crime. Because the provisions of this bill would be a part of the act, and because a violation of a PUC action implementing its requirements would be a crime, the bill would impose a state-mandated local program. 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. This bill would make legislative findings and declarations as to the necessity of a special statute for the unincorporated area known as Altadena in the County of Los Angeles.

Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including electrical corporations. Existing law requires electrical corporations to submit information to the commission for various purposes, as provided. This bill would require the commission, on or before December 31, 2026, to produce a report identifying opportunities and needs to provide for local and system reliability with firm zero-carbon resources over the short term, midterm, and long term, as provided. The bill would require the report to include, among other things, characterization of the resource attributes vital for local and system reliability and identification of barriers, including market barriers, to deploying firm zero-carbon resources to enhance local and system reliability. 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 provisions of this bill would be a part of the act and because a violation of a commission action implementing those provisions would be a crime, the bill would impose a state-mandated local program. 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.

Existing law requires the Public Utilities Commission (PUC) , in consultation with the State Energy Resources Conservation and Development Commission and the Independent System Operator, to take specified actions by December 1, 2020, to facilitate the commercialization of microgrids for distribution customers of large electrical corporations, including, among other actions, by, without shifting costs between ratepayers, developing methods to reduce barriers for microgrid deployment. Under existing law, the PUC requires certain large electrical corporations to jointly develop a Microgrid Incentive Program to fund clean energy microgrids to support the critical needs of vulnerable populations impacted by a grid outage. This bill would require the PUC to require each electrical corporation to provide to the commission, on or before January 15, 2026, the status of any awarded or unallocated funds collected for the Microgrid Incentive Program. The bill would require the commission, after reviewing that information, if it determines additional actions, using funds collected on or before January 1, 2026, are needed, to consider the use of a third-party administrator and to ensure that unallocated funds are allocated to areas that have experienced 2 or more deenergization events, prioritizing vulnerable communities, including access and functional needs populations, and prioritizing customers that operate critical community infrastructure that supports resiliency during a deenergization event. The bill would require, if there are remaining unallocated funds on January 1, 2027, that those funds to be returned to ratepayers. Under existing law, a violation of any order, decision, rule, direction, demand, or requirement of the PUC is a crime. Because a violation of a PUC action implementing the bill's requirements would be a crime, the bill would impose a state-mandated local program. 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.

Existing law requires the State Energy Resources Conservation and Development Commission (Energy Commission) to adopt, on a biennial basis, an integrated energy policy report that contains an overview of major energy trends and issues facing the state, including supply, demand, pricing, reliability, efficiency, and impacts on public health and safety, the economy, resources, and the environment. Existing law requires that the report present policy recommendations based on an in-depth and integrated analysis of the most current and pressing energy issues facing the state. This bill would require the Energy Commission, on or before March 1, 2027, to designate a person within the Energy Commission or identify and retain an external candidate to serve as the Senior Counselor on Industrial Policy and Clean Energy Development, and would require the senior counselor to, among other things, convene working groups that focus on certain issues, as provided. The bill would require the Energy Commission, the Governor's Office of Business and Economic Development, the Labor and Workforce Development Agency, the Public Utilities Commission, the Department of General Services, and the office of the Treasurer, on or before March 1, 2027, to enter into a memorandum of understanding on equitable clean energy supply chains and industrial policy in California with specified goals and provisions, as provided. The bill would require the senior counselor to track and coordinate the work under the memorandum of understanding and to prepare an annual report summarizing the key findings and recommendations resulting from that work. The bill would require that the report be presented at a public meeting of the Energy Commission and be published on the Energy Commission's internet website. The bill would establish in the State Treasury the Equitable Clean Energy Supply Chain and Industrial Policy Fund and would, upon appropriation by the Legislature, authorize the moneys in the fund to be expended for purposes of the bill.