ALJ/CAB/BMD/JMH/sid Mailed 7/21/2006
Decision 06-07-032 July 20, 2006
BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA
Order Instituting Rulemaking to Promote Policy and Program Coordination and Integration in Electric Utility Resource Planning. |
Rulemaking 04-04-003 (Filed April 1, 2004) |
Order Instituting Rulemaking to Promote Consistency in Methodology and Input Assumptions in Commission Applications of Short-Run And Long-Run Avoided Costs, Including Pricing for Qualifying Facilities. |
Rulemaking 04-04-025 (Filed April 22, 2004) (QF Issues) |
Order Instituting Rulemaking Into Implementation of Pub. Util. Code § 390. |
Rulemaking 99-11-022 (Filed November 11, 1999) |
OPINION ADOPTING SETTLEMENT AGREEMENT BETWEEN
PACIFIC GAS AND ELECTRIC COMPANY AND THE
INDEPENDENT ENERGY PRODUCERS ASSOCIATION
REGARDING QUALIFYING FACILITIES
I. Summary
This Decision grants the Joint Motion of Pacific Gas and Electric Company (PG&E) and The Independent Energy Producers Association (IEP)1 for Commission adoption of the Settlement Agreement and Associated Amendments entered into by some of the owners and/or operators of Qualifying Facilities (QFs) that have current purchase power agreements (PPA) with PG&E. This Decision does not address or resolve the remaining outstanding issues in Rulemaking (R.) 04-04-003, R.04-04-025 or R.99-11-022 nor does it close those proceedings.
In addition, this Decision does not foretell the Commission's future determinations in the three Rulemakings, on topics including, but not limited to: (1) heat rates; (2) prices; (3) length of contracts; (4) mandatory purchase obligations; (5) cost-calculation methodologies for short-run and long-run avoided costs; (6) true-up of payments to QF switchers;2 and (7) refund payments from QFs for payments made between December 2000 and March 2001. This Decision does not prejudice the Commission's ability to make findings in subsequent Decisions that differ from those in this Decision adopting the Settlement Agreement.
1 The Joint Motion includes two amendments; one filed May 10, 2006, and the second amendment filed May 24, 2006.
2 Those QFs that switched to the California Power Exchange (PX) market clearing price beginning in June 2000.
