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HomeMy WebLinkAbout2020 Southern California Gas Company SOUTHERN CALIFORNIA E D I S O N Gloria Ing Energyfor What's Ahead senior Attorney Gloria.Ing@sce.com October 28, 2020 Re: Southern California Edison Company's Notice of Filing: Application to Establish Marginal Costs, Allocate Revenues, and Design Rates (A.20-10-012) To Whom It May Concern: On October 23, 2020, Southern California Edison Company (SCE) filed its Application to Establish Marginal Costs,Allocate Revenues, and Design Rates with the California Public Utilities Commission(CPUC). The CPUC has assigned Docket Number A.20-10-012. The enclosed notice is being published in a newspaper of general circulation in every county within SCE's service territory, and is to be included as a bill notice provided to every SCE customer. To obtain more detailed information, you may view or download a copy of SCE's filing and supporting testimony on our website, at www.sce.com/applications. You may also request a print copy of these documents from SCE at the address listed in the enclosed notice. Very truly yours, Is/Gloria Ing Gloria Ing N z a Enclosure o o -� t7 2p� < :s N n � Cn P.O.Box 800 Rosemead,California 91770 (626)302-1999 Para obtener informacion sobre como este cambio afectara su factura y/o una copia de esta notification en espanol visite IittL:%iivtiiiv.sce.coiyr.lrrt-iso_s. Para m6s informacion en corno este cambio inzpactarcr su factura, flame al 1-800-798-5723. NOTICE OF APPLICATION Southern California Edison Company's Request to Change Electric Rates Application A.20-10-012 Why am I receiving this notice? On October 23, 2020, Southern California Edison(SCE) filed its General Rate Case(GRC)Phase 2 Application(A.20-10-012). In this application, SCE is proposing to adopt rates that more accurately reflect what it costs to serve each customer class. This results in rates increasing for some customer classes and decreasing for other customer classes; no new costs are being proposed in this Phase 2 Application. If the CPUC approves this application, SCE will recover forecasted costs in electric rates over a 4-year period beginning the second quarter of 2022. This will impact your monthly bill. Why is SCE requesting this rate revision? In the second phase of the General Rate Case,rates are designed by dividing approved electric costs among each customer class(residential, commercial, etc.). There are no new costs proposed in this Phase 2 application. This application will redesign rates by incorporating rate changes from other SCE proceedings including SCE's Phase I General Rate Case and would be phased in over four years. How could this affect my monthly electric rates? If SCE's rate request is approved by the CPUC, the average residential non-CARE monthly bill using 500 kWh per month would increase by approximately$1.18 or 1.1%per month. Proposed Electric Rates Customer Average Rates as Proposed Average Rate Percentage Classification of June 2020111 Average Rates Change Rate Change (cents/kWh) (cents/kWh) (cents/kWh) (%Increase) Residential 20.2 cents/kWh 20.6 cents/kWh 0.4 cents/kWh 2.0% Lighting-Small 19.4 cents/kWh 18.3 cents/kWh -1.1 cents/kWh -5.7% and Medium Power Large Power 13.7 cents/kWh 14.2 cents/kWh 0.5 cents/kWh 3.6% Agricultural 15.4 cents/kWh 14.9 cents/kWh -0.5 cents/kWh 3.2% Street Eg`hting 20.4 cents/kWh 27.3 cents/kWh 6.9 cents/kWh 33.89% Standby 11.6 cents/kWh 12.2 cents/kWh 0.6 cents/kWh 5.2% Total 18.1 cents/kWh 18.1 cents/kWh 0.0 cents/kWh 0.0% 01 June 1, 2020 rates with 2021 sales forecast How does the rest of this process work? This application will be assigned to a CPUC Administrative Law Judge who will consider proposals and evidence presented during the formal hearing process. The Administrative Law Judge will issue a proposed decision that may adopt SCE's application,modify it, or deny it. Any CPUC Commissioner may sponsor an alternate decision with a different outcome. The proposed decision, and any alternate decisions,will be discussed and voted upon by the CPUC Commissioners at a public CPUC Voting Meeting. Parties to the proceeding are currently reviewing SCE's application, including the Public Advocates Office,which is an independent consumer advocate within the CPUC that represents customers to obtain the lowest possible rate for service consistent with reliable and safe service levels. For more information regarding the Public Advocates Office,please call 1-415-703-1584, email PublicAdvocatesOfficeLd>�uc.ca.gov, or visit PublicAdvocates.cpuc.ca.gov. Where can I get more information? Contact SCE: Phone: 1-800-65 5-45 5 5 Email: sce rc(Nce.com Mail: Southern California Edison Company Attention: Case Administration A.20-10-012—GRC,Phase 2 P.O. BOX 800 Rosemead, CA 91770 A copy of the Application and any related documents may also be reviewed