Details for: PGE AL 6101-E.pdf


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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

February 26, 2021
Advice 6101-E
(Pacific Gas and Electric Company ID U 39 E)

Public Utilities Commission of the State of California
Subject:

2020 True-Up for the Solar on Multifamily Affordable Housing
(SOMAH) Program Funding

Purpose
Pursuant to Ordering Paragraph (OP) 6 and Section 3 of Decision (D.) 20-04-012, Pacific
Gas and Electric Company (PG&E) submits this Tier 1 advice letter to provide a true-up
amount for the final three months of 2020 for the funding of the Solar on Multifamily
Affordable Housing (SOMAH) program, to be incorporated into PG&E’s 2022 Energy
Resource Recovery Account (ERRA) Forecast SOMAH set aside request.
Background
On December 14, 2017, the California Public Utilities Commission (Commission or
CPUC) adopted D.17-12-022, Decision Adopting Implementation Framework for
Assembly Bill 693 and Creating the Solar on Multifamily Affordable Housing Program,
requiring each of the participating utilities to reserve 10% of the proceeds from the sale
of greenhouse gas allowances through its annual ERRA proceedings for use in the
SOMAH program.1
On February 27, 2020, the Commission adopted D.20-02-047, Decision Adopting Pacific
Gas and Electric Company’s 2020 Energy Resource Recovery Account Forecast and
Generation Non-Bypassable Charges Forecast and Greenhouse Gas Forecast Revenue
Return and Reconciliation, directing PG&E to set aside $20.665 million, or 50% of the full
calendar year, for its 2020 SOMAH program funding allocation since funding was only
authorized through June 30, 2020.2 D.20-02-047 also directed PG&E to transfer set
asides on a quarterly basis.3

1

D.17-12-022, p. 69, Ordering Paragraph (OP) 4.
D.20-02-047, p. 21.
3
D.20-02-047, p. 22.
2





