4. Comments on Proposed Decision

The proposed decision of ALJ Anne E. Simon in this matter was mailed to the parties in accordance with Section 311 of the Public Utilities Code and comments were allowed under Rule 14.3 of the Commission's Rules of Practice and Procedure.

Comments were filed on October 27, 2010 by AReM, jointly with Retail Energy Supply Association (collectively, AReM/RESA); Bear Valley Electric Service (BVES); BP; California Department of Water Resources (DWR); California Energy Storage Association; CMUA; CWCCG; Calpine; Centennial West Clean Line; CEERT; CRS; CCSF; Sanitation Districts; DRA; enXco; GPI; Iberdrola; Idaho Wind Partners; IEP; Leaf Exchange; LADWP; NextEra; Noble Solutions; PG&E; PacifiCorp, jointly with BVES (collectively, PacifiCorp); Pilot Power Group, Inc. (Pilot Power); Powerex; SDG&E; Shell; Solar Alliances; SCE; Southern California Public Power Authority (SCPPA); Tres Amigas, LLC; TURN; UCS; WPTF.

Reply comments were filed on November 1, 2010 by AReM/RESA; CMUA; Sanitation Districts; GPI; Iberdrola; IEP; Large Scale Solar Association; NextEra; Noble Solutions; PG&E; PacifiCorp; Pilot Power; Powerex; Public Utility District No. 1 of Cowlitz County; Shell; SCE; SCPPA; TURN; TransWest; and UCS.

All comments and reply comments have been carefully considered and the PD has been revised to respond to many of the concerns raised. These include, but are not limited to:

· expansion of the statutory analysis of the portfolio content categories;

· clarification of the requirements for IOUs' upfront showings in advice letters related to portfolio content category classification;

· clarification of the requirements for determinations of compliance with the portfolio content category criteria for all retail sellers;

· clarification that RPS procurement contracts may be resold under certain circumstances and retain the portfolio content category of the original contract;

· clarification of the timing of the Commission's classification of generation using pipeline biomethane as fuel;

· clarification of the requirements for firmed and shaped transactions;

· explicit consideration of ratepayer protections in IOUs' firmed and shaped transactions; and

· clarification of the rules for use of unbundled renewable energy credits.

Revisions have also been made throughout the PD to improve consistency and correct minor errors.