Amended IN Assembly March 17, 2022 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 2578Introduced by Assembly Member CunninghamFebruary 18, 2022 An act to amend Section 25303 of the Public Resources Code, relating to greenhouse gases. energy.LEGISLATIVE COUNSEL'S DIGESTAB 2578, as amended, Cunningham. Climate strategy: State Energy Resources Conservation and Development Commission: integrated energy policy report: carbon capture, utilization, and sequestration.The Warren-Alquist State Energy Resources Conservation and Development Act establishes the State Energy Resources Conservation and Development Commission (Energy Commission) and requires the Energy Commission to adopt an integrated energy policy report every 2 years. Existing law requires the Energy Commission to include in the integrated energy policy report an assessment of the current status of, among other things, the environmental performance of the electrical generation facilities of the state, including air emission pollution control technologies in use in operating plants.This bill would specify that air emission pollution technologies includes carbon capture, utilization, and sequestration technologies.The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The state board is required to ensure that statewide greenhouse gas emissions are reduced to at least 40% below the 1990 level by 2030. The act requires the state board to prepare and approve a scoping plan for achieving the maximum technologically feasible and cost-effective reductions in greenhouse gas emissions and to update the scoping plan at least once every 5 years.This bill would state the intent of the Legislature to enact subsequent legislation to incorporate carbon capture, utilization, and sequestration and other engineered carbon removal technologies as a part of Californias climate strategy to meet the various statewide greenhouse gas emission reduction goals.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. (a)The Legislature finds and declares all of the following:(1)(a) California has been a leader in the fight against climate change and has set ambitious goals to reduce the negative effects of climate change on the state.(2)(b) California has the opportunity both geologically and with its highly skilled industrial workforce to develop and deploy many new and existing carbon-reducing technologies.(3)(c) There has been a growing consensus among experts in the scientific community, including experts from the Intergovernmental Panel on Climate Change, the International Energy Agency, Stanford University, the Lawrence Livermore National Laboratory, the University of California, Berkeley, and the University of California, Los Angeles, that carbon capture, utilization, and sequestration and other engineered carbon removal technologies are critical to a successful climate strategy globally.(b)It is the intent of the Legislature to enact subsequent legislation to incorporate carbon capture, utilization, and sequestration and other engineered carbon removal technologies as a part of Californias climate strategy to meet the various statewide greenhouse gas emission reduction goals.SEC. 2. Section 25303 of the Public Resources Code is amended to read:25303. (a) As part of the report prepared pursuant to Section 25302, the commission shall conduct electricity and natural gas forecasting and assessment activities, including, but not limited to, all of the following:(1) Assessment of trends in electricity and natural gas supply and demand, and the outlook for wholesale and retail prices for commodity electricity and natural gas under current market structures and expected market conditions.(2) Forecasts of statewide and regional electricity and natural gas demand, including annual, seasonal, and peak demand, and the factors leading to projected demand growth, including, but not limited to, projected population growth, urban development, industrial expansion and energy intensity of industries, energy demand for different building types, energy efficiency, and other factors influencing demand for electricity. With respect to long-range forecasts of the demand for natural gas, the report shall include an evaluation of average conditions, as well as best- and worst-case scenarios, and an evaluation of the impact of the increasing use of renewable resources on natural gas demand.(3) Evaluation of the adequacy of electricity and natural gas supplies to meet forecasted demand growth. Assessment of the availability, reliability, and efficiency of the electricity and natural gas infrastructure and systems, including, but not limited to, natural gas production capability both in and out of state, natural gas interstate and intrastate pipeline capacity, storage and use, and western regional and California electricity and transmission system capacity and use.(4) Evaluation of potential impacts of electricity and natural gas supply, demand, and infrastructure and resource additions on the electricity and natural gas systems, public health and safety, the economy, resources, and the environment.(5) Evaluation of the potential impacts of electricity and natural gas load management efforts, including end-user response to market price signals, as a means to ensure reliable operation of electricity and natural gas systems.(6) Evaluation of whether electricity and natural gas markets are adequately meeting public interest objectives including the provision of all of the following: economic benefits; competitive, low-cost reliable services; customer information and protection; and environmentally sensitive electricity and natural gas supplies. This evaluation may consider the extent to which California is an element within western energy markets, the existence of appropriate incentives for market participants to provide supplies and for consumers to respond to energy prices, appropriate identification of responsibilities of various market participants, and an assessment of long-term versus short-term market performance. To the extent this evaluation identifies market shortcomings, the commission shall propose market structure changes to improve performance.