Item 9
1 VALLEY CLEAN ENERGY ALLIANCE
Staff Report – Item 9
To: Board of Directors
From: Keyes & Fox, Regulatory Consultant
Subject: Regulatory Monitoring Report – Keyes & Fox
Date: December 12, 2024
______________________________________________________________________________ Please find attached Keyes & Fox’s November 2024 Regulatory Memorandum dated December 4, 2024 an informational summary of the key California regulatory and compliance-related updates from the California Public Utilities Commission (CPUC).
Attachment: Keyes & Fox Regulatory Memorandum dated December 4, 2024
1 Valley Clean Energy Alliance
Regulatory Monitoring Report
To: Valley Clean Energy Alliance (VCE) Board of Directors From: Sheridan Pauker, Partner, Keyes & Fox LLP
Jason Hoyle, Principal Analyst, EQ Research, LLC
Subject: Monthly Regulatory Update
Date: December 4, 2024
Keyes & Fox LLP and EQ Research LLC are pleased to provide VCE’s Board of Directors with this informational memo describing key California regulatory and compliance-related updates from the California Public Utilities Commission (CPUC) over the past month.
PG&E 2025 ERRA Forecast
Background: The annual Energy Resource and Recovery Account (ERRA) forecast proceedings establish the amount of the Power Charge Indifference Adjustment (PCIA) and other non-bypassable charges (NBCs) for the following year, as well as fuel and purchased power costs associated with serving bundled customers that utilities may recover in rates.
Recent Developments: On November 25, the CPUC issued a Proposed Decision on PG&E’s 2025 ERRA Forecast.
PG&E’s 12-month net revenue requirement for 2025 is approximately $2.25 billion, 17% less than the adopted 12-month revenue requirement for 2024. This revenue requirement results in a decrease of bundled residential customers‘ rates of about 2% or 0.7 cents per kilowatt-hour (cents/kWh) to a total rate of 34.6 cents/kWh, and a decrease in CCA residential customers’ of about 4.4% or 0.9 cents/kWh to a total rate of 19.7 cents/kWh. This decision would also adopt a 2025 California Climate Credit of $58.23, a $3.06 decrease compared to 2024.
Analysis: The Proposed Decision agrees with CalCCA and would reject PG&E’s effort to alter how the resource adequacy market price benchmark is accounted for in rates. This would be a significant result that will protect departed customers from paying more than their fair share in PCIA rates. At the same time, the Proposed Decision would also set the stage for a future rulemaking where the Commission would consider issues related to the valuation of PG&E’s and the other IOUs’ capacity portfolios for the purposes of setting rates. CalCCA generally supports that endeavor. Finally, the Proposed Decision would adopt a revised version of PG&E’s proposed common cost allocation methodology that aligns with the method used by SCE.
Next Steps: The Proposed Decision may be heard as early as the December 19 Commission meeting. There is an expedited comment period for this PD. Reply comments are due December 9.
Additional Information: Proposed Decision (Nov. 25, 2024); PG&E Fall Update (Oct. 23, 2024); Joint Case Management Statement (Sep. 27, 2024); Scoping Memo and Ruling (Aug. 1, 2024); ALJ Ruling (Jun. 13, 2024); PG&E’s Amended Application (May 24, 2024); PG&E 2025 ERRA Forecast Application (May 15, 2024); Docket No. A.24-05-009.
Diablo Canyon Cost Recovery
Background: This proceeding will establish rates effective January 1, 2025 to recover the forecast costs associated with extended operations of the Diablo Canyon Power Plant (DCPP) during the September 2023-December 2025 time period. Customers across the state – including CCA customers - will pay for the costs of extended operations at DCPP, and will be allocated the resource adequacy (RA) and greenhouse gas (GHG)-free benefits associated with those operations. PG&E proposes, in its application, certain changes to the allocation of RA and GHG-free benefits to load serving entities (LSEs). It also proposes specific uses for the volumetric performance fee revenue it will collect from customers in 2025.
