HomeMy WebLinkAbout2016 Southern California Edison Company- SCE Application for Walker A.Matthews,III
SOUTHERN CALIFORNIA Senior Attorney
ED I S O N Walker.Matthews@sce.com
An FOISCIN INTLRNATIO.NIAL�'Company
December 12, 2016
Re: Southern California Edison Company's Application for
Cost Recovery of the Wheeler North Reef Expansion
Project Marine Mitigation Costs.
To Whom It May Concern:
On December 1, 2016, Southern California Edison Company(SCE) and San Diego Gas &
Electric Company(SDG&E) filed a joint application with the California Public Utilities
Commission (CPUC) requesting approval of cost recovery of the Wheeler North Reef(WNR)
Expansion Project marine mitigation costs. The application is described in general terms in the
enclosed notice that will also be included as a bill insert to SCE's application and supporting
attachments on our website. Please go to www.sce.com, Regulatory Information, CPUC Open
Proceedings, and search for"A. 16-12-002" You may also request a copy of these documents from
SCE at the address listed in the enclosed notice.
Very truly yours,
/s/ Walker A. Matthews
Walker A. Matthews, III
Enclosure(s)
P.O.Box 800 2244 Walnut Grove Ave. Rosemead,California 91770 (626)302-3860 Fax(626)302-6693
Los usuarios con acceso al Internet podran leer y descargar esta notificaci6n en espaiiol en el sitio Web de
SCE www.sce.com/avisos o escriba a:
Southern California Edison Company
P.O. Box 800
2244 Walnut Grove Avenue Rosemead, CA 91770
Atenci6n: Comunicaciones Corporativas
NOTIFICATION OF SOUTHERN CALIFORNIA EDISON COMPANY'S
REQUEST TO INCREASE RATES FOR COSTS RELATED TO THE
WHEELER NORTH REEF EXPANSION MARINE MITIGATION
PROJECT
APPLICATION FILING NO. A. 16-12-002
SUMMARY
On December 1, 2016, Southern California Edison Company (SCE) and San Diego Gas &
Electric Company (SDG&E) filed a joint application with the California Public Utilities
Commission (CPUC)requesting approval to increase rates for the recovery of costs associated
with the Wheeler North Reef(WNR)Expansion Project.' This application seeks to recover costs
associated with the WNR expansion project directed by the California Coastal Commission
(CCC). The WNR Expansion Project was not included in SCE's 2018 General Rate Case (GRC)
Application(described below). If approved, this application would result in SCE customers
experiencing an overall increase of$28.072 million between 2018 and 2020.
ABOUT THE APPLICATION
SCE is the licensed operator of San Onofre Nuclear Generating Station(SONGS) and majority
owner. As such, SCE is responsible for 78.21% of any costs incurred in relation to SONGS and
maintaining compliance with various regulatory agencies regarding SONGS. SCE is also
responsible for filing SONGS related costs in its GRC. In Decision D.15-11-021 the CPUC
determined that costs related to SCE's compliance with marine mitigation projects related to
SONGS should be recorded as cost of service and recovered through customer rates. This
decision also allowed SCE and SDG&E to submit a separate application to recover costs for any
additional marine mitigation projects not included in SCE's GRC requests.
The CCC directed SCE to implement an expansion project for the WNR marine mitigation
project located near SONGS to improve the performance of the reef.Due to timing these costs
were unable to be included in the 2018 GRC. As a result, SCE and SDG&E are filing this
separate application to recover those additional costs.
1 SCE owns a 78.21%interest in SONGS Units 2&3.SDG&E owns a 20%interest in SONGS 2&3. The City of
Riverside owns the remaining 1.79%interest in SONGS Units 2&3.
r
IMPACT ON RATES
If the CPUC approves this application, customer rates will not be affected until 2019, and will
result in an estimated 0.12% system average rate increase relative to currently forecasted
rates for 2019 and 2020.
The following table is representative of the estimated rate impact by customer group if this
application is approved by the CPUC. Based on the revenue requirement forecasts for 2019 and
2020,this rate increase will remain in effect for 2019 and 2020 (i.e., the rate increase in 2019
will remain in effect for two years, 2019 and 2020). If the CPUC approves this application, a
typical non-CARE residential customer living in inland areas of Ventura and Los Angeles
counties (baseline region 9) and using 500 kilowatt-hours per month could see a monthly bill
increase of 0.005%, or$0.00, from a typical current monthly bill of$90.06 to $90.06 for 2018,
an increase of 0.12%, or$0.10, from a typical current monthly bill of$90.06 to $90.16 for 2019
and, an increase of 0.13%, or$0.12, from a typical current monthly bill of$90.06 to $90.18 for
2020.
