ALJ/XJV/eap Date of Issuance 7/13/2009

Decision 09-07-018 July 9, 2009

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

In the Matter of the Application of San Diego Gas & Electric Company (U 902 E) for a Certificate of Public Convenience and Necessity for the Sunrise Powerlink Transmission Project.

Application 06-08-010 (Filed August 4, 2006)

DECISION APPROVING PHASE 3 SETTLEMENT OF THE
CONSUMER PROTECTION AND SAFETY DIVISION
AND SAN DIEGO GAS & ELECTRIC COMPANY

Summary

This decision grants the joint motion, as amended, by the Consumer Protection and Safety Division and San Diego Gas & Electric Company (SDG&E) for approval of their settlement of Phase 3 of this proceeding. The parties' settlement provides that while SDG&E does not admit to any violation of Rule 1.1 of the Commission's Rules of Practice and Procedure, it acknowledges its failure to fully comply with Rule 8.3 and tenders an apology for imprecision in its communications with decision-makers in connection with certain ex parte meetings held during Phase 2. SDG&E commits to pay a total of $920,000 in shareholder funds in amounts specified for charitable contributions, reimbursement to the Commission for expenses related to this proceeding, and payment to the State's General Fund. Further, SDG&E commits to develop a professional responsibility class and an ex parte best practices manual, both in consultation with the Commission. This decision finds the settlement, with a minor clarification, to be reasonable in light of the whole record, consistent with law, and in the public interest. The decision also specifies certain reporting requirements to permit the Commission to monitor compliance. Approval of the settlement fully resolves Phase 3.