Advice Letter 4413-E Subject: Revision to Electric ...

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STATE OF CALIFORNIA Edmund G. Brown Jr., Governor PUBLIC UTILITIES COMMISSION 505 VAN NESS AVENUE SAN FRANCISCO, CA 94102-3298 May 16, 2014 Advice Letter 4413-E Brian K. Cherry Vice President, Regulation and Rates Pacific Gas and Electric Company 77 Beale Street, Mail Code B10C P.O. Box 770000 San Francisco, CA 94177 Subject: Revision to Electric Preliminary Statement Part EL - Renewables Portfolio Standard Cost Memorandum Account (RPSCMA) Dear Mr. Cherry: Advice Letter 4413-E is effective May 7, 2014. Sincerely, Edward F. Randolph, Director Energy Division

Transcript of Advice Letter 4413-E Subject: Revision to Electric ...

STATE OF CALIFORNIA Edmund G. Brown Jr., Governor

PUBLIC UTILITIES COMMISSION

505 VAN NESS AVENUE

SAN FRANCISCO, CA 94102-3298

May 16, 2014

Advice Letter 4413-E

Brian K. Cherry

Vice President, Regulation and Rates

Pacific Gas and Electric Company

77 Beale Street, Mail Code B10C

P.O. Box 770000

San Francisco, CA 94177

Subject: Revision to Electric Preliminary Statement Part EL - Renewables Portfolio

Standard Cost Memorandum Account (RPSCMA)

Dear Mr. Cherry:

Advice Letter 4413-E is effective May 7, 2014.

Sincerely,

Edward F. Randolph, Director

Energy Division

Brian K. Cherry Vice President

Regulatory Relations

Pacific Gas and Electric Company

77 Beale St., Mail Code B10C

P.O. Box 770000

San Francisco, CA 94177

Fax: 415-973-7226

May 7, 2014

Advice 4413-E

(Pacific Gas and Electric Company ID U 39 E) Public Utilities Commission of the State of California

Subject: Revision to Electric Preliminary Statement Part EL - Renewables

Portfolio Standard Cost Memorandum Account (RPSCMA)

I. Purpose

In compliance with Decision (“D.”) 14-05-002, Decision Granting Petition for

Modification of Decision 11-01-016, Modifying Decision 06-10-050, Pacific Gas and Electric Company (“PG&E”) hereby submits for filing this advice letter to update Electric Preliminary Statement Part EL – Renewables Portfolio Standard Cost

Memorandum Account (“RPSCMA”) to extend the time for recording costs associated with third party Renewables Portfolio Standard (“RPS”) technical contractor activities invoiced through the California Public Utilities Commission (“Commission” or “CPUC”). The affected tariff sheets are listed in Attachment 1. Attachment 2 is a red-lined version of the required changes in the preliminary statement with additions indicated by underlined text and deletions indicated by strike-out.

II. Background

On May 2, 2014 the Commission issued D.14-05-002 approving the Petition for Modification of D.11-01-016 filed jointly by PG&E, Southern California Edison Company (“SCE”), and San Diego Gas & Electric Company (“SDG&E”) (together the “Investor-Owned Utilities” or “IOUs”), dated January 13, 2014. In D.06-10-050, the Commission authorized $1.6 million with an annual cap of $400,000, to be recorded in the RPSCMA until December 31, 2010. In D.11-01-016, the Commission modified D.06-10-050 to extend the time for recording the costs to December 31, 2011. In D.14-05-002, the Commission modified D.11-01-016 to allow the IOUs to record the costs, for authorized services that were performed in 2010 and 2011, into the RPSCMA until September 30, 2014. Attachment 2 to this filing shows the changes to PG&E’s Electric Preliminary Statement Part EL that are required to implement D.14-05-002.

Advice 4413-E - 2 - May 7, 2014

III. Protests

Anyone wishing to protest this filing may do so by letter sent via U.S. mail, facsimile or

E-mail, no later than May 27, 2014, which is 20 days after the date of this filing. Protests

must be submitted to:

CPUC Energy Division

ED Tariff Unit

505 Van Ness Avenue, 4th Floor

San Francisco, California 94102

Facsimile: (415) 703-2200

E-mail: [email protected]

Copies of protests also should be mailed to the attention of the Director, Energy Division,

Room 4004, at the address shown above.

