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HomePublic Utilities CodeDiv. 1Pt. 1Ch. 5Art. 5§ 1102 Cost-Effective Transmission Line Approval

§ 1102 Cost-Effective Transmission Line Approval

Public Utilities Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 1102 Cost-Effective Transmission Line Approval

This law says an electric company must give the commission enough reliable info to prove a new transmission line will be cost‑effective, and the commission can only approve the line if it gets that info.

Key Takeaways

  • •The electric company must supply reliable cost‑effectiveness data before the commission can approve a new line.
  • •The commission must consider recent and possible future price changes for surplus power, long‑term contract options, and direct purchases from Canada.
  • •A certificate of public convenience and necessity will not be issued unless the required information is provided.

Example

A power company wants to build a new high‑voltage line that would bring electricity from Canada into the northwestern United States.

The company has to hand over data showing that, based on the electricity rates expected over the line’s life, the project will save money. The commission will look at recent price hikes for extra power, possible future hikes, whether long‑term contracts can be negotiated at fair prices, and if buying power directly from Canada is doable. If the company provides that info, the commission may issue a certificate to let the line be built.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 1102 Cost-Effective Transmission Line Approval

(a) Notwithstanding any other provision of this article, and in addition to the requirements of Article 1 (commencing with Section 1001), an electrical corporation proposing to construct an electrical transmission line to the northwestern United States shall provide the commission with sufficient reliable information to enable the commission to determine that the proposed line, at the electric rates expected to prevail over the useful life of the line, will be cost effective. The commission, in its analysis of the forecast cost of electricity, shall take into consideration the recent increases in the charges for purchasing surplus electricity from the northwestern United States, the possibility of future increases in those charges, the feasibility of negotiating long-term contracts under reasonable charges, and the feasibility of purchasing electricity directly from Canada rather than through the Bonneville Power Administration. (b) The commission shall not issue a certificate of public convenience and necessity unless it is satisfied that the electrical corporation has provided the information described in subdivision (a). (Added by Stats. 1986, Ch. 104, Sec. 1.)

Last verified: January 11, 2026

Key Terms

electrical transmission linecost effectivecertificate of public convenience and necessitynorthwestern United StatesBonneville Power Administration

Related Statutes

  • § 1002 Certificate Granting Factors
  • § 30632 District Facility Leasing Authority
  • § 1001.1 Transmission Project Need Presumption
  • § 100160 Vta Passenger Transit Authority
  • § 100160.1 Vta Transportation Facility Authority

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Public Utilities Code. Section 1102.
View Official Source