6. The Settlement Agreement
The purpose of the Settlement Agreement is to resolve DRA's concern that the Proposed Transaction might undermine the ratepayer protections adopted by D.10-10-017. To resolve DRA's concern, the Settlement Agreement affirms that the ratepayer protections adopted by D.10-10-017 will remain in full force and effect with respect to each of the Joint Applicants following the Commission's approval of A.11-09-012. These ratepayer protections include the Regulatory Commitments in Appendix 3 of D.10-10-017, and the requirement in OP 1(c) of D.10-10-017 that the Joint Applicants will provide their officers and employees to testify in California about matters pertinent to CalPeco, as the Commission may determine to be necessary, consistent with established principles of due process and fairness. The Settlement Agreement extends OP 1(c) to include the "Additional Algonquin Entities4" that are not explicitly subject to OP 1(c).
DRA joins the Joint Applicants in requesting that the Commission approve A.11-09-012 and adopt the Settlement Agreement. A copy of the Settlement Agreement is attached to today's decision as Appendix 1.
4 The Settlement Agreement defines the "Additional Algonquin Entities" as Liberties Utilities (Canada) Corp. (LUCC) and Liberty Utilities Co. (LUC). LUCC is a wholly owned subsidiary of Algonquin that, in turn, wholly owns LUC, a Delaware corporation that wholly owns Liberty Energy. The Additional Algonquin Entities are not included as applicants to A.11-09-012.
