AB 1714 Time of Use Requirement Delayed for California Solar Initiative [Rate/Tariff] PDF
The passage of AB 1714 on June 7th removes the requirement for solar customers to switch to TOU rates until after 2009, and allows customers that install a solar system before then to stay on their existing rate. A complete elimination of the requirement is still needed, but this was the best immediate solution that was agreeable to all parties. The reasons why requiring TOU rates and limiting rate choice for solar customers is so problematic is that it has received less coverage. Solar produces energy at peak times and reduces peak energy usage, how can requiring time-of-use rate, that vary with time of day and season, make solar more expensive for customers? The answers are complex, but worth understanding. The effort of state leaders to move this solution at lightening speed should be underscored. AB 1714 was introduced on May 15th as a bill to provide relief from the TOU requirement and signed by the Governor a scant 23 days later. It was marked an "urgency bill" in order to come into effect the day it was signed and required a 2/3 vote, which made a quick passage more complicated. The bill was sponsored by Assemblymember Lloyd Levine (D-Van Nuys) and Senator Christine Kehoe (D-San Diego) //Top..
This bill will create a 10 year, statewide incentive program to encourage the installation of, approximately 200,000, solar water heating systems that offset natural gas usage for water heating homes and businesses throughout the state. The funding would come from a small surcharge on gas bills, not to exceed $250 million. California relies heavily on natural gas for water heating and 85% of the state's gas supply is imported. Taking advantage of this will provide greater independence, reduction in consumption, reduce global warming and up to 6.8 million tons of CO2 per year. This is equivalent to the annual emissions from over one million cars and represents 5% of the total reductions needed to meet the State's green house emissions cap by 2020. //Top..
Existing law requires the Department of General Services, in consultation with the State Energy Resources Conservation and Development Commission, to ensure that solar energy equipment is installed, no later than January 1, 2007, on all state buildings and state parking facilities, where feasible. This bill requires the department to ensure that solar energy equipment is installed no later than January 1, 2009, on these buildings and facilities, as well as state-owned swimming poolsthat are heated with fossil fuels or electricity, where feasible. Existing law requires that solar energy equipment be installed, where feasible, as part of the construction of all state buildings and state parking facilities for which construction commences on or after January 1, 2003. This bill would change this requirement to apply to construction commencing on or after January 1, 2008. //Top..
2006 Solar Legislation - passed
Million Solar Roofs Bill (Environment California PRESS) After three years, the Million Solar Roofs bill, SB 1, authored by Senator Kevin Murray, was signed into law this morning by Governor Schwarzenegger at a ceremony held at the new solar powered CalTrans building in downtown Los Angeles. “Turning the vision of building a million solar roofs into state law has been a long-time coming,” said Bernadette Del Chiaro, Clean Energy Advocate with Environment California, the leading sponsor of the Million Solar Roofs bill. “But in the end, this law was worth the wait and the fight that it took to turn a great idea into a landmark law.” SB 1 complements the California Solar Initiative established by the Public Utilities Commission in January and puts California on track toward building a million solar roofs in the next ten years. The main components of the bill include: a) Increasing the cap on net metering—a program that allows solar customers to get a credit on their electric bill for excess power generated by their solar system. SB 1 increases the cap from 0.5% of a utility’s total load to 2.5% enabling approximately 500,000 new solar system owners into the net metering program. b) Mandating that solar panels become a standard option for all new homebuyers, enabling new home buyers to choose to add solar panels to their new home while it is being constructed. The bill also directs the California Energy Commission to determine if and when solar power should be mandated on new construction as a standard, non-optional feature. c) Requiring that the state’s municipal utilities create their own solar rebate program, totaling $800 million in rebate funds to drive municipal utility ratepayers toward solar power. d) Directing the California State Licensing Board to review current licensing requirements for solar installers and determine whether or not they are adequately trained to install the million solar roofs expected to be built as a result of this program. “With this new law, California is on pace to becoming the Saudi Arabia of the sun,” said Del Chiaro. “The sky is no limit when it comes to how much of our energy can come from solar power. With high energy prices, rolling blackouts, and growing air pollution problems, everyone in California will benefit from the building of a million solar roofs in the next ten years.” SB 1 will take affect January 1, 2007. //Top..
