Electricity: load-serving entities.

Plain English Breakdown

The bill summary and digest do not provide specific details on penalties or exact reports that will be combined.

Electricity Rules for Power Companies

The bill requires power companies to use the same method to measure reliability when planning future electricity needs and asks the Public Utilities Commission to combine some reports by January 1, 2030.

What This Bill Does

• Requires the commission to use a specific capacity valuation method for assessing resource adequacy starting from January 1, 2030.
• Asks the commission to initiate a process to consolidate compliance reporting for power companies by January 1, 2030.

Who It Names or Affects

• Power companies like electrical corporations, electric service providers, and community choice aggregators.
• The Public Utilities Commission which sets rules for power companies.

Terms To Know

Load-serving entities

Companies that provide electricity to customers, including electrical corporations, electric service providers, and community choice aggregators.

Capacity valuation method

A way of measuring how reliable different types of power resources are.

Limits and Unknowns

• The bill does not specify the exact reports that will be combined or when this process will start.
• It is unclear what happens if the rules are not followed, but violations could lead to criminal charges.

Official Summary Text

AB 2266, as amended, Schultz.
Electricity: load-serving entities.
Existing law requires the Public Utilities Commission to set resource adequacy and resource procurement obligations for load-serving entities, which include electrical corporations, electric service providers, and community choice aggregators. Existing law requires various compliance reporting for load-serving entities.
This bill would require the commission, on and after January 1, 2030, when setting certain resource adequacy and resource procurement obligations for load-serving entities, to use the same capacity valuation method, as defined, to assess the reliability contribution of each resource type, as specified. The bill would require the commission, on or before January 1, 2030, to initiate a process to consolidate certain compliance reporting for load-serving entities, as specified.
Existing
law establishes the Independent System Operator as a nonprofit, public benefit corporation and requires the Independent System Operator, among other duties, to ensure the efficient use and reliable operation of the electrical transmission grid consistent with the achievement of planning and operating reserve criteria, as provided.
This bill would require the commission, if the Independent System Operator exercises its backstop procurement authority to ensure sufficient resources to operate the electrical grid, to include in a specified annual report an explanation of why the need for the backstop procurement arose, as provided.
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 a violation of a commission action
implementing certain provisions of the bill 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.

Current Bill Text

Download Bill PDF