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Little Legislative Action on Energy Matters
Embroiled in a budgetary crisis and distracted with other matters, the California Legislature passed no significant legislation on energy matters in the most recent 2008 Legislative session. Only a handful of energy bills were ultimately approved, none of which will have any significant impact on energy rates or policy. AECA was significantly involved in work on SB 1714 (D-Negrete-McLeod) which would have provided additional incentives to place solar panels on farms and water agencies in California through the new “feed-in tariffs” that were established earlier this year. Similar to net-metering, these tariffs allow farms and businesses to sell excess power back to the utilities. Unfortunately, this measure was not approved by the Legislature, although discussions have already begun on how additional incentives can be provided for farms to install renewable power as a means to offset purchases from the utilities. Under current policy, if a solar panel is installed with assistance from the California Solar Initiative (CSI), the customer can only participate in net-metering programs, not a feed-in tariff. Because agricultural energy consumption is intermittent and varies from season to season, net-metering often doesn’t pencil out for installations on the farm. AECA is committed to working with the utilities, who have been very receptive to the concept, to remove these restrictions and provide strong incentives for farms and water agencies to install renewable generation such as solar, wind, and in-conduit hydroelectricity.
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