Expands and makes permanent the regulatory
framework at the State Water Resources Control Board (SWRCB) that allows
use of a solar evaporator system as one means to control or reduce potentially
harmful high-salt content agricultural drainage into surface water and groundwater.
Specifically, this bill:
Current law allows a special net metering arrangement at facilities that have on-site photovoltaics generation designated by the City and County of San Francisco (CCSF) as Hetch Hetchy Water and Power’s (HHWP) facilities. This bill modifies the existing rules for on-site generation by increasing the total amount of generating capacity permissible to 15 MW. It also authorizes the CCSF to use energy generated by a HHWP photovoltaics system at one site to offset consumption at a non-adjacent site owned by the CCSF. //Top..
The bill program restricts certain funding sources from being used for the California Solar Initiative. It also creates the Low-Income Housing Development and Nonprofit Building loan program to help finance solar energy systems in eligible low-income housing and nonprofit building. //Top..
Extends SGIP through 2012 but limits eligibility to fuel cells and distributed wind generators. //Top..
This bill makes modifications to existing renewable portfolio standard requirements and implementation. Most notably it accelerates it accelerates from 2017 to December 31, 2010 the date by which retail sellers of electricity must procure 20% of its electricity from eligible renewable energy sources. The bill also permits the use of renewable energy credits under certain conditions to satisfy RPS requirements.
2006 Budget item funding LBNL
The funds appropriated in Schedule (0.5) shall provide funding for a new energy/nanotechnology research building to support the Lawrence Berkeley National Laboratory's research on the conversion of solar energy into a carbon-neutral form of energy. The funds appropriated shall be equally matched with private funding and federal funds. //Top..
2005 Solar Legislation - passed
This bill removes the sunset clause on a tax exemption for the construction or addition of solar energy systems on public or private buildings. Extends sunset date to 1/1/2010. //Top..
Authorizes the Department of Water Resources to establish a program to lease space above the State Water Project conveyance facilities, such as aqueducts, to private entities for installing solar panels and generating electricity from these panels. //Top..
AB 1348 authorizes a large photovoltaic solar energy system at Antelope County Fairgrounds. The project will generate clean solar power while reducing demand on the energy grid, especially during times of peak demand. //Top..
Net metering cap raised for San Diego. On July 21, the Governor signed into law this bill that raises the net metering cap for the SDG&E territory from approximately 19MW to 50MW of aggregate customer peak demand. Net metering allows customers to connect eligible solar and wind systems directly to the utility’s distribution system and to receive full retail value for the electricity they produce. San Diego was the only part of the state nearing capacity under the old cap. //Top..
This bill specifies that the CEC can use some of the $65 million of public -goods charge funds earmarked for the PIER program for transportation projects such as hydrogen fuel research. It also requires that until January 1, 2009, the CEC must spend half of the natural gas consumption surcharge funds allocated to it by the CPUC on a joint transportation-related research program developed by the CEC and the Air Resources Board. The natural gas consumption surcharge amounts to about $15 million annually. The governor signed the bill July 21. SEC. 7. (a) The sum of six million five hundred thousand dollars ($6,500,000) is hereby appropriated from the Motor Vehicle Account to the State Air Resources Board to fund the state’s share of the following activities: (1) The establishment of up to three demonstration hydrogen fueling stations in the state. Each station shall provide public access, shall meet or exceed the environmental goals of the California Hydrogen Blueprint Plan, and shall use renewable energy, such as solar energy, to produce and dispense hydrogen, or combine fuel dispensing with electricity generation to power the station. As a condition of receipt of the funds, the State Air Resources Board shall require that each station be open to the public during convenient hours, encourage station locations that provide a convenient network for hydrogen fueling, encourage innovation in design, recognize appropriate buffer zones between station location and sensitive receptors, as indicated in public meetings and workshops held pursuant to paragraphs (1) and (2) of subdivision (d), and mitigate any adverse impacts on affected neighborhoods. //Top..
