First Regular Session
Sixty-first General Assembly
LLS NO. 970489.01 BWM
HOUSE BILL 971178
STATE OF COLORADO
BY REPRESENTATIVE Udall
BUSINESS AFFAIRS & LABOR
A BILL FOR AN ACT
CONCERNING THE DEVELOPMENT OF A CLEAN ENERGY CHOICE
PILOT PROGRAM.
Bill Summary
(Note: This summary applies to this bill as introduced
and does not necessarily reflect any amendments which may be subsequently
adopted.)
Provides for the development of a clean energy choice pilot program. Declares that renewable energy and efficient natural gas technologies have evolved to the point that Colorado citizens should benefit from such clean energy technologies through increased customer choice in purchasing electric power generated by such technologies.
Directs the Colorado public utilities commission, in cooperation with the governing boards of public and cooperative utilities, to develop a pilot program allowing a certain percentage of retail electric customers to purchase power generated from renewable sources and efficient natural gas. Specifies that such power shall continue to be transmitted and delivered by monopoly providers at rates set by the commission. Sets forth the method for determining the participation of retail customers and competitive power providers under the pilot program.
Requires the commission to monitor the pilot program
and to report to the general assembly by December 31, 2000, on
the operation of the program to enable the general assembly to
evaluate the feasibility of expanding or curtailing a retail choice
market approach.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. Title 40, Colorado Revised Statutes, 1993 Repl. Vol., as amended, is amended BY THE ADDITION OF A NEW ARTICLE to read:
ARTICLE 9.7
Clean Energy Choice Pilot Program
409.7101. Clean energy choice pilot program legislative declaration. (1) THE GENERAL ASSEMBLY HEREBY FINDS, DETERMINES, AND DECLARES THAT RENEWABLE ENERGY AND EFFICIENT NATURAL GAS TECHNOLOGIES AND RESOURCE AVAILABILITY HAVE EVOLVED TO THE POINT THAT ELECTRIC POWER GENERATION BY AN APPROPRIATE MIX OF RENEWABLE RESOURCES, SUCH AS SMALL HYDROELECTRIC, SOLAR THERMAL, SOLAR PHOTOVOLTAIC, WIND, BIOGAS, AND BIOMASS, SUPPLEMENTED BY EFFICIENT NATURAL GAS MAY PROVIDE ATTRACTIVE CHOICES FOR COLORADO CUSTOMERS. THE GENERAL ASSEMBLY FURTHER FINDS, DETERMINES, AND DECLARES THAT, IN ORDER FOR THE CITIZENS OF THIS STATE TO BENEFIT FROM THESE ADVANCES IN ELECTRIC POWER GENERATION, THE PUBLIC UTILITIES COMMISSION SHALL DEVELOP A PILOT PROGRAM PURSUANT TO THIS ARTICLE TO ALLOW CONSUMERS THE CHOICE TO PURCHASE ELECTRIC POWER FROM SUPPLIERS OFFERING TO PROVIDE POWER GENERATED BY A MIX OF RENEWABLE RESOURCES SUPPLEMENTED BY EFFICIENT NATURAL GAS.
(2) (a) THE PUBLIC UTILITIES COMMISSION, IN COOPERATION WITH THE GOVERNING BOARDS OF PUBLIC AND COOPERATIVE UTILITIES, SHALL DETERMINE A PERCENTAGE OF RETAIL ELECTRIC CUSTOMERS IN EACH UTILITY SERVICE AREA THAT ARE ELIGIBLE TO PARTICIPATE IN THE PILOT PROGRAM. SUCH PERCENTAGE SHALL ALLOW A REPRESENTATIVE NUMBER OF CUSTOMERS FROM EACH CUSTOMER CLASS SERVED TO CHOOSE AN ALTERNATE SUPPLIER UNDER THE PILOT PROGRAM DEVELOPED PURSUANT TO THIS ARTICLE. THE TOTAL CAPACITY AND ENERGY REQUIREMENTS OF ALL UTILITY CUSTOMERS PARTICIPATING IN EACH UTILITY PILOT PROGRAM SHALL NOT EXCEED THE PROJECTED ANNUAL LOAD GROWTH OF THEIR UTILITY.