Recent Developments: On November 14, the CPUC issued a Proposed Decision on PG&E’s revenue requirement to support extended operations at the Diablo Canyon Power Plant (DCPP) and the 2025 volumetric performance fees proposal.
Analysis: The Proposed Decision approves the joint IOUs’ proposal to establish the DCPP non-bypassable charge (NBC) that applies to all Commission jurisdictional customers based on approved net costs, of which 44.9% is allocated to customers in PG&E’s territory. The impact of these charges is estimated to increase system average bundled service rates by 1.4% and the system average rate for CCA and direct access customers by 2.4% in PG&E’s territory, effective starting January 1, 2025.
2 Next Steps: The Proposed Decision may be heard as soon as the December 19 Commission meeting. Comments on the Proposed Decision are due December 4 and reply comments are due December 9.
Additional Information: Proposed Decision (Nov. 14, 2024); PG&E AL 7295-E-A (Aug. 30, 2024); ALJ Ruling (Aug. 27, 2024); ALJ Ruling (Aug. 15, 2024); Scoping Memo and Ruling (Jun. 18, 2024); PG&E AL 7295-E (Jun. 12, 2024); ALJ Ruling (May 15, 2024); Amended Application (Apr. 8, 2024); Application (Mar. 29, 2024); Docket No. A.24-03-018.
Demand Flexibility
Background: This rulemaking was opened to update the CPUC’s rate design principles and guidance for advancing demand flexibility, and the proceeding may also modify, consolidate, or eliminate existing dynamic rate pilots. Phase 1- Track A established an income-graduated fixed charge (IGFC) for residential rates for all investor-owned electric utilities in accordance with Assembly Bill 205 (Stats. 2022, ch. 61). Phase 1-Track B first adopted rate design and demand flexibility principles and then expanded VCE’s AgFIT Pilot throughout PG&E distribution territory.
Recent Developments: On November 8, VCE submitted AL 20-E stating its intention to participate in PG&E’s expanded pilot #2. On November 19, the Public Advocates Office filed a motion to submit new evidence to the record regarding how to update marginal costs for real-time pricing pilots between general rate case cycles.
Analysis: Expanded Pilot # 2 is administered by PG&E, based on VCE’s AgFIT Pilot and applies to residential, commercial, and industrial customers on B-6, B-10, B-19, B-20, E-ELEC, and EV2-A rates.
Next Steps: A proposed decision on Track B Working Group 1 proposals regarding rate design for marginal generation capacity costs is expected by the end of this year.
Additional Information: PAO Motion (Nov. 19, 2024); VCE AL 20-E (Nov. 8, 2024); PG&E Reply to Protest (Oct. 29, 2024); PAO Protest of AL 7395-E (Oct. 22, 2024); PG&E AL 7395-E (Oct. 2, 2024); (ALJ Ruling (Sep. 16, 2024); Disposition Letter on VCE AL 17-E (Sep. 3, 2024); PG&E AL 7223-E-B (Aug. 13, 2024); PG&E AL 7351-E (Aug. 13, 2024) and AL 7351-E-A (Sep. 13, 2024); Letter granting PG&E dynamic rate pilot enrollment extension (May 31, 2024); PG&E Request for dynamic rate pilot enrollment extension (May 24, 2024); D.24-05-028 (May 15, 2024); VCE Substitute Sheet AL 17-E (Apr. 18, 2024); PG&E AL 7222-E-A (Apr. 17, 2024); D.24-01-032 (Jan. 26, 2024); Phase 1 Scoping Memo and Ruling (Nov. 2, 2022); OIR (Jul. 22, 2022); Docket No. R.22-07-005.
PG&E Billing System Modernization
Background: This proceeding addresses PG&E’s plan to upgrade its legacy billing system, some portions of which date back to the mid-1990s. PG&E proposed a three-stage upgrade that would ultimately be complete in Q4 2029 and cost an estimated $761.3 million.
Recent Developments: Protests to PG&E’s Application were filed on November 25.
Analysis: PG&E’s outdated billing system is incapable of handling the quantity of customers or the increased complexity of more modern electricity rates, including income-graduated fixed changes and real-time pricing in many cases. Also, the outdated billing system imposes significantly higher per-customer costs on CCAs in PG&E’s territory than for CCAs elsewhere in the state.
