SCE’s 2021 General Rate Case

Description

The GRC requests authorization for a base revenue requirement to become effective 1/1/21. These revenue requirements affect distribution, generation and new generation rates. Included in the GRC are new, proposed CCA service fees.

The CalChoice regulatory team has responded formally on several revenue requirements proposed in the GRC. First, the team is requesting examination of the allocation of costs related to procurement and generation related activities. These costs should be reflected in the generation revenue recovery (generation rates). By not doing so, SCE is artificially deflating their generation rates, which impacts CCA competitiveness. Secondly, the CalChoice regulatory team is challenging various CCA fees proposed in the GRC. In this application, SCE is proposing six new service fees. The team recommends that the Commission scrutinize these fees to ensure that the fees do not impose unreasonable financial burden to CCAs or otherwise disincentives CCA formation or operation.

Next Steps

The CalChoice team, joined by technical experts at Calpine, will meet with SCE in early March to begin settlement discussions aimed at reducing CCA service fees. This regulatory team has previously and successfully negotiated favorable settlement agreements on behalf of our member CCAs.