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CXW/t94/eap Mailed 4/4/2001

Decision 01-04-006 April 3, 2001

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Order Instituting Rulemaking into the operation of interruptible load programs offered by Pacific Gas and Electric Company, San Diego Gas & Electric Company, and Southern California Edison Company and the effect of these programs on energy prices, other demand responsiveness programs, and the reliability of the electric system.

Rulemaking 00-10-002

(Filed October 5, 2000)

TABLE OF CONTENTS

Page

INTERIM OPINION 2

1. Summary 2

2. Interruptible Tariffs Background 2

3. Curtailment Priorities Background 7

4. Proceeding Background 9

5. Adopted Improvements to Current Interruptible Programs and New Programs 13

6. Rotating Outage Programs 43

7. Other Issues 66

8. Funding and Program Limits 74

9. Implementation 82

Findings of Fact 81

Conclusions of Law 89

INTERIM ORDER 97

ATTACHMENT A - Changes to Current Interruptible Programs, New Interruptible Programs, and Rotating Outage Programs

ATTACHMENT B - Decision No. 91584: Priority System for Rotating Outages

ATTACHMENT C - Adopted Priority System for Rotating Outages

ATTACHMENT D - Adopted Studies and Reports

ATTACHMENT E - Presiding Officer and Assigned Commissioner Ruling
Regarding Customer Reclassification Between Essential and Non-Essential Categories for Rotating Outages

ATTACHMENT F - Presiding Officer and Assigned Commissioner Ruling
on Emergency Motions

INTERIM OPINION

1. Summary

This decision adopts important improvements to the interruptible tariffs and rotating outage programs of Pacific Gas and Electric Company (PG&E), Southern California Edison Company (SCE), and San Diego Gas & Electric Company (SDG&E). These changes will improve the reliability of California's electric system for the near term, particularly Summer 2001.

The adopted programs are described in Attachment A. These programs largely implement the February 9, 2001 recommendations of the Energy Division, which we clarify and modify based on reasonable proposals and suggestions made in the February 14, 2001 Joint Proposal, the February 22, 2001 comments, and the February 26, 2001 reply comments.

This order provides a broad range of short-term and mid-term tools to help California get through the challenges of the immediate future, while additional steps are taken elsewhere to implement a more comprehensive response to the situations that Californians now face.

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