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FYI--Greg Klatt will participate in the Meet and Confer meeting on Tuesday in regard to the procedural schedule. gh
-----Original Message----- From: "Dan Douglass" <douglass@energyattorney.com<@ENRON Sent: Thursday, January 17, 2002 7:15 PM To: Rapp, Bill; Hass, Glen; Harris, Steven; Kilmer III, Robert Cc: Gregg Klatt Subject: SoCalGas/SDG&E BCAPs -- ALJ Brown Denies EGA Motion to Strike ALJ Brown denied the EGA motion to strike, so testimony on both the embedded cost-based and the long-run marginal cost-based (LRMC) methodologies for revenue allocation among customer classes will be allowed in this proceeding. Attached is a copy of her ruling. Her primary rationale is expressed on page 6, as follows: ".....the Commission has frequently deviated from cost allocations based solely on LRMC, and has been moving towards embedded costs for unbundled transmission and storage functions, as evidenced in both the recent decision in the GIR, and in the Gas Accord for PG&E. Therefore, it is apparent that the Commission is interested in comparing LRMC and embedded cost for cost allocation purposes. For this reason, EGA's motion to strike testimony on embedded cost-based allocation is denied. Testimony on embedded costs will be compared with the testimony on LRMC, to enable parties and the Commission to determine which method, or combination of methods, is most appropriate for allocation among customers of each utilities' non-gas costs of service. Including an embedded cost analysis in this BCAP might require more work from all the parties, but the record will then be as complete as possible so that the Commission can make a well-informed decision." She also ruled that, "The evidentiary hearing schedule of May 21 through June 14, 2002, is not suspended at this time. No later than January 22, 2002, parties are to meet and confer to determine if a shift in the filing dates for testimony will be sufficient to meet the needs of the parties' to respond to the March amendments to Biennial Cost Allocation Proceeding applications, and keep the established hearing schedule." Dan Law Offices of Daniel W. Douglass 5959 Topanga Canyon Blvd. Suite 244 Woodland Hills, CA 91367 Tel: (818) 596-2201 Fax: (818) 346-6502douglass@energyattorney.com - CPUC01-#114281-v1-A0109024_A0110005_Brown_Ruling_ (1).doc
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