STATE OF CALIFORNIA ARNOLD SCHWARZENEGGER, Governor

PUBLIC UTILITIES COMMISSION

505 VAN NESS AVENUE

SAN FRANCISCO, CA 94102-3298

August 1, 2005 Agenda ID #4836

Quasi-Legislative

TO: PARTIES OF RECORD IN RULEMAKING 99-11-022

This is the draft decision of Administrative Law Judge (ALJ) Bruce DeBerry. It will not appear on the Commission's agenda for at least 30 days after the date it is mailed. The Commission may act then, or it may postpone action until later.

When the Commission acts on the draft decision, it may adopt all or part of it as written, amend or modify it, or set it aside and prepare its own decision. Only when the Commission acts does the decision become binding on the parties.

Parties to the proceeding may file comments on the draft decision as provided in Article 19 of the Commission's "Rules of Practice and Procedure." These rules are accessible on the Commission's website at http://www.cpuc.ca.gov/PUBLISHED/RULES PRAC PROC/44887.htm.. Pursuant to Rule 77.3 opening comments shall not exceed 15 pages. Finally, comments must be served separately on the ALJ and the assigned Commissioner, and for that purpose I suggest hand delivery, overnight mail, or other expeditious method of service.

/s/ ANGELA K. MINKIN

Angela K. Minkin, Chief

Administrative Law Judge

ANG:hl2

Attachment

ALJ/BMD/hl2 DRAFT Agenda ID #4836

Quasi-Legislative

Decision DRAFT DECISION OF ALJ DeBERRY (Mailed August 1, 2005)

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Order Instituting Rulemaking into Implementation of Public Utilities Code Section 390.

Rulemaking 99-11-022 (Filed November 18, 1999)

OPINION GRANTING PACIFIC GAS AND ELECTRIC COMPANY'S
PETITION TO MODIFY DECISION 01-03-067

Summary

This decision grants Pacific Gas and Electric Company's (PG&E) Petition for Modification of Decision (D.) 01-03-067, and applies PG&E's requested relief to other California investor owned utilities (IOU). This modification relieves IOUs of the obligation to pay Qualifying Facilities (QF), that have power purchase agreements (PPA) with the IOUs, within 15 days of the end of the QF billing period. This modification is estimated to save PG&E's ratepayers $7.5 million annually, and save ratepayers for other IOUs comparable amounts.