2004 Solar Legislation - passed
California State Assemblymember Lois Wolk in the 8th Assembly District sponsored a bill this year to strengthen the existing Solar Rights Act. The key improvements made to the new Solar Rights Act minimize aesthetic solar restrictions to those that cost less than $2,000. In addition, the act limits building official's review of solar installations only to those items that relate to specific health and safety requirements of local, state and federal law. This law became effective on 1/1/2005. It is the intent of this law that “local agencies not adopt ordinances that create unreasonable barriers to the installation of solar energy systems, including, but not limited to, design review for aesthetic purposes.” Local authorities shall approve applications through permit issuance and can only restrict solar installations based on health and safety reasons. It is thus intended to encourage installations by removing obstacles and minimizing permitting costs. Additional key changes limit aesthetic solar restrictions to those that cost less than $2,000 and limits a building official’s review of solar installations to only those items that relate to specific health and safety requirements or local, state and federal law. In 2003 and 2004, California enacted two bills designed to update and expand California's existing Solar Rights Act. AB 1407 (Wolk - Chapter 290, Statutes of 2003) and AB 2473 (Wolk - Chapter 789, Statutes of 2004) encourage the installation of solar hot water and photovoltaic systems and ensure that cities and counties do not impose unreasonable barriers to the installation of such systems. A key provision of AB 2473 limits the scope of local regulations to those "standards and regulations necessary to ensure that the solar energy system will not have specific adverse impact on the public health and safety." Aesthetic considerations are not acceptable criteria for denying a permit to install a solar energy system. http://www.cacities.org/index.jsp?zone=wcm&previewStory=26810 //Top..
SACRAMENTO - Assemblyman Mark Leno's AB 594, which calls for PG&E to credit San Francisco for energy produced at remote solar sites was signed into law by Governor Arnold Schwarzenegger yesterday. "San Francisco will now be able to build large-scale solar systems on sites such as our hospitals, airports, schools and roof topped reservoirs," said Assemblyman Mark Leno (D-San Francisco). "By building large scale sources of renewable power, we not only provide a cost savings for the City, but protect the environment as we further establish our energy independence." San Franciscans overwhelmingly passed Proposition B, the $100 million solar revenue bond in 2001, but implementation of the bond has been delayed because the City did not have the legal authority to use private power lines to transport energy produced at remote solar projects. AB 594 will allow San Francisco to use revenue bonds to build large solar projects that will benefit the city by crediting Hetch Hetchy for the energy produced. San Francisco has already become an international leader of solar energy projects such as the Moscone Center that produces 675 Kilowatts at peak times. Moscone produces power on-site to reduce the overall costs of energy at the facility. The Public Utilities Commission has already considered development of new solar facilities such as University Mound Reservoir and Moscone Center West using this 'net metering' plan. California represents 60 percent of the nation's market for solar energy and has been instrumental in helping the United States compete with Japan and Germany in generation of renewable energy. The single largest contributor to global warming is pollution through fossil fuel-based energy generation. Solar power helps reduce emissions and establishes regional energy independence. //Top..
Extends and funds Renewable Resources Trust Fund to ensure funding for the Emerging Renewables Program. The Bill, AB 135 [Reyes], gives the California Energy Commission permission to spend $60 million, to be collected between 2007 and 2012, for small solar system rebates (<30kW). The Commission would otherwise not have access to the money until 2007, leaving a two year gap in rebates. The current CEC rebate program is expected to run out funding by the end of this year. The Governor has til September 30th to sign the bill into law. This bill would authorize the commission to expend, until December 31, 2008, up to sixty million dollars ($60,000,000) of the funding allocated to the Renewable Resources Trust Fund for this purpose, subject to specified repayment requirements. This bill would declare that it is to take effect immediately as an urgency statute. //Top..
