4. Comments on Draft Decision
Rule 77.7 of the Commission's Rules of Practice and Procedure provides for public review of and comment on draft decisions and alternates that are subject to § 311(g). Rule 77.7(f) provides that the Commission may reduce or waive the public review and comment period under various circumstances. Rule 77.7(f)(9) specifically provides for a reduction or waiver of the review and comment period where the public necessity so requires:
For a decision where the Commission determines, on the motion of a party or on its own motion, that public necessity requires reduction or waiver of the 30-day period for public review and comment. For purposes of this subsection, "public necessity" refers to circumstances in which the public interest of the Commission adopting a decision before expiration of the 30-day review and comment period clearly outweighs the public interest in having the full 30-day period for review and comment. "Public necessity" includes, without limitation, circumstances where failure to adopt a decision before expiration of the 30-day review and comment period would place the Commission or a Commission regulatee in violation of applicable law, or where such failure would cause significant harm to public health or welfare. When acting pursuant to this subsection, the Commission will provide such reduced period for public review and comment as is consistent with the public necessity requiring reduction or waiver.
Pursuant to Rule 77.7(f)(9), we determine that public necessity requires a reduction of the period for public review and comment. Such a reduction will enable the Commission to consider establishing an initial frozen energy component rate of 6.5 cents per kWh for SDG&E's larger customers at the Commission's May 3, 2001 meeting. The public interest in doing so clearly outweighs the public interest in having the full 30-day review and comment period on what is essentially a ministerial action to comply with ABX1 43. The Legislature designated this as an urgency statute, having determined that urgent action was necessary "to safeguard economic viability of the communities in the San Diego region." (ABX1 43, Section 4.) We adopt this legislative determination as our own, and further find that the requirement that we establish an initial frozen rate of 6.5 cents per kWh for SDG&E's larger customers should be implemented as soon as possible so that those customers may begin to realize the rate relief ordered by ABX1 43.
Accordingly, we determine on our own motion that the review and comment period should be reduced. The draft decision was mailed on April 24, 2001, and comments were permitted to be filed within six days thereafter. Parties have had an adequate opportunity to review and comment on the draft decision, consistent with § 311(g).
1. As amended by ABX1 43, Section 332.1(f) requires that the Commission establish an initial frozen rate of $.065 per kWh for the energy component of rates for SDG&E's customers not subject to § 332.1(b), i.e., larger commercial, agricultural, and industrial customers, retroactive to February 7, 2001.
2. Parties have been given notice that this consolidated proceeding would be the procedural vehicle for consideration of Commission actions to implement ABX1 43.
3. The Legislature has found that urgent action with respect to rates for SDG&E's larger customers is necessary "to safeguard economic viability of the communities in the San Diego region."
4. Commission action to implement the first sentence of § 332.1(f) subject to less than a full 30-day review and comment period will enable SDG&E's larger customers to realize the rate protection intended by the Legislature at the earliest possible date.
1. SDG&E should be directed to implement an initial frozen rate of 6.5 cents per kWh for its large commercial, agricultural, and industrial bundled service customers in conformance with § 332.1(f) and the foregoing discussion.
2. Our order authorizing SDG&E to establish a memorandum account is made without prejudice to our subsequent determination of the means of compliance with § 332.2.
3. Public necessity requires a reduction of the 30-day period for review of and comment on the draft decision so that the Commission can consider issuing a decision at its regularly scheduled meeting of May 3, 2001.
4. This order should be effective today so that these rate changes may be implemented expeditiously.
IT IS ORDERED that:
1. Within five days of the effective date of this decision, San Diego Gas & Electric Company (SDG&E) shall file an advice letter to implement the initial frozen rate for customers not subject to Pub. Util. Code § 332.1(b), in compliance with Pub. Util. Code § 332.1(f) and this decision. The advice letter shall be effective on filing subject to Energy Division determining that it is in compliance with this decision.
2. SDG&E shall establish a memorandum account to record revenues and revenue shortfalls associated with the initial frozen rate established by Ordering Paragraph 1. Within five days of the effective date of this decision, SDG&E shall file an advice letter to implement the memorandum account. The advice letter shall be effective on filing subject to Energy Division determining that it is in compliance with this decision.
3. This proceeding shall remain open to consider further implementation of ABX1 43 and other remaining unresolved issues.
This order is effective today.
Dated , at San Francisco, California.
