WEBVTT
00:00:00.408 --> 00:00:02.991
(gentle music)
00:00:12.010 --> 00:00:13.040
Welcome to the California
00:00:13.040 --> 00:00:14.470
Public Utilities Commission,
00:00:14.470 --> 00:00:19.430
public voting meeting on this
date Thursday, May 20th, 2021.
00:00:19.430 --> 00:00:21.150
Today's call is being recorded.
00:00:21.150 --> 00:00:24.200
If you have any objections,
you may disconnect at this time.
00:00:24.200 --> 00:00:25.900
President Batjer, you may proceed.
00:00:26.840 --> 00:00:28.280
Thank you so much, Haly.
00:00:28.280 --> 00:00:30.560
And I want to say good
morning to everyone.
00:00:30.560 --> 00:00:33.140
I'm having some technical
issues this morning.
00:00:33.140 --> 00:00:35.700
So please bear with my camera angles
00:00:35.700 --> 00:00:39.570
as well as where my eyes are focused.
00:00:39.570 --> 00:00:42.930
Because as I said, I've had
some IT issues this morning
00:00:42.930 --> 00:00:44.680
which we're just trying to...
00:00:44.680 --> 00:00:47.870
Hope that we have resolved.
00:00:47.870 --> 00:00:49.270
Okay. So good morning.
00:00:49.270 --> 00:00:51.060
We need to establish a quorum.
00:00:51.060 --> 00:00:54.120
Will the agenda clerk
please call the roll.
00:00:54.120 --> 00:00:55.570
Commissioner Houck?
00:00:56.590 --> 00:00:57.911
Here.
00:00:57.911 --> 00:01:00.120
Commissioner Shiroma?
00:01:00.120 --> 00:01:00.953
Presents.
00:01:00.953 --> 00:01:03.380
Commissioner Rechtschaffen?
00:01:03.380 --> 00:01:04.213
I'm here.
00:01:05.960 --> 00:01:07.950
Commissioner Guzman Aceves?
00:01:07.950 --> 00:01:09.340
Here.
00:01:09.340 --> 00:01:10.840
President Batjer?
00:01:10.840 --> 00:01:11.673
Here.
00:01:11.673 --> 00:01:13.030
We have established a quorum.
00:01:13.030 --> 00:01:14.680
Thank you.
00:01:14.680 --> 00:01:17.310
The quorum has indeed been established,
00:01:17.310 --> 00:01:19.550
and again, I want to welcome everyone
00:01:19.550 --> 00:01:22.230
to the California Public
Utilities Commission.
00:01:22.230 --> 00:01:26.300
I am calling this meeting of May, 2021,
00:01:26.300 --> 00:01:30.810
public agenda number 3486 to order.
00:01:30.810 --> 00:01:32.970
Due to the coronavirus pandemic
00:01:32.970 --> 00:01:35.660
and the shelter in place order,
00:01:35.660 --> 00:01:39.110
we are conducting today's
business meeting online
00:01:39.110 --> 00:01:41.920
and by remote participation.
00:01:41.920 --> 00:01:46.090
The meeting is live stream
on the CPUC website.
00:01:46.090 --> 00:01:51.090
You can view the meeting at
www.adminmonitor.com/ca/cpuc
00:01:56.410 --> 00:01:59.750
and admin monitor is one word.
00:01:59.750 --> 00:02:04.160
Closed captioning is available
in English and Spanish.
00:02:04.160 --> 00:02:07.910
So in the webcast, you
can click on the green button
00:02:07.910 --> 00:02:10.660
to select your language of choice.
00:02:10.660 --> 00:02:14.400
Other engagement is
critical to the CPUC process.
00:02:14.400 --> 00:02:16.600
If you wish to make a public comment
00:02:16.600 --> 00:02:19.127
dial into (800) 857-1917
00:02:22.550 --> 00:02:26.003
and enter pass code
9899501 and press *1,
00:02:30.620 --> 00:02:32.630
you will be placed into a queue
00:02:32.630 --> 00:02:35.690
and the operator will take
your name and information
00:02:35.690 --> 00:02:39.130
if appropriate, you will
be called upon to speak
00:02:39.130 --> 00:02:43.570
when you get to the public
comment period in today's agenda.
00:02:43.570 --> 00:02:47.060
If you encountered difficulty calling
00:02:47.060 --> 00:02:50.900
into the public telephone
line, please email
00:02:50.900 --> 00:02:53.567
votingmeetinghealth@cpuc.ca.gov.
00:02:58.260 --> 00:03:00.690
Before we commence public comment,
00:03:00.690 --> 00:03:02.790
I would like to follow up on a report
00:03:02.790 --> 00:03:06.170
I provided this last month
on the drought conditions
00:03:06.170 --> 00:03:08.630
in our beautiful state.
00:03:08.630 --> 00:03:13.210
A rapid changing climate
has again defied modeling
00:03:13.210 --> 00:03:16.630
and drought conditions
has changed dramatically
00:03:16.630 --> 00:03:18.113
within the last few weeks.
00:03:19.070 --> 00:03:23.010
On May 10th, Governor
Newsom issued his second drought
00:03:23.010 --> 00:03:26.840
proclamation just three
weeks after his first.
00:03:26.840 --> 00:03:30.230
A concerning
demonstration of how quickly
00:03:30.230 --> 00:03:33.403
conditions can and indeed have changed.
00:03:33.403 --> 00:03:36.070
(phone ringing)
00:03:39.490 --> 00:03:42.550
The drought proclamation
is currently focused
00:03:42.550 --> 00:03:47.000
on specific watersheds and 41 counties
00:03:47.000 --> 00:03:51.100
consisting of about 30%
of the state's population
00:03:51.100 --> 00:03:55.170
who are now in drought
state of emergency.
00:03:55.170 --> 00:03:58.540
Recent warm temperatures
and extremely dry soil
00:03:58.540 --> 00:04:01.710
have further depleted
the expected runoff water
00:04:01.710 --> 00:04:06.320
from the Sierra Cascades
Snowpack resulting in a historic
00:04:06.320 --> 00:04:10.000
and unanticipated estimated reduction
00:04:10.000 --> 00:04:12.800
of 500,000 acre feet of water.
00:04:12.800 --> 00:04:14.930
The equivalent of supplying water
00:04:14.930 --> 00:04:17.823
for up to 1 million
households for one year.
00:04:18.700 --> 00:04:21.819
Snowpack Statewide is only 4%
00:04:21.819 --> 00:04:24.330
of the historic average Statewide.
00:04:24.330 --> 00:04:27.720
4%, it's a stunning figure.
00:04:27.720 --> 00:04:31.510
The state's two largest
reservoirs are now low
00:04:31.510 --> 00:04:36.440
with Shasta reservoir being at 40, 54%
00:04:36.440 --> 00:04:38.500
and the historic of
the historical average.
00:04:38.500 --> 00:04:42.798
And Oroville reservoir at only 48%.
00:04:42.798 --> 00:04:45.380
Since the last drought
Californians have continued
00:04:45.380 --> 00:04:50.380
to conserve water with water
use Statewide down 16%
00:04:50.470 --> 00:04:51.980
since the last drought.
00:04:51.980 --> 00:04:54.190
That's very good news for us.
00:04:54.190 --> 00:04:59.190
With the 2012 through 2016
drought still in recent memory
00:04:59.550 --> 00:05:01.490
we need to recall lessons learned
00:05:01.490 --> 00:05:05.320
during the last drought and
work towards greater voluntary
00:05:05.320 --> 00:05:08.740
water conservation, frankly right now.
00:05:08.740 --> 00:05:11.030
As we head into the summer months,
00:05:11.030 --> 00:05:14.360
the prospects of
additional precipitation
00:05:14.360 --> 00:05:16.660
is frankly unlikely.
00:05:16.660 --> 00:05:19.520
We must use the tools we
have now to be thoughtful
00:05:19.520 --> 00:05:24.050
within our water planning as
the water resources we have now
00:05:24.050 --> 00:05:27.360
may need to last through this water year
00:05:27.360 --> 00:05:30.520
and possibly lead us into next.
00:05:30.520 --> 00:05:33.590
For information about
what the CPUC is doing
00:05:33.590 --> 00:05:35.210
regarding drought management
00:05:35.210 --> 00:05:37.380
and information about how Californians
00:05:37.380 --> 00:05:40.340
can voluntarily conserve water
00:05:40.340 --> 00:05:45.340
please visit www.cpuc.ca.gov/,
sorry droughinfo,
00:05:50.989 --> 00:05:53.980
at droughtinfo one word.
00:05:53.980 --> 00:05:57.740
Okay. We will now turn
to the public comment.
00:05:57.740 --> 00:06:00.000
If you wish to make a public comment
00:06:00.000 --> 00:06:02.700
and you have already
dialed into the public comment
00:06:02.700 --> 00:06:06.430
telephone line, please press *1
00:06:06.430 --> 00:06:08.943
to get into the public comments ques.
00:06:10.260 --> 00:06:14.840
CPUC rules, do not allow
for parties in proceedings
00:06:14.840 --> 00:06:17.590
to speak about open proceedings.
00:06:17.590 --> 00:06:19.950
The public can make
comments addressing items
00:06:19.950 --> 00:06:24.560
on the consent and regular
agenda as well as items
00:06:24.560 --> 00:06:27.050
not on the agenda today.
00:06:27.050 --> 00:06:30.500
Please note that there
will not be public comments
00:06:30.500 --> 00:06:35.500
on item 29 and all items on
the closed session agenda.
00:06:36.170 --> 00:06:38.310
You will have two minutes to speak.
00:06:38.310 --> 00:06:41.620
You will hear a bell
sound when your time is up.
00:06:41.620 --> 00:06:44.460
Please be mindful of
other speakers in the queue.
00:06:44.460 --> 00:06:46.850
And please keep to your allotted time.
00:06:46.850 --> 00:06:50.690
Again, the aloted time
you will have is two minutes
00:06:50.690 --> 00:06:54.660
and you will hear a bell
sound when your time is up
00:06:54.660 --> 00:06:57.720
and you should conclude
your comments at that point.
00:06:57.720 --> 00:07:01.220
With that guidance in mind
I welcome today's speakers
00:07:01.220 --> 00:07:05.100
and I will now turn to the
operator to open the summit call,
00:07:05.100 --> 00:07:06.120
the public telephone lines.
00:07:06.120 --> 00:07:08.743
Haly, could you please open the line?
00:07:10.645 --> 00:07:11.920
Yeah, thank you.
00:07:11.920 --> 00:07:14.630
The public comment line is now open.
00:07:14.630 --> 00:07:16.790
If you wish to speak during
the public comment period
00:07:16.790 --> 00:07:18.990
please press *1, unmute your phone
00:07:18.990 --> 00:07:21.440
and clearly record your
name and organization
00:07:21.440 --> 00:07:22.910
when prompted.
00:07:22.910 --> 00:07:26.310
Our first caller is Alex
Kronauer with Walmart.
00:07:26.310 --> 00:07:27.360
Sir you may go ahead.
00:07:28.560 --> 00:07:29.420
Good morning.
00:07:29.420 --> 00:07:30.770
My name is Alex Kronauer,
00:07:30.770 --> 00:07:34.920
I'm a Senior Manager on the
energy services team at Walmart.
00:07:34.920 --> 00:07:37.340
Thank you for the opportunity
to speak to you today.
00:07:37.340 --> 00:07:40.500
I would like to encourage
the CPUC to reconsider
00:07:40.500 --> 00:07:44.560
the recently issued proposed
decision on Senate bill 237,
00:07:44.560 --> 00:07:47.630
which recommended not
expanding direct access.
00:07:47.630 --> 00:07:48.800
As an initial comment,
00:07:48.800 --> 00:07:51.580
the PD clearly does not
comply with the statute
00:07:51.580 --> 00:07:53.947
that directed the
Commission to and I quote,
00:07:53.947 --> 00:07:56.240
"Provide recommendations
to the legislature
00:07:56.240 --> 00:07:59.550
on implementing a further
direct access transactions
00:07:59.550 --> 00:08:01.450
reopening the schedule."
00:08:01.450 --> 00:08:03.853
The PD clearly failed to do so.
00:08:05.120 --> 00:08:06.710
Excuse me.
00:08:06.710 --> 00:08:09.410
The PD recommends not
expanding direct access
00:08:09.410 --> 00:08:11.570
because of concerns
about grid reliability
00:08:11.570 --> 00:08:13.500
and the lack of renewable energy.
00:08:13.500 --> 00:08:17.530
However, these new issues
are not related to direct access.
00:08:17.530 --> 00:08:19.110
Regarding both renewable energy
00:08:19.110 --> 00:08:23.160
and reliability ESPs that
serve direct access customers
00:08:23.160 --> 00:08:26.260
are subject to, excuse me, precisely
00:08:26.260 --> 00:08:29.250
the same resource adequacy, RPS,
00:08:29.250 --> 00:08:30.960
integrated resource planning,
00:08:30.960 --> 00:08:35.233
and greenhouse gas requirements
imposed on IOUs and CCAs.
00:08:36.170 --> 00:08:38.470
In regard to the outages in mid August,
00:08:38.470 --> 00:08:40.580
the case was root cause analysis report
00:08:40.580 --> 00:08:42.550
did not mention direct access
00:08:42.550 --> 00:08:45.320
as a factor in the rotating the outages.
00:08:45.320 --> 00:08:47.770
Additionally, the
February outages in Texas
00:08:47.770 --> 00:08:49.830
were attributable to
the lack of winterization
00:08:49.830 --> 00:08:53.610
of gas pipelines and other
critical energy infrastructure
00:08:53.610 --> 00:08:55.923
and not or cots open energy markets.
00:08:58.200 --> 00:09:01.220
Lastly, Walmart strongly
supports direct access
00:09:01.220 --> 00:09:03.900
and customer choice as it
gives the customers the freedom
00:09:03.900 --> 00:09:06.860
to choose a power supplier
that meets their business goals
00:09:06.860 --> 00:09:10.070
with service offerings that
provide diverse pricing options,
00:09:10.070 --> 00:09:14.110
generation portfolio mix, and
risk management opportunities.
00:09:14.110 --> 00:09:17.330
As a retailer, keeping our
costs low helps us to maintain
00:09:17.330 --> 00:09:18.990
low prices for our customers
00:09:18.990 --> 00:09:23.000
and energy costs increases
due to a lack of choice,
00:09:23.000 --> 00:09:25.740
ultimately get passed on
to our customers as well.
00:09:25.740 --> 00:09:28.250
We asked the proposed
post decision to be withdrawn
00:09:28.250 --> 00:09:30.880
and or that an alternative PDD issued
00:09:30.880 --> 00:09:32.900
that actually complies with the statute.
00:09:32.900 --> 00:09:34.550
Thank you for your consideration.
00:09:35.830 --> 00:09:37.570
Thank you very much.
00:09:37.570 --> 00:09:39.623
Operator next caller, please.
00:09:42.450 --> 00:09:45.120
My next caller
is Elizabeth Ocampos.
00:09:45.120 --> 00:09:45.970
You may go ahead.
00:09:48.320 --> 00:09:49.850
Good morning.
00:09:49.850 --> 00:09:52.830
I live on Olive street
in Ventura, California
00:09:52.830 --> 00:09:56.650
near a Southern California
gas compressor station.
00:09:56.650 --> 00:09:59.830
And I'm coming to the CPUC today
00:09:59.830 --> 00:10:04.410
to ask that you deny
Southern California Gas attempt
00:10:04.410 --> 00:10:07.040
to expand their compressor station
00:10:07.040 --> 00:10:09.040
that sits less than a hundred yards
00:10:09.040 --> 00:10:13.430
from an elementary school
where 78% of children
00:10:13.430 --> 00:10:16.210
suffer from serious asthma.
00:10:16.210 --> 00:10:19.760
And a neighborhood where a
disproportionate number of adults
00:10:19.760 --> 00:10:24.053
suffer from cancers of the
lung liver and other organs.
00:10:24.920 --> 00:10:28.570
I've lived less than half a
mile from this compressor site
00:10:28.570 --> 00:10:30.610
for almost 20 years.
00:10:30.610 --> 00:10:33.750
And I'm currently under
painful chemotherapy
00:10:33.750 --> 00:10:36.210
for stage four lung cancer.
00:10:36.210 --> 00:10:38.893
My family members
are not prone to cancer.
00:10:39.760 --> 00:10:43.760
Please order SoCal Gas to
move this compressor station
00:10:43.760 --> 00:10:47.423
up the hill away from homes and schools.
00:10:48.600 --> 00:10:51.440
If you fail to start
asking serious questions
00:10:51.440 --> 00:10:56.290
about this Southern
California Gas insistence
00:10:56.290 --> 00:10:59.110
that their compressor stations are safe
00:10:59.110 --> 00:11:02.740
in such close proximity
to an elementary school,
00:11:02.740 --> 00:11:06.410
a 1000 resident housing
project, a neighborhood
00:11:06.410 --> 00:11:10.580
with 15,000 individuals
living in a range
00:11:10.580 --> 00:11:13.290
of less than three quarters of a mile,
00:11:13.290 --> 00:11:17.230
you will become an accessory
to the inevitable explosions
00:11:17.230 --> 00:11:20.820
and subsequent death
of California citizens.
00:11:20.820 --> 00:11:23.870
Please do not let
Southern California Gas
00:11:23.870 --> 00:11:27.540
make my neighborhood a sacrifice zone.
00:11:27.540 --> 00:11:29.223
Thank you for hearing me today.
00:11:31.440 --> 00:11:33.460
Thank you very much.
00:11:33.460 --> 00:11:35.283
Operator the next caller, please.
00:11:36.900 --> 00:11:39.320
Our next caller
is Michael and Wesca.
00:11:39.320 --> 00:11:40.170
You may go ahead.
00:11:41.360 --> 00:11:42.210
Good morning.
00:11:42.210 --> 00:11:45.050
My comments are
regarding the self-generation
00:11:45.050 --> 00:11:46.810
incentive program.
00:11:46.810 --> 00:11:47.767
My name is Michael Wesca
00:11:47.767 --> 00:11:50.010
and I'm the Tribal Administrator
00:11:50.010 --> 00:11:52.900
of the Lipay nation of Santa Ysabel.
00:11:52.900 --> 00:11:56.560
We are located in the
mountains of San Diego county
00:11:56.560 --> 00:12:00.910
where we are subjected
to fire watch constantly.
00:12:00.910 --> 00:12:03.740
We are subjected to some
of the most challenging
00:12:03.740 --> 00:12:06.413
weather conditions
the creator has to offer.
00:12:07.650 --> 00:12:11.810
Our tribe arguably is one of
the most disadvantaged tribes
00:12:11.810 --> 00:12:13.330
in the state.
00:12:13.330 --> 00:12:14.980
Members live in HUD housing
00:12:16.120 --> 00:12:19.400
are faced with constant power outages,
00:12:19.400 --> 00:12:24.400
little to no technology,
transportation, employment,
00:12:25.190 --> 00:12:27.180
and very little income.
00:12:27.180 --> 00:12:30.540
So you'd think that this
program would be for us,
00:12:30.540 --> 00:12:33.640
but in my opinion is still like a fraud.
00:12:33.640 --> 00:12:38.640
This program has created
barriers where we have to prove
00:12:38.890 --> 00:12:40.833
just how poor we are.
00:12:41.720 --> 00:12:45.860
The living in HUD
housing, living in a fire zone,
00:12:45.860 --> 00:12:50.860
living in a place of a Indian
reservation, all qualified us,
00:12:52.290 --> 00:12:55.650
But now we have been given barriers
00:12:55.650 --> 00:12:58.533
that require us to prove our poverty.
00:12:59.610 --> 00:13:04.610
It feels like white supremacy
toying with us once again,
00:13:05.090 --> 00:13:09.520
requiring us to prove how poor we are
00:13:09.520 --> 00:13:12.520
just so we can
participate in this program.
00:13:12.520 --> 00:13:13.810
It is unfair.
00:13:13.810 --> 00:13:15.240
It is injust.
00:13:15.240 --> 00:13:18.480
And I asked the Commission to assist us
00:13:18.480 --> 00:13:22.850
in giving authentic engagement
for disadvantaged families
00:13:22.850 --> 00:13:25.410
like this program was intended to do.
00:13:25.410 --> 00:13:26.243
Thank you.
00:13:28.520 --> 00:13:29.733
Thank you very much.
00:13:31.160 --> 00:13:32.963
Operator the next caller, please.
00:13:35.700 --> 00:13:37.980
Our next
caller is Katie Davis.
00:13:37.980 --> 00:13:38.830
You may go ahead.
00:13:40.330 --> 00:13:42.350
Hello. Yes, my
name is Katie Davis.
00:13:42.350 --> 00:13:44.870
I'm chair of the Sierra
Club in Santa Barbara
00:13:44.870 --> 00:13:45.860
Ventura county.
00:13:45.860 --> 00:13:48.280
And I'm also calling
about to call your attention
00:13:48.280 --> 00:13:50.760
to the Ventura Compressor Station.
00:13:50.760 --> 00:13:54.040
SoCal Gas plants to
demolish their current plant
00:13:54.040 --> 00:13:57.900
and replace entirely new
plant would double the capacity.
00:13:57.900 --> 00:14:01.540
So they're building an entirely
new, much larger capacity
00:14:01.540 --> 00:14:03.930
compressor station located again,
00:14:03.930 --> 00:14:06.610
right next to an elementary
school, Boys and Girls Club,
00:14:06.610 --> 00:14:09.310
affordable housing and in a
disadvantaged community.
00:14:09.310 --> 00:14:12.690
There's no other compressor
station in such a location.
00:14:12.690 --> 00:14:15.780
Further this site was identified by NASA
00:14:15.780 --> 00:14:18.390
as a methane super emitter
when they did the flyover
00:14:18.390 --> 00:14:20.150
in 2017.
00:14:20.150 --> 00:14:22.833
There were this clouds of
methane over the school.
00:14:23.800 --> 00:14:26.010
They didn't have
monitoring outside the plants
00:14:26.010 --> 00:14:29.800
so they didn't know, and they
don't plan to add monitoring
00:14:29.800 --> 00:14:32.200
outside the plant for this
new compressor station.
00:14:32.200 --> 00:14:34.240
This project needs environmental review.
00:14:34.240 --> 00:14:38.430
As the Ventura city council
has unanimously requested
00:14:38.430 --> 00:14:42.740
and all projects like this
need and alternatives analysis.
00:14:42.740 --> 00:14:45.983
Despite SoCal Gas's
efforts, all of the air,
00:14:45.983 --> 00:14:49.490
all the municipalities in the
region are passing building
00:14:49.490 --> 00:14:53.040
electrification codes, gas plants
are being deCommissioned.
00:14:53.040 --> 00:14:55.620
We don't believe they
need to double the capacity.
00:14:55.620 --> 00:14:57.840
In addition, the
International Energy Agency
00:14:57.840 --> 00:15:00.420
has just said we can't
afford to build new
00:15:00.420 --> 00:15:02.140
fossil fuel infrastructure at all.
00:15:02.140 --> 00:15:04.380
And so certainly you
should be taking a hard look
00:15:04.380 --> 00:15:06.423
at any requests to do so.
00:15:07.390 --> 00:15:09.900
SoCal Gas says that
this project was approved
00:15:09.900 --> 00:15:12.990
in your 2019 Rate Case,
but we don't think it was,
00:15:12.990 --> 00:15:14.230
there was no money assigned.
00:15:14.230 --> 00:15:15.610
There was no details of project.
00:15:15.610 --> 00:15:18.810
There was no disclosure of its location.
00:15:18.810 --> 00:15:20.863
No alternatives analysis.
00:15:22.210 --> 00:15:24.500
So we think that this should be reopened
00:15:24.500 --> 00:15:26.253
and re-investigated.
00:15:27.454 --> 00:15:29.840
It also would be in violation
00:15:29.840 --> 00:15:32.150
of your environmental justice policies,
00:15:32.150 --> 00:15:35.150
cause no one in the
community was notified.
00:15:35.150 --> 00:15:37.040
No information was given.
00:15:37.040 --> 00:15:39.990
So we don't believe this is approved.
00:15:39.990 --> 00:15:41.700
We think it needs further analysis
00:15:41.700 --> 00:15:43.750
and it may not be necessary.
00:15:43.750 --> 00:15:46.960
And I'll also add that it
would be sending more gas
00:15:46.960 --> 00:15:49.190
to Loggly to gas storage field in Goleta
00:15:49.190 --> 00:15:52.140
which is presents
risk to its right under
00:15:52.140 --> 00:15:53.190
the Santa Barbara airport.
00:15:53.190 --> 00:15:55.204
And UCFC, there's a earthquake
00:15:55.204 --> 00:15:57.371
(indistinct)
(bell dings)
00:15:57.371 --> 00:15:58.800
So please reconsider.
00:15:58.800 --> 00:15:59.633
Thank you.
00:16:02.050 --> 00:16:03.690
Thank you.
00:16:03.690 --> 00:16:05.743
Operator the next caller, please.
00:16:08.460 --> 00:16:10.520
Our next
caller is Will Abrams.
00:16:10.520 --> 00:16:11.370
You may go ahead.
00:16:12.860 --> 00:16:13.693
Thank you.
00:16:13.693 --> 00:16:14.526
Good morning Commissioners.
00:16:14.526 --> 00:16:16.310
I'm not a party to the proceedings,
00:16:16.310 --> 00:16:18.040
I will be commenting on today.
00:16:18.040 --> 00:16:20.600
But first I would like
to voice my support
00:16:20.600 --> 00:16:23.080
for item number 14 on the agenda.
00:16:23.080 --> 00:16:24.930
Many wildfires survivors like me
00:16:24.930 --> 00:16:26.620
are still in a holding pattern due
00:16:26.620 --> 00:16:28.540
to the lack of movement
with the payments
00:16:28.540 --> 00:16:30.830
through the Wildfire Victim Trust.
00:16:30.830 --> 00:16:32.750
Waving rule number 13,
00:16:32.750 --> 00:16:35.650
so that maintaining
temporary power is less costly
00:16:35.650 --> 00:16:39.310
as we await the opportunity
to rebuild is important.
00:16:39.310 --> 00:16:41.440
I do believe it is important to note
00:16:41.440 --> 00:16:44.070
that this waiver is only
needed because PG
00:16:44.070 --> 00:16:47.620
has not made good on their
promise to fully fund the trust
00:16:47.620 --> 00:16:49.400
and make victims whole.
00:16:49.400 --> 00:16:52.390
I would also like to express
that there are other things
00:16:52.390 --> 00:16:54.410
that the Commission can do
00:16:54.410 --> 00:16:58.430
in supportive victims from
these utility cause wildfires.
