text: The commission shall conduct workshops, hearings, and other forums to gain the perspectives of the public and market participants for purposes of the integrated energy policy report prepared pursuant to Section 25302 and the forecasting and assessments prepared pursuant to Sections 25301, 25303, 25304, and 25305. The commission shall include the comments, as well as responses to those comments, of governmental agencies, industry representatives, market participants, private groups, and any other person concerning the commission’s proposals and recommendations in the docket for the integrated energy policy report.


kind: section

code: PRC

text:
(a) For purposes of this section, “decarbonizing” means reducing or eliminating associated emissions of greenhouse gases.

(b) As part of the 2023 and 2025 editions of the integrated energy policy report, the commission shall study and model potential growth for hydrogen and its role in decarbonizing the electrical and transportation sectors of the economy, and helping to achieve the goals set forth in The 100 Percent Clean Energy Act of 2018 (Chapter 312 of the Statutes of 2018), the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500) of the Health and Safety Code), and the Clean Energy and Pollution Reduction Act of 2015 (Chapter 547 of the Statutes of 2015).

(c) Pursuant to Section 10231.5 of the Government Code, this section is repealed on January 1, 2030.

history: (History: Added by Stats. 2022, Ch. 363, Sec. 3. (SB 1075) Effective January 1, 2023. Repealed as of January 1, 2030, by its own provisions.)

division: 15. ENERGY CONSERVATION AND DEVELOPMENT

chapter: 4. Integrated Energy Policy Reporting

path: 15. ENERGY CONSERVATION AND DEVELOPMENT > 4. Integrated Energy Policy Reporting


text: The commission and Public Utilities Commission, in coordination with the Independent System Operator, every five years, shall review and update as necessary the Memorandum of Understanding Between the California Public Utilities Commission (CPUC) and the California Energy Commission (CEC) and the California Independent System Operator (ISO) Regarding Transmission and Resource Planning and Implementation (December 23, 2022) and the related workplan to ensure the memorandum and workplan reflect the coordination that is needed to help meet the state’s energy goals, including those goals described in Section 454.53 of the Public Utilities Code.

history: (History: Added by Stats. 2023, Ch. 390, Sec. 1. (SB 319) Effective January 1, 2024.)


text:
(a) On or before July 1, 2025, the commission, Public Utilities Commission, and Independent System Operator shall jointly develop an electrical transmission infrastructure development guidebook that describes the state’s electrical transmission infrastructure planning and permitting processes conducted by the commission, Public Utilities Commission, and Independent System Operator.

(b) In developing the electrical transmission infrastructure development guidebook, the commission, Public Utilities Commission, and Independent System Operator shall make a reasonable and good faith effort to consult with all relevant local, state, tribal, and federal agencies.

(c) The electrical transmission infrastructure development guidebook shall include a description of the different stages of electrical transmission infrastructure development, an analysis of the average timeframes for electrical transmission infrastructure planning and permitting by the commission, Public Utilities Commission, and Independent System Operator, clearly identify and describe the roles, responsibilities, and decisionmaking authority of federal agencies and state agencies, including the commission, Public Utilities Commission, and Independent System Operator, and include interfaces with federal agencies, including timing, sequence, and coordination with federal permitting agencies, and coordination between reviews under the California Environmental Quality Act (Division 13 (commencing with Section 21000)) and the federal National Environmental Policy Act of 1969 (42 U.S.C. Sec. 4321 et seq.).

(d) The commission, Public Utilities Commission, and Independent System Operator shall provide an opportunity for stakeholder input in the development and communication of the electrical transmission infrastructure development guidebook and an opportunity for public comment on a draft electrical transmission infrastructure development guidebook.

(e) For purposes of this section, “electrical transmission infrastructure” means electrical transmission facilities and equipment used to convey electricity from an electrical generation facility or energy storage system to the electrical distribution system or transmission-voltage load.

(f) This section shall remain in effect only until January 1, 2028, and as of that date is repealed.

history: (History: Added by Stats. 2023, Ch. 390, Sec. 2. (SB 319) Effective January 1, 2024. Repealed as of January 1, 2028, by its own provisions.)


text:
(a) For purposes of this section, the following terms have the following meanings:

(1) “End use” means the purpose for which energy is used, including, but not limited to, heating, cooling, or lighting, or class of energy uses upon which an energy efficiency program is focused, typically categorized by equipment purpose, equipment energy use intensity, or building type.

(2) “Energy efficiency savings” means reduced electricity or natural gas usage produced either by the installation of an energy efficiency measure or the adoption of an energy efficiency practice that maintains at least the same level of end-use service or by conservation actions that reduce energy use by reducing the quantity of baseline energy services demanded.

(b) On or before November 1, 2007, and by November 1 of every third year thereafter, the commission in consultation with the Public Utilities Commission and local publicly owned electric utilities, in a public process that allows input from other stakeholders, shall develop a statewide estimate of all potentially achievable cost-effective electricity and natural gas efficiency savings and establish targets for statewide annual energy efficiency savings and demand reduction for the next 10-year period. The commission shall base its estimate at least in part on information developed pursuant to Sections 454.55, 454.56, 715, 9505, 9615, and 9615.5 of the Public Utilities Code. The commission shall, for each electrical corporation and each gas corporation, include in the integrated energy policy report, a comparison of the public utility’s annual targets established pursuant to Sections 454.55 and 454.56, and the public utility’s actual energy efficiency savings and demand reductions.

(c) (1) On or before November 1, 2017, the commission, in collaboration with the Public Utilities Commission and local publicly owned electric utilities, in a public process that allows input from other stakeholders, shall establish annual targets for statewide energy efficiency savings and demand reduction that will achieve a cumulative doubling of statewide energy efficiency savings in electricity and natural gas final end uses of retail customers by January 1, 2030. The commission shall base the targets on a doubling of the midcase estimate of additional achievable energy efficiency savings, as contained in the California Energy Demand Updated Forecast, 2015-2025, adopted by the commission, extended to 2030 using an average annual growth rate, and the targets adopted by local publicly owned electric utilities pursuant to Section 9505 of the Public Utilities Code, extended to 2030 using an average annual growth rate, to the extent doing so is cost effective, feasible, and will not adversely impact public health and safety.

(2) The commission may establish targets for the purposes of paragraph (1) that aggregate energy efficiency savings from both electricity and natural gas final end uses. Before establishing aggregate targets, the commission shall, in a public process that allows input from other stakeholders, adopt a methodology for aggregating electricity and natural gas final end-use energy efficiency savings in a consistent manner based on source of energy reduction and other relevant factors.

(3) In establishing the targets pursuant to paragraph (1), the commission shall assess the hourly and seasonal impact on statewide and local electricity demand.

(4) In assessing the feasibility and cost-effectiveness of energy efficiency savings for the purposes of paragraph (1), the commission and the Public Utilities Commission shall consider the results of energy efficiency potential studies that are not restricted by previous levels of utility energy efficiency savings.

(5) The energy efficiency savings and demand reduction reported for the purposes of achieving the targets established pursuant to paragraph (1) shall be measured taking into consideration the overall reduction in normalized metered electricity and natural gas consumption where these measurement techniques are feasible and cost effective.

(d) The targets established in subdivision (c) may be achieved through energy efficiency savings and demand reduction resulting from a variety of programs that include, but are not limited to, the following:

(1) Appliance and building energy efficiency standards developed and adopted pursuant to Section 25402.

(2) A comprehensive program to achieve greater energy efficiency savings in California’s existing residential and nonresidential building stock pursuant to Section 25943.

(3) Programs funded and authorized pursuant to the California Clean Energy Job Creation Act (Division 16.3 (commencing with Section 26200)).

(4) Programs funded by the Greenhouse Gas Reduction Fund established pursuant to Section 16428.8 of the Government Code.

(5) Programs funded and authorized pursuant to this division.

(6) Programs of electrical or gas corporations, or community choice aggregators, that provide financial incentives, rebates, technical assistance, and support to their customers to increase energy efficiency, authorized by the Public Utilities Commission.

(7) Programs of local publicly owned electric utilities that provide financial incentives, rebates, technical assistance, and support to their customers to increase energy efficiency pursuant to Section 385 of the Public Utilities Code.

(8) Programs of electrical or gas corporations, local publicly owned electric utilities, or community choice aggregators, that achieve energy efficiency savings through operational, behavioral, and retrocommissioning activities.

(9) Programs that save energy in final end uses by reducing distribution feeder service voltage, known as conservation voltage reduction.

(10) Programs that save energy in final end uses by using cleaner fuels to reduce greenhouse gas emissions as measured on a lifecycle basis from the provision of energy services.

(11) Property Assessed Clean Energy (PACE) programs.

(e) Beginning with the 2019 edition of the integrated energy policy report and every two years thereafter, the commission shall provide recommendations and an update on progress toward achieving a doubling of energy efficiency savings in electricity and natural gas final end uses of retail customers by January 1, 2030, pursuant to paragraph (1) of subdivision (c). The commission shall also include with the recommendations and update both of the following:

(1) An assessment of the effect of energy efficiency savings on electricity demand statewide, in local service territories, and on an hourly and seasonal basis.