(7) Identification of impending or potential problems or uncertainties in the electricity and natural gas markets, potential options and solutions, and recommendations.(b) Commencing November 1, 2003, and every two years thereafter, to be included in the integrated energy policy report prepared pursuant to Section 25302, the commission shall assess the current status of the following:(1) The environmental performance of the electric generation facilities of the state, to include all of the following:(A) Generation facility efficiency.(B) Air emission pollution control technologies in use in operating plants. plants, including carbon capture, utilization, and sequestration technologies.(C) The extent to which recent resource additions have, and expected resource additions are likely to, displace or reduce the operation of existing facilities, including the environmental consequences of these changes.(2) The geographic distribution of statewide environmental, efficiency, and socioeconomic benefits and drawbacks of existing generation facilities, including, but not limited to, the impacts on natural resources including wildlife habitat, air quality, and water resources, and the relationship to demographic factors. The assessment shall describe the socioeconomic and demographic factors that existed when the facilities were constructed and the current status of these factors. In addition, the report shall include how expected or recent resource additions could change the assessment through displaced or reduced operation of existing facilities.(c) The commission, in consultation with the Public Utilities Commission, shall make all reasonable adjustments to its energy demand forecasts conducted pursuant to Sections 25301 and 25302 to account for its findings of market conditions and existing baselines, and, in making those adjustments, may consider the results from subdivisions (b) and (d) of Section 381.2 of the Public Utilities Code.
Amended IN Assembly March 17, 2022 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 2578Introduced by Assembly Member CunninghamFebruary 18, 2022 An act to amend Section 25303 of the Public Resources Code, relating to greenhouse gases. energy.LEGISLATIVE COUNSEL'S DIGESTAB 2578, as amended, Cunningham. Climate strategy: State Energy Resources Conservation and Development Commission: integrated energy policy report: carbon capture, utilization, and sequestration.The Warren-Alquist State Energy Resources Conservation and Development Act establishes the State Energy Resources Conservation and Development Commission (Energy Commission) and requires the Energy Commission to adopt an integrated energy policy report every 2 years. Existing law requires the Energy Commission to include in the integrated energy policy report an assessment of the current status of, among other things, the environmental performance of the electrical generation facilities of the state, including air emission pollution control technologies in use in operating plants.This bill would specify that air emission pollution technologies includes carbon capture, utilization, and sequestration technologies.The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The state board is required to ensure that statewide greenhouse gas emissions are reduced to at least 40% below the 1990 level by 2030. The act requires the state board to prepare and approve a scoping plan for achieving the maximum technologically feasible and cost-effective reductions in greenhouse gas emissions and to update the scoping plan at least once every 5 years.This bill would state the intent of the Legislature to enact subsequent legislation to incorporate carbon capture, utilization, and sequestration and other engineered carbon removal technologies as a part of Californias climate strategy to meet the various statewide greenhouse gas emission reduction goals.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NO
Amended IN Assembly March 17, 2022
Amended IN Assembly March 17, 2022
CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION
Assembly Bill
No. 2578
Introduced by Assembly Member CunninghamFebruary 18, 2022
Introduced by Assembly Member Cunningham
February 18, 2022
An act to amend Section 25303 of the Public Resources Code, relating to greenhouse gases. energy.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 2578, as amended, Cunningham. Climate strategy: State Energy Resources Conservation and Development Commission: integrated energy policy report: carbon capture, utilization, and sequestration.
The Warren-Alquist State Energy Resources Conservation and Development Act establishes the State Energy Resources Conservation and Development Commission (Energy Commission) and requires the Energy Commission to adopt an integrated energy policy report every 2 years. Existing law requires the Energy Commission to include in the integrated energy policy report an assessment of the current status of, among other things, the environmental performance of the electrical generation facilities of the state, including air emission pollution control technologies in use in operating plants.This bill would specify that air emission pollution technologies includes carbon capture, utilization, and sequestration technologies.The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The state board is required to ensure that statewide greenhouse gas emissions are reduced to at least 40% below the 1990 level by 2030. The act requires the state board to prepare and approve a scoping plan for achieving the maximum technologically feasible and cost-effective reductions in greenhouse gas emissions and to update the scoping plan at least once every 5 years.This bill would state the intent of the Legislature to enact subsequent legislation to incorporate carbon capture, utilization, and sequestration and other engineered carbon removal technologies as a part of Californias climate strategy to meet the various statewide greenhouse gas emission reduction goals.