00:16:58.430 --> 00:17:01.480
Perhaps the Commission
could disallow costs recovery
00:17:01.480 --> 00:17:04.130
from power received
through temporary service
00:17:04.130 --> 00:17:08.760
while victims await PG
fully funding the trust.
00:17:08.760 --> 00:17:11.690
Imagine if all of our
efforts to provide security
00:17:11.690 --> 00:17:14.560
and securitization for the utilities
00:17:14.560 --> 00:17:17.490
and their shareholders
was made contingent
00:17:17.490 --> 00:17:22.010
upon assurances and
security for their victims.
00:17:22.010 --> 00:17:25.510
As an example, when the
Commission approved the 7.5 billion
00:17:25.510 --> 00:17:28.370
and added securitization for PG%E
00:17:28.370 --> 00:17:32.050
they could have tied this
to the security for victims
00:17:32.050 --> 00:17:34.410
and fully funding the trust.
00:17:34.410 --> 00:17:38.410
We should not have to wait in
line behind other shareholders
00:17:38.410 --> 00:17:41.130
to receive these payments.
00:17:41.130 --> 00:17:45.720
This leaves us at increasing
risk this wildfire season
00:17:45.720 --> 00:17:50.720
while others take advantage
of us holding that stock.
00:17:52.530 --> 00:17:55.570
I would also like to
comment on item number 128
00:17:55.570 --> 00:17:57.830
and number 32 on the agenda.
00:17:57.830 --> 00:17:59.720
Both of these items are outgrowths
00:17:59.720 --> 00:18:03.270
of disincentives for utilities
to make their grid safer.
00:18:03.270 --> 00:18:05.560
I am not sure how telling the utilities
00:18:05.560 --> 00:18:08.950
that they cannot charge
for power not supplied
00:18:08.950 --> 00:18:10.230
during power shutoffs.
00:18:10.230 --> 00:18:13.960
Is somehow an incentive
to manage the events
00:18:13.960 --> 00:18:15.940
in a more prudent manner.
00:18:15.940 --> 00:18:19.130
Likewise, I am anxious
to hear item number 32
00:18:19.130 --> 00:18:24.117
regarding SED oversight
actions related to the 2017
00:18:24.117 --> 00:18:27.250
and 2018 wildfire settlement.
00:18:27.250 --> 00:18:29.560
I am unsure about PG
(bell dings)
00:18:29.560 --> 00:18:32.910
binds and disallowing
costs is going to produce
00:18:32.910 --> 00:18:34.500
a safer utility,
00:18:34.500 --> 00:18:36.770
but I look forward to
hearing what additional
00:18:36.770 --> 00:18:38.790
oversight has been provided.
00:18:38.790 --> 00:18:39.933
Thank you very much.
00:18:41.610 --> 00:18:42.863
Thank you Mr. Abrams.
00:18:43.730 --> 00:18:45.380
Operator the next caller, please.
00:18:47.100 --> 00:18:49.420
Our next caller
is George Wadelake.
00:18:49.420 --> 00:18:50.270
You may go ahead.
00:18:51.728 --> 00:18:53.394
Good morning.
My name is George Wadelake
00:18:53.394 --> 00:18:55.890
and I'm the Vice President
of Energy Procurement
00:18:55.890 --> 00:18:57.400
for Albertsons Companies.
00:18:57.400 --> 00:18:59.260
In California, we operate the brand
00:18:59.260 --> 00:19:01.850
Safeway Albertsons, Vons and Pavilions
00:19:01.850 --> 00:19:04.500
The proposed decision
regarding the implementation
00:19:04.500 --> 00:19:07.810
of SB237 is not what was directed
00:19:07.810 --> 00:19:11.030
by the legislature and
not what customers want.
00:19:11.030 --> 00:19:13.950
Please reconsider
medium to large commercial
00:19:13.950 --> 00:19:15.810
and industrial customers
have been asking
00:19:15.810 --> 00:19:19.290
for competitive energy
supply for the last two decades.
00:19:19.290 --> 00:19:20.400
We are the customer.
00:19:20.400 --> 00:19:21.880
We know what we need.
00:19:21.880 --> 00:19:24.390
We know what will help us
better serve the communities
00:19:24.390 --> 00:19:26.330
where our customers live.
00:19:26.330 --> 00:19:30.290
We all run complex business
and can manage the benefits
00:19:30.290 --> 00:19:33.930
and risks associated with
competitive energy supply.
00:19:33.930 --> 00:19:37.070
Any problems that RTOs
and ISO's have experienced
00:19:37.070 --> 00:19:39.990
over the last two decades,
were related to market design
00:19:39.990 --> 00:19:43.850
and enforcement issues and
not issues with competition.
00:19:43.850 --> 00:19:46.260
As an all market-based
systems regulation
00:19:46.260 --> 00:19:49.270
and oversight is a key
part of the construct.
00:19:49.270 --> 00:19:52.590
Set the market rules, adjust
the market rules as appropriate
00:19:52.590 --> 00:19:55.050
using a continuous improvement loop
00:19:55.050 --> 00:19:57.900
and let the markets develop
to meet customer needs.
00:19:57.900 --> 00:20:00.960
Load serving entities
and customers will adapt
00:20:00.960 --> 00:20:02.570
to meet the market requirements.
00:20:02.570 --> 00:20:04.880
As long as the markets are competitive.
00:20:04.880 --> 00:20:07.570
If not the market will
eventually figure out a way
00:20:07.570 --> 00:20:10.250
around the non-competitive
supply construct
00:20:10.250 --> 00:20:12.210
because that is what customers want,
00:20:12.210 --> 00:20:15.470
access to competitive
energy supply and services.
00:20:15.470 --> 00:20:18.300
Current advancements in
distributed energy resources
00:20:18.300 --> 00:20:21.130
and storage at the facility
level are a good example
00:20:21.130 --> 00:20:24.540
of the market moving past
the non-competitive market.
00:20:24.540 --> 00:20:26.930
Technology is changing
the way markets work
00:20:26.930 --> 00:20:28.710
and services are provided.
00:20:28.710 --> 00:20:32.110
Retail energy markets are
lagging and need to catch up.
00:20:32.110 --> 00:20:34.660
The competitive energy
market will help the state
00:20:34.660 --> 00:20:37.790
most efficiently reach its
greenhouse gas reduction
00:20:37.790 --> 00:20:41.610
and reliability goals most
efficiently are the key words
00:20:41.610 --> 00:20:42.740
in that statement.
00:20:42.740 --> 00:20:45.470
California needs
competitive energy supply to
00:20:45.470 --> 00:20:49.570
economically serve its and
keep businesses in the state.
00:20:49.570 --> 00:20:52.780
Albertson's Company
strongly encourages the CPUC
00:20:52.780 --> 00:20:56.700
to reconsider the proposed
decision on Senate bill 237
00:20:56.700 --> 00:20:59.010
and issue an alternative decision.
00:20:59.010 --> 00:20:59.843
Thank you.
00:21:01.490 --> 00:21:03.290
Thank you very much.
00:21:03.290 --> 00:21:05.363
Operator, our next caller, please.
00:21:08.680 --> 00:21:11.550
Our next caller
is Lucia Marquez.
00:21:11.550 --> 00:21:12.400
You may go ahead.
00:21:14.070 --> 00:21:15.170
Good morning Commissioners.
00:21:15.170 --> 00:21:16.220
Can you hear me okay?
00:21:17.990 --> 00:21:20.090
Yes we can, thank you.
00:21:20.090 --> 00:21:21.380
Okay, great. Thank you.
00:21:21.380 --> 00:21:24.010
My name is Lucia Marquez,
the Senior Policy Advocate
00:21:24.010 --> 00:21:25.650
with the Central Coast Alliance United
00:21:25.650 --> 00:21:27.360
for Sustainable Economy
00:21:27.360 --> 00:21:30.270
and Social Economic and
Environmental Justice Organization
00:21:30.270 --> 00:21:32.770
working in Ventura and
Santa Barbara county.
00:21:32.770 --> 00:21:34.670
I'm here to share my deep concerns
00:21:34.670 --> 00:21:36.007
with SoCal Gas and,
00:21:36.007 --> 00:21:40.150
with the SoCal Gas
Ventura Compressor Station.
00:21:40.150 --> 00:21:42.690
According to CalEnviroScreen,
this project is located
00:21:42.690 --> 00:21:46.290
among the most polluted
burden communities in California.
00:21:46.290 --> 00:21:47.900
This neighborhood is 70% Latinx,
00:21:47.900 --> 00:21:51.150
where 93% of its students
who attend the neighboring
00:21:51.150 --> 00:21:55.020
elementary school are eligible
for free and reduced lunch.
00:21:55.020 --> 00:21:57.650
Why is it that communities
with demographics like this
00:21:57.650 --> 00:22:00.380
are consistently
targeted as sacrifice zone
00:22:00.380 --> 00:22:02.320
for polluting industry.
00:22:02.320 --> 00:22:05.094
A super omitting
toxic facility like this
00:22:05.094 --> 00:22:07.780
with a known history of
leaks throughout the year
00:22:07.780 --> 00:22:09.110
should never have been built next
00:22:09.110 --> 00:22:10.800
to hundreds of small children,
00:22:10.800 --> 00:22:14.240
yet an expansion doubling
its size as being considered.
00:22:14.240 --> 00:22:16.170
This dangerous expansion is being rushed
00:22:16.170 --> 00:22:18.470
and move forward without
even notifying the parents
00:22:18.470 --> 00:22:21.420
of the children who play
and learn across the street.
00:22:21.420 --> 00:22:23.580
Our region has a long
history of polluting sites
00:22:23.580 --> 00:22:25.930
being located in environmental
justice communities
00:22:25.930 --> 00:22:27.220
throughout our county.
00:22:27.220 --> 00:22:29.950
A perfect example of this
is the coastal power plants
00:22:29.950 --> 00:22:31.750
currently on Oxnard coast,
00:22:31.750 --> 00:22:33.770
the neighboring city to Ventura.
00:22:33.770 --> 00:22:36.140
We're asking that you
learn from the early mistakes
00:22:36.140 --> 00:22:38.310
of the proposed
(indistinct) power plant.
00:22:38.310 --> 00:22:40.220
That power plant never
should have been considered
00:22:40.220 --> 00:22:43.950
in our community Just like
this gas compressor station.
00:22:43.950 --> 00:22:47.260
We should be prioritizing
safe and clean alternative
00:22:47.260 --> 00:22:49.500
and shutting down
fossil fuel infrastructure,
00:22:49.500 --> 00:22:51.320
not expanding it.
00:22:51.320 --> 00:22:54.150
The city of Ventura was
pushed to pass a resolution
00:22:54.150 --> 00:22:56.390
requesting further
review of this project,
00:22:56.390 --> 00:22:59.070
because of the inconsistent
and inaccurate information
00:22:59.070 --> 00:23:01.150
they received from SoCal Gas staff
00:23:01.150 --> 00:23:03.520
when asked about the expansion plan.
00:23:03.520 --> 00:23:06.300
We believe this project
is a major violation
00:23:06.300 --> 00:23:08.590
of the PUC's
environmental justice policies
00:23:08.590 --> 00:23:10.840
and urge you to conduct
an environmental review
00:23:10.840 --> 00:23:13.370
and alternative studies
as soon as possible.
00:23:13.370 --> 00:23:14.293
Thank you so much.
00:23:17.340 --> 00:23:18.880
Thank you, Ms. Marquez
00:23:18.880 --> 00:23:20.580
Operator, the next caller, please.
00:23:22.300 --> 00:23:24.760
Our next caller
is Dr. Patrick Kearns.
00:23:24.760 --> 00:23:25.610
You may go ahead.
00:23:28.270 --> 00:23:29.550
This is a sound test.
00:23:29.550 --> 00:23:30.760
Can you hear me?
00:23:30.760 --> 00:23:31.660
Yes, we can.
00:23:31.660 --> 00:23:33.430
You can go ahead.
00:23:33.430 --> 00:23:35.050
Thank you very much.
00:23:35.050 --> 00:23:37.580
My name is Patrick Kearns
00:23:37.580 --> 00:23:40.790
and I am addressing madam
President and Commissioners
00:23:40.790 --> 00:23:43.330
all the way in the South Bay.
00:23:43.330 --> 00:23:46.410
Thank you for your
diligence in the publication
00:23:46.410 --> 00:23:49.030
highlighting negative
trends and affordability
00:23:49.030 --> 00:23:52.700
of combined essential utility services.
00:23:52.700 --> 00:23:56.680
And the disparity that
exists among low income
00:23:56.680 --> 00:24:01.410
and fixed income citizens who
should have reasonable access
00:24:01.410 --> 00:24:04.883
to water and electricity
as a human right.
00:24:05.920 --> 00:24:08.450
While the report reportedly shows trends
00:24:08.450 --> 00:24:11.750
for those families in low income areas,
00:24:11.750 --> 00:24:16.320
fixed incomes and areas
of color in the south bay,
00:24:16.320 --> 00:24:20.350
these are not trends
but actual real life
00:24:20.350 --> 00:24:23.900
imminent threatened experiences.
00:24:23.900 --> 00:24:28.320
In my community up
to 40,000 CCB accounts
00:24:29.270 --> 00:24:33.420
representing families of two
to eight adults and children
00:24:33.420 --> 00:24:37.780
are dealing with disconnection
of water and electricity
00:24:37.780 --> 00:24:39.830
during the heat of the summer.
00:24:39.830 --> 00:24:43.000
The areas impacted
extend from the east side
00:24:43.000 --> 00:24:45.370
of Santa Clara county
with its high incidence
00:24:45.370 --> 00:24:49.050
of childhood poverty to
some of the most affluent areas
00:24:49.050 --> 00:24:50.580
in the country.
00:24:50.580 --> 00:24:55.580
These areas have high
prevalence of fixed income retirees
00:24:56.130 --> 00:25:00.740
who are locked into a
high cost environment
00:25:00.740 --> 00:25:04.840
and with the upcoming deadline
and being the moratorium,
00:25:04.840 --> 00:25:09.200
they must choose between
water, energy, disconnection, foods
00:25:09.200 --> 00:25:12.230
for their children or food banks,
00:25:12.230 --> 00:25:16.200
and medication for their
families or hospitalization.
00:25:16.200 --> 00:25:19.270
The end of the water and
energy disconnect moratorium
00:25:19.270 --> 00:25:20.750
is the looming threat.
00:25:20.750 --> 00:25:25.330
A public health official looks at this
00:25:25.330 --> 00:25:28.430
as a public health crisis.
00:25:28.430 --> 00:25:30.970
The Detroit fiasco where disconnection
00:25:30.970 --> 00:25:35.610
led to a COVID 19 surge, creating chaos
00:25:36.960 --> 00:25:39.400
not only in disconnecting,
00:25:39.400 --> 00:25:42.096
but not being able to reconnect
because of their records.
00:25:42.096 --> 00:25:44.513
(bell dings)
00:25:45.400 --> 00:25:49.930
I would like to finish a
recommendation, I'm sorry.
00:25:49.930 --> 00:25:51.083
I will stop.
00:25:52.660 --> 00:25:56.600
A recommendation would
be to involve Dr. Sarah Cody
00:25:56.600 --> 00:25:58.670
or other public health officials
00:25:58.670 --> 00:26:02.830
in the deliberation of the Commissioners
00:26:02.830 --> 00:26:07.020
as to creating a high moral standard
00:26:07.020 --> 00:26:12.020
for independent investor owned utilities
00:26:12.460 --> 00:26:17.460
to design their transition
programs as Detroit did
00:26:17.780 --> 00:26:21.290
extending the moratorium to 2022.
00:26:21.290 --> 00:26:25.103
Thank you very much for
allowing me the extended time.
00:26:26.740 --> 00:26:28.210
Thank you Mr. Kearns.
00:26:28.210 --> 00:26:29.823
Next caller, please Operator.
00:26:31.770 --> 00:26:34.230
Our next
caller is Alex Garcia.
00:26:34.230 --> 00:26:35.080
You may go ahead.
00:26:36.630 --> 00:26:37.710
Good morning everyone.
00:26:37.710 --> 00:26:39.083
Can you hear me okay?
00:26:40.850 --> 00:26:41.683
Yes, we can.
00:26:41.683 --> 00:26:43.260
Thank you. Go ahead.
00:26:43.260 --> 00:26:45.050
Great. My
name is Alex Garcia,
00:26:45.050 --> 00:26:46.517
I'm with the organization Cause,
00:26:46.517 --> 00:26:48.463
and in I work in the city of Ventura.
00:26:49.350 --> 00:26:50.630
Yeah. Through my work I engaged
00:26:50.630 --> 00:26:52.940
with about 30 members of the community
00:26:52.940 --> 00:26:55.250
Spanish speaking adults,
high school students.
00:26:55.250 --> 00:26:58.110
They can be here
today, due to schoolwork,
00:26:58.110 --> 00:26:59.280
but they wanted me to make a comment
00:26:59.280 --> 00:27:01.930
on their behalf because
they are really outraged
00:27:01.930 --> 00:27:05.240
by the Ventura compressor
station that is being proposed
00:27:05.240 --> 00:27:06.390
in their neighborhoods.
00:27:07.570 --> 00:27:09.210
We recently had a gathering and you know
00:27:09.210 --> 00:27:12.830
one of the populations
that have been really vocal,
00:27:12.830 --> 00:27:14.230
have been local parents, right?
00:27:14.230 --> 00:27:15.430
They're very angry.
00:27:15.430 --> 00:27:17.490
They're in disbelief
that just across the street
00:27:17.490 --> 00:27:19.970
where their children
play and learn this site,
00:27:19.970 --> 00:27:23.200
you know exists and it's
known to leak toxic chemicals
00:27:24.220 --> 00:27:26.970
affecting the health of their children,
00:27:26.970 --> 00:27:30.233
in that of nearby housing
developments and other homes.
00:27:31.110 --> 00:27:32.890
And in addition to this
exposure, you know,
00:27:32.890 --> 00:27:35.640
parents are very concerned
about sending their kids
00:27:35.640 --> 00:27:38.500
to school, knowing that
there's risk of explosions
00:27:38.500 --> 00:27:41.810
at this site that would
put their children's lives
00:27:41.810 --> 00:27:43.510
in harm's way.
00:27:43.510 --> 00:27:46.370
We know it's irresponsible
to have this site
00:27:46.370 --> 00:27:50.050
in our community and in
any community for that matter.
00:27:50.050 --> 00:27:54.370
And just like our local
government recently stepped up
00:27:54.370 --> 00:27:58.460
we're asking you to also
require an environmental review
00:27:58.460 --> 00:28:01.680
and instead of approving
harmful energy projects
00:28:01.680 --> 00:28:05.840
like this one, we ask that
you look at clean alternatives.
00:28:05.840 --> 00:28:07.423
Thank you so much for your time.
00:28:10.160 --> 00:28:10.993
Thank you.
00:28:11.850 --> 00:28:13.500
Operator the next caller, please.
00:28:16.151 --> 00:28:18.960
Our next caller is
Tomas Morales Becky
00:28:18.960 --> 00:28:20.350
with Food and Water Watch.
00:28:20.350 --> 00:28:21.200
You may go ahead.
00:28:23.050 --> 00:28:24.950
Hey, good morning
Commissioners.
00:28:24.950 --> 00:28:26.180
My name is Tomas Morales Becky,
00:28:26.180 --> 00:28:27.540
I work with Food and Water Watch
00:28:27.540 --> 00:28:28.970
and live here in Ventura too.
00:28:28.970 --> 00:28:31.270
And we are part of the West
Side Clean Air Coalition too,
00:28:31.270 --> 00:28:33.360
dozens of groups that
concerned in United
00:28:33.360 --> 00:28:34.950
against this compressor.
00:28:34.950 --> 00:28:36.380
I'm extremely concerned about it too
00:28:36.380 --> 00:28:38.410
because I live a couple
blocks from the facility
00:28:38.410 --> 00:28:39.727
with my two young children
00:28:39.727 --> 00:28:42.970
and my daughter will be
attending the school next year.
00:28:42.970 --> 00:28:45.790
So as mentioned
before, by previous callers
00:28:45.790 --> 00:28:47.240
we live in a disadvantaged community.
00:28:47.240 --> 00:28:50.680
That's over 70% Latino
and already suffers
00:28:50.680 --> 00:28:53.930
from some of the worst
pollution in state of California.
00:28:53.930 --> 00:28:56.040
This facility has had
a long history of leaks
00:28:56.040 --> 00:28:57.620
not just the one captured by NASA,
00:28:57.620 --> 00:28:58.820
they're on record at our
00:28:58.820 --> 00:29:00.820
local air pollution control district.
00:29:00.820 --> 00:29:02.760
And as we mentioned
right across the street
00:29:02.760 --> 00:29:05.150
from an elementary
school, Boys and Girls Club,
00:29:05.150 --> 00:29:07.310
and hundreds of other people's homes
00:29:07.310 --> 00:29:11.040
the property too is been
located on a polluted site,
00:29:11.040 --> 00:29:12.560
that's been used for
over a hundred years
00:29:12.560 --> 00:29:13.590
for industrial use.
00:29:13.590 --> 00:29:16.610
And as a result this soil
contains toxic carcinogens,
00:29:16.610 --> 00:29:17.990
including lead.
00:29:17.990 --> 00:29:21.360
SoCal Gas is planning on
removing at least 2,500 tons
00:29:21.360 --> 00:29:24.640
of this toxic soil as part
of their expansion project.
00:29:24.640 --> 00:29:26.670
SoCal Gas, again, we
mentioned they claim
00:29:26.670 --> 00:29:30.000
that this project was approved
in the 2019 Rate Case.
00:29:30.000 --> 00:29:32.297
That's very vague, we
don't know if that's true or not.
00:29:32.297 --> 00:29:35.330
The Rate Case was only
a couple of paragraphs.
00:29:35.330 --> 00:29:37.940
And like we said, there's
no costs projected for this,
00:29:37.940 --> 00:29:40.070
so it's basically a blank check
00:29:40.070 --> 00:29:44.330
if it was approved with no
costs, no needs analysis.
00:29:44.330 --> 00:29:45.870
And the community was never notified,
00:29:45.870 --> 00:29:48.560
and the residents located were never,
00:29:48.560 --> 00:29:50.700
it was never disclosed
to us, the school district
00:29:50.700 --> 00:29:52.003
or the city.
00:29:53.030 --> 00:29:55.370
If it slips through, it's
gonna be a major violation
00:29:55.370 --> 00:29:58.200
of the PUC environmental
justice policies.
00:29:58.200 --> 00:30:01.160
And as we said too, it's ridiculous
00:30:01.160 --> 00:30:04.330
that a point check for a
project this size could be written
00:30:04.330 --> 00:30:07.090
with just with a couple of
paragraphs of explanation.
00:30:07.090 --> 00:30:09.210
And also they've
changed it multiple times
00:30:09.210 --> 00:30:13.440
since that Rate Case, they
there's no clear documentation
00:30:13.440 --> 00:30:15.880
about how many compressors
and how much total horsepower
00:30:15.880 --> 00:30:16.980
will be used.
00:30:16.980 --> 00:30:19.460
And the Rate Case say
described six turbines.
00:30:19.460 --> 00:30:21.590
And now they're saying four turbines,
00:30:21.590 --> 00:30:23.750
but with even higher total horsepower
00:30:23.750 --> 00:30:26.440
than the six that were
proposed in the Rate Case.
00:30:26.440 --> 00:30:29.220
As we mentioned, there's
possibility of explosion
00:30:29.220 --> 00:30:30.600
that happens at a lot
of these compressors
00:30:30.600 --> 00:30:32.700
throughout the US and in California.
00:30:32.700 --> 00:30:35.140
And no other compressors
in California are this close
00:30:35.140 --> 00:30:38.240
to homes or this close to a school.
00:30:38.240 --> 00:30:40.880
And it should not be happening
anywhere in this country
00:30:40.880 --> 00:30:42.770
and especially not in our community.
00:30:42.770 --> 00:30:46.400
And if these were approved,
it needs to be re-evaluated,
00:30:46.400 --> 00:30:50.500
and there needs to be more
detailed of detailed analysis
00:30:50.500 --> 00:30:53.460
of an actual projecting of
his costs and the needs.
00:30:53.460 --> 00:30:55.523
Because as we said,
we're moving away from gas
00:30:55.523 --> 00:30:56.497
in our community.
00:30:56.497 --> 00:30:57.681
Santa Barbara is moving away from gas,
00:30:57.681 --> 00:31:00.937
is supposedly need to feed
this gas to other power plants
00:31:00.937 --> 00:31:04.480
and other coastal cities that
were quickly moving away.
00:31:04.480 --> 00:31:08.140
Here in Ventura county to
we've passed the local gas ban
00:31:08.140 --> 00:31:09.120
on new construction.
00:31:09.120 --> 00:31:12.480
So there needs to be
an EIR just like our city
00:31:12.480 --> 00:31:15.538
just voted in their
resolution demanding that-
00:31:15.538 --> 00:31:17.490
(bell dings)
00:31:17.490 --> 00:31:19.690
removal of the toxic
soil and the expansion
00:31:19.690 --> 00:31:21.930
and effects on a
disadvantaged community.
00:31:21.930 --> 00:31:25.450
Please join us in stopping
this horrible thought-out idea
00:31:25.450 --> 00:31:26.283
in our community.
00:31:26.283 --> 00:31:27.116
Thank you.
00:31:29.570 --> 00:31:31.230
Thank you, sir.
00:31:31.230 --> 00:31:33.033
Operator in the next caller, please.
00:31:36.930 --> 00:31:38.847
Our next
caller is Sean Higby.
00:31:38.847 --> 00:31:39.963
You may go ahead.
00:31:41.510 --> 00:31:42.343
Good morning.
00:31:42.343 --> 00:31:44.590
My name is Sean Higby and
I am the Energy Procurement
00:31:44.590 --> 00:31:47.080
Manager at the California
State University office
00:31:47.080 --> 00:31:48.760
of the chancellor.
00:31:48.760 --> 00:31:50.440
Direct access should be reopened
00:31:50.440 --> 00:31:54.090
for the staff report that
permits predictable migration.
00:31:54.090 --> 00:31:57.860
The proposed decision
should either be withdrawn
00:31:57.860 --> 00:32:00.640
or an ultimate offer
that actually complies
00:32:00.640 --> 00:32:02.870
with SB237.
00:32:02.870 --> 00:32:07.870
CCA, IOU and ESP are
subject to exact the same
00:32:08.600 --> 00:32:09.913
reliability requirements.
