Calif. PUC Requires Better Direct Access Load Forecasts in Procurement Plans

The California PUC has directed the investor owned utilities to better account for expected direct access load in their bundled procurement plans.

In a final order addressing various requirements for the bundled procurement plans (Rulemaking 10-05-006), the PUC agreed with the Marin Energy Authority and Southern California Edison on what level of direct access load should be reflected in the plans.

Specifically, SCE forecasts that the Commission-authorized increase in direct access would be fully subscribed in each year until 2013, consistent with D.10-03-022. This reflects a higher forecast of direct access participation than the standardized planning assumptions originally issued by the PUC for bundled procurement plans, and SCE argued that its assumptions are more consistent with SB 695 and D.10-03-022 than the standardized planning assumptions.

Pacific Gas & Electric and San Diego Gas & Electric's procurement plans relied on the standardized planning assumptions for forecasting direct access load.

The PUC determined that, "[i]t is appropriate to use more accurate load forecasts for MEA, consistent with SB 695, instead of the load forecast in the standardized planning assumptions. SCE is authorized to use its direct access assumptions for purposes of establishing position limits and ratable rates for its bundled procurement plan. The other utilities should engage in procurement consistent with SCE's assumptions for direct access."