HomeMy WebLinkAbout7-27-2022 SB 1112 - Support
July 27, 2022
The Honorable Chris Holden
Chair, Appropriations
1021 O Street, Room 8220
Sacramento, CA 95814
RE: SB 1112 (Becker) Energy: building decarbonization: notice and recordation
of a decarbonization charge.
Notice of Support (As Amended on June 27, 2022)
Dear Assemblymember Garcia,
The City of San Luis Obispo supports SB 1112 (Becker), which would support the
decarbonization of buildings by setting up a framework for notifying consumers about on
bill financing of upgrades to buildings.
As part of the requirements of SB 100 (De León, 2018) which requires that renewable
and zero-carbon energy resources supply 100 percent of electric retail sales to customers
by 2045 the state is also required to double energy efficiency savings. Subsequent
studies identified barriers to energy efficiency investments in multi-family buildings
because landlords do not have an economic incentive to make the investment as they will
not receive the economic benefits of the upgrade, the tenant will.
Recognizing this barrier to encouraging building owners to invest in decarbonization the
CPUC in November 2021 issued a ruling1 identifying energy efficiency financing options
the CPUC will consider, including tariffed on-bill financing and on-bill repayment. The
CPUC directed utilities to provide proposals and feedback regarding these potential
financing options as part of the ruling, and utilities are still developing these responses.
This bill creates a unified noticing standard across the state that will make sure that future
renters are aware of the additional on-bill charges and that future owners are also made
aware of these charges.
Under the City of San Luis Obispo’s Major City Goal of Climate Action, Open Space &
Sustainable Transportation the City plans to be carbon neutral for municipal operations
by 2030 and for the entire city to be carbon-neutral by 2035. SB 1112 will help the City
achieve this ambitious goal by helping streamline the process for landlords to make the
necessary investments to decarbonize buildings and by removing a barrier that is
discouraging them from making that investment.
1 https://docs.cpuc.ca.gov/PublishedDocs/Efile/G000/M424/K114/424114102.PDF
Letter - Opposing SB 1112
July 29, 2022
Page 2
For these reasons and many more, the City of San Luis Obispo supports SB 1112
(Becker).
Sincerely,
Erica A. Stewart
Mayor
City of San Luis Obispo
cc: Senator John Laird, Fax: (916) 651-4017
Assembly Member Jordan Cunningham, Fax (916) 319 -2135
Dave Mullinax, League of California Cities, dmullinax@cacities.org
League of California Cities (via email: cityletters@calcities.org)