AB 678: Biomethane procurement targets or goals: core transport agents.

Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including gas corporations. Existing law requires the commission to require each gas corporation to provide bundled basic gas service to all core customers in its service territory unless the customer chooses or contracts to have natural gas purchased and supplied by another entity. Existing law requires the commission, in consultation with the State Air Resources Board, to consider adopting specific biomethane procurement targets or goals for each gas corporation, as specified.

This bill would revise that latter requirement to instead require the commission to consider adopting specific biomethane procurement targets or goals for each gas corporation and core transport agent, as defined. If the commission adopts the biomethane procurement targets or goals, the bill would require the commission to authorize a core transport agent to enter into an agreement with a gas corporation for the gas corporation to procure the core transport agents proportionate share of biomethane in order to satisfy the biomethane procurement targets or goals, with all costs paid for by the core transport agent and any environmental attributes allocated by the commission in a fair and transparent manner. The bill would require the commission to initially allocate each core transport agent their proportional share of the existing biomethane procurement targets established by commission Decision 22-02-025, as specified.

Under existing law, a violation of the Public Utilities Act or an order, decision, rule, direction, demand, or requirement of the commission is a crime.

Because the provisions of this bill would be a part of the act and because a violation of a commission action implementing its requirements would be a crime, the bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.