Erik Jacobson
Director
Regulatory Relations
Pacific Gas and Electric Company
77 Beale St., Mail Code B13U
P.O. Box 770000
San Francisco, CA 94177
Fax: 415-973-3582
June 5, 2019
Advice 5555-E
(Pacific Gas and Electric Company ID U 39 E)
Public Utilities Commission of the State of California
Subject:
Wildfire Mitigation Plan Memorandum Account Pursuant to Senate Bill
901 and CPUC Decision 19-05-037
Purpose
Pursuant to Senate Bill (SB) 901 and California Public Utilities Commission (CPUC or
Commission) Decision (D.) 19-05-037, dated June 4, 2019, Pacific Gas and Electric
Company (PG&E) submits this advice letter to establish the Wildfire Mitigation Plan
Memorandum Account (WMPMA) effective May 30, 2019.1 The purpose of the WMPMA
is to track costs incurred to implement PG&E’s Wildfire Safety Plan (Plan), as required by
SB 901.2
Background
Governor Edmund G. Brown Jr. signed SB 901 on September 21, 2018. The legislation
sets in motion activities to strengthen California’s ability to prevent and recover from
catastrophic wildfires. In addition to measures directed at other entities, SB 901
mandates additional requirements for utility operations, maintenance, and infrastructure
improvements to address wildfire risk, including the implementation of comprehensive
wildfire mitigation plans.
SB 901 describes the requirements of the annual wildfire mitigation plans to be submitted
by California electrical corporations to the CPUC and sets forth the timing and cost
recovery related to those plans.3 The CPUC opened a rulemaking on October 25, 2018,4
1
2
3
4
Section 5.1 of General Order 96-B states that the advice letter process is appropriate “to review
a utility’s request to change its tariffs in a manner previously authorized by statute or
Commission order.”
Public Utilities (PU) Code § 8386.4 (a)
PU Code § 8386.
Order Instituting Rulemaking to Implement Electric Utility Wildfire Mitigation Plans Pursuant to
Senate Bill 901, R. 18-10-007 (2018).
- Page 1 -
Advice 5555-E
-2-
June 5, 2019
to implement provisions of SB 901, and PG&E submitted its first Plan on February 6,
2019.
The legislation includes two memorandum accounts to record costs incurred to mitigate
wildfire risk. One memorandum account (Fire Risk Reduction Memorandum Account or
FRMMA), which PG&E submitted in Advice Letter (AL) 5419-E, is intended to “track costs
incurred for fire risk mitigation that are not otherwise covered in the electrical corporation’s
revenue requirement.”5 The second account, WMPMA, which PG&E requests in this AL,
is required to be established upon approval of a utility’s wildfire mitigation plan “. . . to
track costs incurred to implement the plan.”6 Upon approval of the memorandum account
in conjunction with the Commission’s approval of the Plan, PG&E would stop recording
costs for work approved in its Plan to the FRMMA and, instead, would record any costs
not included in rates to the WMPMA. The FRMMA would remain open to record costs of
any additional wildfire mitigation activities not included in an approved wildfire mitigation
plan.
PG&E anticipates that the recovery of the costs recorded to the WMPMA would occur
through a general rate case or future application at which time the Commission would
review the costs for reasonableness as required by SB 901.7
Tariff Revisions
Attachment 1 is a proposed Electric Preliminary Statement Part HX that describes the
purpose of and accounting procedures for the WMPMA.
This submittal would not increase any current rate or charge, cause the withdrawal of
service, or conflict with any rate schedule or rule.
Protests
Anyone wishing to protest this submittal may do so by letter sent via U.S. mail, facsimile
or E-mail, no later than June 25, 2019, which is 20 days after the date of this submittal.
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: EDTariffUnit@cpuc.ca.gov
5
PU Code § 8386 (j).
PU Code § 8386.4 (a).
7
PU Code § 8386 (g).
