AB 1408

Existing law establishes the Independent System Operator (ISO) as a nonprofit, public benefit corporation and requires the ISO, among other duties, to ensure the efficient use and reliable operation of the transmission grid consistent with the achievement of planning and operating reserve criteria, as provided. This bill would require the ISO to integrate surplus interconnection service considerations into its long-term transmission planning and enhance transparency around surplus interconnection service opportunities, as specified. Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including electrical corporations, while local publicly owned electric utilities are under the direction of their governing boards. Existing law requires the commission to adopt a process for each load-serving entity to file an integrated resource plan, adopt a schedule for periodic updates to the plan, and ensure each load-serving entity take specified actions, as specified. Existing law also requires the governing board of each local publicly owned electric utility with an annual electrical demand exceeding 700 gigawatthours to adopt an integrated resource plan and a process for updating the plan at least once every 5 years to ensure the utility achieves certain goals, as specified. This bill would require each electrical corporation, and each local publicly owned utility with an annual electrical demand exceeding 700 gigawatthours, to require the evaluation of surplus interconnection service options and to consider surplus interconnection service options, for purposes of its integrated resource plan. This bill would also require each electrical corporation or local publicly owned electric utility to use available grid infrastructure through surplus interconnection service to use any available interconnection capacity, as specified. 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 certain provisions of this bill would be part of the act and a violation of a commission action implementing the bill’s requirements would be a crime, the bill would impose a state-mandated local program. Additionally, by imposing new duties on local publicly owned electric utilities, the bill would impose a state-mandated local program. 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 specified reasons.