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Advice 6101-E -2- February 26, 2021 On April 16, 2020, the Commission adopted D.20-04-012, Decision Determining Revenue Availability and Adequacy of Participation and Interest in the Solar on Multifamily Affordable Housing, continuing authorization of funds for the SOMAH program through June 30, 20264 and directed the participating utilities to propose set aside amounts for the SOMAH program from July 1, 2020 to December 31, 2020 in their 2021 ERRA forecasts.5 D.20-04-012 also requires each of the participating utilities to provide a trueup for the final three months of each year via a Tier 1 advice letter as soon as the information is available, and no later than March 1st of the following year.6 On December 17, 2020, the Commission adopted D.20-12-038, Decision Adopting Pacific Gas and Electric Company’s 2021 Energy Resource Recovery Account Forecast, Generation Non-Bypassable Charges Forecast, Greenhouse Gas Forecast Revenue Return and Reconciliation, and Related Calculations and Rate Proposals, approving $20.86 million, the forecasted SOMAH set aside for the second half of 2020.7 2020 SOMAH Set Aside Amounts In April 2020, PG&E set aside $10.117 million, which was 10% of the recorded Greenhouse Gas (GHG) allowance revenues for the first quarter of 2020. In July 2020, PG&E set aside $7.796 million, which was 10% of the recorded GHG allowance revenues for the second quarter of 2020. No true-up was needed for the first half of 2020 because PG&E set aside 10% of the recorded GHG allowance revenue amount, not forecasted. In January 2021, PG&E set aside $20.863 million for the second half of 2020 per D.2012-038.8 This forecasted amount was the sum of 10% of the recorded GHG allowance revenues for the third quarter of 2020 and 10% of the forecasted GHG allowance revenues for the fourth quarter of 2020. This advice letter provides a true-up amount for the final three months of 2020. The forecasted set aside amount for the fourth quarter of 2020 was $9,771,903, but 10% of recorded GHG allowance revenue for this time period was $9,585,070. The SOMAH set aside for the last three months of 2020 was over-forecasted by $186,832. Table 1 below shows the difference between actual SOMAH set asides and 10% of recorded GHG allowance revenue for each quarter in 2020. 4 D.20-04-012, p. 14, OP 6. D.20-04-012, p. 14, OP 5. 6 D.20-04-012, p. 10-11. 7 D.20-12-038, p. 24-25. 8 D.20-12-038, p. 24-25. 5
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Advice 6101-E -3- February 26, 2021 Table 1: 2020 SOMAH Set Aside Amounts (Thousands of Dollars) 2020 Quarter Q1 2020 Q2 2020 Q3 2020 Q4 2020 2020 Total Recorded GHG Allowance Revenues $101,173 $77,956 $110,914 $95,851 $385,894 Set Aside Based on 10% of Recorded GHG Allowance Revenue $10,117 $7,796 $11,091 $9,585 $38,589 Actual Set Aside $10,117 $7,796 $11,091 $9,772 $38,776 Difference (Actual Set Aside – 10% Recorded Set Aside) $0 $0 $0 $187 $187 Table 2 below shows the difference between actual SOMAH set asides and 10% of recorded GHG allowance revenue for 2016 through 2020. Table 2: SOMAH Set Aside Amounts from 2016-2020 (Thousands of Dollars) Calendar Year ERRA Forecast 2016(b) 2017 2018 2019 2020 Total Recorded GHG Allowance Revenues $301,670 $345,514 $348,099 $389,041 $385,894 $1,619,383 Set Aside Based on 10% of Recorded GHG Allowance Revenue $15,084 $34,551 $34,810 $38,904 $38,589 $161,938 Actual Set Aside(a) $15,084 $34,551 $34,810 $38,904 $38,776 $162,125 Difference (Actual Set Aside – 10% Recorded Set Aside) $0 $0 $0 $0 $187 $187 (a) Years 2016-2018 include true-ups for previous under-collections, which were collected in 2020 per D.20-02-047 and 2021 per D.20-12-038. (b) AB 693 implemented SOMAH mid-way through 2016; therefore, GHG Revenues and set aside amount are pro-rated 50 percent and totals reflect the pro-rated amounts. The SOMAH set-aside for the fourth quarter of 2020 was over-forecasted by $186,832. D.20-04-012 states that the utilities shall not return any funds that are set aside to the SOMAH program until given explicit direction from the Commission.9 PG&E intends to reserve $186,832 within the SOMAH Balancing Account. In the 2022 ERRA Forecast filing, PG&E plans to propose enacting the true-up by netting the 2020 reserve of $186,832 from the 2022 SOMAH set aside request. In the event that the last three months of any given year are under-forecasted, PG&E would similarly file a true up advice letter stating the under-forecasted amount and not 9 D.20-04-012, p. 11.
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Advice 6101-E -4- February 26, 2021 request additional set aside to account for the true up amount in that advice letter, but would instead make this request in the next ERRA Forecast filing. Protests ***Due to the COVID-19 pandemic and the shelter at home orders, PG&E is currently unable to receive protests or comments to this advice letter via U.S. mail or fax. Please submit protests or comments to this advice letter to EDTariffUnit@cpuc.ca.gov and PGETariffs@pge.com*** Anyone wishing to protest this submittal may do so by letter sent via U.S. mail, facsimile or E-mail, no later than March 18, 2021, 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 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
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Advice 6101-E -5- February 26, 2021 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 Pursuant to General Order (GO) 96-B, Rule 5.1, this advice letter is submitted with a Tier 1 designation. PG&E requests that this Tier 1 advice submittal become effective upon date of submittal, which is February 26, 2021. 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.14-07-002. 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/. /S/ Erik Jacobson Director, Regulatory Relations cc: Service List R.14-07-002
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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: Kimberly Loo Phone #: (415)973-4587 E-mail: PGETariffs@pge.com E-mail Disposition Notice to: KELM@pge.com EXPLANATION OF UTILITY TYPE GAS = Gas WATER = Water HEAT = Heat (Date Submitted / Received Stamp by CPUC) Tier Designation: 1 Advice Letter (AL) #: 6101-E Subject of AL: 2020 True-Up for the Solar on Multifamily Affordable Housing (SOMAH) Program Funding Keywords (choose from CPUC listing): Compliance, Solar AL Type: Monthly Quarterly Annual One-Time Other: If AL submitted in compliance with a Commission order, indicate relevant Decision/Resolution #: D.20-04-012 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: Confidential treatment requested? Yes No If yes, specification of confidential information: Confidential information will be made available to appropriate parties who execute a nondisclosure agreement. Name and contact information to request nondisclosure agreement/ access to confidential information: Resolution required? Yes No Requested effective date: 2/26/21 No. of tariff sheets: 0 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: N/A 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
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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
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PG&E Gas and Electric Advice Submittal List General Order 96-B, Section IV AT&T Albion Power Company East Bay Community Energy Ellison Schneider & Harris LLP Energy Management Service Alta Power Group, LLC Anderson & Poole Engineers and Scientists of California Atlas ReFuel BART Barkovich & Yap, Inc. California Cotton Ginners & Growers Assn California Energy Commission California Hub for Energy Efficiency Financing California Alternative Energy and Advanced Transportation Financing Authority California Public Utilities Commission Calpine Cameron-Daniel, P.C. Casner, Steve Cenergy Power Center for Biological Diversity Chevron Pipeline and Power City of Palo Alto City of San Jose Clean Power Research Coast Economic Consulting Commercial Energy Crossborder Energy Crown Road Energy, LLC Davis Wright Tremaine LLP Day Carter Murphy Dept of General Services Don Pickett & Associates, Inc. Douglass & Liddell GenOn Energy, Inc. Goodin, MacBride, Squeri, Schlotz & Ritchie Green Power Institute Hanna & Morton ICF IGS Energy International Power Technology Intestate Gas Services, Inc. Kelly Group Ken Bohn Consulting Keyes & Fox LLP Leviton Manufacturing Co., Inc. Los Angeles County Integrated Waste Management Task Force MRW & Associates Manatt Phelps Phillips Marin Energy Authority McKenzie & Associates Modesto Irrigation District NLine Energy, Inc. NRG Solar Office of Ratepayer Advocates OnGrid Solar Pacific Gas and Electric Company Peninsula Clean Energy Pioneer Community Energy Redwood Coast Energy Authority Regulatory & Cogeneration Service, Inc. SCD Energy Solutions San Diego Gas & Electric Company SPURR San Francisco Water Power and Sewer Sempra Utilities Sierra Telephone Company, Inc. 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 Utility Cost Management Utility Power Solutions Water and Energy Consulting Wellhead Electric Company Western Manufactured Housing Communities Association (WMA) Yep Energy
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