Compliance Filing Template
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SB 1368 Emission Performance Standards
On September 29, 2006, Governor Arnold Schwarzenegger signed into law Senate Bill 1368 (Perata, Chapter 598, Statutes of 2006). The law limits long-term investments in baseload generation by the state's utilities to power plants that meet an emissions performance standard (EPS) jointly established by the California Energy Commission and the California Public Utilities Commission.
The Energy Commission has designed regulations that:
- Establish a standard for baseload generation owned by, or under long-term contract to publicly owned utilities, of 1,100 lbs CO2 per megawatt-hour (MWh). This will encourage the development of power plants that meet California's growing energy needs while eminimizing their emissions of greenhouse gases;
- Require posting of notices of public deliberations by publicly owned utilities on long-term investments on the Energy Commission website. This will facilitate public awareness of utility efforts to meet customer needs for energy over the long-term while meeting the State's standards for environmental impact, and;
- Establish a public process for determining the compliance of proposed investments with the EPS. This process includes the following components:
- A utility may request that the Commission determine whether or not an investment under consideration is subject to or complies with the EPS (Request for Evaluation of a Proposed Procurement)
- A utility may request that an investment be exempted from the requirement that it meet the EPS if the investment is necessary to ensure reliable service to utility customers or to avoid a threat of significant financial harm (Request for Reliability or Financial Exemption), or, if the utility is under a legal obligation to contribute a share of a larger investment (Request for Exemption Due to Pre-existing Multi-Party Commitment).
- A utility must submit a compliance filing upon committing to an investment that is required to meet the EPS (Compliance Filing)
- Any party may request that the Energy Commission conduct a complaint or investigation proceeding to determine a utility's compliance with the regulations (Request for Compliance Investigation)
Investments that must be in compliance with the EPS include:
- Construction or purchase (turnkey agreements) of new power plants designed and intended for baseload generation;
- Purchase of existing power plants designed and intended for baseload generation, or ownership shares thereof, other than combined cycle natural gas power plants in operation or permitted prior to June 30, 2007;
- Capital investments in existing, utility-owned power plants designed and intended for baseload generation, other than those for routine maintenance, that:
- For combined-cycle, natural gas power plants permitted before June 20, 2007, increase the generation capacity by 50 megawatts (MW) or more.
- For other power plants, are intended to extend the life of one or more units by five years or more.
- Are intended to increase the rated capacity of the power plant.
- Are intended to convert a non-baseload power plant into a baseload power plant.
This page provides information for both the public and publicly owned utility companies. Links in the left-hand column will lead you to how to file, frequently asked questions (FAQs), filings recently submitted and pending, and an a archive of past filings. The links will also take you to additional information as well as any public meetings regarding these standards.
For additional information, please contact:
California Energy Commission
Electricity Analysis Office
1516 Ninth Street, MS-20
Sacramento, CA 95814
Members of the news media please contact the
Media and Public Communications Office at 916-654-4989.