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COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED




  California Solar Policies
  2009 Legislative Recap
      Sue Kateley, Executive Director
California Solar Energy Industries Association
                 info@calseia.org
What is CALSEIA?
• CALifornia Solar Energy Industries Association
• Founded in 1977
• Mission: to expand the use of all solar technologies
  in California and establish a sustainable industry for a
  clean energy future
• Membership comprised of solar companies:
  manufacturers, distributors, contractors, engineers,
  designers, utilities


                    COPYRIGHT CALSEIA 2009 ALL RIGHTS
                               RESERVED
Development of Solar Markets Tied to
     State Laws and Regulations
• Customer side of the meter (Retail utility customers)
   – California Solar Initiative (electricity customers)
   – Solar Water Heating Efficiency Act (natural gas customers)
   – Net metering
   – Solar Rights Act, Shading Control Act, Property Tax Reassessment
     Exemption, Utility/Private Sector competition
   – Municipal financing
• Wholesale side of the meter (Sales to Utilities)
   – Renewable Portfolio Standard: 20% by 2010
       • Renewable Energy Certificates, Bilateral Agreements, Utility procurement,
         Feed in Tariffs
• Greenhouse Gas Regulations: reduce carbon emissions to
  1990 levels

                           COPYRIGHT CALSEIA 2009 ALL RIGHTS
                                      RESERVED
2009 Legislation
• RPS: SB 14, AB 64, Governor Exec. Order
   –   Moves current target of 20% by 2010 to 2013, and establishes new targets of 25% by 2016 and 33%
       by 2020
   –   Expands flexible compliance rules for IOUs when difficulty procuring renewables due to project
       delays and lack of transmission lines
   –   Changes definition of delivery for counting out- of-state renewable resources
   –   For the use of RECs from otherwise ineligible out-of-state renewable resources, establishes a cap of
       25-30% of 33% RPS target
   –   Requires the CPUC to approve a transmission CPCN within 18-months of receipt of a complete
       application unless the CPUC finds that the line threatens the environment and requires a longer
       process

• AB 1x: AB 413 and SB 695
   –   Allows the CPUC to increase non-CARE residential Tier 1 & 2 rates over a period of years and as
       prescribed by the bill
   –   Allows the CPUC to employ default time-variant pricing after January 1, 2014, and only after certain
       consumer education
   –   SB 695 is on the Governor’s desk




                                    COPYRIGHT CALSEIA 2009 ALL RIGHTS
                                               RESERVED
2009 Legislation
• Net Metering, Reimbursement: AB 920 & SB 7
  – SB 7 allows NEM customers who produce more electricity than they consume in a given
    year to carry the credits for the excess production forward for an additional two years
  – AB 920 allows NEM customers to sell any excess electricity they produce over the course
    of a year to their electric utility at a rate to be determined by the CPUC
  – SB 7 was held on the inactive file on the Assembly Floor
  – AB 920 is on the Governor’s desk

• Energy Efficiency: AB 578
  – Requires the CEC to develop a comprehensive energy audit program for residential and
    nonresidential building stock
  – Requires the CPUC to investigate the viability of various utility-run financing options for
    the purposes of implementing the energy efficiency program
  – Requires the CPUC to report its findings as part of its triennial energy efficiency report to
    the Legislature
  – AB 758 is on the Governor’s desk


                               COPYRIGHT CALSEIA 2009 ALL RIGHTS
                                          RESERVED
2009 Legislation
• Self Generation Incentives: SB 412
  – Allows CPUC to authorize incentives for technologies that meet GHG goals
  – SB 412 is on the Governor’s desk

• Net Metering Cap: AB 560
  – Would increase the existing NEM cap from 2.5 percent of a utility's peak demand to 5
    percent
  – Would prohibit solar installations of greater than 250 kilowatts from being done by a C-
    46 licensee
  – AB 560 was held in the Senate Business and Professions Committee

• Feed in Tariff: SB 32
  – Increases the FIT program from 1.5 MW to 3MW and requires the CPUC to adjust the
    price based upon the MPR plus other attributes
  – Increases the statewide total capacity cap from 500 MW to 750 MW
  – SB 32 is on the Governor’s desk


                              COPYRIGHT CALSEIA 2009 ALL RIGHTS
                                         RESERVED
PV Installed around the World
       Source: EPIA Global Market Outlook until 2013




               COPYRIGHT CALSEIA 2009 ALL RIGHTS
                          RESERVED
2009 Regulations
• CSI – Thermal (Solar Water Heating)
• CPUC
  – FIT Proceeding
  – Utility PV Procurement Programs
• CSLB – non-substantive revisions to the scope
  of work for C-46 license classification
• CEC – Title 24 Energy Efficiency and Appliance
  Regulations

                 COPYRIGHT CALSEIA 2009 ALL RIGHTS
                            RESERVED
Federal Policies also affect California
• 30% Tax Credit for solar projects
• Refundable Tax Credits (Commercial only)
• 5-year accelerated depreciation (bonus depreciation in
  effect)
• Business Loan Guarantees
• Government Efficiency and Renewable Financing
  Bonds(CREBs and QECBs): local government energy
  efficiency and renewable energy financing programs
• Federal Procurement Projects: Federally owned
  buildings and military bases activity underway
• Training and Education: Green Jobs

