Smart Meters to Be Installed

News release from Southern California Edison:

Southern California Edison to Install Smart Meters in North Coast Area

ROSEMEAD, Calif., Feb. 8, 2012 – Southern California Edison (SCE) has started installing smart electric meters in the North Coast area as part of the Edison SmartConnect program. The technology will enable SCE residential and small-business customers to take advantage of new programs and services in the near future. Communities in the upcoming installation phase include Camarillo, Carpinteria, Goleta, Isla Vista, Montecito, Oak View, Oxnard, Port Hueneme, Santa Barbara, Santa Paula, Ventura, Summerland and a small part of Fillmore and Moorpark. Edison SmartConnect meters are digital, secure, two-way communicating devices. They are replacing traditional mechanical meters and provide a key step in transforming the electric system to a smart grid. Customers with smart meters will have access to their daily energy usage data through SCE.com. By signing up to receive e-mail, voice or text message alerts, customers can track usage against a monthly budget target of their choice, and reduce bills. SCE began introducing these programs and services last year and more than 1.5 million customers now have access to them. More customers will be able to make better-informed decisions about energy use by enrolling in the smart meter-enabled programs and services throughout this year. "Over the past several years, we have focused on developing an industry-leading smart meter program, including extensive testing of our smart meters and associated systems to ensure their quality and performance," said Ken Devore, director of SCE’s Edison SmartConnect program. "Smart meters will empower our customers to become better managers of their electricity usage through new tools, programs and services that will help them save energy and money, and help protect the environment." Once advanced features are fully activated, SCE’s smart meters will be able to communicate with the next generation of smart thermostats, appliances and other devices. The first smart meter in the Edison SmartConnect program was installed in September 2009 in Downey. Installations will continue through 2012 to a total of nearly 5 million SCE residential and small-business customers in the utility’s 50,000-square-mile service territory. To date, SCE has installed approximately 3.9 million smart meters. SCE is partnering with Corix Utilities Inc. to perform most of the installations. Here is some important information for customers receiving the new meters: Customers will receive advance notice by mail when installations are scheduled in their neighborhood.  Customers do not need to be home, but should provide clear access to their meters. The installer will leave a door hanger indicating if the installation was successful, or if an appointment for installation is required due to access issues. During a typical residential installation, customers will experience a short power interruption of less than a minute. As an extra measure of protection, customers are encouraged to plug electronic equipment, such as personal computers and televisions, into power surge protectors. Typically, no service interruption is required for smart meter installations at small businesses. Customers who operate life support medical equipment at their addresses, or have concerns about power interruptions, may call SCE at 1-800-973-2356. Corix installers carry identification indicating they are approved SCE contractors.  Smart meter customers will receive follow-up mail, notifying them when new program features and services are available and how to access them. For more information, please go to www.sce.com/edisonsmartconnect. To view videos about Edison SmartConnect, visit sce.com/smartfutureor YouTube.com/SCE. Edison SmartConnect is a $1.6 billion program authorized by the California Public Utilities Commission. SCE's smart metering program was designed to help achieve California’s energy policy goals, relating to improved electric system reliability, customer energy efficiency and demand response, and reduced environmental impact. As an example, sustained energy conservation, resulting from customer response to energy use information, is expected to reduce greenhouse gas emissions and smog-forming pollutants by an estimated 365,000 metric tons per year – the equivalent of removing 79,000 cars from the road. About Southern California Edison An Edison International (NYSE:EIX) company, Southern California Edison is one of the nation’s largest electric utilities, serving a population of nearly 14 million via 4.9 million customer accounts in a 50,000-square-mile service area within Central, Coastal and Southern California.          -###-

News release from the Congressional Budget Office:

      CONGRESSIONAL BUDGET OFFICE 

   COST ESTIMATE

January 25, 2012

Geothermal Production Expansion Act of 2011 

As ordered reported by the Senate Committee on Energy and Natural Resources on December 15, 2011
S. 1149 would authorize the Bureau of Land Management (BLM) to award leases for  certain federal lands on a noncompetitive basis for the development of geothermal resources. Based on information provided by BLM, the Department of Energy (DOE), and individuals working in the geothermal industry, CBO estimates that implementing the legislation would have no significant impact on the federal budget over the 2012-2022
period. Enacting S. 1149 could affect direct spending; therefore, pay-as-you-go procedures apply. However, CBO estimates that the net effect on direct spending would not be significant in any year. Enacting the legislation would not affect revenues.

S. 1149 would authorize BLM to offer noncompetitive leases of up to 640 acres for lands adjacent to known geothermal discoveries. Under the bill, a company that identified a geothermal resource that extended onto federal land adjacent to company-controlled lands could acquire the lease for a specified amount (bonus bid) determined by BLM to be equivalent to the fair market value rather than an amount determined through a competitive auction. In addition to paying fair market value for the parcel, the bill would require any company awarded such a noncompetitive lease to make annual rental payments equal to those required for lands that are leased competitively. Finally, a company could receive only one noncompetitive lease for each known geothermal discovery.  

Under current law, 75 percent of all receipts from bonus bids, rents, and royalties related to the development of geothermal resources on federal lands is paid to the states and counties in which those lands are located. The remaining 25 percent is deposited in the U.S. Treasury. CBO estimates that awarding noncompetitive leases for lands adjacent to known geothermal discoveries could reduce bonus bids on those parcels; however, because the legislation would require the companies that are awarded those leases to pay fair market value for them, we estimate that implementing the bill would not reduce the amount of receipts deposited in the U.S. Treasury by more than $500,000 in any year. 2

In addition, based on information provided by DOE and individuals working in the geothermal industry, CBO expects that implementing S. 1149 could increase receipts from royalties paid on geothermal energy production by reducing the amount of time it takes to develop a known geothermal resource and by reducing the likelihood that lands containing geothermal resources would be acquired for speculative purposes. CBO estimates that any increase in the amount of royalty receipts that would be deposited in the U.S. Treasury
would not exceed $500,000 in any year. Those amounts would offset any reduction in receipts from issuing noncompetitive leases under the bill. Thus, CBO estimates that implementing S. 1149 would have no significant net impact on direct spending over the 2012-2022 period.

The bill contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act and would impose no costs on state, local, or tribal governments.

The CBO staff contact for this estimate is Jeff LaFave. This estimate was approved by Theresa Gullo, Deputy Assistant Director for Budget Analysis.