Next Steps: Following protests and interventions, a status conference will be held, which will be followed by issuance of a procedural schedule.
Additional Information: Application (Oct. 23, 2024); Docket No. A.24-10-014.
Clean Power SF Municipalization
Background: The City and County of San Francisco (SF or City) filed this Petition for a determination by the CPUC of just compensation for acquisition by the City of PG&E property (PG&E distribution system within SF transmission assets needed for operational control, a substation and related assets). The Petition was filed pursuant to Public Utilities Code §1401-1421, which gives political subdivisions the right to petition the CPUC to value IOU assets that the political subdivision seeks to acquire and fix the just compensation for those assets. In the initial Scoping Memo, Assigned Commissioner John Reynolds declined to consider public interest determinations under Public Utilities Code §851 which PG&E sought to interject ahead of the CPUC’s consideration of the valuation of PG&E assets. Briefing was filed in August of 2022. In March of 2024, the ALJ issued a Ruling seeking Party comments on standards for just compensation.
Recent Developments: On November 13, the City and County of San Francisco filed a Motion to compel discovery, and PG&E filed a Response on November 25.
Analysis: The current discovery dispute relates to information that PG&E allegedly provided to the CPUC and its consultant but it is refusing to provide to the City and County.
Next Steps: According to the most recent procedural schedule, a Proposed Decision issuing a draft valuation was planned to be issued in Q4 2024, but given discovery disputes and the need for testimony, hearings, and briefing to precede this decision, this will likely be further delayed into 2025.
Additional Information: PG&E Response to Motion (Nov. 25, 2024); Motion (Nov. 13, 2024); ALJ Ruling (Oct. 28, 2024); ALJ Ruling requesting comments (Mar. 27, 2024); Amended Scoping Memo and Ruling (Dec. 22, 2023); Ruling
3 amending schedule (Nov. 9, 2022); Scoping Memo and Ruling (Jun. 24, 2022); Petition (Jul. 27, 2021); Docket No.
P.21-07-012.
RPS Rulemaking
Background: This proceeding addresses ongoing Renewables Portfolio Standard (RPS) requirements, including legislative mandates, and other matters related to the purchase of renewable energy. This proceeding is the forum for review of VCE’s RPS Procurement Plan and RPS Compliance reports.
Recent Developments: On November 15, the CPUC issued a Proposed Decision adopting 2024 RPS Procurement Plans, identifying required modifications for Final RPS Plans, and clarifying that the filing date of the draft version of RPS Plans will be considered the “year of filing” for confidentiality purposes.
Analysis: The Proposed Decision would require a minor correction to VCE’s documentation of its total 2021 RPS procurement, but otherwise would find it to be compliant.
Next Steps: The Proposed Decision may be heard as soon as the December 19 Commission meeting. Comments on the Proposed Decision are due December 5 and reply comments are due December 9. VCE’s Final RPS Plan filing will be due 30 days after the Final Decision is issued.
Additional Information: Proposed Decision (Nov. 15, 2024); D.24-10-009 (Oct. 18, 2024); VCE Draft 2024 RPS Procurement Plan (Jul. 22, 2024); PG&E AL 7332-E (Jul. 22, 2024); Resolution E-5323 on ReMAT rates (Jun. 24, 2024); Assigned Commissioner’s Ruling on 2024 RPS Procurement Plans (May 17, 2024); Scoping Memo and Ruling (May 9, 2024); ALJ Ruling (Mar. 7, 2024); OIR (Feb. 1, 2024); Docket No. R.24-01-017.
RA Rulemaking (2025-2026)
Background: This proceeding considers resource adequacy (RA) requirements for LSEs and will address the 2025 and 2026 RA compliance years, local RA procurement obligations for the 2025-2028 compliance years, and further development of the 24-hour Slice-of-Day (SOD) framework. Track 1 was focused on priority issues including RA capacity requirements, SOD framework implementation, and RA compliance and penalties. Track 2 is focused on Central Procurement Entity (CPE) framework issues, including potential structural modifications, and Track 3 will be focused on remaining RA capacity issues. The Commission issued a decision (D.24-06-004) on Track 1 on June 26, 2024.