The Warren-Alquist State Energy Resources Conservation and Development Act establishes the State Energy Resources Conservation and Development Commission (Energy Commission) and requires the Energy Commission to adopt an integrated energy policy report every 2 years. Existing law requires the Energy Commission to include in the integrated energy policy report an assessment of the current status of, among other things, the environmental performance of the electrical generation facilities of the state, including air emission pollution control technologies in use in operating plants.
This bill would specify that air emission pollution technologies includes carbon capture, utilization, and sequestration technologies.
The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The state board is required to ensure that statewide greenhouse gas emissions are reduced to at least 40% below the 1990 level by 2030. The act requires the state board to prepare and approve a scoping plan for achieving the maximum technologically feasible and cost-effective reductions in greenhouse gas emissions and to update the scoping plan at least once every 5 years.
This bill would state the intent of the Legislature to enact subsequent legislation to incorporate carbon capture, utilization, and sequestration and other engineered carbon removal technologies as a part of Californias climate strategy to meet the various statewide greenhouse gas emission reduction goals.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. (a)The Legislature finds and declares all of the following:(1)(a) California has been a leader in the fight against climate change and has set ambitious goals to reduce the negative effects of climate change on the state.(2)(b) California has the opportunity both geologically and with its highly skilled industrial workforce to develop and deploy many new and existing carbon-reducing technologies.(3)(c) There has been a growing consensus among experts in the scientific community, including experts from the Intergovernmental Panel on Climate Change, the International Energy Agency, Stanford University, the Lawrence Livermore National Laboratory, the University of California, Berkeley, and the University of California, Los Angeles, that carbon capture, utilization, and sequestration and other engineered carbon removal technologies are critical to a successful climate strategy globally.(b)It is the intent of the Legislature to enact subsequent legislation to incorporate carbon capture, utilization, and sequestration and other engineered carbon removal technologies as a part of Californias climate strategy to meet the various statewide greenhouse gas emission reduction goals.SEC. 2. Section 25303 of the Public Resources Code is amended to read:25303. (a) As part of the report prepared pursuant to Section 25302, the commission shall conduct electricity and natural gas forecasting and assessment activities, including, but not limited to, all of the following:(1) Assessment of trends in electricity and natural gas supply and demand, and the outlook for wholesale and retail prices for commodity electricity and natural gas under current market structures and expected market conditions.(2) Forecasts of statewide and regional electricity and natural gas demand, including annual, seasonal, and peak demand, and the factors leading to projected demand growth, including, but not limited to, projected population growth, urban development, industrial expansion and energy intensity of industries, energy demand for different building types, energy efficiency, and other factors influencing demand for electricity. With respect to long-range forecasts of the demand for natural gas, the report shall include an evaluation of average conditions, as well as best- and worst-case scenarios, and an evaluation of the impact of the increasing use of renewable resources on natural gas demand.(3) Evaluation of the adequacy of electricity and natural gas supplies to meet forecasted demand growth. Assessment of the availability, reliability, and efficiency of the electricity and natural gas infrastructure and systems, including, but not limited to, natural gas production capability both in and out of state, natural gas interstate and intrastate pipeline capacity, storage and use, and western regional and California electricity and transmission system capacity and use.(4) Evaluation of potential impacts of electricity and natural gas supply, demand, and infrastructure and resource additions on the electricity and natural gas systems, public health and safety, the economy, resources, and the environment.(5) Evaluation of the potential impacts of electricity and natural gas load management efforts, including end-user response to market price signals, as a means to ensure reliable operation of electricity and natural gas systems.(6) Evaluation of whether electricity and natural gas markets are adequately meeting public interest objectives including the provision of all of the following: economic benefits; competitive, low-cost reliable services; customer information and protection; and environmentally sensitive electricity and natural gas supplies. This evaluation may consider the extent to which California is an element within western energy markets, the existence of appropriate incentives for market participants to provide supplies and for consumers to respond to energy prices, appropriate identification of responsibilities of various market participants, and an assessment of long-term versus short-term market performance. To the extent this evaluation identifies market shortcomings, the commission shall propose market structure changes to improve performance.