GOOD
AFTERNOON AND WELCOME LIKE TO
CONVENE THE ASSEMBLY COMMITTEE
ON UTILITIES AND ENERGY HEARING
- SERGEANTS ARE YOU CALLING THE
ABSENT MEMBERS. LOOKS LIKE WE'VE
GOT A GOOD GROUP BEFORE WE MOVED
TO THE JENNIFER FEW HOUSEKEEPING
ANNOUNCEMENTS TO MAKE. EMILY
NOPE NOT THAT- ASSEMBLY MEMBERS
MASON TANG ARE ABSENT FROM
COMMITTEE TODAY. TODAY WE HAVE
TWO BILLS ON CONSENT THAT- WE
WILL VOTE ON IMMEDIATELY
FOLLOWING OUR COMMITTEE HEARING
TODAY WE WILL HOLD OUR RATES
INFORMATION. HEARING I WILL
MAINTAIN DECORUM. DURING THE
HEARING AS IS CUSTOMARY IN
PUTTING MYSELF. AND ANY
INDIVIDUAL WHO IS DISRUPTIVE MAY
BE REMOVED FROM THE ROOM OR
REMOTE MEETING SERVICE OR HAVE
THEIR CONNECTIONS MUTED. FINALLY
ANY MEMBER THE PUBLIC ATTENDING
A HEARING IS ENCOURAGED TO WEAR
A MASK AT ALL TIMES WHILE IN
HEARING ROOM AND THROUGHOUT THE
CAPITOL BUILDING ALSO KEEP IN
MIND THOUGH THAT SPACE AND
SEATING IS LIMITED FOR MEMBERS.
PUBLIC AND THE PRESS. WE HAVE A
FEW OPTIONS FOR TESTIMONY TODAY
IS THAT RIGHT. CORRECT THE
PROTEST AMMONIAN HERE IN HEARING
AS WELL RIGHT. TO GET
INFORMATION HEARING OKAY. TODAY
IN HEARING OF ANY MEMBER OF THE
PUBLIC IN THE ROOM WOULD LIKE TO
TESTIFY ON A BILL. PLEASE
APPROACH THE MICROPHONE AT THE
APPROPRIATE TIME. I ASK THE
PUBLIC NOT TOUCH THE MICROPHONE
. THERE WILL ALSO BE USING A
MODERATED AT TELEPHONE SERVICE
THROUGH WHICH ANY WITNESS CAN.
TESTIFY THE CALL IN NUMBER FOR
THIS HEARING IS EIGHT SEVEN
SEVEN. SIX NINE TWO. EIGHT NINE
FIVE SEVEN. THE ACCESS CODE IS.
ONE THREE ONE FIVE FOUR THREE
SEVEN. YOU CAN ALSO FIND THIS
NUMBER ON THE ASSEMBLY UTILITIES
AND ENERGY COMMITTEE WEBSITE AS
WELL AS ON THE TV SCREEN. IF
YOU'RE HAVING ANY PROBLEMS WITH
THE MODERATE PHONE SERVICE YOU
CAN CALL THE COMMITTEE AT NINE
ONE SIX. THREE ONE NINE TWO ZERO
EIGHT THREE AND STAFF WILL BE
THERE TO HELP. WE ARE ALSO
ACCEPTING WRITTEN TESTIMONY
THROUGH THE POSITION LETTER
PORTAL ON THE COMMITTEE'S
WEBSITE. WE WILL NOT MOVE TO THE
TO MEASURES THAT ARE ON THE
AGENDA THAT ARE ON CONSENT CALL-
I'M SORRY RECORD CALLS FOR FORTY
FIVE MINUTES NOW WE'RE GETTING
THERE FOR ILLNESS THAT-
SECRETARY PLEASE CALL THE ROLL
TO ESTABLISH THE CORN. EDUARDO
GARCIA- CENTER PATTERSON HERE
BEAR CAN R. K. HAND HERE CARILLO
. CHEN CHEN HERE CUNNINGHAM
CUNNINGHAM HERE CRISTINA GARCIA
CRISTINA GARCIA HERE HOLDEN.
HOLDEN HERE MAYES MURATSUCHI
MURATSUCHI HERE CORK YEAH
QUIRKIER REYES SANTIAGO TAKING.
WE HAVE CORN WITH EIGHT. SECOND
WE HAVE A MOTION AND A SECOND
FOR THE CONSENT CALENDAR. WELL
I'M GONNA READ THE ITEMS ITEM
NUMBER ONE ON CONSENT A. B.
NINETEEN SIXTY REQUIRE AND ITEM
TO AB TWO THREE OH TWO NUMBER
KIRK KIRK COURT. CORK UP.
SECRETARY PLEASE CALL THE ROLL.
I DON'T NUMBER ONE AB NINETEEN
SIXTY THE MOTION IS TO PASS ITEM
NUMBER TWO A. B. TWENTY THREE OH
TWO THE MOTIONIS DUE PASSED AS
AMENDED TO NATURAL RESOURCES.
EDUARDO GARCIA PATTERSON.
PATTERSON I'D BEEN WORKING ON
OUR QUE HAN HI CARILLO CHEN.
CHEN I CUNNINGHAM CUNNINGHAM I.
CRISTINA GARCIA CRISTINA GARCIA
HI HOLDEN. HOLDEN I MAYES
MURATSUCHI MERCY GI CORK. QUIRK
I REYES SANTIAGO KING. THAT'S
EIGHT AND- SIX AND FOLLOWS HIS
HIS PATH TO WANT TO JUST CLARIFY
THAT AB TWO THREE ZERO TWO WAS A
DO PASSED AS AMENDED CORRECT TO
ASSEMBLY NATURAL RESOURCES- THE
CONSENT FILE IS PASSED AND THAT
CONCLUDES OUR BILL PRESENT. YES. I WILL KEEP THE ROAD OPEN YEAH
CORRECT BROTHER MEMBERS. OKAY.
THANK YOU HAVE STARTED TO HELP.
YES WE NEED TO OPEN RISK. ONE OF
OUR REGULAR PARENTS OKAY BECAUSE
ONE OF THE CLOSING IT OUT YEAH
YEAH OKAY BUT WHAT WILL BE OPEN
. WE'RE GOING TO RESET ROSE
GONNA BE LEFT OVER WE'RE GOING
TO RE ON THE REGULAR HEARING TO
A FOR TIME FOR A VOTE ADULTS
RIGHT. YEAH. YEAH MEMBERS I HAVE
TWO BILLS TO PRESENTED OTHER
COMMITTEES- AND SO I'M GONNA
HAVE TO EXCUSE MYSELF FOR SOME
OF THIS INFORMATION HEARING
THANK YOU. OKAY FOR THE
INFORMATIONAL HEARING. ASSEMBLY. IN THE MORNING FROM. RIGHT
WE'RE NOW GOING TO OUR CALL TO
ORDER ASSEMBLY COMMITTEE
INFORMATIONAL ASSEMBLY COMMITTEE
ON UTILITIES AND ENERGY
INFORMATIONAL HEARING WE'RE HERE
TO DISCUSS THE INCREASING ENERGY
RATES EXPERIENCED THROUGHOUT
THIS WINTER AND SOLUTIONS WE
MIGHT IMPLEMENT TO PREVENT THEIR
CONTINUED. TO START WE HAVE SOME
HOUSEKEEPING TO GO OVER MEAN
COURAGE EVERYONE TO PRACTICE
PHYSICAL DISTANCE SENIOR WEARING
MASKS AT ALL TIMES HERE IN THE
ROOM AND THROUGHOUT THE CAPITOL
BUILDING. WE HAVE VERY LIMITED
SPACE SO SOME OF OUR PANELISTS
WILL BE PARTICIPATING REMOTELY
ENCOURAGED THOSE WHO ARE
WATCHING TO CALL IN DURING THE
PUBLIC COMMENT SECTION OF THIS
HEARING. THE CALL IN NUMBER FOR
THIS HEARING IS AND I'LL REPEAT
IT TWICE. EIGHT SEVEN SEVEN. SIX
NINE TWO. EIGHT NINE FIVE SEVEN
AND I'LL GO OVER THAT NUMBER
AGAIN IT'S EIGHT SEVEN SEVEN.
SIX NINE TWO EIGHT NINE FIVE
SEVEN. AND THE ACCESS CODE IS IN
THE GALLERY TO TWICE. ONE THREE
ONE FIVE FOUR THREE SEVEN. THE
ACCESS CODE IS. ONE THREE ONE
FIVE FOUR THREE SEVEN YOU CAN
ALSO FIND THIS NUMBER ON THE
ASSEMBLY UTILITIES AND ENERGY
COMMITTEE WEBSITE AS WELL AS ON
THE TV SCREEN. WE HAVE A HARD
STOP AT SIX PM FOR HEARING TODAY
THE REPROACH THAT TIME WE MAY
NOT GET TO EVERYONE WAITING TO
PROVIDE TESTIMONY. TO MAKE TIME
FOR EVERY PERSON WITHOUT WANTING
TO COMMENT WE WILL LIMIT REMOTE
PUBLIC TESTIMONY TWO ONE MINUTE
PER PERSON. ALL RIGHT QUESTIONS
REGIS OPENING STATEMENT JUST GO
DOWN HERE TO. SECTIONS OKAY. I
CAN VEGAS OF. YEAH I'M GOING TO
READ THE CHAIR'S OPENING
STATEMENT HE'S BEEN
INADVERTENTLY- KEPT. ARE KEPT
AWAY FROM THE HEARING OVER THE
LAST FEW MONTHS MANY
CALIFORNIANS HAVE EXPERIENCED
RECORD HIGH ELECTRIC AND GAS
BILLS SOME CUSTOMERS REPORTED A
DOUBLING OR TRIPLING OF THEIR
BILL EVEN WHEN THEIR USAGE DID
NOT CHANGE MOST OF THESE BILLS
INCREASES CAME UNEXPECTEDLY
SHOCKING MANY CALIFORNIANS
ALREADY STRUGGLING WITH
INFLATION AND ECONOMIC
UNCERTAINTY FOR AN EXTENDED
GLOBAL PANDEMIC. THE PURPOSE OF
THIS HEARING IS TO EXAMINE WHAT
IS DRIVING THIS CONTINUED
INCREASE IN RATES. THE HIGHLIGHT
CURRENT THINKING ABOUT SOLUTIONS
TO HELP MANAGE THESE COSTS. WE
HAVE INVITED A PANEL TO DISCUSS
POTENTIAL IMPACTS AND SOLUTIONS
TO MANAGE FUTURE HIGH ELECTRIC
RATES. WE WILL START WITH SIMON
BAKER DIRECTOR OF THE CALIFORNIA
UTILITIES COMMISSION. I ASK OUR
PANELISTS PROVIDE THEIR OPENING
STATEMENTS BEGIN THEN TURNED TO
THE COMMITTEE FOR QUESTIONS
DIRECTOR BAKER. HE WILL BE ON
THE SCREEN SO. DIRECTOR BAKER.
GOOD AFTERNOON THAT THAT THAT
THAT FOUND CHECK CAN YOU HEAR
ME. YES AND CAN YOU SEE ME ON
THE SCREEN. NO ARE THERE WE GO.
WE NOW SEE OKAY. HELLO SO I'M
GOING TO ATTEMPT TO SHARE MY
FIVE HELP WORK.
YEAH REMEMBER WE'RE BEGINNING
YEAH WE CAN SEE YOUR LAPTOP WE
CAN SEE THE POWER POINT.
VERY GOOD I DOING HERE I'M ARE
YOU ABLE TO LOOK AT MY TO MY
POWER POINT YEAH IT INDICATES WE
AT- IT LOOKS GOOD. AT JUST ONE
MOMENT PLEASE.
WELL WE DID SAID NOW WE ONLY
SIERRA. OKAY OUR ARMED GO AGAIN
HERE.
OKAY. ALL RIGHT. GOOD AFTERNOON
ASSEMBLY MEN CORK AND HONORABLE
MEMBERS OF THE COMMITTEE. TODAY
I'M GOING TO BE- SHARING WITH
YOU WHAT WE'RE SAYING IN TERMS
OF HISTORICAL TRENDS IN THE
LARGE ALECTRA INVESTOR OWNED
UTILITY OUT WE ALSO REGULATE A
SMALLER MARKETERS FICTIONAL
UTILITIES BUT TODAY'S
PRESENTATION OF FOCUS ON A LARGE
I'VE USED. ALSO WHAT WE'RE
pTERM COST DRIVERS IN AND RATES.
AND AN OVERALL TRENDS AND- AND
CAUGHT. IN RECENT YEARS AND
LOOKING FORWARD. SOME OF THE
WORK THAT WE'RE DOING TO
MITIGATE THOSE RATE AND BILL
IMPACT. AND WHAT WE'RE DOING IN
OUR AFFORDABILITY PROCEEDING. TO
REVIEW ADDITIONAL BLUE SKY
PROPOSALS INCLUDING SOME-
ACTIONS THAT WOULD REQUIRE
LEGISLATIVE ACTION. TO FURTHER
MITIGATE RATE AND BILL IMPACT.
SO- FIFTH TWO THOUSAND AND
THIRTEEN WE'VE BEGUN TO SEE A
TREND THAT CAN OPERATE BEGINNING
TO INCREASE AT A RATE THAT
EXCEEDS THE RATE OF INFLATION.
AND A BIT SLIDESHOWS-
RESIDENTIAL RATE FOR THE THREE
LARGE UTILITY. AND WE CAN SEE
THAT THE- SOLID COLORED SHADED
AREA HERE WHICH IS SHOWING THE
HISTORICAL DATA FROM TWENTY
THIRTEEN- TO TWENTY TWENTY AND
THERE YOU CAN SEE THAT FOR PG&E
AND FOR US TO DOANY. REALLY
THE- INCREASE IN AND RESIDENTIAL
RATE HAS HAS GONE ABOVE THE
BLACK LINE WHICH IS THE RATE OF-
SPPI INDEX OF INFLATION.
ADDISON'S RATE- HAVE STAYED
UNDER THAT BLACK LINE UNTIL
TWENTY TWENTY ONE AND- BROKE THE
TREND AND CUT JOINED TOGETHER
UNTIL EIGHT. AND THEN WHAT WE
DID- THE STATE ACTUALLY THEY
COME FROM- A- SPECIAL STUDY THAT
WE DID AND TWENTY TWENTY ONE.
AND THE COMMISSION HELD IN ON
BOND. WITH SISTER AGENCIES TO
BRING ATTENTION TO THAT ISSUE
WHICH WE'VE BEEN REPORTING ON
AND ARE AB FIFTY SEVEN RECORD
INTERESTED SIX NINETY FIVE
RECORD- SINCE WE FIRST STARTED
TAKING A TREND IN TWENTY
THIRTEEN. AND THEN THAT SPECIAL
STUDY WE DID A TEN YEAR A GREAT
PROJECTION WHICH NECESSARILY
REQUIRED A LOT OF MONEY I
FUNCTIONS AND WITH UNCERTAINTY.
BUT WHAT YOU SEE HERE IN THE
HASH MARKS AND IT'S CRAP THAT
THE RESULT. OF THAT OF THOSE
VERY PROJECTIONS. AND SO WHAT
WHAT WHAT WE- IS THAT BY TWENTY
THIRTY. BOND OLD PRESIDENTIAL
ELECTRIC RATES ARE FORECASTED TO
BE. APPROXIMATELY 40% HIGHER FOR
PG&E 20% FOR ADDISON AND 70%
PERCENT DIEGO ARE THEN RATES
WOULD HAVE BEEN AT TWENTY
THIRTEEN RATES HAD JUST GROWN AT
THE RATE OF INFLATION. AND WHAT
THAT MEANS- FOR OUR MONTHLY BILL
INCREASES OVER THE COURSE OF TEN
YEARS IF THAT FOR PG&E CUSTOMERS
AT THE FORTY FIVE DOLLAR
INCREASE ADDISON ABOUT THE FAMED
AND FOR SAN DIEGO GAS AND
ELECTRIC ALMOST EIGHTY DOLLARS
TO. INCREASE NOW. SINCE THE
STUDY WITH DONE LAST YEAR USING
TWENTY TWENTY DAY THAT WE HAVE.
NEW DATA THAT SUGGESTS THAT SIX
PROJECTIONS MAY ACTUALLY BE
UNDER- AT THE MEETING FOR
EXAMPLE PGNIG RECENTLY MADE A
GENERAL RATE CASE FILING IN
WHICH THEY'RE PROJECTING AND 19%
THE ONLY PRE. SO THE THAT THE
MAIN CONTRACTOR THAT WE'RE
SEEING IN THE SHORT TERM IS DUE
TO INCREASE IN NATURAL GAS
PRICES. B- THE THREE LARGE
UTILITIES PUT CAUGHT INTO RATE
IN TWENTY TWENTY. THAT AMOUNTED
TO ABOUT A 19% RATE INCREASE FOR
PG&E. IN A 100% RATE INCREASE
FOR AT A TEN AND 11% FOR SAN
DIEGO GAS AND ELECTRIC. AND
ABOUT HALF OF- THAT THOSE THOSE
RATE INCREASES ARE ATTRIBUTABLE
TO THE INCREASE AND- FUEL AND
PURCHASED POWER COSTS WHICH ARE
NOT BE COVERED THROUGH- WHAT'S
CALLED THE ENERGY RESOURCE AND
RECOVERY ACCOUNT MARK ERA. AND
THAT'S WORKING ON PROJECT PART
COSTS ARE RECOVERED. AND NATURAL
GAS PRICES HAVE BEEN A FACTOR ON
ON POWER PRICES BECAUSE FEDERAL
GAS FIRED GENERATION IS- ON THE
MARGIN AND AFFECT THE PRICE AND
WHOLESALE AND WHOLESALE MARKET.
