How are the PUC and CEC working with CARB on the new AB 32 regulations?
AB 32 specifically calls for the CEC and PUC to advise ARB on the aspects of the plan that relate to electricity and the natural gas sector, which comprises a fairly substantial portion of the sources of greenhouse gases that we have to deal with. They have had proceedings underway at both of these agencies for over a year. PUC-regulated utilities, environmental groups, consumer organizations, and other interested parties have weighed in on various proposals for how to reduce greenhouse gases from this sector. The two commissions both adopted formal recommendations and submitted them to us at the end of March. Both offer that we should implement a cap-and-trade system, which would be applicable to what they call a first-seller, the entity that actually imports or creates electricity in California. They made some other specific suggestions about how that should work and did some economic modeling of the cost of that for electricity. That recommendation was quite controversial, particula
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- How are the PUC and CEC working with CARB on the new AB 32 regulations?