(7) Identification of impending or potential problems or uncertainties in the electricity and natural gas markets, potential options and solutions, and recommendations.(b) Commencing November 1, 2003, and every two years thereafter, to be included in the integrated energy policy report prepared pursuant to Section 25302, the commission shall assess the current status of the following:(1) The environmental performance of the electric generation facilities of the state, to include all of the following:(A) Generation facility efficiency.(B) Air emission pollution control technologies in use in operating plants. plants, including carbon capture, utilization, and sequestration technologies.(C) The extent to which recent resource additions have, and expected resource additions are likely to, displace or reduce the operation of existing facilities, including the environmental consequences of these changes.(2) The geographic distribution of statewide environmental, efficiency, and socioeconomic benefits and drawbacks of existing generation facilities, including, but not limited to, the impacts on natural resources including wildlife habitat, air quality, and water resources, and the relationship to demographic factors. The assessment shall describe the socioeconomic and demographic factors that existed when the facilities were constructed and the current status of these factors. In addition, the report shall include how expected or recent resource additions could change the assessment through displaced or reduced operation of existing facilities.(c) The commission, in consultation with the Public Utilities Commission, shall make all reasonable adjustments to its energy demand forecasts conducted pursuant to Sections 25301 and 25302 to account for its findings of market conditions and existing baselines, and, in making those adjustments, may consider the results from subdivisions (b) and (d) of Section 381.2 of the Public Utilities Code.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. (a)The Legislature finds and declares all of the following:(1)(a) California has been a leader in the fight against climate change and has set ambitious goals to reduce the negative effects of climate change on the state.(2)(b) California has the opportunity both geologically and with its highly skilled industrial workforce to develop and deploy many new and existing carbon-reducing technologies.(3)(c) There has been a growing consensus among experts in the scientific community, including experts from the Intergovernmental Panel on Climate Change, the International Energy Agency, Stanford University, the Lawrence Livermore National Laboratory, the University of California, Berkeley, and the University of California, Los Angeles, that carbon capture, utilization, and sequestration and other engineered carbon removal technologies are critical to a successful climate strategy globally.(b)It is the intent of the Legislature to enact subsequent legislation to incorporate carbon capture, utilization, and sequestration and other engineered carbon removal technologies as a part of Californias climate strategy to meet the various statewide greenhouse gas emission reduction goals.
SECTION 1. (a)The Legislature finds and declares all of the following:(1)(a) California has been a leader in the fight against climate change and has set ambitious goals to reduce the negative effects of climate change on the state.(2)(b) California has the opportunity both geologically and with its highly skilled industrial workforce to develop and deploy many new and existing carbon-reducing technologies.(3)(c) There has been a growing consensus among experts in the scientific community, including experts from the Intergovernmental Panel on Climate Change, the International Energy Agency, Stanford University, the Lawrence Livermore National Laboratory, the University of California, Berkeley, and the University of California, Los Angeles, that carbon capture, utilization, and sequestration and other engineered carbon removal technologies are critical to a successful climate strategy globally.(b)It is the intent of the Legislature to enact subsequent legislation to incorporate carbon capture, utilization, and sequestration and other engineered carbon removal technologies as a part of Californias climate strategy to meet the various statewide greenhouse gas emission reduction goals.
SECTION 1. (a)The Legislature finds and declares all of the following:
### SECTION 1.
(1)
(a) California has been a leader in the fight against climate change and has set ambitious goals to reduce the negative effects of climate change on the state.
(2)
(b) California has the opportunity both geologically and with its highly skilled industrial workforce to develop and deploy many new and existing carbon-reducing technologies.
(3)
(c) There has been a growing consensus among experts in the scientific community, including experts from the Intergovernmental Panel on Climate Change, the International Energy Agency, Stanford University, the Lawrence Livermore National Laboratory, the University of California, Berkeley, and the University of California, Los Angeles, that carbon capture, utilization, and sequestration and other engineered carbon removal technologies are critical to a successful climate strategy globally.
(b)It is the intent of the Legislature to enact subsequent legislation to incorporate carbon capture, utilization, and sequestration and other engineered carbon removal technologies as a part of Californias climate strategy to meet the various statewide greenhouse gas emission reduction goals.
