25663.4. (a) In providing financial incentives pursuant to this article, the commission shall give preference to an eligible project that does one or more of the following:
(1) Provides significant benefits to the electrical grid, especially during net peak periods.
(2) Maximizes the reduction of the emissions of greenhouse gases.
(3) Reduces air pollution in under-resourced communities.
(b) In providing financial incentives pursuant to this article, the commission shall prioritize an eligible project that reduces demand during net peak periods.
(c) (1) The commission shall consult with the State Air Resources Board to ensure that financial incentives provided pursuant to this article reduce the emissions of greenhouse gases under the statewide greenhouse gas emission limits in furtherance of the state’s greenhouse gas reduction targets, to the extent feasible under the State Air Resources Board’s regulatory programs.
(2) To comply with the requirements of this subdivision, the commission may require a recipient of a financial incentive to surrender to the State Air Resources Board the number of annual allowances allocated at no cost to the facility pursuant to the market-based compliance mechanism developed pursuant to Part 5 (commencing with Section 38570) of Division 25.5 of the Health and Safety Code equivalent to the greenhouse gas emissions reduced by the project.
(d) A recipient of a financial incentive pursuant to this article shall not receive more than 20 percent of the moneys allocated pursuant to this article.
(Added by Stats. 2022, Ch. 251, Sec. 12. (AB 209) Effective September 6, 2022.)