Recent Developments: Comments on the Proposed Decision on Track 2 issues were filed November 18 and reply comments were filed November 25. A Revised Proposed Decision was issued on December 3.
Analysis: The Proposed Decision would adopt modifications to the central procurement entity (CPE) framework, such as eliminating the non-compensated self-show option of the CPE framework and locking in CPE allocations to load-serving entities (LSEs) one year earlier. It also proposed further revision to the planning reserve margin by the Energy Division, to be released in early December 2024.
Next Steps: The Proposed Decision may be heard as early as the December 5 Commission meeting. An updated study on the 2026 planning reserve margin is expected in December.
Additional Information: Revised Proposed Decision on Track 2 (Dec. 3, 2024); Track 3 Scoping Memo and Ruling (Nov. 4, 2024); PG&E AL 7365-E (Sep. 19, 2024); ALJ Ruling (Jul. 22, 2024); ALJ Ruling (Jun. 26, 2024); D.24-06-004 (Jun. 26, 2024); Scoping Memo and Ruling (Dec. 18, 2023); OIR (Oct. 16, 2023); Docket No. R.23-10-011.
IRP Rulemaking
Background: This proceeding governs the biennial Integrated Resource Plan (IRP) process, including load serving entity (LSE) procurement requirements, the establishment of a variety of state- and LSE-level load and procurement forecasts, greenhouse gas (GHG) reduction targets, and ongoing reliability obligations.
Recent Developments: On November 19, Parties filed comments on the October 30 ALJ Ruling on the preliminary mapping of resources to busbars on the transmission system.
Analysis: N/A
Next Steps: By March 1, 2025, the CPUC may request that the Division of Water Resources exercise the centralized procurement mechanism for long-lead-time resources.
Additional Information: ALJ Ruling (Oct. 30, 2024); D.24-09-006 (Sep. 17, 2024); ALJ Ruling (Sep. 12, 2024); D.24-08- 064 on central procurement of LLT resources (Aug. 29, 2024); Proposed Decision on bridge resources (Aug. 9, 2024); ALJ Ruling (May 21, 2024); Amended Scoping Memo and Ruling (Correction/Clarification) (Apr. 18, 2024); D.24-02-047 (Feb. 20, 2024); D.23-12-014 (Dec. 19, 2023); D.23-02-040 on Procurement (Feb. 28, 2023); Docket No. R.20-05-003.
Microgrids
Background: This proceeding was opened to implement the requirements of SB 1339 (Stern, 2018), requiring the commercialization of microgrids for distribution customers of the large IOUs. The initial three tracks have concluded, and
4 Track 4 and Track 5 address the establishment of a Microgrid Incentive Program (MIP), potential contributions that microgrids can make to mitigating capacity shortages in the near-term, the development of a multi-property microgrid framework, and examination of the value of resiliency from microgrids.
Recent Developments: D.24-11-004 adopting implementation rules for multi-property microgrid tariffs and closing the proceeding was issued November 18.
Analysis: The multi-property microgrid tariff adopted in the Decision ensures costs are not shifted to ratepayers, and it must be used by non-utility microgrids deployed through the Microgrid Incentive Program, which supports disadvantaged and vulnerable communities that are impacted by grid outages and may otherwise be unable to deploy a multi-property microgrid project without facing substantial capital costs. Microgrid applicants located in a CCA’s service area will be directed to consult with the CCA about the potential for collaboration.
Next Steps: This proceeding is now closed.
Additional Information: D.24-11-004 (Nov. 18, 2024); PG&E AL 7042-E-B (Jul. 23, 2024); CALSSA PFM (Jun. 11, 2024); Order denying Joint Application for Rehearing (Apr. 19, 2024); ALJ Ruling (Mar. 27, 2024); Microgrid Resources Coalition proposal, Green Power Institute proposal, Clean Coalition proposal (Dec. 15, 2023); PG&E MIP Handbook (Oct. 12, 2023); Scoping Memo and Ruling (Jul. 18, 2023); D.23-04-034 on Microgrid Incentive Program Implementation (Apr. 14, 2023); Docket No. R.19-09-009.