(2) Specific strategies for, and an update on, progress toward maximizing the contribution of energy efficiency savings in disadvantaged communities identified pursuant to Section 39711 of the Health and Safety Code.

history: (History: Amended by Stats. 2015, Ch. 547, Sec. 6. (SB 350) Effective January 1, 2016.)


text:
(a) The commission shall manage a data collection system for obtaining information necessary to develop the policy reports and analyses required by Sections 25301 to 25307, inclusive, the energy shortage contingency planning efforts in Chapter 8 (commencing with Section 25700), and to support other duties of the commission.

(1) It is the intent of the Legislature to ensure that information needed to support the energy policy analysis developed by the commission is obtained from stakeholders in the most cost-effective and efficient manner.

(2) The commission is encouraged to do all of the following with respect to its data collection:

(A) Align the collection of data to be consistent with the schedule of the integrated energy policy report, to the extent practical.

(B) Eliminate unneeded and duplicative data submittals from stakeholders.

(C) Give full consideration to the potential burdens these data requests impose on the resources of the stakeholders whose information is being requested.

(b) The data collection system, adopted by regulation under Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code, and managed by the commission shall:

(1) Include a timetable for the submission of this information, so that the integrated energy policy report required by Section 25302 can be completed in an accurate and timely manner. The commission is encouraged to align its timetable with the schedule of the integrated energy policy report, to the extent practical.

(2) Require a person to submit only information that is necessary to the development of the integrated energy policy report and analyses, and that the person can either be expected to acquire through their market activities, or possesses or controls. Information collected pursuant to this section shall relate to the functional role of each category of market participant in that industry and the consumers within that industry.

(3) To the extent it satisfies the information needs of the commission, rely on the use of estimates and proxies, to the maximum extent practicable, for some data elements using survey and research techniques, while for other information it shall obtain data from market participants using submissions consistent with their accounting records. In determining whether to rely on estimates or participant-provided data, the commission shall weigh the burden of compliance on industry participants and energy consumers against the benefit of participant-provided data for the public interest.

(4) To the extent it satisfies the information needs of the commission, rely on data, to the maximum extent practicable, that is reported to other government agencies or is otherwise available to the commission.

(c) Pursuant to the requirements of subdivision (b), the data collection system for electricity and natural gas shall enumerate specific requirements for each category of market participants, including, but not limited to, private market participants, energy service providers, energy service companies, natural gas marketers, electric utility and natural gas utility companies, independent generators, electric transmission entities, natural gas producers, natural gas pipeline operators, importers and exporters of electricity and natural gas, and specialized electric or natural gas system operators. The commission may also collect information about consumers’ natural gas and electricity use from their voluntary participation in surveys and other research techniques.

(d) Pursuant to the requirements of subdivision (b), the data collection system for nonpetroleum fuels and transportation technologies shall enumerate specific requirements for each category of market participant, including, but not limited to, fuel importers and exporters, fuel distributors and retailers, fuel pipeline operators, natural gas liquid producers, and transportation technology providers. The commission may also collect information about consumers’ nonpetroleum fuel and transportation technology use from their voluntary participation in surveys and other research techniques.

(e) The commission shall collect data for petroleum fuel pursuant to Chapter 4.5 (commencing with Section 25350). The commission may also collect information about consumers’ petroleum fuel use from consumers’ participation in surveys and other research techniques.

history: (History: Amended by Stats. 2024, Ch. 353, Sec. 13. (AB 1533) Effective January 1, 2025.)


text:
In order to ensure timely and accurate compliance with the data collection system adopted under Section 25320, the commission may use any of the following enforcement measures:

(a) If any person fails to comply with an applicable provision of the data collection system, the commission shall notify the person. If, after five working days from being notified of the violation, the person continues to fail to comply, the person shall be subject to a civil penalty, to be imposed by the commission after a hearing that complies with constitutional requirements.

(1) The civil penalty shall not be less than five hundred dollars ($500) nor more than two thousand dollars ($2,000) for each category of data the person did not provide and for each day the violation has existed and continues to exist.

(2) In the case of a person who willfully makes any false statement, representation, or certification in any record, report, plan, or other document filed with the commission, the civil penalty shall not be less than five hundred dollars ($500) nor more than two thousand dollars ($2,000) per day applied to each day in the interval between the original due date and the date when corrected information is submitted.

(b) For the purposes of this section, “person” means, in addition to the definition contained in Section 25116, any responsible corporate officer.

(c) Enforcement measures for petroleum and other fuels shall be those contained in Section 25362.

history: (History: Repealed and added by Stats. 2002, Ch. 568, Sec. 2. Effective January 1, 2003.)


text:
(a) The data collection system managed pursuant to Section 25320 shall include the following requirements regarding the confidentiality of the information collected by the commission:

(1) Any person required to present information to the commission pursuant to this section may request that specific information be held in confidence. The commission shall grant the request in any of the following circumstances:

(A) The information is exempt from disclosure under the California Public Records Act, Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code.

(B) The information satisfies the confidentiality requirements of Article 2 (commencing with Section 2501) of Chapter 7 of Division 2 of Title 20 of the California Code of Regulations, as those regulations existed on January 1, 2002.

(C) On the facts of the particular case, the public interest served by not disclosing the information clearly outweighs the public interest served by disclosure of the information.

(2) The commission may, by regulation, designate certain categories of information as confidential, which removes the obligation to request confidentiality for that information.

(3) Any confidential information pertinent to the responsibilities of the commission specified in this chapter that is obtained by another state agency, or the California Independent System Operator or its successor, shall be available to the commission and shall be treated in a confidential manner.

(4) Information presented to or developed by the commission and deemed confidential pursuant to this section shall be held in confidence by the commission. Confidential information shall be aggregated or masked to the extent necessary to ensure confidentiality if public disclosure of the specific information would result in an unfair competitive disadvantage to the person supplying the information.

(b) Requests for records of information shall be handled as follows:

(1) If the commission receives a written request to publicly disclose information that is being held in confidence pursuant to paragraph (1) or (2) of subdivision (a), the commission shall provide the person making the request with written justification for the confidential designation and a description of the process to seek disclosure.

(2) If the commission receives a written request to publicly disclose a disaggregated or unmasked record of information designated as confidential under paragraph (1) or (2) of subdivision (a), notice of the request shall be provided to the person that submitted the record. Upon receipt of the notice, the person that submitted the record may, within five working days of receipt of the notice, provide a written justification of the claim of confidentiality.

(3) The commission or its designee shall rule on a request made pursuant to paragraph (2) on or before 20 working days after its receipt. The commission shall deny the request if the disclosure will result in an unfair competitive disadvantage to the person that submitted the information.

(4) If the commission grants the request pursuant to paragraph (3), it shall withhold disclosure for a reasonable amount of time, not to exceed 14 working days, to allow the submitter of the information to seek judicial review.

(c) No information submitted to the commission pursuant to this section is confidential if the person submitting the information has made it public.

(d) The commission shall establish, maintain, and use appropriate security practices and procedures to ensure that the information it has designated as confidential, or received with a confidential designation from another government agency, is protected against disclosure other than that authorized using the procedures in subdivision (b). The commission shall incorporate the following elements into its security practices and procedures:

(1) Commission employees shall sign a confidential data disclosure agreement providing for various remedies, including, but not limited to, fines and termination for wrongful disclosure of confidential information.

(2) Commission employees, or contract employees of the commission, shall only have access to confidential information when it is appropriate to their job assignments and if they have signed a nondisclosure agreement.

(3) Computer data systems that hold confidential information shall include sufficient security measures to protect the data from inadvertent or wrongful access by unauthorized commission employees and the public.

(e) Data collected by the commission on petroleum fuels in Section 25320 shall be subject to the confidentiality provisions of Sections 25364 to 25366, inclusive.

history: (History: Amended by Stats. 2021, Ch. 615, Sec. 384. (AB 474) Effective January 1, 2022. Operative January 1, 2023, pursuant to Sec. 463 of Stats. 2021, Ch. 615.)


text: Nothing in this division shall authorize the commission in the performance of its analytical, planning, siting, or certification responsibilities to mandate a specified supply plan for any utility.


text: The commission, in consultation with the Public Utilities Commission, the California Independent System Operator, transmission owners, users, and consumers, shall adopt a strategic plan for the state’s electric transmission grid using existing resources. The strategic plan shall identify and recommend actions required to implement investments needed to ensure reliability, relieve congestion, and meet future growth in load and generation, including, but not limited to, renewable resources, energy efficiency, and other demand reduction measures. The plan shall be included in the integrated energy policy report adopted on November 1, 2005, pursuant to subdivision (a) of Section 25302.

history: (History: Added by Stats. 2004, Ch. 692, Sec. 1. Effective January 1, 2005.)


text:
(a) The commission shall hold public hearings to identify impediments that limit procurement of biomethane in California, including, but not limited to, impediments to interconnection. The commission shall offer solutions to those impediments as part of the integrated energy policy report prepared pursuant to Section 25302.

(b) For the purposes of this section, “biomethane” means biogas that meets the standards adopted pursuant to subdivisions (c) and (d) of Section 25421 of the Health and Safety Code for injection into a common carrier pipeline.

history: (History: Added by Stats. 2012, Ch. 602, Sec. 4. (AB 1900) Effective January 1, 2013.)


text:
(a) The Legislature finds and declares all of the following:

(1) There is insufficient information available to fully realize the potential of solar photovoltaic energy generation to serve low-income customers, including those in disadvantaged communities.