The protest shall also be sent to PG&E either via E-mail or U.S. mail (and by facsimile, if

possible) at the address shown below on the same date it is mailed or delivered to the

Commission:

Brian K. Cherry

Vice President, Regulatory Relations

Pacific Gas and Electric Company

77 Beale Street, Mail Code B10C

P.O. Box 770000

San Francisco, California 94177

Facsimile: (415) 973-7226

E-mail: [email protected]

Any person (including individuals, groups, or organizations) may protest or respond to an

advice letter (General Order 96-B, Section 7.4). The protest shall contain the following

information: specification of the advice letter protested; grounds for the protest;

supporting factual information or legal argument; name, telephone number, postal

address, and (where appropriate) e-mail address of the protestant; and statement that the

protest was sent to the utility no later than the day on which the protest was submitted to

the reviewing Industry Division (General Order 96-B, Section 3.11).

IV. Effective Date

PG&E submits this Advice Letter as a Tier 1 filing and requests that it be approved

effective on May 7, 2014.

Advice 4413-E - 3 - May 7, 2014

V. Notice

In accordance with General Order 96-B, Section IV, a copy of this advice letter is being

sent electronically and via U.S. mail to parties shown on the attached list and the parties

on the service list for R.11-05-005. Address changes to the General Order 96-B service

list should be directed to PG&E at email address [email protected]. For changes to

any other service list, please contact the Commission’s Process Office at (415) 703-2021

or at [email protected]. Send all electronic approvals to

[email protected]. Advice letter filings can also be accessed electronically at:

http://www.pge.com/tariffs.

Vice President, Regulatory Relations

cc: Lewis Bichkoff, Energy Division

Service Lists: R.11-05-005

Attachments

CALIFORNIA PUBLIC UTILITIES COMMISSION

ADVICE LETTER FILING SUMMARY

ENERGY UTILITY

MUST BE COMPLETED BY UTILITY (Attach additional pages as needed)

Company name/CPUC Utility No. Pacific Gas and Electric Company (ID U39 E)

Utility type: Contact Person: Shirley Wong

� ELC � GAS Phone #: (415) 972-5505

� PLC � HEAT � WATER E-mail: [email protected] and [email protected]

EXPLANATION OF UTILITY TYPE

ELC = Electric GAS = Gas �

PLC = Pipeline HEAT = Heat WATER = Water

(Date Filed/ Received Stamp by CPUC)

Advice Letter (AL) #: 4413-E Tier: 1

Subject of AL: Revision to Electric Preliminary Statement Part EL - Renewables Portfolio Standard Cost

Memorandum Account (RPSCMA)

Keywords (choose from CPUC listing): Compliance, Memorandum Account, Text Change, Portfolio

AL filing type: � Monthly � Quarterly � Annual � One-Time � Other _____________________________

If AL filed in compliance with a Commission order, indicate relevant Decision/Resolution #: Decision 14-05-002

Does AL replace a withdrawn or rejected AL? If so, identify the prior AL: No

Summarize differences between the AL and the prior withdrawn or rejected AL:

Is AL requesting confidential treatment? If so, what information is the utility seeking confidential treatment for: No

Confidential information will be made available to those who have executed a nondisclosure agreement: N/A

Name(s) and contact information of the person(s) who will provide the nondisclosure agreement and access to the

confidential information: ___________________________________________

Resolution Required? � Yes �No

Requested effective date: May 7, 2014 No. of tariff sheets: 4

Estimated system annual revenue effect (%): N/A

Estimated system average rate effect (%): N/A

When rates are affected by AL, include attachment in AL showing average rate effects on customer classes

(residential, small commercial, large C/I, agricultural, lighting).

Tariff schedules affected: Electric Preliminary Statement Part EL - Renewables Portfolio Standard Cost

Memorandum Account (RPSCMA)

Service affected and changes proposed: Modify tariff to allow to record costs for authorized services

performed in 2010 and 2011 into the RPSCMA until September 30, 2014.

Protests, dispositions, and all other correspondence regarding this AL are due no later than 20 days after the date of

this filing, unless otherwise authorized by the Commission, and shall be sent to:

CPUC, Energy Division Pacific Gas and Electric Company

ED Tariff Unit

505 Van Ness Ave., 4th Floor

San Francisco, CA 94102

E-mail: [email protected]

Attn: Brian K. Cherry, Vice President, Regulatory Relations

77 Beale Street, Mail Code B10C

P.O. Box 770000

San Francisco, CA 94177

E-mail: [email protected]

ATTACHMENT 1 Advice 4413-E

Cal P.U.C. Sheet No. Title of Sheet

Cancelling Cal P.U.C. Sheet No.