SOUTHERN CALIFORNIA EDISON COMPANY'S ILLUSTRATIVE 2018-2020 RATE
IMPACTS
System Revenues 010
F4,729,345
nues Proposed Revenues Y.Change over Current Rates Proposed Rates
Customer Group $000 Current ¢/kWh l�l 0/kWh
Residential 276 0.01% 17.15 17.15
Lighting-Small and Medium Power9 187 0.00% 15.59 15.59
Large Power , , 9 66 0.00% 10.78 10.78
Agricultural and Pumping 387,371 16 0.00% 11.86 11.86
Street and Area Lighting 126,305 1 0.00% 17.04 17.04
,Standby 257,361 7 0.00% 8.97 8.97
Total 11,417,570 553, 0,00% 14.87 14.87
[11 "Current"=June 01,2016 rates with 2018 forecasts
System Revenues 111
F4,655,571
nues Proposed Revenues %Change over Current Rates Proposed Rates
Customer Group $000 Current ¢/kWh 121 0/kWh
Residential 6,660 0.14% 17.18 17.20
Lighting-Small and Medium Power8 4,619 0.11% 15.59 15.61
Large Power , , 8 1,639 0.09% 10.79 10.79
Agricultural and Pumping 390,572 392 0.10% 11.85 11.87
Street and Area Lighting 126,878 25 0.02% 16.92 16.93
,Standby 257,368 167 0.06% 8.97 8.98
rorai` 11,393,715 13,502 0.12% 14.86 14.87
[21"Current"=June 01,2016 rates with 2019 forecasts
System Revenues 111
Current Revenues Proposed Revenues %Change over Current Rates Proposed Rates
Customer Group $000 [31 $000 Current 0/kWh (31 0/kWh
Residential 4,543,072 7,279 0.16% 17.18 17.21
Lighting Small and Medium Power 4,135,096 4,734 0.11% 15.66 15.68
Large Power 1,823,604 1,395 0.08% 10.82 10.83
Agricultural and Pumping 391,166 436 0.11% 11.89 11.90
Street and Area Lighting 127,471 28 0.02% 16.81 16.81
Standby 257,368 144 0.06% 8.97 8.98
NOW 11,277,777 14,017 0.12% 14.87 14,89
[31 "Current"=June 01,2016 rates with 2020 forecasts
FOR FURTHER INFORMATION ABOUT SCE'S APPLICATION
You may review a copy of this application and related exhibits at SCE's corporate headquarters
(2244 Walnut Grove Avenue, Rosemead, CA 91770).
Customers with Internet access may view and download SCE's application and related exhibits
on SCE's website at http://on.sce.com/22WRclzt, or by visiting www.sce.com/applications,
typing "A.16-12-002" into the Search box, and clicking "Go." If you have technical issues
accessing the documents through the website, please e-mail case.admin(&sce.com for assistance
(be sure to reference proceeding A.16-12-002 in your e-mail).
To request a hard copy of this application and related exhibits, or to obtain more information
about this application from SCE, please write to:
Southern California Edison Company
A.16-12-002 — SCE's Marine Mitigation Application
P.O. Box 800
Rosemead, CA 91770
Attention: June Bote
In addition, a copy of this application may be reviewed at the CPUC's Central Files Office,
located in San Francisco, CA, by appointment. For more information, please contact the CPUC
at alicentralfilesidAmuc.ca.gov or(415) 703-2045.
CPUC PROCESS
This application will be assigned to an Administrative Law Judge (Judge) who will determine
how to receive evidence and other related documents necessary for the CPUC to establish a
record upon which to base its decision. Evidentiary Hearings (EHs) may be held where parties of
record will present their testimony and may be subject to cross-examination by other parties.
These EHs are open to the public, but only those who are parties of record can participate.
After considering all proposals and evidence presented during the formal hearing process, the
assigned Judge will issue a proposed decision which may adopt SCE's application as proposed,
modify it, or deny it. Any CPUC Commissioner may sponsor an alternate decision. The proposed
decision, and any alternate decisions, will be discussed and voted upon at a scheduled CPUC
Voting Meeting.
The Office of Ratepayer Advocates (ORA) may review this application on behalf of SCE's
customers. ORA is the independent consumer advocate within the CPUC with a legislative
mandate to represent investor-owned utility customers to obtain the lowest possible rate for
service consistent with reliable and safe service levels. ORA has a multi-disciplinary staff with
expertise in economics, finance, accounting, and engineering. For more information about ORA,
please call (415) 703-1584, e-mail ora(&cpuc.ca.gov or visit ORA's website at
www.ora.ca.gov/.
STAY INFORMED
If you would like to follow this proceeding, or any other issue before the CPUC, you may use the
CPUC's free subscription service. Sign up at: http://subscribecpuc.cpuc.ca.gov/.
If you would like to learn how you can participate in this proceeding,provide public comments,
or if you have questions about any CPUC processes, you may access the CPUC's Public
Advisor's Office (PAO) webpage at www.cpuc.ca.gov/pao/. You may also contact the PAO as
follows:
Phone: 1-866-849-8390 (toll-free) or 1-415-703-2074
TTY 1-866-836-7825 (toll-free) or 1-415-703-5282
Or write to: CPUC
Public Advisor's Office
505 Van Ness Avenue
San Francisco, CA 94102
Email: public.advisor(acpuc.ca.gov
The CPUC will also accept public comments on this application. Please reference SCE and
SDG&E's Joint Marine Mitigation Application Number A.16-12-002 in any communications
you have with the CPUC regarding this matter. All public comments will become part of the
public correspondence file for this proceeding and made available for review for the assigned
Judge, the Commissioners, and appropriate CPUC staff.
Los usuarios con acceso al Internet podran leer y descargar esta notificacion en espanol
en el sitio Web de SCE www,sce.com/avisos, o escriba a la atencion de las
Comunicaciones Corporativas.
Southern California Edison Company
2244 Walnut Grove Avenue
Rosemead, CA 91770
SOUTHERN CALIFORNIA EDISON COMPANY (SCE)
NOTICE OF FILING OF GENERAL RATE CASE APPLICATION
IMPORTANT INFORMATION ABOUT SCE'S REQUESTED RATE
INCREASE
APPLICATION NO. (A.) 16-09-001 j
On September 1, 2016, Southern California Edison Company (SCE) filed a General Rate
Case (GRC) Application with the California Public Utilities Commission (CPUC) requesting
authority to increase base rate (non-fuel) revenues. SCE is requesting to increase its
revenue requirement for 2018 — 2020 as follows:
• 2018: $222 million (2.7% increase over presently authorized total rates)
2019: Additional $533 million (4.2%)
• 2020: Additional $570 million (5.2%)
TOTAL: Cumulative $1.325 billion (12.1%) revenue requirement increase over 3
years'
At the request of the CPUC, SCE's request for 2018 includes approval of $48 million in
one-time costs recorded in several balancing and memorandum accounts.