00:32:11.100 --> 00:32:13.650
The proposed decision is not responsive
00:32:13.650 --> 00:32:15.113
to the legislative direction.
00:32:16.300 --> 00:32:19.700
Your decision will cause
higher costs that will get passed
00:32:19.700 --> 00:32:21.660
through to our students.
00:32:21.660 --> 00:32:26.270
A well-designed direct
access opening of 10% per year
00:32:26.270 --> 00:32:29.600
as was recommended
in the draft staff report
00:32:29.600 --> 00:32:33.150
of September 28th, 2020
can create very predictable
00:32:33.150 --> 00:32:34.740
load migration.
00:32:34.740 --> 00:32:38.040
A clear pathway should be provided.
00:32:38.040 --> 00:32:41.510
Issue a decision that follows
the staff report guidelines
00:32:41.510 --> 00:32:43.250
of 10% per year.
00:32:43.250 --> 00:32:44.083
Thank you.
00:32:51.370 --> 00:32:52.320
Are you finished?
00:32:54.020 --> 00:32:55.410
Yes. Thank you.
00:32:55.410 --> 00:32:56.593
Okay, thank you.
00:32:58.170 --> 00:32:59.820
Operator the next caller, please.
00:33:01.590 --> 00:33:04.140
Our next caller is
Laura Rosenberger Heider,
00:33:04.140 --> 00:33:06.003
rate payer, you may go ahead.
00:33:08.450 --> 00:33:09.850
Hello? You hear me
00:33:11.345 --> 00:33:12.178
You hear me.
Yes, we can.
00:33:12.178 --> 00:33:13.980
Yes we can go ahead.
00:33:13.980 --> 00:33:16.100
Oh, you hear me now.
00:33:16.100 --> 00:33:17.567
Yes we can hear you.
00:33:17.567 --> 00:33:19.467
You still
hear me? All right
00:33:20.910 --> 00:33:24.330
All right, please make
underground electric lines
00:33:24.330 --> 00:33:28.020
more affordable and
complete them quickly.
00:33:28.020 --> 00:33:30.920
They hope they can get the
credit at the time of purchase.
00:33:31.840 --> 00:33:33.133
You hearing me right?
00:33:35.220 --> 00:33:36.120
We can hear you clearly.
00:33:36.120 --> 00:33:36.953
Thank you, go ahead.
00:33:36.953 --> 00:33:38.230
Do you hear me right?
00:33:38.230 --> 00:33:39.063
Do you hear me?
00:33:39.063 --> 00:33:40.221
Yes we're hearing you fine.
00:33:40.221 --> 00:33:41.684
I was still
finishing. All right.
00:33:41.684 --> 00:33:42.700
All right. Okay.
00:33:42.700 --> 00:33:47.700
Require battery operated
electric stoves in new homes,
00:33:47.740 --> 00:33:52.290
it's better than raising the
charges to cover a electric
00:33:53.350 --> 00:33:56.270
import during the time of peak use
00:33:56.270 --> 00:33:59.330
then we don't need
expanded gas compressors
00:34:00.600 --> 00:34:02.450
which harm disadvantaged communities.
00:34:05.610 --> 00:34:08.160
Well it won't be that,
00:34:08.160 --> 00:34:10.880
well, the PQs is won't be seen anymore
00:34:10.880 --> 00:34:14.120
if they're running their stoves,
is usually about the time,
00:34:14.120 --> 00:34:16.490
the cooking is usually
about the time of the peak,
00:34:16.490 --> 00:34:19.910
is if they're running it
off of a battery operated
00:34:19.910 --> 00:34:23.200
still 12 volt battery operated stoves.
00:34:23.200 --> 00:34:24.970
I don't know if they
find a safe model of that,
00:34:24.970 --> 00:34:27.420
or if you're just lobbying for it
00:34:27.420 --> 00:34:30.783
or invest the money in
those battery operated stoves.
00:34:30.783 --> 00:34:34.070
And the battery operated
stoves just have a solar charging,
00:34:34.070 --> 00:34:37.249
independent solar charging
system in people's homes
00:34:37.249 --> 00:34:38.813
to charge it.
00:34:40.700 --> 00:34:42.795
Or else if they can charge at a time
00:34:42.795 --> 00:34:46.040
when there's not a peak energy use.
00:34:46.040 --> 00:34:47.090
All right. Thank you.
00:34:48.709 --> 00:34:50.590
I'm done.
Thank you.
00:34:50.590 --> 00:34:53.687
Operator the next caller, please.
00:34:53.687 --> 00:34:57.090
Our next caller
is Laura Gallison
00:34:57.090 --> 00:34:58.590
a retired teacher.
00:34:58.590 --> 00:34:59.423
You may go ahead
00:35:00.840 --> 00:35:03.670
Morning. My
name is Laura Gallison
00:35:03.670 --> 00:35:06.240
and I thank the members
00:35:06.240 --> 00:35:09.680
of the California Public
Utility Commission.
00:35:09.680 --> 00:35:14.680
And I am so glad that
the toxic substance control
00:35:15.490 --> 00:35:19.640
which oversees the
environmental cleanup have now
00:35:19.640 --> 00:35:22.880
become involved in
this compressor problem
00:35:22.880 --> 00:35:25.700
in Ventura, California.
00:35:25.700 --> 00:35:30.700
When I started in teaching at
EP Foster we were K-3 only.
00:35:33.000 --> 00:35:35.670
That was in 1968.
00:35:35.670 --> 00:35:40.620
I retired in 1992 and now we are K-5.
00:35:41.612 --> 00:35:45.360
Much much larger population,
00:35:45.360 --> 00:35:50.360
and it's just so upsetting to
think that this is continuing
00:35:51.520 --> 00:35:53.550
and now to be enlarged.
00:35:53.550 --> 00:35:56.860
I remember being out
with our kids in the play area
00:35:56.860 --> 00:36:01.400
and breathing this sickening
gas and chemical fumes.
00:36:01.400 --> 00:36:05.200
And it was then a problem.
00:36:05.200 --> 00:36:09.990
And mostly when they build
these compression stations
00:36:11.860 --> 00:36:15.440
they're far away from
schools and developed areas
00:36:17.950 --> 00:36:21.800
because of the fear
of explosions and fires.
00:36:21.800 --> 00:36:25.560
Think back not too long
ago, that Porter ranch problem
00:36:25.560 --> 00:36:30.560
was leaking gas, harmful
chemicals, that was an LA county.
00:36:30.860 --> 00:36:35.860
It took 111 days to control.
00:36:35.930 --> 00:36:40.280
Families were ill with
nosebleeds, bad reactions,
00:36:40.280 --> 00:36:43.680
had to be evacuated rehoused.
00:36:43.680 --> 00:36:48.680
The cost in human health
can't even begin to be measured
00:36:49.030 --> 00:36:52.607
and brought to you by
this very same, SoCal Gas.
00:36:55.430 --> 00:36:58.930
Ventura county stopped issuing a permits
00:36:58.930 --> 00:37:02.650
for all new buildings
from having gas lines.
00:37:02.650 --> 00:37:06.710
Santa Barbara is now on the
brink of adopting this same,
00:37:06.710 --> 00:37:09.010
very same rule.
00:37:09.010 --> 00:37:13.670
So the expansion definitely
needs to be stopped,
00:37:13.670 --> 00:37:18.670
clean up that contaminated
soil and underground water
00:37:19.710 --> 00:37:23.410
barely mentioned and
shut down the existing
00:37:23.410 --> 00:37:24.463
compressor station.
00:37:26.350 --> 00:37:27.950
Thank you so much.
00:37:27.950 --> 00:37:32.160
And please no more expansion.
00:37:32.160 --> 00:37:32.993
Thank you.
00:37:32.993 --> 00:37:36.030
Bye-bye Thank
you for the call.
00:37:36.030 --> 00:37:37.693
Operator the next caller, please.
00:37:40.170 --> 00:37:41.610
And before we
go to the next caller
00:37:41.610 --> 00:37:43.300
if you would like to
make a public comment
00:37:43.300 --> 00:37:46.020
please unmute your phone, press *1
00:37:46.020 --> 00:37:48.900
and record your name and
organization clearly when prompted
00:37:48.900 --> 00:37:50.840
so I may introduce you.
00:37:50.840 --> 00:37:54.610
Our next caller is Liz
Bell with Climate First.
00:37:54.610 --> 00:37:55.460
You may go ahead.
00:37:57.490 --> 00:37:58.630
Good morning.
00:37:58.630 --> 00:37:59.740
My name is Liz Bell.
00:37:59.740 --> 00:38:02.980
My organization is Climate
First Replacing Oil and Gas.
00:38:02.980 --> 00:38:06.820
We're an environmental
watchdog here on the central coast.
00:38:06.820 --> 00:38:08.880
And as you can
probably guess, I'm calling
00:38:08.880 --> 00:38:12.470
about the SoCal Gas
compressor station in Ventura.
00:38:12.470 --> 00:38:14.140
I would just like to
really encourage you
00:38:14.140 --> 00:38:17.130
to look at the May 10th
resolution that was enacted
00:38:17.130 --> 00:38:19.000
by the Ventura city council,
00:38:19.000 --> 00:38:21.290
asking for an
environmental impact report
00:38:21.290 --> 00:38:22.680
for this project.
00:38:22.680 --> 00:38:25.650
Currently, SoCal Gas is
claiming that this project
00:38:25.650 --> 00:38:28.600
is wholly approved by
your general Rate Case
00:38:28.600 --> 00:38:31.520
and they are invoking your
name every time anyone asks
00:38:31.520 --> 00:38:34.700
for environmental review
claiming that currently
00:38:34.700 --> 00:38:38.500
there is state or local
agency that has any discretion
00:38:38.500 --> 00:38:40.400
over the permitting process.
00:38:40.400 --> 00:38:41.920
So what we're looking at right now
00:38:41.920 --> 00:38:43.580
is a project that's moving forward
00:38:43.580 --> 00:38:45.050
without environmental review
00:38:45.050 --> 00:38:49.410
with only ministerial permits
that could have a huge impact
00:38:49.410 --> 00:38:51.590
on our region for years to come.
00:38:51.590 --> 00:38:54.280
I'm not just talking
about industrial accidents
00:38:54.280 --> 00:38:57.330
and explosions, but the
actual public health impacts
00:38:57.330 --> 00:39:00.460
to this neighborhood with
regards to methane emissions
00:39:00.460 --> 00:39:02.020
from natural gas blow downs
00:39:02.020 --> 00:39:05.260
which are a regular part
of this facilities activities.
00:39:05.260 --> 00:39:09.290
It's really important that you,
as the agency being invoked
00:39:09.290 --> 00:39:12.750
by SoCal Gas take a
look at that resolution
00:39:12.750 --> 00:39:14.380
with Ventura city council.
00:39:14.380 --> 00:39:18.990
And if you can conduct an
environmental impact report
00:39:18.990 --> 00:39:21.300
if you're not the agency to do that
00:39:21.300 --> 00:39:25.820
we highly suggest and
ask for your help in finding
00:39:25.820 --> 00:39:29.290
who has jurisdiction
over this expansion.
00:39:29.290 --> 00:39:31.770
It's very important that you realize
00:39:31.770 --> 00:39:35.440
that the General Rate Case
doesn't actually make any mention
00:39:35.440 --> 00:39:38.020
in the budgeting for this expansion.
00:39:38.020 --> 00:39:41.100
It also, with everything
that's been mentioned before
00:39:41.100 --> 00:39:43.720
with regards to
electrification could easily
00:39:43.720 --> 00:39:47.550
become a stranded asset
for the state of California.
00:39:47.550 --> 00:39:49.440
I'll just close by saying this Tuesday
00:39:49.440 --> 00:39:53.120
the international energy
administration explained that
00:39:53.120 --> 00:39:54.870
if we're going to have
any chance of meeting
00:39:54.870 --> 00:39:57.990
our temperature targets,
that we set in the Paris Accord,
00:39:57.990 --> 00:40:02.990
we need to help the
development of coal gas and oil
00:40:03.160 --> 00:40:06.250
right now, not in the
future, but right now.
00:40:06.250 --> 00:40:09.090
And IEA Executive
Director of Fatih Birol,
00:40:09.090 --> 00:40:10.420
she put the message very simply.
00:40:10.420 --> 00:40:12.730
She said, putting new
money into fossil fuel
00:40:12.730 --> 00:40:15.940
would be junk
investments, but in our case
00:40:15.940 --> 00:40:18.840
this junk investment also
actively harms the health
00:40:18.840 --> 00:40:21.360
of children and families
in our neighborhood.
00:40:21.360 --> 00:40:23.110
Thank you for hearing me out today.
00:40:24.780 --> 00:40:26.550
Thank you for your call.
00:40:26.550 --> 00:40:28.213
Operator the next caller, please.
00:40:29.948 --> 00:40:33.750
And our next caller is
Dan Courtney a landowner.
00:40:33.750 --> 00:40:34.600
You may go ahead.
00:40:36.070 --> 00:40:37.600
Yes. Hi, my
name is Dan Courtney
00:40:37.600 --> 00:40:40.080
I own property in Tuolumne county
00:40:40.080 --> 00:40:43.250
at 11250 Samil Mountain Road.
00:40:43.250 --> 00:40:47.550
I wanted to comment on
agenda item number 19398
00:40:47.550 --> 00:40:50.020
With regards to undergrounding.
00:40:50.020 --> 00:40:52.940
I have two suggestions
or comments on that.
00:40:52.940 --> 00:40:55.870
One is I believe that it
would help immensely,
00:40:55.870 --> 00:41:00.660
if PG&E also had a rule 20D as ST&E does
00:41:00.660 --> 00:41:03.600
where private property owners and PG&E
00:41:03.600 --> 00:41:06.702
can share the cost of undergrounding.
00:41:06.702 --> 00:41:08.870
Secondly, I think it
would be extremely helpful
00:41:08.870 --> 00:41:13.240
if the priority prioritization
or the factor is taken
00:41:13.240 --> 00:41:16.210
into consideration for
areas to underground
00:41:16.210 --> 00:41:19.830
included wildfire safety
and wildfire prevention.
00:41:19.830 --> 00:41:21.580
I think at this point in time
00:41:21.580 --> 00:41:26.160
it is morally much more
important to prevent the wildfires
00:41:26.160 --> 00:41:29.390
and to use lasers underground
the projects in that regard
00:41:29.390 --> 00:41:31.090
than for aesthetics.
00:41:31.090 --> 00:41:36.090
And I believe that if there
was a acceptable property,
00:41:38.390 --> 00:41:41.620
sorry, cost sharing
agreement between PG&E
00:41:41.620 --> 00:41:43.520
and private property owners
00:41:43.520 --> 00:41:46.700
as opposed to just
contributing the salvage value
00:41:46.700 --> 00:41:48.613
of the old lines and the old poles.
00:41:49.458 --> 00:41:51.685
If we got closer at 50 50,
00:41:51.685 --> 00:41:54.080
I think you'd get some
buy-in from property owners
00:41:54.080 --> 00:41:57.310
and that would facilitate and
accelerate the undergrounding
00:41:57.310 --> 00:42:01.730
of utility lines in the
high fire threat districts
00:42:01.730 --> 00:42:04.060
which really is the solution.
00:42:04.060 --> 00:42:07.700
Because as we know, the
issue really is with the 70 year old
00:42:07.700 --> 00:42:11.540
plus overhead lines for the bare wires
00:42:12.490 --> 00:42:14.130
and bare conductors.
00:42:14.130 --> 00:42:17.170
So undergrounding is the ultimate safety
00:42:17.170 --> 00:42:20.320
and it's actually would
also obviously help
00:42:20.320 --> 00:42:23.430
with the reliability as
in Tuolumne county,
00:42:23.430 --> 00:42:26.420
we've had quite a few power losses
00:42:26.420 --> 00:42:28.580
especially over the past week.
00:42:28.580 --> 00:42:30.470
And so please, please consider those,
00:42:30.470 --> 00:42:32.070
and I think that if we could,
00:42:32.070 --> 00:42:35.120
obviously it would
require the proper reporting
00:42:35.120 --> 00:42:37.060
and oversight and so forth,
00:42:37.060 --> 00:42:39.510
but I believe the
CPUC could get that in,
00:42:39.510 --> 00:42:43.520
And if we can get
the wildfire prevention
00:42:43.520 --> 00:42:46.870
as a priority item for these projects,
00:42:46.870 --> 00:42:49.360
then that would be helpful for everyone.
00:42:49.360 --> 00:42:50.193
Thank you.
00:42:52.630 --> 00:42:54.115
Thank you.
00:42:54.115 --> 00:42:55.565
Operator next caller, please.
00:42:57.310 --> 00:42:59.100
And we have no
additional participants
00:42:59.100 --> 00:43:01.000
on the public comment, telephone line.
00:43:03.580 --> 00:43:04.470
Okay.
00:43:04.470 --> 00:43:05.603
Thank you, Operator.
00:43:06.890 --> 00:43:11.890
And now with no one
less on the telephone line
00:43:14.680 --> 00:43:17.513
I will end the public comment period.
00:43:18.490 --> 00:43:20.863
So we have closed the
public comment period.
00:43:22.470 --> 00:43:24.533
Moving on in our agenda today,
00:43:25.750 --> 00:43:29.043
these are the following
changes to today's agenda.
00:43:30.790 --> 00:43:35.250
Item five will be held
until the June 3rd, 2021
00:43:35.250 --> 00:43:36.510
Commission Meeting.
00:43:36.510 --> 00:43:40.840
And item 11 will be
held until the June 3rd,
00:43:40.840 --> 00:43:43.160
2021 Commission Meeting.
00:43:43.160 --> 00:43:47.589
Item 18 will be held until the June 3rd,
00:43:47.589 --> 00:43:49.830
2021 Commission Meeting.
00:43:49.830 --> 00:43:53.110
Item 24 will be held until the June 3rd,
00:43:53.110 --> 00:43:55.150
2021 Commission Meeting.
00:43:55.150 --> 00:43:58.700
Item 26 will be held until the June 3rd,
00:43:58.700 --> 00:44:00.930
2021 Commission Meetings.
00:44:00.930 --> 00:44:05.930
And item 27 will be taken up
today with the Consent Agenda.
00:44:07.800 --> 00:44:10.620
With that, we will now pick
up the Consent Agenda.
00:44:10.620 --> 00:44:11.743
Is there a motion?
00:44:13.302 --> 00:44:14.135
Do move.
00:44:15.251 --> 00:44:16.670
I second.
00:44:16.670 --> 00:44:18.380
It's been moved in seconded,
00:44:18.380 --> 00:44:21.260
will the agenda clerk
please call the roll
00:44:21.260 --> 00:44:24.783
on the Consent Agenda items.
00:44:26.020 --> 00:44:27.800
Commissioner Houck?
00:44:27.800 --> 00:44:29.150
Yeah.
00:44:29.150 --> 00:44:31.307
Commissioner Shiroma?
00:44:31.307 --> 00:44:32.816
Aye.
00:44:32.816 --> 00:44:34.685
Commissioner Rechtschaffen?
00:44:34.685 --> 00:44:36.230
Yes.
00:44:36.230 --> 00:44:38.512
Commissioner Guzman Aceves?
00:44:38.512 --> 00:44:39.730
Aye.
00:44:39.730 --> 00:44:40.727
President Batjer?
00:44:41.760 --> 00:44:42.660
Yes.
00:44:42.660 --> 00:44:46.710
The Consent Agenda items have passed.
00:44:46.710 --> 00:44:49.430
I understand that
Commissioner Shiroma would like
00:44:49.430 --> 00:44:53.300
to make remarks on item 13 and item 16.
00:44:53.300 --> 00:44:56.618
You can go ahead, Commissioner Shiroma.
00:44:56.618 --> 00:44:57.451
Okay.
00:44:57.451 --> 00:44:59.120
Thank you, President Batjer.
00:44:59.120 --> 00:45:02.130
Yes. Thank you everyone
for voting out item 13
00:45:02.130 --> 00:45:05.390
which is a petition
modification followed
00:45:05.390 --> 00:45:09.653
by the city of San Diego
on modifying a gait arm.
00:45:10.590 --> 00:45:13.390
And then item 15
approved the construction
00:45:13.390 --> 00:45:17.930
of two grade separated
rail crossings in Butte county
00:45:17.930 --> 00:45:20.230
as part of a high-speed rail project.
00:45:20.230 --> 00:45:25.020
I just wanted to take the
opportunity to highlight
00:45:25.020 --> 00:45:28.040
that the Commission is
a state agency charged
00:45:28.040 --> 00:45:31.410
with ensuring the
safety of freight railroads
00:45:31.410 --> 00:45:34.580
inner city and commuter
railroads, and all rail crossings
00:45:34.580 --> 00:45:38.760
in California and rail
continues to play a vital role
00:45:38.760 --> 00:45:43.223
in California, interest
for the people and good.
00:45:43.223 --> 00:45:46.980
As therefore continued interest and role
00:45:46.980 --> 00:45:50.670
is the proposed Brightline
with high-speed rail
00:45:50.670 --> 00:45:53.970
project that is introducing
a second high speed
00:45:53.970 --> 00:45:56.150
rail system into California.
00:45:56.150 --> 00:45:58.890
That project proposed
it to link Las Vegas,
00:45:58.890 --> 00:46:00.870
(indistinct) California.
00:46:00.870 --> 00:46:03.880
the train which will do
a 100 miles per hour.
00:46:03.880 --> 00:46:06.230
The Brightline West proposal anticipates
00:46:06.230 --> 00:46:10.300
connecting the Metro
in-service into Southern California
00:46:10.300 --> 00:46:12.810
and the California
high-speed rail project
00:46:12.810 --> 00:46:14.880
in Palmdale California.
00:46:14.880 --> 00:46:18.750
Currently under construction
in the San Joaquin valley.
00:46:18.750 --> 00:46:22.210
They have submitted 32
grade separation project.
00:46:22.210 --> 00:46:24.400
Applications is more expected.
00:46:24.400 --> 00:46:27.780
They're currently being
evaluated by a Commissioner staff.
00:46:27.780 --> 00:46:31.440
Also, we anticipate
issuing a proposed decision
00:46:31.440 --> 00:46:34.783
on the California grade
separation fund priority list.
00:46:35.620 --> 00:46:38.937
Its primary purpose
is to provide funding
00:46:38.937 --> 00:46:42.340
for the construction
of to replace listing
00:46:42.340 --> 00:46:45.133
at grade costumes
with safer alternatives.
00:46:46.030 --> 00:46:50.030
The CPUC rail cases
acquisition, rail crossing,
00:46:50.030 --> 00:46:52.430
I'm sorry bridge, plays a key role
00:46:52.430 --> 00:46:55.393
in ensuring that we
evaluate all safety issues
00:46:55.393 --> 00:46:58.590
as they present in real
matters before the Commission
00:46:58.590 --> 00:47:01.300
and I do want to recognize
them and thank them
00:47:01.300 --> 00:47:03.120
for all of their hard work.
00:47:03.120 --> 00:47:05.240
It takes a lot of efficient
and detailed work
00:47:05.240 --> 00:47:08.290
to accomplish these reviews.
00:47:08.290 --> 00:47:11.650
And then I also want
to thank from my staff,
00:47:11.650 --> 00:47:15.240
L.J. Gerald Kelly for helping to review
00:47:15.240 --> 00:47:17.517
and assist with the rail proceedings,
00:47:17.517 --> 00:47:20.770
and other matters that
were assigned to my office.
00:47:20.770 --> 00:47:22.540
Administrative Law Judge Kelly
00:47:22.540 --> 00:47:24.760
has served as an interim advisor
00:47:24.760 --> 00:47:27.390
in my office and we'll be returning
00:47:27.390 --> 00:47:30.930
to the Administrative
Law Judge division on first.
00:47:30.930 --> 00:47:34.860
I want to thank him for all of
his excellent work on my team
00:47:34.860 --> 00:47:37.950
look forward to continue
to work with Judge Kelly,
00:47:37.950 --> 00:47:40.830
as he returns to his role
with the administrative
00:47:40.830 --> 00:47:41.960
law judge division.
00:47:41.960 --> 00:47:44.013
Thank you, President Batjer.
00:47:45.240 --> 00:47:46.940
Thank you,
Commissioner Shiroma.
00:47:48.110 --> 00:47:51.270
Okay. They're seem no other comments
00:47:51.270 --> 00:47:53.830
on the Consent Agenda items.
00:47:53.830 --> 00:47:57.223
We will now take up
the regular agenda items.
00:47:59.010 --> 00:48:04.010
So item 23 is assigned to
Commissioner Guzman Aceves.
00:48:10.050 --> 00:48:11.933
Thank you, President Batjer.
00:48:11.933 --> 00:48:12.766
Okay.
00:48:14.380 --> 00:48:19.380
This decision is, I just seeing
how to address the excess
00:48:21.470 --> 00:48:25.607
and uneconomic
resources that the IOUs have
00:48:26.890 --> 00:48:30.860
for their legacy
portfolios that are included
00:48:30.860 --> 00:48:35.150
in what we call the Power
Charge Indifference Adjustment,
00:48:35.150 --> 00:48:36.313
the PCIA.
00:48:37.420 --> 00:48:41.010
As you know the proper
valuation of these resources
00:48:41.010 --> 00:48:45.960
has been great
significance to all customers.
00:48:45.960 --> 00:48:49.470
And it will continue
to be important to both
00:48:49.470 --> 00:48:52.790
what we call the bundled
and unbundled customers.
00:48:52.790 --> 00:48:56.890
As we continue to refine
our approaches in valuation
00:48:56.890 --> 00:48:59.930
and also just our approaches overall.
00:48:59.930 --> 00:49:02.330
We're gonna continue
to see the formation
00:49:02.330 --> 00:49:03.830
and expansion of CCA.
00:49:03.830 --> 00:49:07.470
So this will be something
that we will continue
00:49:07.470 --> 00:49:11.700
to have to adapt and be responsive to.
00:49:11.700 --> 00:49:16.370
This particular PD is
creative in the fact that
00:49:16.370 --> 00:49:20.740
it's not just looking at
valuation approaches,
00:49:20.740 --> 00:49:24.120
but really looking at allocations
00:49:24.120 --> 00:49:27.060
and purchasing these resources,
00:49:27.060 --> 00:49:29.260
repurchasing through auctions.
00:49:29.260 --> 00:49:32.690
So it's really expanding
the way that we have
00:49:32.690 --> 00:49:34.970
approached this need to deal
00:49:34.970 --> 00:49:38.210
with these resources that were purchased
00:49:38.210 --> 00:49:39.773
for these departing customers.
