SB 612 creates fair system for managing legacy energy resources and reducing costs for all ratepayers
(From press release) State Senator Anthony Portantino (D-La Cañada-Flintridge) has introduced SB 612 which requires that California electric ratepayers have fair and equal access to benefits associated with investor-owned utility (IOU) legacy energy resources and that the resources are actively managed to maximize their value. The bill, sponsored by the California Community Choice Association (CalCCA), will have its first hearing on April 26 before the Senate Energy, Utilities and Communications Committee. The bill would benefit community choice aggregators such as Valley Clean Energy, which serves electricity customers in Woodland, Davis, Winters and the unincorporated areas of Yolo County.
Legacy energy resources are a major concern because they account for billions of dollars in above-market costs in IOU energy portfolios, and the utilities rely on California ratepayers to pay the costs. They include capital-intensive utility-owned generation facilities and expensive long-term renewable energy contracts with third parties.
Under SB 612, legacy energy resources would be handled in more prudent ways that reflect new market realities and that reasonable steps are taken to minimize above-market costs that accrue to ratepayers.