THE CHART ON THE LEFT HERE SHOWS
A PRICE TRENDS THAT WE'VE SEEN
AT HENRY HUB WHICH IS A MAJOR-
TRADING HOW. IT'S BEEN TWENTY
TWENTY TWENTY THAT THAT THE
PRICE OF NATURAL GAS HAS GONE
OUT WHAT'S DRIVING IT IS THE
THIRD INCREASED GLOBAL DEMAND
PRIMARILY DUE TO ECONOMIC
RECOVERY THANK OF THE NINETEEN
AND ALSO. WIDESPREAD
DECARBONIZATION POLICIES WHICH
ARE DRIVING COAL- OUT OF THE
ELECTRIC POWER MIX AND BEING
SUBSTITUTED BY NATURAL GAS. WE
ALSO SAW AN UNUSUAL WEATHER
EVENTS- SO CALLED POLAR VORTEX
VERY COLD WEATHER IN THE PACIFIC
NORTHWEST. AND IT- CREATED
COMBINED WITH THE LIVABILITY
CONCERNS BUT OFFERED BY OUR-
PRESSURE ON WESTERN DELIVERY
POINTS. AND THEN FOR SOCAL
IMPENDING A CRITICAL GAS AND
ELECTRIC BUT PARTICULAR
SITUATION THERE IN THE SOUTHERN
SYSTEM WHERE AN OUTAGE ON THE EL
PASO INTERSTATE PIPELINE IN-
INTO MEXICO. AFFECT THEIR AN
IMPORTANT REMINDER IS THAT THE
PRICE OF FOSSIL NATURAL GAS THAT
IS NOT REGULATED TO DETERMINED
BY THE MARKET. AND THE PC DOES
REVIEW UPDATES GOING PURCHASED
POWER COSTS IN THE ERA
PROCEEDING WHERE THOSE COSTS ARE
COLLECTED. AND THEN WE ALSO
REVIEW OTHER COSTS THAT ARE
WHAT'S CALLED DEREK THE GENERAL
RATE CASE PROCEEDING THAT'S
WHERE. THE UTILITY MAKE THE
PROPOSAL ON WHAT THEY BELIEVE TO
BE THE COPS TO SERVE ELECTRICITE
AND REPAIR ADVOCATES AND OTHER
STAKEHOLDERS THAN PICK THAT IN-
EVIDENTIARY PROCEEDINGS AND-
ULTIMATELY APPROVED. A BUDGET
FOR THE UTILITY TO OPERATE THEIR
SYSTEMS BASICALLY. AND BY THE
WAY. SO WHAT DO WE THINK IN
TERMS OF THE COST DRIVERS. WATER
MITIGATION IS- ONE THE- IF.
RIGHT NOW AND MOST OF THAT IS
BEING- COLLECTED THROUGH THE
DISTRIBUTION CONTENT THE
COMPONENTS OF OUR GREAT. WHAT
YOU SEE ON THE RIGHT THERE IS- A
GRAPH LOOKING AT TRENDLINES FROM
TWENTY ELEVEN TO TWENTY TWENTY.
FOUR THE COMBINED I OWE YOU.
BROKEN DOWN BY TYPE OF-
DISTRIBUTION INVESTMENT AND YOU
CAN SEE A BIG UPTICK IN TWENTY
TWENTY AND OPERATIONS AND
MAINTENANCE. WHAT'S THAT FROM
THE VEGETATION MANAGEMENT CLEAR
LINES ALSO- LIABILITY INSURANCE
POTS. AND THEN ALSO IN TWENTY
FIFTEEN YOU CAN EITHER SEND AN
UPTICK IN THE RETURN ON RATE
BASE AND DEPRECIATION TOLD HER
THAT YOU COULD HAVE ELEMENT OF
CAPITAL COSTS- BETTER THERE AS
WELL. TO PUT IT IN SPECIFIC
NUMBERS ADDICT AND- PUT A THREE
HUNDRED EIGHTY FIVE MILLION
DOLLAR INCREASE VENTURE RIGHT ON
JANUARY FIRST AND PG&E. HAS BEEN
A MARKETING CREATE AN INSURANCE
EXPENSES UP FOUR HUNDRED AND
FORTY FIVE MILLION DOLLAR
INCREASE IT OUT FROM JULY.
TWENTY SEVENTEEN TO DECEMBER
TWENTY NINETEEN. WELL THE THING
THAT ALEXA TREND ABOUT FOR.
PICNIC TO INCREASE TAKEN
TRAINING SENT TO ELEVEN. AND YOU
CAN PLAY ON ON THE RIGHT HERE
THERE'S A CHART WHICH BREAKS IT
DOWN BY UTILITY IN TERMS OF WHAT
WE'RE SEEING IN TERMS OF THE
ANNUAL GROWTH RATE. HE JENNY HAS
GROUND THAT 9% OUT OF AND ABOUT
FIVE AND A HALF PERCENT AND
FANCY A GO ABOUT 5% I THINK
TWENTY ELEVEN AND YOU CAN SEE
THAT IN PARTICULAR PG&E HAS
TRENDED UP SIGNIFICANTLY. THANK
TWENTY. SEVEN AT HAS- HELD
STEADY. ALTHOUGH IT DID AFTER
RECENTLY AND WE'RE SEEING THAT
CONTINUE TO OP CHECK AND SEND IT
BECAUSE THAT'LL INCREASING. IF
YOU THINK THAT ADVOCATE AT
BURKE. TO IN TRANSIT
TRANSMISSION OWNER RATE CASES.
TO HOLD DOWN THE COST AND WE'VE
ACTUALLY BEEN QUITE SUCCESSFUL.
IN THAT EFFORT SO THAT RESULTED
IN ABOUT A BILLION DOLLARS TO
REPAIR SAVINGS FOR PG&E
CUSTOMER. TWENTY FOUR DOT TWO
HUNDRED MILLION FOR ADDISON AND-
EIGHTY SEVEN BILLION PER SAN
DIEGO GAS ELECTRIC. ANOTHER
MAJOR- DRIVER OF A GRADE
INCREASES. GROWTH BEHIND THE
METER DISTRIBUTOR JUST ENERGY
RESOURCES FOR EXAMPLE- ROOFTOP
SOLAR. AND THAT'S BECAUSE- THE
SAME AMOUNT OF COSTS NEED TO BE
COLLECTED- OVER- OVER OVER OVER
THE SALE TO THAT THE UK CAN
THOSE. THE JURIST UTILITIES-
HAVE FAITH THE NINETEEN EIGHTIES
BAND GUARANTEED A- RECOVERY-
THERE- OF THE CERTAIN AMOUNT OF
REVENUE. AND BECAUSE IT TAKES
AWAY THE IF YOU DISINCENTIVE OF
THE UTILITY TO- OPPOSE
CONSERVATION POLICIES SUCH AS
ENERGY EFFICIENCY ARE WITH TOP
SELLER. THAT SIDE DE COUPLING
POTS OF COFFEE COMPANY POLICY
THE BEST PRACTICE- BUT WHAT IT
DOES MEAN IS THAT AND- THOSE
COSTS AND GET SHIFTED OVER TO
OTHER CUSTOMERS THAT ARE
CONCERNED CONCERT OUR PART DON'T
HAVE. ROOFTOP SOLAR. THE STATE
AFTER OP FOR EXAMPLE ESTIMATES
THAT THE ANYA COST FROM THE THAT
ENERGY METERING CHARACTER
ENCOURAGE WITHOUT SELLER- THAT
COST. ABOUT THE THREE POINT FOUR
BILL DOLLARS IN TWENTY TWENTY
ONE I'M AT THE POINT OF
COMPARISON TO THAT 80% OF THE-
TWENTY TWENTY ONE TRANSMISSION
COSTS AND IN TOTAL. AND THE
PUBLIC ADVOCATE'S OFFICE ARE
PROJECTS THAT THAT THAT WITHOUT
REFORMS TO THE CURRENT NET
ENERGY METERING POLICY THAT THAT
SHIPPED BACK KAUSHIK COULD
INCREASE. TO ALMOST SEVEN
BILLION BY TWENTY THIRTY. THE IN
THE RIGHT THEIR SHIP. UTILITY
REPORTED THE IMPACT OF THE
CURRENT ENERGY NEARING POLICY ON
NON PARTICIPATING- ARE GREAT
PLAYERS. WITH RATE IMPACTS FOR
PG&E AT 11% GOING UP TO AS MUCH
AS 20% 4% DIEGO GAS AND ELECTRIC
pAND THE EFFECT IT HAS ON ANNUAL
BILLS FOR. CARE AND NON CARE
CUSTOMERS IT IS SHOWN THERE TO
THE RIGHT RANGING FROM- ANYWHERE
JOSH HUNDRED DOLLARS TO UPWARDS
OF A THREE HUNDRED DOLLARS AGAIN
EITHER- YOU KILL ANY REPORTED
ACCIDENTS BASED ON DATA THEY
SUBMITTED IN RESPONSE TO A-
REQUEST. I TO INFORM OUR SB. SIX
NINETY FIVE REPORT. I KNOW
MAJOR- POPPED IS TRANSPORTATION
INFRASTRUCTURE- AT
ELECTRIFICATION INVESTMENT. THE
PT HAS AUTHORIZED A TOTAL OF ONE
POINT EIGHT BILLION DOLLARS AND
REPAIR FUNDING TO SUPPORT THAT
ACTIVITY OF WHICH THREE HUNDRED
MILLION AT PARTY SPENT BUT WE DO
BELIEVE THAT- IT'S PROBABLY
IMPOSSIBLE OUR IMPACT ON ON
RATES AND- OTHER FACTORS. AND
THEN FINALLY- IF YOU SEE HAS. IN
RECENT YEARS. WE BEEN ORDER
VEHICULAR TO PUT YOUR A
GENERATION. AND AND DEMAND SIDE
MANAGEMENT PROGRAMS TO INCREASE
CAPACITY ON THE SYSTEM- TO
ENSURE THAT- WE HAVE SUFFICIENT
RESOURCES TO. THE SUMMER ALECTRA
PEAK DEMAND I PARTICULARLY AN
EXTREME HEAT WAVE DOESN'T
RESPOND TO THAT TWENTY TWENTY
EXTREME HEAT RATE THAT WE
THOUGHT AND ADVANCEMENT THAT
WE'VE BEEN MAKING SENSE AND- NOW
THERE'S BOUND BY THE HOPE THAT-
EVENTUALLY WITH THE INCREASE IN
TRANSMISSION ENTRANCE
TRANSPORTATION ELECTRIFICATION
AND BUILDING ELECTRIFICATION
THAT SALES WILL INCREASE TO A
POINT WHERE. IT BEGINS TO OFFSET
SOME OF THESE COSTS THAT WE'RE
SEEING. WE CAN THANK AT THE
MOMENT THAT WE'RE IN SOMEWHAT
PERHAPS THAT'S A VALLEY OF DEATH
WHERE WE SEE REALLY HIGH COST
BUT BUT LOS FAILED AND- AND WHAT
KIND OF EXPERIENCE IN THE WORST
OF BOTH WORLDS AND SO. THE HOPE
IS THAT ONCE WE GET KIND OF TRUE
THAT- AND WE INCREASE FAILED TO
ELECTRIFICATION THAT WILL BEGIN
TO- SOFTEN. THE BLOW ON RIGHT.
WHAT IS YOUR MAIN. BY WHICH WE-
MITIGATE AND- IN IT ON RATE AND
BILL THAT. THE FIRST IS TO
REDUCE COSTS AND VOTE THAT
THAT'S BASICALLY THE MOST DIRECT
WAY- IMPAIR AND IMPACTING
THAT'S- ABOUT THE LARGER- IMPACT
ON RATES AND BILLS. RELATIVE TO
THE OTHER STRATEGY WHICH IS TO
CHANGE THE WAY THAT WE ALLOCATE
THOSE COSTS FOR EXAMPLE
ALLOCATING. MORE COST. TO
CUSTOMERS THAT CAN CONSUME MORE.
ELECTRICITY RATHER THAN LAST OR-
ALLOCATE COSTS PERHAPS YOU-
THOSE WHO CAN- ARE IN HIGHER
INCOME BRACKETS OR WHAT HAVE YOU
SO. THOSE THOSE THOSE COST
ALLOCATION METHODS THAT HAVE A
MORE INDIRECT IMPACT AND THEY
HAVE A MUCH SMALLER- GREAT
IMPACT AND BILL IMPACT AND COST
REDUCTION STRATEGY BECAUSE THE
SAME AMOUNT OF. COST. NEED TO BE
RECOVERED OVERALL. THE WHAT THE
PEACE BEEN DOWN- TO TRY ADDRESS
THAT WORRISOME. BOB SECURITY-
ADORED GRANTED BY THE
LEGISLATURE IS ONE WAY OF
DRAFTING THAT'S BECAUSE THAT
ALLOWS. A VEHICLE IF YOU ARE
SPREAD OUT THE COST RECOVERY
OVER A LONGER PERIOD OF TIME BUT
IT DOES HAVE HIGHER TRANSACTION
COSTS THAN TRADITIONAL
FINANCING. UNDER AB TEN FIFTY
FOUR A FORTY THE PC AUTHORIZED
ONE POINT SEVEN THREE BILLION
AND SECURITISATION A LOT FOR
MITIGATION CAPITAL SPENDING. AND. ANOTHER ONE POINT SEVEN
BILLION. IT PENDING OPERATE FOR
PJ WHILE OUR CAPITAL. HE ALSO
AUTHORIZED SEVEN AND A HALF
BILLION A PART OF VIRGINIA'S
CORPORATE BANKRUPTCY PLAN. AND
UNDER CURRENT STATUTE THE PC HAS
ADDITIONAL I HAD ROOM TO- ALLOW
SECURITIZATION OF UP TO ANOTHER
ONE POINT THREE SEVEN BILLION
AND WHILE PARK CAPITAL
INVESTMENT. WE ALSO HAVE
LEGISLATIVE AUTHORITY TO-
SECURITIZED OCTOBER NINETEEN
HUNDRED COLLECTIONS OR A REAR
KIDS OUT BUT WE DID NOT REVIEW A
REQUEST BY AT AND TO DO THAT AND
IT WAS ACTUALLY DENIED. BY THE
COMMISSION GIVEN HIGHER COSTS
OVER THE LONG TERM ARCHITECTURE
IT TIGHT AND ALSO DUE TO
INTERGENERATIONAL. EQUITY
CONCERNS. ANOTHER STRATEGY THAT
WE HAVE BEEN IMPLEMENTING IT TO
REALLY ENHANCE OUR REVIEW OF
WILDFIRE INVESTMENT. SO WE DO
THAT YOU'RE BETTER TRACKING OF
THE WILDFIRE INVESTMENT. THAT
THE UTILITIES ARE PROPOSING AND
COORDINATING THROUGH THE OFFICE
OF ENERGY INFRASTRUCTURE SAFETY
OUT REVEALING THE UTILITIES THE
WILDFIRE MITIGATION PLAN AND
THEN SEEING HOW THOSE PLANS AND
TRANSLATE INTO SPECIFIC RATE
PROPOSALS AND THE GENERAL RATE
CASE PROCESS. AND USING OUR
FIFTY MODELS THAT THE PROCEEDING
AND RISK MITIGATION PROCEEDINGS-
TO- TO RANK HOW- SAFETY-
INVESTMENT- SHOULD BE PURSUED
AND RANK ORDER BASED ON THEIR
WRIST BAND EFFICIENCY. THE WE
HAVE METHODS THAT HAVE BEEN
DEVELOPED OUT OF THOSE
PROCEEDINGS Q. INFORM BASICALLY
WHERE THE BEST BANG FOR THE
BUCK- IS NOT FOR THOSE
INVESTMENTS. WE'RE ALSO
CONSIDERING A PROPOSAL BY DAY
UTILITIES TO DEVELOP THEIR OWN
SELF INSURANCE POOLS THIS IS
BECAUSE THE UTILITIES ARE SAYING
SKY ROCKETING INSURANCE PREMIUMS
AND SO THAT COULD BE AN
ALTERNATIVE TO HAVE REPAIRS
ACTUALLY CREATE THEIR OWN
INSURANCE POOLS. I'M SO THAT'S
SOMETHING THAT WE'RE REVIEWING.
THE PFT- IS ALSO CONSIDERING
POSSIBLE SPENDING CAPS OR. ONE
WAY BALANCING ACCOUNT. TO
ACCOMPLISH THEM OF SPAM- ON THE
THAT IN. BUT THAT'S AS WELL
BECAUSE WE TO ENSURE THAT THE
STATE SPEND SB- OPERATING MAKING
AND SAFE MANNER. AND I FINALLY.
WE ARE WE CAN EXAMINE RETURN ON
THAT THAT IS GRANTED TO THE
UTILITY- AT AT AS PART OF THE
REGULATORY CONTACT IN A CAPITAL
PROCEEDINGS THAT ARE BEFORE US
AND- STAKEHOLDERS ARE DEBATING-
THE APPROPRIATE LEVEL OF RATE OF
RETURN MADE EFFECTIVE FOR RETURN
ON EQUITY- ANOTHER STRATEGY IS
TO REVIEW OUR NET ENERGY
METERING TERROR POLICY AND AS-
I'M SURE YOU ARE ALL AWARE WE'RE
IN THE MIDST OF DOING THAT.
RIGHT NOW. THERE IS A PROPOSED
DECISION ADMINISTRATIVE JOB LAW
JUDGE IN THE PRECEDING THAT AT
ABOUT THE COMMENT NOW AND THAT
CAN HAVE THE EFECT OF REDUCING
THE COST SHIFT FROM PARTICIPANTS
AND NON PARTICIPANTS. IN OUR
INTEGRATED RESOURCE PLANNING
PROCESS. WE ALSO- TAKE A VERY
THOUGHTFUL AND COMPREHENSIVE
ANALYTICAL APPROACH TO LOOK AT
ALL THE DIFFERENT. RESOURCE
OPTIONS YOU NEED OUR GREENHOUSE
GAS. AND RELIABILITY AND CLEAN
ENERGY GOALS AND TO DO
TELESCOPIC ACTIVELY THROUGH A-
TECHNOLOGY AGNOSTIC- APPROACH.
AND THEN FINALLY WE HAVE A
NUMBER OF DIFFERENT BILL PAYMENT
RELIEF OPTIONS SOME OF WHICH
HAVE BEEN IMPLEMENTED IN THE
LAST. COUPLE YEARS AND- THE I
GET CONNECTIONS PROCEEDING IN
ANOTHER PROCEEDING TO IMPLEMENT
FOR EXAMPLE- PAYMENT PLANS
TWELVE TO TWENTY FOUR MONTH
PAYMENT PLANS FOR RESIDENTIAL
AND SMALL BUSINESS CUSTOMERS
ALSO IN ARREARS MANAGEMENT
PROGRAM WHICH PROVIDES PARTIAL
ARREARS FORGIVENESS. AS PART
ABOUT PAYMENT PLAN AND ALSO- WE
ARE WE HAVE A FOUR YEAR PAYMENT
PLAN PILOT ACROSS UTILITY TO
ARMAND. TO TO ESTABLISH THE
AMOUNT THAT A CUSTOMER WOULD PAY
BASED ON- BASED ON INCOME. THE
FINALLY WE OPENED A PROCEEDING
IN TWENTY EIGHTEEN TO LOOK AT
THE PORTABILITY ISSUE BECAUSE OF
THE WORK AND TRANSIT WE'VE BEEN
PAYING. AND BUT FAR WE HAVE.
