Word Document

ALJ/RAB/abw

DRAFT

Item 1

   

11/2/00

Decision PROPOSED DECISION OF ALJ BARNETT (Mailed 9/20/2000)

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

In the Matter of the Application of San Diego Gas & Electric Company For Authority to Increase its Rates And Charges for Electric, Gas, and Steam Service, Effective January 1, 1993. (U 902-M)

Application 91-11-024

(Filed November 15, 1991; Rate Design Window Segment Filed

November 1, 1999)

(Appearances are listed in Appendix H.)

O P I N I O N

This decision affects only the distribution rates that San Diego Gas & Electric Company (SDG&E) charges its customers for electric utility services. A typical residential electric bill would decrease by less than 1%. The average monthly residential electric bill, excluding the price of power from the Power Exchange, will decrease from $34.33 to $34.01. On a total rate impact basis, SDG&E's residential electric customers will receive a 0.6% decrease; small commercial customers would receive a 0.5% decrease and large commercial/industrial customers would see a 0.7% increase. The Lighting class would experience no change in average rates while SDG&E's Agricultural customer class would receive a 0.9% decrease. There will be a 15% discount as a line item adjustment to a California Alternative Rates for Energy (CARE) customer's bill. We also provide better alignment of rates to costs. There will be a new service level for customers that are large or have multiple meters close to an SDG&E transmission line. The net effect is a rate decrease for eligible customers. We close five rate schedules in effect when SDG&E owned fossil generation, and we cancel two unused rate schedules.

Procedural History

On November 1, 1999, SDG&E submitted its Rate Design Window (RDW) application for authority to make various rate design changes, to update specific marginal costs, and to revise the cost allocation among customer classes based on those revisions. SDG&E submitted this application in accordance with the schedule adopted in Decision (D.) 89-01-040 as amended by D.95-09-020. This application is the second step in a two-step process. SDG&E initiated its 1999 RDW proceeding on September 15, 1999, by mailing, a copy of it's 1999 Marginal Cost Report to all parties in Application (A.) 98-07-006, SDG&E's 1998 Revenue Allocation Proceeding (RAP) and A.91-11-024, SDG&E's last general rate case. SDG&E also submitted this application to fulfill the requirement set forth in Ordering Paragraph 10 of the first RAP decision, D.99-06-058. SDG&E asserts that its RDW filing will support the Commission's efforts to make the electric industry more competitive in the post-rate freeze environment, because the RDW proposals better align SDG&E's electric rates with its costs.

Previous PageTop Of PageGo To First PageNext Page