ALJ/DMG/lil Date of Issuance 10/27/2011

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Order Instituting Rulemaking to Oversee the Resource Adequacy Program, Consider Program Refinements, and Establish Annual Local Procurement Obligations.

FILED PUBLIC UTILITIES COMMISSION OCTOBER 20, 2011 SAN FRANCISCO, CALIFORNIA RULEMAKING 11-10-023

ORDER INSTITUTING RULEMAKING

1. Summary

We open this rulemaking to oversee the resource adequacy program, make necessary and appropriate refinements to the program, and establish local procurement obligations beginning with the 2013 compliance year. We do so in continuation of our efforts to ensure the availability of reliable, cost-effective electricity service in California through capacity procurement obligations applicable to load-serving entities as defined in Public Utilities Code Section 380(j). This proceeding is the successor to Rulemaking 09-10-032, which addressed these topics over the past two years.

We provide for the filing of comments on preliminary matters pertaining to the scope, schedule, and administration of the proceeding. These initial comments are due November 7, 2011. Replies are due November 21, 2011.