Every three years, SCE is required to file a GRC application that starts a proceeding in
which the CPUC sets annual revenue levels. Annual revenue is the total amount of
money a utility collects through rates in a given year, for specific purposes. Base rate
revenues pay for the costs of owning and operating electric distribution and generation
facilities (excluding fuel and purchased power related costs).
1 The percentage increases represent the average increase. Individual customers may see lower or higher bill
increases due to their individual energy consumption.
1
THE KEY REASONS FOR SCE'S PROPOSED INCREASE
The primary reasons for the requested revenue increases are:
1. Keeping the electric grid safe for the public and for SCE workers;
2. Reinforcing grid reliability, and grid resiliency in case of an emergency;
3. Modernizing the electric grid to integrate distributed energy resources without
compromising safety and reliability; and
4. Improving customer service and communication, and offering customers more
choices to meet their needs.
WHAT THIS PROPOSED GRC APPLICATION MEANS TO YOU
If the CPUC approves the application, the impact on non-CARE residential customers
who use the system-wide average of 600 kWh per month would be about $3.75 a
month in 2018. In 2019, the monthly increase would be about $5.65 and in 2020, the
monthly increase would be about $7.29. The Table below shows the proposed rate
increase by customer group, based on the most recent method approved by the CPUC:
2
Proposed Rate Increase by Customer Group'
System Revenues Bundled /kWh
Customer Current Proposed Revenue % Current Proposed Proposed %Rate
Group Revenues Revenues Increase Revenue Rates Rates Rate Increase
Increase 4/kWh Increase
Residential 4,729,345 4,891,392 162,047 3.43% 17.15 17.73 0.58 3.38%
Lighting- 4,112,709 4,217,870 105,161 2.56% 15.59 15.97 0.38 2.44%
Small and
Medium
Power
Large 1,804,479 1,838,691 34,212 1.90% 10.78 10.95 0.17 1.58%
Power
Agricultural 387,371 395,781 8,410 2.17% 11.86 12.11 0.25 2.11%
&Pumping
Street& 126,305 126,602 297 0.24% 17.04 17.08 0.04 0.23%
Area
Lighting
Standby 257,361 260178 2,817 1.09% 8.97 9.04 0.07 0.78%
Total 11 417,57 1 11,730,515 1 312,945 1 2.74% 14.87 1 15.26 0.39 1 2.62%
FOR FURTHER INFORMATION ABOUT SCE'S APPLICATION
You may review a copy of SCE's application and related exhibits at SCE's corporate
headquarters (2244 Walnut Grove Avenue, Rosemead, CA 91770).
Customers with Internet access may view and download SCE's application and related
exhibits on SCE's website. Please do the following:
1) Go to www,sce.com/ar)Dlications;
2) Scroll down to "2018 GRC" and click on the link;
3) The 2018 GRC application and testimony are presented in Adobe Acrobat (pdf)
format and can be viewed online, printed, or saved to your hard drive.
If you have technical issues accessing the documents through the website, please e-
mail case.admin@sce.com for assistance (be sure to reference proceeding A.16-09-
001 in your e-mail).
Anyone who would like to obtain more information about this application from SCE,
please write to:
Southern California Edison Company
A.16-09-001 — SCE's 2018 GRC
P.O. Box 800
Rosemead, CA 91770
Attention: Shinjini Menon, Director, General Rate Case
z On average, 2018 bills will be at about the same level as 2014 if SCE's request is approved.
3
i
In addition, a copy of this application may be reviewed at the CPUC's Central Files
Office, located in San Francisco, CA, by appointment. For more information, please
contact them at aljcentralfilesid@cpuc.ca.gov or (415) 703-2045.
CPUC PROCESS
This application will be assigned to an Administrative Law Judge (Judge) who will
determine how to receive evidence and other related documents necessary for the
CPUC to establish a record upon which to base its decision. Evidentiary Hearings (EHs)
may be held where parties of record will present their testimony and may be subject to
cross-examination by other parties. These EHs are open to the public, but only those
who are parties of record can participate. In addition, the CPUC may hold Public
Participation Hearings (PPHs) on this application. PPHs are public forums where SCE
customers can obtain additional information about this application and provide feedback
on the application to CPUC and SCE representatives.
After considering all proposals and evidence presented during the formal hearing
process, the assigned Judge will issue a proposed decision which may adopt SCE's
application as proposed, modify it, or deny it. Any CPUC Commissioner may sponsor an
alternate decision. The proposed decision, and any alternate decisions, will be
discussed and voted upon at a scheduled CPUC Voting Meeting.
As a party of record, the Office of Ratepayer Advocates (ORA) will review this
application on behalf of SCE's ratepayers. ORA is the independent consumer advocate
within the CPUC with a legislative mandate to represent investor-owned utility
customers to obtain the lowest possible rate for service consistent with reliable and safe
service levels. ORA has a multi-disciplinary staff with expertise in economics, finance,
accounting, and engineering. For more information about ORA, please call (415) 703-
1584, e-mail ora@cpuc.ca.gov or visit ORA's website at www.ora.ca.gov/.