00:49:41.100 --> 00:49:42.970
And just to provide
a little bit of recap
00:49:42.970 --> 00:49:46.360
on the issue overall,
many of you remember,
00:49:46.360 --> 00:49:49.830
but not all of you were here in 2018
00:49:49.830 --> 00:49:53.510
when we revised the
PCIA to be more accurate.
00:49:53.510 --> 00:49:57.820
And it had a major
impact on particularly
00:49:57.820 --> 00:50:01.100
in recognizing the actual cost.
00:50:01.100 --> 00:50:06.100
It did have an impact
under the party the PCIA.
00:50:06.100 --> 00:50:07.563
In order to do that,
00:50:09.240 --> 00:50:13.180
we did a significant change
that basically removed
00:50:13.180 --> 00:50:15.470
the ten-year expiration on the utility
00:50:15.470 --> 00:50:18.200
on generation as an example.
00:50:18.200 --> 00:50:22.890
So in order to protect
against some of the fears
00:50:22.890 --> 00:50:27.890
of the cost increase we
did adopt a Cap at that point,
00:50:28.940 --> 00:50:31.640
a manual Cap on what
the PCA could increase
00:50:31.640 --> 00:50:33.420
from year over year.
00:50:33.420 --> 00:50:38.010
And as an example, what we
learned as we kind of implemented
00:50:38.010 --> 00:50:41.043
that to the error proceedings were that,
00:50:42.170 --> 00:50:45.010
this Cap was actually
leading to more volatility
00:50:45.010 --> 00:50:48.160
for the unbundled and bundled customers
00:50:48.160 --> 00:50:50.410
including mostly for the unbundled.
00:50:50.410 --> 00:50:55.170
So the CCAs largely, and IOUs agreed
00:50:55.170 --> 00:50:57.830
that a better approach
is to remove the Cap
00:50:57.830 --> 00:50:59.500
and that's in this PD.
00:50:59.500 --> 00:51:03.630
But it's also a example of
how we need to maintain
00:51:03.630 --> 00:51:08.410
an adaptive approach with
the PCIA and really reflect on
00:51:08.410 --> 00:51:09.970
some of our previous decisions
00:51:09.970 --> 00:51:12.410
and having the parties
continue the dialogue.
00:51:12.410 --> 00:51:16.233
And eliminating the Cap as an examples.
00:51:17.640 --> 00:51:22.550
In addition, in 2018 the
decision directed a working group
00:51:22.550 --> 00:51:25.920
to further develop ways
to optimize these portfolios
00:51:25.920 --> 00:51:28.840
and to really address
the issue of this excess
00:51:28.840 --> 00:51:31.313
resources and the uneconomic resources.
00:51:32.160 --> 00:51:37.160
And it really has been a
positive thing to see the CCAs
00:51:37.435 --> 00:51:42.080
and the IOUs work towards
a more creative solutions.
00:51:42.080 --> 00:51:44.170
In particular, the leads
of the working group
00:51:44.170 --> 00:51:49.170
was RCAL CCA, SCE,
and Commercial Energy.
00:51:50.240 --> 00:51:53.140
And I think really a
CPA played a big role
00:51:53.140 --> 00:51:56.343
as a part of the RCAL
CCA representation.
00:51:57.190 --> 00:51:58.610
They did a lot of work.
00:51:58.610 --> 00:52:02.300
There was a 350 page
report that they produced
00:52:03.430 --> 00:52:07.710
and has many good faith collaboration
00:52:07.710 --> 00:52:09.590
comes from that effort.
00:52:09.590 --> 00:52:12.190
And of course this
decision did not adopt
00:52:12.190 --> 00:52:13.660
all of their recommendations.
00:52:13.660 --> 00:52:16.050
And I'm gonna walk
through briefly the elements
00:52:16.050 --> 00:52:17.007
that we did and did not.
00:52:17.007 --> 00:52:20.083
And the reasons we
chose not to at this time.
00:52:21.480 --> 00:52:24.430
The first major component
that we do adopt
00:52:24.430 --> 00:52:26.370
is the working group's recommendations
00:52:26.370 --> 00:52:31.370
to do an RPS allocation and
to also require a market offer.
00:52:32.900 --> 00:52:36.420
So this is what we refer
to as the RPS Vemo.
00:52:38.090 --> 00:52:42.030
And there were several
modifications mostly to ensure
00:52:42.030 --> 00:52:46.750
compliance with our RPS
program roles that we took.
00:52:46.750 --> 00:52:51.750
So the major change here
is the IOUs will be allocating
00:52:52.250 --> 00:52:56.410
their entire PCIA
eligible RPS portfolios
00:52:56.410 --> 00:53:00.590
to all the LSCs, including
the CCAs and the ESPs,
00:53:00.590 --> 00:53:02.153
in proportion to their load.
00:53:04.840 --> 00:53:08.850
It's obviously was a
big shift for our folks
00:53:08.850 --> 00:53:13.260
to really take this allocation
approach into consideration.
00:53:13.260 --> 00:53:16.080
So one of the major elements will be
00:53:17.049 --> 00:53:18.280
that they will have to comply
00:53:18.280 --> 00:53:21.723
with the current IOU
requirements on RPS compliance.
00:53:22.960 --> 00:53:23.793
Okay.
00:53:23.793 --> 00:53:27.830
And one small clarification
that we did make, sorry
00:53:27.830 --> 00:53:30.810
change, revision that we
made was the allowance
00:53:30.810 --> 00:53:33.040
for reselling of their allocations.
00:53:33.040 --> 00:53:35.853
All of the LLC will have that ability.
00:53:38.196 --> 00:53:39.800
Okay.
00:53:39.800 --> 00:53:43.820
Secondly the decision declined to adopt
00:53:43.820 --> 00:53:48.030
an allocation approach for
resource adequacy resources.
00:53:48.030 --> 00:53:49.940
And there's several reasons for that.
00:53:49.940 --> 00:53:54.230
One, we know very much
that the RA market is tight
00:53:55.970 --> 00:54:00.553
and this doesn't justify an
allocation for the IOU PCA
00:54:01.710 --> 00:54:05.680
eligible RA resources,
especially as we know,
00:54:05.680 --> 00:54:10.160
we've recently ordered
more of the procurement
00:54:10.160 --> 00:54:15.160
for more RA resources in this
midterm crunch that we're in.
00:54:16.240 --> 00:54:20.110
And ultimately there
were just too many risks
00:54:20.110 --> 00:54:23.260
of unintended consequences
in dealing with the RA
00:54:23.260 --> 00:54:25.370
resources in this tight market,
00:54:25.370 --> 00:54:27.883
and the need for
ensuring grid reliability.
00:54:29.240 --> 00:54:33.000
I understand that the CCA
has also desire more data
00:54:33.000 --> 00:54:35.230
on these resources and this decision
00:54:35.230 --> 00:54:38.470
does require the IOUs to
provide more transparency
00:54:38.470 --> 00:54:40.223
on their RA methodology.
00:54:41.470 --> 00:54:46.220
And finally, the decision also
authorizes the continuation
00:54:46.220 --> 00:54:50.693
of what's been happening
on the GHG-3 resources,
00:54:51.870 --> 00:54:54.310
but it doesn't authorize
what was in the workings
00:54:54.310 --> 00:54:58.480
with proposal until, but
what we are proposing
00:54:58.480 --> 00:55:01.550
is to continue to develop
the record in this phase
00:55:01.550 --> 00:55:04.330
of the proceeding to see how we can deal
00:55:04.330 --> 00:55:08.893
with this undervaluation
and access of the GHG-3.
00:55:10.840 --> 00:55:12.660
So the immediate next step is
00:55:12.660 --> 00:55:17.210
that we'll be considering both the need
00:55:17.210 --> 00:55:21.000
for adopting a GHG-3 adder
00:55:21.000 --> 00:55:23.610
or to consider what was
proposed in working group
00:55:23.610 --> 00:55:25.583
which is an allocation approach.
00:55:26.670 --> 00:55:29.900
Fortunately, the CEC agrees,
00:55:29.900 --> 00:55:32.030
has agreed to look at this issue
00:55:32.030 --> 00:55:37.030
because they have an
element of a consequence here
00:55:37.150 --> 00:55:40.170
which is the power content labels.
00:55:40.170 --> 00:55:43.090
So we will be holding a
joint workshop with the CEC
00:55:43.090 --> 00:55:47.060
to look at the allocation
approach and its implications
00:55:47.060 --> 00:55:51.550
on how we account for the
power, for the GHG-3 resources
00:55:51.550 --> 00:55:55.533
and the fossil, and is part
of the power content labels.
00:55:56.970 --> 00:55:58.010
So we'll explore that.
00:55:58.010 --> 00:56:01.453
And again, we'll also
explore evaluation approach.
00:56:02.850 --> 00:56:06.400
So there's been many
significant adjustments
00:56:06.400 --> 00:56:07.970
as we've gone along.
00:56:07.970 --> 00:56:12.070
I want to acknowledge that
we need to continue to do more.
00:56:12.070 --> 00:56:16.410
And I'm, with that I think
I just really wanna thank
00:56:16.410 --> 00:56:19.910
all of the team, particularly
in the energy division
00:56:19.910 --> 00:56:23.430
who've worked on this
and we'll continue to,
00:56:23.430 --> 00:56:27.080
but the core team really
has been Dina Makin,
00:56:27.080 --> 00:56:30.830
and Sasha Cole, they're part
of the market structure team.
00:56:30.830 --> 00:56:35.570
Also Cheryl Lee and Cheryl
Cox, part of the RPS team.
00:56:35.570 --> 00:56:40.110
Nathan Barsek, and James
McGarry on the IRP team.
00:56:40.110 --> 00:56:41.917
And of course, Michelle
Keeto and Jamie Yanon
00:56:41.917 --> 00:56:43.323
and on the RA team.
00:56:44.460 --> 00:56:46.920
We also had a lot of
help from legal division,
00:56:46.920 --> 00:56:50.270
Mitchell Shapton and Erin Jacob Smith.
00:56:50.270 --> 00:56:53.610
And of course my better
keen partner, President Batjer
00:56:53.610 --> 00:56:57.340
who I really relied on on
some of the key decision points
00:56:57.340 --> 00:57:00.150
to get to the goals and
outcomes that we had.
00:57:00.150 --> 00:57:03.680
And her tremendous advisor, (indistinct)
00:57:03.680 --> 00:57:07.070
who always has a long
history on these issues,
00:57:07.070 --> 00:57:10.270
particularly on the RA side that made us
00:57:10.270 --> 00:57:11.283
find a good balance.
00:57:12.310 --> 00:57:16.023
And of course my advisors
Maria Sotera and Carrie Fleischer.
00:57:16.910 --> 00:57:19.920
But most of all I want to
think the administrative
00:57:19.920 --> 00:57:23.440
law judge, Stephanie
Wong who was only assigned
00:57:23.440 --> 00:57:28.440
to this proceeding in
January and her thoroughness
00:57:29.210 --> 00:57:34.210
her calm ability to deliberate
on tough tough issues,
00:57:35.360 --> 00:57:40.360
find common ground
is just very impressive.
00:57:40.570 --> 00:57:44.733
And I am so look forward
to working for her one day.
00:57:44.733 --> 00:57:48.660
And I wanna acknowledge also finally,
00:57:48.660 --> 00:57:53.660
that just this type of
process is sometimes
00:57:53.920 --> 00:57:56.180
some of the funnest work
we do here at the Commission
00:57:56.180 --> 00:57:59.257
where we have to find a
balance with so many parties,
00:57:59.257 --> 00:58:03.010
and so many interests
in our energy system
00:58:03.010 --> 00:58:06.640
and all of our customers
bundled and unbundled.
00:58:06.640 --> 00:58:11.640
And we cannot make
everybody sufficiently content,
00:58:11.780 --> 00:58:15.200
but I do feel very confident
that this is a good balance
00:58:15.200 --> 00:58:18.980
and that we're committed to
continue to work on this issue
00:58:18.980 --> 00:58:21.150
and refine it even further.
00:58:21.150 --> 00:58:24.220
So with that a very long description
00:58:24.220 --> 00:58:25.663
I asked for your support.
00:58:27.800 --> 00:58:29.190
Well, thank you you very much.
00:58:29.190 --> 00:58:32.220
And thank you to my vaguely team partner
00:58:32.220 --> 00:58:33.570
Commissioner Guzman Aceves.
00:58:34.960 --> 00:58:38.060
I obviously will be
supporting this item.
00:58:38.060 --> 00:58:40.140
This proposed decision represents
00:58:40.140 --> 00:58:42.340
a tremendous amount
of effort undertaken,
00:58:42.340 --> 00:58:45.970
as you can tell by
the description is that
00:58:45.970 --> 00:58:48.440
Commissioner Guzman
Aceves has just given,
00:58:48.440 --> 00:58:51.360
undertaken by the parties
and Commission staff
00:58:51.360 --> 00:58:54.470
and of course you, Mr. Guzman Aceves
00:58:54.470 --> 00:58:57.580
to really wrestle with some significant
00:58:57.580 --> 00:58:59.950
and really difficult issues.
00:58:59.950 --> 00:59:02.300
I think the working group three,
00:59:02.300 --> 00:59:04.440
co-chairs for their thoughtful work
00:59:04.440 --> 00:59:08.350
on the proposal and the
parties for their work on informing
00:59:08.350 --> 00:59:10.220
the proposed decision.
00:59:10.220 --> 00:59:13.300
I'm glad that the proposed
decision increases transparency
00:59:13.300 --> 00:59:17.640
of the IOUs resource adequacy portfolios
00:59:17.640 --> 00:59:21.600
by requiring the IOUs
to file advice letters
00:59:21.600 --> 00:59:26.350
to justify the methodology
for determining how much
00:59:26.350 --> 00:59:30.460
is TCIA a eligible resource
adequate is reserved
00:59:30.460 --> 00:59:33.143
for the bundled portfolio plans.
00:59:34.150 --> 00:59:37.530
I extend my thanks too
the many and several
00:59:37.530 --> 00:59:40.920
people that worked so hard
on this rather complicated issue.
00:59:40.920 --> 00:59:43.970
I joined Commissioner
Guzman in the thanks
00:59:43.970 --> 00:59:47.660
to ALJ Stephanie Wang and Dina Makin
00:59:47.660 --> 00:59:52.660
and Sasha Cole on the market
team in the energy division.
00:59:53.380 --> 00:59:56.690
And of course, Michelle
Keeto and Jamie Yanon also
00:59:57.570 --> 01:00:01.990
in the energy division from the RA team.
01:00:01.990 --> 01:00:06.260
Nathan Barsek and James
McGarry on the IRP team
01:00:06.260 --> 01:00:09.900
in the energy division
and Mitchell Shapton
01:00:09.900 --> 01:00:14.900
and Erin Jacob Smith
in our legal decisions.
01:00:14.930 --> 01:00:19.690
And of course, Commissioner
Guzman Aceves advisors,
01:00:19.690 --> 01:00:22.880
Carrie Fleisher, and Maria Taro.
01:00:22.880 --> 01:00:27.880
And of course the always
incredible on an (indistinct)
01:00:28.937 --> 01:00:33.937
of my staff and my advisor on this issue
01:00:33.980 --> 01:00:35.200
and so many others.
01:00:35.200 --> 01:00:38.050
So thank you again
Commissioner Guzman Aceves
01:00:38.050 --> 01:00:39.270
this was a tough one to tackle.
01:00:39.270 --> 01:00:41.980
I think you used the word fun,
01:00:41.980 --> 01:00:45.050
so I'm glad you had fun to act on this.
01:00:45.050 --> 01:00:47.330
So with that, I turn to
the other Commissioners
01:00:47.330 --> 01:00:48.280
for their comments.
01:00:54.810 --> 01:00:55.940
Okay.
01:00:55.940 --> 01:00:58.050
I see that that
Commissioner Rechtschaffen,
01:00:58.050 --> 01:01:01.690
has his hand up, and then I
think Commissioner Houck
01:01:01.690 --> 01:01:02.790
after that.
01:01:02.790 --> 01:01:03.990
Thank you.
01:01:03.990 --> 01:01:06.353
Well, I'm glad you
mentioned President Batjer
01:01:06.353 --> 01:01:09.363
that Commissioner Guzman
Aceves said it was fun.
01:01:10.400 --> 01:01:13.310
Commissioner Guzman
Aceves I have a few other fun
01:01:13.310 --> 01:01:16.720
proceedings that given that
you enjoyed this so much,
01:01:16.720 --> 01:01:19.080
I'd be happy to transfer to you,
01:01:19.080 --> 01:01:23.850
since you like to tackle
really difficult normally complex
01:01:23.850 --> 01:01:26.880
issues and wrestled them to the ground.
01:01:26.880 --> 01:01:30.473
So I'm glad you thought
this one turned out to be fun.
01:01:31.400 --> 01:01:33.930
I'm supporting the decision,
01:01:33.930 --> 01:01:38.930
I think it accomplishes a
number of positive steps.
01:01:38.930 --> 01:01:43.340
I think it's very
helpful that it allocates
01:01:43.340 --> 01:01:46.330
at least some of the
portfolio of contracts
01:01:46.330 --> 01:01:51.330
that the traditional IOUs
have as load migrates
01:01:52.330 --> 01:01:53.683
to other entities.
01:01:54.540 --> 01:01:56.470
I think this will help some
01:01:56.470 --> 01:02:01.470
of the new CCAs build up a
portfolio of renewable resources.
01:02:02.110 --> 01:02:07.000
It will begin to reduce the
PCIA charge for consumers.
01:02:07.000 --> 01:02:09.600
And I think that's all
very, very positive.
01:02:09.600 --> 01:02:12.540
I appreciate what you said
that there's more work to do
01:02:13.604 --> 01:02:17.260
and that a decision
clarified going forward,
01:02:17.260 --> 01:02:22.220
we will take on the question
of whether GHG3 resources
01:02:22.220 --> 01:02:27.220
are undervalued in the
current PCIA methodology.
01:02:28.440 --> 01:02:30.990
I know there are various proposals
01:02:30.990 --> 01:02:35.990
for allocating those
resources that you'll consider.
01:02:36.310 --> 01:02:41.240
I also wanna echo my thanks
to judge Wong for this decision
01:02:41.240 --> 01:02:46.240
and working so effectively
in such a short period of time
01:02:46.588 --> 01:02:49.670
and answering many many
questions from my office
01:02:49.670 --> 01:02:51.474
when she briefed us.
01:02:51.474 --> 01:02:53.524
But that I'll be
supporting the decision.
01:02:56.450 --> 01:02:58.050
Thank you. Commissioner Houck.
01:03:00.120 --> 01:03:01.483
Thank you.
01:03:01.483 --> 01:03:03.350
I also wanted to start by thanking
01:03:03.350 --> 01:03:04.700
Commissioner Guzman Aceves,
01:03:06.130 --> 01:03:07.640
and your office President Batjer
01:03:07.640 --> 01:03:09.543
for taking on this difficult issue.
01:03:11.100 --> 01:03:14.500
Also Commissioner Guzman Aceves thought
01:03:14.500 --> 01:03:19.420
this was a fun proceeding
and it was a difficult topic.
01:03:19.420 --> 01:03:20.600
And as a new Commissioner
01:03:20.600 --> 01:03:23.480
I also want to particularly
thank judge Wong
01:03:23.480 --> 01:03:25.510
for all of her work on the proceeding
01:03:25.510 --> 01:03:28.550
and for answering many
questions from my office
01:03:28.550 --> 01:03:29.903
and providing briefings.
01:03:31.640 --> 01:03:34.320
And I appreciate the
clarifying edits that were made
01:03:34.320 --> 01:03:37.300
in the revision on how the
voluntary RPS allocation
01:03:37.300 --> 01:03:39.180
will work and wanted to thank
01:03:39.180 --> 01:03:41.150
and acknowledge the
energy division staff
01:03:41.150 --> 01:03:43.490
and all of the parties
for the work on a difficult
01:03:43.490 --> 01:03:46.053
and controversial set
of cross cutting issues.
01:03:47.200 --> 01:03:50.770
You still have a lot of work
to do, and I will look forward
01:03:50.770 --> 01:03:52.650
to following this important proceeding
01:03:52.650 --> 01:03:57.240
and watching and asking more questions
01:03:57.240 --> 01:03:59.020
as the remaining issues
are worked through.
01:03:59.020 --> 01:04:01.580
So thank you for all
of your work on this
01:04:01.580 --> 01:04:02.540
Commissioner Guzman Aceves
01:04:02.540 --> 01:04:04.393
and I will be supporting this item.
01:04:06.700 --> 01:04:08.943
Commissioner
Shiroma, please go ahead.
01:04:10.660 --> 01:04:13.770
I'll be supporting the
proposed decision as well.
01:04:13.770 --> 01:04:17.750
And I just wanted to
acknowledge all of the hard work,
01:04:17.750 --> 01:04:20.333
very complex proceeding.
01:04:21.420 --> 01:04:24.600
The PCIA is always a hot topic
01:04:24.600 --> 01:04:29.600
and I'm not sure that I
would say that it's a fun topic,
01:04:30.550 --> 01:04:35.270
but I get what Commissioner
Guzman Aceves is saying is that
01:04:35.270 --> 01:04:38.910
with these complex proceedings
we have to enjoy ourselves
01:04:38.910 --> 01:04:41.030
along the way in problem-solving
01:04:41.030 --> 01:04:43.990
and that a lot of
problem-solving was done
01:04:43.990 --> 01:04:44.850
in this proceeding.
01:04:44.850 --> 01:04:46.600
So thank you and I'm supporting it.
01:04:49.530 --> 01:04:53.010
Okay. With that I
believe the agenda clerk
01:04:53.010 --> 01:04:55.963
can please call the roll or an item 23.
01:04:57.560 --> 01:05:00.160
For item 23
Commissioner Houck?
01:05:00.160 --> 01:05:01.641
Yes.
01:05:01.641 --> 01:05:03.548
Commissioner Shiroma.
01:05:03.548 --> 01:05:05.011
Aye.
01:05:05.011 --> 01:05:06.880
Commissioner Rechtschaffen?
01:05:06.880 --> 01:05:08.378
Yes.
01:05:08.378 --> 01:05:10.287
Commissioner Guzman Aceves?
01:05:10.287 --> 01:05:11.627
Aye.
01:05:11.627 --> 01:05:13.370
President Batjer?
01:05:13.370 --> 01:05:17.340
Yes. With that item,
23 is passed unanimously
01:05:17.340 --> 01:05:21.440
moving on in the regular
agenda now to item 25
01:05:21.440 --> 01:05:24.733
which is Commissioner
Shiroma's items to discuss.
01:05:26.324 --> 01:05:27.157
All right.
01:05:27.157 --> 01:05:28.550
Thank you, President Batjer.
01:05:29.580 --> 01:05:34.580
So we all know California is
a leader in energy efficiency.
01:05:35.170 --> 01:05:39.180
Since the 1970s,
California has led the nation
01:05:39.180 --> 01:05:42.820
in energy efficiency to
combat climate change
01:05:42.820 --> 01:05:44.840
by reducing greenhouse gas emissions
01:05:44.840 --> 01:05:47.410
helping Californians save energy
01:05:47.410 --> 01:05:50.470
and money on their energy bills,
01:05:50.470 --> 01:05:53.930
generating jobs, to build
California's economy.
01:05:53.930 --> 01:05:55.760
According to the American council
01:05:55.760 --> 01:05:58.410
for an energy efficiency economies
01:05:58.410 --> 01:06:02.360
2020 state energy efficiency scorecards
01:06:02.360 --> 01:06:05.060
California ranked first in the nation
01:06:05.060 --> 01:06:08.610
in advancing energy
efficiency and less to the credit
01:06:08.610 --> 01:06:10.970
of our outstanding
energy division staff.
01:06:10.970 --> 01:06:14.293
Item 25 is our latest
proposed decisions.
01:06:15.270 --> 01:06:18.380
It's a proposal to reform
Commission's policy
01:06:18.380 --> 01:06:21.040
in three significant ways.
01:06:21.040 --> 01:06:24.110
For energy efficiency
programs to better align
01:06:24.110 --> 01:06:27.120
with reducing greenhouse gas emissions
01:06:27.120 --> 01:06:29.020
addressing customer equity,
01:06:29.020 --> 01:06:33.400
and creating longterm
energy grid stability.
01:06:33.400 --> 01:06:37.280
The PD addresses these policy
issues that have been pending
01:06:37.280 --> 01:06:39.460
and the proceeding for the past year
01:06:39.460 --> 01:06:42.420
and respond to comments
and proposals from stakeholders
01:06:42.420 --> 01:06:45.860
to reform energy efficiency portfolios
01:06:45.860 --> 01:06:49.170
currently administrated
by the four large
01:06:49.170 --> 01:06:50.930
investor on utilities,
01:06:50.930 --> 01:06:54.120
three regional energy networks or REN,
01:06:54.120 --> 01:06:56.690
and one community choice aggregator.
01:06:56.690 --> 01:06:59.760
REN provide energy efficiency programs
01:06:59.760 --> 01:07:02.200
and services that
compliment and supplement
01:07:02.200 --> 01:07:07.200
utility programs and
or gaps in the market
01:07:07.650 --> 01:07:10.150
such as targeting
hard to reach customers
01:07:10.150 --> 01:07:12.870
not served by the utilities.
01:07:12.870 --> 01:07:17.610
The changes in energy
efficiency policy focus in this PD,
01:07:19.810 --> 01:07:23.230
focus on setting energy efficiency goals
01:07:23.230 --> 01:07:27.640
that maximize a longer duration
greenhouse gas reduction,
01:07:27.640 --> 01:07:31.070
increased benefits to
shifting cost effectiveness
01:07:31.070 --> 01:07:35.380
evaluations to an approach
that segments the portfolio
01:07:35.380 --> 01:07:38.950
into categories based
on the primary purpose
01:07:38.950 --> 01:07:40.780
of this energy efficiency program
01:07:40.780 --> 01:07:43.450
and three enhance alignment
01:07:43.450 --> 01:07:46.170
and stability in the
energy efficiency goals
01:07:46.170 --> 01:07:48.833
setting approval and
evaluations processes.
01:07:50.300 --> 01:07:51.500
So a little background
01:07:51.500 --> 01:07:54.300
on setting the energy efficiency goals,
01:07:54.300 --> 01:07:56.727
public utilities code section 454,
01:07:57.660 --> 01:08:02.240
originally updated in 2015,
requires the Commission
01:08:02.240 --> 01:08:05.130
in consultation with the
California Energy Commission
01:08:05.130 --> 01:08:08.490
to identify all potential
achievable concept
01:08:08.490 --> 01:08:10.730
effective energy efficiency savings,
01:08:10.730 --> 01:08:13.930
and establishes targets to
put electric and gas utilities
01:08:13.930 --> 01:08:14.763
to achieve.
