STATE OF CALIFORNIA GRAY DAVIS, Governor

PUBLIC UTILITIES COMMISSION

505 VAN NESS AVENUE

SAN FRANCISCO, CA 94102-3298

Item 4

6/28/01

June 13, 2001

TO: PARTIES OF RECORD IN RULEMAKING 00-10-002

A draft decision of Commissioner Carl Wood is attached. The decision will be on the Commission's June 28, 2001 meeting agenda. The Commission may act then, or it may postpone action until later.

When the Commission acts on a 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.

A shortened comment and reply comment period is adopted. (Rule 77.7 of the Commission's Rules of Practice and Procedure.) As a result, comments on the draft decision must be filed and served by Wednesday, June 20, 2001. Reply comments must be filed and served by Friday, June 22, 2001.

Service of comments and reply comments must be consistent with the December 7, 2000 ruling on service. That is, service shall be performed on the service list by electronic mail, including Commission members on the service list. In addition, limited service of paper copies is required as explained in the Ruling. Finally, comments must be served separately on Presiding Officer and Assigned Commissioner Wood and Administrative Law Judge Mattson. For paper copy service, I suggest delivery at the same time the document is filed in the Docket Office.

/s/ LYNN T. CAREW

Lynn T. Carew, Chief

Administrative Law Judge

Attachments

LTC:tcg

COM/CXW/tcg DRAFT Item 4

6/28/01

Decision DRAFT DECISION OF COMMISSIONER WOOD (Mailed 6/13/01)

BEFORE THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

Order Instituting Rulemaking into the operation of interruptible load programs offered by Pacific Gas & Electric Company, San Diego Gas & Electric Company, and Southern California Edison Company and the effect of these programs on energy prices, other demand responsiveness programs, and the reliability of the electric system.

Rulemaking 00-10-002 (Filed October 5, 2000)

INTERIM OPINION
ON ESSENTIAL CUSTOMER STATUS FOR REFINERIES

1. Summary

This decision amends the Priority System for Rotating Outages by adding Category N to the list of essential customers normally excluded from rotating outages. Category N is petroleum refineries, vital ancillary facilities, and other customers in the critical fuels chain of production, to the extent authorized by the Commission. Backup generation shall not be considered at this time in determining eligibility of a refinery or vital ancillary facility for Category N.