Wednesday, May 4, 2011

SB 2X: 33% Renewable Energy Portfolio Standard

What Stands in the Way of California's 33 Percent Renewables Goal?
Renewable Energy World: 4.13.11 by Lindsay Morris

On April 12, California Governor Jerry Brown signed Senate Bill 2X into law, requiring that 33 percent of the state’s electric generation come from renewable sources by 2020.

Under S.B. 2X, all load-serving entities must meet a 20 percent renewables target by Dec. 31, 2013, a 25 percent target by the end of 2016, and achieve the 33 percent criterion by the end of 2020.

S.B. 2X applies to all electricity retailers in the state – investor-owned utilities, municipal utilities and independent sellers. The current 20 percent renewable energy requirement applies only to investor-owned utilities and independent power producers.

One municipal utility, the Los Angeles Department of Water and Power, has already reached the 2013 goal of generating 20 percent of its power from renewables. Smaller municipal utilities like Glendale, Anaheim, Pasadena and Burbank, are behind at this stage in terms of how much renewable power they have in their portfolios, said Dario Frommer, partner at Mayer Brown law firm.

Most investor-owned utilities in California are hovering just under 20 percent renewables now. While it may seem that investor-owned utilities are close to meeting the 2013 goal, many of these projects are in litigation over siting issues and may not be completed in time to meet the 2013 target, Frommer said.

“It’s incumbent on the political leaders to address the siting issues that are creating problems for financing,” Frommer said. “Those issues are an impediment to realizing the 33 percent goal.”


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Since it was passed during a special legislative session, S.B. 2X is not expected to take effect until early July. READ MORE !

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