                    COPYRIGHT CALSEIA 2009 ALL RIGHTS
                               RESERVED
Fun Pictures




        Guess which
         one is the
        solar thermal
           project



COPYRIGHT CALSEIA 2009 ALL RIGHTS
           RESERVED
Thank you!




   www.calseia.org
   info@calseia.org



 COPYRIGHT CALSEIA 2009 ALL RIGHTS
            RESERVED

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California Solar Policies 2009 Legislative Recap

  • 1. COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED California Solar Policies 2009 Legislative Recap Sue Kateley, Executive Director California Solar Energy Industries Association info@calseia.org
  • 2. What is CALSEIA? • CALifornia Solar Energy Industries Association • Founded in 1977 • Mission: to expand the use of all solar technologies in California and establish a sustainable industry for a clean energy future • Membership comprised of solar companies: manufacturers, distributors, contractors, engineers, designers, utilities COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED
  • 3. Development of Solar Markets Tied to State Laws and Regulations • Customer side of the meter (Retail utility customers) – California Solar Initiative (electricity customers) – Solar Water Heating Efficiency Act (natural gas customers) – Net metering – Solar Rights Act, Shading Control Act, Property Tax Reassessment Exemption, Utility/Private Sector competition – Municipal financing • Wholesale side of the meter (Sales to Utilities) – Renewable Portfolio Standard: 20% by 2010 • Renewable Energy Certificates, Bilateral Agreements, Utility procurement, Feed in Tariffs • Greenhouse Gas Regulations: reduce carbon emissions to 1990 levels COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED
  • 4. 2009 Legislation • RPS: SB 14, AB 64, Governor Exec. Order – Moves current target of 20% by 2010 to 2013, and establishes new targets of 25% by 2016 and 33% by 2020 – Expands flexible compliance rules for IOUs when difficulty procuring renewables due to project delays and lack of transmission lines – Changes definition of delivery for counting out- of-state renewable resources – For the use of RECs from otherwise ineligible out-of-state renewable resources, establishes a cap of 25-30% of 33% RPS target – Requires the CPUC to approve a transmission CPCN within 18-months of receipt of a complete application unless the CPUC finds that the line threatens the environment and requires a longer process • AB 1x: AB 413 and SB 695 – Allows the CPUC to increase non-CARE residential Tier 1 & 2 rates over a period of years and as prescribed by the bill – Allows the CPUC to employ default time-variant pricing after January 1, 2014, and only after certain consumer education – SB 695 is on the Governor’s desk COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED
  • 5. 2009 Legislation • Net Metering, Reimbursement: AB 920 & SB 7 – SB 7 allows NEM customers who produce more electricity than they consume in a given year to carry the credits for the excess production forward for an additional two years – AB 920 allows NEM customers to sell any excess electricity they produce over the course of a year to their electric utility at a rate to be determined by the CPUC – SB 7 was held on the inactive file on the Assembly Floor – AB 920 is on the Governor’s desk • Energy Efficiency: AB 578 – Requires the CEC to develop a comprehensive energy audit program for residential and nonresidential building stock – Requires the CPUC to investigate the viability of various utility-run financing options for the purposes of implementing the energy efficiency program – Requires the CPUC to report its findings as part of its triennial energy efficiency report to the Legislature – AB 758 is on the Governor’s desk COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED
  • 6. 2009 Legislation • Self Generation Incentives: SB 412 – Allows CPUC to authorize incentives for technologies that meet GHG goals – SB 412 is on the Governor’s desk • Net Metering Cap: AB 560 – Would increase the existing NEM cap from 2.5 percent of a utility's peak demand to 5 percent – Would prohibit solar installations of greater than 250 kilowatts from being done by a C- 46 licensee – AB 560 was held in the Senate Business and Professions Committee • Feed in Tariff: SB 32 – Increases the FIT program from 1.5 MW to 3MW and requires the CPUC to adjust the price based upon the MPR plus other attributes – Increases the statewide total capacity cap from 500 MW to 750 MW – SB 32 is on the Governor’s desk COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED
  • 7. PV Installed around the World Source: EPIA Global Market Outlook until 2013 COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED
  • 8. 2009 Regulations • CSI – Thermal (Solar Water Heating) • CPUC – FIT Proceeding – Utility PV Procurement Programs • CSLB – non-substantive revisions to the scope of work for C-46 license classification • CEC – Title 24 Energy Efficiency and Appliance Regulations COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED
  • 9. Federal Policies also affect California • 30% Tax Credit for solar projects • Refundable Tax Credits (Commercial only) • 5-year accelerated depreciation (bonus depreciation in effect) • Business Loan Guarantees • Government Efficiency and Renewable Financing Bonds(CREBs and QECBs): local government energy efficiency and renewable energy financing programs • Federal Procurement Projects: Federally owned buildings and military bases activity underway • Training and Education: Green Jobs COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED
  • 10. Fun Pictures Guess which one is the solar thermal project COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED
  • 11. Thank you! www.calseia.org info@calseia.org COPYRIGHT CALSEIA 2009 ALL RIGHTS RESERVED