6
- Page 2 -
Advice 5555-E
-3-
June 5, 2019
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:
Erik Jacobson
Director, Regulatory Relations
c/o Megan Lawson
Pacific Gas and Electric Company
77 Beale Street, Mail Code B13U
P.O. Box 770000
San Francisco, California 94177
Facsimile: (415) 973-3582
E-mail: PGETariffs@pge.com
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).
Effective Date
PG&E requests that this Tier 1 advice submittal become effective on May 30, 2019, the
approval date of PG&E’s Plan.
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.18-10-007. Address changes to the General Order 96-B service
list should be directed to PG&E at email address PGETariffs@pge.com. For changes to
any other service list, please contact the Commission’s Process Office at (415) 703-2021
or at Process_Office@cpuc.ca.gov.
Send all electronic approvals to
PGETariffs@pge.com. Advice letter submittals can also be accessed electronically at:
http://www.pge.com/tariffs/.
- Page 3 -
Advice 5555-E
/S/
Erik Jacobson
Director, Regulatory Relations
Attachments
cc:
Service List R.18-10-007
-4-
June 5, 2019
- Page 4 -
ADVICE LETTER
SUMMARY
ENERGY UTILITY
MUST BE COMPLETED BY UTILITY (Attach additional pages as needed)
Company name/CPUC Utility No.: Pacific Gas and Electric Company (ID U39E)
Utility type:
ELC
GAS
PLC
✔
HEAT
ELC = Electric
PLC = Pipeline
WATER
Contact Person: Yvonne Yang
Phone #: (415)973-2094
E-mail: PGETariffs@pge.com
E-mail Disposition Notice to: Yvonne.Yang@pge.com
EXPLANATION OF UTILITY TYPE
GAS = Gas
WATER = Water
HEAT = Heat
(Date Submitted / Received Stamp by CPUC)
Tier Designation: 1
Advice Letter (AL) #: 5555-E
Subject of AL: Wildfire Mitigation Plan Memorandum Account Pursuant to Senate Bill 901 and CPUC Decision
19-05-037
Keywords (choose from CPUC listing): Memorandum Account, Compliance
AL Type:
Monthly
Quarterly
Annual ✔ One-Time
Other:
If AL submitted in compliance with a Commission order, indicate relevant Decision/Resolution #:
D.19-05-037
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:
Yes
Yes
✔ No
✔ No
5/30/19
No. of tariff sheets: 3
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 HX - Wildfire Mitigation Plan Memorandum Account
Service affected and changes proposed1: N/A
Pending advice letters that revise the same tariff sheets: N/A
1
Discuss in AL if more space is needed.
Clear Form
- Page 5 -
Protests and all other correspondence regarding this AL are due no later than 20 days after the date
of this submittal, unless otherwise authorized by the Commission, and shall be sent to:
CPUC, Energy Division
Attention: Tariff Unit
505 Van Ness Avenue
San Francisco, CA 94102
Email: EDTariffUnit@cpuc.ca.gov
Name: Erik Jacobson, c/o Megan Lawson
Title: Director, Regulatory Relations
Utility Name: Pacific Gas and Electric Company
Address: 77 Beale Street, Mail Code B13U
City: San Francisco, CA 94177
Zip: 94177
State: California
Telephone (xxx) xxx-xxxx: (415)973-2093
Facsimile (xxx) xxx-xxxx: (415)973-3582
Email: PGETariffs@pge.com
Name:
Title:
Utility Name:
Address:
City:
State: District of Columbia
Telephone (xxx) xxx-xxxx:
Facsimile (xxx) xxx-xxxx:
Email:
Zip:
Clear Form
- Page 6 -
Attachment 1
Advice 5555-E
Cal P.U.C.
Sheet No.
Title of Sheet
Cancelling
Cal P.U.C.
Sheet No.
