7. Assignment of Proceeding

Michel Peter Florio is the assigned Commissioner and Seaneen M. Wilson is the assigned ALJ in this proceeding.

1. On December 19, 2011, SDG&E and DRA filed an Joint Motion requesting the Commission to adopt an all party Settlement Agreement.

2. All remaining issues in this proceeding are encompassed by, and resolved in, the Settlement Agreement.

3. The parties to the Settlement Agreement are all of the active parties in this proceeding.

4. The parties are fairly reflective of the affected interests.

5. No term of the Settlement Agreement contravenes statutory provisions or prior Commission decisions.

6. The Settlement Agreement conveys to the Commission sufficient information to permit it to discharge its future regulatory obligations with respect to the parties and their interests.

7. The Settlement Agreement is reasonable in light of the record, is consistent with law, and is in the public interest.

8. The disallowance as set forth in the Settlement Agreement is reasonable.

1. The Settlement Agreement is reasonable in light of the whole record, consistent with law, in the public interest and should be approved.

2. This decision should be effective today so that the Settlement Agreement may be implemented expeditiously.

3. A.10-06-001 should be closed.

ORDER

IT IS ORDERED that:

1. The Settlement Agreement between San Diego Gas & Electric Company and Division of Ratepayer Advocates, as set forth in the Attachment to the Joint Motion of San Diego Gas & Electric Company and Division of Ratepayers Advocates for Approval of Settlement Agreement is approved.

2. Within 30 days of today's date, San Diego Gas & Electric Company must file a Tier 1 advice letter with tariff changes and new rates. The tariffs shall become effective, subject to the Energy Division's determination that they are in compliance with this decision.

3. Application 10-06-001 is closed.

This order is effective today.

Dated March 8, 2012, at San Francisco, California.

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