Amended IN Senate March 22, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Senate Bill No. 1434Introduced by Senator LeyvaFebruary 16, 2018 An act to add Section 740.17 to the Public Utilities Code, relating to energy. transportation electrification.LEGISLATIVE COUNSEL'S DIGESTSB 1434, as amended, Leyva. Energy: Transportation electrification: electricity rate structures. design.Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the commission, in cooperation with the State Energy Resources Conservation and Development Commission, the State Air Resources Board, air quality management districts and air pollution control districts, electrical and gas corporations, and the motor vehicle industry, to evaluate and implement policies to promote the development of equipment and infrastructure needed to facilitate the use of electric power and natural gas to fuel low-emission vehicles. The commission is required to ensure that its policies authorizing utilities to develop equipment and infrastructure needed for electric-powered and natural gas-fueled low-emission vehicles ensure that the costs and expenses of those programs are not passed through to electric or gas ratepayers unless the commission finds and determines that those programs are in the ratepayers interest. Existing law, enacted as part of the Clean Energy and Pollution Reduction Act of 2015, requires the PUC, in consultation with the State Energy Resources Conservation and Development Commission and State Air Resources Board, to direct electrical corporations to file applications for programs and investments to accelerate widespread transportation electrification to reduce dependence on petroleum, meet air quality standards, achieve the goals set forth in the Charge Ahead California Initiative, and reduce emissions of greenhouse gases to 40% below 1990 levels by 2030 and to 80% below 1990 levels by 2050. That law requires that the programs proposed by electrical corporations seek to minimize overall costs and maximize overall benefits. The PUC is required to approve, or modify and approve, programs and investments in transportation electrification, including those that deploy charging infrastructure, through a reasonable cost recovery mechanism, if they are consistent with the above-described purposes, do not unfairly compete with nonutility enterprises, include performance accountability measures, and are in the interests of ratepayers.This bill would require the PUC to direct electrical corporations with more than 100,000 service connections in California to file rate design applications, specific to transit agencies as commercial customers, that support and accelerate the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40% below 1990 levels by 2030 and to 80% below 1990 levels by 2050. The bill would authorize an electrical corporation with 100,000 or fewer service connections in California to file rate design applications for those purposes. The bill would require that a rate design proposed by an electrical corporation seek to minimize overall costs and maximize overall benefits to transit agencies and would require the commission to approve, or modify and approve, rate design applications, if they are consistent with this requirement and are in the interests of ratepayers.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 are within the act and require action by the commission for implementation, the bill would impose a state-mandated local program by creating a new 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.This bill would declare the intent of the Legislature to enact legislation relating to electricity rate structures that would encourage the adoption of alternative fuel medium- and heavy-duty zero-emission vehicles.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NOYES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 740.17 is added to the Public Utilities Code, to read:740.17. (a) (1) The Legislature finds and declares all of the following:(A) Reducing emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050 will require widespread transportation electrification, including of Californias transit bus fleet.(B) Zero-emission transit buses are needed to reduce fossil fuel use, to meet air quality standards, to improve public health, to prove the viability of zero-emission heavy-duty technologies, and to achieve the states goals for reducing emissions of greenhouse gases.(C) Lower and more predictable electricity rates should support and accelerate increased deployment of zero-emission transit buses by providing access to a fuel that is cleaner and less costly than gasoline or other fossil fuels.(D) According to the State Alternative Fuels Plan analysis by the Energy Commission and the State Air Resources Board, light-, medium-, and heavy-duty vehicle electrification results in approximately 70 percent less of greenhouse gases emitted, over 85 percent less of ozone-forming air pollutants emitted, and 100 percent less petroleum used. These reductions will become larger as renewable generation increases.(2) It is the policy of the state and the intent of the Legislature to encourage electrification of Californias transit bus fleet as a means to achieve ambient air quality standards and the states climate goals. Agencies designing and implementing regulations, guidelines, plans, and funding programs to reduce emissions of greenhouse gases shall take the findings described in paragraph (1) into account.(b) (1) The commission shall direct an electrical corporation with more than 100,000 service connections in California to file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(2) An electrical corporation with 100,000 or fewer service connections in California may file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(3) A rate design proposed by an electrical corporation pursuant to this subdivision shall seek to minimize overall costs and maximize overall benefits to transit agencies. The commission shall approve, or modify and approve, these rate design applications if they are consistent with this section, and are in the interests of ratepayers as defined in Section 740.8.(c) This section applies to an application to the commission for rate design if one of the following conditions is met:(1) The application is filed on or after January 1, 2019.(2) The application is filed before January 1, 2019, but has an evidentiary hearing scheduled on or after July 1, 2019.SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.SECTION 1.It is the intent of the Legislature to enact legislation relating to electricity rate structures that would encourage the adoption of alternative fuel medium- and heavy-duty zero-emission vehicles.
