Comments on Draft Decision

The draft decision was mailed to the parties in accordance with Pub. Util. Code § 311(g)(1) and Rule 77.7 of the Rules of Practice and Procedure.

Findings of Fact

1. Among the issues reviewed in Phase 1 of PG&E's 1999 GRC, and resolved in D.00-02-046, were the CIS components of PG&E's revenue requirement.

2. In the GRC, the Commission considered an extensive evidentiary record developed by PG&E as well as by ORA and Enron, the two parties which contested PG&E's CIS-related capital additions and expense request.

3. The GRC Decision exhaustively reviewed the parties' evidence regarding CIS-related capital additions and expenses, including a number of substantial disallowances ORA and Enron proposed for PG&E's alleged mismanagement.

4. D.00-02-046 reduced PG&E's CIS-related capital additions request by $10.8 million and adopted the difference, $73.8 million.

5. D.00-02-046 adopted the undisputed expense estimate for PG&E's test year CIS operations, approximately $16.8 million.

6. The record developed in this proceeding is inconclusive and merely suggests that PG&E's delay in implementing weekly PX price calculations may have a negative effect on development of the direct access market.

Conclusions of Law

1. Since we cannot conclude that PG&E's delay in implementing weekly PX price calculations has resulted in economic or competitive harm, one of the primary factors established by D.98-12-075, we need not consider the other four penalty factors.

2. The record lacks the support necessary for imposition of a penalty.

3. In order to permit this proceeding to be closed expeditiously, this decision should be effective immediately.

ORDER

IT IS ORDERED that this proceeding is closed.

This order is effective today.

Dated , at San Francisco, California.

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