DEVELOPED AND ADOPTED A SET OF
AFFORDABILITY METRICS AND ALSO
AT THAT OF FORECASTING TOOLS.
AND IN TWENTY TWENTY ONE AS PART
OF THAT PROCEEDING WE- WE HELD
IN OUR BALK AT THE NATION'S
EARLIER. AND AND TRANSMITTED THE
RESULT OF THAT IN OUR LIVES
REPORT FOR SB SIX NINETY FIVE
AND THEN IN FEBRUARY OF THIS
YEAR WE AGAIN HAD ANOTHER ON
BOND HEARING WITH ALL OF OUR
COMMISSIONERS AND SISTER
AGENCIES. WHICH REALLY STARTED
TO BRING IT OPTIONS IN THE CLEAR
FOCUS AND SO STAKEHOLDERS
PRESENTED TO- THE PVC AND NUMBER
OF DIFFERENT PROPOSALS. AND
THESE ARE BEING UNDER
CONSIDERATION RIGHT NOW- AMONG
THEM ARE SOME THAT ARE WITHIN.
FORTY OF THESE INCLUDE THE
PERCENTAGE OF INCOME PAYMENT
PLAN THAT I MENTIONED- ALSO IN
ENHANCING OUR USE OF THESE. RISK
SPENDING EFFICIENCY METRICS. THE
ALSO- A PER. TO THE UTILITIES TO
THE MAT- GENERAL RATE CASE.
PROPOSAL ALTERNATIVE THAT ARE
BASED ON THE CPI INDEX TO REDUCE
THE ANGER BIAS OF A- UTILITY
PRINCIPLE PROPOSAL THAT THEY
FILE. ANOTHER OPTION WOULD BE TO
REDUCE UTILITIES AUTHORIZED
RETURN ON EQUITY. OF THE-
PROPOSALS THAT HAVE BEEN PUT
FORWARD THAT ARE BEYOND A FEW
KEY CURRENT AUTHORITY AT LEAST
IN PART OR IN WHOLE. ARE NOT
MOVING FROM WILDFIRE MITIGATION
INVESTMENT TO THE GENERAL FUND
OR PER PUBLIC PURPOSE FUNDS- AND
IMPLEMENTING AN INCOME BASIC
CHARGE WHERE THE AMOUNT. CHARGE
WOULD PROGRESSIVELY INCREASE FOR
OUR INCOME HOUSEHOLD THAT'S ONE
OF THE COCKTAIL OCCASION I'LL
TURN IT IS THAT THERE POSSIBLY
PAPER TRANSPORTATION EXPECTATION
COSTS IN SOME OTHER WAY.
DETERMINE IF- ADDITIONAL- FUTURE
DIVISION THAT'S ALREADY MAY BE
APPROPRIATE FOR ELECTRIFICATION.
INVESTMENT PERHAPS ADOPTING A
WILDFIRE MITIGATION SURCHARGE ON
Q. CHART. AS AN- HI FIRE THREAT
AREA MORE I DO TO TACKLE THE
RINKER ON TO THE AND REDUCING
THE BECAUSE THE OF WILDFIRES BY
APPLYING PIECE SAME SPEND
EFFICIENTLY METRICS PRINTER
BARBARA TO LAND USE AND COURSE
MANAGER YOU FOR THREE MANAGED
PRACTICES AND IN STATE LAW
PLANNING. THANK YOU SO MUCH FOR
THE PROPERTY TO PURSUE AND- THAT
CONCLUDE LINE REMARKS. THANK YOU
DIRECTOR.
THANKS. THANK YOU DIRECTOR
BAKER- LET ME FIRST ASK- IF WE
HAVE QUESTIONS FOR DIRECTOR
BAKER- WITH ANY OF THE COMMITTEE
MEMBERS LIKE TO ASK QUESTIONS.
YES ASSEMBLY MEMBER MURATSUCHI.
THANK YOU VERY MUCH- MISTER
BAKER- I BELIEVE THAT I HEAR
CORRECTLY- AND INDICATING THAT
ABOUT 50% OF. VIA THE INCREASES
IN ELECTRICITY PRICES ARE DUE TO
THE INCREASES IN NATURAL GAS
PRICES. THAT'S CORRECT- OKAY-
BUT FOR THE SHORT TERM INCREASE
THE THIRD THAT WENT INTO EFFECT-
EIGHT THIS YEAR. OKAY. I THINK I
THINK THAT'S THE ONLY QUESTION I
HAVE AT THIS POINT THANK YOU- NO
ONE ELSE I HAVE GO HEAD TO.
ASSEMBLY MEMBER KRIEL THANK YOU
MISTER CHAIR JUST WANTED A POINT
OF CLARIFICATION FROM DIRECTOR
BAKER AS TO WHEN THE EXPECTED
DECISION ON NET ENERGY METERING
WOULD BE. AB RIGHT NOW THAT'S IN
THE HANDS OF THE- I THANK
COMMISSIONER TO THE PROCEEDING
THAT THE PRESIDENT REYNOLDS. AND
SHE IS. CURRENTLY REVIEWING THE
RECORD AFTER STATING. AND AT THE
NOTED IN A- PROCEDURAL RULING
THAT THE ADMINISTRATIVE LAW
JUDGE ISSUED. I BELIEVE THAT WAS
IN JANUARY- THAT THE JUDGE NOTED
THAT- AN UPDATED PROCEDURAL
SCHEDULE WOULD BE ISSUED ONCE
THE TIME COULD BE FINE. THE TIME
COULD BE FOUND FOR ALL FIVE OF
THE COMMISSIONERS TO- TO HOLD A
HEARING WHERE BY ALL OF THE
PARTIES TO THE PROCEEDING COULD-
PRESENT THEIR- THEIR FINAL
ARGUMENT TO THE FIVE
COMMISSIONERS SO THAT IS STILL
PENDING- I DON'T HAVE A SPECIFIC
DATE. DATE FOR YOU AT THAT TIME-
BECAUSE I DON'T KNOW. THANK YOU
AYE I APPRECIATE THE FRANK
RESPONSE CAN YOU JUST CLARIFY
FOR THE RECORD AGAIN THE COST
SHIFT AND HOW MUCH IT'S COSTING
. IN THE BILLIONS THAT YOU
MENTIONED IN YOUR PRESENTATION
WHEN THAT ENERGY METERING IS NOT
ADDRESSED. ALL RIGHT SO IN MY
PRESENTATION I PRIDED- ONE POINT
THAT IS ON THE RECORD BY THE IF
YOU PUBLIC. ADVOCATE OFFICE. AND
I SHOULD CLARIFY THAT THERE ARE
OTHER POINTS THAT ARE ON THE
RECORD AS WELL AND IT IS THAT A
DISPUTED ISSUE OF FACT BUT-
BECAUSE- THE PUBLIC ADVOCATE'S
OFFICE- HAS THAT FUNCTION OF
LOOKING AT AT CARE IMPACTS- I
GAVE THAT AS ONE EXAMPLE OF AN
ESTIMATE AND SO. WHAT THE PUBLIC
ADVOCATE'S OFFICE AT THE MOMENT
IS THAT- THE CURRENT PROJECT IS-
THREE POINT THREE SEVEN BILLION
DOLLARS AS OF TWENTY TWENTY ONE.
AND COULD GROW TO AS MUCH AS SIX
POINT SEVEN. BILLION IN TWENTY
THIRTY. AT LATIMES CHANGED.
THANK YOU SUGGEST TO STATE FOR
THE RECORD THE COST SHIFTED NOT
ADDRESSING NET ENERGY METERING
WHICH HURTS RENTERS AND LOW
INCOME FAMILIES WOULD BE AT THE
TUNE OF SIX POINT SEVEN BILLION
DOLLARS IF NOT ADDRESSED BY
TWENTY THIRTY. CORRECT BASED ON
WHAT YOU JUST SAID. YEAH BUT BUT
BUT OKAY THANK YOU. ALL.
STRUCTURE. TWENTY THE- SERVICE
IS BILL CORK AND- I HAVE A
QUESTION HERE FIRST F ALL ON
YOUR TRANSMISSION. COSTS DOES
THAT INCLUDE THE COST OF
FIREPROOFING AS WELL AS A NEW
TRANSMISSION. YES THE DOCTOR- WE
ARE ARE JUST BEGINNING TO HE-
SOME COST FOR- TRANSMISSION. SO
CALLED GRID HARDENING PROJECT
STARTING TO FACE SOME OF THAT
SHOWING UP IN AND TRANSMISSION
RATES BUT WE'VE ALSO SEEN- A LOT
OF- GET. INVESTMENT IN- AGING
INFRASTRUCTURE OVER THE YEARS
AND AT THAT THE COMBINATION OF
THOSE THINGS IF IT'S WHAT WE'RE
SAYING. SO THE- INVESTMENTS FOR
EXAMPLE BY SDG ANNIE WENT UP THE
FACTOR OF TWO AND A HALF OVER
TEN YEARS. WHEN FROM FOUR
HUNDRED MILLION TO A BILLION.
AND FROM AND A DOUBLE FOR PG&E
FROM A BILLION TO TWO BILLION.
DO WE HAVE ANY IDEA WHY THAT
CHANGE IN INVESTMENT PER YEAR
CHANGE SO MUCH. A PARTY GIVEN
FOR ME TO GIVE YOU A MORE
SPECIFIC RESPONSE AND BREAKDOWN
I THINK IT WOULD BE BEST FOR ME
TO FOLLOW UP WITH YOU SIR- WITH
SOME MORE ADDITIONAL
INFORMATION. ON THAT. I DON'T
HAVE THE ANSWER FOR YOU- AND AT
THAT. TIME ALL. I'LL SEND YOU
SPECIFIC QUESTIONS. ARE AFTER
THE HEARING. THANK YOU THANK YOU
I APPRECIATE THAT. NO QUESTION
COLLEAGUES HOLD THIS HOLD THANK
YOU MR I WANTED TO KIND OF GET A
SENSE OF HOW OF THE COSTS OF
ELECTRICITY AND CALIFORNIA
COMPARES TO OTHER SECTORS OF
THIS OF THE COUNTRY AND WE'RE WE
MAY BE DEALING WITH WILDFIRE
MITIGATION ISSUES YOU HAVE
EXTREME WEATHER EVENTS AND OTHER
- STATES THAT ARE OBVIOUSLY
CREATING A DIFFERENT LEVEL OF
IMPACT. ON RELIABILITY- HOW DO
WE- I MEAN IF YOU'RE LOOKING AT
. OTHER STATES THAT MAY STILL
NOT WITHSTANDING SOME OF THESE
BEING COMPARABLE MAJOR COST
DRIVERS- THERE STILL MAY HAVE
THEIR RATES A LITTLE BIT LOWER
THAN CALIFORNIA. WHAT ARE WE AND
IF WE WERE TO COMPARE OURSELVES
TO MAYBE ONE OF THE OTHER STATES
THAT TERMS OF INFRASTRUCTURE
NEEDS TRANSMISSION OF COSTS-
RELIABILITY MITIGATION MEASURES.
DISTRIBUTED ENERGY RESOURCES
EVERYTHING THAT YOU LISTED IN
YOUR PRESENTATION IF YOU CAN
KIND OF GIVE A SENSE ON HOW WE
COMPARE TO OTHERS TO OTHER
STATES WITHIN THE- THE OF THE
WESTERN STATES AND HOW. WE CAN
MAYBE TRY TO FIGURE OUT HOW TO
GET OUR COSTS MORE IN LINE WITH
WHAT WE'RE SEEING IN OTHER AND
OTHER STATES. RIGHT YEAH SO-
UNFORTUNATELY I BELIEVE THAT
CALIFORNIA HAS BEEN A BIT OF A
CANARY IN THE COAL MINE WHEN IT
COMES TO- EXPERIENCING THAT. THE
WORST OF TAX- UP CLIMATE CHANGE
AND SO WE REALLY ARE SEEING NOW
WILDFIRES AND- YEAH WITH. THE
THEY AFFECT THAT THAT'S HAVING-
ON ON RATES AND THE NECESSARY
RESPONSE TO BE ABLE TO-
MITIGATED THE EFFECTS OF
WILDFIRE- CALIFORNIA ALSO HAS
BEEN AT THE FOREFRONT IN OUR
INVESTMENT INCLEAN ENERGY
STRATEGY AND FOR THE MOST PART
THAT HAS. HAS REALLY BENEFITED-
CALIFORNIA RATEPAYERS AND THE
ECONOMY OUR STRATEGY OF THE
SENATE SAID THAT THE NINETEEN
EIGHTY AND BEEN A- FINAL PENA
PLEA AND BATH CLEAN ENERGY
TECHNOLOGY. AND ALSO HELP
CUSTOMERS TO MANAGE THEIR BILLS
BY- REDUCING THE AMOUNT OF
ELECTRICITY THAT THAT CUSTOMERS
CONSUME I MENTIONED EARLIER
ABOUT- CALIFORNIA GET COUPLING
POLICY. AND THE THOUGHT THAT CAN
ACCOMPANIED BY THE- EFFICIENCY
STANDARDS IN BUILDINGS AND- AND
APPLIANCES ALSO TRUE UTILITY
PROGRAMS TO HELP CUSTOMERS. TO
INVEST IN- ENERGY EFFICIENT. AND
SO WHEN WE BENCHMARK CAL. RATE
TO- UTILITIES AROUND THE WE YOU
FIND CAL HAS SOME OF THE HIGH
RATES BUT BECAUSE WE DO SO MUCH
TO ENCOURAGE ENERGY EFFICIENCY
WE FIND THAT THE- THAT A LECTOR
BILLS- ARE MORE ARE MORE MIDDLE
OF THE PACK SO THAT'S BEEN ONE
OF OUR STRATEGIES TO BE ABLE TO.
REALLY OFFSET THAT BECAUSE AT
THE END OF THE DAY WHAT MATTERS
IS WHAT WHAT CUSTOMERS ARE
SAYING IN TERMS OF THEIR BILLS-
I WOULD I WOULD SAY THAT IN IN
RECENT YEARS- WE HAVEN'T BEEN
ABLE TO BALANCE THAT OUT
COMPLETELY. AND SO NOW WE REALLY
ARE STARTING TO SEE SOME OF THAT
THAT- THAT STARTING TED TO HIT
THE CUSTOMER BILLS WHICH IS WHY
WE'RE REALLY TRYING TO
HIGHLIGHT- THAT FACE YOU AND-
TRYING TO DO WHATEVER WE CAN. TO
ADDRESS THAT THAT AS NOTED
THROUGH THE AFFORDABILITY
PROCEEDING TO REALLY LOOK AT
BOULDER SOLUTION- THAT HAVEN'T
BEEN CONSIDERED YET AND IN
CALIFORNIA AS FAR AS
SPECIFICALLY HOW WE BENCHMARK
AGAINST OTHER UTILITIES IN THE
WEST- I GOT TO TAKE THAT BACK IN
AND BE ABLE TO RESPOND TO YOU-
DOCUMENTARY- SENATOR ON THAT
BECAUSE WE- HAVE TO TAKE A LOOK
AT THAT AND GET BACK YOU. A REAL
QUICK WE ALSO TALK ABOUT A
COUPLE YEARS. WHEN WE WERE.
HAVING HEARING ON THIS ON THIS
ISSUE ONE OF THE SUGGESTIONS WAS
LOOKING AT RATE REFORM. IS THAT
SOMETHING THAT THE CPUC HAS. ARE
LOOKED AT AS A- AN AREA THAT'S
WORTHY OF. EXPLORATION YES THAT
IS A FAMILY MANDATORY ENTERED
OTHER- IT IS ONE OF THE
STRATEGIES THAT- THAT WE ARE
LOOKING AT SO AND THE
LEGISLATURE FOR EXAMPLE- IN AB
THREE TWENTY FIVE AND- IN SOME
OF THE RESTRICTIONS ON RATE
DESIGN AND- AS A RESULT OF THAT
WE OPENED THAT RESIDENTIAL RATE
WITH ONE PROCEEDING WHICH
RESULTED IN. A TRANSITION TOP OF
THE- THE SHARPEST INCLINING
BLOCK RATE HERE NOW- TIME OF USE
RATES AND WE'RE FINDING THAT-
THAT IS- WE'RE HAVING SOME
SUCCESS WITH THAT. ONE OF THE
OTHER- RATE REFORM STRATEGY
THAT- WAS MENTIONED AS ONE OF
THE STRATEGIES AND- STAKEHOLDERS
TO PUT FORWARD AND-
AFFORDABILITY ON BONTA IS TO IS
TO LOOK OUT. HOW HOW SOME OF
THE- X. CLASS- THAT YOU'RE- AND
- COULD BE RECOVERED. OPTICS
CHARGE AB PRESENTLY RESIDENTIAL
FIXED ARE CAPPED AT. 10% PER
STATUTE- AND SO IT'S POSSIBLE
THAT YOU KNOW LEGISLATION TO RE
LOOK AT THAT. MIGHT BE HELPFUL
TO- CHANGE THE WAY THAT- COSTS
ARE ARE RECOVERED AND THAT
ACCOMPANIED WITH- YEAH LOOKING
AT WAYS THAT- THAT COULD BE DONE
WITHOUT WE'RE PROGRESSIVELY-
HAVING AN EFFECT ON ON THE LOWER
INCOME CUSTOMERS. MIGHT BE A WAY
OF GOING ABOUT THAT BUT THERE'S
A LOT OF ISSUES TO LOOK AT WITH
REGARD TO THAT AND ADVOCATING-
IT WILL BE LOOKING AT THAT AND-
AND AT THAT THING EXTENT TO
WHICH WE NEED ADDITIONAL
LEGISLATIVE AUTHORITY TO BE ABLE
TO TAKE ACTION ON THAT FRONT.
BUT YOU THANK YOU OF SOME
MEMBERS WHICH- THANK YOU- MISTER
BAKER I AM AND LOOKING AT TO. A
INFORMATIONAL- HEARING- A
WRITTEN BRIEFING- THAT- HAS BEEN
DISTRICT DISTRIBUTED TO THE
COMMITTEE MEMBERS I'M NOT SURE
IF YOU HAVE A COPY OF THIS BUT-
WHAT WHAT ONE THING THAT TO.
