COM/JB2/oma Date of Issuance 12/20/2010
Decision 10-12-050 December 16, 2010
BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA
Application of Pacific Gas and Electric Company for Approval of 2008 |
Application 09-09-021 (Filed September 30, 2009) |
DECISION AUTHORIZING PACIFIC GAS AND ELECTRIC COMPANY TO ENTER INTO A PURCHASE AND SALE AGREEMENT WITH
CONTRA COSTA GENERATING STATION LLC
1. Summary
In Decision (D.) 10-07-045 we granted, in part, the application of Pacific Gas and Electric Company (PG&E) for approval of its 2008 Long-Term Request for Offer results and adopted a cost recovery and ratemaking mechanism related thereto. In particular, we approved PG&E's Marsh Landing, Contra Costa 6 & 7, and Midway Sunset procurement agreements. D.10-07-045 also approved a multi-party settlement agreement providing for recovery of the costs associated with the above procurement. However, D.10-07-045 did not approve a purchase and sale agreement for the Contra Costa Generating Station in Oakley, California, (Oakley Project) a new natural gas-fired combined cycle facility that was expected to produce 586 megawatts of generation at July peak conditions beginning June 4, 2014.1
On August 23, 2010, PG&E filed a Petition for Modification (PFM) of
D.10-07-045 that sought to modify D.10-07-045 to approve the Oakley Project. This decision denies PG&E's PFM of D.10-07-045, finding a PFM to be an improper procedural vehicle for this request. However, due to the unique opportunity presented by an Oakley Project that can come on-line in 2016, the Commission has sua sponte considered PG&E's filing as an application for approval of the project.
1 The Oakley Project was to be developed by Contra Costa LLC and purchased and operated by PG&E after the plant became operational and passed performance tests.
