7. Assignment of Proceeding
President Michael R. Peevey is the assigned Commissioner and Carol A. Brown is the assigned ALJ in this proceeding.
1. SCE's conduct in respect to the fast-track RFO was reasonable.
2. SCE's choice of the CPV PPA from the other offers in the fast-track RFO is reasonable.
3. The CPV PPA is needed to preserve system reliability when the facility is scheduled to come on-line in August 2010.
4. There is no precise certainty as to whether the need for the power from CPV will be significantly greater in 2011 than in August 2010 when CPV is scheduled to come on-line, so it is reasonable to approve the contract for 2010 delivery.
5. Because the CPV facility will be a peaking, not a baseload resource, the greenhouse gas EPS does not apply here.
6. The CAISO's most recent Deliverability Study indicates that the power from the CPV facility will be fully deliverable under the Study's conditions.
7. SCE's 2006 LTPP indicated that SCE complied with the EAP loading order in assessing what resources were needed to meet the needs of its service territory.
8. SCE utilized an LCBF methodology in evaluating the CPV bid against other bids in the fast-track RFO.
1. The 10-year CPV PPA for up to 455 MW of capacity and energy deliverable from August 1, 2010 through July 31, 2020 is reasonable and should be approved.
2. The CPV payments should be recoverable in full through rates consistent with the terms of the PPA, subject only to SCE's prudent administration of the contract.
3. The costs and benefits of the CPV PPA should be allocated to all benefitting customers in SCE's service territory in accordance with the cost allocation methodology adopted in D.06-07-029 and the energy auction adopted in D.07-09-044.
IT IS ORDERED that:
1. We authorize Southern California Edison Company (SCE) to enter into a 10-year power purchase agreement (PPA) with CPV Ocotillo, LLC (CPV) for up to 455 megawatts of capacity and energy deliverable from August 1, 2010 through July 31, 2020.
2. We authorize SCE to allocate the costs and benefits of the CPV PPA with all benefitting customers in accordance with the cost allocation methodology adopted in Decision (D.) 06-07-029 and the energy auction adopted in D.07-09-044.
3. This proceeding will remain open to determine the appropriate consideration for the Blythe Energy, LLC. PPA that was also the subject of this application.
This order is effective today.
Dated April 10, 2008, at San Francisco, California.
MICHAEL R. PEEVEY
President
DIAN M. GRUENEICH
JOHN A. BOHN
RACHELLE B. CHONG
TIMOTHY ALAN SIMON
Commissioners
ATTACHMENT A
CAISO 2007 Q3 Generation Deliverability Study
Results-SCE and San Diego Areas
(Excerpt from Page 1 of the SCE Tab)
CAISO / SCE WDAT Queue Position |
Baseline Queue Number |
PMAX (MW) |
Utility |
Point of Interconnection |
Deliverable under study conditions? |
WDT011 |
1045 |
9 |
SCE |
Garnet 115 kV |
Yes |
WDT034 |
1050 |
2.1 |
SCE |
Garnet 115 kV |
Yes |
WDT016 |
1055 |
11.57 |
SCE |
Garnet 115 kV |
Yes |
1 |
1060 |
16.5 |
SCE |
Devers-Garnet 115 kV line (Tap) |
Yes |
WDT028 |
1065 |
2.5 |
SCE |
Moreno 12 kV |
Yes |
TOT023 |
1075 |
3.71 |
SCE |
Buckwind 115 kV |
Yes |
TOT015 |
1080 |
45 |
SCE |
Buckwind 115 kV |
Yes |
3 |
1150 |
850 |
SCE |
Devers Substation 230 kV Bus |
Yes |
7 |
1170 |
630 |
SCE |
El Segundo 220 kV Bus |
Yes |
WDT054 |
1200 |
16.9 |
SCE |
Devers 115 kV |
Yes |
WDT072 |
1215 |
10.5 |
SCE |
Goleta 66 kV |
Yes |
WDT080 |
1255 |
28.5 |
SCE |
Colton 66 kV |
Yes |
WDT086 |
1260 |
8 |
SCE |
La Fresa 66 kV |
Yes |
WDT085 |
1265 |
2.4 |
SCE |
Olinda 66 kV |
Yes |
WDT110 |
1280 |
5.6 |
SCE |
Chino 66 kV |
Yes |
WDT109 |
1285 |
4.2 |
SCE |
Etiwanda 66 kV |
Yes |
WDT111 |
1290 |
3.93 |
SCE |
Valley 115 kV |
Yes |
WDT098 |
1295 |
40 |
SCE |
Colton 66 kV |
Yes |
WDT118 |
1305 |
9 |
SCE |
Vestal 66 kV |
Yes |
WDT112 |
1310 |
16.54 |
SCE |
Control 115 kV |
No |
|
|
|
|
| |
11 |
1315 |
63 |
SCE |
Mountain Pass Substation |
No |
WDT129 |
1335 |
2.56 |
SCE |
Moorpark 66 kV |
Yes |
(END OF ATTACHMENT A)
