Renewable energy subscription programs would favor low-income customers

The Public Utilities Commission would adopt or modify a customer renewable energy subscription program with these requirements. The program would cover community renewable energy generators and customers who subscribe to receive some or all of their benefits and capacity. At least 51 percent of program capacity would have to serve low-income customers. Bill credits based on avoided costs would apply when the commission determines that a generator is a load-modifying resource. Program costs paid by customers who do not subscribe could not exceed the avoided costs of distributed energy resources for a generator classified as load-modifying. Construction would generally require prevailing wages, payroll records, and enforcement options, unless a project labor agreement requires prevailing wages and arbitration enforcement. The program would close to new generators when it reaches four gigawatts of total capacity or seven years after enrollment begins, whichever comes first.

The Energy Commission would evaluate whether community renewable energy generators can reduce or reshape electricity demand, and the Public Utilities Commission would use the results to classify eligible generators. The evaluation would consider participating generators, including whether the distance between subscribers and a generator affects its ability to modify electricity demand. The Energy Commission would hold public processes with opportunities for public comment. If the evaluation finds load-modifying potential, the Energy Commission would identify attributes generators must meet for classification. The Public Utilities Commission’s classification process would be limited to those identified attributes. The Energy Commission would identify the attributes by December 1, 2027, if its evaluation finds load-modifying potential. The Public Utilities Commission would adopt or modify the program within 180 days after the attributes are identified.

The Public Utilities Commission would report to the Legislature on participating generators, subscribers, and low-income participation. The reports would cover the customer renewable energy subscription program and the community renewable energy generators participating in it. The report would include an analysis of low-income customer participation. The reporting requirement would apply for the duration of the program. The first report would be due within 24 months after the commission adopts or modifies the program, followed by annual reports. This reporting section would end on January 1, 2034.