Section § 2780

Explanation

This law describes what an 'electric microutility' is in California. An electric microutility is a type of power company that is supervised by the commission and is set up to solely generate, distribute, and sell electricity. However, it can only serve a customer base of fewer than 2,000 people.

As used in this chapter, the term “electric microutility” means any electrical corporation that is regulated by the commission and organized for the purpose of providing sole-source generation, distribution, and sale of electricity exclusively to a customer base of fewer than 2,000 customers.

Section § 2780.1

Explanation

This law section highlights the California Legislature's intention for the Public Utilities Commission (PUC) to take into account the higher relative costs that small electric microutilities face when involved in legal hearings. These costs can include legal fees, administrative expenses, and operational disruptions. Due to their limited resources, these microutilities struggle more compared to larger electrical corporations. Therefore, before requiring a microutility to respond in general hearings for electrical corporations, the PUC should consider these financial burdens.

(a)CA Public Utilities Code § 2780.1(a) It is the intent of the Legislature that the commission consider the legal, administrative, and operational costs that an electric microutility faces if it is named as a respondent in a hearing generally applicable to electrical corporations. The limited resources of a microutility are disproportionately strained by the cost of response.
(b)CA Public Utilities Code § 2780.1(b) Further, it is the intent of the Legislature that the commission consider the costs described in subdivision (a) before naming an electric microutility as a respondent in a hearing generally applicable to electrical corporations.