Details for: PG&E's Advice 6327-E.pdf


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Sidney Bob Dietz II
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

September 14, 2021

Advice 6327-E
(Pacific Gas and Electric Company U 39 E)

Public Utilities Commission of the State of California
Subject:

Implementing the 2019 Energy Resource Recovery Account (ERRA)
Compliance Revenue Requirement in Compliance with Decision 2107-013

Purpose
Pacific Gas and Electric Company (PG&E) hereby submits its compliance advice letter
pursuant to Ordering Paragraph (OP) 4 of Decision (D.) 21-07-013 (the “2019 ERRA
Compliance Decision”). PG&E requests approval to implement the 2019 Energy
Resource Recovery Account (ERRA) Compliance revenue requirement, including a
report that PG&E transferred $95.3 million, including any associated interest retroactive
to January 2019, from the Portfolio Allocation Balancing Account (PABA) to the ERRA,
as a result of updating the Retained Renewables Portfolio Standard (RPS) adjustment
with actual 2019 recorded sales data, and Diablo Canyon Seismic Studies Balancing
Account (DCSSBA) cost recovery of $3.996 million (2019 recorded DCSSBA costs
including interest).
Background
On July 16, 2021, the California Public Utilities Commission (Commission or CPUC)
issued D.21-07-013 approving PG&E’s 2019 ERRA Compliance Application (A.20-02009), with modifications. In OPs 2 and 3 of the 2019 ERRA Compliance Decision, the
Commission authorized the following: (1) PG&E shall transfer $95.3 million, including any
associated interest retroactive to January 2019, from the PABA to the ERRA, to update
the Retained RPS adjustment that was ordered in D.20-02-047 with actual 2019 recorded
sales data; and (2) PG&E to recover $3.996 million in revenue requirement for seismic
study costs recorded in the DCSSBA.





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Advice 6327-E -2- September 14, 2021 D.21-07-013 Authorization and Modifications to PG&E’s Revenue Requirements and Rate Proposals The revenue requirements and illustrative total rates included herein incorporate the following modifications addressed in the 2019 ERRA Compliance Decision: 1. PG&E Transferred $95.3 Million, Including any Associated Interest Retroactive to January 2019, from the PABA to the ERRA, to Update the Retained RPS Adjustment that was ordered in D.20-02-047 • 2. PG&E confirms that it transferred at least $95.3 million, including any associated interest retroactive to January 2019, from the PABA to the ERRA, to update the Retained RPS adjustment that was ordered in D.20-02-047. DCSSBA Cost Recovery • PG&E will recover $3.996 million in revenue requirement for seismic study costs recorded in the DCSSBA in the upcoming Annual Electric True Up (AET) advice letter, and has recorded this entry in July 2021. Implementation of these modifications is described below. Retained RPS Entries Table 1 below shows PG&E’s retained RPS volumes and values that were transferred from PABA to ERRA related to 2019 record (trade) period. The table begins with the 2019 accounting entries presented in PG&E Table 2-1 of its Supplemental Testimony, and includes all relevant accounting adjustments that occurred in 2020 to true-up retained RPS values for the 2019 trade period, and notes related to how any applicable interest was treated in compliance with D.21-07-013. The activity recorded during the 2020 record period in Lines 2 and 3 in combination transfer at least $95.3 million from PABA to ERRA. TABLE 1 Retained RPS Entries to PABA Line 1 As of December 2019 GWh 5,352 $ Millions $87.98 Line 2 Line 3 Line 4 D.20-02-047 entries True-ups Recorded in 2020 Sum of 2020 Entries (Line 2 + Line 3) 5,651 258 5,909 $92.90 $4.24 $97.14 Line 5 Total 2019 Entries (Line 1 + Line 4) 11,261 $185.12
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Advice 6327-E -3- September 14, 2021 Line 1 includes the amounts presented in PG&E’s Table 2-1 in its Supplemental Testimony. These amounts were recorded as energy was procured. All activity recorded to balancing accounts accrue interest commensurate with the 3-month commercial paper rate as identified with Federal Statistical Release H-15, as authorized by the Commission. Line 2 represents entries recorded during March and August 2020 in compliance with D.20-02-047. Prior period interest was also recorded from December 2019 until the time of the entry. This period of interest is appropriate as December 2019 is the date that PG&E made its final Unsold RPS and other year-end adjustments related to retained RPS values. Line 3 represents additional true-ups recorded during the 2020 accounting year. In the normal course of business, PG&E adjusts accounting entries for updated settlement and meter data as provided by counterparties and validating entities. For Retained RPS, PG&E records amounts in compliance with D.19-10-001 for procured RPS contracts. Then, after 4 months, it adjusts the amounts for the final REC volumes validated by WREGIS. WREGIS also may update the amount of RECs validated for PG&E (or any entity) due to factors such as updated CAISO meter data. As such entries are triggered by available information and recorded as true-ups on a recurring basis (similar to billing data or other contract and CAISO settlements), no prior period interest is accrued for these entries. DCSSBA Cost Recovery PG&E will recover $3.996 million in revenue requirement for seismic study costs recorded in the DCSSBA in the upcoming Annual Electric True Up (AET) advice letter, and has recorded this entry in July 2021. This Advice Letter is submitted in compliance with this requirement. There are no tariff sheets submitted with this advice letter because no changes to PG&E’s tariffs are required due to D.21-07-013. Protests Anyone wishing to protest this submittal may do so by letter sent via U.S. mail, facsimile or E-mail, no later than October 4, 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
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Advice 6327-E -4- September 14, 2021 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: Sidney Bob Dietz II 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 upon date of submittal, which is September 14, 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 A.20-02-009. 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/.
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Advice 6327-E /S/ Sidney Bob Dietz II Director, Regulatory Relations Attachments cc: Service List A.20-02-009 -5- September 14, 2021
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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 (U 39 E) Utility type: ELC GAS PLC HEAT ELC = Electric PLC = Pipeline WATER Contact Person: Stuart Rubio Phone #: (415) 973-4587 E-mail: PGETariffs@pge.com E-mail Disposition Notice to: SHR8@pge.com EXPLANATION OF UTILITY TYPE GAS = Gas WATER = Water HEAT = Heat (Date Submitted / Received Stamp by CPUC) Tier Designation: 1 Advice Letter (AL) #: 6327-E Subject of AL: Implementing the 2019 Energy Resource Recovery Account (ERRA) Compliance Revenue Requirement in Compliance with Decision 21-07-013 Keywords (choose from CPUC listing): Compliance AL Type: Monthly Quarterly Annual One-Time Other: If AL submitted in compliance with a Commission order, indicate relevant Decision/Resolution #: D.21-07-013 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: N/A 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: 9/14/21 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: Sidney Bob Dietz II, 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 OnGrid Solar Pacific Gas and Electric Company Peninsula Clean Energy Pioneer Community Energy Public Advocates Office 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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