(2) There is insufficient understanding of the barriers to access for low-income customers to all forms of renewable energy being generated in the state.

(3) There is insufficient understanding of the barriers to access for low-income customers to energy efficiency investments.

(4) There is insufficient understanding of the barriers to access for low-income customers to zero-emission and near-zero-emission transportation options.

(b) On or before January 1, 2017, the commission, with input from relevant state agencies and the public, shall conduct and complete a study on both of the following:

(1) Barriers to, and opportunities for, solar photovoltaic energy generation as well as barriers to, and opportunities for, access to other renewable energy by low-income customers.

(2) Barriers to contracting opportunities for local small businesses in disadvantaged communities.

(c) On or before January 1, 2017, the commission, with input from relevant state agencies and the public, shall develop and publish a study on barriers for low-income customers to energy efficiency and weatherization investments, including those in disadvantaged communities, as well as recommendations on how to increase access to energy efficiency and weatherization investments to low-income customers.

(d) On or before January 1, 2017, the State Air Resources Board, in consultation with the commission and with input from relevant state agencies and the public, shall develop and publish a study on barriers for low-income customers to zero-emission and near-zero-emission transportation options, including those in disadvantaged communities, as well as recommendations on how to increase access to zero-emission and near-zero-emission transportation options to low-income customers, including those in disadvantaged communities.

history: (History: Added by Stats. 2015, Ch. 547, Sec. 7. (SB 350) Effective January 1, 2016.)


text:
(a) In order to achieve the state’s goal of reaching 100 percent zero-emission vehicles for new passenger vehicles sales by 2035 and for medium- and heavy-duty vehicles everywhere feasible by 2045, it is the intent of the Legislature to advance zero-emission infrastructure deployment.

(b) The commission, in collaboration with the State Air Resources Board, the Public Utilities Commission, and other relevant stakeholders, shall do both of the following:

(1) Annually gather entities’ fleet data from state agencies that already collect fleet data, including, but not limited to, data collected by the State Air Resources Board pursuant to its zero-emission vehicle regulations, and vehicle registration data collected by the Department of Motor Vehicles, to the extent that such data is collected by state agencies at the time. The data collected from state agencies pursuant to this paragraph shall encompass fleet data for on-road and off-road vehicles in the medium- and heavy-duty sectors of only those entities that are subject to the regulations of the State Air Resources Board, and shall include, but not be limited to, all of the following data:

(A) The total vehicle fleet or equipment size and composition, including each vehicle’s fuel type, including battery electric, plug-in hybrid, or fuel cell.

(B) The physical address of the fleet’s location.

(C) Information that would allow the electrical corporation or local publicly owned electric utility to estimate the total anticipated charging capacity at each fleet location.

(2) Enter into data sharing agreements with state agencies, as necessary, to facilitate the gathering of data pursuant to this section.

(c) The commission shall share the data gathered pursuant to subdivision (b) with electrical corporations and local publicly owned electric utilities to help inform electrical grid planning efforts.

(d) For data shared pursuant to subdivision (c), an electrical corporation or local publicly owned utility shall not disclose information protected pursuant to Sections 8380 and 8381 of the Public Utilities Code.

(e) For data shared pursuant to subdivision (c), an electrical corporation or local publicly owned utility shall not disclose the data to third parties for any purpose.

(f) The commission’s data collection pursuant to this section is not intended to create any new or duplicate reporting requirements on behalf of fleet operators.

history: (History: Added by Stats. 2022, Ch. 354, Sec. 2. (AB 2700) Effective January 1, 2023.)


text:
For purposes of this chapter, the following terms have the following meanings:

(a) “Feasible” has the same meaning as in Section 21061.1.

(b) “High-voltage electric transmission line” means an electric transmission line with an operating capacity of at least 200 kilovolts, or that is under the operational control of the California Independent System Operator.

(c) “Transmission corridor zone” means the geographic area necessary to accommodate the construction and operation of one or more high-voltage electric transmission lines. A transmission corridor zone shall not be more than 1,500 feet in width unless required to accommodate existing land uses and land uses identified in local general or specific plans, or to avoid environmental constraints or mitigate potential environmental impacts.

history: (History: Added by Stats. 2006, Ch. 638, Sec. 2. Effective January 1, 2007.)

path: 15. ENERGY CONSERVATION AND DEVELOPMENT > 4.3. Designation of Transmission Corridors


text:
(a) The commission may designate a transmission corridor zone on its own motion or by application of a person who plans to construct a high-voltage electric transmission line within the state. The designation of a transmission corridor zone shall serve to identify a feasible corridor where one or more future high-voltage electric transmission lines can be built that are consistent with the state’s needs and objectives as set forth in the strategic plan adopted pursuant to Section 25324.

(b) A person planning to construct a high-voltage electric transmission line may submit to the commission an application to designate a proposed transmission corridor zone as being consistent with the strategic plan adopted pursuant to Section 25324. The application shall be in the form prescribed by the commission and shall be supported by any information that the commission may require.

chapter: 4.3. Designation of Transmission Corridors


text: The designation of a transmission corridor zone is subject to the California Environmental Quality Act (Division 13 (commencing with Section 21000)). The commission shall be the lead agency, as provided in Section 21165, for all transmission corridor zones proposed for designation pursuant to this chapter.


text:
(a) In developing a strategic plan pursuant to Section 25324 or considering an application for designation pursuant to this chapter, the commission shall confer with cities and counties, federal agencies, and California Native American tribes to identify appropriate areas within their jurisdictions that may be suitable for a transmission corridor zone. The commission shall, to the extent feasible, coordinate efforts to identify long-term transmission needs of the state with the land use plans of cities, counties, federal agencies, and California Native American tribes.

(b) The commission shall not designate a transmission corridor zone within the jurisdiction of a California Native American tribe without the approval of the California Native American tribe.


text:
(a) Upon receipt of an application or upon its own motion for designation of a transmission corridor zone, the commission shall arrange for the publication of a summary of the application in a newspaper of general circulation in each county where the proposed transmission corridor zone would be located, and shall notify all property owners within, or adjacent to, the transmission corridor zone. The commission shall transmit a copy of the application for designation to all cities, counties, and state and federal agencies having an interest in the proposed transmission corridor zone. The commission shall publish the application for designation on its Internet Web site, and notify members of the public that the application is available on the commission’s Internet Web site.

(b) As soon as practicable after the receipt of an application or upon its own motion for designation of a transmission corridor zone, the commission shall notify cities, counties, state and federal agencies, and California Native American tribes in whose jurisdictions the proposed transmission corridor zone would be located regarding the proposed transmission corridor zone and the objectives of the most recent strategic plan for the state’s electric transmission grid. The commission’s notice shall solicit information from, and the commission shall confer with, all interested cities, counties, state and federal agencies, and California Native American tribes regarding their land use plans, existing land uses, and other factors in which they have expertise or interest with respect to the proposed transmission corridor zone. The commission shall provide any interested city, county, state or federal agency, California Native American tribe, or member of the public, including any property owner within the proposed transmission corridor zone, ample opportunity to participate in the commission’s review of a proposed transmission corridor zone.

(c) The commission shall request affected cities, counties, state and federal agencies, the Electricity Oversight Board, the Independent System Operator, interested California Native American tribes, and members of the public, including any property owner within the proposed transmission corridor zone, to provide comments on the suitability of the proposed transmission corridor zone with respect to environmental, public health and safety, land use, economic, and transmission-system impacts or other factors on which they may have expertise.

(d) The commission shall require a person who files an application for the designation of a transmission corridor zone to pay a fee sufficient to reimburse the commission for all costs associated with reviewing the application. If the commission initiates the designation of a transmission corridor zone on its own motion, the commission shall fix the surcharge imposed pursuant to subdivision (b) of Section 40016 of the Revenue and Taxation Code, at a level sufficient to cover the commission’s added costs.

(e) Upon receiving the commission’s request for review of a proposed transmission corridor zone, a city or county may request a fee pursuant to Section 25538 to cover for the actual and added costs of this review and the commission shall pay this amount to the city or county.


text:
(a) Within 45 days of receipt of the application or motion for designation, the commission shall commence public informational hearings in the county or counties where the proposed transmission corridor zone would be located.

(b) The purpose of the hearings shall be to do all of the following:

(1) Provide information about the proposed transmission corridor zone so that the public and interested agencies have a clear understanding of what is being proposed.

(2) Explain the relationship of the proposed transmission corridor zone to the commission’s strategic plan for the state’s electric transmission grid, as set forth in the most recent integrated energy policy report adopted pursuant to Chapter 4 (commencing with Section 25300).

(3) Receive initial comments about the proposed transmission corridor zone from the public and interested agencies.

(4) Solicit information on reasonable alternatives to the proposed transmission corridor zone.


text:
(a) Within 155 days of the final informational hearing, the commission shall conduct a prehearing conference to determine the issues to be considered in hearings pursuant to this section, to identify the dates for the hearings, and to set forth filing dates for public comments and testimony from the parties and interested agencies. Within 15 days of the prehearing conference, the commission shall issue a hearing order setting forth the issues to be heard, the dates of the hearings, and the filing dates for comments and testimony.