SEC. 2. Section 25303 of the Public Resources Code is amended to read:25303. (a) As part of the report prepared pursuant to Section 25302, the commission shall conduct electricity and natural gas forecasting and assessment activities, including, but not limited to, all of the following:(1) Assessment of trends in electricity and natural gas supply and demand, and the outlook for wholesale and retail prices for commodity electricity and natural gas under current market structures and expected market conditions.(2) Forecasts of statewide and regional electricity and natural gas demand, including annual, seasonal, and peak demand, and the factors leading to projected demand growth, including, but not limited to, projected population growth, urban development, industrial expansion and energy intensity of industries, energy demand for different building types, energy efficiency, and other factors influencing demand for electricity. With respect to long-range forecasts of the demand for natural gas, the report shall include an evaluation of average conditions, as well as best- and worst-case scenarios, and an evaluation of the impact of the increasing use of renewable resources on natural gas demand.(3) Evaluation of the adequacy of electricity and natural gas supplies to meet forecasted demand growth. Assessment of the availability, reliability, and efficiency of the electricity and natural gas infrastructure and systems, including, but not limited to, natural gas production capability both in and out of state, natural gas interstate and intrastate pipeline capacity, storage and use, and western regional and California electricity and transmission system capacity and use.(4) Evaluation of potential impacts of electricity and natural gas supply, demand, and infrastructure and resource additions on the electricity and natural gas systems, public health and safety, the economy, resources, and the environment.(5) Evaluation of the potential impacts of electricity and natural gas load management efforts, including end-user response to market price signals, as a means to ensure reliable operation of electricity and natural gas systems.(6) Evaluation of whether electricity and natural gas markets are adequately meeting public interest objectives including the provision of all of the following: economic benefits; competitive, low-cost reliable services; customer information and protection; and environmentally sensitive electricity and natural gas supplies. This evaluation may consider the extent to which California is an element within western energy markets, the existence of appropriate incentives for market participants to provide supplies and for consumers to respond to energy prices, appropriate identification of responsibilities of various market participants, and an assessment of long-term versus short-term market performance. To the extent this evaluation identifies market shortcomings, the commission shall propose market structure changes to improve performance.(7) Identification of impending or potential problems or uncertainties in the electricity and natural gas markets, potential options and solutions, and recommendations.(b) Commencing November 1, 2003, and every two years thereafter, to be included in the integrated energy policy report prepared pursuant to Section 25302, the commission shall assess the current status of the following:(1) The environmental performance of the electric generation facilities of the state, to include all of the following:(A) Generation facility efficiency.(B) Air emission pollution control technologies in use in operating plants. plants, including carbon capture, utilization, and sequestration technologies.(C) The extent to which recent resource additions have, and expected resource additions are likely to, displace or reduce the operation of existing facilities, including the environmental consequences of these changes.(2) The geographic distribution of statewide environmental, efficiency, and socioeconomic benefits and drawbacks of existing generation facilities, including, but not limited to, the impacts on natural resources including wildlife habitat, air quality, and water resources, and the relationship to demographic factors. The assessment shall describe the socioeconomic and demographic factors that existed when the facilities were constructed and the current status of these factors. In addition, the report shall include how expected or recent resource additions could change the assessment through displaced or reduced operation of existing facilities.(c) The commission, in consultation with the Public Utilities Commission, shall make all reasonable adjustments to its energy demand forecasts conducted pursuant to Sections 25301 and 25302 to account for its findings of market conditions and existing baselines, and, in making those adjustments, may consider the results from subdivisions (b) and (d) of Section 381.2 of the Public Utilities Code.
SEC. 2. Section 25303 of the Public Resources Code is amended to read:
### SEC. 2.
25303. (a) As part of the report prepared pursuant to Section 25302, the commission shall conduct electricity and natural gas forecasting and assessment activities, including, but not limited to, all of the following:(1) Assessment of trends in electricity and natural gas supply and demand, and the outlook for wholesale and retail prices for commodity electricity and natural gas under current market structures and expected market conditions.(2) Forecasts of statewide and regional electricity and natural gas demand, including annual, seasonal, and peak demand, and the factors leading to projected demand growth, including, but not limited to, projected population growth, urban development, industrial expansion and energy intensity of industries, energy demand for different building types, energy efficiency, and other factors influencing demand for electricity. With respect to long-range forecasts of the demand for natural gas, the report shall include an evaluation of average conditions, as well as best- and worst-case scenarios, and an evaluation of the impact of the increasing use of renewable resources on natural gas demand.(3) Evaluation of the adequacy of electricity and natural gas supplies to meet forecasted demand growth. Assessment of the availability, reliability, and efficiency of the electricity and natural gas infrastructure and systems, including, but not limited to, natural gas production capability both in and out of state, natural gas interstate and intrastate pipeline capacity, storage and use, and western regional and California electricity and transmission system capacity and use.(4) Evaluation of potential impacts of electricity and natural gas supply, demand, and infrastructure and resource additions on the electricity and natural gas systems, public health and safety, the economy, resources, and the environment.(5) Evaluation of the potential impacts of electricity and natural gas load management efforts, including end-user response to market price signals, as a means to ensure reliable operation of electricity and natural gas systems.(6) Evaluation of whether electricity and natural gas markets are adequately meeting public interest objectives including the provision of all of the following: economic benefits; competitive, low-cost reliable services; customer information and protection; and environmentally sensitive electricity and natural gas supplies. This evaluation may consider the extent to which California is an element within western energy markets, the existence of appropriate incentives for market participants to provide supplies and for consumers to respond to energy prices, appropriate identification of responsibilities of various market participants, and an assessment of long-term versus short-term market performance. To the extent this evaluation identifies market shortcomings, the commission shall propose market structure changes to improve performance.(7) Identification of impending or potential problems or uncertainties in the electricity and natural gas markets, potential options and solutions, and recommendations.(b) Commencing November 1, 2003, and every two years thereafter, to be included in the integrated energy policy report prepared pursuant to Section 25302, the commission shall assess the current status of the following:(1) The environmental performance of the electric generation facilities of the state, to include all of the following:(A) Generation facility efficiency.(B) Air emission pollution control technologies in use in operating plants. plants, including carbon capture, utilization, and sequestration technologies.(C) The extent to which recent resource additions have, and expected resource additions are likely to, displace or reduce the operation of existing facilities, including the environmental consequences of these changes.(2) The geographic distribution of statewide environmental, efficiency, and socioeconomic benefits and drawbacks of existing generation facilities, including, but not limited to, the impacts on natural resources including wildlife habitat, air quality, and water resources, and the relationship to demographic factors. The assessment shall describe the socioeconomic and demographic factors that existed when the facilities were constructed and the current status of these factors. In addition, the report shall include how expected or recent resource additions could change the assessment through displaced or reduced operation of existing facilities.(c) The commission, in consultation with the Public Utilities Commission, shall make all reasonable adjustments to its energy demand forecasts conducted pursuant to Sections 25301 and 25302 to account for its findings of market conditions and existing baselines, and, in making those adjustments, may consider the results from subdivisions (b) and (d) of Section 381.2 of the Public Utilities Code.
25303. (a) As part of the report prepared pursuant to Section 25302, the commission shall conduct electricity and natural gas forecasting and assessment activities, including, but not limited to, all of the following:(1) Assessment of trends in electricity and natural gas supply and demand, and the outlook for wholesale and retail prices for commodity electricity and natural gas under current market structures and expected market conditions.(2) Forecasts of statewide and regional electricity and natural gas demand, including annual, seasonal, and peak demand, and the factors leading to projected demand growth, including, but not limited to, projected population growth, urban development, industrial expansion and energy intensity of industries, energy demand for different building types, energy efficiency, and other factors influencing demand for electricity. With respect to long-range forecasts of the demand for natural gas, the report shall include an evaluation of average conditions, as well as best- and worst-case scenarios, and an evaluation of the impact of the increasing use of renewable resources on natural gas demand.(3) Evaluation of the adequacy of electricity and natural gas supplies to meet forecasted demand growth. Assessment of the availability, reliability, and efficiency of the electricity and natural gas infrastructure and systems, including, but not limited to, natural gas production capability both in and out of state, natural gas interstate and intrastate pipeline capacity, storage and use, and western regional and California electricity and transmission system capacity and use.(4) Evaluation of potential impacts of electricity and natural gas supply, demand, and infrastructure and resource additions on the electricity and natural gas systems, public health and safety, the economy, resources, and the environment.(5) Evaluation of the potential impacts of electricity and natural gas load management efforts, including end-user response to market price signals, as a means to ensure reliable operation of electricity and natural gas systems.