WAS NOT AWARE OF I PROBABLY
SHOULD BE SHOULD HAVE BEEN AWARE
OF BUT- THAT THE STATEMENT IS
MADE THAT TO. THAT THE ACTUAL
ELECTRIC BILL THAT THE AVERAGE
RESIDENTIAL CUSTOMER IN THE
STATE OF CALIFORNIA PAYS IS
ACTUALLY BELOW THE NATIONAL
AVERAGE- LARGELY BECAUSE OF
CALIFORNIA'S MOD CLIMATE. AND A
STRONG COMMITMENT TO ENERGY
EFFICIENCY I THINK THE I THINK
YOU. YOU OF GOD INDICATED WE
MIGHT BE IN THE MIDDLE OF THE
PACK BUT IT DOES THAT SOUND
ACCURATE THAT WE WE'RE WE'RE
ACTUALLY BELOW THE NATIONAL
AVERAGE. YEAH I'M SURE THAT'S
ACCURATE I WAS SHOOTING FROM THE
HIP A LITTLE BIT WHEN I SAID
THAT- METAL ACT I GUESS WORK BY
PEOPLE OF THE PACK. OKAY BUT BUT
STILL YET- AS AS- THIS DOCUMENT
INDICATES AS WELL AS YOUR
PRESENTATION I MEAN- CLEARLY
WHAT WHEN OUR RATES ARE.
DISTINGUISHING ARE THE ELECTRIC
RATES FROM THE ACTUAL BILL THE
CUSTOMER PAYS- BUT BUT THE RATES
BEING DOUBLING AND TRIPLING THAT
THAT THAT IS CLEARLY A- CAUSE
FOR ALARM AND I DON'T WANT TO.
DIMINISH THAT FACT- THE WRITTEN
MATERIALS ALSO INDICATES THAT-
THAT COMMUNITY CHOICE
AGGREGATORS- ARE CURRENTLY SERVE
ABOUT 28% OF THE- I OWE YOU-
LOAD- IS THE GROWING PERCENTAGE
OF. THE LOAD BEING SERVED BY
COMMUNITY CHOICE AGGREGATORS A
CONTRIBUTING IN ANY WAY TO THE
INCREASES AND- AND- ELECTRIC
RATES. AT THE MOMENT IF I MAY I
HAVE- ONE OF MY RATES EXPERTS ON
THE LINE PULP THE LET'S AND- I'D
LIKE TO BE ABLE TO REFER THAT
QUESTION TO HIM IF I MAKE IT
SUPERVISOR FOR- OUR ELECTRIC
BREAKING. CAN SOMEONE- I'M GONNA
KEEP MY CAMERA OFF THIS IS PAUL
PHILLIPS I'M HAVING SOME
CONNECTIVITY ISSUES WHILE BEING
REMOTE SO- AND I BELIEVE YOUR
QUESTION IS ABOUT WHETHER A
CABINET CHOICE ACT. AGGREGATORS
ARE- CREATING MORE PRESSURE ON
RATES CENTRALLY THROUGH LOW. IS
THAT THE QUESTION YES- I THINK
WE CAN SAY IT'S A LITTLE BIT BUT
IT'S NOT A PRIMARY FACTOR IN THE
RATE PRESSURES THAT WE'RE
EXPERIENCING SO- YOU KNOW WHAT
WHAT'S EALLY HAPPENING WITH. A
CHOICE AGGREGATORS- THAT ARE
THERE ARE STILL WORKING THEIR
OWN GENERATION PORTFOLIO WHICH
GENERALLY IS CHEAPER. R. FOR
THEIR CUSTOMERS AND- WHILE
MAINTAINING A TRANSMISSION AND
DISTRIBUTION RATES FROM THE-
INVESTOR OWNED UTILITIES. SO IN
DOING SO TECHNICALLY THOSE
CUSTOMERS ARE OBVIOUSLY
EXPERIENCING ARE POTENTIALLY
CHEAPER RATES- BUT I DON'T KNOW
THAT THEY'RE NECESSARILY
CREATING AS MUCH. PRESSURE ON
THE SALES COMPONENT OF RATES AS
SAY THE- A ROOFTOP SOLAR CROWD
IS SO A DEFECTION TO ROOFTOP
SOLAR. IS INCREASING THE
ACCELERATION IN DECLINING SALES.
OF OUR RATES FASTER THAN THE
COMMUNITY CHOICE AGGREGATION OF
COMPONENTS OF THE MARKET PLACE
YES SO I THINK YOU I WOULDN'T
COUNT THAT AS A PRIMARY FACTOR
HERE- AS MUCH AS THAT WOULD BE-
THAT THE DEFECTION TO. US ON THE
ROOFTOP. THE YOU COULD GO.
CLARIFY FOR ME LIKE HOW THE
DECLINING SALES. MAY TRANSLATE
INTO A- AT LEAST A LITTLE BIT IN
TERMS OF INCREASE AND- RATE. AND
RATES. SURE SO I MEAN THE BASIC
RATE EQUATION- JUST TAKING SORT
OF THE TOTAL AMOUNT OF REVENUE
REQUIREMENT FOR AN INVESTOR
OWNED UTILITY AND DIVIDING THAT
BY THE KILOWATT HOUR SALES FOR
THAT TERRITORY WOULD GIVE YOU A
SYSTEM WIDE AVERAGE RATES AND SO
THAT'S KIND OF WHAT WE'RE BASING
THIS ON THAT AS- SMALL
PERCENTAGES PER YEAR OF DECLINE
IN KILOWATT HOUR SALES RESULTS
FROM- GROWTH. IN SOLAR MARKET-
MANY CUSTOMERS ARE- PROVIDING
THEIR OWN GENERATION FOR
THEMSELVES AND THEN YOU KNOW OF
COURSE THROUGH THE NET ENERGY
METERING TERRACE. OF FEEDING
BACK ANY EXCESS GENERATION TO
THE GRID AND GETTING A SMALL
CREDIT FOR IT- THAT MARKET PLACE
IS DRYING YOU KNOW I DON'T OF
ITS ON AN INCREASING BASIS BUT
IT'S NOT A PRETTY STEADY BASIS-
INCREMENTAL DECLINE IN SALES PER
YEAR SO AS THE DENOMINATOR. IS
SHRINKING- WHILE YOU KNOW
REVENUE IS EITHER REMAINING
STEADY OR GROWING THOSE RATES
ARE INCREASING. OKAY I GET IT-
ENTERED AYE MAN YES. YES IF I
MADE HIM AND TOOK THE TIME TO
MAKE ONE DETECTION SO- WHAT
WE'VE BEEN TALKING ABOUT IN
TERMS OF CREATED- FAILED TO
BROWN- FROM ROOFTOP SOLAR FOR
EXAMPLE THOSE- THOSE SAME CAUGHT
THEY DON'T NEED TO BE RECOVERED
AND SO THERE AND THEN RECOVERED
FROM FROM ALL BUNDLED CUSTOMERS-
INCLUDING THOSE CUSTOMERS THAT-
THAT DON'T HAVE ROOFTOP SOLAR
BUT WHEN- WHEN A CUSTOMER GOES
TO AT HVGA- IN THEORY THE COSTS
GO WITH THEM BECAUSE- WHAT THE
LAW REQUIRES THAT- THAT AT SIXTY
EIGHT THAT THERE BE A RATEPAYER
IN DIFFERENT- A PRINCIPAL THERE-
WHEN AT U. K. FORMED IN. SO WE
HAVE. VERY COMPLEX AND LITIGIOUS
TO REVIEW THE CAUGHT AT TECH
WITH THAT EPA CUTS SO CALLED
POWER CHARGING WHICH BUT IS AND
HOW OF RACE WHICH IS DESIGNED TO
DO THAT- BUT THERE ARE THERE-
ABOUT- WHICH CONCERT- TO
TRANSFER OUT WITH FIFTY KA
CUSTOMERS WHEN THEY- WENT OUT
LOW DEPART. ALL RIGHT THANK YOU-
IN TERMS OF ROOFTOP SOLAR. I
MEAN IS THERE A- IT IS THERE A
THRESHOLD IN TERMS OF THE
PERCENTAGE OF ROOFTOP SOLAR AT
WHICH WE STARTED SEEING AN
IMPACT IN A REDUCTION IN THE
TRANSMISSION AND DISPOSITION
COSTS. DOES THAT MAKE SENSE.
YEAH I DON'T- I DON'T KNOW THAT
WE COULD NOT IDENTIFY A SPECIFIC
THRESHOLD I THAT AS A RULE OF
THUMB- CERTAINLY THE EXTENT TO
WHICH OUR ROOFTOP SOLAR AND
DISTRIBUTED ENERGY RESOURCES-
CONTRIBUTE TO REDUCTION IN
TRANSMISSION COSTS AND
DISTRIBUTION COSTS AS WELL IT
IT'S SOMETHING THAT- THE PC HAS
GIVEN A LOT OF THOUGHT TO AND
HAS HAS REALLY REVIEWED
EXTENSIVELY IN PROCEEDING TO TRY
TO DETERMINE IF RELIABLE
METHODOLOGY. ANY OTHER QUANTIFY
THOSE CAUGHT- COULD BE DEVELOPED
AN AND ADOPTED BY THE COMMISSION
AND FOR THE MOST PART AFTER
EXTENSIVE REVIEW REVIEW OF THAT
QUESTION HE HAS NOT FOUND THAT
THERE ARE- DEFENDABLE
METHODOLOGY TO DO THAT AND THAT
IS A DISPUTED ISSUE AND WE KNOW
THAT THERE ARE PARTY THAT I
BELIEVE THAT THOSE- BUT- THAT. A
LARGE AMOUNT OF THOSE COSTS CAN
BE AVOIDED WITH KNOWLEDGE THAT
SOME OF IT CAN- BUT TO BE ABLE
TO PROTECT THE CAR NOT
QUANTIFIED NOT BAD THE CHALLENGE
WE DO HAVE A SPECIFIC
METHODOLOGY THAT HAPPENED
DEVELOP SPORT UTILITY TO FOR
EXAMPLE AND- PLANNING THEIR
DISTRIBUTION ELECTRIC GRID. BUT
LOOK AT THE NEEDS FOR ADDITIONAL
DISTRIBUTION INFRASTRUCTURE AND
TO BE ABLE TO IDENTIFY SPECIFIC
PROJECT DONE ON SPECIFIC. A
LECTURER. EATERS ARE AREAS OF
SYSTEM. THAT COULD ACTUALLY BE
DEFERRED- BY A STORAGE PROJECT-
AND SO WE HAVE- THE POLICY
WHEREBY FUTURE. ARE WE TO GO THE
BACK. AND HE YEAH- EXTENT OF
THOSE STORAGE PROJECT ANOTHER
DISTRIBUTING YOUR RESOURCES
COULD BE USED AS AN ALTERNATIVE
TO BUILDING ANOTHER SUBSTATION
OR ANOTHER DISTRIBUTION LINE-
WE'VE HAD SOME TALKS WITH BETH
AND THAT AREA. AND THOSE ARE
EXAMPLES WHERE- WHERE DOES THAT
THE BENEFIT OF NOT BUILDING A
DISTRIBUTION. A PIECE OF
INFRASTRUCTURE CAN BE
SPECIFICALLY TIED TO THE
DISTURBING NATURE RESOURCES-
BUT- OTHER CONTACT AND BY H.
THAT THAT TIE ISN'T SO DIRECT IS
WHERE THE DEBATE- CONTINUES TO
LIVE- AND- IN THE STAKEHOLDER.
COMMUNITY AND THEN ARE PUSHING.
BUT IT I UNDERSTAND THAT- IT'S A
COMPLICATED ISSUE AND THAT- THE
IMPACT OF ROOFTOP SOLAR AS IT
RELATES TO. TRANSMISSION COSTS
MAY BE YOU KNOW THIS WITHOUT.
VERY CONTEXTUAL ESPECIALLY
RELATED TO THE PERCENTAGE OF
PENETRATION OF ROOFTOP SOLAR-
BOB BETTER RIGHT I MEAN IN
GENERAL IS THE- YOU KNOW IT IS
THERE ANY- AT LEAST
CONSIDERATION OF. THE LOWER NEED
FOR A TRANSMISSION AND
DISTRIBUTION FOR ROOFTOP SOLAR
THAT'S CALCULATED INTO THE COST
SHIFT ANALYSIS- RELATED TO THAT
YOU KNOW IN THE ONTEX OF NIGHT
NOW SHE METERING. YES SIR- SO WE
HAVE- APPRECIATING THAT- A
REVIEWS- A METHODOLOGY CALLED A
BOYCOTT WHICH BASICALLY LOOK AT-
WHAT ARE THE BENEFITS TO THE
UTILITY OF REDUCE GENERATION-
INFRASTRUCTURE INVESTMENT AND
PURCHASE TO REDUCE TRANSMISSION
AND DISTRIBUTION AS WELL AS
THERE ARE METHODOLOGIES AND
NETWORKING. THAT QUANTIFY THE
BENEFIT OF ABOVE WHAT A
TRANSMISSION AND DISTRIBUTION
INFRASTRUCTURE WHAT I WITH
ELABORATING EARLIER IS- BUT
THERE ARE A LOT OF DEBATE ABOUT
THAT AND DISPUTE- AND PARTY THAT
BELIEVES THAT THOSE- THOSE.
VALUES ARE ARE UNDERSTATED- AND
I WAS JUST- ALIVE RATING THAT
THAT THE SUBJECT OF- A TECHNICAL. DEBATE ALL RIGHT. THE LAST.
FOR MY AND- AS- THE STATE OF
CALIFORNIA CONTINUES TO PURSUE
ITS GOAL OF HAVING A HUNDRED
PERCENT- CLEAN RENEWABLE ENERGY
PRODUCING OUR ELECTRICITY ARM.
IS THAT ARE PROJECTED TO BE- WHY
AND AS WE NEED TO EXPAND OUR
TRANSMISSION AND DISTRIBUTION-
GRADE. TO MEET NEW SOURCES OF-
SOLAR AND WIND ESPECIALLY
OFFSHORE WIND- IS THAT PROJECTED
TO BE A- YOU KNOW A- A NAFTA
REDUCTION IN TERMS OF- YOU KNOW-
ELECTRICITY RATES OR A ON A NET
INCREASE. I'M TRYING TO REMEMBER
WE DID- INTERAGENCY STUDY ON SB
ONE HUNDRED AND I'M NOT
RECALLING THE TYPICALLY- WHAT
THE- THE OVERALL SYSTEM WIDE
BILL IMPACT WORD THAT WERE
AFFECTED PART OF THAT BODY BUT
WE CAN CERTAINLY GET BACK ON
THAT I BELIEVE WE HAVE THAT DATA
POINT TO GET BACK TO YOU ONE ALL
RIGHT THANK YOU VERY MUCH THANK
YOU THAT THAT'S AN EXCELLENT
QUESTION- AND I THINK THAT-
WITHOUT HAVING LOOKED AT THAT
STUDY I WOULD IMAGINE THAT.
WOULD PROBABLY ARE ADDING COST-
AND SO I THINK WE'RE GONNA NEED
TO. FIGURE OUT WAYS TO MINIMIZE
THAT- AND- TRANSMISSION IS VERY
COSTLY- I THE OF THE- COST ON
OTHER- LEGACY- PROGRAMS AT THE
CPC WHICH IS ONE OF THE
QUESTIONS I HAVE I THINK WE
SHOULD ALSO TAKE A LOOK AT NOT
JUST A HONE IN ON THEM I THINK
THERE'S A SERIES OF OTHER
PROGRAMS WHICH WILL BE A
QUESTION FOR THE CPC A
COMMISSIONER WITH US AND ACTOR
BUT BUT BUT IF WIND AND SOLAR
AND WIND AND SOLAR BECOME
CHEAPER THAN THAT SAY NATURAL
GAS THEN. PERHAPS THAT YOU KNOW
IT WOULDN'T BE SO OBVIOUS THAT
YOU WOULD BE A CORRECT A DRIVER
OF INCREASED HELLO WE ARE ALSO
TALKING ABOUT NEW TECHNOLOGIES-
THAT WERE WANTING TO INTEGRATE
THAT THAT I THINK DESERVE A
VERY- THOROUGH ANALYSIS RIGHT-
FOR PURPOSES OF LOOKING AT THIS
COMPREHENSIVELY BUT THAT'S A
GOOD QUESTION AND WITHOUT
LOOKING AT THE STUDY I'M GONNA
GUESS NO PROBABLY ABOUT COST
CONTACTS YOU KNOW THAT. HEADS OR
TAILS WHICH WENT THAT WHICH
DIRECTION IS GONNA GO AND I
THINK IT'S FAIR TO SAY WHAT THE
OUTCOME MIGHT BE BUT THAT COULD
QUESTIONS TAKE IS A MEMBER- SOME
APPRECIATIVE QUESTIONS. THANK
YOU MISTER CHAIR IT MORE OF A- I
THINK POTENTIAL CLOSING COMMENT
ON ON THIS ON THIS PANEL BEFORE
WE MOVE ON TO THE SECOND. OR THE
SECOND SPEAKER APOLOGIES. YOU
KNOW IT JUST IT STRIKES ME THAT
WE ARE LIVING IN A TIME IN WHICH
TO THE INCREASE OF FOSSIL FUELS
AND- ESPECIALLY AT THE- AT THE
PUMP. WHEN FOLKS ARE TRYING TO
FILL UP THEIR GAS TANK AND- THE
GOVERNOR'S OFFICE AS WELL AS THE
LEGISLATURE WANTING TO CREATE
SOLUTIONS THAT ULTIMATELY HELP
PEOPLE BECAUSE COSTS ARE SO
EXPENSIVE RIGHT RIGHT NOW AT THE
MOMENT. IT'S SOMETHING THAT WE
SEE SOMETHING THAT'S VISIBLE AT
SOMETHING THAT YOU KNOW YOU
ACTUALLY GO YOU FEEL IT
IMMEDIATELY. IT'S NOT SOMETHING
THAT IS DELIVERED IN THE MAIL OR
ONLINE WHEN IT COMES TO THE
BILLS THAT YOU PAY FOR ENERGY.
AND O I'M I'M STRUCK BY THE
COMMENTS SHARED BY THE BY THE P.
YOU SEE IN TERMS OF NET ENERGY
METERING AS RELATED TO ROOFTOP
SOLAR. THAT SINCE TWENTY
THIRTEEN THE P. YOU SEE HAS BEEN
MANDATED. TO FIND A FIX FOR THE
COST SHIFT. NINE YEARS LATER.
THE P. UC HAS STILL NOT ACTED.