(b) The commission shall conduct hearings pursuant to the hearing order. The purpose of the hearings shall be to receive information upon which the commission can make findings and conclusions pursuant to Section 25337.


text:
After the conclusion of hearings conducted pursuant to Section 25336, and no later than 180 days after the date of certification of the environmental impact report prepared pursuant to Section 25332, the commission shall issue a proposed decision that contains its findings and conclusions regarding all of the following matters:

(a) Conformity of the proposed transmission corridor zone with the strategic plan adopted pursuant to Section 25324.

(b) Suitability of the proposed transmission corridor zone with respect to environmental, public health and safety, land use, economic, and transmission-system impacts.

(c) Mitigation measures and alternatives as may be needed to protect environmental quality, public health and safety, the state’s electric transmission grid, or any other relevant matter.

(d) Other factors that the commission considers relevant.


text: As soon as practicable after the commission designates a transmission corridor zone, it shall post a copy of its decision on its Internet Web site, send a copy of its decision, including a description of the transmission corridor zone, to each affected city, county, state agency, and federal agency, and notify property owners within or adjacent to the corridor of the availability of the decision on the commission’s Internet Web site.


text: After the commission designates a transmission corridor zone, it shall identify that transmission corridor zone in its subsequent strategic plans adopted pursuant to Section 25324. The commission shall regularly review and revise its designated transmission corridor zones as necessary, but not less than once every 10 years. In revising designations of transmission corridor zones, the commission shall follow the procedures of this chapter. If, upon regular review or at any other time, the commission finds that a transmission corridor zone is no longer needed, the commission shall revise or repeal the designation and, as soon as practicable, notify the affected cities, counties, state and federal agencies, and property owners within, or adjacent to, the transmission corridor zone.


text: After receiving notice from the commission regarding the designation or revision of a transmission corridor zone within its jurisdiction, each city or county shall consider the designated transmission corridor zone when making a determination regarding a land use change within or adjacent to the transmission corridor zone that could affect its continuing viability to accommodate a transmission line planned within the transmission corridor zone. Nothing in this section shall preclude compatible uses within or adjacent to a designated transmission corridor zone.


text:
(a) Within a designated transmission corridor zone, within 10 days of accepting as complete an application pursuant to Section 65943 of the Government Code for a development project that a city or county determines would threaten the potential to construct a high-voltage electric transmission line, the city or county shall notify the commission of the proposed development project. The notice shall include a copy of the application, and set a deadline that is not less than 60 days from the date of the notice for the commission to provide written comments to the city or county regarding the proposed development project.

(b) If the commission finds that the proposed development project would threaten the potential to construct a high-voltage electric transmission line within the designated transmission corridor zone, the commission shall provide written comments to the city or county. The commission may recommend revisions to, redesign of, or mitigation measures for the proposed development project that would eliminate or reduce the threat.

(c) The city or county shall consider the commission’s comments, if any, prior to acting on the proposed development project. If the commission objects to the proposed development project, the city or county shall provide a written response that shall address in detail why it did not accept the commission’s comments and recommendations.


text:
(a) The Legislature finds and declares that the petroleum industry is an essential element of the California economy and is therefore of vital importance to the health and welfare of all Californians.

(b) The Legislature further finds and declares that a complete and thorough understanding of the operations of the petroleum industry is required by state government at all times to enable it to respond to possible shortages, oversupplies, or other disruptions and to assess whether all consumers, including emergency service agencies, state and local government agencies, and agricultural and business consumers of petroleum products have adequate and economic supplies of fuel.

(c) The Legislature further finds and declares that information and data concerning all aspects of the petroleum industry, including, but not limited to, crude oil production, production and supplies of finished branded and unbranded gasoline, supplies of diesel fuel and other distillates, supplies of blendstocks used to make gasoline and other refined products, refining, product output, exports of finished gasoline, diesel fuel, and blendstocks, prices, distribution, demand, and investment choices and decisions are essential for the state to develop and administer energy policies that are in the interest of the state’s economy and the public’s well-being.

history: (History: Amended by Stats. 2000, Ch. 288, Sec. 3. Effective January 1, 2001.)

chapter: 4.5. Petroleum Supply and Pricing

path: 15. ENERGY CONSERVATION AND DEVELOPMENT > 4.5. Petroleum Supply and Pricing


text: This chapter shall be known and may be cited as the Petroleum Industry Information Reporting Act of 1980.

history: (History: Added by Stats. 1980, Ch. 1055, Sec. 4. Effective September 26, 1980.)


text:
(a) Each refiner and major marketer shall submit information each month to the commission in such form and extent as the commission prescribes pursuant to this section. For purposes of this section, the term “refiner” and “refinery” shall include refiners and refineries as defined in Sections 25127 and 25128, and also those persons and facilities that process renewable feedstocks instead of crude oil feedstocks and otherwise meet the definitions in Sections 25127 and 25128. The information shall be submitted within 30 days after the end of each monthly reporting period and shall include the following:

(1) Refiners shall report, by volume, price, and type, for each of their refineries, feedstock inputs, origin of petroleum receipts, imports of finished petroleum products and blendstocks and ethanol, including the source of those imports, exports of finished petroleum products and blendstocks and ethanol, including the destination of those exports and the entity receiving those exports, refinery outputs, refinery stocks, finished product supply and distribution, including all gasoline sold unbranded by the refiner, blender, or importer, and all current inventories of refined and unrefined petroleum products.

(2) Major marketers shall report, by volume, price, and type, on petroleum product receipts and the sources of these receipts, inventories of finished petroleum products and blendstocks and ethanol, distributions through branded and unbranded distribution networks, and exports of finished petroleum products and blendstocks and ethanol from the state.

(b) Each major oil producer, refiner, marketer, oil transporter, oil storer, pipeline operator, or port through which refined gasoline is imported or exported, shall annually submit information to the commission in such form and extent as the commission prescribes pursuant to this section. The information shall be submitted within 30 days after the end of each reporting period, and shall include the following:

(1) Major oil transporters shall report on petroleum by reporting the capacities of each major transportation system, the amount transported by each system, and inventories thereof. The commission may prescribe rules and regulations that exclude pipeline and transportation modes operated entirely on property owned by major oil transporters from the reporting requirements of this section if the data or information is not needed to fulfill the purposes of this chapter. The provision of the information shall not be construed to increase or decrease any authority the Public Utilities Commission may otherwise have.

(2) Major oil storers shall report on storage capacity, inventories, receipts and distributions, and methods of transportation of receipts and distributions.

(3) Major oil producers shall, with respect to thermally enhanced oil recovery operations, report annually by designated oil field, the monthly use, as fuel, of crude oil and natural gas.

(4) Refiners shall report on facility capacity, and utilization and method of transportation of refinery receipts and distributions.

(5) Major oil marketers shall report on facility capacity and methods of transportation of receipts and distributions.

(6) Pipeline operators and port operators shall report their capacities for all pipelines and ports used to transport refined gasoline.

(7) All major oil producers, refiners, marketers, oil transporters, oil storers, pipeline operators, or port operators submitting information under this subdivision shall include in the report for each reporting period the full names of all persons or entities that directly or indirectly own 10 percent or more of the major oil producer, refiner, marketer, oil transporter, oil storer, pipeline operator, or port operator submitting the information.

(c) Each person required to report pursuant to subdivision (a) shall submit a projection each month of the information to be submitted pursuant to subdivision (a) for the quarter following the month in which the information is submitted to the commission.

(d) In addition to the data required under subdivision (a), each integrated oil refiner that produces, refines, transports, and markets in interstate commerce and that supplies more than 500 branded retail outlets in California shall submit to the commission an annual industry forecast for Petroleum Administration for Defense, District V, covering Alaska, Arizona, California, Hawaii, Nevada, Oregon, and Washington. The forecast shall include the information to be submitted under subdivision (a), and shall be submitted by March 15 of each year. The commission may require California-specific forecasts only if the commission finds them necessary to carry out its responsibilities.

(e) The commission may by order or regulation modify the reporting period as to any individual item of information setting forth in the order or regulation its reason for so doing.

(f) (1) Destination facilities shall submit to the commission, by deadlines set by the commission, the following information regarding crude oil transported to or within California via rail car or marine vessel:

(A) The route of transport within California.

(B) The marketable crude oil name.

(C) The loading facility, including the loading facility name, and the latitude, longitude, and state where the facility is located.

(D) The name of the destination facility, the type of facility, and the latitude and longitude where the facility is located.

(E) Whether the crude oil is nonfloating oil, as defined in Section 8670.3 of the Government Code.

(2) The commission shall quarterly prepare and make available to the public a report based on the data collected pursuant to paragraph (1) that shall include, at a minimum, the routes of transport of crude oil within California, the types of crude oil transported over each of those routes, and the frequency with which nonfloating oil has been transported over each of those routes during the reporting period. The commission shall aggregate information used in a report prepared under this paragraph to the extent necessary to assure confidentiality if public disclosure of the specific information or data would result in unfair competitive disadvantage to the person supplying the information or would adversely affect market competition.

(3) The commission may require additional information to be submitted as necessary to perform its responsibilities under this chapter.

(g) Any person required to submit information or data under this chapter, in lieu thereof, may submit a report made to any other governmental agency, if:

(1) The alternate report or reports contain all of the information or data required by this chapter.

(2) The person clearly identifies the specific provision of this chapter to which the alternate report is responsive.

