Summary

This decision authorizes Southern California Edison Company (Edison) to make necessary and appropriate expenditures on the Mohave Generating Station (Mohave), for critical path investments required by the 1999 Consent Decree¹ to allow Mohave to continue operations post year-end 2005; to continue working on resolution of the essential water and coal issues including the funding of the C-Aquifer hydro-geological and environmental studies; to study options/alternatives to work in concert with Mohave's continued operation or to replace Mohave's power generation for Edison customers and Mohave's economic benefits for the Hopi and Navajo communities and other affected stakeholders if Mohave cannot continue as a coal-fired plant; and to establish a Mohave Employee-Related Memorandum Account (MERMA) to track worker protection benefit expenses incurred before January 1, 2006, associated with the temporary shut-down of Mohave at the end of 2005. Once the two primary unknown questions concerning the availability of water and coal supplies are ascertained, the Commission intends to review those cost and the contingency costs (which even Edison admits are not yet firm) subject to the usual GRC review of capital additions if Edison requests such regulatory assurance. Edison is also directed to proceed with an alternatives feasibility study to evaluate other viable procurement options to be used in conjunction with Mohave. Our goal is to return Mohave to service with as short of a shut-down period as possible. The Commission's decision at this time is made without prejudice to the ultimate resolution of the future fate of Mohave.

Edison is not required by law to file for a Certificate of Public Convenience and Necessity (CPCN) for the required environmental upgrades.