Existing law requires the State Energy Resources Conservation and Development Commission (Energy Commission) , in consultation with the specified entities, to adopt a biennial integrated energy policy report containing certain information in a specified format. Existing law requires the Energy Commission, in consultation with the Public Utilities Commission (PUC) and the Independent System Operator, to adopt a goal for load shifting to reduce net peak electrical demand and adjust this target in each biennial integrated energy policy report thereafter.
This bill would require the Energy Commission, in consultation with specified entities, to analyze the cost-effectiveness of specific load flexibility resources and programs and identify both the approximate value and the cost-effectiveness of each load-shifting intervention in the next update to the biennial integrated energy policy report after January 1, 2027, as provided. The bill would require the Energy Commission, as part of each integrated energy policy report, to estimate each retail supplier's load-shifting potential, including consideration of certain factors, as specified. The bill would require the Energy Commission, on or before July 1, 2028, and biennially thereafter, to analyze and publish the amount of load shifting that each retail supplier achieved in the prior calendar year, and the amount of load shifting that each retail supplier is aiming to achieve in future years, in comparison to the load-shifting potential estimated for each retail supplier, as specified. The bill would require the Energy Commission, in consultation with the PUC, the Independent System Operator, and other California balancing authorities, to identify and evaluate barriers to effectively implementing load-shifting strategies, as specified.
Existing law requires an electrical corporation to submit to the PUC a distribution resources plan proposal, as specified, to identify optimal locations for the deployment of distributed resources, as defined. Existing law requires the PUC to review and approve, or modify and approve, each distribution resources plan proposal submitted by an electrical corporation.
This bill would require the PUC, on or before January 1, 2028, to develop a strategy to reduce the total distribution infrastructure investments required to meet long-term electricity load growth by enabling large electrical corporations to leverage, where cost-effective, distributed resources and load shifting to increase the utilization of existing distribution and transmission infrastructure, increase the effective load-hosting capacity of existing distribution and transmission infrastructure, or provide bridging solutions to enable faster energization of new loads. The bill would require the PUC to take certain actions in support of that strategy, as provided. The bill would require each large electrical corporation to provide relevant distribution planning data to the Energy Commission and to consult with the Energy Commission, as specified.
Under existing law, a violation of the Public Utilities Act or an order, decision, rule, direction, demand, or requirement of the PUC is a crime.
Because certain provisions of this bill would be part of the act and a violation of a PUC action implementing the requirements of the bill would be a crime, the bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.

Statutes affected:
SB 541: 25545 PRC
02/20/25 - Introduced: 25545 PRC
03/24/25 - Amended Senate: 25302.7 PRC, 25302.7 PRC, 454.52 PUC, 454.52 PUC, 25545 PRC
04/29/25 - Amended Senate: 25302.7 PRC, 454.52 PUC
05/23/25 - Amended Senate: 25302.7 PRC
06/26/25 - Amended Assembly: 25302.7 PRC
07/17/25 - Amended Assembly: 25302.7 PRC