(h) Each refiner shall submit to the commission, within 30 days after the end of each monthly reporting period, all of the following information in such form and extent as the commission prescribes:

(1) Monthly California weighted average prices and sales volumes of finished leaded regular, unleaded regular, and premium motor gasoline sold through company-operated retail outlets, to other end-users, and to wholesale customers.

(2) Monthly California weighted average prices and sales volumes for residential sales, commercial and institutional sales, industrial sales, sales through company-operated retail outlets, sales to other end-users, and wholesale sales of No. 2 diesel fuel, No. 2 fuel oil, and any renewable fuels.

(3) Monthly California weighted average prices and sales volumes for retail sales and wholesale sales of No. 1 distillate, kerosene, finished aviation gasoline, kerosene-type jet fuel, No. 4 fuel oil, residual fuel oil with 1 percent or less sulfur, residual fuel oil with greater than 1 percent sulfur, and consumer grade propane.

(i) (1) Beginning the first week after January 1, 2004, and each week thereafter, an oil refiner, oil producer, petroleum product transporter, petroleum product marketer, petroleum product pipeline operator, and terminal operator, as designated by the commission, shall submit a report in the form and extent as the commission prescribes pursuant to this section. The commission may determine the form and extent necessary by order or by regulation.

(2) A report may include any of the following information:

(A) Receipts and inventory levels of crude oil and petroleum products at each refinery and terminal location.

(B) Amount of gasoline, diesel, jet fuel, blending components, and other petroleum products imported and exported.

(C) Amount of gasoline, diesel, jet fuel, blending components, and other petroleum products transported intrastate by marine vessel.

(D) Amount of crude oil imported, including information identifying the source of the crude oil.

(E) The regional average of invoiced retailer buying price. This subparagraph does not either preclude or augment the current authority of the commission to collect additional data under paragraph (3) of subdivision (f).

(F) Copies of all contracts or agreements entered into, or amendments to contracts or agreements, with other oil refiners, oil producers, petroleum product transporters, petroleum product marketers, petroleum product pipeline operators, terminal operators, or any other entity that trades in petroleum products whether or not those entities take possession of petroleum products, as designated by the commission, during the monthly reporting period, along with records of every transaction made under those contracts or agreements and the prices charged for those transactions.

(3) This subdivision is intended to clarify the commission’s existing authority under subdivision (f) to collect specific information. This subdivision neither precludes nor augments the existing authority of the commission to collect information.

(j) All importers of refined products and renewable fuels via marine vessel shall report to the commission, at least 96 hours before the arrival of a marine vessel delivery to California, all of the following information:

(1) The name of the product tanker or name of the barge, including associated tug name.

(2) The loading location or locations for cargo.

(3) The volume by each type of transportation fuel, such as gasoline, gasoline blending components, diesel fuel, renewable diesel fuel, jet fuel, sustainable aviation fuel, biodiesel, and ethanol.

(4) The cargo landed cost, including the cost incurred to purchase, load, transport, and all other costs and fees to deliver, each type of transportation fuel, such as gasoline, gasoline blending components, diesel fuel, renewable diesel fuel, jet fuel, sustainable aviation fuel, biodiesel, and ethanol.

(5) The status of any transportation fuel as sold before discharge, the identity of the buyer for any presold product, and the sale price of any presold product.

(6) The planned discharge location, such as the marine berth designation, or locations.

(7) The foreign, domestic, and intrastate marine movements of the vessel from the port of origin to the port of delivery of the cargo.

(k) Nonrefiners, such as proprietary storage companies, that commercially trade in gasoline, gasoline blending components, diesel fuel, or renewable diesel fuel inventory not subject to contractual supply obligations, shall submit weekly reports to the commission, starting 30 days after the effective date of the act adding this subdivision, that include the weekly inventory volume, by type, such as gasoline, gasoline blending components, diesel fuel, or renewable fuels, for each position holder by name of company, and copies of all contracts or agreements entered into with any refiners, oil producers, petroleum product transporters, petroleum product marketers, petroleum product pipeline operators, terminal operators, or any other entity that trades in petroleum products whether or not those entities take possession of those products, as designated by the commission.

(l) Refiners and nonrefiners that consummate spot market transactions shall submit a daily report to the commission, starting 30 days after the effective date of the act adding this subdivision, that includes all of the following information for each transaction occurring during the preceding day:

(1) The identity of the spot market where the transaction occurred.

(2) Whether the transaction was reported to the Oil Price Information Service (OPIS), or any other price reporting service, and the time of the reporting.

(3) The date of the transaction.

(4) The time of the transaction.

(5) The contract identification number for the transaction.

(6) The position sequence number for the transaction.

(7) The contract position identification number for the transaction.

(8) The name, or nonanonymized identification of the executing trader for the transaction.

(9) The counterparty for the transaction, including company name and name or nonanonymized identification of the executing trader.

(10) Whether the reporting entity is the seller or buyer.

(11) The broker, including company name and name or nonanonymized identification of the executing broker.

(12) The type of refined transportation fuel, such as gasoline, diesel, or jet fuel.

(13) The product name for each type of refined transportation fuel.

(14) The volume of each transaction in thousands of barrels, or specified unit of measurement if unable to be indicated in thousands of barrels.

(15) The invoiced volume of each transaction in thousands of barrels, or specified unit of measurement if unable to be indicated in thousands of barrels.

(16) The time and date the material that is the subject of the transaction is scheduled to be delivered or was delivered.

(17) The delivery location specified in the contract for the transaction and the actual delivery location.

(18) The method of transportation for the delivery, such as pipeline, marine vessel, or truck, and the name of the transport.

(19) The actual title transfer date.

(20) The contract subcycle, including descriptors such as “Any,” “L3,” “FH,” “BH,” “C1,” “C2,” “C3,” or “C4.”

(21) The type of pricing method, including exchange of futures for physical (EFP), fixed price, fixed date range, floating date range, reference formula, OPIS close, event-related date range, such as three days on and around delivery or discharge, or any other utilized method of pricing.

(22) The contract price formula, including the differential from any contract formula and the unit of measurement for any price differential.

(23) The pricing start and end dates for each contract.

(24) The price value of the contract.

(25) For EFP contracts, the name of the futures product, the contract month of the futures product expressed as the two-digit month and the two-digit year (MM-YY), and the price value of the futures product.

(m) It is the intent of the Legislature that all refiners shall, while protecting the health and safety of the public and employees, schedule planned maintenance and turnaround in a manner that ensures minimum levels of transportation fuels in production or reserves necessary to prevent supply shortages or price spikes. To advance that purpose, refiners shall report maintenance activities for each refinery to the commission as follows:

(1) Notwithstanding any other law, a refiner shall notify the executive director of the commission of all plans to undertake turnaround and planned maintenance. A refiner’s notification shall include, at a minimum, all of the following information:

(A) A brief description of planned work.

(B) The scheduled start date.

(C) The scheduled return-to-service date.

(D) The individual process units involved.

(E) The name and operational capacity of each process unit.

(F) The estimated daily decrease in output of material or substance produced by the unit, such as gasoline, diesel, or jet fuel components.

(G) The projected quantity of contractual supply obligations for finished gasoline due during the planned maintenance event or turnaround.

(H) The drawdown of inventory levels of gasoline and gasoline blending components and other material or substance produced by the unit that are controlled by the refiner at the refinery and at other storage locations in California during the planned maintenance event or turnaround, the current levels of such inventories at the time notice is provided, and the anticipant levels of such inventories immediately before the commencement of the planned maintenance event or turnaround.

(I) Imports of gasoline and gasoline blend components and other material or substance produced by the unit in preparation for or during the planned maintenance event.

(J) Planned purchases of gasoline and gasoline blending components and other material or substance produced by the unit from other market participants in California related to the planned maintenance event.

(K) Planned reductions of noncontracted sales of gasoline or other material or substance produced by the unit related to the planned maintenance event.

(2) The refiner’s notification shall be submitted to the executive director of the commission at least 120 days before the planned maintenance or turnaround.

(3) Before submitting its turnaround schedule notification to the Division of Occupational Safety and Health pursuant to Section 7872 of the Labor Code, each refiner shall submit its turnaround schedule to the executive director of the commission. When submitting its schedule to the division, each refiner shall indicate that, for each scheduled turnaround, the notification to the commission was submitted.

(4) For unplanned maintenance resulting in a shutdown of a refinery process of greater than 24 hours, submit initial and final reports as follows:

(A) The initial report, due within 48 hours of the initial outage, shall include all of the following information:

(i) The name and operational capacity of each process unit involved in the unplanned outage.

(ii) The initial estimated daily decrease in output of gasoline, diesel, and jet fuel components from each process unit affected by the unplanned outage.

(iii) The current inventory levels of the material or substance produced by the unit affected by the unplanned outage that are controlled by the refiner at the refinery and at other storage locations in California during the unplanned maintenance event.

(iv) A description of the reason for the unplanned maintenance or outage.

(v) The projected duration of production reduction.

(B) The final report, due within 48 hours of the completion of repairs, shall include all of the following information:

(i) The return-to-service date.

(ii) The total decreased output of gasoline, diesel, and jet fuel components from each of the affected process units.

(iii) The total increased output from other process units by type of refined product to partially compensate for the reduced output from the process units affected by the unplanned outage.