44450-E*
ELECTRIC PRELIMINARY STATEMENT PART HX
WILDFIRE MITIGATION PLAN MEMORANDUM ACCOUNT (WMPMA)
Sheet 1
44451-E*
ELECTRIC TABLE OF CONTENTS
Sheet 1
44170-E*
44452-E*
ELECTRIC TABLE OF CONTENTS
Sheet 17
44218-E
Page 1 of 1
- Page 7 -
Original
U 39
Cal. P.U.C. Sheet No.
44450-E*
San Francisco, California
ELECTRIC PRELIMINARY STATEMENT PART HX
WILDFIRE MITIGATION PLAN MEMORANDUM ACCOUNT (WMPMA)
Sheet 1
HX. Wildfire Mitigation Plan Memorandum Account (WMPMA)
1.
PURPOSE: The purpose of the Wildfire Mitigation Plan Memorandum Account (WMPMA) is
to record, pursuant to Senate Bill (SB) 901 (Public Utilities Code Section 8386.4 (a)) and the
Wildfire Mitigation Plan (also known as the Wildfire Safety Plan) approved by the
Commission, incremental costs incurred to implement an approved wildfire mitigation plan
that are not otherwise recovered in PG&E’s adopted revenue requirements. Such costs may
include expense and capital expenditures for activities including but not limited to:
operational practices, inspection programs, system hardening, enhanced vegetation
management, enhanced situational awareness, public safety power shutoffs, and alternative
technologies. Costs recorded to the WMPMA will not include costs approved for recovery in
PG&E General Rate Cases (GRCs) or recovered through PG&E’s Catastrophic Event
Memorandum Account (CEMA), Fire Hazard Prevention Memorandum Account (FHPMA),
Fire Risk Mitigation Memorandum Account (FRMMA), or other cost recovery mechanisms.
2.
APPLICABILITY: The WMPMA applies to all customer classes, except for those
specifically excluded by the Commission.
3.
REVISION DATE: Disposition of the balance in this account will be established by a
Commission decision through a GRC application or through other appropriate filing as
otherwise authorized by the Commission.
4.
RATES: The WMPMA does not have a rate component.
5.
ACCOUNTING PROCEDURE: PG&E shall maintain the WMPMA by making entries
to this account at the end of each month, or as applicable, as follows:
a.
b.
A debit or credit entry equal to the revenue requirement based on the recorded capital
costs, net of RF&U, associated with the incremental costs of plant related to wildfire
reduction work. Capital revenue requirements include depreciation expense, return on
investment, federal and state income taxes, and property taxes associated with the
costs of installed equipment.
c.
A credit entry to transfer all or a portion of the balance in this WMPMA to other
adjustment clauses for future rate recovery, as may be approved by the CPUC.
d.
Advice
Decision
A debit entry equal to the expenses, net of RF&U, incurred related to implementation of
an approved wildfire mitigation plan.
An entry equal to the interest on the average of the balance in the account at the
beginning of the month and the balance in the account after the above entries, 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.
5555-E
19-05-037
Issued by
Robert S. Kenney
Vice President, Regulatory Affairs
Submitted
Effective
Resolution
(N)
(N)
(N)
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
(N)
June 5, 2019
May 30, 2019
- Page 8 -
Cancelling
U 39
Revised
Revised
Cal. P.U.C. Sheet No.
Cal. P.U.C. Sheet No.
44451-E*
44170-E*
San Francisco, California
ELECTRIC TABLE OF CONTENTS
Sheet 1
TABLE OF CONTENTS
SCHEDULE
CAL P.U.C.
SHEET NO.