STAY INFORMED
If you would like to follow this proceeding, or any other issue before the CPUC, you
may use the CPUC's free subscription service. Sign up at:
http://subscribecpuc.cpuc.ca.gov/. If you would like to learn how you can participate in
the proceeding, have informal comments about the application, or if you have questions
about the CPUC processes, you may access the CPUC's Public Advisor Office (PAO)
webpage at wwW.C .ca.qjpa . You may also contact the PAO as follows:
Email: public.advisor@cpuc.ca.gov
Write: Public Advisor's Office
California Public Utilities Commission
505 Van Ness Avenue
San Francisco, CA 94102
Call: 1-415-703-2074
4
Toll-free: 1-866-849-8390
TTY: 1-415-703-5282
TTY toll free: 1-866-836-7825
Please reference Southern California Edison Application No. 16-09-001 in any
communications you have with the CPUC regarding this matter. All public comments
will become part of the public correspondence file for this proceeding and be made
available for review for the assigned Judge, the Commissioners, and appropriate CPUC
staff.
5
SOUTHERN CALIFORNIA Russell A.Archer
E3
E D I S O N Senior Attorney
Russell.Archer@sce.com
An EDISON lNTFRNAVONALOD Company
May 12, 2016
Re: Southern California Edison Company's Application for
Approval of its Forecast 2017 Energy Resource Recovery
Account (ERRA) Proceeding Revenue Requirement,
A.16-05-001
To Whom It May Concern:
Pursuant to California Public Utilities Commission ("CPUC") Rule 3.2(b), Southern
California Edison Company ("SCE") is providing notice that on May 2, 2016, SCE filed an
application with the CPUC for approval of its Forecast 2017 Energy Resource Recovery Account
("ERRA") Proceeding Revenue Requirement. The CPUC has assigned Docket Number A.16-05-
001 to this application.
The filing is described in general terms in the enclosed notice that is also being published in
a newspaper of general circulation in every county within SCE's service territory, as well as
included as a bill notice provided to every SCE customer. To obtain more detailed information, you
may view and/or download a copy of SCE's filing and supporting testimony on our website, at
htti)://on.sce.com/1VN8Csx. You may also request a printed copy of these documents from SCE
at the address listed in the enclosed notice.
Sincerely,
/s/Russell A. Archer
Russell A. Archer
Enclosure
P.O.Box 800 2244 Walnut Grove Ave. Rosemead,California 91770 Telephone(626)302-2865 Fax(626)302-6962
Los usuarios con acceso al Internet podran leer y descargar esta notificaci6n en espanol en el sitio Web de
SCE www.sce.com/avisos o escriba a:
Southern California Edison Company
P.O. Box 800
2244 Walnut Grove Avenue Rosemead, CA 91770
Atenci6n: Comunicaciones Corporativas
SOUTHERN CALIFORNIA EDISON COMPANY
NOTICE OF APPLICATION FILING TO INCREASE ELECTRIC RATES
FOR THE 2017 ENERGY RESOURCE RECOVERY ACCOUNT
FORECAST APPLICATION A. 16-05-001
SUMMARY
On May 2, 2016, Southern California Edison Company (SCE) filed an application with the
California Public Utilities Commission(CPUC) requesting review and approval of its estimates
for business operations in 2017. This review will only apply to certain aspects of SCE's business
operations, which include costs associated with buying and producing energy. This application is
commonly referred to as SCE's Energy Resource Recovery Account (ERRA) Forecast
Application. If SCE's estimates are approved this application will result in an overall revenue
increase of$366 million, which increases the total ERRA revenue requirement for 2017 to
$4.149 billion (details below).
ABOUT THE PROPOSAL
The CPUC has established the ERRA Forecast Application as the process for review and
approval of SCE's estimate of the costs. This review includes the cost of fuel that it will need to
generate electricity, as well as the estimated costs of additional power it purchases for its
customers, for the following year. This information is provided to the CPUC for the purpose of
determining SCE's rates related to the purchase of fuel and purchased power.
In addition to estimating fuel and purchased power costs, SCE's 2017 ERRA Forecast
Application includes:
(1) A request to approve other expenses recoverable in ERRA proceedings, such as expenses
related to spent nuclear fuel (nuclear fuel that is stored and has already been used); and
(2) A request to approve SCE's 2017 forecast of Greenhouse Gas (GHG)-related costs and
revenues to be returned to customers.
SCE's proposed revenue requirement relating to this application is $4.149 billion for 2017. This
request represents an increase of$366 million from SCE's current 2016 ERRA-related revenue
requirement, or a 3.52% system average rate increase. The revenue increase proposed in this
Page 1 of 4
application will result in an increase to customer rates of approximately 0.52 cents per kilowatt-
hour as compared to current rates.
The following table compares the current 2016 ERRA rates and revenues to the forecasted 2017
ERRA rates and revenues:
Sys ern Bundled
Current Revenues Proposed Revenues Proposed Total Current RateT(O/Wh)
posed Rates
Customer Group $000 Increase $000 Revenues $000 %Increase /kWh
Residential 5,052,479 184,757 5,237,237 3.66% 17.10 17.73
Lighting-Small and Medium Power 4,103,307 134,729 4,238,036 3.28% 15.66 16.16
Large Power 1,820,438 72,479 1,892,916 3.98% 11.06 11.47
Agricultural and Pumping 419,898 11,143 431,041 2.65% 11.72 12.03
Street and Area Lighting 129,761 1,797 131,558 1.39% 18.16 18.41
Standby 258,800 9,592 268,392 3.71% 9.05 9.38
Total 11,784,683 414,498 12,199,180 3.52% 14.99 15.51
If SCE's proposed ERRA rate increase is approved, a typical non-CARE residential
electric customer using 600 kilowatt-hours per month of electricity in the summer would
see a bill increase of$3.81 per month, from $105.45 to $109.26.