Provider of Last Resort Rulemaking
Background: A Provider of Last Resort (POLR) is the utility or other entity that has the obligation to serve all customers (PG&E currently serves in this role for VCE’s service area). Phase 1 of this proceeding concluded in April 2024 and addressed POLR service requirements, cost recovery, and options to maintain GHG emission reductions in the event of an unplanned customer migration to the POLR. Phase 2 will build on Phase 1 to set the requirements and application process for non-IOU entities to serve as the POLR. Phase 3 will address specific issues not resolved in Phase 1 or 2.
Recent Developments: No recent developments.
Analysis: N/A
Next Steps: Comments on the Threshold Questions are due January 10 and reply comments are due January 24. A ruling on the need for legal briefs is expected in Q1 2025 and resolution of the Threshold Questions is expected in Q2 2025, after which the primary topic areas will be addressed. The first revised FSR posting under this Decision is due March 1, 2025, and subsequent FSR postings are due July 1 and January 1 of each year.
Additional Information: Scoping Memo and Ruling (Oct. 24, 2024); ALJ Ruling (Aug. 6, 2024); Joint CCA Advice Letter on new registration (Jul. 17, 2024); Joint CCA Advice Letter on financial modeling and reporting guidelines (Jul. 1, 2024); D.24-04-009 / Appendix (Apr. 22, 2024); Amended Scoping Ruling and Memo (Jun. 19, 2023); OIR (Mar. 25, 2021); Docket No. R.21-03-011.
PG&E 2023 Phase 2 GRC
Background: Phase 2 General Rate Case (GRC) proceedings determine PG&E’s marginal cost of service and revenue requirement allocation among customer classes for a set period (in this case, 2023-2026).
Recent Developments: CalCCA filed a motion for party status on December 2, indicating its intention to further examine PG&E’s proposals to increase CCA service fees and modify the Commission’s process for reviewing future fee escalation requests.
Analysis: N/A
Next Steps: A prehearing conference is expected, followed by issuance of a Scoping Memo setting a procedural schedule.
Additional Information: Application (Sep. 30. 2024); Docket No. A.24-09-014.
PG&E 2024 ERRA Forecast
Background: The annual Energy Resource and Recovery Account (ERRA) forecast proceedings establish the amount of the Power Charge Indifference Adjustment (PCIA) and other non-bypassable charges (NBCs) for the following year, as well as fuel and purchased power costs associated with serving bundled customers that utilities may recover in rates.
The April 2 Scoping Memo and Ruling consolidated all three major IOUs’ ERRA forecast proceedings for the sole purpose of addressing issues related to the definition of and accounting for “fixed generation costs” in a Track 2.
Recent Developments: Track 2 rebuttal testimony was filed on November 22.
Analysis: N/A
Next Steps: A status conference is set for December 3, and evidentiary hearings may be held, if needed, in January 2025. A proposed decision is expected in April 2025.
Additional Information: Scoping Memo & Ruling (Oct. 11, 2024); ALJ Ruling on Track 2 schedule (May 1, 2024); Joint CCA Motion (Apr. 26, 2024); IOU Motion (Apr. 25, 2024); Scoping Memo and Ruling (Apr. 2, 2024); Joint Prehearing Conference Statement (Mar. 26, 2024); PG&E AL 7180-E (Feb. 15, 2024); D.23-12-022 (Dec. 19, 2023); ALJ Ruling
5 (Dec. 18, 2023); ALJ Ruling (Nov. 20, 2023); Market Price Benchmarks (Oct. 2, 2023); Scoping Ruling and Memo (Sep. 15, 2023); ERRA Trigger Application (Jul. 28, 2023); CalCCA Protest (Jun. 16, 2023); PG&E 2024 ERRA Forecast Application (May 15, 2023); Docket No. A.23-05-012.
