FISCAL NOTE
Date Requested: January 14, 2016
Time Requested: 10:57 AM |
| Agency: |
Public Service Commission |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1104 |
Introduced |
SB124 |
|
|---|
| CBD Subject: |
Energy |
|---|
|
FUND(S):
8623
Sources of Revenue:
Special Fund
Legislation creates:
A New Program
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
This legislation will increase revenues collected for the Utilities (8623) Special Revenue Fund by $100,000 through a renewed assessment on all electric utilities required to file an energy portfolio compliance plan.
The legislation will increase costs because of the renewal of previously removed requirements for establishing and monitoring the renewable portfolio standards, as revised. The Commission will add two employees that will be needed to review annual compliance plans; to review and certify greenhouse gas efforts; and to propose new rules for implementing new requirements established by the legislation. These employees will also review the energy portfolio standard compliance plans, oversee the tradeable credit plan, develop annual alternative and renewable energy resource assessments for the entire state, and be involved in the renewed and new requirements this bill places on the Commission.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2016
Increase/Decrease
(use"-") |
2017
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
212,000 |
182,000 |
| Personal Services |
0 |
152,000 |
152,000 |
| Current Expenses |
0 |
60,000 |
30,000 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
100,000 |
100,000 |
Explanation of above estimates (including long-range effect):
Fiscal Years 2017:
Costs
•$152,000 (Personal Services) for salary and benefits for an Engineer and Utility Analyst.
•$60,000 (Current Expenses) for rulemaking related to new distributed solar renewable energy requirements, plus travel, supplies, training and other miscellaneous costs for employees working on renewable energy portfolio compliance.
Revenue
•$100,000 as a result of new assessments imposed on all electric utilities required to file a compliance plan.
Fiscal Year (Upon Full Implementation)
Costs
•$152,000 (Personal Services) for salary and benefits for an Engineer and Utility Analyst.
•$30,000 (Current Expenses) for travel, supplies, training and other miscellaneous costs for employees working on renewable energy portfolio compliance and annual expenses for Commission review of annual compliance by utilities.
.
Revenue
•$100,000 as a result of new assessments imposed on all electric utilities required to file a compliance plan. There is also a reference to an administrative transaction fee that will probably generate some additional cost recovery under West Virginia Code §24-2F-4(c)(4).
Memorandum
This legislation will increase costs because of the renewed requirements that this bill places on the Public Service Commission. Some of the more significant renewed requirements involve: 1) Certifying alternative and renewable energy resources, 2) Administering, reviewing and reporting regarding a tradeable credit plan, 3) Conducting ongoing alternative and renewable energy resource planning assessment for the state, 4) Promulgating various rules related to a new category of distributed solar renewable energy requirements, 5) Determining annual compliance with the statute and 6) Reviewing, assessing and documenting the annual alternative and renewable energy portfolio standard compliance plan to be filed with the Commission.
This program will reside in the Commission's existing Utilities Fund (8623). This fund is a source of funding for all of the Commission's utility regulatory activities.
Person submitting Fiscal Note: Cheryl A. Ranson (prepared by D.Ellis)
Email Address: cranson@psc.state.wv.us