Policy Matters

 

 

There are a number of different policy venues in California that have some responsibility over energy-related issues.  CEERT’s policy and technical teams are engaged in each of these venues on renewable energy resource and transmission, energy efficiency, renewable distributed generation and air pollution standards related to power generation.  A description of each follows:

 

California Public Utilities Commission (CPUC)

The CPUC regulates companies in the state of California that provide essential utility services to the public – electricity, natural gas, water and sewer, railroad and telecommunications, as well as private transportation and moving companies. CPUC also sets rates for essential utility services.

The CPUC’s electricity and natural gas regulation is carried out by several divisions within the Commission, all with different responsibilities.  The Energy Division is the enforcement arm that is charged with oversight of compliance, rules and rates.  The Division of Strategic Planning is the policy-planning arm of the Commission.  The Division of Ratepayer Advocates is an independent consumer advocacy arm of the Commission.

 

California Energy Commission (CEC)

The CEC was established in 1974 by the Warren-Alquist Act and its work covers transportation, electric and gas energy policy.  While the CPUC regulates utilities and sets rates, the CEC is California’s energy policy and planning agency.  Both agencies often have complementary responsibilities to implement state policies, such as the Renewable Portfolio Standard and California Solar Initiative.

The CEC’s responsibilities include forecasting future energy needs, establishing energy efficient building and appliance standards, licensing natural gas power plants that are 50 megawatts or larger, and providing energy policy direction and planning to the state.

The CEC also oversees funding programs that support public interest energy research, research and development of new technology, and existing, new and emerging renewable technologies. 

California Air Resources Board (CARB)

 

The chief mission of CARB is to set limits and regulate air pollution emissions from stationary and mobile sources in the state.  Their job is wide-ranging as it covers many sectors, including some aspects of electric power generation.  The scope of the agency was augmented substantially with the enactment of the state’s new global warming law, AB 32 (Nunez and Pavley), signed by Governor Schwarzenegger in September 2006.  This new law put CARB as the chief agency in charge of its implementation.  CARB also sets emissions limits for distributed generation. 

 

 

Air Basins and Air Districts

 

California is divided into fifteen air basins, and thirty-five air pollution control districts.  Districts are somewhat independent and establish and enforce air pollution rules and regulations that are specific to their district’s sources – power plants, refineries, gas stations, and manufacturers.  Each district is charged with attaining and maintaining state and federal air quality standards.

 

California Independent System Operator (CalISO)

The CalISO was established by AB 1890 in 1996, the law that deregulated California’s wholesale and retail electric energy market.  Deregulation was short-lived in California, but the CalISO still remains. It is an independent, non-profit corporation that operates the wholesale transmission system for the state, balances supply and demand, and serves as the link between power generation units and power providers that serve more than 30 million customers. Simply put, the CalISO makes sure the lights stay on.  

 

 

Federal Energy Regulatory Commission (FERC)

FERC regulates the sale and transmission of natural gas, oil, and electricity for interstate commerce. FERC is housed in the Federal Department of Energy.