CA AB2368

Authorizes the Independent System Operator to amend its tariff, subject to Federal Energy Regulatory Commission approval, to ensure efficient and reliable operation of California's transmission grid.

Requires the Independent System Operator to post findings and recommendations on its website and share them with the Public Utilities Commission, Energy Commission, and Legislature if a major outage (affecting 10% or more of customers) is caused by insufficient electricity supply.

Requires the Public Utilities Commission to establish a standard reliability measure (such as a one-in-10-year loss-of-load expectation) for resource adequacy planning and to conduct probabilistic reliability modeling to assess short-term, midterm, and long-term reliability.

Mandates the Public Utilities Commission to consider cost mitigation measures in the resource adequacy program and to aggregate and report on midterm resource procurement from all load-serving entities to improve grid planning accuracy.

Exempts this legislation from state reimbursement requirements for local agencies and school districts under the California Constitution.