Integrated resource plan: peak demand.
The bill imposes requirements for energy providers to incorporate distributed energy resources and efficiency measures within their plans. By doing so, it seeks to reduce the reliance on new electricity generation facilities and transmission infrastructure, thereby optimizing operational costs for ratepayers. Due to the nature of this legislation, any violation of its provisions would constitute a crime, thus establishing a framework of accountability for utilities in adhering to these guidelines.
Senate Bill 338, authored by Skinner, focuses on the development and updating of integrated resource plans by load-serving entities and local publicly owned electric utilities in California. The bill mandates that these utilities must meet the state's greenhouse gas emissions reduction targets and secure at least 50% of their electricity from eligible renewable resources by 2030. This legislation aims to improve the strategic management of energy resources while ensuring compliance with state environmental mandates.
The sentiment surrounding SB 338 is generally supportive among environmental advocacy groups, who see it as a necessary step towards promoting renewable energy and reducing greenhouse gas emissions. However, there exist concerns among some local utility providers regarding the additional mandates, which they perceive as regulatory burdens that could strain their operational capabilities and impact their rate structures.
A point of contention arises regarding the defined thresholds for compliance, particularly concerning the specific metrics for renewable energy procurement and how these requirements may vary based on local circumstances. Critics argue that this could lead to operational challenges for smaller utilities that could struggle to meet the ambitious targets set forth by the bill, ultimately questioning the practicality of such stringent measures.