Cal. PUC § 454.58 — California Code / Code puc / Division 1 / Part 1 / Chapter 3 / Article 1 / Section 454.58
Section 454.58
Status: in_force

(a) The Legislature finds and declares all of the following:

(1) California must dramatically increase the capacity of its electrical transmission and distribution systems to meet the goals of Section 454.53 and to decarbonize its economy.

(2) The increase in transmission and distribution capacity must be done rapidly and cost effectively.

(3) California transmission utilities and the Independent System Operator can jointly explore opportunities to advance technologies that may quickly and cost effectively increase transmission capacity.

(4) Reconductoring existing transmission lines with advanced conductors and installing grid-enhancing technologies, such as advanced power flow control systems, dynamic line rating systems, and topology optimization software, can quickly and cost effectively increase transmission capacity.

(5) The benefits of these technologies include lower electricity rates, less wildfire risk, increased reliability, less transmission line congestion, less curtailment of renewable generation resources, and increased capacity to interconnect new renewable generation, storage, and other zero-carbon resources.

(6) Grid-enhancing technologies may expand and accelerate transmission capacity at a lower cost as compared to traditional transmission technologies.

(7) Reconductoring existing transmission lines with advanced conductors in existing rights-of-way can be accomplished at a fraction of the cost of building new transmission lines and are therefore often quite cost effective.

(8) Grid-enhancing technologies can be deployed within months and reconductoring with advanced conductors can be accomplished within one or two years. Other types of transmission capacity increases can take many years.

(9) The current transmission planning process assesses the value of transmission investments based strictly on the needs of a single assumed planning scenario of specific resources and geographies over a 10-year planning horizon, and does not appropriately incorporate the value that increased transmission capacity can provide in reducing risks surrounding major technology and permitting uncertainties, expanding optionality for load-serving entities, and delivering benefits over a longer time horizon.

(b) For purposes of this section, the following definitions apply:

(1) “Grid-enhancing technologies” means hardware and software that increases the capacity of electrical lines and improves the efficiency, reliability, and safety of the grid. Grid-enhancing technologies include, but are not limited to, dynamic line rating systems, advanced power flow control systems, and topology optimization software.

(2) “Reconductored with advanced conductors” means replacing the existing electric conductor with a conductor that has a direct current electrical resistance at least 10 percent lower than existing conductors of a similar diameter on the system and may include rebuilding support structures or other associated facilities.

(3) “Transmission utility” means an electrical corporation that is a participating transmission owner that has turned over operation of its transmission system to the Independent System Operator.

(c) (1) On or before January 1, 2026, and every two years thereafter, each transmission utility shall prepare a study of the feasibility of projects using grid-enhancing technologies to achieve one or more of the purposes listed in paragraph (2). The transmission utility shall provide information on feasibility, cost, rating, implementation time, and any other necessary information to the Independent System Operator at the same time as any other projects proposed to be part of the Independent System Operator’s annual transmission planning process. The transmission utility shall request the Independent System Operator to review the results of the study as part of its annual transmission planning process for economic, reliability, and policy goals, and shall request the Independent System Operator to include grid-enhancing technologies in all transmission planning studies and analyses.

(2) The study shall be designed to identify projects using grid-enhancing technologies that can achieve one or more of the following:

(A) Increase transmission capacity.

(B) Reduce transmission system congestion.

(C) Reduce curtailment of renewable and zero-carbon resources.

(D) Increase reliability.

(E) Reduce the risk of igniting wildfire, by means of investments that are consistent with the transmission utility’s approved wildfire mitigation plan.

(F) Increase capacity to connect new renewable energy and zero-carbon resources.

(G) Increase flexibility to reduce risks surrounding technology and permitting uncertainties in statewide electrical system planning and improve optionality for load-serving entities.

(d) (1) On or before January 1, 2026, and at least every four years thereafter, each transmission utility shall prepare a study of which of its transmission lines can be reconductored with advanced conductors to achieve one or more of the purposes listed in paragraph (2). The transmission utility shall provide information on feasibility, cost, rating, implementation time, and any other necessary information to the Independent System Operator at the same time as any other projects proposed to be part of the Independent System Operator’s annual transmission planning process. Each transmission utility shall request that the Independent System Operator review the results of the study as part of its annual transmission planning process for economic, reliability, and policy goals, and shall request the Independent System Operator to include reconductoring with advanced technologies in all transmission planning studies and analyses.

(2) The study shall identify electrical lines where reconductoring with advanced conductors can achieve one or more of the following:

(A) Significantly increase transmission capacity.

(B) Reduce transmission system congestion.

(C) Reduce curtailment of renewable and zero-carbon resources.

(D) Increase reliability.

(E) Reduce the risk of igniting wildfire, where the investment is consistent with the transmission utility’s approved wildfire mitigation plan.

(F) Increase capacity to connect new renewable energy and zero-carbon resources.

(G) Reduce line losses.

(H) Increase the ability to quickly energize new customers or serve increased customer load.

(I) Increase flexibility to reduce risks surrounding technology and permitting uncertainties and improve optionality.

(e) (1) Upon submitting the study to the Independent System Operator pursuant to subdivision (c) or (d) and except as provided in paragraph (2), each transmission utility shall make the study publicly available.

(2) Information in the study that is determined by the Independent System Operator, in consultation with the transmission utilities, to be necessary to protect the security of the electrical transmission system shall be withheld from public disclosure.

(f) Each electrical corporation operating a distribution system shall consider grid-enhancing technologies and reconductoring with advanced conductors as part of its annual distribution planning process.

(g) This section does not affect the right of a transmission utility to implement self-approved projects.

(h) This section does not affect any project previously approved by the Independent System Operator.