2. Background

D.06-06-064, our recent decision adding a local procurement obligation (Local RAR) to the Commission's RAR program, includes a discussion of the background of this Commission's RAR program and a summary of the Phase 1 record for this proceeding. We incorporate by reference the background discussion from that decision to avoid unnecessary duplication.

The Commission's Energy Division issued a comprehensive report on Phase 1 topics on April 10, 2006 (Staff Report), and parties were asked to submit post-workshop comments and replies on those topics using the outline of the Staff Report. The issues discussed in Sections I and IV of the Staff Report ("Local Resource Adequacy Requirements" and "Other Issues," respectively) were addressed in D.06-06-064. This decision addresses issues discussed in Sections II, III, and V of the Staff Report ("Tradable Capacity Product Issues," "Implementation Issues," and "Appendices: Resource Adequacy Filing Guides and Templates," respectively.)¹

The following table lists the commenting parties in Phase 1 and the short title or acronym for the party as used in this decision.

COMMENTING PARTIES

Commenting Party or Parties	Short Title or Acronym for Party or Parties
Aglet Consumer Alliance	Aglet
Alliance for Retail Energy Markets	AReM
California Independent System Operator	CAISO
California Manufacturers & Technology Association and California Large Energy Consumers Association	CMTA/CLECA
California Municipal Utilities Association	CMUA
City and County of San Francisco	CCSF
Constellation Energy Commodities Group, Inc. and Constellation NewEnergy, Inc.	Constellation
Division of Ratepayer Advocates	DRA
Energy Producers and Users Coalition	EPUC
Good Company Associates on behalf of TAS	Good/TAS
Independent Energy Producers Association	IEP
Mirant California LLC, Mirant Delta LLC, Mirant Potrero LLC; NRG Energy Inc., and West Coast Power	Mirant/NRG
Pacific Gas and Electric Company	PG&E
Pilot Power Group, Inc.	Pilot Power
Powerex Corp.	Powerex
San Diego Gas & Electric Company	SDG&E
Sempra Global	Sempra Global
Southern California Edison Company	SCE
The Utility Reform Network	TURN
Western Power Trading Forum	WPTF
PG&E, SDG&E, and SCE	IOUs
APS Energy Services, CLECA, CMTA, Coral Power LLC, DRA, Energy Users Forum, J. Aron & Company, TURN, Silicon Valley Leadership Group, and Strategic Energy LLC	Joint Parties

¹ Where applicable, section headings herein include cross-references to the corresponding sections of the Staff Report.