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ALJ/PVA/jt2 Date of Issuance 6/20/2011

Decision 11-06-004 June 9, 2011

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Order Instituting Rulemaking to Integrate and Refine Procurement Policies and Consider Long-Term Procurement Plans.

Rulemaking 10-05-006

(Filed May 6, 2010)

DECISION GRANTING PACIFIC GAS AND ELECTRIC COMPANY'S PETITION FOR MODIFICATION OF DECISION 10-12-034

1. Summary

In Decision (D.) 10-12-034, this Commission authorized Pacific Gas and Electric Company (PG&E), San Diego Gas & Electric Company, and Southern California Edison to participate in convergence bidding in markets operated by the California Independent System Operator.1 PG&E has filed a Petition for Modification of that decision, requesting clarification on two issues. We grant PG&E's Petition and clarify D.10-12-034.

1 Convergence or virtual bidding is designed to help bring day-ahead and real-time prices closer together.

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