Page 1 of 1

33890-E ELECTRIC PRELIMINARY STATEMENT PART EL RENEWABLES PORTFOLIO STANDARD COST MEMORANDUM ACCOUNT Sheet 1

30403-E

33891-E ELECTRIC PRELIMINARY STATEMENT PART EL RENEWABLES PORTFOLIO STANDARD COST MEMORANDUM ACCOUNT Sheet 2

33892-E ELECTRIC TABLE OF CONTENTS Sheet 1

33832-E

33893-E ELECTRIC TABLE OF CONTENTS PRELIMINARY STATEMENT Sheet 16

32756-E

Pacific Gas and Electric Company San Francisco, California U 39

Revised Cal. P.U.C. Sheet No. 33890-E Cancelling Revised Cal. P.U.C. Sheet No. 30403-E

ELECTRIC PRELIMINARY STATEMENT PART EL Sheet 1

RENEWABLES PORTFOLIO STANDARD COST MEMORANDUM ACCOUNT

(Continued)

Advice Letter No: 4413-E Issued by Date Filed May 7, 2014

Decision No. 14-05-002 Brian K. Cherry Effective May 7, 2014

Vice President Resolution No.

1C11 Regulatory Relations

EL. RENEWABLES PORTFOLIO STANDARD COST MEMORANDUM ACCOUNT (RPSCMA)

1. PURPOSE:

The purpose of the RPSCMA is to record costs associated with third party Renewables Portfolio Standard (RPS) technical contractor activities invoiced through the Commission. In Decision (D.) 06-10-050 the Commission authorized $1.6 million with an annual cap of $400,000, to be recorded in the RPSCMA until December 31, 2010. In D.11-01-016, the Commission modified D.06-10-050 to extend the time for recording the costs to December 31, 2011. In D.14-05-002, the Commission modified D.11-01-016 to allow the three IOUs to record the costs, for authorized services that were performed in 2010 and 2011, into the RPSCMA until September 30, 2014.

In D.11-04-030, the Commission authorized an additional $2.4 million, of which up to $600,000 per year can be expensed over a four-year period beginning in the 2010-2011 fiscal year with the ability to carry forward unspent balances from one year to the next (including years beyond year four) and shall be paid by each utility, (PG&E, SCE and SDG&E) on a proportional basis in relationship to retail sales reported each year in the March 1, RPS Compliance Report (or other report each year as directed by the Executive Director). All such costs shall be recorded when paid, for later recovery via rates. The RPSCMA was authorized by the Commission in D.06-10-050 and modified in D.11-01-016, D.11-04-030 and D.14-05-002.

2. APPLICABILITY:

The RPSCMA shall apply to all customer classes, except for those specifically excluded by the Commission.

3. RPSCMA RATES:

The RPSCMA does not currently have a rate component.

4. ACCOUNTING PROCEDURE:

PG&E shall maintain the RPSCMA by making entries to this account at the end of each month as follows:

a. A debit entry equal to the paid third-party costs for RPS technical contractor activities invoiced through the Commission per D.11-01-016, which authorized a total cap of $1.6 million;

b. A debit entry equal to the paid third-party costs for RPS technical contractor activities invoiced through the Commission per D.11-04-030, which authorized an additional total cap of $2.4 million;

c. A credit entry to annually transfer the balance to another regulatory account as

appropriate for rate recovery; and

d. An entry equal to interest on the average balance in the account at the beginning of the month and the balance after entry 4.a, at a rate equal to one-twelfth the interest rate on three-month Commercial Paper for the previous month, as reported in the Federal Reserve Statistical Release H.15, or its successor.

(N) | | | | |

(N) (T)

(T)

(L)

Pacific Gas and Electric Company San Francisco, California U 39

Original Cal. P.U.C. Sheet No. 33891-E Cancelling Cal. P.U.C. Sheet No.

ELECTRIC PRELIMINARY STATEMENT PART EL Sheet 2

RENEWABLES PORTFOLIO STANDARD COST MEMORANDUM ACCOUNT

Advice Letter No: 4413-E Issued by Date Filed May 7, 2014

Decision No. 14-05-002 Brian K. Cherry Effective May 7, 2014

Vice President Resolution No.

2C10 Regulatory Relations

EL. RENEWABLES PORTFOLIO STANDARD COST MEMORANDUM ACCOUNT (RPSCMA) (CONT’D.) (N)

4. ACCOUNTING PROCEDURE: (CONT’D.)

PG&E shall request the recovery of the balance in the RPSCMA through the Energy Resource Recovery Account (ERRA) application, or other proceeding as authorized by the Commission.