(b) (I) THE PUBLIC UTILITIES COMMISSION, IN COOPERATION WITH THE GOVERNING BOARDS OF PUBLIC AND COOPERATIVE UTILITIES, SHALL DETERMINE THE ELECTRIC UTILITIES THAT WILL PARTICIPATE IN THE PILOT PROGRAM DEVELOPED PURSUANT TO THIS ARTICLE. EXISTING UTILITIES SHALL CONTINUE TO BE RESPONSIBLE FOR THE TRANSMISSION AND DISTRIBUTION OF POWER TO RETAIL CUSTOMERS.
(II) THE PUBLIC UTILITIES COMMISSION AND GOVERNING BOARDS SHALL DEVELOP STANDARDS FOR COMPETITIVE POWER SUPPLIERS TO PARTICIPATE IN THE PILOT PROGRAM DEVELOPED PURSUANT TO THIS ARTICLE. SUCH STANDARDS SHALL ENCOURAGE COMPETITORS TO PARTICIPATE IN THE PROGRAM AND SHALL REQUIRE COMPETITIVE SUPPLIERS TO REGISTER WITH THE COMMISSION PRIOR TO OBTAINING AUTHORITY TO MARKET POWER UNDER THE PILOT PROGRAM. SUCH COMPETITIVE SUPPLIERS SHALL ENSURE THAT THEY CAN PROVIDE SUFFICIENT ELECTRIC POWER TO SERVE THEIR POTENTIAL CUSTOMERS AND THAT SUCH POWER IS GENERATED BY A MIX OF RENEWABLE SOURCES, SUCH AS SMALL HYDROELECTRIC, SOLAR THERMAL, SOLAR PHOTOVOLTAIC, WIND, BIOGAS, AND BIOMASS, SUPPLEMENTED BY EFFICIENT NATURAL GAS AS DETERMINED TO BE ACCEPTABLE BY THE COMMISSION FOR PARTICIPATION IN THE PILOT UNDER THIS ARTICLE.
(II) THE PUBLIC UTILITIES COMMISSION OR GOVERNING BOARDS SHALL DETERMINE THE APPROPRIATE MANNER OF SEPARATING THE PRICE OF ELECTRIC POWER GENERATION FROM THE PRICE OF TRANSMISSION AND DISTRIBUTION SO THAT THE GENERATION OF POWER IS OPEN TO COMPETITION UNDER THE PILOT PROGRAM ESTABLISHED PURSUANT TO THIS ARTICLE. UNDER THE PILOT PROGRAM, THE COMMISSION OR GOVERNING BOARDS SHALL CONTINUE TO REGULATE THE RATES CHARGED FOR THE TRANSMISSION AND DISTRIBUTION OF ELECTRIC POWER TO THE RETAIL CUSTOMER AND SHALL DETERMINE THE EXTENT TO WHICH OTHER UTILITY SERVICES, SUCH AS METERING AND BILLING, CAN BE PROVIDED BY ALTERNATIVE SUPPLIERS.
(c) RETAIL CUSTOMERS DESIRING TO PARTICIPATE IN THE PILOT PROGRAM SHALL IDENTIFY THEMSELVES BY INDICATING THAT THE CURRENT UTILITY PROVIDING ELECTRIC POWER TO SUCH CUSTOMER MAY MAKE THE CUSTOMER'S NAME, ADDRESS, AND INFORMATION ON ELECTRIC POWER USAGE AVAILABLE TO COMPETITIVE POWER SUPPLIERS. CUSTOMER PARTICIPANTS IN THE PILOT PROGRAM SHALL BE RANDOMLY SELECTED FROM THE POOL OF CUSTOMERS VOLUNTEERING FOR THE PILOT PROGRAM PURSUANT TO THIS PARAGRAPH (c).
(3) ON OR BEFORE DECEMBER 31, 2000, THE COMMISSION SHALL REPORT TO THE GENERAL ASSEMBLY THE INFORMATION DERIVED FROM THE OPERATION OF THE PILOT PROGRAM SO THAT THE GENERAL ASSEMBLY MAY EVALUATE THE FEASIBILITY OF EXPANDING OR CURTAILING RETAIL CUSTOMER CHOICE IN ELECTRIC POWER BASED ON THE RESULTS OF THE PILOT PROGRAM DEVELOPED PURSUANT TO THIS ARTICLE.
SECTION 2. Safety clause. The general assembly hereby finds, determines, and declares that this act is necessary for the immediate preservation of the public peace, health, and safety.