We expect PG&E to optimize the funds authorized by this decision to mitigate the identified problems of worst-performing circuits, emergency substation capacity and rural reliability. In identifying and prioritizing projects21 to determine how the money should be spent, PG&E should consider the severity of the problems, options available, cost-effectiveness analysis, and non-quantifiable benefits. In that respect PG&E has flexibility as to how it implements the improvements and what it spends. With exception of shifting funds to the emergency substation capacity program, we will allow PG&E to shift funds between programs. Regarding emergency substation capacity, we prefer to limit this aspect of the authorization to, at most, the identified projects with 15 MW deficiencies or more.
21 In future proceedings, we expect PG&E to go through this process to justify proposed projects as part of its filings and not as part of the implementation of a final decision.