TO WHEN THEY WILL. IT'S NOW IN
JUDICIAL REVIEW IF THEY'RE STILL
COMMITTEES THERE'S A NEW
DIRECTOR IT'S A CONSTANT HAVING
TO START OVER. WHILE RENTERS AND
LOW INCOME COMMUNITIES CONTINUE
TO FEEL. THE BURDEN AND YOU KNOW
I JUST FIND THAT TO BE A
COMPLETE DISREGARD TO THE
LEGISLATURE. TO POLICY THAT HAS
BEEN SIGNED INTO LAW TO
LEGISLATIVE OVERSIGHT WE HAVE
BEEN ASKING THESE QUESTIONS FOR
MULTIPLE YEARS NOW AND HAVE YET
TO ACTUALLY HAVE A CONCLUSION
FROM THE P. YOU SEE ON WHEN
EXACTLY THEY ARE GOING TO FIX.
THE COST SHIFT THAT IMPACTS
RENTERS ON LOW INCOME
COMMUNITIES. THIS FAILURE TO DO
SO JUST IS INCREDIBLY TELLING.
AT THE LACK OF RESPONSE TOWARDS
AGAIN RENTERS ON LOW INCOME
COMMUNITIES THAT IS CURRENTLY
COSTING THREE POINT THREE
BILLION DOLLARS AND A PROJECTED
COST OF SIX POINT SEVEN BILLION.
BY TWENTY THIRTY. AND SO I JUST
AGAIN I JUST WANT TO REITERATE
THAT WE HAVE CONTINUOUSLY ASKED
THESE QUESTIONS. AND THE PUCT
KEEPS DRAGGING AND CHANGING. THE
GOAL POST. I'M NOT OKAY WITH
THAT AND I DON'T THINK ANY
MEMBER OF THE LEGISLATURE SHOULD
BE OKAY WITH THE FACT THAT SINCE
TWENTY THIRTEEN THE PC HAS BEEN
MANDATED TO ADDRESS THE COST
SHIFT AND HAS FAILED TO DO SO
HOW MANY MORE HEARINGS MISTER
CHAIR ARE WE GOING TO HAVE
BEFORE THEY ACTUALLY DECIDE TO
ACT. THAT'S I THANK YOU FOR
THOSE COMMENTS AND I WOULD ALIGN
MY- COMMENTS WITH THAT YOUR
STATEMENTS. I DO HAVE A COUPLE
OF QUESTIONS- MISTER BAKER AND
ONE HAS TO DO WITH THE RECENT
CQC AUDIT- THE OTHER HAS TO DO
MORE SPECIFICALLY TO LEGACY
PROGRAMS AND SEE IF. THERE IS.
SOME ANALYSIS THAT'S BEEN DONE
WE MET WITH THE PRESIDENCY PC
HERE NOT LONG AGO- PERHAPS. SOME
FOLKS WENT BACK TO TAKE A LOOK
AT WHAT OTHER PROGRAMS MAY BE.
LOOKED AT FOR CONSIDERATION
GIVEN THE ADDED COST THAT. YOU
KNOW WE SEE. TO THE BOTTOM LINE
OF UTILITY BILLS. FOR
CALIFORNIANS BUT THE FIRST
QUESTION HAS TO DO WITH THE
RAISE CONCERNS THAT THE AUDIT
THAT WAS- DISCLOSE FOR PUBLIC
INFORMATION LAST FRIDAY
PRESENTS. A RELATED TO WILDFIRE
MITIGATION COSTS AND THE RISE.
HOW IS THE C. P. U. C. TAKING A
LOOK AT- YOU KNOW THE SAFEGUARDS
TO ENSURE THAT CUSTOMERS. ARE
NOT PAYING. MORE THAN WHAT THEY
SHOULD AS IT RELATES TO WILDFIRE
COSTS THE SECOND QUESTION. HAS
TO DO WITH THE LEGACY OF
PROGRAMS WE'D LOVE TO HEAR YOUR
THOUGHTS. ON WHAT OTHER PROGRAMS
WE THE LEGISLATURE. IN
COLLABORATION WITH YOU SHOULD BE
TAKING A LOOK AT FOR PURPOSES
OF- LOOKING AT COSTS. AND
REALLY. INVESTING YOU KNOW OUR
OUR RESOURCES IN THE AREAS THAT
WE'RE- TALKING ABOUT HERE AS A
FRONT AND CENTER AGENDA ITEM AND
AFFORDABILITY. OF RATES FOR
CALIFORNIANS SO THOSE ARE MY TWO
QUESTIONS- MISTER BAKER IF YOU
WOULD LIKE TO. TAKE A TWO SHOT
AT THEM. SO- IN REGARDS TO THE-
THE STATE AUDIT FINDINGS- WE'RE
IN THE PROCESS- REVIEWING THOSE
FINDINGS BAND I'M TAKING ACTION
ON THOSE FINDINGS I- TO BE ABLE
TO IMPROPER MORE SPECIFICS I'M
GONNA HAVE TO- ASK TO GET BACK
TO YOU- ARE ON THAT- I DID
MENTION EARLIER THAT- WE ARE-
OUR- IN OUR REVIEW OF- WILDFIRE
WILL RELATED- SPENDING REQUEST
WE ARE COLLABORATING EXTENSIVELY
WITH OUR SISTER AGENCIES AND WE
ARE DEVELOPING METHODOLOGY TO BE
ABLE TO TRACK THOSE COSTS AS
EFFECTIVELY AS POSSIBLE. AND
WE'RE AWARE THAT THAT IS THE
MAJOR COST CENTER AND WE WANT WE
WANT NEED TO ENSURE THAT THOSE-
THOSE DOLLARS ARE BEING SPENT
BEING SPENT WISELY SO HOW TO GET
BACK ON THE SPECIFIC- OF OUR
RESPONSE BEYOND. THAT- AS FAR
THE EYE YOU KNOW WHAT- PROGRAM
ARE LOW A PRO THAT- THE- BILL.
MAY WISH REVIEW CERTAINLY THERE
ARE- A LONG LIST OF-
LEGISLATIVELY MANDATED PROGRAMS
THAT THEY APPEAR HE IS
IMPLEMENTING AN R. AB SIXTY
SEVEN UTILITY COSTS RECORD WHICH
WAS. KEPT OMITTED ARE ACTUALLY
COMMITTED EARLY I BELIEVE OF
PERHAPS I KNOW IT'S ON OUR
WEBSITE ALREADY- WITH YOU APRIL
FIRST- THAT HAS- A FULL
ACCOUNTING. OF THOSE COSTS FOR
PUBLIC PURPOSE PROGRAM I'M JUST
SCARED CAN NAME A FEW- WE HAD
THAT YOU KNOW THAT SPELL-
GENERATION AND INCENTIVE- WE
HAVE A- NUMBER OF PROGRAMS TO-
GIVE ADVANCE THE AT THAT THE
PROCUREMENT OF- BIOMASS- WE
HAVE- OTHER- TYPES- GREEN POWER
PRO. AND SO- DOES DOES DOES DOES
PROGRAMS SOME OF WHICH- HAVE
BEEN ADOPTED BY THE LEGISLATURE
PERSPECTIVE A PUBLIC POLICY
PURPOSES- AND SOME OF THEM- ARE
AUTHORIZED FOR SPECIFIC- YOU
KNOW- COST EFFECTIVENESS REASON
ENERGY EFFICIENCY AS AN EXAMPLE-
THE PC HAS BEEN PURSUING ENERGY
EFFICIENCY PROGRAMS FOR DECADES
BECAUSE THERE ARE FOUND TO BE
COST EFFECTIVE ALL OF OUR ALL.
OF THE REQUIRED TO BE COST
EFFECTIVE- AND SO TO THE EXTENT
THAT PROGRAMS HAVE CAUGHT THE
PECTIN THIS REQUIREMENT I THINK
WE CAN HAVE SOME INSURANCE THAT-
YEAH WE HAVE A APPROACH IS TO
ENSURE THAT THAT- DOES PREPARE
DOLLARS ARE ARE ARE. BEING-
ALLOCATED ACCORDINGLY. THANK YOU
I LOOK FOR TO HVING A MUCH MORE
EXTENSIVE CONVERSATION. ON THE
LONG LIST OF- PROGRAMS THAT HAVE
BEEN HIGHLIGHTED IN PAGES FIFTY
FIFTY NINE OF. OF THAT REPORT-
BECAUSE I THINK IT'S- IT'S WORTH
THE TIME GIVEN THE CIRCUMSTANCES
THAT WERE. CONFRONTING OR
ATTEMPTING TO CONFRONT HERE- THE
CPUC CONTINUES TO APPROVED RATE
INCREASES. IN SOME CASES MAY BE
JUSTIFIED AND OTHERS
QUESTIONABLE- AND SO LOOKING AT
ALL OF THE PROGRAMS I THINK- IS
MERITED- FOR FUTURE DISCUSSIONS
LOOK I KNOW WE HAVE A FISCAL
POLICY TO APPROPRIATIONS
COMMITTEE- BUT I I'M- I'M
THINKING THAT THAT. ISSUES THAT
COME THROUGH HERE. I THINK THE
PRIOR CHAIR COULD POTENTIALLY
AGREE WITH THIS IN A LINE WITH
THIS OUTLOOK IN THAT WE HAVE TO
START LOOKING AT. THE ENERGY
UTILITY PUBLIC POLICY IN THIS
COMMITTEE THROUGH THE LENS OF
WISSICK AND INCREASED COSTS. COM
OR OR NOT AND- AND THAT COULD BE
AT A THRESHOLD OF HOW WE-
LEGISLATE IN THIS COMMITTEE TO.
TO HELP OUR APPROPRIATIONS
COMMITTEE- DO SOME PRELIMINARY
WORK. BUT ALSO TO HELP
CALIFORNIANS WITH THE BOTTOM
LINE OF- WHAT THE COST OF
UTILITY RATES IN THAT ALSO
INTERSECTS WITH OUR- DISCUSSIONS
RELATED TO OUR AMBITIOUS CLIMATE
AND RENEWABLE ENERGY GOALS. AND
THAT'S A REAL FACT- AND THAT'S
COMING FROM ONE THAT IS AS
STRONG SUPPORTER OF. RETIREMENT
POLICY CENTER RENEWABLE ENERGY
POLICY SO WE JUST HAVE TO KEEP
THAT IN MIND. A LOT OF PEOPLE IN
OUR STATE- ARE HURTING AND WE
HAVE TO LOOK AT THINGS THROUGH
THAT LENS SO- THANK YOU SO MUCH.
MISTER MAKER I HAVE NO OTHER
QUESTIONS I DON'T SEE ANY OTHER
QUESTIONS FOR YOU WE APPRECIATE
YOU BEING HERE I WOULD IMAGINE
WE WILL SEE YOU. VERY SOON
AGAIN- TO HAVE SOME OF THESE-
DISCUSSIONS TO GET AN UPDATE TO
GET INTO THE WEEDS OF THINGS
BUT- AGAIN THANK YOU FOR BEING
HERE TODAY I'M GOING TO PAUSE
REAL QUICKLY THE INFORMATION
HEARING. SO THAT WE CAN GO
THROUGH THE LIST OF ADD ONS TO
THE TWO BILLS THAT WERE HEARD
EARLIER. AND SO FOR THAT WE'RE
GOING TO. RECESS ARE HEARING OF
FOR PURPOSES OF GOING BACK TO
OUR REGULAR A UTILITIES AND
ENERGY HEARING- TO CALL THE ROLL
ON THE TWO BILLS THAT- THAT
WOULD HURT SO MA'AM SECRETARY I
THINK I HAVE TO DO. THAT AND
THEN- WE ARE NOW- CALLING
RECONVENING THE MEETING OF THE
UTILITIES AND ENERGY COMMITTEE
FOR ADD ONS. THE ITEM ONE A. B.
NINETEEN SIXTY THE MOTION IS DUE
PASS. ITEM NUMBER TWO AB TWENTY
THREE ZERO TO THE MOTION IS DUE
PASS AS AMENDED TO NATURAL
RESOURCES. EDUARDO GARCIA HI.
EDUARDO GARCIA I CARILLO.
CARILLO I. MAYES REYES SANTIAGO
TANG. THAT'S NINE ZERO RELATIVE
THE ROLE OPEN ON THAT ITEM. SO
WE'RE GOING TO RECESS ARE
HEARING AND DIGGING AND DO THAT
AGAIN AND THEN WE WILL RECONVENE
AS THE INFORMATIONAL HEARING FOR
THE TWO IS AN ENERGY COMMITTEE
AND WITH THAT I'M GOING TO
INVITE OUR NEXT SPEAKER IT'S A
MISTER MARK TONY FROM THE
UTILITY REFORM NETWORK. WELCOME.
MY NAME IS MARK TONY I SERVE AS
EXECUTIVE DIRECTOR OF TURN THE
UTILITY REFORM NETWORK I WANT TO
THANK CHAIR GARCIA FOR HIS
LEADERSHIP IN ADDRESSING THE
MONTHLY BILL AFFORDABILITY
CRISIS FOR CONVENING THIS
HEARING AND I'D LIKE TO THANK
EACH OF YOU FOR ATTENDING TODAY
I- YOU KNOW CALIFORNIA
RESIDENTS. WANT THE MOST GREEN
FOR THE SCREEN POLLS
CONSISTENTLY SHOW OVERWHELMING
SUPPORT FOR INVESTING IN
STRATEGIES THAT REDUCE CARBON
EMISSIONS AND SAVE THE PLANET
FROM THE RAVAGES OF CLIMATE
CHANGE. NOBODY WANTS THE COST OF
GREENING THE GRID TO BE CUTTING
OFF BLACK BROWN INDIGENOUS ART
ANY LOW INCOME COMMUNITIES FROM
THE GREAT BECAUSE THE PRICES ARE
TOO DOGGONE HIGH. YOU KNOW THE
THING I HAVE TO MAKE A COMMENT
ABOUT THE RATES VERSUS BILLS
DISCUSSION EARLIER BECAUSE IT'S
REALLY IMPORTANT. UTILITY BILLS
DO NOT EXIST IN A VACUUM. YOU DO
NOT HAVE A GASOLINE BILL IN
OTHER WORDS YOU DON'T PAY FOR
GASOLINE UNLESS YOU OWN AN
AUTOMOBILE OKAY YOU'RE NOT JUST
BY SO YOU DON'T HAVE UTILITY
BILL UNLESS YOU HAVE A HOME TO
LIVE IN. AND SO WHILE IT MAY BE
THAT THE COST OF ENERGY BILLS IN
CALIFORNIA IS. RELATIVELY LOW
COMPARED TO THE REST OF THE
COUNTRY I GUARANTEE YOU THAT THE
HEALTH THE PRICE THE PRICE OF
LIVING. IN CALIFORNIA PERHAPS
THE NATION AND YOU HAVE TO LOOK
AT UTILITY BILLS AS A BUNDLE
UTILITY IS PART OF HOUSING. THE
UTILITY BILLS AND WHEN IT OES
UP TWENTY DOLLARS A MONTH THIRTY
DOLLARS A MONTH. FIFTY DOLLARS A
MONTH LIKE SOME OF THESE
PROPOSALS WE HAVE IN FRONT OF
US. THAT IS WHAT'S HURTING
PEOPLE. FOR ALL TODAY I AM GOING
TO OFFER FOUR DISTINCT
STRATEGIES. FOR CONTAINING COUGH
AND CONTROLLING BILLS. EACH THAT
ARE WITHIN THE AUTHORITY OF THE
LEGISLATURE TO WIN THAT. ONE
DEVELOP NON RATE PAIR FUNDING
STREAMS FOR ONCE IN A-
GENERATION COSTS THAT ARE
EXTRAORDINARY. YET URGENT.
REPAIRS HAVE ALREADY PAID IN
WILDFIRE MITIGATION COSTS SIX
POINT EIGHT BILLION DOLLARS WITH
BILLIONS MORE PROPOSED. THE
LEGISLATURE HAVE AN OPPORTUNITY
TO ADVANCE ECONOMIC AND REYES
EQUITY BY ADOPTING TAXPAYER
FUNDING FOR WILDFIRE MITIGATION
TO REPLACE RATEPAYER FUNDING
REDUCING WILDFIRE PARTICULAR
EMISSIONS ADVANCED STATE CLIMATE
GOALS AND HEALTH OUTCOMES
ESPECIALLY FOR DISADVANTAGED
COMMUNITIES MOST AT RISK. THE
LEGISLATURE COULD ALSO REPLACE
REPAIR FUNDING OF CLIMATE
INITIATIVE THROUGH STATE
FUNDING. I'D LIKE TO GIVE ONE
SPECIFIC EXAMPLE THE LEGISLATURE
CAN UTILIZE THE NINE HUNDRED AND
SIXTY TWO MILLION MILLION
DOLLARS FOUR BUILDING
ELECTRIFICATION IN THE
GOVERNOR'S PROPOSED BUDGET TO
REPLACE SOUTHERN CALIFORNIA
EDISON REQUEST FOR SIX HUNDRED
AND SEVENTY SEVEN MILLION
DOLLARS IN RAPE THEIR FUNDING
FOR BUILDING ELECTRIFICATION
THAT'S JUST ONE SPECIFIC EXAMPLE
. SO THE SECOND STRATEGY BUT THE
LEGISLATURE COULD ADOPT IS TO
REQUIRE THE CPC TO REVIEW
INFLATION CONSTRAIN PROPOSALS.
AND THE CUMULATIVE IMPACT OF
RATE INCREASE PROPOSALS PRIOR TO
APPROVING ANY RATE INCREASE.
OVER THE PAST TWELVE MONTHS THE
COMMISSION A FLAP EDISON
CUSTOMERS WITH A 20% INCREASE BY
APPROVING TWO POINT ONE BILLION
DOLLARS IN RATE INCREASES. FOR
PG&E CUSTOMERS IN THE FIRST
THREE MONTHS OF TWENTY TWENTY
TWO ALONE. IT IS NEARLY 20%
INCREASE. AND THAT REPRESENTS
ONLY THE TIP OF THE ICEBERG
BECAUSE THAT DOES NOT INCLUDE
THE 30% PROPOSED. GENERAL RATE
INCREASE THAT WOULD START IN
TWENTY TWENTY THREE. THE
LEGISLATURE CAN REQUIRE
UTILITIES TO SUBMIT INFLATION
CONSTRAINED RATE PROPOSAL. A
LONG FIVE OF THEIR SKY'S THE
LIMIT INCREASE PROPOSAL FOR THAT
WAY INSTEAD OF THE CPU FREE.
