Section 366.1 Of Article 6. Requirements For The Public Utilities Commission From California Public Utilities Code >> Division 1. >> Part 1. >> Chapter 2.3. >> Article 6.
366.1
. (a) As used in this section, the following terms have the
following meanings:
(1) "Department" means the Department of Water Resources with
respect to its power program described in Chapter 2 (commencing with
Section 80100) of Division 27 of the Water Code.
(2) "Existing project participant" means a city with rights and
obligations to the Magnolia Power Project under the Magnolia Power
Project Planning Agreement, dated May 1, 2001.
(3) "Magnolia Power Project" means a proposed natural gas-fired
electric generating facility to be located at an existing site in
Burbank and for which an application for certification has been filed
with the State Energy Resources Conservation and Development Act
(Docket No. 00-SIT-1) and deemed data adequate pursuant to the
expedited six-month licensing process established under Section 25550
of the Public Resources Code.
(b) Notwithstanding Section 80110 of the Water Code or Commission
Decision 01-09-060, if the Magnolia Power Project has been
constructed and is otherwise capable of beginning deliveries of
electricity to the existing project participants, an existing project
participant may serve as a community aggregator on behalf of all
retail end-use customers within its jurisdiction.
(c) Subdivision (b) shall not become operative until both of the
following occur:
(1) The commission implements a cost-recovery mechanism,
consistent with subdivision (d), that is applicable to customers that
elected to purchase electricity from an alternate provider between
February 1, 2001, and the effective date of the act adding this
section.
(2) The commission submits a report certifying its satisfaction of
paragraph (1) to the Senate Energy, Utilities and Communications
Committee, or its successor, and the Assembly Committee on Utilities
and Commerce, or its successor.
(d) (1) It is the intent of the Legislature that each retail
end-use customer that has purchased power from an electrical
corporation on or after February 1, 2001, should bear a fair share of
the department's power purchase costs, as well as power purchase
contract obligations incurred as of January 1, 2003, that are
recoverable from electrical corporation customers in
commission-approved rates. It is the further intent of the
Legislature to prevent any shifting of recoverable costs between
customers.
(2) The Legislature finds and declares that the provisions in this
subdivision are consistent with the requirements of Section 360.5
and Division 27 (commencing with Section 80000) of the Water Code,
and are therefore declaratory of existing law.
(e) A retail end-use customer purchasing power from a community
aggregator pursuant to subdivision (b) shall reimburse the department
for all of the following:
(1) A charge equivalent to the charge which would otherwise be
imposed on the customer by the commission to recover bond related
costs pursuant to an agreement between the commission and the
Department of Water Resources pursuant to Section 80110 of the Water
Code, that charge shall be payable until all obligations of the
Department of Water Resources pursuant to Division 27 of the Water
Code are fully paid or otherwise discharged.
(2) The costs of the department, equal to the share of the
department's estimated net unavoidable power purchase contract costs
attributable to the customer, as determined by the commission, for
the period commencing with the customer's purchases of electricity
from a community aggregator, through the expiration of all then
existing power purchase contracts entered into by the department.
(f) A retail end-use customer purchasing power from a community
aggregator pursuant to subdivision (b) shall reimburse the electrical
corporation that previously served the customer for all of the
following:
(1) The electrical corporation's unrecovered past
undercollections, including all financing costs attributable to that
customer, that the commission lawfully determines may be recovered in
rates.
(2) The costs of the electrical corporation recoverable in
commission-approved rates, equal to the share of the electrical
corporation's estimated net unavoidable power purchase contract costs
attributable to the customer, as determined by the commission, for
the period commencing with the customer's purchases of electricity
from the community aggregator, through the expiration of all then
existing power purchase contracts entered into by the electrical
corporation.
(g) (1) A charge or cost imposed pursuant to subdivision (e), and
all revenues received to pay the charge or cost, shall be the
property of the Department of Water Resources. A charge or cost
imposed pursuant to subdivision (f), and all revenues received to pay
the charge or cost, shall be the property of the particular
electrical corporation. The commission shall establish mechanisms,
including agreements with, or orders with respect to, electrical
corporations necessary to assure that the revenues received to pay a
charge or cost payable pursuant to this section are promptly remitted
to the party entitled to those revenues.
(2) A charge or cost imposed pursuant to this section shall be
nonbypassable.