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Assembly hearing examines plan to shift CalSHAPE and general‑fund dollars to shore up emergency demand‑response programs
Summary
Lawmakers pressed state finance, energy and PUC officials on a plan to move roughly $26.9 million of general‑fund DEBA money to the Demand‑Side Grid Support program and to use about $70 million in CalSHAPE interest to cushion a transition toward a PUC‑run Emergency Load Reduction Program (ELRP). Legislators urged extensions to DSGS and sought clearer comparisons between DSGS and ELRP.
Chair Bennett convened the subcommittee and opened discussion of issue 1, a set of trailer‑bill proposals the administration says will preserve California’s emergency demand‑response capacity while moving program funding toward longer‑term, sustainable sources.
David Evans of the Department of Finance told the panel the governor’s proposal would reallocate roughly $26.9 million in general‑fund appropriations originally intended for the Distributed Energy Backup Assets program to bolster the Demand‑Side Grid Support (DSGS) program for summer 2026. Evans also said the administration would authorize the use of about $70 million in accumulated interest from the CalSHAPE program to provide ratepayer relief or bridge funding for an ELRP successor in 2027–2028, and directed the CPUC and CEC to collaborate on transitioning customers into the successor program.
The proposal prompted immediate questions from assemblymembers who said…
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