EDITORS: Please do not use
"Pacific Gas and Electric" or "PG&E" when
referring to PG&E Corporation or its National Energy Group.
The PG&E National Energy Group is not the same company as Pacific
Gas and Electric Company, the utility, and is not regulated by the
California Public Utilities Commission. Customers of Pacific Gas
and Electric Company do not have to buy products or services from
the National Energy Group in order to continue to receive quality
regulated services from Pacific Gas and Electric Company.
AND ELECTRIC COMPANY ASKS CALIFORNIA SUPREME COURT TO OVERTURN CPUC'S
DECISION ON INTERIM FUNDING FOR DWR
SAN FRANCISCO - Pacific
Gas and Electric Company has asked the California Supreme Court
to overturn the California Public Utilities Commission's (CPUC)
March 27, 2001 decision requiring the utility to pay the Department
of Water Resources (DWR) 9.471 cents per kWh on an interim basis
prior to the implementation of DWR's revenue requirement. The company
had asked the CPUC for a rehearing of its decision on April 30,
2001 and was denied the request on August 8, 2001.
In its Court filing the
company argued, "In order to ensure that the recovery of DWR's power
costs is fair and equitable to both electricity consumers and the
State's electric utilities, AB 1X establishes two mechanisms, and
two mechanisms only, for DWR to obtain funds from consumers and
the utilities to pay for its power purchases. The first is the Fixed
Department of Water Resources Set-Aside, which is defined by AB
1X as 'the amount of the California Procurement Adjustment that
is allocable to the power sold by the [DWR]' after reviewing and
taking into account the portion of the utilities' existing rates
needed to cover their own costs of service.
"The second is DWR's 'revenue
requirement,' which DWR is required to submit to the CPUC and which
is recoverable in customers' bills only if it has been determined
to be 'just and reasonable' under the Public Utilities Code and
if it has been determined by the CPUC to be in compliance with other
requirements of the Public Utilities Code. Nothing in AB 1X permits
the CPUC to order the utilities to send funds to DWR outside these
two statutory mechanisms or without complying with the specific
substantive criteria applied under these mechanisms.
"In Decisions 01-03-081
and 01-08-024, the CPUC violated AB 1X by ordering PG&E to remit
funds to DWR prior to establishment of either the Fixed Department
of Water Resources Set-Aside or the DWR revenue requirement in accordance
with the statutory criteria under Public Utilities Code Section
360.5 and Water Code Section 80110. The CPUC has exceeded the scope
of its authority, failed to proceed in the manner prescribed by
AB 1X, and abused its discretion, and therefore this Court should
grant review of and annul the DWR Decisions."