Amended IN Senate March 22, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Senate Bill No. 1434Introduced by Senator LeyvaFebruary 16, 2018 An act to add Section 740.17 to the Public Utilities Code, relating to energy. transportation electrification.LEGISLATIVE COUNSEL'S DIGESTSB 1434, as amended, Leyva. Energy: Transportation electrification: electricity rate structures. design.Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the commission, in cooperation with the State Energy Resources Conservation and Development Commission, the State Air Resources Board, air quality management districts and air pollution control districts, electrical and gas corporations, and the motor vehicle industry, to evaluate and implement policies to promote the development of equipment and infrastructure needed to facilitate the use of electric power and natural gas to fuel low-emission vehicles. The commission is required to ensure that its policies authorizing utilities to develop equipment and infrastructure needed for electric-powered and natural gas-fueled low-emission vehicles ensure that the costs and expenses of those programs are not passed through to electric or gas ratepayers unless the commission finds and determines that those programs are in the ratepayers interest. Existing law, enacted as part of the Clean Energy and Pollution Reduction Act of 2015, requires the PUC, in consultation with the State Energy Resources Conservation and Development Commission and State Air Resources Board, to direct electrical corporations to file applications for programs and investments to accelerate widespread transportation electrification to reduce dependence on petroleum, meet air quality standards, achieve the goals set forth in the Charge Ahead California Initiative, and reduce emissions of greenhouse gases to 40% below 1990 levels by 2030 and to 80% below 1990 levels by 2050. That law requires that the programs proposed by electrical corporations seek to minimize overall costs and maximize overall benefits. The PUC is required to approve, or modify and approve, programs and investments in transportation electrification, including those that deploy charging infrastructure, through a reasonable cost recovery mechanism, if they are consistent with the above-described purposes, do not unfairly compete with nonutility enterprises, include performance accountability measures, and are in the interests of ratepayers.This bill would require the PUC to direct electrical corporations with more than 100,000 service connections in California to file rate design applications, specific to transit agencies as commercial customers, that support and accelerate the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40% below 1990 levels by 2030 and to 80% below 1990 levels by 2050. The bill would authorize an electrical corporation with 100,000 or fewer service connections in California to file rate design applications for those purposes. The bill would require that a rate design proposed by an electrical corporation seek to minimize overall costs and maximize overall benefits to transit agencies and would require the commission to approve, or modify and approve, rate design applications, if they are consistent with this requirement and are in the interests of ratepayers.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 are within the act and require action by the commission for implementation, the bill would impose a state-mandated local program by creating a new 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.This bill would declare the intent of the Legislature to enact legislation relating to electricity rate structures that would encourage the adoption of alternative fuel medium- and heavy-duty zero-emission vehicles.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NOYES
Amended IN Senate March 22, 2018
Amended IN Senate March 22, 2018
CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION
Senate Bill No. 1434
Introduced by Senator LeyvaFebruary 16, 2018
Introduced by Senator Leyva
February 16, 2018
An act to add Section 740.17 to the Public Utilities Code, relating to energy. transportation electrification.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
SB 1434, as amended, Leyva. Energy: Transportation electrification: electricity rate structures. design.
Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the commission, in cooperation with the State Energy Resources Conservation and Development Commission, the State Air Resources Board, air quality management districts and air pollution control districts, electrical and gas corporations, and the motor vehicle industry, to evaluate and implement policies to promote the development of equipment and infrastructure needed to facilitate the use of electric power and natural gas to fuel low-emission vehicles. The commission is required to ensure that its policies authorizing utilities to develop equipment and infrastructure needed for electric-powered and natural gas-fueled low-emission vehicles ensure that the costs and expenses of those programs are not passed through to electric or gas ratepayers unless the commission finds and determines that those programs are in the ratepayers interest. Existing law, enacted as part of the Clean Energy and Pollution Reduction Act of 2015, requires the PUC, in consultation with the State Energy Resources Conservation and Development Commission and State Air Resources Board, to direct electrical corporations to file applications for programs and investments to accelerate widespread transportation electrification to reduce dependence on petroleum, meet air quality standards, achieve the goals set forth in the Charge Ahead California Initiative, and reduce emissions of greenhouse gases to 40% below 1990 levels by 2030 and to 80% below 1990 levels by 2050. That law requires that the programs proposed by electrical corporations seek to minimize overall costs and maximize overall benefits. The PUC is required to approve, or modify and approve, programs and investments in transportation electrification, including those that deploy charging infrastructure, through a reasonable cost recovery mechanism, if they are consistent with the above-described purposes, do not unfairly compete with nonutility enterprises, include performance accountability measures, and are in the interests of ratepayers.This bill would require the PUC to direct electrical corporations with more than 100,000 service connections in California to file rate design applications, specific to transit agencies as commercial customers, that support and accelerate the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40% below 1990 levels by 2030 and to 80% below 1990 levels by 2050. The bill would authorize an electrical corporation with 100,000 or fewer service connections in California to file rate design applications for those purposes. The bill would require that a rate design proposed by an electrical corporation seek to minimize overall costs and maximize overall benefits to transit agencies and would require the commission to approve, or modify and approve, rate design applications, if they are consistent with this requirement and are in the interests of ratepayers.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 are within the act and require action by the commission for implementation, the bill would impose a state-mandated local program by creating a new 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.This bill would declare the intent of the Legislature to enact legislation relating to electricity rate structures that would encourage the adoption of alternative fuel medium- and heavy-duty zero-emission vehicles.
Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the commission, in cooperation with the State Energy Resources Conservation and Development Commission, the State Air Resources Board, air quality management districts and air pollution control districts, electrical and gas corporations, and the motor vehicle industry, to evaluate and implement policies to promote the development of equipment and infrastructure needed to facilitate the use of electric power and natural gas to fuel low-emission vehicles. The commission is required to ensure that its policies authorizing utilities to develop equipment and infrastructure needed for electric-powered and natural gas-fueled low-emission vehicles ensure that the costs and expenses of those programs are not passed through to electric or gas ratepayers unless the commission finds and determines that those programs are in the ratepayers interest. Existing law, enacted as part of the Clean Energy and Pollution Reduction Act of 2015, requires the PUC, in consultation with the State Energy Resources Conservation and Development Commission and State Air Resources Board, to direct electrical corporations to file applications for programs and investments to accelerate widespread transportation electrification to reduce dependence on petroleum, meet air quality standards, achieve the goals set forth in the Charge Ahead California Initiative, and reduce emissions of greenhouse gases to 40% below 1990 levels by 2030 and to 80% below 1990 levels by 2050. That law requires that the programs proposed by electrical corporations seek to minimize overall costs and maximize overall benefits. The PUC is required to approve, or modify and approve, programs and investments in transportation electrification, including those that deploy charging infrastructure, through a reasonable cost recovery mechanism, if they are consistent with the above-described purposes, do not unfairly compete with nonutility enterprises, include performance accountability measures, and are in the interests of ratepayers.
This bill would require the PUC to direct electrical corporations with more than 100,000 service connections in California to file rate design applications, specific to transit agencies as commercial customers, that support and accelerate the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40% below 1990 levels by 2030 and to 80% below 1990 levels by 2050. The bill would authorize an electrical corporation with 100,000 or fewer service connections in California to file rate design applications for those purposes. The bill would require that a rate design proposed by an electrical corporation seek to minimize overall costs and maximize overall benefits to transit agencies and would require the commission to approve, or modify and approve, rate design applications, if they are consistent with this requirement and are in the interests of ratepayers.
