SB 1219
Energy efficiency programs: discontinuance of administration.
Vote required
Majority
Fiscal committee
No
Appropriation
No
Current location
Energy, Utilities and Communications
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Sign in to take action- Introduced
- Passed Senate
- Passed Assembly
- To Governor
- Became Law
Bill overview
This bill changes how California’s Public Utilities Commission oversees energy efficiency programs. It allows electrical and gas corporations to apply to discontinue administering these programs if they are deemed not cost-effective, unreliable, or aren’t meeting resource needs as part of the corporation’s planning. The bill also clarifies that local agencies won’t be required to reimburse the state for any costs associated with this change.
Key provisions
- Allows electrical and gas corporations to apply to discontinue energy efficiency programs.
- Criteria for discontinuation include cost-effectiveness, reliability, and alignment with integrated resource planning.
- The Public Utilities Commission must consider and approve applications within 180 days.
- The bill addresses program closure timelines consistent with other consolidated programs.
- Clarifies that no state reimbursement is required for local agencies due to the creation of a new crime.
- Specifies criteria for determining cost-effectiveness.
- Defines ‘unreliable’ based on forecast cost-effectiveness.
- Outlines the specific considerations for electrical corporations regarding resource needs.
Who is affected
- Electrical corporations
- Gas corporations
- The Public Utilities Commission
- Local agencies and school districts (indirectly, through potential changes in program administration)
- Consumers of electricity and gas
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SB1219:v99#DOCUMENT
Bill Start
CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION
Senate Bill
No. 1219
| Introduced by Senator Strickland |
| February 19, 2026 |
An act to add Section 384.6 to the Public Utilities Code, relating to utilities.
LEGISLATIVE COUNSEL'S DIGEST
SB 1219, as introduced, Strickland. Energy efficiency programs: discontinuance of administration.
Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including electrical corporations. Under existing law, the commission administers, or otherwise oversees, various public purpose programs, including energy efficiency and conservation programs, cost-effective energy efficiency programs, the Family Electric Rate Assistance program, the California Alternate Rates for Energy program, rate assistance programs for eligible food banks, and home insulation financial assistance programs. Under existing law, those programs are generally funded through a charge on electrical service, which is collected through customer rates.
This bill would require the commission, no later than 180 days after filing, to consider and approve an electrical or gas corporation’s application to discontinue administration of an energy efficiency program or an energy efficiency portfolio because the program is not cost effective, not reliable, or, in the case of an electrical corporation, because the program is not being used to meet unmet resource needs in its integrated resources planning framework, as provided. Because a violation of a commission order implementing this provision 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.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YES
Bill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 384.6 is added to the Public Utilities Code, to read:
384.6.
Consistent with timelines established in this chapter for consolidation or closure of other programs, the commission shall consider and approve an application no later than 180 days after its filing if an electrical or gas corporation files an application to discontinue administration of an energy efficiency program or an energy efficiency portfolio for any of the following reasons:
(a) The program is not cost effective in accordance with cost-efficiency metrics commonly utilized by the Public Utilities Commission.
(b) The program is not reliable, meaning that the forecasted cost-effectiveness or total system benefits of the portfolio falls significantly under forecast for at least two years in a four-year cycle.
(c) In the case of an electrical corporation, the program is not being used to meet unmet resource needs in its integrated resource planning framework, consistent with timelines established in this chapter for consolidation or closure of other programs.
SEC. 2.
No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.