PG&E 2021 ERRA Compliance
Background: The annual ERRA Compliance proceeding reviews the utility’s compliance with CPUC-approved standards for generation-procurement and cost recovery activity occurring in the prior year, such as energy resource contract administration, least-cost dispatch, fuel procurement, and balancing account entries.
Recent Developments: No recent developments.
Analysis: N/A
Next Steps: A proposed decision was expected in early 2024 but is delayed.
Additional Information: ALJ Ruling (Nov. 9, 2023); ALJ Ruling (Sep. 27, 2023); ALJ Ruling on schedule (Jan. 6, 2023); Assigned Commissioner’s Scoping Memo and Ruling (Aug. 9, 2022); PG&E 2021 ERRA Compliance Application (Feb. 28, 2022); Docket No. A.22-02-015.
PG&E 2022 ERRA Compliance
Background: The annual ERRA Compliance proceeding reviews the utility’s compliance with CPUC-approved standards for generation-procurement and cost recovery activity occurring in the prior year, such as energy resource contract administration, least-cost dispatch, fuel procurement, and balancing account entries.
Recent Developments: No recent developments.
Analysis: N/A
Next Steps: N/A
Additional Information: ALJ Ruling (Sep. 3, 2024); ALJ Ruling (Jul. 26, 2024); ALJ Ruling (May 22, 2024); ALJ Ruling (May 16, 2024); ALJ Ruling (Apr. 16, 2024); PG&E and CalAdvocates’ Joint Motion for Settlement (Mar. 7, 2024); CalCCA Motion (Mar. 1, 2024); ALJ Ruling (Feb. 15, 2024); ALJ Ruling (Sep. 25, 2023); Scoping Memo and Ruling (Jun. 2, 2023); PG&E 2022 ERRA Compliance Application and Notice of Availability (Feb. 28, 2023); Docket No. A.23- 02-018.
PG&E 2023 ERRA Compliance
Background: The annual ERRA Compliance proceeding reviews the utility’s compliance with CPUC-approved standards for generation-procurement and cost recovery activity occurring in the prior year, such as energy resource contract administration, least-cost dispatch, fuel procurement, and balancing account entries.
Recent Developments: The Joint Case Management Statement was filed November 6.
Analysis: The Joint Case Management Statement identified no disputed issues of fact. PG&E and CalCCA indicated interest in discussing settlement terms related to the Humboldt 6 outage.
Next Steps: Opening briefs are due December 19 and a proposed decision is expected by mid-March 2025.
Additional Information: Joint Case Management Statement (Nov. 6, 2024); ALJ Ruling (Oct. 21, 2024); Scoping Memo and Ruling (Jun. 12, 2024); Joint Prehearing Conference Statement (Apr. 15, 2024); CalCCA’s Protest (Apr. 5, 2024); PG&E 2023 ERRA Compliance Application (Feb. 28, 2024); Docket No. A.24-02-012.
Building Decarbonization
Background: This proceeding explores reduction of greenhouse gas (GHG) emissions associated with energy use in buildings. D.20-03-027 established the Building Initiative for Low-Emissions Development and the Technology and Equipment for Clean Heating program. D.21-11-002 adopted guiding principles for layering building decarbonization incentives, adopted incentives to help wildfire victims rebuild all-electric, and directed the IOUs to study bill impacts from electrification. The current Phase 4 will consider whether modifications to electric line extension rules would assist under-resourced customers, electric baseline allowance modifications to encourage building decarbonization, and new programmatic approaches to building decarbonization.
Recent Developments: On November 14 the CPUC issued Draft Resolution E-5352 providing guidance on determining eligibility for electric line extension subsidies for mixed-fuel new construction projects. On November 21, PG&E submitted AL 5004-G/7437-E making revisions to its gas and electric tariffs defining a newly constructed building.
Analysis: N/A
Next Steps: The Draft Resolution is scheduled to be heard at the December 19 Commission meeting. A proposed decision on Phase 4 Track A considerations is expected in 2024, and a Phase 4 Track B staff proposal is expected in Q4 2024, followed by proposed decisions in Q2 2025.