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 are within the act and require action by the commission for implementation, the bill would impose a state-mandated local program by creating a new 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.
This bill would declare the intent of the Legislature to enact legislation relating to electricity rate structures that would encourage the adoption of alternative fuel medium- and heavy-duty zero-emission vehicles.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 740.17 is added to the Public Utilities Code, to read:740.17. (a) (1) The Legislature finds and declares all of the following:(A) Reducing emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050 will require widespread transportation electrification, including of Californias transit bus fleet.(B) Zero-emission transit buses are needed to reduce fossil fuel use, to meet air quality standards, to improve public health, to prove the viability of zero-emission heavy-duty technologies, and to achieve the states goals for reducing emissions of greenhouse gases.(C) Lower and more predictable electricity rates should support and accelerate increased deployment of zero-emission transit buses by providing access to a fuel that is cleaner and less costly than gasoline or other fossil fuels.(D) According to the State Alternative Fuels Plan analysis by the Energy Commission and the State Air Resources Board, light-, medium-, and heavy-duty vehicle electrification results in approximately 70 percent less of greenhouse gases emitted, over 85 percent less of ozone-forming air pollutants emitted, and 100 percent less petroleum used. These reductions will become larger as renewable generation increases.(2) It is the policy of the state and the intent of the Legislature to encourage electrification of Californias transit bus fleet as a means to achieve ambient air quality standards and the states climate goals. Agencies designing and implementing regulations, guidelines, plans, and funding programs to reduce emissions of greenhouse gases shall take the findings described in paragraph (1) into account.(b) (1) The commission shall direct an electrical corporation with more than 100,000 service connections in California to file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(2) An electrical corporation with 100,000 or fewer service connections in California may file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(3) A rate design proposed by an electrical corporation pursuant to this subdivision shall seek to minimize overall costs and maximize overall benefits to transit agencies. The commission shall approve, or modify and approve, these rate design applications if they are consistent with this section, and are in the interests of ratepayers as defined in Section 740.8.(c) This section applies to an application to the commission for rate design if one of the following conditions is met:(1) The application is filed on or after January 1, 2019.(2) The application is filed before January 1, 2019, but has an evidentiary hearing scheduled on or after July 1, 2019.SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.SECTION 1.It is the intent of the Legislature to enact legislation relating to electricity rate structures that would encourage the adoption of alternative fuel medium- and heavy-duty zero-emission vehicles.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 740.17 is added to the Public Utilities Code, to read:740.17. (a) (1) The Legislature finds and declares all of the following:(A) Reducing emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050 will require widespread transportation electrification, including of Californias transit bus fleet.(B) Zero-emission transit buses are needed to reduce fossil fuel use, to meet air quality standards, to improve public health, to prove the viability of zero-emission heavy-duty technologies, and to achieve the states goals for reducing emissions of greenhouse gases.(C) Lower and more predictable electricity rates should support and accelerate increased deployment of zero-emission transit buses by providing access to a fuel that is cleaner and less costly than gasoline or other fossil fuels.(D) According to the State Alternative Fuels Plan analysis by the Energy Commission and the State Air Resources Board, light-, medium-, and heavy-duty vehicle electrification results in approximately 70 percent less of greenhouse gases emitted, over 85 percent less of ozone-forming air pollutants emitted, and 100 percent less petroleum used. These reductions will become larger as renewable generation increases.(2) It is the policy of the state and the intent of the Legislature to encourage electrification of Californias transit bus fleet as a means to achieve ambient air quality standards and the states climate goals. Agencies designing and implementing regulations, guidelines, plans, and funding programs to reduce emissions of greenhouse gases shall take the findings described in paragraph (1) into account.(b) (1) The commission shall direct an electrical corporation with more than 100,000 service connections in California to file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(2) An electrical corporation with 100,000 or fewer service connections in California may file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(3) A rate design proposed by an electrical corporation pursuant to this subdivision shall seek to minimize overall costs and maximize overall benefits to transit agencies. The commission shall approve, or modify and approve, these rate design applications if they are consistent with this section, and are in the interests of ratepayers as defined in Section 740.8.(c) This section applies to an application to the commission for rate design if one of the following conditions is met:(1) The application is filed on or after January 1, 2019.(2) The application is filed before January 1, 2019, but has an evidentiary hearing scheduled on or after July 1, 2019.