TITLE OF SHEET
Title Page .............................................................................................................................. 44451*-E
Rate Schedules ..............................44171,44172,44173,44174,44175,44176,41779,43935,44177-E
Preliminary Statements ..................................... 44178,40534,42856*,43670,41723,40591,44452*-E
Rules ................................................................................................................ 43022,43023,43210-E
Maps, Contracts and Deviations ............................................................................................ 37960-E
Sample Forms ... 40925*,37631,41151*,41573*, 37632,41152*,41153,37769,44035,40671,37169-E
(T)
(T)
(Continued)
Advice
Decision
5555-E
19-05-037
Issued by
Robert S. Kenney
Vice President, Regulatory Affairs
Submitted
Effective
Resolution
June 5, 2019
May 30, 2019
- Page 9 -
Cancelling
U 39
Revised
Revised
Cal. P.U.C. Sheet No.
Cal. P.U.C. Sheet No.
44452-E*
44218-E
San Francisco, California
ELECTRIC TABLE OF CONTENTS
PART
Sheet 17
CAL P.U.C.
SHEET NO.
TITLE OF SHEET
Preliminary Statements (Cont’d)
Part GA
Part GB
Part GC
Part GD
Part GE
Part GF
Part GH
Part GI
Part GJ
Part GK
Part GL
Part GM
Part GN
Part GO
Part GP
Part GQ
Part GR
Part GS
Part GT
Part GU
Part GV
Part GY
Part GZ
Part HA
Part HB
Part HC
Part HD
Part HE
Part HF
Part HG
Part HH
Part HI
Part HK
Part HL
Part HM
Part HQ
Part HR
Part HT
Part HU
Part HX
Greenhouse Gas Expense Memorandum Account .............................................. 32419,32420-E
Greenhouse Gas Revenue Balancing Account .................................................... 35256,40560-E
California Energy Systems for the 21st Century Balancing Account ................................ 40561-E
Smart Grid Pilot Deployment Project Balancing Account ......................... 32540,32541, 32542-E
Statewide Marketing, Education and Outreach Expenditure Balancing Account ............ 37728-E
Customer Data Access Balancing Account – Electric ..................................................... 33136-E
Mobile Home Park Balancing Account - Electric .................................................. 41091,41092-E
Energy Data Center Memorandum Account – Electric.................................................... 33940-E
Major Emergency Balancing Account (MEBA) ................................................................ 40563-E
SmartMeterTM Opt-Out Program Balancing Account - Electric (SOPBA-E)35625,35626,35627-E
Hydro Licensing Balancing Account (HLBA) ................................................................... 40564-E
Nuclear Regulatory Commission Rulemaking Balancing Account (NRCRBA) ............... 40565-E
San Francisco Incandescent Streetlight Replacement Account ...................................... 34364-E
Disconnection Memorandum Account - Electric (DMA-E) ............................................... 34604-E
Green Tariff Shared Renewables Memorandum Account (GTSRMA) ..... 40566,40567, 40567-E
Energy Efficiency Financing Balancing Account – Electric (EEFMA-E) .... 35292,35293,35294-E
Green Tariff Shared Renewables Balancing Account (GTSRBA) ............. 40569,40570,35377-E
Residential Rate Reform Memorandum Account (RRRMA) ................................ 40571,40572-E
Assembly Bill 802 Memorandum Account - Electric ........................................................ 40573-E
Z-Factor Memorandum Account (ZFMA-E) ..................................................................... 40574-E
Distribution Interconnection Memorandum Account (DIMA) ........................................... 40575-E
Electric Vehicle Program Balancing Account (EVPBA) ................................................... 40576-E
Distributed Energy Resources Distribution Deferral Account ................... 43656,43657,43658-E
Avoided Cost Calculator Memorandum Account ............................................................. 40000-E
Distribution Resources Plan Demonstration Balancing Account ..................................... 40577-E
Rule 20A Balancing Account ........................................................................................... 41736-E
Tax Memorandum Account (TMA-E) ............................................................................... 41088-E
Executive Compensation Memorandum Account (ECMA-E) ............................... 40699,40700-E
Distribution Resources Plan Tools Memorandum Account (DRPTMA) ............... 42139,42140-E
Emergency Consumer Protections Memorandum Account - Electric (WCPMA-E) .......................