6 Additional Information: PG&E AL 5004-G/7437-E (Nov. 21, 2024); Draft Resolution E-5352 (Nov. 14, 2024); ALJ Ruling and Track A Staff Proposal (Jul. 18, 2024); Scoping Memo and Ruling (Jul. 1, 2024); OIR (Feb. 8, 2019); Docket No.
R.19-01-011.
EV Rates & Infrastructure
Background: This rulemaking is the successor to R.18-12-006 and will focus on issues related to 1) timely energization of electric vehicle (EV) charging, 2) transportation electrification grid planning to support charging infrastructure deployment, 3) deployment of behind-the-meter (BTM) charging infrastructure to support state goals, 4) vehicle-grid integration (VGI), and 5) ongoing transportation electrification policy development and collaboration.
Recent Developments: No recent developments.
Analysis: N/A
Next Steps: There is no current procedural schedule for this proceeding. The Draft Resolution was scheduled to be heard at the November 7 Commission meeting but is being held over to the December 19 meeting.
Additional Information: Draft Comment Resolution E-5358 (Oct. 3, 2024); PG&E Semi-Annual VGI Report (Sep. 13, 2024); Resolution E-5326 (Jul. 17, 2024); Letter granting extension (Jun. 5, 2024); ALJ Ruling (Jun. 3, 2024); Vehicle-Grid Integration Forum Report (May 21, 2024); Resolution E-5314 (Apr. 19, 2024); Scoping Memo and Ruling (Apr. 12, 2024); Draft Resolution E-5314 (Mar. 8, 2024); ALJ Ruling (Dec. 27, 2023); OIR (Dec. 20, 2023); Docket No. R.23-12- 008.
Utility Safety Culture Assessments
Background: This rulemaking will define safety culture concepts and determine how the safety culture of PG&E and other utilities in California will be assessed and evaluated. The CPUC’s Office of Energy Infrastructure Safety will conduct annual wildfire safety-specific assessments of investor-owned utilities as required by AB 1054, and an independent third-party evaluator will conduct safety culture assessments every five years per SB 901. Phase 1 of this proceeding is focused on developing safety culture assessments for the large investor-owned electric and natural gas corporations, and Phase 2 of this proceeding will be focused on developing safety culture assessments for the small multi-jurisdiction utilities and the gas storage operators.
Recent Developments: No recent developments.
Analysis: N/A
Next Steps: A proposed decision on Phase 1 is expected later this year.
Additional Information: ALJ Ruling (Jun. 10, 2024); ALJ Ruling (May 8, 2023); Scoping Ruling with procedural schedule (Apr. 28, 2022); Order Instituting Rulemaking (Oct. 7, 2021); Docket No. R.21-10-001.
Other Dockets
The following table identifies other tracked dockets that are closed or inactive.
Docket Name Status
R.23-03-007 Wildfire Fund NBC
2024-2026
The CPUC issued a Proposed Decision (PD) (Oct. 25, 2024) adopting a $5.95/MWh Wildfire NBC for 2025 - a slight increase from the 2024 WF NBC charge of $5.61/MWh. This matter may be heard as soon as the December 5 Commission meeting.
R.17-06-026 PCIA Rulemaking
The proceeding was closed by D.23-06-006. D.24-08-004 (issued Aug. 2, 2024) denied SCE’s Petition for Modification of D.23-06-006 and re-closed the proceeding. Final Market Price Benchmarks (MPBs) for 2024 and forecast 2025 MPBs were issued on October 4.
A.22-05-002
Demand Response
Programs (2023-
2027)
D.24-04-006, issued April 24, 2024, ended the Demand Response Auction Mechanism (DRAM) pilot programs of PG&E, SCE, and SDG&E and closed the proceeding. The proceeding was re-opened to address the June 27 Petition for Modification filed by Leapfrog Power.
A.21-06-021 PG&E 2023 Phase
1 GRC
This proceeding is inactive, but it remains open to provide further guidance on metrics relevant to auditor reports, to consider revising the energization cost recovery mechanism, and to establish reporting requirements for reviewing the reasonableness of PG&E’s interim rate recovery in its next GRC.