SECTION 1. Section 740.17 is added to the Public Utilities Code, to read:
### SECTION 1.
740.17. (a) (1) The Legislature finds and declares all of the following:(A) Reducing emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050 will require widespread transportation electrification, including of Californias transit bus fleet.(B) Zero-emission transit buses are needed to reduce fossil fuel use, to meet air quality standards, to improve public health, to prove the viability of zero-emission heavy-duty technologies, and to achieve the states goals for reducing emissions of greenhouse gases.(C) Lower and more predictable electricity rates should support and accelerate increased deployment of zero-emission transit buses by providing access to a fuel that is cleaner and less costly than gasoline or other fossil fuels.(D) According to the State Alternative Fuels Plan analysis by the Energy Commission and the State Air Resources Board, light-, medium-, and heavy-duty vehicle electrification results in approximately 70 percent less of greenhouse gases emitted, over 85 percent less of ozone-forming air pollutants emitted, and 100 percent less petroleum used. These reductions will become larger as renewable generation increases.(2) It is the policy of the state and the intent of the Legislature to encourage electrification of Californias transit bus fleet as a means to achieve ambient air quality standards and the states climate goals. Agencies designing and implementing regulations, guidelines, plans, and funding programs to reduce emissions of greenhouse gases shall take the findings described in paragraph (1) into account.(b) (1) The commission shall direct an electrical corporation with more than 100,000 service connections in California to file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(2) An electrical corporation with 100,000 or fewer service connections in California may file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(3) A rate design proposed by an electrical corporation pursuant to this subdivision shall seek to minimize overall costs and maximize overall benefits to transit agencies. The commission shall approve, or modify and approve, these rate design applications if they are consistent with this section, and are in the interests of ratepayers as defined in Section 740.8.(c) This section applies to an application to the commission for rate design if one of the following conditions is met:(1) The application is filed on or after January 1, 2019.(2) The application is filed before January 1, 2019, but has an evidentiary hearing scheduled on or after July 1, 2019.
740.17. (a) (1) The Legislature finds and declares all of the following:(A) Reducing emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050 will require widespread transportation electrification, including of Californias transit bus fleet.(B) Zero-emission transit buses are needed to reduce fossil fuel use, to meet air quality standards, to improve public health, to prove the viability of zero-emission heavy-duty technologies, and to achieve the states goals for reducing emissions of greenhouse gases.(C) Lower and more predictable electricity rates should support and accelerate increased deployment of zero-emission transit buses by providing access to a fuel that is cleaner and less costly than gasoline or other fossil fuels.(D) According to the State Alternative Fuels Plan analysis by the Energy Commission and the State Air Resources Board, light-, medium-, and heavy-duty vehicle electrification results in approximately 70 percent less of greenhouse gases emitted, over 85 percent less of ozone-forming air pollutants emitted, and 100 percent less petroleum used. These reductions will become larger as renewable generation increases.(2) It is the policy of the state and the intent of the Legislature to encourage electrification of Californias transit bus fleet as a means to achieve ambient air quality standards and the states climate goals. Agencies designing and implementing regulations, guidelines, plans, and funding programs to reduce emissions of greenhouse gases shall take the findings described in paragraph (1) into account.(b) (1) The commission shall direct an electrical corporation with more than 100,000 service connections in California to file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(2) An electrical corporation with 100,000 or fewer service connections in California may file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(3) A rate design proposed by an electrical corporation pursuant to this subdivision shall seek to minimize overall costs and maximize overall benefits to transit agencies. The commission shall approve, or modify and approve, these rate design applications if they are consistent with this section, and are in the interests of ratepayers as defined in Section 740.8.(c) This section applies to an application to the commission for rate design if one of the following conditions is met:(1) The application is filed on or after January 1, 2019.(2) The application is filed before January 1, 2019, but has an evidentiary hearing scheduled on or after July 1, 2019.