This application is a forecast and is likely to change prior to including these costs in next
year's electric rates. Consistent with past ERRA Forecast applications, SCE expects to
update this application in November 2016, so that the latest forecast assumptions can be
incorporated into SCE's 2017 rates.
FOR FURTHER INFORMATION ABOUT SCE'S APPLICATION
You may review a copy of this application and related exhibits at SCE's corporate headquarters
(2244 Walnut Grove Avenue, Rosemead, CA 91770).
Customers with Internet access may view and download SCE's application and related exhibits
on SCE's website at http://on.sce.com/lVN8Csx, or by visiting www.sce.com/applications,
typing "A.16-05-001" into the Search box, and clicking "Go." If you have technical issues
accessing the documents through the website, please e-mail case.admin(&sce.com for assistance
(be sure to reference proceeding A.16-05-001 in your e-mail).
Page 2 of 4
Anyone who would like to obtain more information about this application from SCE, please
write to:
Southern California Edison Company
A.16-05-001 — SCE's 2017 ERRA Forecast
P.O. Box 800
Rosemead, CA 91770
Attention: Russell Worden, SCE Regulatory Affairs
In addition, a copy of this application may be reviewed at the CPUC's Central Files Office,
located in San Francisco, CA, by appointment. For more information, please contact them at
alicentralfilesidAmuc.ca.gov or(415) 703-2045.
CPUC PROCESS
This application will be assigned to an Administrative Law Judge (Judge) who will determine
how to receive evidence and other related documents, necessary for the CPUC to establish a
record upon which to base its decision. Evidentiary Hearings (EHs) may be held where parties of
record will present their testimony and may be subject to cross-examination by other parties.
These EHs are open to the public, but only those who are parties of record can participate.
After considering all proposals and evidence presented during the formal hearing process, the
assigned Judge will issue a proposed decision which may adopt SCE's application as proposed,
modify it, or deny it. Any CPUC Commissioner may sponsor an alternate decision. The proposed
decision, and any alternate decisions, will be discussed and voted upon at a scheduled CPUC
Voting Meeting.
As a party of record, the Office of Ratepayer Advocates (ORA) will review this application on
behalf of SCE's ratepayers. ORA is the independent consumer advocate within the CPUC with a
legislative mandate to represent investor-owned utility customers to obtain the lowest possible
rate for service consistent with reliable and safe service levels. ORA has a multi-disciplinary
staff with expertise in economics, finance, accounting, and engineering. For more information
about ORA, please call (415) 703-1584, e-mail ora(&cpuc.ca.gov or visit ORA's website at
www.ora.ca.gov/.
STAY INFORMED
If you would like to follow this proceeding, or any other issue before the CPUC, you may use the
CPUC's free subscription service. Sign up at: http://subscribecpuc.cpuc.ca.gov/.
If you would like to learn how you can participate in this proceeding, have informal comments,
or if you have questions about the CPUC processes, you may access the CPUC's Public
Advisor's Office (PAO) webpage at www.cl)uc.ca.2ov/pao/. You may also contact the PAO as
follows:
Phone: 1-866-849-8390 (toll-free) or 1-415-703-2074
TTY 1-866-836-7825 (toll-free) or 1-415-703-5282
Page 3 of 4
Or write to: CPUC
Public Advisor's Office
505 Van Ness Avenue
San Francisco, CA 94102
Email: public.advisorncpuc.ca.gov
Please reference SCE's 2017 ERRA Forecast Application Number A.16-05-001 in any
communications you have with the CPUC regarding this matter. All public comments will
become part of the public correspondence file for this proceeding and made available for review
for the assigned Judge, the Commissioners, and appropriate CPUC staff.
Page 4 of 4
SOUTHERN CALIFORNIA
E D I S O N® Russell G Worden
Managing Director, State Regulatory Operations
An EDISON INTERNATIONAL®Company
March 30, 2016
ADVICE 3241-E-A
(U 338-E)
PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA
ENERGY DIVISION
SUBJECT: Supplement to Advice 3241-E, Establishment of New Optional
Tariff Provision, Option E, Energy Efficiency - Light Emitting
Diode Fixture Replacement in Schedule LS-1, and its
Associated Agreement, Form 14-965, in Compliance with
Assembly Bill 719 and Public Utilities Code Section 384 5
In compliance with Assembly Bill (AB) 719, Public Utilities (PU) Code Section 384 5,
and Decision (D )14-10-046, Southern California Edison Company (SCE) hereby
submits for filing the following changes to its tariffs The revised tariff sheets are listed
on Attachment A and are attached hereto
PURPOSE
The purpose of this advice filing is to make changes to the tariff sheet originally
attached to Advice 3241-E, filed on June 30, 2015 This change is made in accordance
with General Order (GO) 96-13, General Rule 7 5 1, which authorizes utilities to make
additional changes to an advice letter through the filing of a supplemental advice letter
Specifically, SCE is updating the rates contained within its new optional tariff provision,
Option E, Energy Efficiency - Light Emitting Diode (LED) Fixture Replacement, in
Schedule LS-1, Lighting— Street and Highway, Unmetered Service, Company-Owned
System
This advice filing supplements in part and does not change the substance of the original
Advice 3241-E