................................................................................................................. 43007,44214, 44215-E
Transportation Electrification Balancing Account (TEBA)……42575,42576,42577,42578,
....................................................................................................... 42579,42580,42581,42582-E
Solar On Multifamily Affordable Housing Balancing Account (SOMAHBA) .................... 41781-E
Diablo Canyon Retirement Balancing Account .................................................. 42161, 43668-E
Wildfire Expense Memorandum Account (WEMA-E) ......................................... 42604, 42605-E
Public Policy Charge Balancing Account (PPCBA) .................................. 44051,44037,44052-E
Fire Risk Mitigation Memorandum Account (FRMMA) ................................................... 43314-E
Net Energy Metering (NEM) Balancing Account (NEMBA) ............................................. 43317-E
Officer Compensation Memorandum Account (OCMA-E) .................................... 43629,43630-E
San Joaquin Valley Disadvantaged Communities Pilot Balancing Account .................... 44053-E
Wildfire Mitigation Plan Memorandum Account (WMPMA) ........................................... 44450*-E
(N)
(Continued)
Advice
Decision
5555-E
19-05-037
Issued by
Robert S. Kenney
Vice President, Regulatory Affairs
Submitted
Effective
Resolution
June 5, 2019
May 30, 2019
- Page 10 -
PG&E Gas and Electric
Advice Submittal List
General Order 96-B, Section IV
AT&T
Albion Power Company
Alcantar & Kahl LLP
Alta Power Group, LLC
Anderson & Poole
Atlas ReFuel
BART
Barkovich & Yap, Inc.
P.C. CalCom Solar
California Cotton Ginners & Growers Assn
California Energy Commission
California Public Utilities Commission
California State Association of Counties
Calpine
Cameron-Daniel, P.C.
Casner, Steve
Cenergy Power
Center for Biological Diversity
City of Palo Alto
City of San Jose
Clean Power Research
Coast Economic Consulting
Commercial Energy
County of Tehama - Department of Public
Works
Crossborder Energy
Crown Road Energy, LLC
Davis Wright Tremaine LLP
Day Carter Murphy
Dept of General Services
Don Pickett & Associates, Inc.
Douglass & Liddell
Downey & Brand
East Bay Community Energy
Ellison Schneider & Harris LLP
Energy Management Service
Pioneer Community Energy
Praxair
Regulatory & Cogeneration Service, Inc.
SCD Energy Solutions
Engineers and Scientists of California
Evaluation + Strategy for Social
Innovation
GenOn Energy, Inc.
Goodin, MacBride, Squeri, Schlotz &
Ritchie
Green Charge Networks
Green Power Institute
Hanna & Morton
ICF
International Power Technology
Intestate Gas Services, Inc.
Kelly Group
Ken Bohn Consulting
Keyes & Fox LLP
Leviton Manufacturing Co., Inc. Linde
Los Angeles County Integrated Waste
Management Task Force
Los Angeles Dept of Water & Power
MRW & Associates
Manatt Phelps Phillips
Marin Energy Authority
McKenzie & Associates
Modesto Irrigation District
Morgan Stanley
NLine Energy, Inc.
NRG Solar
Office of Ratepayer Advocates
OnGrid Solar
Pacific Gas and Electric Company
Peninsula Clean Energy
SCE
SDG&E and SoCalGas
SPURR
San Francisco Water Power and Sewer
Seattle City Light
Sempra Utilities
Southern California Edison Company
Southern California Gas Company
Spark Energy
Sun Light & Power
Sunshine Design
Tecogen, Inc.
TerraVerde Renewable Partners
Tiger Natural Gas, Inc.
TransCanada
Troutman Sanders LLP
Utility Cost Management
Utility Power Solutions
Utility Specialists
Verizon
Water and Energy Consulting
Wellhead Electric Company
Western Manufactured Housing
Communities Association (WMA)
Yep Energy
- Page 11 -