ONLY USING THE SKY HIGH PROPOSAL
AT THE STARTING POINT AND THEN
HAVING TO WORK DOWN. THE PC
WOULD HAVE THE OPPORTUNITY TO
USE INFLATION OF THE STARTING
POINT. AND REQUIRE THE UTILITY
TO JUSTIFY EVERY SINGLE DOLLAR
OVER INFLATION. DARTING POINTS
MAKE A DIFFERENCE WHEN YOU'RE
TRYING TO DO BUDGETING AND IF
YOU WANT TO PROTECT RATE PAYERS
ON THE SUGGEST THAT HAVING A
LOWER STARTING POINT TO START
WITH. GIVEN ADVANTAGE TO A
STARTING POINT BUT HAS NO LIMIT
WHATSOEVER RIGHT NOW THE PROBLEM
IS THE UTILITIES CAN ASK FOR
WHATEVER THEY WANT ANYTIME THEY
WANT. AND THE THREE P. THREE HAS
THE AUTHORITY TO GRANT AS LARGE
OF AN INCREASE AS IT DEEMS FIT
WHENEVER IT WANTS THERE ARE NO
CONSTRAINTS AT ALL BUT THE
LEGISLATURE CAN AT LEAST HELP
PROVIDE AN ALTERNATIVE. THREE
THE THIRD STRATEGY ADOPT POINT
OF SALE AND OTHER REVENUE
GENERATING STRATEGIES TO HELP
CALIFORNIA MEET ITS CLIMATE
GOALS. THAT HAVE TO PARTICULAR
FEATURES ZERO RATEPAYER DOLLARS
. M. ZERO TAXPAYER DOLLARS SO
LET ME GIVE JUST ONE EXAMPLE. SO
TURNER'S BEEN FLOATING A
PROPOSAL ON TRANSPORTATION
ELECTRIFICATION THAT WOULD
REPLACE RATEPAYER REVENUE WITH
POINT TO FILL REVENUE. AND THIS
IS HOW IT WORKS SO THE AVERAGE
PRICE OF A NEW CAR IN CALIFORNIA
IS ABOUT FIFTY THOUSAND DOLLARS
FORTY EIGHT IN CHANGE BUT YOU
KNOW WE'RE GONNA FADE FIFTY JUST
MAKE THE MAPPING THING. 32%
CARBON FEE OKAY MAYBE ABOUT A
THOUSAND DOLLARS PER VEHICLE NOW
YOU TAKE THE FACT THAT THERE'S
ABOUT ONE POINT FIVE MILLION NEW
VEHICLES THAT OPERATE BY THE
AFFLUENT AND SOLD EVERY YEAR
MULTIPLY THAT BY THE THOUSAND
DOLLARS YOU GET ONE POINT FIVE
BILLION DOLLARS ANNUALLY TO BUY
DOWN THE COST. OF THE V. THE
BILL CHARGING STATIONS AND TO DO
OTHER INVESTMENTS. NOW THAT
HAPPENED TO THE CAR DEALERSHIP
THIS PARTICULAR PROPOSAL FOR
THAT IF A CUSTOMER COMPLAINS WHY
FOR THE PAY THE THOUSAND DOLLAR
FOR THIS CURVE IN FEET. THEY CAN
BE DIRECTED TO AN ELECTRIC
VEHICLE WHOSE COST IS LOWER
BECAUSE OF DEFEAT. I WILL JUST
SAY OF THE NOTE THAT THIS
PARTICULAR PRO PROPOSAL BECAUSE
IT'S LOCATED AT CAR DEALERSHIPS.
WOULD EXEMPT PATHOLOGICAL. WHICH
I ACTUALLY DON'T NEED ADDITIONAL
SUBSIDIES BECAUSE 80% OF
CALIFORNIA ELECTRIC VEHICLES ARE
TOUGH FOR VEHICLES AND THE FACT
IS THAT IN THE YEAR TWENTY
TWENTY ONE. TOUGH FOR WITH THE
NUMBER TWO CAR SELLERS IN THE
STATE JEFF AFTER TOYOTA AHEAD OF
HONDA I DON'T BELIEVE TESLA
ACTUALLY NEED SUBSIDIES AT THIS
POINT THEY ARE VERY SUCCESFUL
L. ONE MYSELF NO SERIOUSLY THEY
ARE FOR. THEM TO GO TO- GO TO
NUMBER FOUR BECAUSE I WANNA KEEP
MY REMARKS RELATIVELY SHORT SO
THAT WE CAN- YOU KNOW GET INTO A
DISCUSSION. SO THE FOR AND THIS
IS REALLY IMPORTANT AND IT
SPEAKS TO WHAT SHERMAN GARCIA
JEFF SAID. I'M GOING TO SUGGEST
THAT IT'S IMPORTANT FOR THE
LEGISLATORS TO STOP ADOPTING
CLEAN ENERGY MANDATES THAT
INCREASE MONTHLY RATE PAYER
BILLS. AND I THOUGHT ABOUT THIS
A LOT IF I GET UPSET A LOT WHEN
I SEE BILLS THAT ARE PASSED BY
BY THIS COMMITTEE AND BY YOUR
COLLEAGUES THEY'RE GONNA RAISE
RAISE RATES BUT WHAT I REALIZE
IS ACTUALLY WHAT CHAIR GARCIA
DID. BUT A LOT OF TIMES ALL YOU
HAVE TO. OPERATE IS THE
LEGISLATIVE ANALYST'S OFFICE. TO
ANALYZE THE COUGH THE BILLS AND
THEN ONLY ANALYZE THE COUGH THE
STATE AGENCY TO IMPLEMENT THEY
DO NOT ANALYZE THE RATEPAYER
IMPACT WHICH YOU BROUGHT UP OKAY
AND I APPRECIATE THAT I'M GONNA
GIVE YOU A SPECIFIC EXAMPLE OF A
RECENTLY PASSED BILL- AB EIGHT
FORTY ONE. WITH THE LEGISLATIVE
ANALYST WITH THAT IS THAT THE
ESTIMATED TOTAL FISCAL IMPACT
FOR ADDITIONAL STAFFING COSTS
FOR CARD NCPC THE EMPLOYMENT THE
BILL THIS IS ABOUT SCHOOL ENERGY
EFFICIENCY WITH LEFT A MILLION
DOLLARS. NO THAT'S WHAT YOU
THOUGHT AND IF YOU'RE LOOKING AT
LESS THAN A MILLION DOLLARS I
CAN UNDERSTAND WHAT YOU'RE
SAYING OKAY THAT DOESN'T SOUND
LIKE TOO MUCH. BUT YOU DID NOT
SEE THAT SENSE BUT BILL WITH
IMPLEMENTED THE ACTUAL COST TO
RATEPAYERS HAS BEEN SEVEN
HUNDRED AND TWELVE MILLION
DOLLARS. THE FORMER FOR UNDER
MILLION MY RECORD. IS THAT THIS
COMMITTEE REQUIRE THE THREE PS
THE OFFICE OF GOVERNMENTAL
AFFAIRS OR UNITED THEY CAN PASS
IT ALONG BUT YOU ASK THEM TO DO
A RATEPAYER. IMPACT ANALYSIS ON
ALL BILLS THAT MAY HAVE A RATE
SO THAT YOU HAVE THE INFORMATION
IN FRONT OF YOU YOU NEED IT'S
CRITICAL FOR YOU TO HAVE
COMPLETE INFORMATION ABOUT
RATEPAYER IMPACT. SO THAT YOU
CAN STOP. ADOPTING RATE
INCREASES WITHOUT YOUR KNOWLEDGE
WHICH IS WHAT I ACTUALLY BELIEVE
HAS BEEN HAPPENING YOU NEED THE
INFORMATION THERE THE WAY THEY
GET IT BUT YOU'VE GOT TO GET IT
DIRECTLY FROM THE P. THREE. AND
I DON'T THINK LEGISLATIVE-
ANALYSTS OFFICE HAVETHE
RESOURCES TO DO THAT MY FINAL
COMMENT IS. RAVING THE RATES OF
ELECTRICITY TWO HIGH UNDERMINE
CALIFORNIA CLIMATE GOALS BECAUSE
IT'S A DISINCENTIVE FOR PEOPLE
TO WANT TO SWITCH TO ELECTRIC
VEHICLES TO ELECTRIC APPLIANCES
IF THE COST OF ELECTRICITY IS
MORE THAN THE COST OF FOSSIL
FUELS IF WE REALLY WANT TO
INCENTIVIZE PEOPLE TO SWITCH TO
ELECTRICITY WE OUGHT TO BE
TALKING ABOUT CUTTING THE COST
OF ELECTRICITY BY HALF I'M
TELLING YOU IF WE COULD FIGURE
OUT A WAY TO DO. THAT PEOPLE
WOULD RUSH SHE SWITCHED
ELECTRICITY RIGHT NOW A LOT OF
PEOPLE ARE HAVING SECOND
THOUGHTS THAT CONFERS WITH
GREATLY THANK YOU I'M OPEN TO
ANY QUESTIONS ANY MEMBER HAVE
THANK YOU YOU SOUND LIKE A VERY
PASSIONATE UTILITY ADVOCATE-
RIGHT PAYER ADVOCATE- AND LET ME
BE THE FIRST DAY THAT HE LINE
MUST JUST HIT YOU ON TWITTER FOR
YOUR COMMENT I'M JUST KIDDING.
FACULTY SAID I'VE JUST. I DON'T
KNOW ABOUT OPEN IT UP FOR
QUESTIONS FROM OUR COMMITTEE
MEMBERS MR I'M A REPORT. GOOD TO
SEE MARK- FIFTY FIRST OF ALL I
DO AGREE IF WE COULD- CUT THE
RATE IN HALF THAT WE WOULD GET A
LOT MORE- AS A PATIENT WE GET A
LOT MORE- PEOPLE WANTING TO GO
ELECTRIC THERE'S NO DOUBT IN MY
MIND- AND- CERTAINLY. MOST YEARS
WE DON'T HAVE MONEY IN THE
GENERAL FUND THIS YEAR WE DO-
CERTAINLY SOMETHING WE SHOULD
CONSIDER- IS USING GENERAL FUND
MONEY FOR. THINGS THAT PROMOTE
OUR CLIMATE GOALS OF RATHER THAN
RATEPAYER MONEY I AND I THINK
THAT MAKES SOME SENSE WHAT I'M
CONCERNED ABOUT THOUGH IS YOU'RE
TALKING ABOUT THE RATE. ARE
HAVING ESSENTIALLY THE C. P. U.
C. TECA. A CLOSER LOOK AT THE
RATES WHICH IS FINE BUT TO
LIMITED TO INFLATION LET'S FACE
IT. RIGHT NOW WILL WHILE FIRING
MITIGATION IS A BIG COST FOR
PG&E ARE WE GONNA TELL THEM UP
SORRY YOU CAN'T DO THAT BECAUSE
WE'RE NOT GOING TO GIVE YOU THE
RATE INCREASE OR SOMETHING ELSE.
SO THAT'S MY CONCERN WHAT IS ITTHAT THE FUTILITY IS DON'T DO.
THAT THEY MIGHT DO IF YOU
ALLOWED THAN THAT LARGER RATE
INCREASE AND I CERTAINLY AGREE
WE SHOULD LOOK AT EVERYTHING
THAT'S BEING DONE. BUT HOW DO WE
KNOW HOW DO YOU PRIORITIZE. WHAT
IS IT YOU THINK THAT THEY MIGHT
BE DOING THAT THEY CAN'T DO I
GUESS THAT'S THE REAL QUESTION.
ASSEMBLY MEMBER COURT I
APPRECIATE THE QUESTION IT'S A
FAIR QUESTION. THERE THERE ARE A
COUPLE OF RESPONSES ONE IS THAT.
WHEN YOU TAKE A LOOK AT THE
RECENTLY RELEASED- CLIMATE PLAN
ZERO- 100% CLEAN ENERGY CLIMATE
PLAN THAT WAS RECENTLY RELEASED
BY MUD. THE SACRAMENTO MUNICIPAL
UTILITY DISTRICT. THEY HAVE A
COMMITMENT TO REACHING THEIR
GOALS AND- STAYING WITHIN-
INFLATION IN TERMS OF- OF
INCREASES SO I JUST WANT TO GIVE
THAT OF THE OF THE QUICK POINT.
I THINK PART OF IT IS THAT. THE
UTILITIES CAN'T DO IT ALONE I DO
THINK THAT THE LEGISLATURE AND I
THINK PARTICULARLY WITH BOB FIRE
COUGH PART OF MY POINT IS THAT.
THE EMISSIONS CAUSED BY
WILDFIRES REALLY DRAG US BACK
THE WHOLE STATE BACK ALL THE
MONEY WE SPEND IT DRAGS US BACK
WHEN IT COMES TO REACHING OUR
CLIMATE GOALS AND OFF OUR PUBLIC
HEALTH GOAL FOR I THINK THAT
THERE IS. A CASE TO BE MADE
THAT- SOME OF THE WILDFIRE
COUGH- AND ALSO BECAUSE WE NEED
TO DO IT QUICKLY OKAY WE JUST
CAN'T WAIT FOR YEARS AND YEARS.
THAT THERE THIS IS THE TYPE OF
EXTRAORDINARY ONCE IN A
GENERATION URGENT COSTS THAT I
AM GOING TO SUGGEST THAT IF
APPROPRIATE FOR THE LEGISLATURE.
I AM FROM COLLEAGUES THAT ARE
WONDERING ABOUT SHOULD WE PUT
THE CARE PROGRAM ON. THE STATE
BUDGET I'M VERY CONCERNED ABOUT
THAT I'M JUST BUT I'M JUST
LETTING YOU KNOW THAT I DON'T
THINK THAT SUCH A GREAT IDEA
BECAUSE THERE'S NOT ALWAYS A
STATE SURPLUS I KNOW THAT FROM
BEING. I WOULD RATHER HAVE A
SURPLUS BE INVESTED IN SOMETHING
THAT PAYS OFF OVER A GENERATION
AND I THINK THAT A LOT OF THESE
WILDFIRE MITIGATION WE'RE
TALKING ABOUT WILL PAY OFF FOR
GENERATIONS THAT I. I THINK THAT
PART OF IT IS THAT YOU'RE RIGHT
SOME STUFF UTILITIES WON'T BE
ABLE TO DO BUT THAT BACK FROM
WHERE WE NEED MORE COORDINATION
AND PARTNERSHIP NOW MY GUESS IS. THAT THE STATE BUDGET. BEING
LARGER THE WE HAD. GOES AWAY
PRETTY QUICKLY BUT I AM THRILLED
WITH YOU. I JUST I'M NOT SURE
THAT'S A SOLUTION BUT IF WE
COULD IT'S NOT A BAD IDEA THANK
YOU. THANK YOU. THINGS WERE
GOING TO MY RIGHT ANY QUESTIONS
FROM ANY OF OUR COLLEAGUES.
MISTER MURPHY G. ALL RIGHT-
WELCOME MR TONY- FIRST OF ALL I
. I'M GOOD AT- YOU SIERRA HERE
HERE HERE OPENING PHRASE MOST
GREEN FOR LEASE SCREEN I THINK
WE CAN ALL COULD APPRECIATE THAT
BUT- BUT IT BUT THEN YOU KNOW WE
AT AND WHEN WE START GETTING
INTO A- DID IT TO SOME OF THE-
THE ENGINE TO GETTING INTO THE
WEEDS I THINK THAT'S WHERE IT
GETS MORE COMPLICATED LIKE. LIKE
FOR EXAMPLE YOUR YOUR YOUR THIRD
PROPOSAL- POINT OF SALE- YOU
KNOW YOU COSTS ARE YEAH I MEAN.
I THINK I THINK WE MIGHT HAVE
TALKED ABOUT THIS BUT- YOU KNOW
ME ONE EXAMPLE OF THAT WOULD BE
A TAX ON GAS POWERED CARS RIGHT
YEAH BUT BUT THAT WOULD GO TO
THE ECONOMIC REALITY THAT- MISS
CARDIO WAS TALKING ABOUT EARLIER
ABOUT. YOU KNOW. FOR MOST
WORKING FOLKS. THEY CAN'T AFFORD
ELECTRIC CAR AND SO YOU KNOW
THAT'S GOING TO BE A HIGHER TAX
ON. ON WORKING FOLKS DRIVING GAS
CARS AS OPPOSED TO YOU KNOW
FOLKS DRIVING TESLAS MAN HAVE
HAD HOW DO YOU IT SEEMS LIKE A-
YEAH IT'S IT SEEMS CONTRADICTORY
ON THE ON THE ONE HAND YOUR YOUR
AIR ADVOCATING FOR- YOU KNOW
MORE MORE AFFORDABLE- UTILITY
RATES- BUT ON THE OTHER HAND-
OVER INCREASING COSTS IS FOR. IN
IN IN IN WAYS THAT THEY THAT
THAT WOULD IMPACT WORKING CLASS
FOLKS THE MOST. THANK YOU FOR
ASKING BETTER ASSEMBLY MEMBER
MURATSUCHI SO LET ME GO BACK TO
MY EXAMPLE WE'VE GOT I'M TALKING
ABOUT NEW VEHICLES IN THE FERRET
OUT WITH NOT USED VEHICLES. SO
THE FACT IS THAT FIFTY THOUSAND
DOLLARS IF THE AVERAGE COST OF A
NEW VEHICLE. AND I'M TALKING
ABOUT A THOUSAND DOLLARS TO BE
TACKED ON THE IDEA IS THAT A
COMPARABLE ELECTRIC CART WHAT
WHAT IF YOU COULD MAKE THE
ELECTRIC CAR FORTY THOUSAND THE
COMPARABLE OR THIRTY THOUSAND
OKAY NOW. WHAT I'M TALKING ABOUT
IS MAKING IT ECONOMICALLY
VIABLE. THE OTHER THING IS THAT
THE COST OF MAINTAINING AN
ELECTRIC CAR HE FELL FAR BELOW
GASOLINE CAR I MEAN I'M TELLING
YOU FROM EXPERIENCE IT'S
VIRTUALLY NOTHING AND SO I WOULD
SUGGEST THAT THERE ARE I
UNDERSTAND THE FEARS THAT PEOPLE
HAVE. BUT I WILL SAY AS AN
ELECTRIC CAR DRIVER THE COST THE
ONGOING MONTHLY COSTS ARE FAR
LOWER SO I BELIEVE THAT IF WE
CAN REDUCE THE COST OF ELECTRIC
VEHICLE TO BE LOW THE COST OF A
GASOLINE VEHICLE. AND THEN WHAT
THE COST OF OWNERSHIP OF AWFUL
LOWER. BUT THAT HELPS WORKING
FAMILIES. IF I LOOK AT IT.