(N)

(L) |

(L)

Pacific Gas and Electric Company San Francisco, California U 39

Revised Cal. P.U.C. Sheet No. 33892-E Cancelling Revised Cal. P.U.C. Sheet No. 33832-E

ELECTRIC TABLE OF CONTENTS Sheet 1

(Continued)

Advice Letter No: 4413-E Issued by Date Filed May 7, 2014

Decision No. 14-05-002 Brian K. Cherry Effective May 7, 2014

Vice President Resolution No. 1H9 Regulatory Relations

TABLE OF CONTENTS

SCHEDULE

TITLE OF SHEET

CAL P.U.C.SHEET NO.

Title Page ...............................................................................................................................................33892-ERate Schedules ............................................... 33833,33834,33835,33836,33837,33838,32705,31541,33839-E Preliminary Statements .............................................. 33840,32706,30376,32544,32398,33893,33670,33138-E Rules ................................................................................................................................ 33841,32425,33725-E Maps, Contracts and Deviations ............................................................................................................. 33253-E Sample Forms ................ 32777,32429,32726,33726,32504,33654,33209,32506,32648,32437,32508,32439-E

(T)

(T)

Pacific Gas and Electric Company San Francisco, California U 39

Revised Cal. P.U.C. Sheet No. 33893-E Cancelling Revised Cal. P.U.C. Sheet No. 32756-E

ELECTRIC TABLE OF CONTENTS Sheet 16

PRELIMINARY STATEMENT

(Continued)

Advice Letter No: 4413-E Issued by Date Filed May 7, 2014

Decision No. 14-05-002 Brian K. Cherry Effective May 7, 2014

Vice President Resolution No. 16H9 Regulatory Relations

PART

TITLE OF SHEET

CAL P.U.C. SHEET NO.

Preliminary Statements (Cont’d)

Part EC Demand Response Expenditures Balancing Account (DREBA) .............................. 28614-28616-EPart EF Procurement Energy Efficiency Revenue Adjustment Mechanism (PEERAM) ...................30839-EPart EH Negative Indifference Amount Memorandum Account (NIAMA) .........................................25088-EPart EI SmartMeter Project Balancing Account - Electric .................................................... 30378,30379-EPart EJ Pension Contribution Balancing Account ................................................................. 26297,25228-EPart EK Land Conservation Plan Implementation Account (LCPIA).................................................26324-EPart EL Renewables Portfolio Standard Cost Memorandum Account .................................. 33890,33891-E (T)Part EM ClimateSmart Balancing Account .......................................................................................31645-EPart EO California Solar Initiative Balancing Account............................................................ 26211-26213-EPart EP Market Redesign and Technology Upgrade Memorandum Account....................... 27623, 27624-EPart ET Non-Tariffed Products and Services Balancing Account……………………………………...26730-EPart EW Long-Term Procurement Plan Technical Assistance Memorandum Account .....................27311-EPart EX Dynamic Pricing Memorandum Account .................................................................. 27667-27669-EPart EZ Land Conservation Plan Environmental Remediation Memorandum Account ....................27881-E

ADVICE 4413-E

MAY 7, 2014

ATTACHMENT 2

ELECTRIC PRELIMINARY STATEMENT PART EL

RENEWABLES PORTFOLIO STANDARD COST MEMORANDUM ACCOUNT

REVISIONS IN COMPLIANCE WITH DECISION 14-05-002

(REDLINED)

Pacific Gas and Electric Company San Francisco, California U 39

Revised Cal. P.U.C. Sheet No. Cancelling Revised Cal. P.U.C. Sheet No. 30403-E

ELECTRIC PRELIMINARY STATEMENT PART EL Sheet 1

RENEWABLES PORTFOLIO STANDARD COST MEMORANDUM ACCOUNT

Advice Letter No: 4413-E Issued by Date Filed May 7, 2014 Decision No. 14-05-002 Brian K. Cherry Effective May 7, 2014 Vice President Resolution No. 1D0 Regulatory Relations

EL. RENEWABLES PORTFOLIO STANDARD COST MEMORANDUM ACCOUNT (RPSCMA)

1. PURPOSE:

The purpose of the RPSCMA is to record costs associated with third party Renewables Portfolio Standard (RPS) technical contractor activities invoiced through the Commission. In Decision (D.) 06-10-050 the Commission authorized $1.6 million with an annual cap of $400,000, to be recorded in the RPSCMA until December 31, 2010. In D.11-01-016, the Commission modified D.06-10-050 to extend the time for recording the costs to December 31, 2011. In D.14-05-002, the Commission modified D.11-01-016 to allow the three IOUs to record the costs, for authorized services that were performed in 2010 and 2011, into the RPSCMA until September 30, 2014.