01:08:15.970 --> 01:08:19.940
Back in 2004 the Commission
started conducting a potential
01:08:19.940 --> 01:08:22.860
and goal study almost every two years
01:08:22.860 --> 01:08:25.090
that provides the technical analysis
01:08:25.090 --> 01:08:27.830
for assessing cost
effective energy savings
01:08:27.830 --> 01:08:29.730
available in California.
01:08:29.730 --> 01:08:31.620
Traditionally, the Commission has set
01:08:31.620 --> 01:08:33.240
energy efficiency goals
01:08:33.240 --> 01:08:36.560
in terms of first year net electricity
01:08:36.560 --> 01:08:40.260
and peak demand defined
by kilowatt hours per loss
01:08:40.260 --> 01:08:42.873
and natural gas saving defined by therms
01:08:43.920 --> 01:08:48.920
In October of 2019, the energy
division has held a workshop
01:08:49.160 --> 01:08:51.730
just look at comments on
whether the current framework
01:08:51.730 --> 01:08:55.040
should be changed and to
go on stakeholder reviews
01:08:55.040 --> 01:08:58.150
in preparation for the
next energy efficiency,
01:08:58.150 --> 01:09:01.990
potential on goal study
set to commence here.
01:09:01.990 --> 01:09:05.420
This PD addresses
changes to the framework
01:09:05.420 --> 01:09:07.270
and I'll speak to the
potentials goal of study
01:09:07.270 --> 01:09:09.470
later in the presentation.
01:09:09.470 --> 01:09:11.510
We received comments from stakeholders
01:09:11.510 --> 01:09:15.240
that the current focus on
first year energy savings
01:09:15.240 --> 01:09:18.610
in the form of kilowatt
hours per loss (speaks faintly)
01:09:18.610 --> 01:09:21.720
does not capture all of the policy goals
01:09:21.720 --> 01:09:24.040
and benefits of energy efficiency
01:09:24.040 --> 01:09:28.240
or encourage longer term energy savings.
01:09:28.240 --> 01:09:32.140
The value of energy efficiency
varies by hour, seasons,
01:09:32.140 --> 01:09:34.540
greenhouse gas benefits climate,
01:09:34.540 --> 01:09:36.743
and the large cycle
savings of each measure.
01:09:37.610 --> 01:09:40.697
And there are many, many, many hundreds
01:09:40.697 --> 01:09:42.230
and hundreds of measures.
01:09:42.230 --> 01:09:45.600
The current metric creates
a policy misalignment
01:09:45.600 --> 01:09:48.900
that encourages optimization
of portfolios to meet
01:09:48.900 --> 01:09:53.630
or exceed forecasted net in
your first year energy savings
01:09:53.630 --> 01:09:56.420
regardless of potential
longer term benefits
01:09:56.420 --> 01:09:58.690
to the system or the rate payers.
01:09:58.690 --> 01:10:00.550
So building on a proposal submitted
01:10:00.550 --> 01:10:03.410
by the Natural Resources Defense Council
01:10:03.410 --> 01:10:06.500
on behalf the California
Energy Efficiency
01:10:06.500 --> 01:10:09.480
Coordinating Committee or CEECC,
01:10:09.480 --> 01:10:11.830
and the NRDC is a member of (indistinct)
01:10:11.830 --> 01:10:15.400
the PD proposes a
new single metric called
01:10:15.400 --> 01:10:18.230
the total system benefit or TSP.
01:10:18.230 --> 01:10:21.770
This new metric expressed
as a monetary value
01:10:21.770 --> 01:10:25.690
consists of the
lifecycle energy capacity
01:10:25.690 --> 01:10:29.520
and greenhouse gas benefits
express on an annual basis
01:10:29.520 --> 01:10:32.360
allowing us to see the long-term value
01:10:32.360 --> 01:10:34.710
of energy efficiency measures.
01:10:34.710 --> 01:10:38.850
The intent of the TSP is you
use the savings load shape
01:10:38.850 --> 01:10:42.710
on energy efficiency measure
and apply the hourly values
01:10:42.710 --> 01:10:47.380
for energy capacity and
greenhouse compliance costs
01:10:47.380 --> 01:10:50.090
from the avoided cost
calculator to understand
01:10:50.090 --> 01:10:51.883
the total net system benefits.
01:10:53.000 --> 01:10:55.670
The TSP hides the
goals of energy efficiency
01:10:55.670 --> 01:10:57.780
program administrators directly
01:10:57.780 --> 01:11:01.760
to the avoided cost
value of energy efficiency,
01:11:01.760 --> 01:11:04.160
savings and encourages
achievement of savings
01:11:04.160 --> 01:11:06.200
to deliver a high value.
01:11:06.200 --> 01:11:10.170
The TSP along with the
traditional kilowatts kilowatt hours,
01:11:10.170 --> 01:11:12.940
the therms format will be tracked
01:11:12.940 --> 01:11:16.990
and reported to facilitate more
accurate demand forecasting
01:11:16.990 --> 01:11:19.190
and Naval program administrators,
01:11:19.190 --> 01:11:21.760
some optimizing energy
efficiency portfolios
01:11:21.760 --> 01:11:25.410
and achieve all cost
effective energy efficiency
01:11:25.410 --> 01:11:27.483
as required by the statute.
01:11:28.950 --> 01:11:33.040
Meanwhile, our assigned
Administrative Law Judge
01:11:33.040 --> 01:11:36.000
issued a really miss pass
merge embodying responses
01:11:36.000 --> 01:11:40.150
and a series of questions
regarding potential goals study
01:11:40.150 --> 01:11:41.940
and broader upon the issues in packing
01:11:41.940 --> 01:11:44.390
energy efficiency portfolios.
01:11:44.390 --> 01:11:49.390
In April, 2021, this is past
month the Commission staff
01:11:49.550 --> 01:11:54.040
released the draft 2021
tensional and goal study,
01:11:54.040 --> 01:11:57.640
which features the TSP analysis.
01:11:57.640 --> 01:12:01.440
Anticipate we will issue a
PD to some of you to adopt
01:12:01.440 --> 01:12:03.880
the energy efficiency
goal that incorporate
01:12:03.880 --> 01:12:07.853
the GHG-3 metrics and other
policy drivers from this PD.
01:12:08.690 --> 01:12:11.140
If you all vote out this PD today.
01:12:11.140 --> 01:12:13.460
The program administrators
will be required
01:12:13.460 --> 01:12:15.500
to submit there's new
portfolio applications
01:12:15.500 --> 01:12:20.054
designed to meet the TSP
goals that are contained
01:12:20.054 --> 01:12:22.860
in this proposed decision.
01:12:22.860 --> 01:12:25.430
The sudden change in
Energy Efficiency policy
01:12:25.430 --> 01:12:29.600
and this CD is portfolio segmentation.
01:12:29.600 --> 01:12:32.220
In recent years program
administrator have faced
01:12:32.220 --> 01:12:35.890
increasing pressures to
maintain the cost effectiveness
01:12:35.890 --> 01:12:38.010
of their energy efficiency portfolio.
01:12:38.010 --> 01:12:40.750
While also delivering
it balanced portfolio
01:12:40.750 --> 01:12:42.890
that meets all of the Commission's
01:12:42.890 --> 01:12:45.380
numerous policy objectives.
01:12:45.380 --> 01:12:48.500
Highly cost effective
opportunities are becoming scarce.
01:12:48.500 --> 01:12:51.390
As many as a low cost
mission of high benefit
01:12:51.390 --> 01:12:53.390
have become standard practice
01:12:53.390 --> 01:12:57.030
and adopted into building
codes and applying standards
01:12:57.030 --> 01:13:01.020
by the energy the Commission
or the federal government.
01:13:01.020 --> 01:13:03.590
There is evidence that
mutually proven administrators
01:13:03.590 --> 01:13:07.420
are struggling with
maintaining balanced portfolios.
01:13:07.420 --> 01:13:10.640
This tension creates
situations whereby the equity
01:13:10.640 --> 01:13:13.330
and market support
activities in this portfolio
01:13:13.330 --> 01:13:16.880
valued by the Commission
are at risk of being cut
01:13:16.880 --> 01:13:21.360
from the portfolio is due
to pressure on overall
01:13:21.360 --> 01:13:23.140
cost effectiveness.
01:13:23.140 --> 01:13:26.690
So we find it necessary
to reduce that conflict
01:13:28.000 --> 01:13:30.300
between cost effectiveness
and other equally
01:13:30.300 --> 01:13:34.560
or more important policy
objectives that address equity
01:13:34.560 --> 01:13:38.480
or provide market support
where they initiate this programs.
01:13:38.480 --> 01:13:41.270
And we have knowledge
that well our previous
01:13:41.270 --> 01:13:45.980
totally resource costs or TRC
ratio compares the benefits
01:13:45.980 --> 01:13:48.772
and costs of the program
targeted as delivering
01:13:48.772 --> 01:13:50.370
great benefits.
01:13:50.370 --> 01:13:53.690
The TRC tests may not
be an appropriate tool
01:13:53.690 --> 01:13:56.450
for judging whether
energy efficiency funding
01:13:56.450 --> 01:13:58.733
was prudently spent on programs
01:13:58.733 --> 01:14:03.160
that provide marketing
support or dress equity goals.
01:14:03.160 --> 01:14:06.580
So we are now proposing segment,
01:14:06.580 --> 01:14:10.900
the energy efficiency
portfolio into three categories
01:14:10.900 --> 01:14:13.520
based on the programs prior purchase,
01:14:13.520 --> 01:14:15.630
the delivery energy of savings,
01:14:15.630 --> 01:14:17.130
providing market support
01:14:17.130 --> 01:14:20.940
or targeting hard to reach customers.
01:14:20.940 --> 01:14:23.640
So we call these resource acquisition,
01:14:23.640 --> 01:14:25.670
or to support support an equity.
01:14:25.670 --> 01:14:27.840
The resource acquisition segment
01:14:27.840 --> 01:14:28.717
consists of the programs,
01:14:28.717 --> 01:14:31.307
the primary purpose
(indistinct) cost effective
01:14:31.307 --> 01:14:35.570
and avoiding cost expenses
through the interested system.
01:14:35.570 --> 01:14:37.440
This segment of programs will deliver
01:14:37.440 --> 01:14:42.440
the bulk of energy savings
to achieve total system
01:14:43.050 --> 01:14:44.270
benefit goals.
01:14:44.270 --> 01:14:47.110
Market support segment
consists of programs,
01:14:47.110 --> 01:14:50.730
the primary objectives,
supporting the long-term success
01:14:50.730 --> 01:14:53.360
of the energy efficiency
market in California,
01:14:53.360 --> 01:14:56.720
but educating customers,
training contractors
01:14:56.720 --> 01:15:00.100
building partnerships, or
moving beneficial technologies
01:15:00.100 --> 01:15:02.120
towards greater cost effectiveness.
01:15:02.120 --> 01:15:04.690
The equity segment, this is the programs
01:15:04.690 --> 01:15:07.480
with the primary purpose
of serving hard to reach
01:15:07.480 --> 01:15:10.917
or under short customers and
disadvantaged communities
01:15:10.917 --> 01:15:12.950
and advancing the
Commission's environmental
01:15:12.950 --> 01:15:15.350
and social justice action plans,
01:15:15.350 --> 01:15:18.750
increasing customer
safety, comfort, (indistinct)
01:15:18.750 --> 01:15:21.260
reducing customer energy bills.
01:15:21.260 --> 01:15:25.120
This equity segment
is distinct and separate
01:15:25.120 --> 01:15:27.443
from the low income energy efficiency,
01:15:28.770 --> 01:15:31.070
the energy savings assistance program.
01:15:31.070 --> 01:15:34.770
And the PD distinguishes
from that program.
01:15:34.770 --> 01:15:37.685
For the transition period of 2022, 2023,
01:15:37.685 --> 01:15:41.510
and the next slide is
portfolio applications and 2024
01:15:41.510 --> 01:15:45.210
the PD directs the program
administrators categorize all
01:15:45.210 --> 01:15:50.210
programs in a portfolio into
those three different programs.
01:15:51.960 --> 01:15:55.970
With the prospect of a
new portfolio segmentation
01:15:55.970 --> 01:16:00.970
the energy efficiency portfolio
will continue to be assessed
01:16:03.880 --> 01:16:06.550
with a cost effectiveness in mind,
01:16:06.550 --> 01:16:08.220
while most energy efficiency programs
01:16:08.220 --> 01:16:09.300
produce energy savings.
01:16:09.300 --> 01:16:12.250
Some programs have
additional primary purposes
01:16:12.250 --> 01:16:15.363
as I said in the market
support and equity.
01:16:16.590 --> 01:16:19.113
All of these programs
are crucial to supporting,
01:16:20.120 --> 01:16:23.110
the ensuring that
communities have access
01:16:23.110 --> 01:16:24.560
to energy efficiency program.
01:16:25.740 --> 01:16:27.830
The portion of the
energy efficiency portfolio
01:16:27.830 --> 01:16:29.820
to assess cost effectiveness, again,
01:16:29.820 --> 01:16:31.363
it's resource acquisition.
01:16:32.680 --> 01:16:34.930
That threshold will be applied
01:16:34.930 --> 01:16:38.280
because those programs
have readily identifiable cost
01:16:38.280 --> 01:16:40.670
and benefits that can be quantified
01:16:40.670 --> 01:16:42.530
while programs in all centers may lead
01:16:42.530 --> 01:16:44.520
to measurable energy savings.
01:16:44.520 --> 01:16:46.570
Program administrators
may claim energy saving
01:16:46.570 --> 01:16:50.410
in all portfolio segments
to show progress towards
01:16:50.410 --> 01:16:52.270
energy efficiency goals.
01:16:52.270 --> 01:16:54.580
PD directs all program administrators,
01:16:54.580 --> 01:16:58.600
and especially with REN
portfolios have different roles
01:16:58.600 --> 01:17:01.100
to show that the resource
acquisition segment
01:17:01.100 --> 01:17:06.100
of other portfolios is
cost-effective with that TRC ratio
01:17:06.270 --> 01:17:08.800
of at least 1.0 or greater.
01:17:08.800 --> 01:17:11.693
PD also directs all present
administrators including REN
01:17:12.804 --> 01:17:16.546
to develop metrics in criteria
for evaluating the progress
01:17:16.546 --> 01:17:19.280
and market support and equity program
01:17:19.280 --> 01:17:22.733
in the absence of a strict
cost-effectiveness requirements.
01:17:23.573 --> 01:17:25.520
This leads the question of how to assess
01:17:25.520 --> 01:17:27.360
the mean some events other projects
01:17:27.360 --> 01:17:29.480
for the market support
and equity segments
01:17:29.480 --> 01:17:32.010
of the portfolios in the past,
01:17:32.010 --> 01:17:35.180
combining all program
segment into one portfolio
01:17:35.180 --> 01:17:39.590
with a task for cost
effectiveness caused there to be
01:17:39.590 --> 01:17:41.935
natural limitations on the (indistinct)
01:17:41.935 --> 01:17:43.580
at the budget could be spent
01:17:43.580 --> 01:17:46.050
from market support or equity.
01:17:46.050 --> 01:17:48.870
Now we are applying
that cost effectiveness
01:17:48.870 --> 01:17:53.410
only to the resource
acquisition we need to look at
01:17:53.410 --> 01:17:56.410
what is reasonable for
market supporting equity.
01:17:56.410 --> 01:17:59.590
So the PDs lend us
the funds that maybe set
01:17:59.590 --> 01:18:02.810
on market support equity
to 30% of the overall budget
01:18:02.810 --> 01:18:05.840
of these program administrators
with exceptions of grants,
01:18:05.840 --> 01:18:10.173
again, just to the different,
purposes of the grant
01:18:11.177 --> 01:18:14.413
and you need to tailor
it to their communities,
01:18:17.343 --> 01:18:20.367
and to the subject,
however, to needs review
01:18:21.570 --> 01:18:25.097
and process the (indistinct)
01:18:25.097 --> 01:18:27.250
The third change of
the energy efficiency
01:18:27.250 --> 01:18:31.133
that the policy addresses is
the portfolio approval process.
01:18:32.200 --> 01:18:36.360
In October, 2015, we
adopted a rolling portfolio
01:18:36.360 --> 01:18:37.810
process we're regularly reviewing
01:18:37.810 --> 01:18:41.185
and revising energy efficiency
program administrators
01:18:41.185 --> 01:18:42.760
portfolio.
01:18:42.760 --> 01:18:45.520
It consisted of a 10 year cycle
01:18:45.520 --> 01:18:48.370
with annual cost recovery authorization
01:18:48.370 --> 01:18:50.320
and annual advice letters.
01:18:50.320 --> 01:18:54.060
Proposed decisions replaces
that 10 year business plan
01:18:54.060 --> 01:18:56.117
and annual budget advice letters
01:18:56.117 --> 01:19:00.603
for the four year portfolio
application process.
01:19:03.070 --> 01:19:05.543
Assessing the cost
effectiveness in savings
01:19:05.543 --> 01:19:08.333
cumulative over four years,
01:19:09.340 --> 01:19:11.350
it increases the level of detail
01:19:11.350 --> 01:19:13.095
and program administrators applications
01:19:13.095 --> 01:19:16.700
and getting reports
and updates, to inputs,
01:19:16.700 --> 01:19:20.500
and avoided costs by
annually July with an intentional
01:19:20.500 --> 01:19:21.530
and goal study.
01:19:21.530 --> 01:19:24.480
Overall, we think this will rule out
01:19:24.480 --> 01:19:27.010
some of the administrative offices.
01:19:27.010 --> 01:19:30.470
Reduce some of that
burden will continue to require
01:19:30.470 --> 01:19:34.163
a high-level strategic
outlook of the business plan,
01:19:35.080 --> 01:19:40.080
and overall again,
provide for easier and more
01:19:46.390 --> 01:19:49.840
reliable effort by the administrators
01:19:49.840 --> 01:19:52.060
so that they can plan ahead rather than
01:19:52.060 --> 01:19:55.010
simply having through year by year.
01:19:55.010 --> 01:19:57.130
Having that certainty about
energy efficiency funding
01:19:57.130 --> 01:20:00.510
into the future shares that
our energy efficiency planning
01:20:00.510 --> 01:20:03.730
goes scales as well with
both the Commission's
01:20:03.730 --> 01:20:06.170
integrated resource planning process,
01:20:06.170 --> 01:20:10.010
as well as the county energy
Commission demand forecast
01:20:10.010 --> 01:20:12.910
and the California
independent system operators
01:20:12.910 --> 01:20:14.790
transmission planning process.
01:20:14.790 --> 01:20:18.360
By the way Commissioner Ann Randolph,
01:20:18.360 --> 01:20:22.830
who led this proceeding before
she took on a new assignment
01:20:22.830 --> 01:20:24.810
as chair of the air sources board.
01:20:24.810 --> 01:20:27.760
This feature was one of the key things
01:20:27.760 --> 01:20:30.880
that she wanted to accomplished.
01:20:30.880 --> 01:20:35.520
Again, Doug Tierman with
the IRP and the forecasting.
01:20:35.520 --> 01:20:37.330
So the purpose of the
eight year business plan
01:20:37.330 --> 01:20:40.810
is essentially to serve this purpose,
01:20:40.810 --> 01:20:43.520
to guide energy efficiency portfolio
01:20:43.520 --> 01:20:45.980
from the focus over the coming decades,
01:20:45.980 --> 01:20:48.250
the life of the business
plans to contain,
01:20:48.250 --> 01:20:51.690
to strategies metrics and
proposed budget for each year
01:20:51.690 --> 01:20:53.120
for four cycle.
01:20:53.120 --> 01:20:55.460
We'll provide the details
of how to accomplish this,
01:20:55.460 --> 01:20:59.660
it's moved out with a view
process also for our staff.
01:20:59.660 --> 01:21:02.960
So in closing, I want thank the NRC
01:21:02.960 --> 01:21:04.760
for introducing the concept
01:21:04.760 --> 01:21:07.480
for new metric that
captures all the benefits
01:21:07.480 --> 01:21:09.980
of the energy efficiency program.
01:21:09.980 --> 01:21:13.020
I want to recognize Kate
for proposing solutions
01:21:13.020 --> 01:21:15.380
to approve the portfolio process
01:21:15.380 --> 01:21:20.360
and prevent public assets
office for initiating the changes
01:21:20.360 --> 01:21:23.210
with the rolling portfolio process.
01:21:23.210 --> 01:21:27.050
This PD could not have been
possible without the dedication
01:21:27.050 --> 01:21:30.630
administrative as
Julia Fitch, Sally Gal,
01:21:30.630 --> 01:21:33.880
and the energy division Kobe Randolph,
01:21:33.880 --> 01:21:37.400
Richard Alison, Tron
Hopi, Paula Gooning,
01:21:37.400 --> 01:21:41.820
Jen Calset and legal
divisions, Elizabeth Jordan.
01:21:41.820 --> 01:21:45.000
I want to acknowledged my team partner
01:21:45.000 --> 01:21:47.110
Commissioner Darcie L. Houck,
01:21:47.110 --> 01:21:51.570
her legal and energy policy
advisor is then a Kasasa,
01:21:51.570 --> 01:21:54.310
and chief of staff Christine Pal,
01:21:54.310 --> 01:21:56.700
for your participation's support.
01:21:56.700 --> 01:21:58.668
Also again I wanna
acknowledged by predecessors
01:21:58.668 --> 01:22:02.830
(indistinct) Ian Randolph
and cheerly I also support
01:22:02.830 --> 01:22:06.690
chief of staff and deputy
director Richard Peterson,
01:22:06.690 --> 01:22:09.000
the former advisor, Jason Orgo,
01:22:09.000 --> 01:22:12.693
and again the former
chief of staff Christine Pal.
01:22:12.693 --> 01:22:16.160
(indistinct) partnership with
Commissioner Randolph,
01:22:16.160 --> 01:22:19.510
I learned a lot from her,
appreciating her goal
01:22:19.510 --> 01:22:22.080
of ensuring a smooth
leadership transition.
01:22:22.080 --> 01:22:24.837
And last but not least I wanna
thank team from my office
01:22:24.837 --> 01:22:27.961
energy advisor Sharon
Wing and chief of staff
01:22:27.961 --> 01:22:30.313
legal advisors (speaks faintly)
01:22:30.313 --> 01:22:33.330
With I respectfully ask
my fellow Commissioner
01:22:33.330 --> 01:22:36.890
for your vote on item 25.
01:22:36.890 --> 01:22:37.723
Thank you.
01:22:40.829 --> 01:22:42.484
Okay.
01:22:42.484 --> 01:22:44.657
(laughing)
01:22:44.657 --> 01:22:47.250
Thank you, Commissioner Shiroma.
01:22:47.250 --> 01:22:50.300
I have some words of
support that I was going to say,
01:22:50.300 --> 01:22:53.150
but I think you've covered
everything quite sufficiently.
01:22:54.070 --> 01:22:56.010
I will turn to my fellow Commissioners
01:22:56.010 --> 01:22:57.810
for any comments that they may have.
01:22:59.020 --> 01:23:00.503
Yes. Commissioner Houck.
01:23:02.800 --> 01:23:04.840
Thank you, President Batjer.
01:23:04.840 --> 01:23:07.970
Just briefly I wanted to acknowledge
01:23:07.970 --> 01:23:09.340
and thank Commissioner Shiroma
01:23:09.340 --> 01:23:12.950
for her leadership in
taking this project on
01:23:12.950 --> 01:23:15.410
from former Commissioner Randolph,
01:23:15.410 --> 01:23:18.440
and Commissioner Randolph
leadership in getting us
01:23:18.440 --> 01:23:21.750
up to the end of last year.
01:23:21.750 --> 01:23:24.620
I also wanna thank the
Administrative Law Judges
01:23:24.620 --> 01:23:28.600
and the energy division staff
for assisting embracing me
01:23:28.600 --> 01:23:32.460
and getting me up to
speed on this proceeding.
01:23:32.460 --> 01:23:35.210
And I also wanna thank
Commissioner Shiroma staff
01:23:35.210 --> 01:23:37.690
including her chief of
staff, Lewan (indistinct)
01:23:37.690 --> 01:23:40.010
and advisor Cheryl Lynn,
01:23:40.010 --> 01:23:42.594
and I'm pleased to become
Commissioner Shiroma's
01:23:42.594 --> 01:23:46.670
BK partner, which
occurred relatively recently.
01:23:46.670 --> 01:23:48.930
And I'm looking forward
to working with her office
01:23:48.930 --> 01:23:52.610
and the energy efficiency
staff on these important matters.
01:23:52.610 --> 01:23:54.760
There's a lot of coming
upcoming milestones
01:23:54.760 --> 01:23:58.080
and policy developments
in the energy efficiency area.
01:23:58.080 --> 01:24:00.680
And again, I'm excited
to be a part of this team.
01:24:00.680 --> 01:24:04.180
And again wanna thank
the judges, Julie Fitch
01:24:04.180 --> 01:24:07.750
and Judge Valerie Kao
01:24:07.750 --> 01:24:09.660
for all of their work
on this proceeding.
01:24:09.660 --> 01:24:12.370
And with that, I will be
supporting this items.
01:24:12.370 --> 01:24:13.203
Thank you.
01:24:15.240 --> 01:24:16.370
Thank you, Commissioner Houck.
01:24:16.370 --> 01:24:17.550
Are there any other comments?
01:24:17.550 --> 01:24:19.150
Yes. Commissioner Guzman Aceves.
01:24:20.020 --> 01:24:21.320
Thank you.
01:24:21.320 --> 01:24:23.393
This really is a fun proceeding.
01:24:25.000 --> 01:24:26.870
This is the more accurate one.
01:24:26.870 --> 01:24:29.290
I really do love this program.
01:24:29.290 --> 01:24:33.240
I think it is one of the
most fundamental roles
01:24:33.240 --> 01:24:37.100
that we have here in trying
to obtain both conservation
01:24:37.100 --> 01:24:40.650
for our lowest, most
disadvantaged Californians.
01:24:40.650 --> 01:24:42.680
And I appreciate the refinements
01:24:42.680 --> 01:24:45.610
on the focus of those
priority communities.