(6) Evaluation of whether electricity and natural gas markets are adequately meeting public interest objectives including the provision of all of the following: economic benefits; competitive, low-cost reliable services; customer information and protection; and environmentally sensitive electricity and natural gas supplies. This evaluation may consider the extent to which California is an element within western energy markets, the existence of appropriate incentives for market participants to provide supplies and for consumers to respond to energy prices, appropriate identification of responsibilities of various market participants, and an assessment of long-term versus short-term market performance. To the extent this evaluation identifies market shortcomings, the commission shall propose market structure changes to improve performance.(7) Identification of impending or potential problems or uncertainties in the electricity and natural gas markets, potential options and solutions, and recommendations.(b) Commencing November 1, 2003, and every two years thereafter, to be included in the integrated energy policy report prepared pursuant to Section 25302, the commission shall assess the current status of the following:(1) The environmental performance of the electric generation facilities of the state, to include all of the following:(A) Generation facility efficiency.(B) Air emission pollution control technologies in use in operating plants. plants, including carbon capture, utilization, and sequestration technologies.(C) The extent to which recent resource additions have, and expected resource additions are likely to, displace or reduce the operation of existing facilities, including the environmental consequences of these changes.(2) The geographic distribution of statewide environmental, efficiency, and socioeconomic benefits and drawbacks of existing generation facilities, including, but not limited to, the impacts on natural resources including wildlife habitat, air quality, and water resources, and the relationship to demographic factors. The assessment shall describe the socioeconomic and demographic factors that existed when the facilities were constructed and the current status of these factors. In addition, the report shall include how expected or recent resource additions could change the assessment through displaced or reduced operation of existing facilities.(c) The commission, in consultation with the Public Utilities Commission, shall make all reasonable adjustments to its energy demand forecasts conducted pursuant to Sections 25301 and 25302 to account for its findings of market conditions and existing baselines, and, in making those adjustments, may consider the results from subdivisions (b) and (d) of Section 381.2 of the Public Utilities Code.
25303. (a) As part of the report prepared pursuant to Section 25302, the commission shall conduct electricity and natural gas forecasting and assessment activities, including, but not limited to, all of the following:(1) Assessment of trends in electricity and natural gas supply and demand, and the outlook for wholesale and retail prices for commodity electricity and natural gas under current market structures and expected market conditions.(2) Forecasts of statewide and regional electricity and natural gas demand, including annual, seasonal, and peak demand, and the factors leading to projected demand growth, including, but not limited to, projected population growth, urban development, industrial expansion and energy intensity of industries, energy demand for different building types, energy efficiency, and other factors influencing demand for electricity. With respect to long-range forecasts of the demand for natural gas, the report shall include an evaluation of average conditions, as well as best- and worst-case scenarios, and an evaluation of the impact of the increasing use of renewable resources on natural gas demand.(3) Evaluation of the adequacy of electricity and natural gas supplies to meet forecasted demand growth. Assessment of the availability, reliability, and efficiency of the electricity and natural gas infrastructure and systems, including, but not limited to, natural gas production capability both in and out of state, natural gas interstate and intrastate pipeline capacity, storage and use, and western regional and California electricity and transmission system capacity and use.(4) Evaluation of potential impacts of electricity and natural gas supply, demand, and infrastructure and resource additions on the electricity and natural gas systems, public health and safety, the economy, resources, and the environment.(5) Evaluation of the potential impacts of electricity and natural gas load management efforts, including end-user response to market price signals, as a means to ensure reliable operation of electricity and natural gas systems.(6) Evaluation of whether electricity and natural gas markets are adequately meeting public interest objectives including the provision of all of the following: economic benefits; competitive, low-cost reliable services; customer information and protection; and environmentally sensitive electricity and natural gas supplies. This evaluation may consider the extent to which California is an element within western energy markets, the existence of appropriate incentives for market participants to provide supplies and for consumers to respond to energy prices, appropriate identification of responsibilities of various market participants, and an assessment of long-term versus short-term market performance. To the extent this evaluation identifies market shortcomings, the commission shall propose market structure changes to improve performance.(7) Identification of impending or potential problems or uncertainties in the electricity and natural gas markets, potential options and solutions, and recommendations.(b) Commencing November 1, 2003, and every two years thereafter, to be included in the integrated energy policy report prepared pursuant to Section 25302, the commission shall assess the current status of the following:(1) The environmental performance of the electric generation facilities of the state, to include all of the following:(A) Generation facility efficiency.(B) Air emission pollution control technologies in use in operating plants. plants, including carbon capture, utilization, and sequestration technologies.(C) The extent to which recent resource additions have, and expected resource additions are likely to, displace or reduce the operation of existing facilities, including the environmental consequences of these changes.(2) The geographic distribution of statewide environmental, efficiency, and socioeconomic benefits and drawbacks of existing generation facilities, including, but not limited to, the impacts on natural resources including wildlife habitat, air quality, and water resources, and the relationship to demographic factors. The assessment shall describe the socioeconomic and demographic factors that existed when the facilities were constructed and the current status of these factors. In addition, the report shall include how expected or recent resource additions could change the assessment through displaced or reduced operation of existing facilities.(c) The commission, in consultation with the Public Utilities Commission, shall make all reasonable adjustments to its energy demand forecasts conducted pursuant to Sections 25301 and 25302 to account for its findings of market conditions and existing baselines, and, in making those adjustments, may consider the results from subdivisions (b) and (d) of Section 381.2 of the Public Utilities Code.
