Section 454.3 Of Article 1. Rates From California Public Utilities Code >> Division 1. >> Part 1. >> Chapter 3. >> Article 1.
454.3
. The commission may, after a hearing, approve an increase of
from one-half of 1 percent to 1 percent in the rate of return
otherwise allowed an electrical corporation on its electric plant for
investment by the corporation in facilities meeting one of the
following requirements:
(a) The facility is designed to generate electricity from a
renewable resource, including, but not limited to, solar energy,
geothermal steam, wind, and hydroelectric power at new or existing
dams; the facility is subject to Resources Agency review of its
environmental impacts and determination that the facility is
environmentally acceptable; its capital costs, when added to its
costs of operation and maintenance, result in a cost of electricity
generated over the useful life of the facility less than that of
electricity generated by existing facilities utilizing nuclear power
or fossil fuel; and the facility is used and useful.
(b) The facility is capable of meeting the then applicable
environmental pollution standards; its capital costs, when added to
its costs of operation and maintenance, result in a cost of
electricity generated over the useful life of the facility less than
that of electricity generated by existing facilities utilizing
nuclear power or fossil fuel; and the facility is used and useful.
(c) The facility is experimental and is, in the determination of
the commission, reasonably designed to improve or perfect technology
for the generation of electricity from renewable resources or to more
efficiently utilize other resources in a manner which will decrease
environmental pollution from and lower the costs of the electricity
generated.