II. CONCLUSION

Because SCE has identified an error in the Decision's BPA formula, we will modify that formula as set forth in today's order. Other than that one modification, SCE has not demonstrated legal error in the Decision. Therefore, rehearing of the Decision, as modified today, is denied.

Therefore IT IS ORDERED that:

1. The formula at the bottom of page 5 of Attachment A in D.06-10-050 is deleted and replaced with:

2003 Initial Baseline Procurement Amount = (2001 RPS-eligible procurement/2001 total retail sales) x 2003 total retail sales + 1% of 2001 total retail sales

2. In the second to last sentence at the end of the first paragraph, on page 23 of D.06-10-050, which begins "PG&E, SCE and TURN...," the word "SCE" is deleted.

3. SCE's December 22, 2006 motion for leave to file a reply to TURN's response to SCE's application for rehearing is denied.

4. Rehearing of D.06-10-050, as modified herein, is denied.

This order is effective today.

Dated March 15, 2007, at San Francisco, California.

MICHAEL R. PEEVEY

President

DIAN M. GRUENEICH

JOHN A. BOHN

RACHELLE B. CHONG

TIMOTHY A. SIMON

Commissioners