01:24:45.610 --> 01:24:50.210
I think that is using
all the work from cliffs
01:24:50.210 --> 01:24:51.440
affordability proceeding
01:24:51.440 --> 01:24:54.380
and really taking some
priority populations
01:24:54.380 --> 01:24:57.220
in recognizing that
they're not cost-effective
01:24:57.220 --> 01:24:58.460
in the traditional sense.
01:24:58.460 --> 01:25:02.640
So I appreciate all
the policy adjustments
01:25:02.640 --> 01:25:06.120
have been made to make
this program even more robust.
01:25:06.120 --> 01:25:09.300
I appreciate the focus, not
just on the care program,
01:25:09.300 --> 01:25:11.200
but the federal program
01:25:11.200 --> 01:25:13.320
and really drawing
attention to the increased
01:25:13.320 --> 01:25:18.163
need of penetration to get
to higher enrollment there.
01:25:19.160 --> 01:25:20.680
This team is really amazing.
01:25:20.680 --> 01:25:22.860
I've been spending a
little more time with them
01:25:22.860 --> 01:25:25.780
on the COVID a rare situation,
01:25:25.780 --> 01:25:30.150
and really wanna build
off of all of the incorporation
01:25:30.150 --> 01:25:32.490
of working with
community-based organizations
01:25:32.490 --> 01:25:33.783
that the program has.
01:25:35.160 --> 01:25:38.110
And particularly the changes programs
01:25:38.110 --> 01:25:39.990
and seeing how we can amplify that
01:25:39.990 --> 01:25:42.330
across our work in the Commission,
01:25:42.330 --> 01:25:47.200
and across not just the
non-English speaking population,
01:25:47.200 --> 01:25:49.300
but all the other priority populations
01:25:49.300 --> 01:25:51.200
that have been identified here.
01:25:51.200 --> 01:25:55.500
And stuff work I hope to
continue to work with this team
01:25:55.500 --> 01:25:59.220
and all of you on seeing
how we can broaden
01:26:00.608 --> 01:26:02.350
in a more institutional manner.
01:26:02.350 --> 01:26:04.190
I know we've been doing it in PSPS.
01:26:04.190 --> 01:26:06.723
We've been doing it
across the board really,
01:26:07.820 --> 01:26:11.430
but that this team has
kind of the core foundation
01:26:11.430 --> 01:26:14.120
of that and hoping to see that grow.
01:26:14.120 --> 01:26:16.750
And so many other things
some of the pilots, of course,
01:26:16.750 --> 01:26:19.630
on the electrification
they're very exciting.
01:26:19.630 --> 01:26:22.980
A lot of stuff in here as you
outlined Commissioner Shiroma.
01:26:22.980 --> 01:26:25.200
So thank you for the great work.
01:26:25.200 --> 01:26:29.010
I think it's going in a great
direction and thank you
01:26:29.010 --> 01:26:32.870
for all the work, the judges
have done on this as well.
01:26:32.870 --> 01:26:33.703
Thank you.
01:26:35.950 --> 01:26:38.850
Thank you, Commissioner Guzman Aceves.
01:26:38.850 --> 01:26:40.500
Any other comments?
01:26:40.500 --> 01:26:43.460
Yes. Commissioner Rechtschaffen.
01:26:43.460 --> 01:26:45.030
Thank you Commissioner Shiroma
01:26:45.030 --> 01:26:48.230
for your very thoughtful
01:26:48.230 --> 01:26:53.230
and creative reforms that you
proposed in this proceeding.
01:26:55.390 --> 01:26:59.500
We can't overlook energy
efficiency in any scenario,
01:26:59.500 --> 01:27:02.880
the international energy agency
01:27:02.880 --> 01:27:04.530
just released a report this week,
01:27:04.530 --> 01:27:06.510
talking about the dramatic changes
01:27:06.510 --> 01:27:08.960
we need to make to our energy system,
01:27:08.960 --> 01:27:11.980
to meet our deep decarbonization goals
01:27:11.980 --> 01:27:13.180
and energy efficiency.
01:27:13.180 --> 01:27:15.770
It's a core part of our strategies.
01:27:15.770 --> 01:27:19.347
It's not just a fancy technologies
01:27:19.347 --> 01:27:22.480
and the innovative new solutions.
01:27:22.480 --> 01:27:27.420
It's also energy efficiency
that needs to remain critical.
01:27:27.420 --> 01:27:28.980
I agree with my colleagues
01:27:28.980 --> 01:27:31.000
and what you said, Commissioner Shiroma
01:27:31.000 --> 01:27:35.360
it's very helpful that
we're transitioning to focus
01:27:35.360 --> 01:27:38.910
on total system
benefit that will allow us
01:27:38.910 --> 01:27:42.930
to align our investments
with the state's
01:27:42.930 --> 01:27:45.390
ambitious greenhouse gas goals
01:27:45.390 --> 01:27:50.340
and the critical importance
of reducing peak load,
01:27:50.340 --> 01:27:52.710
not just any load, but peak load
01:27:52.710 --> 01:27:56.670
so that we maintain
the reliability of the grid.
01:27:56.670 --> 01:27:58.550
I think one particular advantage
01:27:58.550 --> 01:28:01.620
of this approach among other things,
01:28:01.620 --> 01:28:06.620
it will allow us to capture
the benefits of replacing gas
01:28:06.670 --> 01:28:11.340
space heating and cooling
with electric appliances.
01:28:12.560 --> 01:28:15.070
Think though, that's a
transition we're gonna need
01:28:15.070 --> 01:28:19.700
to pursue expeditiously
to achieve our longterm
01:28:19.700 --> 01:28:24.500
greenhouse gas goals at
the lowest possible cost.
01:28:24.500 --> 01:28:29.040
And I also second what
Commissioner Guzman Aceves said,
01:28:29.040 --> 01:28:33.600
it's very very helpful that
the decision maintains
01:28:33.600 --> 01:28:37.440
and enhances our emphasis
on providing services
01:28:37.440 --> 01:28:40.960
to low income customers and
disadvantaged communities
01:28:40.960 --> 01:28:43.373
the ones that have the greatest need.
01:28:44.220 --> 01:28:47.633
With that I will be
supporting this item.
01:28:49.510 --> 01:28:51.360
Okay. Thank you.
01:28:51.360 --> 01:28:54.530
With no further comments,
will the agenda clerk
01:28:54.530 --> 01:28:57.383
please call the rule on item 25.
01:28:58.950 --> 01:29:01.000
For item 25
Commissioner Houck?
01:29:01.850 --> 01:29:02.683
Yes.
01:29:03.750 --> 01:29:06.010
Commissioner Shiroma?
01:29:06.010 --> 01:29:06.843
Aye.
01:29:07.710 --> 01:29:10.185
Commissioner Rechtschaffen?
01:29:10.185 --> 01:29:11.018
Yes.
01:29:12.090 --> 01:29:14.175
Commissioner Guzman Aceves?
01:29:14.175 --> 01:29:15.572
Aye.
01:29:15.572 --> 01:29:17.040
President Batjer?
01:29:17.040 --> 01:29:18.007
Yes.
01:29:18.007 --> 01:29:20.800
Item passes unanimously.
01:29:20.800 --> 01:29:21.633
Thank you.
01:29:22.890 --> 01:29:26.420
Since we took up a
related item to item 28
01:29:26.420 --> 01:29:29.693
which was item four
on the Consent Agenda,
01:29:31.240 --> 01:29:35.570
item 28 will we be
withdrawn since we did
01:29:36.810 --> 01:29:38.963
pass on pass item four.
01:29:40.325 --> 01:29:43.390
Commissioner Rechtschaffen
is that appropriate
01:29:43.390 --> 01:29:44.490
in your understanding?
01:29:45.453 --> 01:29:46.670
Yes.
01:29:46.670 --> 01:29:47.550
Okay.
01:29:47.550 --> 01:29:48.430
Thank you.
01:29:48.430 --> 01:29:51.880
Moving on now to item 29,
Commissioner Guzman Aceves
01:29:51.880 --> 01:29:54.160
that is assigned to you.
01:29:54.160 --> 01:29:55.453
Thank you President Batjer.
01:29:55.453 --> 01:29:58.940
This is a order extending
the statutory deadlines
01:29:58.940 --> 01:30:01.940
for a complaint case.
01:30:01.940 --> 01:30:05.750
The complaint is related to
an ongoing demand response
01:30:05.750 --> 01:30:10.130
click through proceeding,
which we are still in the process
01:30:10.130 --> 01:30:13.160
of completing the
evidentiary hearing sports.
01:30:13.160 --> 01:30:16.040
So we need to resolve
those matters before
01:30:16.040 --> 01:30:17.890
we can address the complaint.
01:30:17.890 --> 01:30:21.920
Therefore I'm requesting an
extension from may of this year
01:30:21.920 --> 01:30:26.904
to April of next year for us
to complete that proceeding
01:30:26.904 --> 01:30:29.450
and be able to finish the complaint.
01:30:29.450 --> 01:30:30.283
Thank you.
01:30:31.880 --> 01:30:32.790
Thank you.
01:30:32.790 --> 01:30:35.423
Are there any comments on items 29?
01:30:36.430 --> 01:30:37.263
Okay. Seeing none.
01:30:37.263 --> 01:30:40.240
We'll the agenda clerk,
please call the roll?
01:30:40.240 --> 01:30:43.050
For item 29
Commissioner Houck?
01:30:43.050 --> 01:30:44.650
Yes.
01:30:44.650 --> 01:30:46.754
Commissioner Shiroma?
01:30:46.754 --> 01:30:47.587
Aye.
01:30:48.460 --> 01:30:50.449
Commissioner Rechtschaffen?
01:30:50.449 --> 01:30:52.035
Yes.
01:30:52.035 --> 01:30:54.010
Commissioner Guzman Aceves?
01:30:54.010 --> 01:30:55.480
Aye.
01:30:55.480 --> 01:30:57.140
President Batjer?
01:30:57.140 --> 01:30:57.973
Yes.
01:30:57.973 --> 01:31:00.490
Item 29 and passed unanimously.
01:31:00.490 --> 01:31:01.610
Thank you all.
01:31:01.610 --> 01:31:03.680
Moving from the regular agenda
01:31:03.680 --> 01:31:06.370
on now to the management reports.
01:31:06.370 --> 01:31:08.670
There is no report on items 30,
01:31:08.670 --> 01:31:10.660
the manager report and discussion
01:31:10.660 --> 01:31:14.500
on recent consumer
protection and safety activities.
01:31:14.500 --> 01:31:17.720
There is no report on item
31, which is the management
01:31:17.720 --> 01:31:20.273
report and discussion on
administrative activities.
01:31:21.420 --> 01:31:26.420
We have a presentation
today for item 32 from the Safety
01:31:26.700 --> 01:31:30.190
Enforcement Division
regarding the oversight
01:31:30.190 --> 01:31:33.270
of actions resulting
from the Pacific Gas
01:31:33.270 --> 01:31:38.270
and Electric Company,
2017 2018 wildfire settlement.
01:31:39.210 --> 01:31:42.640
Executive director Rachel
Peterson will introduce
01:31:44.060 --> 01:31:45.940
those who will present.
01:31:45.940 --> 01:31:46.773
Rachel.
01:31:48.010 --> 01:31:50.790
I don't see you, but
I know you're there.
01:31:50.790 --> 01:31:52.340
Good morning,
President Batjer
01:31:52.340 --> 01:31:54.010
and Commissioners.
01:31:54.010 --> 01:31:54.920
Thank you very much.
01:31:54.920 --> 01:31:57.930
Rachel Peterson,
Executive Director here.
01:31:57.930 --> 01:32:01.360
And today, our safety
and enforcement division
01:32:01.360 --> 01:32:05.560
will present to you an
update on our oversight
01:32:05.560 --> 01:32:07.190
of the penalties and remedies
01:32:07.190 --> 01:32:10.930
that this Commission imposed
on Pacific Gas and Electric
01:32:10.930 --> 01:32:13.920
following the tragic
Northern California wildfires
01:32:13.920 --> 01:32:17.550
of 2017 and 2018.
01:32:17.550 --> 01:32:20.800
The wildfire were ignited
by PG&E equipment
01:32:20.800 --> 01:32:24.160
and took human lives,
destroyed structures
01:32:24.160 --> 01:32:27.220
and cause widespread evacuations.
01:32:27.220 --> 01:32:30.620
In 2017, 22 deaths were attributed
01:32:30.620 --> 01:32:33.940
to fires ignited by PG&E equipments,
01:32:33.940 --> 01:32:37.680
and in 2018, the catastrophic campfire
01:32:37.680 --> 01:32:41.640
started by PG&E equipment
caused 85 people in Paradise
01:32:41.640 --> 01:32:43.653
California to lose their lives.
01:32:44.870 --> 01:32:48.880
One year ago in May,
2020 following safety
01:32:48.880 --> 01:32:51.160
and enforcement division's investigation
01:32:51.160 --> 01:32:53.460
and litigation of this case,
01:32:53.460 --> 01:32:55.900
you adopted a set of
penalties and remedies
01:32:55.900 --> 01:32:59.050
that is commensurate
with the harm caused
01:32:59.050 --> 01:33:00.750
and demonstrates the depth
01:33:00.750 --> 01:33:04.800
and range of penalties that
this Commission can deploy.
01:33:04.800 --> 01:33:09.650
Within the 2.137 billion total penalties
01:33:09.650 --> 01:33:14.650
that this Commission imposed
you disallowed 1.823 billion
01:33:15.810 --> 01:33:18.230
for wild star related costs.
01:33:18.230 --> 01:33:22.280
Which means that PG&E
shareholders not rate payers
01:33:22.280 --> 01:33:24.280
paid for those costs.
01:33:24.280 --> 01:33:28.490
You also required PG&E to
return substantial tax benefits
01:33:28.490 --> 01:33:31.420
to rate payers rather than shareholders.
01:33:31.420 --> 01:33:34.330
And you set out
structural safety, reforms
01:33:34.330 --> 01:33:37.043
and enhancements for PG&E to achieve.
01:33:38.490 --> 01:33:42.130
The structural reforms
totaled 114 million
01:33:42.130 --> 01:33:46.130
in system enhancement
initiatives and corrective actions.
01:33:46.130 --> 01:33:48.080
They are fundamental to ensuring
01:33:48.080 --> 01:33:51.380
that PG&E on the ground
operations are in fact
01:33:51.380 --> 01:33:55.330
improving safety at the
utility and reducing the risk
01:33:55.330 --> 01:33:57.890
that catastrophic
wildfires will be ignited
01:33:57.890 --> 01:33:59.083
by its facilities.
01:33:59.930 --> 01:34:03.600
Nika Gently of our safety
and enforcement division
01:34:03.600 --> 01:34:08.600
is lead on overseeing the
progress on those reforms
01:34:08.610 --> 01:34:12.630
and she's going to present
the detail of her work.
01:34:12.630 --> 01:34:14.133
Nika, go ahead please.
01:34:16.210 --> 01:34:19.210
Thank you, Rachel
I appreciate that.
01:34:19.210 --> 01:34:22.450
Good morning, President
Batjer and Commissioners.
01:34:22.450 --> 01:34:26.593
I am honored to be here to
present our overview for you all.
01:34:28.040 --> 01:34:30.100
I would just go ahead
and move through the slide
01:34:30.100 --> 01:34:32.320
so I'll let you know when
I'm switching to the next slide.
01:34:32.320 --> 01:34:36.410
So just so you know this
is a oversight of the actions
01:34:36.410 --> 01:34:37.340
that have been taken.
01:34:37.340 --> 01:34:39.990
This is a real, this
is a snapshot in time
01:34:39.990 --> 01:34:41.590
of where we are at today
01:34:42.500 --> 01:34:44.180
and I'll get into
that a little bit later
01:34:44.180 --> 01:34:45.730
in the presentation,.
01:34:45.730 --> 01:34:49.300
But this is really work
that's going to be carried out
01:34:49.300 --> 01:34:51.730
regarding the system
enhancement initiatives
01:34:51.730 --> 01:34:54.900
over a five-year span for
some of them, not all of them,
01:34:54.900 --> 01:34:58.220
but so I want you to know
this is like where we're at
01:34:58.220 --> 01:35:01.090
this year into the
decision being voted out.
01:35:01.090 --> 01:35:04.200
So just an overview of
the topics I'll be covering
01:35:04.200 --> 01:35:06.680
is I'll present some
of the major findings
01:35:06.680 --> 01:35:09.649
from the investigation,
the findings of facts,
01:35:09.649 --> 01:35:13.340
an overview PG&E 2017 the decision
01:35:13.340 --> 01:35:14.760
and what came out of that decision,
01:35:14.760 --> 01:35:17.320
that Rachel kind of
highlighted a little bit.
01:35:17.320 --> 01:35:20.740
An overview of what the system
enhancement initiatives are
01:35:21.654 --> 01:35:25.070
and what they mean for PG&E for SED
01:35:25.070 --> 01:35:28.360
And also for force
ratepayers in California.
01:35:28.360 --> 01:35:31.510
PG&E developments on the
system enhancement initiatives
01:35:31.510 --> 01:35:34.290
to date, and then the
some of the oversight
01:35:34.290 --> 01:35:37.300
and the roles SED as well
as through the other divisions
01:35:37.300 --> 01:35:38.530
in the Commission have played
01:35:38.530 --> 01:35:41.160
in ensuring that PG&E meeting the remark
01:35:41.160 --> 01:35:43.650
on those some enhancement initiatives.
01:35:43.650 --> 01:35:44.693
Next slide please.
01:35:48.140 --> 01:35:49.470
Okay.
01:35:49.470 --> 01:35:51.920
So this slide just presents, like I said
01:35:51.920 --> 01:35:55.344
this is the order instituting
investigation that OII
01:35:55.344 --> 01:35:57.033
through some of the findings of fact.
01:35:58.100 --> 01:36:00.100
It's that these are just the highlights,
01:36:00.100 --> 01:36:01.070
clearly there were a lot more.
01:36:01.070 --> 01:36:05.630
But that Cal fire
mis-examined 18 fire incidents
01:36:05.630 --> 01:36:08.949
that occurred and were
investigated by SED
01:36:08.949 --> 01:36:12.340
in the 2017 2018 fire period.
01:36:12.340 --> 01:36:15.700
So the 2017 fires, these
are just kind of an overview
01:36:15.700 --> 01:36:20.660
of the amount of
violations that SED sounds.
01:36:20.660 --> 01:36:24.260
There were 33 violations of
Commission safety rules that,
01:36:24.260 --> 01:36:26.710
this includes general order 95,
01:36:26.710 --> 01:36:28.667
and those general order of 95,
01:36:28.667 --> 01:36:30.420
for those that aren't familiar with it
01:36:30.420 --> 01:36:32.550
pertains to rules for
overhead electric lines
01:36:32.550 --> 01:36:37.060
and construction resolution E4184
01:36:37.060 --> 01:36:40.282
that pertains to basically reporting
01:36:40.282 --> 01:36:42.780
of any reporting requirement
01:36:42.780 --> 01:36:45.110
that the utilities have to adhere to
01:36:45.110 --> 01:36:46.580
when there's incidents that occur
01:36:46.580 --> 01:36:49.070
and if they meet certain thresholds.
01:36:49.070 --> 01:36:52.840
And then also public
utility goes code 451
01:36:52.840 --> 01:36:55.060
and that requires
public utilities to furnish
01:36:55.060 --> 01:36:58.340
maintain adequate efficient
just and reasonable service.
01:36:58.340 --> 01:37:02.530
So we found a total of 33
violations for some of the fires
01:37:02.530 --> 01:37:06.790
in 2017 and for the
campfire about 12 violations.
01:37:06.790 --> 01:37:10.490
The 2017 and 2018
wildfires really resulted in
01:37:10.490 --> 01:37:12.860
unprecedented level of
physical and economic harm.
01:37:12.860 --> 01:37:15.270
And it picked up very
well apparent to those
01:37:16.330 --> 01:37:17.163
in present here.
01:37:17.163 --> 01:37:19.800
And in order for the penalties
01:37:19.800 --> 01:37:22.320
and the decision to have
that appropriate punitive
01:37:22.320 --> 01:37:24.620
and deterrent impact the
Commission determined
01:37:24.620 --> 01:37:26.790
through that decision, that rate payers,
01:37:26.790 --> 01:37:28.960
rather than the shareholders
should receive the benefit
01:37:28.960 --> 01:37:30.980
of the tax savings of the associated
01:37:30.980 --> 01:37:32.943
with PG&E financial obligation.
01:37:33.870 --> 01:37:35.370
Please move to the next slide.
01:37:38.530 --> 01:37:39.363
Okay.
01:37:41.270 --> 01:37:43.330
So an overview of this decision
01:37:43.330 --> 01:37:46.780
so as Rachel mentioned,
about a year ago, May 7th
01:37:46.780 --> 01:37:50.060
the Commission approved
this decision 2005019
01:37:50.060 --> 01:37:51.390
and that approved the settlement
01:37:51.390 --> 01:37:52.863
but with modification.
01:37:53.970 --> 01:37:57.280
This decision resolved
the issues that were related
01:37:57.280 --> 01:38:00.690
to those 2017 and 2018 fires of PG&E,
01:38:00.690 --> 01:38:04.580
how PG&E electrical
facilities played a role it in,
01:38:04.580 --> 01:38:06.213
in the ignition of these fires.
01:38:07.310 --> 01:38:10.160
As Rachel mentioned also
the total penalties assessed
01:38:10.160 --> 01:38:12.940
against PG&E that was
determined in that decision
01:38:12.940 --> 01:38:16.310
were amounted to 2.137 billion.
01:38:16.310 --> 01:38:18.240
And I provided this breakdown.
01:38:18.240 --> 01:38:23.240
So 1.823 billion was a
disallowance related to wildfire
01:38:23.320 --> 01:38:24.520
expenditures.
01:38:24.520 --> 01:38:28.840
114 million was focus
or allocated to the system
01:38:28.840 --> 01:38:30.070
enhancement initiatives.
01:38:30.070 --> 01:38:33.610
And that's what I'll be talking
about more in detail today.
01:38:33.610 --> 01:38:36.050
And then there was a $200 million fine
01:38:36.050 --> 01:38:37.900
that was payable to the general fund.
01:38:40.357 --> 01:38:42.703
In advance to slide five, please.
01:38:45.700 --> 01:38:47.930
So the System Enhancement Initiatives.
01:38:47.930 --> 01:38:50.200
The System Enhancement Initiatives,
01:38:50.200 --> 01:38:51.570
first in the settlement agreement
01:38:51.570 --> 01:38:53.220
there were 20 that were laid out.
01:38:53.220 --> 01:38:54.720
These were kind of decided on
01:38:54.720 --> 01:38:56.761
I wasn't involved in the
settlement discussions
01:38:56.761 --> 01:38:59.750
before my time with SED, but I do know
01:38:59.750 --> 01:39:01.399
that it was kind of
a collaborative effort
01:39:01.399 --> 01:39:06.399
between PG&E, SED, the
office of safety advocates
01:39:07.090 --> 01:39:10.870
which has now their
role has been replaced
01:39:10.870 --> 01:39:13.060
by the safety policy
division at the Commission
01:39:13.060 --> 01:39:15.750
and then the coalition of
California utility employees.
01:39:15.750 --> 01:39:17.900
So those were the
parties that were involved
01:39:17.900 --> 01:39:20.640
in designing and basically creating
01:39:20.640 --> 01:39:22.670
the System Enhancement Initiatives.
01:39:22.670 --> 01:39:24.550
These initiatives, they include things
01:39:24.550 --> 01:39:27.830
from vegetation management
and electrical operations
01:39:27.830 --> 01:39:30.640
to analysis of reports and studies
01:39:30.640 --> 01:39:33.520
and root cause analysis
suck kind of out of
01:39:33.520 --> 01:39:36.190
the PG&E is required to undertake.
01:39:36.190 --> 01:39:38.450
There's community
engagement, focused initiatives,
01:39:38.450 --> 01:39:39.870
that it includes like town halls
01:39:39.870 --> 01:39:42.950
and more public participation meetings
01:39:42.950 --> 01:39:45.820
between PG&E executives,
as well as the public
01:39:45.820 --> 01:39:50.820
on some of their wildfire initiatives.
01:39:52.230 --> 01:39:54.660
And then there's also
transparency and accountability
01:39:54.660 --> 01:39:58.290
focused ones that include
like requiring PG&E,
01:39:58.290 --> 01:40:00.160
like a manager or director to sign off
01:40:00.160 --> 01:40:02.840
on all the filings
that they do are those
01:40:02.840 --> 01:40:03.800
before the Commission.
01:40:03.800 --> 01:40:08.400
So it's a broad spectrum of requirements
01:40:08.400 --> 01:40:11.740
that PG&E state here to undertake
01:40:11.740 --> 01:40:15.520
and making up for
some of the destruction
01:40:15.520 --> 01:40:17.510
and stuff that was
caused by those fires.
01:40:17.510 --> 01:40:19.430
So the settling parties initially agreed
01:40:19.430 --> 01:40:21.740
to a total amount of about 50 million
01:40:21.740 --> 01:40:24.150
of shareholder funding
monies to be set aside for these,
01:40:24.150 --> 01:40:29.150
what we call SEI, but in
the final decision 2005019
01:40:30.520 --> 01:40:32.410
that was increased by 64 million.
01:40:32.410 --> 01:40:35.500
So there's a total of
almost $115 million
01:40:35.500 --> 01:40:37.350
allocated to these activities.
01:40:37.350 --> 01:40:40.000
And as I mentioned, there
were four parties that were
01:40:40.000 --> 01:40:43.390
involved in crafting and
developing these system
01:40:43.390 --> 01:40:45.050
enhancement initiatives.
01:40:45.050 --> 01:40:46.700
Please advance to the next slide.
01:40:48.960 --> 01:40:52.190
Okay. So this slide,
what I wanted to do is,
01:40:52.190 --> 01:40:53.610
again, there's 20 of them
01:40:53.610 --> 01:40:55.570
and they're not all
captured in these two slides.
01:40:55.570 --> 01:40:58.130
And if we really had to go
through each individual one
01:40:58.130 --> 01:41:01.740
I think we'd all be very exhausted
01:41:01.740 --> 01:41:03.580
by the end of that presentation.
01:41:03.580 --> 01:41:05.690
So what I wanted to do here is really
01:41:05.690 --> 01:41:10.230
captured what PG&E has
done again in this one year
01:41:10.230 --> 01:41:12.510
that we had to kind of
look back on the work
01:41:12.510 --> 01:41:14.710
that's being undertaken,
to see where they're at
01:41:14.710 --> 01:41:19.070
on certain pretty prominent
system enhancement initiatives.
