ATTACHMENT A
"Conformed" Version of D.10-12-055
Decision 10-12-055, as modified by D.11-04-033
BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA
Order Instituting Rulemaking on the Commission's Own Motion into combined heat and power Pursuant to Assembly |
Rulemaking 08-06-024 (Filed June 26, 2008) |
DECISION GRANTING, IN PART, AND DENYING IN PART, JOINT PETITION OF PACIFIC GAS AND ELECTRIC COMPANY, SOUTHERN CALIFORNIA EDISON COMPANY, AND SAN DIEGO GAS & ELECTRIC COMPANY FOR MODIFICATION OF DECISION 09-12-042
1. Summary
This decision grants in part, and denies in part, a joint request by Pacific Gas and Electric Company (PG&E), San Diego Gas & Electric Company (SDG&E), and Southern California Edison Company (SCE) (collectively referred to as the "Joint Utilities") to modify Decision (D.) 09-12-042, which implements Assembly Bill 1613 (Ch. 713, Stats. 2007) (AB 1613). This decision:
1. Revises the methodology for setting the price to be offered by the electrical corporations to utilize pricing inputs from the most recent Market Price Referent (MPR) in effect at the time of contract execution instead of the 2008 MPR (Section 4);
2. Corrects language in the adopted form contracts to clarify that the "Fixed Price Component" of the price is to be a constant value during the entire contract term, and is based on the Term Start Date (Section 5);
3. Clarifies that greenhouse gas (GHG) compliance costs are not included in the MPR-based portion of the AB 1613 price formula and are instead addressed as a separate pass-through component of the AB 1613 price (Section 6);
4. Rejects the Joint Utilities' request that the AB 1613 price be reduced to the price paid to "as available" resources (Section 7);
5. Rejects the Joint Utilities' request to remove language from
D.09-12-042 requiring the utilities to purchase GHG allowances on behalf of AB 1613 CHPs, but allows the AB 1613 CHPs the option of procuring their own GHG allowances, and sets a cap on GHG compliance costs to ensure any payment or procurement for GHG cost compliance complies with avoided cost principles (Section 8);6. Makes modifications to the form contracts approved in D.09-12-042 to clean up contractual language (Section 9);
7. Rejects the Joint Utilities' proposal to include a line loss factor in the time of delivery calculation and instead provides that line losses be calculated as part of the interconnection process (Section 10);
8. Directs parties to work on a contract for AB 1613 CHPs less than 500 kilowatts (Section 11); and
9. Modifies and clarifies D.09-12-042 to be consistent with subsequent orders issued by the Federal Energy Regulatory Commission (FERC) (Sections 7 and 12).