(iv) The amount of material obtained from other sources that compensated for the decrease described in clause (ii) and enabled the refiner to cover for the loss of that production.

(v) The drawdown of inventory levels of any material or substance produced by the unit that are controlled by the refiner at the refinery and at other storage locations in California during the unplanned maintenance event.

(5) Upon receipt of a notification under this subdivision, the executive director of the commission shall review the notification and may request any additional information from the refiner that is necessary for the commission to assess the potential effect of the planned maintenance event on the supply and prices of transportation fuels in the state.

(n) (1) Notwithstanding any other law, information in the notification provided to the commission by a refiner providing a notice or report of its planned maintenance, unplanned maintenance, or turnaround schedule, including notifications under subdivision (m) shall be considered confidential information not subject to public disclosure under the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code). The commission may share the information with other state agencies, including the Attorney General, only if the other state agency agrees to maintain the confidentiality of the information.

(2) The commission may adopt guidelines to prescribe the manner in which the executive director of the commission shall implement subdivision (m) at a commission business meeting. The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code) does not apply to any regulations, guidelines, or other standards adopted by the commission pursuant to this paragraph.

(o) Refiners shall report annually to the commission their planned production levels and schedule for turnarounds and planned maintenance for the following 12 months, by month and by finished product.

(p) (1) The operator of any refinery in this state shall report to the commission at least 12 months in advance if that refinery operator intends to permanently shut down, shut down to reconfigure, or sell a refinery in a transaction that may result in a refinery shutting down or reconfiguring.

(2) Upon receipt of a notice pursuant to paragraph (1), the commission shall notify the Legislature in a manner that does not disclose confidential information, if applicable.

(3) After the completion of the report by the commission required by Section 25371 and its submission to the Legislature, the commission may modify the notice required under this subdivision. The commission shall not reduce the notice period to less than 12 months.

(q) (1) (A) For purposes of this subdivision,

“reportable pipeline” means a pipeline that delivers crude oil to one or more crude oil refineries in California for processing into transportation fuels, except as specified in subparagraph (B).

(B) “Reportable pipeline” does not include a pipeline whose closure would not cause a significant reduction, as defined pursuant to paragraph (4), in the quantity of crude oil that one or more crude oil refineries in California receive for processing.

(2) Commencing March 30, 2027, and each month thereafter, the operator of a reportable pipeline shall submit the following information about the pipeline to the commission within 30 days after the end of each monthly reporting period:

(A) Minimum operating volume of the pipeline in a 24-hour period necessary to ensure safe operations for crude oil transport and a description of relevant operational constraints.

(B) Maximum operating volume of the pipeline in a 24-hour period possible while ensuring safe operations for crude oil transport.

(C) Volume of crude oil delivered each day.

(D) Number of hours in operation each day.

(E) Maximum nameplate capacity.

(F) Maximum available capacity.

(3) The commission shall work with stakeholders, including, but not limited to, refiners and pipeline operators, to identify, on or before December 31, 2026, those pipelines that meet the definition of a reportable pipeline.

(4) The commission shall, for purposes of this subdivision, define what constitutes a significant reduction in the quantity of the crude oil that one or more refineries receive for processing.

history: (History: Amended by Stats. 2025, Ch. 657, Sec. 1. (SB 767) Effective January 1, 2026.)


text:
(a) The commission, in consultation with the Labor and Workforce Development Agency and labor and industry stakeholders, shall consider ways to manage necessary refinery turnarounds and maintenance that would protect the health and safety of employees, local communities, and the public, and minimize the impact of maintenance-related production losses on fuel prices. The commission may, by regulation, impose requirements governing the timing of turnaround and maintenance developed through consultations under this section.

(b) Regulations adopted under this section shall do, but not be limited to, both of the following:

(1) Protect the health and safety of employees, local communities, and the public.

(2) Include criteria that are required to be met before a refinery commences a turnaround or maintenance event, including, but not limited to, demonstrating to the satisfaction of the executive director of the commission, through a report required by subdivision (m) of Section 25354, that the refiner has made resupply plans or other arrangements sufficient to ensure that the loss of production during the turnaround or maintenance event does not adversely affect the California transportation fuels market.

(c) This section does not modify any requirements of, or standards issued pursuant to, Section 6311 of, or Part 7.5 (commencing with Section 7850) of Division 5 of, the Labor Code, including the authority of employees to perform an emergency shutdown of the refinery and necessary maintenance work for safety.

(d) A regulation adopted, or action taken, pursuant to this section shall not excuse an employer’s compliance with the skilled and trained workforce and wage requirements set forth in Section 25536.7 of the Health and Safety Code.

history: (History: Amended by Stats. 2024, 2nd Ex. Sess., Ch. 1, Sec. 1. (AB 1 2x) Effective January 13, 2025.)


text:
(a) The commission, in consultation with the Independent Consumer Fuels Advisory Committee established pursuant to Section 25373, shall consider the effects of refiners’ inventories of fuel and feedstocks and blending components on the price of transportation fuels in California. The commission may, by regulation, develop and impose requirements for refiners operating in the state to maintain minimum levels of inventories of refined transportation fuels meeting California specifications, including any feedstocks and blending components for those fuels.

(b) Regulations adopted under this section shall protect the health and safety of employees, local communities, and the public, and shall provide for all of the following:

(1) A process for establishing minimum inventory levels specified for each refiner or each refining region, and for each fuel or blending component type.

(2) A process for maximizing the use of existing storage infrastructure.

(3) A process for waiving, if appropriate, minimum inventory requirements for a small refinery, as defined in Section 80.2 of Title 40 of the Code of Federal Regulations, as that section read on the effective date of the bill that added this section, if the refiner of the small refinery demonstrates that those requirements would impose a disproportionate economic hardship.

(4) A process for adjusting, if appropriate, minimum inventory requirements for one or more refiners based on region, season, refinery size and storage capacity, and changes in regional or statewide supply and demand for refined transportation fuels meeting California specifications.

(5) Market conditions under which a refiner would be permitted or required to draw down its inventories below an established level and requirements for the rebuilding of those drawn-down inventories, including a metric or threshold based on market conditions that would automatically require a refiner to draw down inventories and provide that fuel to the market.

(c) Notwithstanding subdivision (a), the commission shall not adopt a regulation pursuant to this section unless it finds that the likely benefits to consumers from avoiding price volatility outweigh the potential costs to consumers. In making that determination, the commission shall consider all of the following factors, but no single factor shall be determinative:

(1) Whether it is likely that the minimum levels of inventories of refined transportation fuels will lead to greater supply in the California transportation fuels market than would exist without the minimum levels of inventories.

(2) Whether it is likely that the minimum levels of inventories of refined transportation fuels will lead to lower average retail prices on an annual basis than would exist without the minimum levels of inventories, and whether it is likely that the minimum levels of inventories will reduce the severity of retail price volatility.

(3) Whether easing of supply chain inefficiencies or constraints would lead to greater supply in the California transportation fuels market than requirements to establish minimum levels of inventories of refined transportation fuels.

(4) Whether it is likely that supply gains achieved through the adoption of the minimum levels of inventories of refined transportation fuels will be offset by actions of market participants not subject to these regulations and thereby have the effect of reducing supply in the market.

(d) (1) A regulation adopted under this section shall not modify any requirements of, or standards issued pursuant to, Section 6311 of, or Part 7.5 (commencing with Section 7850) of Division 5 of, the Labor Code, including the authority of employees to perform an emergency shutdown of the refinery and necessary maintenance work for safety.

(2) A regulation adopted, or action taken, pursuant to this section shall not excuse an employer’s compliance with the skilled and trained workforce and wage requirements set forth in Section 25536.7 of the Health and Safety Code.

(e) In developing or amending regulations adopted under this section, the commission may consider the use of a compliance mechanism for each refiner that is tradable between or within each refining region for refiners to meet the minimum inventory requirements adopted pursuant to this section.

(f) The commission shall not apply a minimum inventory requirement under this section to a refiner in a manner that would be met only by the construction of additional storage infrastructure, as determined by the commission.

(g) One year after the adoption of any regulation pursuant to this section, and each year thereafter in which a regulation pursuant to this section is in effect, the commission shall submit a report to the Legislature, in accordance with Section 9795 of the Government Code, that includes a reevaluation of the effectiveness of that regulation, including whether the regulation continues to meet the cost effectiveness test described in subdivision (c), and shall provide an update on the factors identified in subdivision (c) regarding the implemented regulation.

(h) For purposes of this section, “refining region” means the two in-state regions of concentrated refineries, where the preponderance of refining capacity is located in the San Francisco Bay area and the Los Angeles area.

(i) This section shall remain in effect only until January 1, 2033, and as of that date is repealed.

history: (History: Added by Stats. 2024, 2nd Ex. Sess., Ch. 1, Sec. 2. (AB 1 2x) Effective January 13, 2025. Repealed as of January 1, 2033, by its own provisions.)


text:
(a) The commission shall notify a refiner or person who fails to comply with the requirements of Section 25354.2 or 25354.4, or fails to comply with the regulations adopted under those sections. If, within three days after being initially notified of the failure to comply, the refiner or person continues or persists in its noncompliance, the refiner or person shall be subject to an administrative civil penalty of not less than one hundred thousand dollars ($100,000), and not more than one million dollars ($1,000,000), per day for each day that the noncompliance occurs or persists.

