7. Assignment of Proceeding

Michael R. Peevey is the assigned Commissioner and Jean Vieth is the assigned ALJ in this proceeding.

1. The SCE/LADWP service territory border essentially bisects the Refinery property.

2. The Refinery has existed for years and its developed facilities span the entire property.

3. SCE and LADWP both serve the Refinery at present but they provide electric power at different voltages.

4. SCE currently receives revenues of over $1 million per year from the Refinery.

5. Tesoro intends to embark on capital investment, estimated at $1 billion over five years, to modernize the Refinery's internal electrical system and related facilities. The redevelopment plans require reconfiguration of the internal electrical system at a single voltage level, which necessitates a single electric supplier.

6. It would be poor policy to require the Refinery to continue to operate two distinct electrical systems into the future and thereby prevent operating efficiencies and air emissions improvements.

1. The Commission has regulatory jurisdiction over SCE and SCE's provision of service to its customers; the Commission's lack of regulatory jurisdiction over LADWP does not prevent adjudication of this complaint case.

2. In resolving the instant dispute, the Commission should consider all unique factual circumstances.

3. Pub. Util. Code § 9601(c) does not apply to the instant factual situation and does not bar SCE from serving the Refinery's full electric requirements.

4. No hearings are necessary.

5. To give timely guidance to the parties, this order should be effective today.

ORDER

IT IS ORDERED that:

1. If requested by Tesoro Refining and Marketing Company (Tesoro), Southern California Edison Company (SCE) shall perform a Method of Service study for electric service by SCE to Tesoro's Los Angeles Refinery (the Refinery) up to the Refinery's full requirements.

2. If requested by Tesoro, SCE shall provide the Refinery's full requirements for electricity, in accordance with all applicable SCE tariffs.

3. Case 07-12-008 is closed.

This order is effective today.

Dated June 26, 2008, at San Francisco, California.

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