PARAPET YEAH THANK GUESS THE
CHALLENGE WOULD BE. WELL I CAN
SEE A LOT OF CHALLENGES BUT- I
GET YOUR POINT I AND I AND I
APPRECIATE YOUR POINT BUT BRING
IT BACK TO- ELECTRIC RATES IN AN
AWAY FROM FROM FROM FROM CARS-
YOUR YOUR YOUR FIRST PROPOSAL
ABOUT THE- YOU KNOW. HOW WE
SHOULD BE LOOKING FOR
MITIGATIONS LIKE BUILDING
ELECTRIC ELECTRIFICATION THROUGH
NON RATE PAIR- APPROACHES IN AND
THEN YOU MENTIONED. I IT WASN'T
EVEN AWARE THIS THING I PROBABLY
SHOULD BE BETTER. SO OUR RATE
PAYERS BEING CHARGED FOR. FOUR
BUILDING ELECTRIFICATION. THERE
IS A CURRENT PROPOSAL THAT HAS
BEEN SUBMITTED BY SOUTHERN
CALIFORNIA EDISON. TO ELECTRIFY
TEN THOUSAND HOMES. FOR THE COST
OF SIX HUNDRED AND SEVENTY SEVEN
BILLION RATEPAYER DOLLARS. NOT
NOT. HERE'S THE THING. OF ALL
THE HOMES IN CALIFORNIA THERE
ABOUT FIFTEEN MILLION UNITS. IT
PRODUCES- 7% OF ALL CARBON
EMISSIONS COME FROM RESIDENTIAL
WHAT THAT MEANS BASICALLY IF IN
ORDER TO HAVE A 1% REDUCTION YOU
NEED TO MILLION HOMES TO BE
ELECTRIFIED. AND YOU KNOW YOU
KNOW I'M LOOKING AT YOU CAN
EITHER HAVE TO GO BIG OR GO HOME
WHEN IT COMES TO BUILDING
ELECTRIFICATION TEN THOUSAND
HOME FOR SIX HUNDRED MILLION
DOLLARS. TO TEN THOUSAND IT
YOU'RE NOT EVEN GOING TO MOVE
THE NEEDLE- THAT THE PROPOSAL
WE'VE BEEN FLOATING. IS WHAT IF
YOU REQUIRED AS A CONDITION. OF
CLOTHING OFF GROW. ON THE FINGER
FAMILY HOME. THAT COULD BE
CONVERTED TO ELECTRIC HOT WATER
. COOKING AND EATING OTHER
THAT'S FOUR HUNDRED THOUSAND
HOMES A YEAR THAT SINGLE FAMILY
RESIDENTIAL HOMES THAT ARE FULL
IN CALIFORNIA BUT THAT BUT THAT
AGAIN YOU KNOWWITH THE SIMILAR
TO THE GAS POWERED THE TAX ON
THE GAS CARS IT WOULD ADD TO THE
AFFORDABILITY AFFORDABLE HOUSING
CRISIS. THERE ARE DIFFERENT WAYS
OF LOOKING AT IT I WILL SAY THAT
. FINANCE THE ABILITY TO
FINANCE. THAT CONVERSION AT
MORTGAGE RATES WHICH IS ABOUT
THE LOWEST KIND OF RATES THAT
MOST EVERYDAY CONSUMERS HAVE
AVAILABLE TO THEM. IT IT IT.
IT'S NOT A PERFECT SOLUTION BY
ANY MEANS WHAT IT IS IT'S A BIG
SOLUTION IF THE GOAL BIG CONCEPT
. THE REASON I'M PUTTING THAT ON
THE TABLE IF WE DON'T HAVE
ENOUGH GO BIG FAT WHAT I'M
HOPING IS FOR PEOPLE WHO DON'T
LIKE. TURNS GO BIG CONCEPT TO
COME UP WITH THEIR OWN GO TO BE
CONCEPT SO I'LL BE HONEST WITH
YOU. SOME OF THE PROPOSALS THAT
BURN. WITHOUT IT'S NOT THAT WE
THINK IT'S EASY. TO GET ADOPTED
OR WE THINK THIS IS THE BEST
BUT- WE NEED BIG IDEAS ON THE
TABLE HERE'S OUR FONG. AND LAST
TO- YOUR YOUR POINT THAT CLEAN
ENERGY MANDATE SHOULDN'T IMPACT
THE RATE PAYERS. BUT I MEAN YOU
WOULD YOU WOULD ADMIT THAT- THAT
THIS IS YOU KNOW INTERNALIZING
COSTS CAN BE DIFFICULT LIKE HOW
DO YOU HOW DO YOU HOW DO WE
INTERNALIZE THE COSTS YOU KNOW.
OF CLIMATE CHANGE IN TERMS OF-
OF EVER INCREASING WORLDWIDE
FIRE COSTS YOU KNOW PUBLIC
HEALTH COSTS OF YOU KNOW THE ALL
THE- SMOKE- THAT THAT THAT OUR
KIDS ARE BREATHING AND FROM FROM
ALL THE WILD FIRES ME IT'S NOT
JUST RATEPAYER. IMPACT ANALYSIS
RATE I MEAN WE ALSO NEED TO
CONSIDER- THAT THE COSTS OF
CLIMATE CHANGE- ABSOLUTELY WHAT
WHAT WHAT I'M SAYING IS THAT
RATEPAYERS HAVE ALREADY INVESTED
BILLIONS IN DECARBONISING. THE
THE GENERATION. IN CALIFORNIA WE
WANT TO MAKE SURE THAT WHEN IT
COMES TO BUILDING.
DECARBONIZATION AND
TRANSPORTATION THAT THE
TRANSPORTATION AND BUILDING
FACTOR PITCH IN AND PAY THEIR
FAIR SHARE OF REVENUE WHEN WE'RE
TALKING ABOUT WHAT IT IS EXACTLY
BECAUSE OF THE REASON THAT
WILDFIRES IMPACT FAR MORE THAN
RATE PAYERS. THAT WE BELIEVE IT
IS JUSTIFIABLE TO LOOK FOR
REVENUE FROM OTHER FACTORS TO
COMPLEMENT WHAT RAPIER FOR
PAYING. THAT'S THE BASIC
PRINCIPLE. I THANK YOU. THANK
YOU QUESTIONS FROM SOME MEMBERS
OF THAT YOU HAVE A QUESTION AND
WHEN I CAN ADD ON TO THE CONSENT
CALENDAR WOULD BE MUCH
APPRECIATED ONCE AGAIN RECESSED.
FOR THE HEARING IN A MINUTE AND
NOT APPRECIATE THEM THANK YOU
AND I DON'T AND I WANT TO
APPRECIATE YOUR WORKING IN TERMS
OF TRYING TO FIGURE OUT HOW TO.
HELP PREPARE THE TICKLING THOSE
WHO ARE STRUGGLING THE MOST IN
THE AND I'VE SEEN SOME OF YOUR
ADVOCACY OVER THE YEARS AND I'VE
LEARNED TO APPRECIATE QUITE A
BIT. AS YOU KNOW WE'RE WORKING
ON IT WE'VE HAD DISCUSSIONS
BETWEEN OFFICE IN YOUR OFFICE.
I'M FROM THE PUBLIC PURPOSE PRO.
IS THE ONE. OF THOUGHT IS THAT.
CONTROLS ABOUT BILLS IN A IN A
HEARING ONE SCHOOL OF THOUGHT IS
THAT- IS WHAT YOU'RE PROPOSING
WHICH IS. WE FIND ANOTHER SOURCE
OF INCOME- I'M USING THAT. WORD
LOOSELY INCOME- ANOTHER SCHOOL
OF THOUGHT IS THAT WE USE A
STATE REVENUE THE STATE
REVENUES- OR- SURPLUSES THAT- IN
ORDER TO. ALLEVIATE A RATEPAYER.
N. AND YOU KNOW THE STRUGGLE IS
YOU KNOW WHICH REPAIRS TO PAY
WHICH ONES. SHOULD PAY FOR WHAT
SERVICES AND FOR WHO AND OFTEN
TIMES. WHEN WE HAVE THESE
CONVERSATIONS. IT IS ONE GROUP
OF RATEPAYERS WHO. BURDEN THIS
THE MOST AND IN MANY CASES. ARE
THOSE WHO ARE LEAST ABLE TO
ECONOMICALLY BURDENED THIS THE
MOST. FOR THE GREATER GOOD. OUT
WITH A PUSH YOU A LITTLE BIT ON
ON ON A COUPLE OF THOSE CONTENT
HERE. I THINK OUR CULTURE. HAVE
PUSHED BUT WE'RE GONNA CONTINUE. TO PUSH BECAUSE- IF IT'S-
THIS. REVENUE IS ONE WHETHER WE
JUST IT AS A SO TODAY OR WOULD
WE DESCRIBED AS ON. REVENUE AND
I HEAR YOUR CAUTION I THINK
IT'S- I THINK IT'S IMPORTANT YOU
HAD SAID THAT. IF THERE IS A DIP
IN STATE REVENUES WILL THEN WHAT
HAPPENS IF PROGRAMS AT THAT I
GET THAT. BUT ON THE PUSH A
LITTLE BIT MORE ON THE STATE
REVENUES. A PIECE OF IT- AND IF
YOU'RE IF YOU'RE- IN PAIN WHEN
WE WHEN YOU GO BACK INTO- LIKE
MY COLLEAGUE AND- HAD A QUESTION
YOU WALKED INTO- THESE- OTHER.
THE AREAS WHERE WE CAN INCREASE.
OUR REVENUE FORTY SAID PROGRAMS
. THE GOAL OF GOING TO A STATE
REVENUE AT LEAST FOR ME WOULD BE
TO ALLEVIATE THE BURDEN ON THIS
POPULATION WHO HAS WHO WHO IS
LEAST ABLE TO PAPER PAYS THE
MOST IN MANY CASES FOR CERTAIN
PROGRAMS. I'M A PRESS ON THAT
THAT LITTLE BIT LONGER IT AND IF
YOU ARE THINKING OF OTHER AREAS-
I'M- HOW WOULD YOU DO THAT IN A
WAY THAT DOESN'T CONTINUE TO
BURDEN. THAT SAME POPULATION.
WHO WERE ASKING NOT TO BE BIRD
AND LOOK W'VE GOT TO BE.
REALISTIC ABOUT THE MOUNTAINS TO
CLIMB WHEN YOU'RE LOOKING FOR
NEW ADDITIONAL REVENUES TO PAY
FOR THESE PROGRAMS EVEN IF THE
WELL INTENTIONED. THE IN A MAGIC
WORLD. YOU YOU HIT THE GYM IN
THE BOTTOM OF THE TICKET THE
PROGRAM BECAUSE WE WANT TO HELP
A CERTAIN POPULATION. NOT
CONTINUE TO LAYER LAYER LAYER
LAYER- WHEN THEY DON'T BENEFIT
THE MEDIA. THE WELL THEY DON'T
REAP THE MANY BENEFITS OF THOSE
PROGRAMS. SOME PUSHING A LOT MY
SATELLITE BUT BUT THAT'S BECAUSE
I HAVE CONFIDENCE. IN YOUR HEAD
IN YOUR BILL YOU GIVING YOUR
DEEP KNOWLEDGE AND WORK IN THIS
AREA THAT YOU GET. YOUR PRETTY
LITTLE BIT ON THAT PPP FOR STATE
FUNDING AND- OTHER THOUGHTS OF
WHAT EQUITY IN MIND AS- WELL
ASSEMBLY MEMBER FUND PICKLE
THANK YOU VERY MUCH FOR THE
QUESTION. I THINK THERE ARE A
COUPLE OF WAYS TO GO ON THIS.
ONE IS. I ABSOLUTELY SUPPORT
STATE REVENUE CONTRIBUTIONS
OKAY. I JUST DIDN'T WANT TO
DEPEND ON IT I'M GOING BUT THERE
ARE SOME WAYS. SO FOR INSTANCE
WHEN WE'RE LOOKING AT. THESE
HUGE CAPITAL PROJECTS- THAT THAT
HAVE TO DO WITH UNDERGROUNDING
LINES. COVERED CONDUCTORS A LOT
OF THE- CAPITAL INVESTMENT FOR
WILDFIRE. MITIGATION MANY QATAR
FOR SECOND THING I DID NO NO NO
NO I'VE- TO SAY. WITHOUT
JEOPARDIZING SOME OF THESE GOOD
PROGRAMS. THAT WE WANT TO MAKE
SURE THAT WE'RE FIGHTING CLIMATE
CHANGE TO OUR FULL ABILITY. FOR
THAT TO SAY THAT BE SORRY OKAY
I'M SORRY THE PHARMACY CARE TO
JUMP IN. OKAY SO. I PART OF WHAT
I AM WE'D LIKE TO LARGEST TO CAN
IS OUR CERTAIN. AND INVESTMENTS
THERE ARE SUITABLE FOR PUBLIC
FINANCING THROUGH- THROUGH BOND
FOR INSTANCE THAT ARE REPAID
THROUGH THAT AT THE END OF THE-
YOU KNOW THAT ARE REPAID THROUGH
DEDICATED- YOU KNOW REVENUE
STREAMS TAXPAYER REVENUE STREAMS
THAT'S AS BONFIRE SO THAT'S
THAT'S THAT'S ONE THING WE'VE
BEEN LOOKING AT AND THINKING
ABOUT. I AT OUTLOOK BROUGHT UP
BEFORE THE COST OF THE FOLDER
FOR UP THIRTIES. THE OVERPAYMENT
IS FAR MORE THAN THE PUBLIC
PURPOSE PROGRAM. IT'S ABOUT
DOUBLE RIGHT NOW SO THERE ARE
WAYS THERE ARE THINGS THAT CAN
BE DONE TO KIND OF BRING THINGS
BACK A LITTLE BIT MORE INTO
KILTER. PROVIDE SOME RATE RELIEF
AND PROTECT THE PARTICULARLY LOW
INCOME OF CARE CUSTOMERS. I TELL
YOU SOMETHING INTERESTING B. FOR
THE PANDEMIC. OUR UTILITY SHUT
OFF A GROWN TO OVER EIGHT
HUNDRED THOUSAND PER YEAR EIGHT
HUNDRED AND FORTY THOUSAND PER
YEAR. AND WHEN WE LOOKED AT THE
RESEARCH AND WE LOOK AT WHO'S
GETTING SHUT OFF. THE INCREASED
RATE WAS ACTUALLY HIGHER AMONG
NON CARE CUSTOMERS THE ONES CARE
CUSTOMERS PART OF WHAT METHOD I
WANT TO MAKE SURE PEOPLE HERE IS
THAT THE AFFORDABILITY CRISIS
ABSOLUTELY EXIST AMONG THEIR
CUSTOMERS. BUT ALSO EXIST AMONG
MANY MORE CUSTOMERS THE DEATH
CARE CUSTOMERS SO PART OF IT IS
THAT IN ORDER TO RESOLVE AND
ADDRESS THE AFFORDABILITY CRISIS
WE HAVE TO RIGHT AWAY TO BRING
DOWN THE COST FOR EVERYBODY.
INCLUDING QUITE FRANKLY V.
COMMERCIAL AND INDUSTRIAL AND
AGRICULTURAL SECTOR I KNOW THAT
NOT RESIDENTIAL BUT I HAVE TO
CALL THEM OUT BECAUSE THEY PASS
ON THEIR INCREASES. THE FED
PEOPLE PAYING THE MONTHLY
RESIDENTIAL BILLS FLOW I DO
THINK WE NEED TO FIGURE OUT A
WAY TOGETHER AS PARTNERS HOW DO
WE GET. A LITTLE BIT OUT OF
CONTROL AND PARAMETERS AROUND
THESE RATE INCREASES. THANK YOU
COULD QUESTION I THINK IT THAT
LAST STATEMENT YOU MADE MAY SHED
LIGHT ON THE REASON WHY TWO
BILLION DOLLARS OF. REAR AGE-
EFFORTS- WAS JUST NOT ENOUGH
BECAUSE WE WEREN'T LOOKING AT
JUST A SMALL POOL OF. CALIFORNIA
RATEPAYERS RIGHT THERE'S A
LONGER LIST OF FOLKS THAT WE'RE
TALKING ABOUT IT I'D LIKE TO ASK
SOME QUESTIONS ASKED MISTER
BAKER TO YOU. AS IT RELATES TO
THE OTHER LEGACY PROGRAMS THAT
WE SHOULD BE- TAKING A SERIOUS
LOOK AT YOU MENTIONED CARES AND-
AND SHIFTING IT TO THE GENERAL
FUND VERSES- ON ON THE LIST OF
HOW WE PAY FOR IT NOW. IF YOU
CAN ELABORATE- STARTING WITH
THAT AND GO DOWN THE LIST OF
OTHER PROGRAMS THAT YOU THINK.
ARE DESERVING OF LEGISLATE CHUR
OVERSIGHT- AND ME BE
RESTRUCTURING AND THEN THE
OTHERS JUST SOME COMMENTS ON THE
C. P. C. AUDIT RELATED TO THE
FIRE MITIGATION- A DOLLARS THAT
SURE RIGHT TO KEEP A CLOSE EYE
ON HIM. I WHAT WE'RE- WE'D BE
TURN WOULD BE VERY CAUTIOUS
ABOUT CHANGING. THE CARE
STRUCTURE. OF BECAUSE RIGHT NOW
THEY'RE THE GUARANTEED REVENUE
STREAM IF WE SEARCH. I REMEMBER
THE YEARS MANY OF YOU REMEMBER.