at www.sce.com/applications. Contact CPUC Please visit cpue.ca.gov/A2010012comments to submit a comment about this proceeding on the CPUC Docket Card. Here you can also view documents and other public comments related to this proceeding. Your participation by providing your thoughts on SCE's request can help the CPUC make an informed decision. If you have questions about CPUC processes,you may contact the CPUC's Public Advisor's Office at: Phone: 1-866-849-8390(toll-free)or 1-415-703-2074 Email: Public.Advisor@cpuc.ca.gov Mail: CPUC Public Advisor's Office 505 Van Ness Avenue San Francisco, CA 94102 Please reference Application A.20-10-012 in any communications you have with the CPUC regarding this matter. Este es un anuncio de que sus tarifas pueden aumentar. Para mas detalles en Espanol flame al 1-800-342=4545 RECEIVED NOTIFICATION (2120 JUN 25 PK 12: 55 SOUTHERN CALIFORNIA GAS COMPANY'S REQU� O41 MPENSATION M1 THROUGH THE GAS COST INCENTIV SM A.20-06-005 HUNTINGTON BFI�OH On June 15, 2020, Southern California Gas Company (SoCalGas®) filed an Application (A.20-06-005) with the California Public Utilities Commission (CPUC) to request approval of its management of savings incurred during the purchase of natural gas for its customers. Natural gas purchases are reviewed through a mechanism referred to as the Gas Cost Incentive Mechanism (GCIM). The CPUC authorized the GCIM as a means of encouraging utilities to seek the best rates available for natural gas. Under the GCIM, a target price is set and if the utility secures a better rate, the savings is shared with customers and shareholders. If a higher rate is paid, the utility must absorb a portion of the higher rate. SoCalGas shares the savings with its "Core" customers, that is, customers who rely on the utility for all their natural gas needs, including both gas transportation and gas commodity service. In the latest GCIM year, SoCalGas purchased natural gas at $82.0 million below the target price during the program period of April 1, 2019, to March 31, 2020. Using the CPUC's formula to determine the incentive for purchasing gas below the target price, SoCalGas is holding $12.8 million for its shareholders. This means that these purchases provided customers a benefit of $69.2 million in lower gas costs. In this application, SoCalGas requests that the CPUC approve SoCalGas' reward of$12.8 million. If the CPUC approves this request, there will be no additional change in customer rates from this application. If the CPUC approves less than $12.8 million for SoCalGas shareholders, the difference will be credited to customers through a rate decrease. If the CPUC approves more than $12.8 million for SoCalGas shareholders, the difference will be charged to customers through a rate increase. HOW WILL THIS AFFECT MY GAS BILL? A typical residential customer's average monthly bill for 33 therms of gas has already increased by 11 cents/month, from $51.42 to $51.53. A typical residential customer's monthly summer bill for 22 therms of gas has already increased by 7 cents/month, from $38.83 to $38.90. The impact on each customer and customer class has varied depending on individual usage. Based on SoCalGas' request, the rate impact for each customer class is represented below. This chart represents an increase that has already taken place on your bill due to the GCIM program. GCIM GCIM Reward Reward as % Customer Class $millions of Total Rate Residential $8.9 0.2% Commercial/Industrial $3.4 0.3% Natural Gas Vehicles $0.4 0.4% Other Core $0.1 0.5% Total $12.8 0.3% CPUC PROCESS This application will be assigned to a judge, who will consider proposals and evidence presented during the formal hearing process. The judge will issue a proposed decision which may adopt SoCalGas' application, 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 by the CPUC Commissioners. The Public Advocates Office (Cal Advocates) will review this application. Cal Advocates is the independent consumer advocate within the CPUC with a statutory mandate to represent customers of investor-owned utilities to obtain the lowest possible rate for service consistent with safe and reliable service and the state's environmental policy goals. For more information about Cal Advocates, please call (415) 703-1584, e-mail PublicAdvocatesOfficegcpuc.ca.gov, or visit Cal Advocates' website at publicadvocates.cpuc.ca.gov. WHERE CAN I GET MORE INFORMATION? CONTACTSOCALGAS • Phone: (213) 244-3718 • E-mail: JMockgsocal ag s.com • Mail: Joseph Mock Regulatory Business Manager for SoCalGas 555 W 5"' St GT14D6, Los Angeles, CA 90013 • A copy of the GCIM Application and any related documents may also be reviewed at https•//socalgas.com/re ug latory/cpue.shtml CONTACT CPUC You may also get information about this proceeding by contacting the CPUC: • If you would like to make a comment, please