01:41:19.070 --> 01:41:22.490
And as I mentioned, there
are some that they're doing
01:41:22.490 --> 01:41:23.360
it's very important to know
01:41:23.360 --> 01:41:25.860
that there are some
that require the conditions
01:41:25.860 --> 01:41:28.570
kind of like step-by-step
involvement in.
01:41:28.570 --> 01:41:30.320
So those are the ones where SED is like
01:41:30.320 --> 01:41:31.530
in constant conversations.
01:41:31.530 --> 01:41:34.030
Like I'm emailing with PG&E on a,
01:41:34.030 --> 01:41:35.120
maybe not a weekly basis,
01:41:35.120 --> 01:41:37.270
but we're having monthly
meetings and whatnot.
01:41:37.270 --> 01:41:39.170
And there's others that are really just
01:41:39.170 --> 01:41:40.310
for them to carry out.
01:41:40.310 --> 01:41:42.200
And the parameters are already been set
01:41:42.200 --> 01:41:44.070
related to the program or whatnot.
01:41:44.070 --> 01:41:47.030
And they're really just
carrying those out independently
01:41:47.030 --> 01:41:48.780
and then circling back around with us
01:41:48.780 --> 01:41:51.280
once the milestones have been set.
01:41:51.280 --> 01:41:53.730
So these six that are
highlighted on here,
01:41:53.730 --> 01:41:58.090
are ones at PG&E has
really been able to clearly
01:41:58.090 --> 01:42:01.150
at some point SED or SPD
has weighed in on them,
01:42:01.150 --> 01:42:04.233
but there ones PG&E is pretty
much doing independently.
01:42:05.530 --> 01:42:07.500
I can go through them a little bit.
01:42:07.500 --> 01:42:08.333
I'm happy to do that.
01:42:08.333 --> 01:42:10.860
I can also just kind of
gloss over some of them,
01:42:10.860 --> 01:42:13.927
but just note that the ones
that are presented here
01:42:13.927 --> 01:42:17.610
are a little bit more independent
01:42:17.610 --> 01:42:21.503
of what PG&E is required
to do for some of the others.
01:42:22.450 --> 01:42:27.450
So for the SEI, as I said
SEI-8 fuel reduction funding
01:42:28.250 --> 01:42:30.590
and these require PG&E first
01:42:30.590 --> 01:42:34.350
or commit like for future
dispersements, $2 million
01:42:34.350 --> 01:42:37.450
in funding for like the
California Fire Safety Council.
01:42:37.450 --> 01:42:40.800
This has begun PG&E
did distribute that money
01:42:40.800 --> 01:42:44.273
to the California Fire Safety
Council in November, 2020.
01:42:45.420 --> 01:42:49.360
And this is funded by PG&E shareholders.
01:42:49.360 --> 01:42:51.490
It's important to note that.
01:42:51.490 --> 01:42:53.430
The second one SEI-11
01:42:53.430 --> 01:42:56.030
this is regarding the
officer's safety town halls.
01:42:56.030 --> 01:42:59.760
These town halls are
opportunities for PG&E
01:42:59.760 --> 01:43:03.150
to share its safety and utility
service related information
01:43:03.150 --> 01:43:05.680
with those in attendance, and
then gather feedback on that
01:43:05.680 --> 01:43:07.410
from members of the community.
01:43:07.410 --> 01:43:09.930
So as you can see they've
held their first one already
01:43:09.930 --> 01:43:12.150
late last summer of last year,
01:43:12.150 --> 01:43:13.780
and they have about 10 more plants
01:43:13.780 --> 01:43:15.650
for the first half of this year.
01:43:15.650 --> 01:43:18.110
And for those of you that
get like the PG&E emails
01:43:18.110 --> 01:43:21.110
I believe I just received an
email about one coming up
01:43:21.110 --> 01:43:22.063
in my area.
01:43:23.840 --> 01:43:28.270
For SEI-12 the semi-annual
wildfire mitigation meetings.
01:43:28.270 --> 01:43:29.797
This is one we're one every six months
01:43:29.797 --> 01:43:32.450
of the three years after
the date that the effective
01:43:32.450 --> 01:43:35.680
which is like believe the society note,
01:43:35.680 --> 01:43:38.710
but it was on sometime in July of 2020.
01:43:38.710 --> 01:43:40.760
This requires leadership from the PG&E
01:43:40.760 --> 01:43:43.370
electric operations
wildfire page hold meetings
01:43:43.370 --> 01:43:47.040
with local government
planning, public works
01:43:47.040 --> 01:43:50.420
and emergency services
to exchange feedback
01:43:50.420 --> 01:43:53.010
and information regarding
their ongoing wildfire
01:43:53.010 --> 01:43:54.770
safety activities.
01:43:54.770 --> 01:43:56.840
So presuming is already, as you can see
01:43:56.840 --> 01:43:59.580
held five of these regional
working group meetings
01:43:59.580 --> 01:44:01.290
that satisfying these requirements.
01:44:01.290 --> 01:44:04.780
And they asked two more
planned in the first half of 2021.
01:44:07.844 --> 01:44:10.500
For the ISO that's the
International Organization
01:44:11.540 --> 01:44:16.100
for Standardization
for that requirement,
01:44:16.100 --> 01:44:20.570
the certification PG&E
has made good faith effort.
01:44:20.570 --> 01:44:23.620
It started to get in this process
01:44:23.620 --> 01:44:25.860
of getting its asset
management certification.
01:44:25.860 --> 01:44:28.200
They've completed stage one of it.
01:44:28.200 --> 01:44:30.230
And they're planning to
meet those requirements
01:44:30.230 --> 01:44:33.463
of stage two again, in
the first half of this year.
01:44:35.560 --> 01:44:37.460
Moving on to SEI-16
01:44:37.460 --> 01:44:41.170
the quarterly reporting on
the electric maintenance work.
01:44:41.170 --> 01:44:43.780
This requires PG&E to
prepare quarterly reports
01:44:43.780 --> 01:44:46.530
and they submit these to us to SED.
01:44:46.530 --> 01:44:49.600
This summarizes the status
of the maintenance work
01:44:49.600 --> 01:44:53.283
that's generated by the welfare
safety inspection program.
01:44:54.230 --> 01:44:57.500
And this list as we call it
program is part of PG&E
01:44:57.500 --> 01:44:59.950
community wildfire
safety program initiative
01:44:59.950 --> 01:45:03.683
and that implementing following
the fires of 2017 and 2018.
01:45:05.010 --> 01:45:08.660
So PG&E has already submitted
one of these reports to us.
01:45:08.660 --> 01:45:11.580
I believe another one's
due early the beginning,
01:45:11.580 --> 01:45:13.360
or we may have already
received another one,
01:45:13.360 --> 01:45:14.360
I'll check my inbox.
01:45:16.020 --> 01:45:17.900
The wisp includes these accelerated
01:45:17.900 --> 01:45:20.410
and kind of enhance
the safety inspections
01:45:20.410 --> 01:45:22.370
of repairs that PG&E is conducting
01:45:22.370 --> 01:45:24.023
in these high fire threat areas.
01:45:25.110 --> 01:45:28.590
And then lastly, SEI-19, this document
01:45:28.590 --> 01:45:31.160
this is like a near hit
potential fire incident.
01:45:31.160 --> 01:45:34.860
So these are kind of cases
which there was like a near hit
01:45:34.860 --> 01:45:38.170
or there were some
nuances in the avoiding with
01:45:38.170 --> 01:45:41.970
near missed opportunities
for potential fire incidents
01:45:41.970 --> 01:45:43.810
like arching or sparking.
01:45:43.810 --> 01:45:47.100
It could have resulted
in a fire, but didn't.
01:45:47.100 --> 01:45:51.090
PG&E files these fire
incident reports with us
01:45:51.090 --> 01:45:56.090
and with SPD, the first one
was issued in September of 2020
01:45:56.450 --> 01:45:59.510
and then we've continued
to receive additional reports.
01:45:59.510 --> 01:46:02.400
I think the last one was
received just in may,
01:46:02.400 --> 01:46:04.180
a couple of weeks ago in 2021
01:46:04.180 --> 01:46:06.133
for the previous quarters data.
01:46:09.350 --> 01:46:10.851
Okay.
01:46:10.851 --> 01:46:12.543
Please advance to the next slide.
01:46:15.370 --> 01:46:18.723
So this last slide really gives
an overview of where SED
01:46:19.750 --> 01:46:23.760
and to another extent
SPD is that an overseeing
01:46:23.760 --> 01:46:25.740
some of the system
enhancement initiatives.
01:46:25.740 --> 01:46:27.530
These ones are the
ones that are really active
01:46:27.530 --> 01:46:30.430
and like pretty much changing,
01:46:30.430 --> 01:46:32.910
I don't wanna say on a daily
basis, but on a weekly basis
01:46:32.910 --> 01:46:34.540
we see a lot of developments.
01:46:34.540 --> 01:46:37.970
This is the where SED
and SPD impact input
01:46:37.970 --> 01:46:39.370
into what PG&E is doing
01:46:39.370 --> 01:46:41.900
and its operations is really essential.
01:46:41.900 --> 01:46:44.050
And I'm gonna go over just a little bit,
01:46:44.050 --> 01:46:46.130
a few of these with you.
01:46:46.130 --> 01:46:48.100
I've highlighted the
five these are the ones
01:46:48.100 --> 01:46:50.690
that are most active us at this time.
01:46:50.690 --> 01:46:53.580
Surely this changes over
time as PG&E goes back
01:46:53.580 --> 01:46:58.140
and, you know, once the
consultant has been selected
01:46:58.140 --> 01:47:01.580
and they're the ones that are
kind of carrying out the work,
01:47:01.580 --> 01:47:02.870
these consultants are
carrying out the work
01:47:02.870 --> 01:47:04.332
So it becomes a (speaks faintly)
01:47:04.332 --> 01:47:07.182
And these are the ones that
were currently active for us.
01:47:08.270 --> 01:47:12.520
So SEI-5 is this non-diesel
temporary generations
01:47:12.520 --> 01:47:16.540
requirements So
PG&E has issued an RFI
01:47:16.540 --> 01:47:19.130
and that's intended
to identify any sort of
01:47:19.130 --> 01:47:22.540
non diesel generators that
can provide a range of use
01:47:22.540 --> 01:47:26.780
and backup power for planned
outages or unplanned outages
01:47:28.580 --> 01:47:31.350
during like PSPS events.
01:47:31.350 --> 01:47:35.430
So SED, we've met with PG&E
to hear about their proposal
01:47:35.430 --> 01:47:37.570
for how to do this, how to
utilize the settlement funds
01:47:37.570 --> 01:47:39.690
that are allocated for this.
01:47:39.690 --> 01:47:42.370
And we have an upcoming
meeting again this Friday.
01:47:42.370 --> 01:47:46.253
So tomorrow to reach consensus
regarding how the funding,
01:47:47.630 --> 01:47:49.923
regarding the settlement funding.
01:47:50.820 --> 01:47:53.810
For the independent root cause analysis
01:47:53.810 --> 01:47:55.770
PG&E shareholders are required to pay
01:47:55.770 --> 01:47:59.070
for this independent root
cause analysis to Kentucky RCA
01:47:59.070 --> 01:48:01.970
for each of the wildfires from that OII,
01:48:01.970 --> 01:48:03.913
that reportable to the CPC.
01:48:04.860 --> 01:48:07.710
So what's happened currently is SPD,
01:48:07.710 --> 01:48:10.230
that's a Safety Policy Division,
01:48:10.230 --> 01:48:12.370
they selected a consultant
01:48:12.370 --> 01:48:14.880
they'll be meeting with
PG&E later in the week,
01:48:14.880 --> 01:48:16.780
later this week, I
believe it's also tomorrow.
01:48:16.780 --> 01:48:18.690
to inform them of the consultants
01:48:18.690 --> 01:48:20.100
that we have selected
01:48:20.100 --> 01:48:22.303
and then discuss forward the next steps.
01:48:24.370 --> 01:48:29.140
For SEI-14, the Independent
Wildfire Safety Audits.
01:48:29.140 --> 01:48:32.530
This also requires PG&E
again to have a third party
01:48:32.530 --> 01:48:34.630
oversight at independent consultant
01:48:34.630 --> 01:48:38.060
which they call the safety
evaluator to perform a series
01:48:38.060 --> 01:48:41.250
of actions, reviews, and
audits of their policies.
01:48:41.250 --> 01:48:43.800
It's pretty broad what
they're required to do.
01:48:43.800 --> 01:48:45.180
I won't get into the details here,
01:48:45.180 --> 01:48:49.440
but regarding their
policies and practices
01:48:49.440 --> 01:48:54.180
over a bunch of different
programs that PG&E carries out.
01:48:54.180 --> 01:48:59.180
So in this point where
we're at, is that in late April,
01:48:59.350 --> 01:49:00.753
we received a recommended (indistinct)
01:49:00.753 --> 01:49:03.450
from PG&E for certain activities.
01:49:03.450 --> 01:49:05.390
That's the compliance
audits, the filing audits
01:49:05.390 --> 01:49:08.320
if the safety evaluator is undertake.
01:49:08.320 --> 01:49:11.050
And we're currently looking
through that to determine
01:49:11.050 --> 01:49:12.083
the next steps.
01:49:14.644 --> 01:49:18.220
SEI 19, again, document those
near hit, near miss potential
01:49:18.220 --> 01:49:20.170
fire incidents.
01:49:20.170 --> 01:49:22.240
PG&E is gonna continue to provide us
01:49:22.240 --> 01:49:24.020
quarterly data updates.
01:49:24.020 --> 01:49:25.510
We've now aligned the wording,
01:49:25.510 --> 01:49:28.100
again, I was varying on first specific
01:49:28.100 --> 01:49:30.063
and the decision was near hit.
01:49:30.960 --> 01:49:33.220
WSD also collect similar data,
01:49:33.220 --> 01:49:34.640
but it's called near miss status.
01:49:34.640 --> 01:49:36.950
So we've consolidated
that, and we're gonna
01:49:36.950 --> 01:49:40.450
start receiving the same
reports that WSD does
01:49:40.450 --> 01:49:41.943
or vice versa.
01:49:42.880 --> 01:49:46.950
And those are the reports
that WSD is required to
01:49:46.950 --> 01:49:49.390
that receives per the wild
fire mitigation proceeding
01:49:49.390 --> 01:49:50.600
and plan.
01:49:50.600 --> 01:49:54.590
So that's been resolved
and we're just clearly looking
01:49:54.590 --> 01:49:56.560
through the data as we receive it.
01:49:56.560 --> 01:49:58.660
For the last one this is just a study
01:49:58.660 --> 01:50:00.967
of the distribution and
transmission planning system.
01:50:00.967 --> 01:50:03.262
And this requires again an independent
01:50:03.262 --> 01:50:07.030
engineering firm to study
some of the grounding methods
01:50:07.030 --> 01:50:09.080
and circuits and
transformer configurations
01:50:09.080 --> 01:50:11.340
and PG&E is distribution system
01:50:11.340 --> 01:50:13.350
and their transmission system.
01:50:13.350 --> 01:50:15.720
And then PG&E will
develop a proposed scope
01:50:15.720 --> 01:50:18.700
of work for this study and
then providing it to SED
01:50:18.700 --> 01:50:20.023
for feedback and input.
01:50:21.120 --> 01:50:23.000
So they've reached
out, we've reached out
01:50:23.000 --> 01:50:24.710
to energy division.
01:50:24.710 --> 01:50:27.370
We're looking at that and
looking at this proposed scope
01:50:27.370 --> 01:50:30.950
of work that PG&E has presented
and how that's gonna affect
01:50:30.950 --> 01:50:33.150
distribution and transmission lines.
01:50:33.150 --> 01:50:38.150
And we're kind of at a right now, a road
01:50:38.560 --> 01:50:43.420
in terms of deciding whether
SED and PG&E both agree
01:50:43.420 --> 01:50:45.510
that this would not be
known until we can take a look
01:50:45.510 --> 01:50:47.160
at the studies that
they've actually done
01:50:47.160 --> 01:50:49.900
that the independent
engineering firm has done
01:50:49.900 --> 01:50:52.423
and to decide what
recommendations to adopt.
01:50:54.460 --> 01:50:56.160
Advance to the next slide, please.
01:50:58.280 --> 01:51:00.120
So that's an overview of where we're at
01:51:00.120 --> 01:51:02.230
with this certain system
enhancement initiatives.
01:51:02.230 --> 01:51:05.350
I'm happy to take any
questions regarding those
01:51:05.350 --> 01:51:08.400
or some of the others that
may not have been listed out
01:51:08.400 --> 01:51:09.420
specifically.
01:51:09.420 --> 01:51:11.010
Thank you.
01:51:11.010 --> 01:51:15.040
Nika I wanna thank you,
that was extremely helpful.
01:51:15.040 --> 01:51:17.536
Oftentimes (indistinct)
01:51:17.536 --> 01:51:20.290
how things are going.
01:51:20.290 --> 01:51:25.260
And this (indistinct) that
allowed us to understand
01:51:25.260 --> 01:51:28.130
how things are being
implemented that we ordered.
01:51:28.130 --> 01:51:29.510
Great.
Thanks very much,
01:51:29.510 --> 01:51:30.570
very helpful.
01:51:30.570 --> 01:51:31.793
Just a question.
01:51:33.200 --> 01:51:36.780
This is not really that in
the middle of the things
01:51:36.780 --> 01:51:39.500
you just read, but you
know the workshops
01:51:39.500 --> 01:51:41.750
that there is workshops
you've talked about
01:51:43.080 --> 01:51:45.780
that they have conducted, do you know
01:51:45.780 --> 01:51:47.840
or have they let us know
what kind of attendance
01:51:47.840 --> 01:51:48.870
they're getting?
01:51:48.870 --> 01:51:51.210
I just wonder how well
they communicate that
01:51:51.210 --> 01:51:52.243
to the community.
01:51:53.810 --> 01:51:55.260
Yeah, that's we actually
01:51:55.260 --> 01:51:59.270
so we do have folks
just to kind of back up
01:51:59.270 --> 01:52:00.110
a little bit on your question.
01:52:00.110 --> 01:52:02.840
We do have folks from the
Commission that attempt to attend
01:52:02.840 --> 01:52:05.130
a couple of those meetings
or one in those meetings.
01:52:05.130 --> 01:52:06.790
And what we've done
is we've sent a request
01:52:06.790 --> 01:52:10.330
to PG&E to get like actual
10 desk attendance figures
01:52:10.330 --> 01:52:12.340
from them on who is calling it.
01:52:12.340 --> 01:52:16.230
I do know a while back
we did get some data,
01:52:16.230 --> 01:52:17.063
I'd have to look through it again,
01:52:17.063 --> 01:52:20.580
but I want to say that
there was more participation
01:52:20.580 --> 01:52:22.550
because at the earlier in the pandemic,
01:52:22.550 --> 01:52:24.550
people could just call
in instead of having to go
01:52:24.550 --> 01:52:26.720
to some centralized place to attend.
01:52:26.720 --> 01:52:28.320
But I can get those figures too.
01:52:31.430 --> 01:52:33.453
Thanks. I was
just curious, cause I,
01:52:35.870 --> 01:52:37.320
they're not as very effective
01:52:37.320 --> 01:52:38.840
if you have a handful of people
01:52:38.840 --> 01:52:41.500
and they haven't done the
kind of community outreach
01:52:41.500 --> 01:52:44.040
that we would indeed want.
01:52:44.040 --> 01:52:46.370
So, (indistinct)
01:52:46.370 --> 01:52:48.370
Check on the quarterly
report on the electric
01:52:48.370 --> 01:52:51.740
maintenance work,
I'm interested in that.
01:52:51.740 --> 01:52:53.170
Okay.
Thank you.
01:52:53.170 --> 01:52:55.870
I'll turn to my fellow
Commissioners to see if any of them
01:52:55.870 --> 01:52:57.383
have any questions on Nika.
01:52:58.240 --> 01:53:00.200
Any questions on Nika?
01:53:00.200 --> 01:53:02.263
Yes. Commissioner Guzman Aceves.
01:53:04.440 --> 01:53:05.273
Thank you.
01:53:06.310 --> 01:53:08.270
Couple of questions.
01:53:08.270 --> 01:53:12.433
One is on the initiative
five on the microgrid.
01:53:17.130 --> 01:53:20.640
You know, PG&E has this
other proposal, obviously
01:53:20.640 --> 01:53:23.810
under the Genovese
Commissioner, Sharla's microgrid
01:53:23.810 --> 01:53:26.840
proceeding where you're
proposing a large budget
01:53:26.840 --> 01:53:30.520
for incentivizing
these, and I just wonder
01:53:30.520 --> 01:53:33.760
about the overlap here
and how much of this is...
01:53:35.920 --> 01:53:38.270
Well, what is their
budget for that initiative?
01:53:39.450 --> 01:53:42.160
Let me take a quick
look, cause I'm really,
01:53:42.160 --> 01:53:45.283
quickly to just confirm the
budget that they have for it.
01:53:47.100 --> 01:53:49.370
This requires me to go into my-
01:53:49.370 --> 01:53:50.203
It's okay.
01:53:50.203 --> 01:53:54.157
I just kind of just wondering
about the overlap there.
01:53:54.157 --> 01:53:55.830
The coordination?
01:53:55.830 --> 01:53:57.180
Yeah, there's definitely...
01:53:58.210 --> 01:54:00.143
I'll go ahead, I didn't
mean to interrupt.
01:54:01.400 --> 01:54:02.233
No, go ahead.
01:54:03.260 --> 01:54:06.420
So there's for this,
for the non diesel
01:54:06.420 --> 01:54:08.440
temporary generation
01:54:08.440 --> 01:54:11.490
there's the total shareholder funding of
01:54:11.490 --> 01:54:15.200
up to 10 million allocated to this SEI.
01:54:15.200 --> 01:54:17.360
There is a lot of coordination going on
01:54:17.360 --> 01:54:20.183
between energy
division, I'm aware of that.
01:54:22.030 --> 01:54:24.340
I believe it's the decision I'm...
01:54:24.340 --> 01:54:25.870
There is a lot of coordination going on
01:54:25.870 --> 01:54:27.660
regarding that to make
sure it's compliant.
01:54:27.660 --> 01:54:30.620
That PG&E is compliant
in reaching the goals
01:54:30.620 --> 01:54:32.111
that have been set out in this SEI,
01:54:32.111 --> 01:54:33.640
and then it's also not looking
01:54:33.640 --> 01:54:35.600
with us being determined
they're elsewhere
01:54:35.600 --> 01:54:36.900
in that proceeding.
01:54:36.900 --> 01:54:41.900
So I know that right now
there's like background regarding
01:54:43.300 --> 01:54:47.023
there's been talks of initiating
some sort of pilot program,
01:54:47.890 --> 01:54:50.490
but we've met with energy
division to talk about that.
01:54:50.490 --> 01:54:54.250
And there's a pilot program
that's been tossed around,
01:54:54.250 --> 01:54:56.490
but we haven't yet made a final call
01:54:56.490 --> 01:54:58.530
and utilizing the settlement funds
01:54:58.530 --> 01:55:00.060
so doing such a pilot program.
01:55:00.060 --> 01:55:02.340
And we're kind of talking
to legal as well about that.
01:55:02.340 --> 01:55:05.140
Let's kind of sit inside
our back of the backwards
01:55:05.140 --> 01:55:06.840
stuff that's going on regarding that.
01:55:06.840 --> 01:55:08.930
And I'm happy to fill you in more detail
01:55:08.930 --> 01:55:10.801
as I develop.
01:55:10.801 --> 01:55:11.634
Okay, yeah.
01:55:11.634 --> 01:55:14.010
And if you could just stay
conscious of the overlap there.
01:55:14.010 --> 01:55:16.410
And of course the more that
the shareholders can cover
01:55:16.410 --> 01:55:18.460
on this important
investment, the better.
01:55:19.300 --> 01:55:20.600
Yeah.
Thank you Nika.
01:55:27.470 --> 01:55:29.130
Are there any other questions?
01:55:29.130 --> 01:55:31.123
Yes. Commissioner Rechtschaffen.
01:55:36.220 --> 01:55:37.890
Thank you very much Nika.
01:55:37.890 --> 01:55:40.170
I had a similar question
to President Batjer
01:55:40.170 --> 01:55:44.100
about the town hall in,
01:55:44.100 --> 01:55:46.040
I mean, all interested,
not this who attended
01:55:46.040 --> 01:55:49.720
but what kind of issues were discussed?
01:55:49.720 --> 01:55:53.870
What things were
brought up by the public
01:55:53.870 --> 01:55:56.950
and local government tribal governments?
01:55:56.950 --> 01:55:59.800
So maybe we can follow
up on that at some point.
01:55:59.800 --> 01:56:00.633
Yeah.
01:56:02.260 --> 01:56:03.790
Yes, we can definitely follow up.
01:56:03.790 --> 01:56:06.360
I can have a note to look in that.
01:56:06.360 --> 01:56:08.390
As I mentioned, we
have a reporter inquiry
01:56:08.390 --> 01:56:11.510
into PG&E about like the
specifics of such meetings
01:56:11.510 --> 01:56:14.390
and how they went in like 10
days and what was discussed.
01:56:14.390 --> 01:56:17.073
So I'm happy to pass that
onto you once I receive it.
01:56:19.070 --> 01:56:21.620
I want to make a
couple of comments.
01:56:21.620 --> 01:56:26.620
I wanna know generally that
these kind of remedial programs
01:56:31.030 --> 01:56:36.030
that are very targeted at the
PG&Es safety performance,
01:56:37.320 --> 01:56:41.790
the actions that gave
rise to the violation
01:56:41.790 --> 01:56:45.770
that these orders, these
enforcement orders addressed
01:56:47.200 --> 01:56:50.142
can be very important and very helpful.
01:56:50.142 --> 01:56:54.060
And I'm glad to see the
progress that's been made,
01:56:54.060 --> 01:56:55.663
how closely we're monitoring,
01:56:56.620 --> 01:56:59.650
how carefully we're
coordinating with other programs.
01:56:59.650 --> 01:57:04.650
But most importantly, to
see the manner in which
01:57:05.020 --> 01:57:08.870
they are addressing real
needs that we identified
01:57:08.870 --> 01:57:11.333
and that that SED identified.
01:57:13.740 --> 01:57:15.230
These are not always appropriate
01:57:15.230 --> 01:57:17.870
in all of our enforcement cases.
