ALJ/KLM/avs Mailed 12/21/2004

Decision 04-12-045 December 16, 2004

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Order Instituting Rulemaking Regarding Policies, Procedures and Incentives for Distributed Generation and Distributed Energy Resources.

Rulemaking 04-03-017

(Filed March 16, 2004)

ORDER TO MODIFY THE SELF GENERATION INCENTIVE
PROGRAM AND IMPLEMENT ASSEMBLY BILL 1685

TABLE OF CONTENTS

Title Page

ORDER TO MODIFY THE SELF GENERATION INCENTIVE PROGRAM AND IMPLEMENT ASSEMBLY BILL 1685 2 2

1 Summary 2 2

2. Background 2 2

3. Discussion 4 4

3.1 Incentive Levels and Size Limits 4 4

3.2 Administrative Budget 10 10

3.3 Incentives from other Sources 10 10

3.4 Treatment of Program and Project Data 11 11

3.5 Declining Rebates and Exit Strategy 12 12

3.6 Program Evaluation and Cost Effectiveness 13 13

3.7 Program Administration Through 2007 16 16

3.8 Emission and Efficiency Requirements 20 20

3.9 Participation in the SGIP Working Group 22 22

3.9.1 Program Eligibility 23 23

4. Other Issues 23 23

4.1 Corporate Parent Limits 23 23

4.2 Reservation Requests 24 24

5. Comment on Draft Decision 25 25

6. Assignment of Proceeding 25 25

Findings of Fact 25 25

Conclusions of Law 27 27

ORDER 29 29

ATTACHMENT A Assembly Bill 1685