P 0 Box 800 8631 Rush Street Rosemead, California 91770 (626)302-4177 Fax(626)302-4829
ADVICE 3241-E-A
(U 338-E) -2 - March 30, 2016
BACKGROUND
On October 7, 2013, AB 719 was approved by Governor Brown and chaptered into law,
adding Section 384 5 to the PU Codes Section 384 5 provides, in pertinent part, that
electrical-corporation-owned street lighting poles, whose electricity use is paid by local
governments, be converted to technology that reduces electricity consumption so that a
city, county, or city and county may achieve lower utility bills for the electricity used by
these street lighting poles The California Public Utilities Commission (Commission) was
directed to order electrical corporations, on or before March 1, 2014, to submit, on or
before July 1, 2015, a tariff to be used, at the discretion of local governments, to fund
energy efficiency improvements in street lighting poles owned by the electrical
corporations to ensure reduced energy consumption for local governments who are
street lighting customers covered by these tariffs
On March 3, 2014, the Assigned Commissioner's Ruling Amending Scoping
Memorandum, and Providing Guidance on Energy Savings Goals for Program Year
2015 (ACR) ordered Pacific Gas and Electric Company (PG&E), San Diego Gas &
Electric Company (SDG&E), and SCE (jointly, IOUs) to file by July 1, 2015 tariffs to
comply with AB 719 and PU Code 384 5 On October 24, 2014, the Commission issued
D 14-10-046,1 which repeats the same direction as the ACR and directs the IOUs to file
the tariffs to implement AB 719
On June 30, 2015, SCE filed Advice 3241-E to establish the new Option E in its
Schedule LS-1 Then, in response to SCE's Advice 3241-E, protests were filed by the
California City-County Street Light Association (CAL-SLA), City of Oxnard, City of
Garden Grove, City of Goleta, City of Palmdale, the South Bay Cities Council of
Governments, and the County of Los Angeles Department of Public Works The basic
issue underlying the protests were that the proposed Option E rates and charges are
too high and cancel out any financial savings from reducing energy More specifically,
in its protest CAL-SLA objected to SCE's proposed inclusion of the recovery of the
undepreciated book value in the Option E monthly fixture charge Changes included
within this supplement address those objections
DISCUSSION
In the original Advice 3241-E, SCE proposed a new Option E, which consists of a
monthly charge that includes the existing Schedule LS-1 Base LED Charge plus the
new Energy Efficiency Premium Charge (EEPC) The EEPC is designed to recover the
life cycle costs of the replacement, which will be paid by the customer over a 20-year
term The life cycle costs include all components of SCE's revenue requirements
1 D 14-10-046, page 20
ADVICE 3241-E-A
(U 338-E) - 3- March 30, 2016
embedded in the Real Economic Carrying Charge (RECC) methodology used in
marginal cost studies as part of SCE's General Rate Case (GRC) Phase 2 filings 2
In this supplemental advice filing, SCE recommends maintaining the same approach,
but amends the EEPC value by removing the rate component of the undepreciated
book value from the EEPC rate structure This proposed change is being recommended
in anticipation of closing the High Pressure Sodium Vapor (HPSV) streetlight fixture
option to new LS-1 customer installations in the near future Given this
recommendation, the undepreciated book value component for streetlight assets should
follow existing accounting process, similar to other mass property assets on SCE's plant
ledger, implying that the recovery of the same would occur when setting the base
facilities charge for the group as a whole Table 1 below enumerates the EEPC charge
by fixture wattage, embedded in Option E over a Single Life Cycle of 20 years
Table 1
Energy Efficiency Premium Charge based on Single Life Cycle-20 Year
Equivalent HPSV Wattage 50 70 100 150 200 250 400
Energy Efficiency Premium Charge
(RECC Value for accelerated
replacement) $1 32 $1 32 $1 36 $1 48 $1 76 $1 97 $2 79
Since the base rates of the street\light fixtures were recently approved by the 2015
General Rate Case (GRC) decision,2 the modified Option E in this advice letter will be
adjusted using the newly approved base rates Table 2 below demonstrates the total
savings resulting from the elimination of the undepreciated book value proposed in this
supplemental advice letter, and the base rate adjusted by the recently approved 2015
GRC base rates
2 The RECC methodology used in the design of the EEPC embedded in Option E for AB 719
is a 20-year, single life cycle method, as opposed to the typical RECC method used in the
GRC street light rate design that is based on a 35-year perpetuity life cycle method All
other revenue requirement assumptions, such as cost of capital, inflation rate, tax rates etc
are consistent with the assumptions used in the GRC Phase 2 proceedings and work
papers
3 Decision 16-03-030
ADVICE 3241-E-A
(U 338-E) -4 - March 30, 2016
z
Table 2
LS-1 Street Light Monthly Char eS
Advice 3241-E Advice 3241-E-A
Technology HPSV LED HPSV LED
Watts 100 39 100 39
kWh per month 40 365 129 .40365 129
Energy Rate $/kwh $0 08015 $0 08015 $0 08015 $0 08015
Energy Charge $3 24 $1 03 $3 24 $1 03
Facilities charges
Base $8 81 $9 75 $8 25` $8 23"
Accelerated Replacement NA $1 36 NA $1 36
Unde reciated Book Value NA $1 11 NA $0 00
Total Monthly Charge $12 05 $13 25 $11 49 $10 62
Monthly Savings $1 21 $0 86
"Amended Values based on 2015 GRC Settlement Facilities rates
