ALJ/DMG/jt2 Date of Issuance 2/24/2012

Decision 12-02-037 February 16, 2012

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Application of Pacific Gas and Electric Company for Approval of the GWF Transaction and Associated Cost Recovery (U39E).

Application 11-07-010 (Filed July 21, 2011)

DECISION APPROVING
PACIFIC GAS AND ELECTRIC COMPANY/GWF TRANSACTION

1. Summary

This decision approves the request of Pacific Gas and Electric Company for approval of three contracts with GWF and associated cost recovery. The overall transaction will result in the early shutdown of five heavily-polluting petroleum coke power plants in Contra Costa County, and new purchased power agreements with two peaker plants in the Fresno area.