01:57:17.870 --> 01:57:21.430
I think we want to make
sure that we also have
01:57:22.380 --> 01:57:26.620
penalties financial
penalties to deter violations,
01:57:27.960 --> 01:57:31.660
but these types of remedies,
as when appropriate
01:57:31.660 --> 01:57:33.320
and carefully thought out and targeted
01:57:33.320 --> 01:57:36.240
to the effected
communities has done here
01:57:36.240 --> 01:57:38.900
can be very effective and helpful.
01:57:38.900 --> 01:57:42.460
And of course, these are
shareholder funded initiatives.
01:57:42.460 --> 01:57:47.460
This a part of the penalty
from this enforcement action.
01:57:49.120 --> 01:57:50.970
You did mention a couple of,
01:57:50.970 --> 01:57:53.150
I know you said you
couldn't mention everything
01:57:53.150 --> 01:57:56.240
and I recorded that,
but I do wanna highlight
01:57:56.240 --> 01:57:59.003
a couple that I think
are also important.
01:58:00.198 --> 01:58:02.210
There are two training programs related
01:58:02.210 --> 01:58:04.470
to vegetation management.
01:58:04.470 --> 01:58:05.303
Yeah.
01:58:05.303 --> 01:58:09.370
One of these is a
program for identifying trees
01:58:09.370 --> 01:58:11.810
that are either hazardous or disease
01:58:11.810 --> 01:58:13.113
that need to be trimmed.
01:58:14.100 --> 01:58:17.870
There's another training
program to learn how to perform
01:58:17.870 --> 01:58:21.300
the tree work safely and
that could involve trimming
01:58:21.300 --> 01:58:22.760
or otherwise.
01:58:22.760 --> 01:58:24.140
So these are very important,
01:58:24.140 --> 01:58:28.590
they both rely on highly skilled workers
01:58:28.590 --> 01:58:30.480
and we know how important they are
01:58:30.480 --> 01:58:32.010
and how we've been shorted those,
01:58:32.010 --> 01:58:36.660
especially for PG&E,
it's very encouraging
01:58:36.660 --> 01:58:41.290
that the tree crew program
graduated its first cohort.
01:58:41.290 --> 01:58:43.840
And I hope that here, I
presumed that they're working
01:58:43.840 --> 01:58:45.063
in the field right now.
01:58:46.020 --> 01:58:48.770
That's one very positive program.
01:58:48.770 --> 01:58:51.290
And the second one I
wanna highlight is that
01:58:51.290 --> 01:58:54.620
the order also required
PG&E shareholders
01:58:54.620 --> 01:58:56.927
to contribute several million dollars
01:58:56.927 --> 01:58:59.920
$5 million to the California foundation
01:58:59.920 --> 01:59:03.450
for independent living
to mitigate impacts
01:59:03.450 --> 01:59:06.523
from public safety power shut off.
01:59:07.680 --> 01:59:09.790
That's one of the suite of measures
01:59:09.790 --> 01:59:13.270
that are hopefully are getting
at PG&E most vulnerable
01:59:13.270 --> 01:59:16.153
customers and to deal
with the benefits of PSDs.
01:59:17.060 --> 01:59:19.700
So thank you for the work on this
01:59:19.700 --> 01:59:21.663
and for the very helpful briefing.
01:59:22.620 --> 01:59:23.657
Very welcome.
01:59:23.657 --> 01:59:26.070
And yeah, the programs have been,
01:59:26.070 --> 01:59:28.640
I actually just for the
tree training programs,
01:59:28.640 --> 01:59:30.650
so with PG&E about this one I believe so
01:59:30.650 --> 01:59:32.070
that they've been pretty successful.
01:59:32.070 --> 01:59:33.450
They're planning to ramp it up.
01:59:33.450 --> 01:59:36.293
And they did have a little bit of,
01:59:37.180 --> 01:59:38.440
I don't wanna say a slow start,
01:59:38.440 --> 01:59:41.440
but a little bit of a rocky
start because of COVID
01:59:41.440 --> 01:59:43.570
and having to do some
discussion remotely,
01:59:43.570 --> 01:59:47.710
but it seems like it's,
it's actually pretty popular
01:59:47.710 --> 01:59:50.680
and doing the work that needs to be done
01:59:50.680 --> 01:59:53.850
in getting the folks in there
that need to participate.
01:59:53.850 --> 01:59:58.533
So it's very useful and necessary.
02:00:00.480 --> 02:00:01.313
Thank you.
02:00:01.313 --> 02:00:05.590
I think Commissioner
Houck, I'm sorry Genevieve.
02:00:05.590 --> 02:00:08.140
Commissioner Houck I
think has her arm ready first.
02:00:11.460 --> 02:00:12.450
Thank you.
02:00:12.450 --> 02:00:16.120
I just wanted to ask
you referenced in one of,
02:00:16.120 --> 02:00:18.450
I think in SEI-19 about reporting
02:00:18.450 --> 02:00:20.660
with the wildfire mitigation plan.
02:00:20.660 --> 02:00:22.010
Can you discuss a little bit
02:00:22.010 --> 02:00:25.730
of your coordination with
the wildfire safety division
02:00:25.730 --> 02:00:28.290
and whether these measures,
02:00:28.290 --> 02:00:31.030
the expectation is that
they're gonna continue to be
02:00:31.030 --> 02:00:33.600
included regarding the mitigation plans
02:00:33.600 --> 02:00:37.133
even after the division moves
over to the resource agency?
02:00:38.220 --> 02:00:39.053
Yes.
02:00:39.053 --> 02:00:40.820
So first of all, I'll
preface it with it.
02:00:40.820 --> 02:00:43.580
I'm in talks with folks from
Wildfire Safety Division
02:00:43.580 --> 02:00:44.790
on a daily basis.
02:00:44.790 --> 02:00:46.650
We're pretty like joined at the hip
02:00:46.650 --> 02:00:47.900
with the amount of work that we do
02:00:47.900 --> 02:00:50.620
especially with regards
to vegetation management
02:00:50.620 --> 02:00:53.110
and our enhanced vegetation management
02:00:53.110 --> 02:00:54.410
that they oversee as well
02:00:54.410 --> 02:00:57.340
as the wildfire mitigation
plan with WMTS.
02:00:57.340 --> 02:01:00.500
So we have a strong relationship
02:01:00.500 --> 02:01:03.260
with staff and we'll continue
this coordination even
02:01:03.260 --> 02:01:06.093
as they exit and become OEIS.
02:01:07.060 --> 02:01:09.520
I don't see that changing
at all in having any sort
02:01:09.520 --> 02:01:13.500
of impact on our ability to
coordinate and, you know,
02:01:13.500 --> 02:01:18.500
double had these a SEI
that PG&E is undertaking
02:01:19.039 --> 02:01:23.663
that relate to wildfire safety
and vegetation management.
02:01:26.560 --> 02:01:27.393
Thank you.
02:01:27.393 --> 02:01:30.750
And I appreciate this update
and I'm sure we'll get more
02:01:30.750 --> 02:01:32.530
as we move through this whole process
02:01:32.530 --> 02:01:33.950
but this has been really informative.
02:01:33.950 --> 02:01:34.950
So thank you.
02:01:34.950 --> 02:01:36.623
Great. You're welcome.
02:01:38.200 --> 02:01:40.940
Okay, good.
Commissioner Shiroma.
02:01:40.940 --> 02:01:42.450
Thank you, President.
02:01:42.450 --> 02:01:44.800
Thank you Nika excellent presentation,
02:01:44.800 --> 02:01:46.980
appreciate all the details.
02:01:46.980 --> 02:01:51.074
On the 1.823 Billion
02:01:51.074 --> 02:01:53.570
and this allows a related expenditures.
02:01:53.570 --> 02:01:58.570
So in other words, 1.8
we required 1.82 billion
02:01:59.350 --> 02:02:03.113
from shareholders to be used for,
02:02:05.270 --> 02:02:09.710
to defray, to defray also
related expenditures.
02:02:09.710 --> 02:02:14.410
And I imagine that that
includes the panoply of
02:02:14.410 --> 02:02:16.597
things in the walls
time mitigation plans
02:02:16.597 --> 02:02:21.123
the PG&E hardening vegetation
management and so forth.
02:02:22.020 --> 02:02:27.020
Are we sure that the
monies are forthcoming
02:02:27.690 --> 02:02:29.880
and the accounting
is there to track that,
02:02:29.880 --> 02:02:32.790
to assure that that is being defrayed
02:02:32.790 --> 02:02:36.657
and the customers
will not cover those cost
02:02:38.613 --> 02:02:41.293
of 1.823 billion that they required?
02:02:42.980 --> 02:02:45.060
If I'm not mistaken
Commissioner Shiroma
02:02:45.060 --> 02:02:49.350
there is under one of the, I
would have to look at my notes
02:02:49.350 --> 02:02:50.810
right now because
there's so many against
02:02:50.810 --> 02:02:52.740
one system (speaks faintly) initiative.
02:02:52.740 --> 02:02:56.570
One of the independent
evaluators job is to
02:02:56.570 --> 02:02:58.080
assess the costs that are
02:02:58.080 --> 02:03:00.280
and make sure they're not going awry
02:03:00.280 --> 02:03:02.330
or being allocated elsewhere.
02:03:02.330 --> 02:03:03.163
So, yes.
02:03:04.610 --> 02:03:05.687
Okay. Thank you.
02:03:08.350 --> 02:03:10.363
Any other questions of Nika?
02:03:11.760 --> 02:03:13.560
Okay, great presentation.
02:03:13.560 --> 02:03:14.530
Thank you very much.
02:03:14.530 --> 02:03:15.363
This was really helpful.
Great.
02:03:15.363 --> 02:03:16.745
Quite do all enjoyed it.
02:03:16.745 --> 02:03:18.083
Thank you for having me.
02:03:19.700 --> 02:03:22.433
Are we, we are most
appreciative of avenue.
02:03:23.870 --> 02:03:26.420
Okay. And thank you, Rachel also
02:03:26.420 --> 02:03:30.260
for making the suggestion
that we have this update
02:03:30.260 --> 02:03:32.180
and I think it was extremely helpful.
02:03:32.180 --> 02:03:34.760
So I appreciate it very much.
02:03:34.760 --> 02:03:37.450
Okay. We're now at
the point in the agenda
02:03:37.450 --> 02:03:41.070
where we're moving to
the Commissioners reports.
02:03:41.070 --> 02:03:43.263
Who would like to report first today?
02:03:46.730 --> 02:03:47.683
Anybody?
02:03:48.810 --> 02:03:51.710
Okay. Commissioner
Houck, you go first.
02:03:51.710 --> 02:03:52.543
Okay. Thank you.
02:03:52.543 --> 02:03:56.440
And I have a brief report
that I wanna acknowledge,
02:03:56.440 --> 02:04:00.080
the California Energy
Commission tribal resiliency
02:04:00.080 --> 02:04:03.740
conference that is finishing up today,
02:04:03.740 --> 02:04:07.820
both yesterday, Ken
Holbrook, our tribal advisor
02:04:07.820 --> 02:04:10.410
Commissioner Guzman
Aceves, and I all participated
02:04:10.410 --> 02:04:13.050
in different portions of the conference.
02:04:13.050 --> 02:04:17.830
And it was opened up by
the keynote from the Governor
02:04:17.830 --> 02:04:19.600
which was great to
see the Governor there
02:04:19.600 --> 02:04:22.620
reinforcing his
commitment to tribal issues
02:04:22.620 --> 02:04:27.320
and all of the great
initiatives he's put forward.
02:04:27.320 --> 02:04:32.320
So I was very proud
of being able to be there
02:04:32.330 --> 02:04:35.640
and be appointed by Governor
Newsome to this position
02:04:35.640 --> 02:04:37.950
with the positions
you've taken tribal issues.
02:04:37.950 --> 02:04:42.700
So I wanted to acknowledge
that as well as again,
02:04:42.700 --> 02:04:46.900
the role it can Holbrook
our tribal advisor assisted
02:04:46.900 --> 02:04:48.920
and planning for the conference
02:04:48.920 --> 02:04:52.850
and helped facilitate
some of the sessions.
02:04:52.850 --> 02:04:56.880
And I wanted to thank my
advisor, Mary Claire Brown
02:04:56.880 --> 02:05:01.400
for also assisting with
participating in the planning group
02:05:01.400 --> 02:05:04.760
for the conference and
they had a great turnout.
02:05:04.760 --> 02:05:07.693
I think there was over 150 participants.
02:05:09.580 --> 02:05:11.900
Majority of which were
tribal representatives.
02:05:11.900 --> 02:05:14.620
And I am looking forward to working
02:05:15.840 --> 02:05:18.460
with our staff and with the
energy Commission going forward
02:05:18.460 --> 02:05:21.130
on tribal energy issues.
02:05:21.130 --> 02:05:25.160
And I also would like
to note moving over to
02:05:25.160 --> 02:05:27.800
the general rate case for
golden state water company,
02:05:27.800 --> 02:05:30.340
that we're gonna be holding
some public participation
02:05:30.340 --> 02:05:32.170
hearings next week.
02:05:32.170 --> 02:05:34.740
And the proceeding is
going to determine the water
02:05:34.740 --> 02:05:38.740
service rates for 2022 through 2024
02:05:38.740 --> 02:05:41.670
for several counties,
including Los Angeles.
02:05:41.670 --> 02:05:44.420
We're planning to hold
two hearings on May 25th
02:05:44.420 --> 02:05:48.200
one at 1:30 p.m. and one at 6:30 p.m.
02:05:48.200 --> 02:05:50.583
There'll be one hearing on May 26th
02:05:50.583 --> 02:05:55.583
at 6:30 p.m. and two
hearings on May 27th,
02:05:56.193 --> 02:06:00.470
one at 1:30 in the afternoon
and one at 6:30 in the evening.
02:06:00.470 --> 02:06:02.960
So all of these hearings
are gonna be held remotely.
02:06:02.960 --> 02:06:04.570
I encourage customers
02:06:04.570 --> 02:06:08.190
within the golden state service
area to provide comments
02:06:08.190 --> 02:06:11.400
during the PPHs and you
can find out more information
02:06:11.400 --> 02:06:15.200
on how to participate on our
website at the daily calendar.
02:06:15.200 --> 02:06:19.193
And with that, that will
conclude my report for today.
02:06:21.200 --> 02:06:23.045
Thank you, Commissioner Houck.
02:06:23.045 --> 02:06:25.370
Commissioner Shiroma.
02:06:25.370 --> 02:06:27.040
Thank you President Batjer.
02:06:27.040 --> 02:06:29.560
Yes. I want to announce
that registration has opened
02:06:29.560 --> 02:06:32.930
for the 2021 Western neighbors meeting
02:06:32.930 --> 02:06:37.170
is taking place virtually
on June 7th and 8th.
02:06:37.170 --> 02:06:39.710
The conference topics
will enhance coordination
02:06:39.710 --> 02:06:41.930
among public utilities, Commissions
02:06:41.930 --> 02:06:45.110
and regulated entities
from the Western states
02:06:45.110 --> 02:06:49.090
on managing extreme weather
events, leveraging hydrogen
02:06:49.090 --> 02:06:52.790
and deployment electric
vehicles among other topics.
02:06:52.790 --> 02:06:55.950
We'll have a Commissioner
Grill at the end
02:06:55.950 --> 02:06:58.540
where Commissioners like
myself will answer questions
02:06:58.540 --> 02:07:00.000
rapid fire.
02:07:00.000 --> 02:07:03.640
And I want to assure our
general council that associates
02:07:03.640 --> 02:07:06.574
with the help of my legal
advisor and chief of staff
02:07:06.574 --> 02:07:11.530
(indistinct) that no ex
party communications
02:07:11.530 --> 02:07:12.963
are anticipated to occur.
02:07:13.890 --> 02:07:16.070
We will also have a panel highlighting
02:07:16.070 --> 02:07:18.340
the Commissioner's
work on the environmental
02:07:18.340 --> 02:07:22.870
and social justice action
plans and tribal consultations.
02:07:22.870 --> 02:07:26.960
Participants will hear from
two of our ESG plan staff,
02:07:26.960 --> 02:07:30.630
Monica Palmieri, and Nicole Pavard
02:07:30.630 --> 02:07:35.630
and our travel advisor, Ken
Hebert, and Kenny Myers
02:07:35.700 --> 02:07:37.890
the executive director and counsel
02:07:37.890 --> 02:07:41.010
from the national
Indian Justice Centers.
02:07:41.010 --> 02:07:45.270
And evidently again,
California is leading the way
02:07:45.270 --> 02:07:50.270
on both ESG and also tribal advisors.
02:07:50.696 --> 02:07:54.080
For more information register at the end
02:07:54.080 --> 02:07:57.123
to visit the website
at western.naruc.org.
02:07:59.460 --> 02:08:01.910
And I wanna remind our Commission staff
02:08:01.910 --> 02:08:05.710
to join us tomorrow at
lunchtime for us third event
02:08:05.710 --> 02:08:08.910
celebrating the Asian Pacific
American heritage month.
02:08:08.910 --> 02:08:11.620
We're fortunate to have
pioneering and renowned scholars
02:08:11.620 --> 02:08:15.057
and practitioners, Gil
Monamy, professor Bill Haighes
02:08:15.057 --> 02:08:18.860
and professor Chen to
focus on laws and policies
02:08:18.860 --> 02:08:20.820
affecting immigration patterns,
02:08:20.820 --> 02:08:23.840
the treatment of the Asian
Pacific American community
02:08:23.840 --> 02:08:26.740
and the United States,
and the challenges faced
02:08:26.740 --> 02:08:27.953
by immigrants.
02:08:29.419 --> 02:08:31.710
Report to your attendance
at same time tomorrow.
02:08:31.710 --> 02:08:34.540
And then my last report
is I wanna announce
02:08:34.540 --> 02:08:37.730
the new interim advisor who
joined my team this week,
02:08:37.730 --> 02:08:39.250
Andrew Duvaton.
02:08:39.250 --> 02:08:42.480
Andrew is joining my
team on an interim basis
02:08:43.370 --> 02:08:46.860
as my advisor, Christina Chan gave birth
02:08:46.860 --> 02:08:51.053
to her beautiful daughter
Sydney yesterday morning.
02:08:54.810 --> 02:08:55.930
A joyful event
02:08:56.940 --> 02:08:59.440
Andrew Hill from the
Commission's consumer protection
02:08:59.440 --> 02:09:02.580
and of (indistinct)
division where he advised
02:09:02.580 --> 02:09:05.030
on the development
of transportation policy
02:09:05.030 --> 02:09:07.830
and regulation including
autonomous vehicles
02:09:07.830 --> 02:09:10.320
and transportation that were companies.
02:09:10.320 --> 02:09:12.080
Prior to joining the Commission
02:09:12.080 --> 02:09:15.430
andrew spent nine years
working for an electric utility
02:09:15.430 --> 02:09:18.660
on a variety of matters,
including locket design,
02:09:18.660 --> 02:09:22.680
energy and environmental
policy, energy resource valuation
02:09:22.680 --> 02:09:26.250
and partners with community
based organizations.
02:09:26.250 --> 02:09:30.720
Andrew has a BA in
mathematics from Pomona college.
02:09:30.720 --> 02:09:34.580
He will be advising me on
energy and transportation matters.
02:09:34.580 --> 02:09:36.340
Welcome to the team, Andrew
02:09:36.340 --> 02:09:38.860
and a big congratulations to Christina
02:09:38.860 --> 02:09:40.143
and her hubby Garland.
02:09:41.330 --> 02:09:42.163
Thank you.
02:09:46.400 --> 02:09:48.053
We are all clapping.
02:09:48.950 --> 02:09:49.783
For both.
02:09:51.960 --> 02:09:53.940
Let's see, Commissioner
Rechtschaffen did you have,
02:09:53.940 --> 02:09:54.773
wanted to make...?
02:09:54.773 --> 02:09:57.920
Okay. Commissioner Guzman Aceves?
02:09:57.920 --> 02:09:59.550
Okay. All right.
02:09:59.550 --> 02:10:00.950
Well then I have
a brief report.
02:10:00.950 --> 02:10:02.400
First, I'd like to report
02:10:02.400 --> 02:10:04.550
that I participated in
the assembly utilities
02:10:04.550 --> 02:10:07.950
and energy committee oversight
hearing on summer readiness
02:10:07.950 --> 02:10:12.370
this past Tuesday accompanying
me before the committee
02:10:12.370 --> 02:10:15.290
were chaired David Hochschild
of the Energy Commission
02:10:15.290 --> 02:10:18.040
and Elliot Mainzer CEO
02:10:18.040 --> 02:10:20.340
and president of the California
Independent System Operator.
02:10:20.340 --> 02:10:25.120
Also from our staff in
attendance with me were
02:10:25.120 --> 02:10:27.823
Edward Randolph and Grant Mark.
02:10:29.130 --> 02:10:30.380
Before the committee and the public
02:10:30.380 --> 02:10:34.010
we outlined the numerous
tasks each of organizations
02:10:34.010 --> 02:10:37.280
and partners have completed
to better position the state
02:10:37.280 --> 02:10:42.280
for this summers heat and so forth.
02:10:44.450 --> 02:10:47.200
So for the CPUCS part, I reported
02:10:47.200 --> 02:10:50.340
that we have facilitated
the direct procurement
02:10:50.340 --> 02:10:53.460
of capacity and the
establishment of new programs
02:10:53.460 --> 02:10:56.040
that will meaningfully increase demand
02:10:56.040 --> 02:11:00.680
and supply side resources for
this summer and indeed next.
02:11:00.680 --> 02:11:05.040
The combination of prior
Commission directives
02:11:05.040 --> 02:11:07.420
and those are the past few
months mean there should be
02:11:07.420 --> 02:11:12.420
between 303,500 megawatts of
new capacity online this summer
02:11:13.360 --> 02:11:14.723
compared to last summer.
02:11:16.310 --> 02:11:19.540
And over the next three years
in additional 8,000 megawatts
02:11:19.540 --> 02:11:23.940
of new solar wind and storage
projects will come online.
02:11:23.940 --> 02:11:26.930
In this era of climate
change and severe weather,
02:11:26.930 --> 02:11:31.510
no one can predict with 100% certainty
02:11:31.510 --> 02:11:33.550
what is going to happen in the summer,
02:11:33.550 --> 02:11:38.280
but given all the work to PUCC,
CEC and Cal ISO have done
02:11:39.200 --> 02:11:42.870
to date, we have guarded optimism
02:11:42.870 --> 02:11:46.550
that we have positioned
the state to avoid serious
02:11:46.550 --> 02:11:49.410
and widespread outages this summer.
02:11:49.410 --> 02:11:53.040
Lastly, I would like to
highlight a couple of major items
02:11:53.040 --> 02:11:55.660
announced when the Governor
released the May revise
02:11:56.600 --> 02:12:00.610
to his January proposed
budget last Friday.
02:12:00.610 --> 02:12:04.190
May revision includes $912 million
02:12:05.260 --> 02:12:07.260
to accelerate California's progress
02:12:07.260 --> 02:12:09.210
on meeting its clean energy goals
02:12:09.210 --> 02:12:11.230
and to better position California
02:12:11.230 --> 02:12:13.930
as the leader in
advancing clean technology.
02:12:13.930 --> 02:12:17.340
And as a leading partner
with the federal administration
02:12:17.340 --> 02:12:20.740
tackling climate change
in stimulating the economy.
02:12:20.740 --> 02:12:23.370
That's nearly a billion
dollars that the Governor
02:12:23.370 --> 02:12:25.400
has put forth and proposed.
02:12:25.400 --> 02:12:27.910
Proposed in the package
is funding to carry out
02:12:27.910 --> 02:12:30.710
critical resource and
transmission planning
02:12:30.710 --> 02:12:34.030
to support the
unprecedented levels of clean
02:12:34.030 --> 02:12:36.680
energy build-out needed
to meet the state's energy
02:12:36.680 --> 02:12:37.610
and climate goals.
02:12:37.610 --> 02:12:40.390
And in addition, there
are major investments
02:12:42.230 --> 02:12:45.090
that are proposed to
support the pre-commercial
02:12:45.090 --> 02:12:47.640
long duration storage project,
02:12:47.640 --> 02:12:50.510
energy efficiency in
the industrial sector,
02:12:50.510 --> 02:12:53.130
development of offshore wind energy,
02:12:53.130 --> 02:12:55.510
as well as green hydrogen production
02:12:55.510 --> 02:12:57.510
to accelerate the transition away
02:12:57.510 --> 02:13:00.600
from using fossil fuels
to produce hydrogen
02:13:00.600 --> 02:13:05.600
and to displace the use
of gas at the power plant.
02:13:05.770 --> 02:13:08.850
May revision also
reflects the commitments
02:13:08.850 --> 02:13:10.840
stated in the Governor's January budget
02:13:10.840 --> 02:13:13.320
to develop Statewide access
02:13:13.320 --> 02:13:16.220
to high-speed broadband
internet service.
02:13:16.220 --> 02:13:21.220
I proposing $7 billion in
investments over three years
02:13:21.500 --> 02:13:25.640
as part of the plan to expand
broadband in infrastructure
02:13:25.640 --> 02:13:28.730
increase affordability
and enhance access
02:13:28.730 --> 02:13:31.290
to broadband for all Californians.
02:13:31.290 --> 02:13:35.830
Key elements include
4 billion for a Statewide
02:13:35.830 --> 02:13:37.700
middle mile network,
02:13:37.700 --> 02:13:41.290
2 billion for the California
advanced services fund
02:13:42.180 --> 02:13:46.610
to incentivize existing and
new provisions, excuse me,
02:13:46.610 --> 02:13:51.610
new providers to fund
infrastructure for the last mile
02:13:52.660 --> 02:13:56.610
service to the states remaining
un-served households.
02:13:56.610 --> 02:13:59.870
We look forward to
informing the legislature
02:13:59.870 --> 02:14:04.870
on how these proposals
that are critical to CPUC
02:14:05.141 --> 02:14:08.220
and how we will be
fulfilling its mission
02:14:08.220 --> 02:14:11.750
to empower California's
through access, to safe,
02:14:11.750 --> 02:14:15.790
clean and affordable utility
services and infrastructure.
02:14:15.790 --> 02:14:19.150
So with that, that finishes
our Commissioners reports.
02:14:19.150 --> 02:14:22.880
I thank you all very
much for joining us today
02:14:22.880 --> 02:14:27.250
at today's meeting and the
public meeting is now adjourned.
02:14:27.250 --> 02:14:28.260
Thank you all.
02:14:30.878 --> 02:14:32.424
And this concludes
today's conference.
02:14:32.424 --> 02:14:34.757
Thank you for participating.