visit cpuc.ca.gov/A2006005Comment to submit a comment on the CPUC Docket Card. • If you have questions about CPUC processes, you may contact the CPUC's Public Advisor's Office via: Phone: 1-866-849-8390 (toll-free) or 1-415-703-2074 Mail: CPUC Public Advisor's Office 505 Van Ness Avenue San Francisco, CA 94102 Email: Public.Advisor a,cpuc.ca.gov Please reference SoCalGas' GCIM Application A.20-06-005 in any communications you have with the CPUC regarding this matter. Este es un anuncio de que sus tarifas pueden aumentar. Para mas detalles en Espanol flame al 1-800-342-4545 NOTIFICATION OF SOUTHERN CALIFORNIA GAS COMPANY'S REQUEST TO INCREASE RATES FOR 2022 AND 2023 A.17-10-008 In April 020, Southern California Gas Company (SoCalGas®) filed a Petition for Modification of the 2019 General Rate Case decision with the California Public Utilities Commission(CPUC), a required filing. SoCalGas is requesting rate increases of$155.1 million (or 4.95%) in 2022 and $136.8-million(or 4.16%) in 2023 to establish revenues for those years. HOW WILL THIS AFFECT MY GAS BILL? If the CPUC approves SoCalGas' requested increase,the impact on the monthly bill of 35 therms/month would be a decrease of$0.01 (or-0.01%) in 20221 and an increase of$1.56 (or 3.0%) in 2023. Individual customer bills may vary. New rates would become effective in January 2022. Summary of Illustrative Gas Class Average Bundled Rates2 2019 General Rate Case-Petition for Modification ($/therm) Total Rates 2021 to 2022 Change 2022 to 2023 Change' As-expected Current Authorized Proposed Proposed Change Change Customer Class Apr-2020 2021 2022 2023 $ % $ % 1 Residential $1.38990 $1.43049 $1.43084 $1.47482 $0.00035 0.0% $0.04398 3.1% 2 Core C&I $0.75781 $0.77345 $0.77265 $0.78900 -$0.00079 -0.1% $0.01635 2.1% 3 Total Core $1.16705 $1.19883 $1.19876 $1.23302 -$0.00008 0.0% $0.03426 2'.9% Noncore 4 C81 $0.12798 $0.13074 $0.13012 $0.13238 -$0.00062 -0.5% $0.00226 1.7% 5 EG $0.03837 $0.03933 $0.03856 $0.03916 -$0.00077 -1.9% $0.00059 1.5% Retail Noncore 6 Average $0.07089 $0.07250 $0.07179 $0.07299 -$0.00071 -1.0% $0.00120 1.7% 7 Wholesale $0.02013 $0.02023 $0.01964 $0.01969 -$0.00060 -2.9% $0.00006 0.3% BTS 8 ($/dth/day) $0.33853 $0 36890 $0 36495 $0 37170 40.00394 1 1% $0 00674 1 8% SYSTEM 9 TOTALS $0.52031 $0.53619 $0.53537 $0.54978 -$0.00082 -0.2% $0.01441 2.7% Illustrative Gas Residential Monthly Bill Average Monthly Bill 2021 to 2022 Change' 2022 to 2023 Change 3 As-expected Current Authorized -. Proposed Proposed Change Change Apr-2020 2021 2022 2023 $ %, $ oho Average Bill 35 therms/month $50.30 $51.82 $51.82 $53.38 ($0.01) -0.01% $1.56 3.0% '2022 rates are expected to decrease with balance in the 2019 General Rate Case Memorandum Account(GRCMA)going to zero. 2 Includes the Public Purpose Programs Surcharge. 3 Represents as-expected authorized rate changes for 2021,2022,and 2023. CPUC PROCESS This application will be assigned to a judge, who will consider proposals and evidence presented during the formal hearing process. The judge will issue a proposed decision which may adopt SoCalGas' application, 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 by the CPUC Commissioners. The Public Advocates Office (Cal Advocates) has reviewed this application. Cal Advocates is the independent consumer advocate within the CPUC with a statutory mandate to represent customers of investor-owned utilities to obtain the lowest possible rate for service consistent with safe and reliable service and the state's environmental policy goals. Cal Advocates has a multi-disciplinary staff with expertise in economics, finance, accounting and engineering. For more information about Cal Advocates, please call (415) 703-1584, e-mail PublicAdvocatesOfficeQcpuc.ca.gov, or visit Cal Advocates' website at publicadvocates.cpuc.ca.gov. WHERE CAN I GET MORE INFORMATION? CONTACTSOCALGAS X N • Phone: (858) 654-1782 g X_ = • E-mail: CManzuk(7a —4 0 —v emprautilities.com =i z� � • Mail: Charles Manzuk 074 < a, � 2019 GRC Director for SoCalGas zor -a -8330 Century Park Court, San Diego, CA 92123 M�' N • A copy of the Petition for Modification and any related documents may also be revxwed aE, htlps:Hsocalsza--,.com/re2ulatory/Al 7-10-008: CONTACT CPUC You may also get information about this proceeding by contacting the CPUC: • If you would like to make a comment, please visit cpuc.ca.gov/A1710008Comments to submit a comment on the CPUC Docket Card. • If you have questions about CPUC processes, you may contact the CPUC's Public Advisor's Office via: Phone: 1-866-849-8390 (toll-free) or 1-415-703-2074 Mail: CPUC Public Advisor's Office 505 Van Ness Avenue San Francisco, CA 94102 Email: Public.Advisor@cpuc.ca.gov Please reference SoCalGas Petition for Modification of General Rate Case Application A. 17-10-008 in any communications you have with the CPUC regarding this matter.