In D.11-04-030, the Commission authorized an additional $2.4 million, of which up to $600,000 per year can be expensed over a four-year period beginning in the 2010-2011 fiscal year with the ability to carry forward unspent balances from one year to the next (including years beyond year four) and shall be paid by each utility, (PG&E, SCE and SDG&E) on a proportional basis in relationship to retail sales reported each year in the March 1, RPS Compliance Report (or other report each year as directed by the Executive Director). All such costs shall be recorded when paid, for later recovery via rates. The RPSCMA was authorized by the Commission in D.06-10-050 and modified in D.11-01-016, and D.11-04-030 and D.14-05-002.

2. APPLICABILITY:

The RPSCMA shall apply to all customer classes, except for those specifically excluded by the Commission.

3. RPSCMA RATES:

The RPSCMA does not currently have a rate component.

4. ACCOUNTING PROCEDURE:

PG&E shall maintain the RPSCMA by making entries to this account at the end of each month as follows:

a. A debit entry equal to the paid third-party costs for RPS technical contractor activities invoiced through the Commission per D.11-01-016, which authorized a total cap of $1.6 million;

b. A debit entry equal to the paid third-party costs for RPS technical contractor activities invoiced through the Commission per D.11-04-030, which authorized an additional total cap of $2.4 million;

c. A credit entry to annually transfer the balance to another regulatory account as

appropriate for rate recovery; and

d. An entry equal to interest on the average balance in the account at the beginning of the month and the balance after entry 4.a, at a rate equal to one-twelfth the interest rate on three-month Commercial Paper for the previous month, as reported in the Federal Reserve Statistical Release H.15, or its successor.

PG&E shall request the recovery of the balance in the RPSCMA through the Energy

(N) | | | | |

(N) (T)

(T)

Pacific Gas and Electric Company San Francisco, California U 39

Revised Cal. P.U.C. Sheet No. Cancelling Revised Cal. P.U.C. Sheet No. 30403-E

ELECTRIC PRELIMINARY STATEMENT PART EL Sheet 1

RENEWABLES PORTFOLIO STANDARD COST MEMORANDUM ACCOUNT

Advice Letter No: 4413-E Issued by Date Filed May 7, 2014 Decision No. 14-05-002 Brian K. Cherry Effective May 7, 2014 Vice President Resolution No. 1D0 Regulatory Relations

Resource Recovery Account (ERRA) application, or other proceeding as authorized by the Commission.

PG&E Gas and Electric Advice Filing List General Order 96-B, Section IV

1st Light Energy Douglass & Liddell Occidental Energy Marketing, Inc.

AT&T Downey & Brand OnGrid Solar

Alcantar & Kahl LLP Ellison Schneider & Harris LLP Pacific Gas and Electric Company

Anderson & Poole G. A. Krause & Assoc. Praxair

BART GenOn Energy Inc. Regulatory & Cogeneration Service, Inc.

Barkovich & Yap, Inc. GenOn Energy, Inc. SCD Energy Solutions

Bartle Wells Associates Goodin, MacBride, Squeri, Schlotz & Ritchie

SCE

Braun Blaising McLaughlin, P.C. Green Power Institute SDG&E and SoCalGas

CENERGY POWER Hanna & Morton SPURR

California Cotton Ginners & Growers Assn In House Energy San Francisco Public Utilities Commission

California Energy Commission International Power Technology Seattle City Light

California Public Utilities Commission Intestate Gas Services, Inc. Sempra Utilities

California State Association of Counties K&L Gates LLP SoCalGas

Calpine Kelly Group Southern California Edison Company

Casner, Steve Linde Spark Energy

Center for Biological Diversity Los Angeles County Integrated Waste Management Task Force

Sun Light & Power

City of Palo Alto Los Angeles Dept of Water & Power Sunshine Design

City of San Jose MRW & Associates Tecogen, Inc.

Clean Power Manatt Phelps Phillips Tiger Natural Gas, Inc.

Coast Economic Consulting Marin Energy Authority TransCanada

Commercial Energy McKenna Long & Aldridge LLP Utility Cost Management

County of Tehama - Department of Public Works

McKenzie & Associates Utility Power Solutions

Crossborder Energy Modesto Irrigation District Utility Specialists

Davis Wright Tremaine LLP Morgan Stanley Verizon

Day Carter Murphy NLine Energy, Inc. Water and Energy Consulting

Defense Energy Support Center NRG Solar Wellhead Electric Company

Dept of General Services Nexant, Inc. Western Manufactured Housing Communities Association (WMA)

Division of Ratepayer Advocates North America Power Partners