ANALYSIS : Existing law requires the State Public Utilities Commission to require all residential units in an apartment or similar multiunit residential structure, condominium, or mobile home park built after July 1, 1982, to be individually metered for electric and gas service. A dormitory or other housing accommodation provided by any post-secondary educational institution for students or employees and farm worker housing are exempt from the requirement. ## Separate metering for gas service is not required for residential units which are not equipped with gas appliances requiring venting or that receive most of the energy used for water or space heating from a solar energy system or through cogeneration technology. This bill: 1.Renumbers a provision of the Public Utilities Code to eliminate duplicative statutory numbering. 2.Creates an exemption from a requirement that multi-unit residential complexes must be individually metered for electrical and gas service to allow multi-unit complexes to not have gas meters if they are only equipped with vented decorative appliances (gas fireplaces). 3.Deletes two sections in the Public Utilities Code that are duplicative of similar sections in the Public Resources Code. //Top..
2003 Solar Legislation - passed
· Extends the PUC Self Gen rebate program to 12/31/08; · Extends ultra-clean and low-emission DG definition to 12/31/08; · Eligibility for rebate program remains the same for solar, wind, fuel cells and renewable gas DG; · Eligibility for rebate program is revised for combustion fossil DG in the following manner: 1) Beginning January 1, 2005 must meet NOx emission rate of 0.14 lbs/MWhr (equivalent to the Texas Dg 2005 standard for non-attainment areas) 2) Beginning January 1, 2007 must meet NOx emission rate of 0.07 lbs/MWhr (CARB 2007DG NOx target) AND 60% efficiency (measured as useful energy output divided by fuel input/ based on 100% load). //Top..
Summary: This bill moves the provisions for the Renewable Energy Investment Program from the Public Utilities Code to the Public Resources Code. The bill requires the Energy Commission to report, at least annually, on the status of the Emerging Renewable Energy Account (EREA), requires biomass facilities to report on their fuel use, and sets additional criteria for the eligibility of out-of-state renewable resources for the Renewable Portfolio Standard supplemental energy payment. //Top..
Summary: This bill allows the Public Utilities Commission (PUC) to require an electrical corporation to procure renewable energy in order to meet California's Renewable Portfolio Standard (RPS), if the PUC determines that the terms of the procurement are reasonable and would not impair an electrical corporation's opportunity for creditworthiness. In addition, this bill clarifies that an electrical corporation is allowed rate recovery for renewable electricity procurement and administration. Further, the bill restores RPS eligibility for out-of-state renewable energy generators if specified conditions are met. //Top..
SB 1038 authorizes Renewable Energy Program to allocate and distribute $675 million collected from IOU ratepayers 2002 - 2006.
SB 1078 established Renewables Portfolio Standard, requires IOUs to increase renewable purchases by 1% per year until total reaches 20% of their purchases by 2017, within certain cost restraints.
SB 67 and SB 183 clarified RPS eligibility requirements.
AB 200 addresses RPS requirements for Sierra Pacific and PacifiCorp. //Top..
2002 Solar Legislation - passed
Eliminates 12/31/02 Sunset Date: Preserves 1 MW, single meter net metering; Tasks the PUC with developing a study by 1/1/2005 to determine net metering costs and benefits; Establishes “co-metering” (net metering for energy portion only) for wind over 50 kW and municipals over 10 kW; Preserves “Time of Use” net metering availability; Sets a 1/2 percent per IOU (approximately 270 MW total for all IOUs) ceiling for total capacity of net metered customers //Top..
SB 1038, Senator Byron Sher (D-Palo Alto), enabling the Renewable Investment Plan (includes the CEC RE Buydown (ie. PV rebate) program) and the PIER (including PV Research) program to continue through 2007. //Top..
