II. Scope of This Proceeding - Public Utilities Code Section 761.3

This rulemaking implements section 761.3 and addresses issues that arise under that statute.

1. The California Electric Generation Facility Standards Committee (761.3(b))

The new section creates a 3-member California Electric Generation Facility Standards Committee made up a member of the Commission, a member of CAISO Board and a third member jointly selected by the two agencies. PU Code section 761.3(b). The Commission has designated Commissioner Carl Wood as its representative; the CAISO has designated its Chairman, Michael Kahn, as its representative.

The Committee is directed to "adopt and may thereafter revise standards for the maintenance and operation of facilities for the generation of electric energy located in the state...." It is to be supported by a "reasonable amount of staff time provided by the two agencies." The Committee's action is to be taken "after notice and an opportunity for public comment" and must be consistent with limitations set out in section 761.3(d), relating to nuclear powerplants and certain qualifying small power production facilities, qualifying cogeneration facilities, and on-site self-generation facilities.

This rulemaking may provide a forum for the Committee as a part of the Commission's statutorily directed obligation of support.

2. Relationship between the Committee and the Commission (761.3(a))

The Commission is required "to implement and enforce standards adopted pursuant to subdivision (b) [by the Committee] for the maintenance and operation of facilities for the generation of electric energy owned by an electrical corporation or located in the state to ensure their reliable operation." PU Code section 761.3(a). This rulemaking will adopt rules implementing and enforcing the standards adopted by the Committee.

The Commission is also directed by Section 761.3(a) to "enforce the protocols for the scheduling of powerplant outages of the Independent System Operator." This rulemaking will address procedures for enforcement.