(b) The executive director of the commission shall issue and serve a complaint on the refiner or person, and the commission shall hold a hearing, adopt a decision, and require payment of the penalty in accordance with the procedures described in Section 25534.1, with the penalty to be assessed based on each day of noncompliance following the third day after the initial notification by the commission.

(c) Judicial review and enforcement of an order imposing an administrative civil penalty under this section may be had in accordance with the procedures described in Section 25534.2.

(d) The commission may seek any form of injunctive or remedial relief from a court of competent jurisdiction to enforce compliance with Sections 25354.2 and 25354.4, and regulations adopted under those sections.

(e) This section shall remain in effect only until January 1, 2033, and as of that date is repealed.

history: (History: Added by Stats. 2024, 2nd Ex. Sess., Ch. 1, Sec. 3. (AB 1 2x) Effective January 13, 2025. Repealed as of January 1, 2033, by its own provisions. See later operative version added by Sec. 4 of Stats. 2024, 2nd Ex. Sess., Ch. 1.)


text:
(a) The commission shall notify a refiner or person who fails to comply with the requirements of Section 25354.2, or fails to comply with the regulations adopted under that section. If, within three days after being initially notified of the failure to comply, the refiner or person continues or persists in its noncompliance, the refiner or person shall be subject to an administrative civil penalty of not less than one hundred thousand dollars ($100,000), and not more than one million dollars ($1,000,000), per day for each day that the noncompliance occurs or persists.

(b) The executive director of the commission shall issue and serve a complaint on the refiner or person, and the commission shall hold a hearing, adopt a decision, and require payment of the penalty in accordance with the procedures described in Section 25534.1, with the penalty to be assessed based on each day of noncompliance following the third day after the initial notification by the commission.

(c) Judicial review and enforcement of an order imposing an administrative civil penalty under this section may be had in accordance with the procedures described in Section 25534.2.

(d) The commission may seek any form of injunctive or remedial relief from a court of competent jurisdiction to enforce compliance with Section 25354.2, and regulations adopted under that section.

(e) This section shall become operative on January 1, 2033.

history: (History: Repealed (in Sec. 3) and added by Stats. 2024, 2nd Ex. Sess., Ch. 1, Sec. 4. (AB 1 2x) Effective January 13, 2025. Operative January 1, 2033, by its own provisions.)


text:
(a) For purposes of this section, the following definitions apply:

(1) “Gross gasoline refining margin” means the difference, expressed in dollars per barrel, between the volume-weighted average price of wholesale gasoline sold by a refiner in the state and the average price of crude oil received by the refinery.

(2) “Net gasoline refining margin” means the gross gasoline refining margin minus the refinery’s operational costs.

(3) “Operational costs” means costs, expressed in dollars per barrel, necessarily incurred by the operator of a refinery in the state to produce gasoline meeting California specifications, including, but not limited to, costs of labor, electricity, natural gas, chemicals, maintenance, hydrogen, and other intermediate oil products, federal renewable identification numbers, obligation costs, capital investments, logistics costs, and additive costs.

(b) Within 30 days of the end of each calendar month, the operator of each refinery operating in the state that produces gasoline meeting California specifications shall submit to the commission a report for the refinery containing all of the following information:

(1) The volume, in barrels, of crude oil received in that month, separated into domestic and foreign subtotals.

(2) The volume-weighted average crude oil acquisition cost paid for crude oil that is received and intended to be refined during that month, separated into domestic and foreign crude oil acquisition costs.

(3) The volume in barrels of refined gasoline received or imported in that month from entities other than the refiner.

(4) The volume-weighted average cost of any refined gasoline received or imported by a refiner during that month.

(5) The quantity, in barrels, of wholesale gasoline meeting California specifications sold and the corresponding volume-weighted average prices, less all applicable local, state, and federal taxes, separated by unbranded rack sales, branded rack sales, bulk sales, spot pipeline sales, and dealer tankwagon (DTW) sales in that month.

(6) Separate quantification of the volume-weighted fees or estimated valuations of costs embedded in all wholesale gasoline sales associated with the low-carbon fuel standard (LCFS) and associated with the cap and trade cap-at-the-rack (CAR) program, for each volume-weighted average price for: (A) unbranded rack sales, (B) branded rack sales, (C) bulk sales, (D) spot pipeline sales, and (E) DTW sales, in that month.

(7) The gross gasoline refining margin per barrel of gasoline sold in that month.

(8) The operational costs per barrel of gasoline sold in that month, including a complete description and amount of each category of cost identified in paragraph (3) of subdivision (a) and any other category of cost.

(9) The net gasoline refining margin per barrel of gasoline sold in that month.

(c) Within 45 days of the end of each calendar month, the commission shall post on its internet website all of the following:

(1) The gross gasoline refining margin data reported pursuant to this section for that month, and any gross gasoline refining margin independently calculated by the commission, as a volume-weighted gross refining margin in aggregate for all the combined refineries in the state.

(2) The gross gasoline refining margin data reported for that month, and any gross gasoline refining margin independently calculated by the commission, in aggregate for each refiner with more than one refinery operating within California.

(3) The net gasoline refining margin data reported pursuant to this section for that month, and any net gasoline refining margin independently calculated by the commission, as a volume-weighted net refining margin in aggregate for all the combined refineries in the state.

(4) The net gasoline refining margin data reported for that month, and any net gasoline refining margin independently calculated by the commission, in aggregate for each refiner with more than one refinery operating within the state.

(5) The aggregated data submitted pursuant to paragraphs (1) through (4), inclusive, of subdivision (b) for that month.

history: (History: Amended by Stats. 2023, 1st Ex. Sess., Ch. 1, Sec. 4. (SB 2 1x) Effective June 26, 2023.)


text:
(a) For purposes of this section, the following definitions apply:

(1) “Gross gasoline refining margin excluding state program costs” means the amount, expressed in dollars per barrel and calculated by the commission on a monthly basis, equal to the volume-weighted average rack price of wholesale gasoline sold by a refiner in the state, less the volume-weighted fees or estimated valuations of costs embedded in all of the refiner’s wholesale gasoline sales associated with the low carbon fuel standard and the cap and trade cap-at-the-rack program, less the refiner’s volume-weighted average acquisition cost.

(2) “Maximum gross gasoline refining margin” means the maximum amount of gross gasoline refining margin excluding state program costs established under subdivision (b).

(3) “Volume-weighted average acquisition cost” means the combined volume-weighted average of the refiner’s volume-weighted average crude oil acquisition cost and the refiner’s volume-weighted cost of acquiring refined gasoline imported to California or received from an entity other than the refiner.

(4) “Volume-weighted average rack price of wholesale gasoline” means the combined volume-weighted average of the refiner’s rack price of the branded and unbranded rack sales reported under paragraph (5) of subdivision (b) of Section 25355.

(5) “Volume-weighted average crude oil acquisition cost” means the amount reported as required by paragraph (2) of subdivision (b) of Section 25355.

(b) The commission may, by regulation or order at a business meeting, subject to the requirements of subdivision (f), set a maximum gross gasoline refining margin.

(c) (1) If the commission sets a maximum gross gasoline refining margin under subdivision (b), it shall also establish a penalty for exceeding that maximum margin, by regulation or order at a business meeting, subject to the requirements of subdivision (f), that may be the same meeting described in subdivision (b).

(2) The penalty shall be a percentage of the amount by which the refiner’s gross gasoline refining margin excluding state program costs exceeds the maximum gross gasoline refining margin, converted from dollars per barrel to dollars per gallon, multiplied by the number of gallons sold by the refiner during the calendar month for all transactions described in paragraph (6) of subdivision (b) of Section 25355.

(3) Subject to subdivision (j), the penalty shall be tiered, such that the penalty percentage shall increase with the amount by which the refiner’s gross gasoline refining margin excluding state program costs exceeds the maximum gross gasoline refining margin, as follows:

(A) Amounts earned by a refiner that exceed the maximum gross gasoline refining margin by less than ten cents ($0.10) per gallon shall be subject to the base penalty percentage set by the commission.

(B) Amounts earned by a refiner that exceed the maximum gross gasoline refining margin by ten cents ($0.10) to twenty cents ($0.20), inclusive, per gallon shall be subject to a penalty percentage higher than the base penalty percentage.

(C) Amounts earned by a refiner that exceed the maximum gross gasoline refining margin by more than twenty cents ($0.20) per gallon shall be subject to a penalty percentage higher than the penalty percentage set under subparagraph (B).

(d) In establishing a maximum gross gasoline refining margin and penalty, the commission shall consider information reported under subdivision (b) of Section 25355 and any other public data and reports that it determines will assist its analysis. The commission shall also consider confidential information submitted pursuant to Sections 25354 and 25355. A refiner may submit additional information and facts for the commission to consider under an application for confidential designation pursuant to Section 25364.

(e) The commission shall not set a maximum gross gasoline refining margin or accompanying penalty under subdivisions (b) and (c), respectively, unless it finds that the likely benefits to consumers outweigh the potential costs to consumers. In making that determination, the commission shall consider all factors that in its discretion it deems relevant, including at a minimum all of the following factors, although no one factor shall be determinative:

(1) Whether it is likely that the maximum gross gasoline refining margin and penalty will lead to a greater imbalance between supply and demand in the California transportation fuels market than would exist without the maximum margin and penalty.

