Report to the Legislature in Compliance with Public Utilities Code Section 910

This useful report prepared by the California Public Utilities Commission for the Legislature examines the high cost of California's renewable portfolio standard which mandates 33% of the state's electricity needs come from renewable energy.

Section 910 to the California Public Utilities Code requires the California Public Utilities Commission (CPUC) to provide an annual to report to the Legislature on electrical corporations' direct and indirect costs and costs avoided (savings) with the RPS program and distributed generation programs. This is the first report to the Legislature made pursuant to Section 910, referenced hereafter as the Section 910 Report.

The report states that 2011 direct RPS expenditures by the utilities totaled $2.528 billion, up from $2.179 billion the year before. Many of the proposed transmission projects associated with renewable projects that will contribute to the state’s 33 percent RPS requirement were not in service in 2011 and, for the most part, are expenses not yet included in rates. The State has not quantified the cost savings, or costs avoided, associated with the RPS program but comparisons to California ISO's day-ahead market pricing, pricing for new wind generation and other renewables far exceed the avoided costs calculated by utilities. 


Cpuc Section910 Report

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MAR 15 2013
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