AB 1881, by Assemblymember Anthony Pescetti (R-Rancho Cordova), expands on the definition of "Solar energy equipment" to make solar heating technologies eligible for installation on, or near, new state buildings and parking facilities. Under current law, "Solar energy equipment" is defined as a provider for the collection, conversion, storage, or control of solar energy for electricity generation. This bill expands the definition for the purpose of including solar thermal energy that heats water, but does not necessarily generate electricity.
SB 1534, by Senator Debra Bowen (D-Marina Del Rey), updates the safety and performance standards for solar energy systems that produce electricity. Specifically, this bill requires that solar energy systems for sale in California be certified by the Solar Rating Certification Corporation, as well as meet all of the applicable safety and performance standards established by the National Electrical Code and the Institute of Electrical and Electronics Engineers, among others. This addition conforms the existing Solar Rights Act (CA Civil Code Section 714) with the identical safety language contained in PUC Code Section 2827, the Net Metering Law.
SB 1660, by Senator Jack Scott (D-Alta Dena) – clarifying clean up language to correctly distinguish between wind and solar systems for the state income tax credit enacted into law last year via SB 17 by Senator Jim Brulte.
AB 1968, by Assemblyman Joe Nation (D-San Rafael) - Eliminates state income tax exposure on “emerging renewable” buydowns from the California Energy Commission Emerging Renewables Buydown Program, although Federal income tax issues remain. //Top..
2001 Solar Legislation - passed
Senate Bill 82xx requires the state Department of General Services to ensure that solar energy equipment is installed on all existing state buildings and parking facilities, with requirements for inclusion in new projects, as well. The bill also establishes PV as an energy efficiency improvement and is to be eligible for Small Business Fund financing.
Assembly Bill 1207 encourages local governments to either adopt an ordinance that would permit small wind energy systems, or to approve wind systems that meet certain minimum criteria until July 1, 2005.
Senate Bill 17xx - creates a solar tax credit, which is retroactive to January 1st 2001. The tax credit, for tax years 2001-2003, is equal to the lesser of 15 percent of the net purchase cost of a photovoltaic or wind-driven system with a generating capacity of not more than 200 kilowatts. The Bill allows a credit for one System per each separate legal parcel of property or per each address of the taxpayer in California, and requires recapture of the credit if the system is sold or removed from California within one year. The credit will be reduced to half that amount for tax years 2004-2005, and will sunset on January 1, 2006. Qualifying systems would need to be certified by the Energy Commission, installed with a five-year warranty, and would be required to be in service in California for at least one year. This bill complements other programs that provide incentives for installing renewable systems.
Senate Bill 48xx -
Creates the Solar Training, Education and Certification Act of 2001 which
is a three prong program that fills in gaps of existing state programs
designed to encourage the use of solar energy systems. The bill has 3
2000 Solar Legislation - passed
AB 918 (Keeley) Net Metering AB 918 revises and clarifies the method of calculating a net energy metering bill for people who generate electricity (customer-generators) through small solar and/or wind generating systems by providing that customers be paid the same amount for generating electricity as they pay for consuming energy. The bill also clarifies that electrical corporations are not obligated to provide net metering services under certain conditions. California Energy Commission: Note changes in net metering law. Status: Chapter 1043
AB 995 (Wright, R) Public Goods Charge Extension AB 995 extends the existing surcharge upon electricity to fund public purpose energy efficiency, renewable technology support, and research and development programs for 10 years. In addition, the bill defines the role of electricity distribution companies. California Energy Commission: Adopt "investment plans" for expenditure of renewable and research and development funds. Address recommendations of PIER Independent Review Panel. Status: Chapter 1051. //Top..
For grid-tied Photovoltaic Systems (solar electric). Net Metering simply means that, a rooftop photovoltaic system producing excess electricity during the day, can deliver this electricity to the local utility, spinning the utility meter backwards and gaining a credit (at the retail rate), which can be used later when power is needed from the grid (at night or on cloudy days).
