ALJ/CAB/sid Date of Issuance 4/11/2008

Decision 08-04-011 April 10, 2008

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

In the Matter of the Application of SOUTHERN CALIFORNIA EDISON COMPANY (U 338-E) for Approval of Results of Fast Track of Its New Generation Request for Offers and for Cost Recovery.

Application 07-02-026 (Filed February 28, 2007)

OPINION GRANTING APPLICATION OF SOUTHERN CALIFORNIA EDISON COMPANY FOR APPROVAL OF CONTRACT WITH CPV OCOTILLO, LLC

1. Summary

This decision grants the application by Southern California Edison Company (SCE) for approval of a contract that was selected from SCE's fast-track request for offers (RFOs) for new generation that could be on-line by August 2010. In its application, SCE seeks approval of two contracts, an offer from Blythe Energy, LLC (Blythe) for up to 490 megawatts (MW) of expected capacity and energy, and an offer from CPV Ocotillo, LLC (CPV)¹ for up to 455 MW of capacity and energy. Due to intervening circumstances regarding the timing on the completion of a study on the delivery of the power from Blythe, this decision only approves the 10-year power purchase agreement (PPA) with CPV and defers consideration of the Blythe PPA to a subsequent decision. SCE requests, and we grant, the authority to allocate the benefits and costs of the CPV PPA to all benefiting customers in accordance with Decision (D.) 06-07-029 and D.07-09-044.

¹ The CPV Ocotillo, LLC has since been renamed CPV Sentinel LLC; however, to avoid confusion and to remain consistent with the name provided in SCE's application, the project is referred to as CPV Ocotillo in this document.