740.17. (a) (1) The Legislature finds and declares all of the following:(A) Reducing emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050 will require widespread transportation electrification, including of Californias transit bus fleet.(B) Zero-emission transit buses are needed to reduce fossil fuel use, to meet air quality standards, to improve public health, to prove the viability of zero-emission heavy-duty technologies, and to achieve the states goals for reducing emissions of greenhouse gases.(C) Lower and more predictable electricity rates should support and accelerate increased deployment of zero-emission transit buses by providing access to a fuel that is cleaner and less costly than gasoline or other fossil fuels.(D) According to the State Alternative Fuels Plan analysis by the Energy Commission and the State Air Resources Board, light-, medium-, and heavy-duty vehicle electrification results in approximately 70 percent less of greenhouse gases emitted, over 85 percent less of ozone-forming air pollutants emitted, and 100 percent less petroleum used. These reductions will become larger as renewable generation increases.(2) It is the policy of the state and the intent of the Legislature to encourage electrification of Californias transit bus fleet as a means to achieve ambient air quality standards and the states climate goals. Agencies designing and implementing regulations, guidelines, plans, and funding programs to reduce emissions of greenhouse gases shall take the findings described in paragraph (1) into account.(b) (1) The commission shall direct an electrical corporation with more than 100,000 service connections in California to file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(2) An electrical corporation with 100,000 or fewer service connections in California may file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.(3) A rate design proposed by an electrical corporation pursuant to this subdivision shall seek to minimize overall costs and maximize overall benefits to transit agencies. The commission shall approve, or modify and approve, these rate design applications if they are consistent with this section, and are in the interests of ratepayers as defined in Section 740.8.(c) This section applies to an application to the commission for rate design if one of the following conditions is met:(1) The application is filed on or after January 1, 2019.(2) The application is filed before January 1, 2019, but has an evidentiary hearing scheduled on or after July 1, 2019.
740.17. (a) (1) The Legislature finds and declares all of the following:
(A) Reducing emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050 will require widespread transportation electrification, including of Californias transit bus fleet.
(B) Zero-emission transit buses are needed to reduce fossil fuel use, to meet air quality standards, to improve public health, to prove the viability of zero-emission heavy-duty technologies, and to achieve the states goals for reducing emissions of greenhouse gases.
(C) Lower and more predictable electricity rates should support and accelerate increased deployment of zero-emission transit buses by providing access to a fuel that is cleaner and less costly than gasoline or other fossil fuels.
(D) According to the State Alternative Fuels Plan analysis by the Energy Commission and the State Air Resources Board, light-, medium-, and heavy-duty vehicle electrification results in approximately 70 percent less of greenhouse gases emitted, over 85 percent less of ozone-forming air pollutants emitted, and 100 percent less petroleum used. These reductions will become larger as renewable generation increases.
(2) It is the policy of the state and the intent of the Legislature to encourage electrification of Californias transit bus fleet as a means to achieve ambient air quality standards and the states climate goals. Agencies designing and implementing regulations, guidelines, plans, and funding programs to reduce emissions of greenhouse gases shall take the findings described in paragraph (1) into account.
(b) (1) The commission shall direct an electrical corporation with more than 100,000 service connections in California to file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.
(2) An electrical corporation with 100,000 or fewer service connections in California may file a rate design application that is specific to transit agencies as commercial customers and that supports and accelerates the deployment of zero-emission transit buses to reduce dependence on petroleum, meet air quality standards, and reduce emissions of greenhouse gases to 40 percent below 1990 levels by 2030 and to 80 percent below 1990 levels by 2050.
(3) A rate design proposed by an electrical corporation pursuant to this subdivision shall seek to minimize overall costs and maximize overall benefits to transit agencies. The commission shall approve, or modify and approve, these rate design applications if they are consistent with this section, and are in the interests of ratepayers as defined in Section 740.8.
(c) This section applies to an application to the commission for rate design if one of the following conditions is met:
(1) The application is filed on or after January 1, 2019.
(2) The application is filed before January 1, 2019, but has an evidentiary hearing scheduled on or after July 1, 2019.
SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
### SEC. 2.
It is the intent of the Legislature to enact legislation relating to electricity rate structures that would encourage the adoption of alternative fuel medium- and heavy-duty zero-emission vehicles.