25303. (a) As part of the report prepared pursuant to Section 25302, the commission shall conduct electricity and natural gas forecasting and assessment activities, including, but not limited to, all of the following:
(1) Assessment of trends in electricity and natural gas supply and demand, and the outlook for wholesale and retail prices for commodity electricity and natural gas under current market structures and expected market conditions.
(2) Forecasts of statewide and regional electricity and natural gas demand, including annual, seasonal, and peak demand, and the factors leading to projected demand growth, including, but not limited to, projected population growth, urban development, industrial expansion and energy intensity of industries, energy demand for different building types, energy efficiency, and other factors influencing demand for electricity. With respect to long-range forecasts of the demand for natural gas, the report shall include an evaluation of average conditions, as well as best- and worst-case scenarios, and an evaluation of the impact of the increasing use of renewable resources on natural gas demand.
(3) Evaluation of the adequacy of electricity and natural gas supplies to meet forecasted demand growth. Assessment of the availability, reliability, and efficiency of the electricity and natural gas infrastructure and systems, including, but not limited to, natural gas production capability both in and out of state, natural gas interstate and intrastate pipeline capacity, storage and use, and western regional and California electricity and transmission system capacity and use.
(4) Evaluation of potential impacts of electricity and natural gas supply, demand, and infrastructure and resource additions on the electricity and natural gas systems, public health and safety, the economy, resources, and the environment.
(5) Evaluation of the potential impacts of electricity and natural gas load management efforts, including end-user response to market price signals, as a means to ensure reliable operation of electricity and natural gas systems.
(6) Evaluation of whether electricity and natural gas markets are adequately meeting public interest objectives including the provision of all of the following: economic benefits; competitive, low-cost reliable services; customer information and protection; and environmentally sensitive electricity and natural gas supplies. This evaluation may consider the extent to which California is an element within western energy markets, the existence of appropriate incentives for market participants to provide supplies and for consumers to respond to energy prices, appropriate identification of responsibilities of various market participants, and an assessment of long-term versus short-term market performance. To the extent this evaluation identifies market shortcomings, the commission shall propose market structure changes to improve performance.
(7) Identification of impending or potential problems or uncertainties in the electricity and natural gas markets, potential options and solutions, and recommendations.
(b) Commencing November 1, 2003, and every two years thereafter, to be included in the integrated energy policy report prepared pursuant to Section 25302, the commission shall assess the current status of the following:
(1) The environmental performance of the electric generation facilities of the state, to include all of the following:
(A) Generation facility efficiency.
(B) Air emission pollution control technologies in use in operating plants. plants, including carbon capture, utilization, and sequestration technologies.
(C) The extent to which recent resource additions have, and expected resource additions are likely to, displace or reduce the operation of existing facilities, including the environmental consequences of these changes.
(2) The geographic distribution of statewide environmental, efficiency, and socioeconomic benefits and drawbacks of existing generation facilities, including, but not limited to, the impacts on natural resources including wildlife habitat, air quality, and water resources, and the relationship to demographic factors. The assessment shall describe the socioeconomic and demographic factors that existed when the facilities were constructed and the current status of these factors. In addition, the report shall include how expected or recent resource additions could change the assessment through displaced or reduced operation of existing facilities.
(c) The commission, in consultation with the Public Utilities Commission, shall make all reasonable adjustments to its energy demand forecasts conducted pursuant to Sections 25301 and 25302 to account for its findings of market conditions and existing baselines, and, in making those adjustments, may consider the results from subdivisions (b) and (d) of Section 381.2 of the Public Utilities Code.