2002 - AB 58 (To View, or PDF) Effective January 1, 2003. Eliminates 12/31/02 Sunset Date: Preserves 1 MW, single meter net metering; Tasks the PUC with developing a study by 1/1/2005 to determine net metering costs and benefits; Establishes “co-metering” (net metering for energy portion only) for wind over 50 kW and municipals over 10 kW; Preserves “Time of Use” net metering availability; Sets a 1/2 percent per IOU (approximately 270 MW total for all IOUs) ceiling for total capacity of net metered customers
2001 - AB 29 (To View, or PDF) Effective April 11, 2001. Changes: raises system cap from 10 kW to 1 MegaWatt [MW]!, no standby charges, open to commercial/industrial/agricultural customers, elimination of utility territory caps, applies to all California utilities - IOU and public owned. Systems installed under this law, will be eligible for for these conditions for the life of the system. Note: The new features, under AB 29, will revert back to AB 918 conditions on 1/1/2003 unless further legislation is enacted.
2000 - AB 918 (To View, or Download PDF) Effective on January 1 2001. Changes: clarity on compensation rates, and introduces Time-of-Use Net Metering
1998 - AB 1755 – To View, or Download PDF. Changes: include small wind systems, include small commercial customers, annualize the billing cycle, and allow for property tax exlcusion
1995 - the first California Net Metering Law SB 656 – (To view as HTML click here, or to download as PDF click here.) was signed in California, establishing compensation and simplified interconnection rules for small scale photovoltaic systems. The new net metering law provided that all utilities in California must allow residential customers with PV systems rated up to 10kW to interconnect with the local utility grid and receiving retail value for the electricity produced. //Top..
California Public Utility Code referencing Net Metering Section 2827 [(go to www.leginfo.ca.gov/calaw.html, select "Public Utilities Code", type in "2827" , and click on "search".
Click here to see Net Metering around the nation.
2001 - Senate Bill 17xx - creates a solar tax credit, which is retroactive to January 1st 2001. The tax credit, for tax years 2001-2003, is equal to the lesser of 15 percent of the net purchase cost of a photovoltaic or wind-driven system with a generating capacity of not more than 200 kilowatts. The Bill allows a credit for one System per each separate legal parcel of property or per each address of the taxpayer in California, and requires recapture of the credit if the system is sold or removed from California within one year. The credit will be reduced to half that amount for tax years 2004-2005, and will sunset on January 1, 2006. Qualifying systems would need to be certified by the Energy Commission, installed with a five-year warranty, and would be required to be in service in California for at least one year. This bill complements other programs that provide incentives for installing renewable systems.
2001 - AB 29 - (PDF) Effective April 11, 2001. Provides more funding ($22M for IOU customers & $8M for Muni Customers) into the CEC Buydown Program for up to 10kW systems. The funding is tax dollars(vs. ratepayer funding as with the existing program), thus the program applies also to muni customers, a new feature. Also establishes a Renewable Energy Loan Guarantee Program, to be established by the Technology, Trade and Commerce State Agency - Targets larger Renewable Energy Projects, though could include grid-tied PV.
2000 - SB1345 - (PDF) Establishes Grant Program for Solar Hot Water, Solar Pool Heating, or PV system batteries (grid-tied only), and other distributed generation technologies. Must be renewed annually. Effective: 1/1/2001 Program details: go here.
1996 - AB 1890 (PDF) The original electric utility deregulation bill established incentives for grid-tied PV systems (for IOU customers) under the California Energy Commission's Emerging Renewable Program. Municipal Utilities were instructed to also establish Public Benefit programs which included Renewable Energy features (Article 8).
PURPA - Independent Power gains access to the Grid In 1978, the Public Utility Regulatory Policy Act (or PURPA) established the right for independent power producers to interconnect with the local utility distribution system. The resulting interconnection protocols for these utility-scale independent power producers was not trivial. For small systems, such as a residential rooftop PV system, these protocols were prohibitive.(Go to Washington DC to learn more about PURPA.)//Top..