An RPS is a market-based policy mechanism that requires a retail seller of electricity purchase a certain percentage of its electric portfolio from electricity generated by Eligible Renewable Energy Resources (ERR). 1 The RPS program is set forth in Public Utilities (Pub. The California RPS Program was established by Senate Bill (SB) 1078, and has been subsequently modified by SB 107 and SB 1036. The RPS Program requires each utility to increase the amount of renewable energy in its portfolio Specifically, this Commission determined that RPS contracts should be confidential for three years from the date the contract states that energy deliveries begin, except contracts between IOUs and their own affiliates, which should be public. Pursuant to D.06-06-066 and the decision's Appendix I "IOU Matrix", this Commission adopted a "window of confidentiality" for individual contracts for RPS energy or capacity. Util.) Code Section 583, General Order (G.O.) 66-C, and D.06-06-066 should be kept confidential to ensure that market sensitive data does not influence the behavior of bidders in future RPS solicitations. This resolution finds that certain material filed under seal pursuant to Public Utilities (Pub. The energy acquired from Big Valley will count towards PG&E's RPS requirements.Ĭonfidential information about the contract should remain confidential However, the Commission requires that the PPA be amended to be consistent with the Commission's rules regarding unbundled REC transactions. Payments made for RPS-eligible deliveries to PG&E under the PPA between PG&E and Big Valley are fully recoverable in rates over the life of the PPA, subject to Commission review of PG&E's administration of the PPA. Except for the provisions relating to unbundled RECs, the PPA is consistent with Decision (D.) 08-02-008, which approved PG&E's 2008 RPS Procurement Plan. PG&E's request is granted subject to PG&E filing an amended PPA that eliminates provisions conveying unbundled renewable energy credits (RECs) to PG&E. The PPA provides PG&E an option to extend the agreement for an additional 10 years. Pursuant to the proposed PPA, PG&E will procure generation from an existing biomass facility for a 10-year period. PG&E filed Advice Letter (AL) 3488-E on July 6, 2009, requesting California Public Utilities Commission (Commission) approval of an RPS PPA to replace an existing Qualifying Facility contract with Big Valley Power, LLC (Big Valley). PG&E's proposed power purchase agreement, as modified by this Order, is consistent with the RPS procurement guidelines and is approved with conditions Cost recovery for the PPA is approved subject to the parties amending the PPA to eliminate provisions for unbundled renewable energy credit transactions.ĮSTIMATED COST: Actual costs are confidential at this time.īy Advice Letter 3488-E filed on July 6, 2009.
PROPOSED OUTCOME: This Resolution approves cost recovery for a power purchase agreement (PPA) resulting from bilateral negotiations between PG&E and Big Valley Power, LLC., pursuant to California's renewables portfolio standard (RPS) program. PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA
E-4275 Redacted Final Resolution (This approves cost recovery for a power purchase agreement resulting from bilateral negotiations between PG&E and Big Valley Power, LLC)