IMPLEMENTATION
As noted in the original Advice 3241-E, SCE did not include street light upgrades
associated with AB 719 in its capital forecast included in Application (A )13-11-003,
Application of Southern California Edison Company (U 338-E) for Authority to, among
other things, increase its Authorized Revenues for Electric Service in 2015, and to
reflect that increase in Rates (General Rate Case or GRC) For this reason, SCE plans
to limit participation in Schedule LS-1 Option E, Energy Efficiency - LED Fixture
Replacement depending upon resource and capital funding availability pending a
decision in SCE's 2018 Phase 1 GRC (to be filed on September 1, 2016) Following the
decision in SCE's 2018 GRC, SCE plans to limit participation in Schedule LS-1 Option
E, Energy Efficiency - LED Fixture Replacement to the capital funding approved in that
decision
Following approval of this advice letter, SCE will communicate this proposed change to
cities and counties in order to facilitate a smooth transition to LED street lights
installations in new construction projects
ADVICE 3241-E-A
(U 338-E) - 5- March 30, 2016
PROPOSED TARIFF CHANGES
SCE proposes to modify the Option E values in the rate table and footnote 12 of the
same rate table in Sheet 2 of Schedule LS-1 to reflect the removal of the rate
component of the undepreciated book value from the EEPC rate structure
No cost information is required for this advice filing
This advice filing will not increase any rate or charge, cause the withdrawal of service,
or conflict with any other schedule or rule
TIER DESIGNATION
Pursuant to General Order (GO) 96-B, Energy Industry Rule 5 2, this advice letter is
submitted with a Tier 2 designation which is the same Tier designation as the original
filing, Advice 3241-E
EFFECTIVE DATE
This advice filing, Advice 3241-E-A, and its original advice filing, Advice 3241-E, are
requested to become effective on January 1, 2017
NOTICE
Anyone wishing to protest this advice filing may do so by letter via U S Mail, facsimile,
or electronically, any of which must be received no later than 20 days after the date of
this advice filing Protests should be submitted to
CPUC, Energy Division
Attention Tariff Unit
505 Van Ness Avenue
San Francisco, California 94102
E-mail EDTariffUnit(a).cpuc ca qov
Copies should also be mailed to the attention of the Director, Energy Division,
Room 4004 (same address above)
In addition, protests and all other correspondence regarding this advice letter should
also be sent by letter and transmitted via facsimile or electronically to the attention of
Russell G Worden
Managing Director, State Regulatory Operations
Southern California Edison Company
8631 Rush Street
Rosemead, California 91770
Facsimile (626) 302-4829
E-mail AdviceTariffManager(a�sce com
ADVICE 3241-E-A
(U 338-E) -6 - March 30, 2016
Michael R Hoover
Director, State Regulatory Affairs
c/o Karyn Gansecki
Southern California Edison Company
601 Van Ness Avenue, Suite 2030
San Francisco, California 94102
Facsimile (415) 929-5544
E-mail Karyn Gansecki(cD_sce com
There are no restrictions on who may file a protest, but the protest shall set forth
specifically the grounds upon which it is based and must be received by the deadline
shown above
In accordance with General Rule 4 of GO 96-B, SCE is serving copies of this advice
filing to the interested parties shown on the attached GO 96-B, A 14-06-014 and
R 13-11-005 service lists In addition, cities and counties within SCE's service territory
are also being served Address change requests to the GO 96-B service list should be
directed by electronic mail to AdviceTariffManager(a)sce com or at (626) 302-3719 For
changes to all other service lists, please contact the Commission's Process Office at
(415) 703-2021 or by electronic mail at Process Office(a)cpuc ca gov
Further, in accordance with Public Utilities Code Section 491, notice to the public is
hereby given by filing and keeping the advice filing at SCE's corporate headquarters
To view other SCE advice letters filed with the Commission, log on to SCE's web site at
https //www sce com/wps/portal/home/regulatory/advice-letters
For questions, please contact Amy Liu at (626) 302-4019 or by electronic mail at
Amy Liu(Q)SCe com
Southern California Edison Company
/s/ Russell G Worden
Russell G Worden
RGW al cm
Enclosures
CALIFORNIA PUBLIC UTILITIES COMMISSION
ADVICE LETTER FILING SUMMARY
ENERGY UTILITY
MUST BE COMPLETED BY UTILITY Attach additional pages as needed
Company name/CPUC Utility No Southern California Edison Company U 338-E
Utility type Contact Person Darrah Morgan
121 ELC ❑ GAS Phone# (626) 302-2086
❑ PLC ❑ HEAT ❑ WATER E-mail Darrah Morgan(a)sce com
E-mail Disposition Notice to AdviceTariffMana er sce com
EXPLANATION OF UTILITY TYPE (Date Filed/Received Stamp by CPUC)
ELC= Electric GAS = Gas
PLC = Pipeline HEAT= Heat WATER =Water
Advice Letter (AL) # 3241-E-A Tier Designation 2
Subject of AL Supplement to Advice 3241-E, Establishment of New Optional Tariff Provision, Option E,
Energy Efficiency - Light Emitting Diode Fixture Replacement in Schedule LS-1, and its
Associated Agreement, Form 14-965, in Compliance with Assembly Bill 719 and Public Utilities
Code Section 384 5
Keywords (choose from CPUC listing) Compliance, Energy Efficiency, Street Lights
AL filing type ❑ Monthly ❑ Quarterly ❑ Annual 121 One-Time ❑ Other
If AL filed in Compliance with a Commission order, indicate relevant Decision/Resolution #