(2) Whether it is likely that the maximum gross gasoline refining margin and penalty will lead to higher average prices at the pump on an annual basis than would exist without the maximum margin and penalty.

(3) Whether case-by-case exemptions from the gross gasoline refining maximum margin will be sufficient to ensure that individual refiners have an opportunity to demonstrate the need for a greater margin before they make decisions about production.

(f) Decisions of the commission under subdivision (b) to adopt a regulation or order setting a maximum gross gasoline refining margin, under subdivision (c) to adopt a regulation or order establishing a penalty for exceeding the maximum gross gasoline refining margin, under subdivision (e) regarding the benefits and costs to consumers, and under subdivision (k) regarding adjustments to, or rescission of, the maximum gross gasoline refining margin or penalty, shall be made in accordance with all of the following procedures:

(1) A notice and draft decision, regulation, or order shall be posted publicly at least 30 days before the business meeting at which adoption of the decision, regulation, or order will be considered.

(2) The commission shall receive written comments on the draft decision, regulation, or order.

(3) The commission shall hear public comment on the draft decision, regulation, or order at its business meeting.

(g) If the commission has set a maximum gross gasoline refining margin and penalty, the margin and penalty shall take effect 60 days following the commission’s regulation or order establishing the margin and penalty pursuant to subdivisions (b) and (c), respectively. Within 15 days of the regulation or order establishing a maximum gross gasoline refining margin and penalty, the commission shall notify refiners by a means determined by the commission that may include, but is not limited to, mail, email, or internet website posting.

(h) If the commission has set a maximum gross gasoline refining margin under subdivision (b), it shall be a violation of this section for a refiner to exceed the maximum gross gasoline refining margin.

(i) In addition to any other remedy that may be available, the commission may petition a court to enjoin a refiner from violating this section.

(j) The commission may impose an administrative civil penalty for a violation of this section in the amounts established pursuant to subdivision (c).

(k) The commission may, by regulation or order, at a business meeting, subject to the requirements of subdivision (f), rescind or adjust the maximum gross gasoline refining margin and the penalty percentages and amounts specified in subdivisions (b) and (c) to ensure that a sufficient, affordable, and fairly priced supply of gasoline is available to Californians. A refiner may submit information and facts for the commission to consider in support of any rescission or adjustment under an application for confidential designation pursuant to Section 25364. Rescission of, or adjustments to, the maximum gross gasoline refining margin and the penalty percentages and amounts specified in subdivisions (b) and (c), respectively, pursuant to this subdivision shall be effective on the first day of the calendar month at least 15 days after the commission gives public notice of the rescission or adjustment, unless the commission orders otherwise.

(l) Notwithstanding Section 25901 and except as provided in subdivision (n), a petition for writ of mandate pursuant to Section 1085 of the Code of Civil Procedure shall be the exclusive remedy available to challenge any regulation, order, decision, rule, guideline, or adjudication of an exemption request adopted by the commission under this section. The court’s review shall be limited exclusively to the record before the commission. Any petition shall be filed within 30 days of the commission’s decision.

(m) (1) The commission shall consider a refiner’s request for an exemption from the maximum gross gasoline refining margin and shall grant the exemption upon a showing by the refiner, based on competent and reliable evidence and subject to the commission’s review, examination, and investigation of the evidence, that an application of the maximum gross gasoline refining margin would be unconstitutional as applied to the refiner. The commission may, in its discretion, grant a request for an exemption upon a showing by the refiner of good cause for an exemption, subject to alternative maximum margins or other conditions as the commission may set.

(2) Any refiner seeking an exemption shall, at a minimum, file a statement with the commission, signed under penalty of perjury, setting forth the facts that form the basis for the request for exemption. A refiner may submit information and facts under an application for confidential designation pursuant to Section 25364 to support its application for an exemption.

(n) (1) Before imposing the administrative civil penalty under subdivision (j), the executive director of the commission shall issue and serve a complaint on the refiner, and the commission shall hold a hearing, adopt a decision, and require payment of the penalty in accordance with the procedures described in subdivisions (a) to (d), inclusive, of Section 25534.1.

(2) Judicial review and enforcement of an order imposing an administrative civil penalty under subdivision (j) may be had in accordance with the procedures described in subdivisions (a) and (b) of Section 25534.2.

(3) Penalties collected under this section shall be deposited into the Price Gouging Penalty Fund, which is hereby created in the State Treasury and shall be used, upon appropriation by the Legislature, to address any consequences of price gouging on Californians.

(4) The commission shall make public, on a quarterly basis, the name and address of each refiner that has exceeded the maximum gross gasoline refining margin for any month during the previous quarter, and the amount of administrative civil penalty to be assessed.

(o) The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code) does not apply to any regulation, order, decision, rule, guideline, adjudication of an exemption request, or adjustment of the maximum gross gasoline margin, adopted by the commission under this section.

(p) The California State Auditor shall begin, no earlier than January 1, 2032, and complete, no later than March 1, 2033, an audit and performance review of the maximum gross gasoline refining margin and penalty set pursuant to this section. The California State Auditor shall make determinations in a report to the Legislature and the commission, by no later than June 1, 2033, as to whether this section is achieving the intended goal to reduce gasoline price spikes and stabilize the gasoline fuel supply market for California consumers. Within 60 days of the issuance of the report, the commission shall hear from the California State Auditor at a business meeting of the commission. If the California State Auditor concludes that the maximum gross gasoline refining margin and penalty should be terminated, then the commission shall cease implementing the maximum gross gasoline refining margin and penalty provisions no later than 180 days after the issuance of the report, unless the Legislature has enacted subsequent legislation to extend the maximum gross gasoline refining margin and penalty provisions in the meantime.

history: (History: Amended (as added by Stats. 2023, 1st Ex. Sess., Ch. 1, Sec. 5) by Stats. 2023, Ch. 53, Sec. 3. (SB 124) Effective July 10, 2023.)


text:
(a) Notwithstanding Section 10231.5 of the Government Code, on or before March 1, 2024, and March 1 of each year thereafter, the commission, in cooperation with the California Department of Tax and Fee Administration, shall submit a report to the Legislature, in accordance with Section 9795 of the Government Code, that includes a review of the price of gasoline in California and its impact on state revenues for the previous calendar year.

(b) (1) (A) To facilitate the report required in subdivision (a) and to assist the commission in providing independent analysis and oversight of the market for transportation fuels, and in identifying potential market design flaws and market power abuses, the California Department of Tax and Fee Administration may, notwithstanding any other law, use any information that comes into its possession and may request from any person records required to be maintained pursuant to Section 7053 or 8301 of the Revenue and Taxation Code or any other records in a person’s possession, custody, or control that the California Department of Tax and Fee Administration deems necessary for these purposes. Records that the California Department of Tax and Fee Administration may request, include, but are not limited to, sales prices and contracts for unbranded rack sales, branded rack sales, bulk sales, spot pipeline sales, dealer tankwagon sales, imported fuel transactions, and retail sales of gasoline meeting California specifications, including prices per gallon of gasoline charged by retailers by retail location and by grade of gasoline.

(B) Except as provided in paragraph (4), the information, including, but not limited to, business affairs or trade secrets, provided to the California Department of Tax and Fee Administration pursuant to this section shall constitute confidential information for purposes of Section 7056 of the Revenue and Taxation Code or Section 15570.84 of the Government Code and shall not be subject to public disclosure.

(2) (A) The records requested pursuant to paragraph (1) shall be provided in the form and manner specified by the California Department of Tax and Fee Administration within 30 days of the notice of request.

(B) The California Department of Tax and Fee Administration shall provide written notification to the commission within 10 days after the failure or refusal of any person to provide information or records in the time and manner as specified pursuant to subparagraph (A).

(3) For purposes of the report required by subdivision (a), the commission may impose a civil penalty after receiving notification from the California Department of Tax and Fee Administration that a person has failed or refused to provide information or records in the time and manner as required. A civil penalty under this subdivision shall be imposed under the procedures set forth in subdivision (a) of Section 25362, except that the maximum penalty amount shall be ten thousand dollars ($10,000) per day.

(4) (A) Notwithstanding any other law, the California Department of Tax and Fee Administration may provide any information provided to it by any person pursuant to this subdivision to the commission, to the Attorney General, to any contractor retained to prepare reports required by this section, or any entity that the California Department of Tax and Fee Administration may contract with for the purpose of preparing the reports required by this section. The Attorney General may request from the commission or the California Department of Tax and Fee Administration any information collected pursuant to Section 25354 or 25355 or this section, or Chapter 4.6 (commencing with Section 25730).

(B) Except as provided in subdivision (c), the information, including, but not limited to, business affairs or trade secrets, provided pursuant to this paragraph shall be confidential and shall not be subject to public disclosure by the commission, the Attorney General, any contractor retained to prepare the reports required by this section, or the California Department of Tax and Fee Administration or its contractors.

(c) Notwithstanding any other law, the reports required by this section shall only disclose confidential taxpayer information presented in aggregate form to the extent necessary to ensure confidentiality if public disclosure of the specific information or data would result in unfair competitive disadvantage to the person supplying the information or would adversely affect market competition.

history: (History: Added by Stats. 2023, 1st Ex. Sess., Ch. 1, Sec. 6. (SB 2 1x) Effective June 26, 2023.)