5. Assignment of Proceeding

Michael R. Peevey is the assigned Commissioner and John S. Wong is the assigned ALJ in this proceeding.

1. SoCalGas seeks to modify D.07-08-029 to allow SoCalGas to expand the four to eight minute interval for the monitoring of non-hydrogen sulfide constituents to those California producers who deliver gas into SoCalGas' transmission line where this gas can be delivered to end use customers through SoCalGas' distribution system.

2. D.07-08-029 adopted the four to eight minute interval for the monitoring of non-hydrogen sulfide for California producers who are directly connected to SoCalGas' distribution main.

3. No ambiguity exists in D.07-08-029.

4. D.07-08-029 clearly states that a four to eight minute enforcement interval will apply to California gas producers whose gas is delivered directly into SoCalGas' distribution system, and that a 24-hour enforcement interval will apply to California producers who are directly connected to SoCalGas' transmission system.

5. SoCalGas acknowledges that no evidence was presented on whether end use customers are situated so that they could receive undiluted, off-spec California gas from a transmission pipeline.

6. The two declarations assume that the California-produced gas that flows from the transmission line into the distribution system will not be blended with other gas supplies, and fail to describe the circumstances that must exist in order for this kind of situation to occur or whether such situations have occurred in the past.

7. SoCalGas did not provide any citations to the record to support its assumption that the gas will not be blended with other gas supplies.

8. The two declarations and the Consent Decree were not introduced into evidence during the evidentiary hearings in this proceeding.

9. We remain concerned that if the situation described by SoCalGas does materialize, whether end-use customers and SoCalGas' system will experience safety-related problems.

1. Instead of denying or granting the petition, this proceeding should be reopened for the purpose of taking additional evidence on two issues so that we can resolve SoCalGas' petition to modify D.07-08-029.

2. The assigned ALJ should be directed to issue a ruling to hold a prehearing conference to discuss the procedural process for addressing the two issues in this proceeding.

3. The suspension of SoCalGas' filing of the advice letter filing, as set forth in the November 27, 2007 letter from the Commission's Executive Director, should continue until we have resolved the two open issues and a decision has been adopted on whether SoCalGas' petition should be granted or denied.

ORDER

IT IS ORDERED that:

1. We decline at this point in time to grant or deny the October 4, 2007 petition for modification of Decision 07-08-029, filed by Southern California Gas Company (SoCalGas), until we have resolved two other issues in this proceeding listed below.

2. This proceeding shall be reopened to for the purpose of taking additional evidence on the issues of: (1) whether California-produced gas can enter into SoCalGas' transmission line and be delivered into the distribution line without the opportunity for blending or mixing with other gas supplies; and (2) for non-hydrogen sulfide constituents, what kind of monitoring interval should apply if the California-produced gas can enter into SoCalGas' transmission line and be delivered into the distribution line without an opportunity for blending or mixing with other gas supplies.

3. The assigned Administrative Law Judge shall issue a ruling to hold a prehearing conference to discuss the procedural process for addressing the two issues identified in the ordering paragraph above.

4. The extension granted to SoCalGas to file its advice letter, which is contained in the November 27, 2007 extension letter of the Commission's Executive Director, shall continue until the Commission resolves the two open issues in this proceeding and a decision is adopted concerning SoCalGas' petition for modification.

5. Application 04-08-018 remains open.

This order is effective today.

Dated January 29, 2009, at San Francisco, California.

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