Decision 14-10-046
Does AL replace a withdrawn or rejected AL? If so, identify the prior AL
Summarize differences between the AL and the prior withdrawn or rejected AL
Confidential treatment requested? ❑ Yes 121 No
If yes, specification of Confidential information
Confidential Information will be made available to appropriate parties who execute a nondisclosure agreement
Name and contact information to request nondisclosure agreement/access to confidential information
Resolution Required? ❑ Yes a No
Requested effective date 01/01/17 No of tariff sheets -1-
Estimated system annual revenue effect (%)
Estimated system average rate effect (%)
When rates are affected by AL, include attachment in AL showing average rate effects on customer classes
(residential, small commercial, large C/I, agricultural, lighting)
Tariff schedules affected See Attachment A
Service affected and changes proposed'
Pending advice letters that revise the same tariff sheets None
' Discuss in AL if more space is needed
Protests and all other correspondence regarding this AL are due no later than 20 days after the date of
this filing, unless otherwise authorized by the Commission, and shall be sent to
CPUC, Energy Division Russell G Worden
Attention Tariff Unit Managing Director, State Regulatory Operations
505 Van Ness Avenue Southern California Edison Company
San Francisco, California 94102 8631 Rush Street
E-mail EDTariffUnit(@cpuc ca gov Rosemead, California 91770
Facsimile (626) 302-4829
E-mail AdviceTariffManager(a)sce com
Michael R Hoover
Director, State Regulatory Affairs
c/o Karyn Gansecki
Southern California Edison Company
601 Van Ness Avenue, Suite 2030
San Francisco, California 94102
Facsimile (415) 929-5544
E-mail Karyn Gansecki(cDsce com
Public Utilities Commission 3241-E-A Attachment A
Cal P U C Cancelling Cal
Sheet No Title of Sheet P U C Sheet No
Revised 57072-E Schedule LS-1 Revised 56879-E
1
® SOUTHERN GLIrORNIA
EDISON }
NA 1
Southern aR California Edison Revised Cal PUC Sheet No 57072-E
Rosemead, California (U 338-E) Cancelling Revised Cal PUC Sheet No 56879-E
Schedule LS-1 Sheet 2
LIGHTING - STREET AND HIGHWAY- UNMETERED SERVICE
COMPANY-OWNED SYSTEM
(Continued)
RATES (Continued)
LS 1(Cont) a Ive ervice enera Ion
Sheet 2 fans IS n 0 a
Low Pressure Sodium Vapor Lamps $/Lamp/Month
35 Watt 11 39 11 39
55 Watt 11 39 11 39
90 Watt 11 92 11 92
135 Watt 11 80 11 80
180 Watt 1236 1236
Metal Halide Lamps $/Lamp/Month
70 Watt 000 000
100 Watt 959 959
150 Watt 940 940
175 Watt 1000
1000
250 Watt 10 17 10 17
Base LED Chante" (N)
Light Emitting Diode(LED)Lamps $/Lamp/Month
(High Pressure Sodium Vapor Recommended Lamps)
50 Watt 943 943
70 Watt 961 961
100 Watt 975 975
150 Watt 10 44 10 44
200 Watt 11 30 11 30
250 Watt 12 93 12 93
400 Watt 1375 1375
Cobon E Liaht EmitGno Diode(LEDI Lamps $/Lamo(Month" (N)
(High Pressure Sodium Vapor Recommended Lamps)
50 Watt 1075 10 75
70 Watt 1093 1093
100 Watt 11 11 11 11
150 Watt 11 92 11 92
200 Watt 1306 13 06
250 Watt 14 90 14 90
400 Watt 16 54 16 54 (N)
Tap Device Annual Charge $/Device 14 13 14 13
* The kilowatthours used to determine the Energy Charge for the lamp types and sizes served under this Schedule are shown in the
Special Conditions section,below
** Closed to new installations
*** The ongoing Competition Transition Charge(CTC)of$0 00000 per kWh is recovered in the URG component of Generation
1 Trans=Transmission and the Transmission Owners Tariff Charge Adjustments(TOTCA)which are FERC approved The TOTCA
represents the Transmission Revenue Balancing Account Adjustment (TRBAA) of $(0 00011) per kWh, Reliability Services
Balancing Account Adjustment(RSBAA)of$(0 00048) per kWh, and Transmission Access Charge Balancing Account Adjustment
(TACBAA)of$0 00127 per kWh
2 Distrbtn=Distribution
3 NSGC=New System Generation Charge
4 NDC= Nuclear Decommissioning Charge
5 PPPC=Public Purpose Programs Charge(includes California Alternate Rates for Energy Surcharge where applicable)
6 DWRBC = Department of Water Resources (DWR) Bond Charge The DWR Bond Charge is not applicable to exempt Bundled
Service and Direct Access Customers, as defined in and pursuant to D 02-10-063, D 02-02-051,and D 02-12-082
7 PUCRF=The PUC Reimbursement Fee is described in Schedule RF-E
8 Total = Total Delivery Service rates are applicable to Bundled Service, Direct Access (DA) and Community Choice Aggregation
Service (CCA Service)Customers, except DA and CCA Service Customers are not subject to the DWRBC rate component of this
Schedule but instead pay the DWRBC as provided by Schedule DA-CRS or Schedule CCA-CRS
9 Generation=The Generation rates are applicable only to Bundled Service Customers
10 DWREC=Department of Water Resources(DWR)Energy Credit-For more information on the DWR Energy Credit, see the Billing
Calculation Special Condition of this Schedule
11 Base LED Charge lists the charges applicable to customers with LED fixtures installed upon a lump sum payment(s) (N)
12 Option E is the monthly Energy Efficiency Premium Charge and the Base LED Charge by fixture wattage
Energy Efficiency Premium Charges(EPCC)by fixture wattage $1 32 $1 32 $1 36 $1 48 $1 76 $1 97 $2 79
50 Watt/$1 32,70 Watt/$1 32, 100 Watt/$1 36, 150 Watt/$1 48,200 Watt/$1 76,250 Watt/$1 97 and 400 Watt/$2 79 (N)
(Continued)
(To be inserted by utility) Issued by (To be inserted by Cal PUC)
Advice 3241-E-A R O Nichols Date Filed Mar 30, 2016
Decision 14-10-046 Senior Vice President Effective
206 Resolution