Decision 02-07-043 July 17, 2002
Before The Public Utilities Commission Of The State Of California
Order Instituting Investigation Whether Pacific Gas and Electric Company, Southern California SCE Company, San Diego Gas & Electric Company, and their respective holding companies, PG&E Corporation, Edison International, and Sempra Energy, respondents, have violated relevant statutes and Commission decisions, and whether changes should be made to rules, orders, and conditions pertaining to respondents' holding company systems. |
(Filed April 3, 2001) |
In the Matter of the Application of Southern California SCE Company (U 338-E) for authorization to implement a plan of reorganization which will result in a holding company structure. |
Application 87-05-007 (Filed May 6, 1987) |
In the Matter of the Application of San Diego Gas & Electric Company (U 902-M) for authorization to implement a Plan of Reorganization which will result in a holding company structure. |
Application 94-11-013 (Filed November 7, 1994) |
In the Matter of the application of Pacific Gas and Electric Company (U 39 M) for authorization to implement a Plan of Reorganization which will result in a holding company structure. |
Application 95-10-024 (Filed October 20, 1995) |
Joint Application of Pacific Enterprises, Enova Corporation, Mineral Energy Company, B Mineral Energy Sub and G Mineral Energy Sub for approval of a Plan of Merger of Pacific Enterprises and Enova Corporation with and into B Mineral Energy Sub ("Newco Pacific Sub") and G Mineral Energy Sub ("Newco Enova Sub"), the wholly owned subsidiaries of a newly created holding company, Mineral Energy Company. |
Application 96-10-038 (Filed October 30, 1996) |
ORDER MODIFYING INTERIM OPINION DECISION 02-01-039
AND DENYING REHEARING, AS MODIFIED
I. SUMMARY
This decision modifies Interim Opinion D.02-01-039, which provides an initial interpretation of the "first priority" condition in the holding company systems of Pacific Gas and Electric Company (PG&E), Pacific Gas and Electric Corporation (PG&E Corp.), Edison International (EIX), Southern California SCE Company (SCE or Edison), Sempra Energy (Sempra), and San Diego Gas and Electric Company (SDG&E) (collectively, "Applicants"). The rehearing Applicants maintain that the first priority condition requires only that they maintain a certain level of capital expenditure or equity investment in the utilities' plant and equipment. We do not concur with this narrow interpretation, as it is not supported by the law, the holding company decisions, or the record. We find that the first priority condition does not preclude requiring holding companies to infuse capital of all types into their respective utility subsidiaries when necessary to fulfill the utility's obligation to serve.
This decision also disposes of separate requests by PG&E and its holding company, PG&E Corp., for official notice of various documents. In the interest of clarity, we made minor modifications to the opinion, including adding findings of fact and conclusions of law. As modified, the rehearing of D.02-01-039 is denied.