MANY DARK YEARS OF YEAR AFTER
YEAR OF BUDGET DEFICIT AND IT
WAS BRUTAL HERE. ABSOLUTELY
BRUTAL I'M AT. EIGHT I DON'T
WANT CARE TO BE PART OF THAT I
WOULD RATHER CARE TO BE
PROTECTED. BUT LET ME LET LET ME
GET TO THE CORE. OF YOUR
QUESTION- ADDRESSING THE- I'M
SORRY THE SECOND PART OF YOUR
QUESTION COULD. EVALUATE OKAY
THE AUDIT THE AUDIT OKAY. SO
WHAT V. THIRTY FROM OUR POINT OF
VIEW WITH THE STATE AUDIT SHOWS
. IS THAT WHEN YOU WHAT HAS
HAPPENED IS THAT BETWEEN THE
WHAT THE PHILIPPINES IS DOING
AND WHAT THE OPETH OF ENERGY
FIFTIES DOING. REPAIRS ON THE
PUBLIC HAVE BEEN CUT OUT OF THE
PROCESS. OF WITH AB TEN FIFTY
FOUR EIGHT PAIRS LIKE TURN HAVE
BEEN CUT OUT OF THE FIFTY
CERTIFICATE- WE'RE NOT PART OF
THAT PROCESS INTERVENOR
COMPENSATION WITH A WAS
ELIMINATED FROM THAT FROM THAT
PROPOSAL- THERE WERE SUPPOSED TO
BE. THE PROPER MITIGATION PLAN
WITH OPPOSED TO- BE COVERED
UNDER INTERVENOR COMPENSATION
ANOTHER THREE PCS ST WHAT WE
DON'T THINK SO WE DON'T THINK
IT'S COVERED. THE CPSC. WHEN IT
INVESTIGATED. THE CAUSE OF
WILDFIRES UTILITY INVOLVEMENT IN
WILDFIRES THEY USED TO
INVESTIGATE IT AND THEN INVITE
PARTY FLIGHT TURNED AND OTHER
INTERESTED PARTIES ARE MULTI
GRADE ROAD ALLIANCE FORINSTANCE
I DEFEND THE A GO TO PARTICIPATE
IN THE PROCEEDINGS IN THE
NEGOTIATIONS WELL THIS YEAR FOR
THE KINCAID FIRE FOR PG&E AND
THE THOMAS FIRE FOR THE
CALIFORNIA EDISON IT WAS ALL
DONE BEHIND CLOSED DOORS NO
TRANSPARENCY. AND IT WAS A BACK
ROOM DEAL TURN IS CRITICIZED THE
PC ROUNDLY FOR THIS SO I THINK
PART OF IT IS THAT IF YOU WANT
MORE ACCOUNTABILITY YOU CAN'T
KEEP GROUPS LIKE TURN YOU CAN'T
KEEP OUR EXPERTS OUT OF THE ROOM
I WOULD SUGGEST THAT YOU MAY
WANT OF GROUPS TO BE IN THE ROOM
SO THAT IT'S NOT SIMPLY THE
UTILITY NEGOTIATING WITH THE
REGULATOR. AND THAT FIT. THANK
YOU I'M ELECT ELABORATE ON ANY
OF THE OTHER LEGACY PROGRAMS YOU
FOCUSED ON CARE WHEN YOU FELT
LIKE IF YOU HELP ME OTHER
PROGRAMS THAT ARE AT THE C. P.
U. C. THAT HAVE BEEN HIGHLIGHTED
IN THERE AB SIXTY SEVEN REPORT-
LOOKING AT- HOW STATE.
INTERVENES INVESTS SUBSIDIZES-
WHATEVER TERMINOLOGY WE WANT TO
USE- BUT IS THERE- SOMETHING
THAT WE SHOULD BE LOOKING AT AS
WE'VE HONED IN ON MA'AM ARE
THERE OTHER PROGRAMS LIKE THE
NAME PROGRAM. WE ALL BE TAKING A
LOOK AT IT IN IN GENERAL. I
THINK IT'S IMPORTANT FOR THE
LEGISLATURE TO CONSIDER SHOULD
BE SHOULD RATEPAYER. BE PAYING
FOR ELECTRIC VEHICLE CHARGING
STATIONS ON THEIR BILL SHOULD BE
PAYING SHOULD THEY BE PAYING FOR
THE CONVERSION OF LIGHT AND
MEDIUM DUTY COMMERCIAL VEHICLES
ON THEIR MONTHLY BILLS SHOULDN'T
THE TRANSPORTATION SECTOR BE BE
PAYING FOR THAT- I THINK THERE'S
A WHOLE LIST OF PROGRAMS THAT
RATE PAYERS ARE PAYING FOR THAT
WOULD BE BETTER PAID THROUGH
OTHER PROGRAMS WE HAVE-
SOCALGAS. REQUESTING MONEY FOR
DOING RESEARCH ON A BIG HYDROGEN
PROJECT AND THERE IS MONEY FROM
THE ENERGY COMMISSION TO DO THAT
SO THERE ARE A LOT. A NUMBER OF
PROGRAMS THAT WE AND I CAN
PROVIDE YOU A MORE COMPREHENSIVE
LIST- AFTER THE SHOOTING MAYBE A
LIST LIKE THIS ONE- WOULD BE
COULD AS A FOLLOW UP I REALLY TO
WEIGH IN ON ON ON THE- REAL CORE
OF- I WAS LOOKING AT ALL
PROGRAMS AND NOT JUST. PICKING
ON ONE I AGREE WITH YOU AND I
APPRECIATE THAT APPRECIATE YOUR
LEADERSHIP IN THINKING BROADLY.
THANK YOU I DON'T HAVE ANY OTHER
QUESTIONS ON MY LOOK TO MY LEFT
TO SEE IF THERE'S ANY QUESTIONS.
SEEN ON TO MY RIGHT AGAIN I
THANK YOU SO MUCH FOR YOUR
TESTIMONY THANK YOU VERY MUCH
GARCIA WE'RE GONNA ASK-
DIRECTOR- OF THE- RAIMEL DEFENSE
FUND- MICHAEL COLEMAN TO PLEASE
COME FORWARD. BEFORE WE START
WITH THAT TESTIMONY WE'RE GOING
TO RECESS. THE INFORMATION
HEARING WE'RE GOING TO- CALL
THE- MEETING TO ORDER AGAIN FOR
THE UTILITIES AND ENERGY REGULAR
MEETING AND ASKED THAT- THE
SECRETARY CALL THE ROLL ON THE
OPEN ITEMS ON THE AGENDA. ITEM
NUMBER ONE AB NINETEEN SIXTY THE
MOTION IS DUE PASS ITEM NUMBER
TWO A. B. TWENTY THREE OH TO THE
MOTION IS DUE PASSED AS AMENDED
TO NATURAL RESOURCES. MAYES
REYES SANTIAGO SANTIAGO AYE TANG
THAT'S THE ELEVEN ZERO RIGHT WE
WILL KEEP THAT ITEM OPEN FOR
OTHER MEMBERS TO ADD ON WILL
LAST THE SERGEANTS TO GIVE THEM
A CALL- AND SO AT THIS TIME WE
WILL NOW BEGIN RECESS AT THE
UTILITIES ND ENERGY COMMITTEE
AND RE OPENED THE PUBLIC-
INFORMATION HEARING. OF THE
COMMITTEE. DIRECTOR OPENER
ROGERS. AT PENTATHLETE THANK YOU
SO MUCH. GIVE ME ONE MOMENT TO
GET MY TECHNOLOGY IN ORDER HERE
. HOPING THAT. YOU ALL CAN SEE
THIS I THINK WE CAN I'M OFF
THANK YOU ALL SO MUCH FOR
INVITING ME TO. ISN'T THIS
AFTERNOON IT'S A REAL HONOR- I
THINK IT'S IMPORTANT TO START
OFF TO SAY. WE ARE IN VERY
UNUSUAL TIMES WHEN IT COMES TO
INFLATION CUSTOMERS ARE
SUFFERING WE KNOW THIS AND SO
ANYTHING THAT THIS COMMITTEE CAN
DO TO HELP WITH BILL RELIEF TO
HELP CUSTOMERS FIGURE OUT HOW TO
DO THIS ENERGY TRANSITION IN A
WAY THAT PRESERVES DIGNITY FOR
THEM FOR THEIR LIVES FOR THEIR
FAMILIES IT'S VERY IMPORTANT AND
I THINK THAT WAS GETTING MISS
FROM PART OF THE CONVERSATION
THAT I WAS HEARING EARLIER TODAY
SO I WANTED TO MAKE CERTAIN THAT
THAT WAS EMPHASIZED- MY GOAL
HERE WAS NOT TO TALK ABOUT ANY
ONE SPECIFIC BILL THAT'S
CURRENTLY PENDING BEFORE THE
LEGISLATURE. BUT TO OFFER UP
SOME IDEAS OF THINGS THAT THIS
COMMITTEE COULD DO EITHER THE
SESSION ON THE FUTURE AND I
STAND READY TO HELP. BRAINSTORM
WITH ANY AND ALL OF YOU AS MUCH
AS I CAN- THE FIRST QUESTION I'D
LIKE TO OFFER UP IS YOU HAVE
THIS BUT HEARING IS ABOUT RATES
AND I THINK THAT'S APPROPRIATE.
BUT I'D LIKE TO PUSH ON THAT
QUESTION FOR A MOMENT WHY ARE WE
FOCUSING ON RATES. AS SIMON
BAKER SAID AT THE BEGINNING OF
HIS PRESENTATION RATES ARE THE
HIGHEST IN THE COUNTRY FOR
CALIFORNIA SAN DIEGO HAS SOME OF
THE HIGHEST ELECTRIC RATES
ANYWHERE. BUT RATES IS ONE
METRIC- ASSEMBLY MEMBER
MURATSUCHI TALKED ABOUT THE RATE
SOURCES BILLS PART OF IT BUT I
ACTUALLY THINK WE NEED TO GO A
STEP FURTHER THAN THAT- AND I'M
GOING TO SUGGEST SOME IDEAS
DURING THIS PRESENTATION OF THE
OF MAY BE A BETTER METRIC PRESS
TO BE THINKING ABOUT- I DO WANT
TO NOTE AT THE SAME TIME THAT
THE LEGISLATURE AS GIVEN US
SOME DIRECTION. AS A STATE
SAYING WE WANT TO DECARBONIZE
THE ECONOMY AND WE WANT TO DO
THAT ON. THE U. USING LEVERAGE
OF THE STATE ELECTRICITY SYSTEM
TO DO THAT SO WHEN WE TALK ABOUT
A RATE VERSUS BILL INTACT WELL
RATES ARE HIGH BUT USAGE IS
LOWER BUT NOW WE'RE GONNA BE
TALKING ABOUT INCREASING USAGE.
BUT THAT'S A SUBSTITUTE FOR
SOMETHING ELSE SO WE NEED TO
THINK ABOUT WELL WHAT IF THAT
SUBSTITUTION EFFECT AND IT'S
GOING TO REQUIRE US TO WHITE IN
THAT LENDS A LITTLE BIT. AND SO
RATES ARE GONNA GO OUT. THERE
ARE WAYS TO CONTAIN THAT USAGE
IS GOING TO GO UP THERE WAYS TO
CONTAIN NINE BUT OTHER THINGS
ARE GOING TO GO DOWN AND WE NEED
TO BE THINKING THROUGH THAT. SO
MY FIRST GO BOLDER STATEMENT
THAT I GUESS I WOULD HAVE TO
THIS COMMITTEE IS LET'S NOT
FOCUS ON RATES AND LET'S NOT
FOCUS ON RATES AND BILLS LET'S
FOCUS ON CUSTOMERS AND HOW WE
CAN HELP THEM WITH THEIR ENERGY
BURDEN- ENERGY BURDEN ITSELF IS
A TERM OF ART. THE DEPARTMENT OF
ENERGY TALKS ABOUT IT AS THE
PERCENTAGE OF YOUR OVERALL
INCOME THAT YOU SPEND ON YOUR
TOTAL ENERGY BILL. AND I WOULD
POSIT FOR THE PURPOSES OF THIS
COMMITTEE THAT WE SHOULD THINK
ABOUT THIS AS HOLISTICALLY AS WE
CAN IT'S NOT JUST ABOUT. WHAT WE
PLUG IN TO CHARGE YOUR IPHONE
THAT ITS THE- THE GAS THAT GOES
INTO OUR CAR IT'S ABOUT THE GAS
IT'S USING TO POWER HOMES THE
PROPANE TANKS ARE- EVERYTHING
ELSE THE ENTIRE ENERGY BURDEN
HOW MUCH MONEY ARE WE SPENDING
THEIR- LOW INCOME CUSTOMERS ON
AVERAGE SPEND THREE TIMES MORE.
OF AN ENERGY BURDEN THAN OTHER
CUSTOMERS TO. THAT'S A REALLY
HIGH NUMBER WE NEED TO THINK
THROUGH THAT. AND OF COURSE AND
I ALSO JUST OBSERVE THAT. I HOPE
IT WASN'T SOMETHING I SAID YOU
KNOW WHAT. I ALSO OBSERVE JUST
AS WE THINK ABOUT ENERGY BURDEN
AS A METRIC THAT CALIFORNIANS
HAS THE FIFTH LARGEST ECONOMY IN
THE WORLD AND ONE THIRD OF OUR
CITIZENS CANNOT AFFORD THEIR
ENERGY BILL TODAY WE KNOW THAT
AND SO WE NEED TO BE THINKING
ABOUT HOW DO WE ADOPT THIS
METRIC NOT JUST FOR CARE
CUSTOMERS BUT HOW DO WE THINK
ABOUT IT KIND OF. GOING FORWARD
. SO MY QUESTION REALLY IS WHAT
IF WE USE ENERGY BURDEN AS A
METRIC WE COULD DESIGN THAT WE
COULD THINK ABOUT IT. AS I THINK
YOU MIGHT HEAR MISCAST AS TALK
ABOUT IN THE NEXT PRESENTATION
ALSO. IT'S NOT JUST ABOUT THE
AVERAGE CUSTOMER BUT WE'RE GONNA
HAVE TO DIVIDE DESIGNED THIS TO
BE FOR COHORTS OF CUSTOMERS. THE
MOST VULNERABLE CUSTOMERS THEIR
ENERGY BURDEN IS SO MUCH
DIFFERENT THAN. MEDIAN INCOME
HOUSEHOLD IN A WEALTHY HOUSE ON
HOUSEHOLD INCOME EXCUSE ME. THAN
A CUT SMALL BUSINESS EXCEPT OURS
WE'RE GONNA NEED TO SEGMENT OUT
ENERGY BURDEN. IN DIFFERENT WAYS
AND WE TYPICALLY THINK ABOUT IT
IT'S NOT JUST ABOUT CARE VERSUS
NON CARE IT'S NOT JUST ABOUT
READ VERSUS NON RIGHTS IT'S
REALLY. HOW DO WE DEFINE. THE
QUADRANTS OF CUSTOMERS THAT
WE'RE TALKING ABOUT MAKE CERTAIN
THAT THE ENERGY BURDEN IS
APPROPRIATE FOR EACH QUADRANT
THAT'S OUT THERE. THAT'S DOABLE
WE KNOW HOW TO DO THAT. BUT IT'S
GOING TO REQUIRE SOME WORK AND
IF THAT'S SOMETHING THAT THIS
COMMITTEE WANTS. TO THINK
THROUGH YOU HAVE TO GIVE THAT
DIRECTION- I WEIGHED A SAY AS
PART OF THAT DIRECTION IT SHOULD
BE THE OVERALL GUIDANCE THAT WE
WANT ALL CALIFORNIANS REGARDLESS
OF WHERE YOU SAID IN TERMS OF
INCOME TO BE ABLE TO SAY THAT
YOU HAVE EQUITABLE ACCESS TO AN
AFFORDABLE CLEAN AND SAFE
RELIABLE ENERGY SYSTEM THAT
SHOULD BE THE MANDATE- IN EACH
OF THOSE ARE GOING TO HAVE TRADE
OFFS ATTACHED TO IT I COULD
BUILD YOU THE MOST AFFORDABLE
SYSTEM IN THE WORLD. BUT THERE
MIGHT BE A COUPLE OF BLACKOUTS
AND MIGHT NOT BE THE BEST
OUTCOME WHEN WE'RE ELECTRIFYING
THE ECONOMY I COULD BUILD TO THE
CLEANEST SYSTEM IN THE WORLD-
THAT WOULD WE HAS RELIABILITY
ISSUES UNLESS WE OVER INVEST IN
CERTAIN WAYS THERE'S ALWAYS
GOING TO BE TRADE OFFS BETWEEN
EACH OF THESE METRICS THAT I'M
SORT OF THROWING OUT THERE BUT I
THINK THE RIGHT BALANCE IS GOING
TO BE BETWEEN HOW DO WE GET
AFFORDABLE CLEAN SAFE RELIABLE
SYSTEMS AND MAKE CERTAIN THAT.
ALL CALIFORNIANS HAVE ACCESS TO
IT. AND I DID WANT TO PIVOT FROM
THAT INTO. SOMETHING THAT I'VE
BEEN HEARING- A LITTLE BIT OF
WHILE. RATES ARE TOO HIGH WE'RE
GONNA HAVE TO SLOW DOWN ON OUR
CLEAN ENERGY INVESTMENTS IN
ORDER TO BE ABLE TO COMPENSATE.
I THINK THAT'S THE WRONG
APPROACH- I WANT TO UPLOAD
SOMETHING THAT MARK TONY SAID OF
HOW DO WE GET THE MOST GREEN FOR
THE LEAST GREEN. AND I WANTED TO
TAKE A MOMENT TO GO THROUGH-
SOME RECENT WORK THAT
ENVIRONMENTAL DEFENSE FUNDED IN
PARTNERSHIP WITH CLEAN AIR TASK
FORCE ON. CAN WE ACTUALLY CHIEF
ARE SENATE BILL ONE HUNDRED
OBJECTIVES CAN WE FULLY
DECARBONISE THE ELECTRIC SYSTEM
AND DO SO IN AN AFFORDABLE
RELIABLE WAY. AND THE ANSWER IS
YES TO SKIP DOWN TO THE PUNCH
LINE WE CAN DO THAT BUT WE'RE
GONNA HAVE TO START MAKING
DIFFERENT PROCUREMENT CHOICES
AND DIFFERENT CHOICES ON
TRANSMISSION AND LOOKING AT WHAT
OUR LAND USE IS WHAT OUR
PERMITTING PROCESS IS RUN AFTER
THINK THROUGH THIS A LITTLE BIT
MORE HOLISTICALLY. BUT WE CAN'T
DO IT. AND TO ANSWER ONE OF THE
QUESTIONS THAT I HEARD EARLIER
THAT WAS SUPPOSED TO MISTER
BAKER. AND THE COST OF
RENEWABLES NOW IS SO INEXPENSIVE
THAT A SYSTEM MODELERS GOING TO
SAY WELL LET'S JUST ADD A TON OF
THAT LET'S JUST GO ON AND ON
SELECT THREE CENTS AND THAT'S
THE RIGHT CALL FOR THE MOST
PART. BUT JUST LIKE YOUR STOP
BUT- PORTFOLIO YOU WANT TO HAVE
A BALANCED DIVERSE PORTFOLIO
DIVERSITY IS GOING TO ACTUALLY
HELP CONTAIN COSTS HERE IN SO
WHEN YOU HAVE A REPAIR ADVOCACY
GROUP OR WHEN YOU HAVE AN
ENVIRONMENTAL GROUP WHEN YOU
HAVE ANYONE COMING IN TO YOU AND
SAYING THIS IS A REALLY
IMPORTANT PROJECT AND IT'S SO
CHEAP. WE NEED TO THINK WELL
WHAT'S THE COST OF THIS
INDIVIDUAL PROJECT AND WHAT'S
THE TOTAL SYSTEM COST IF WE CAN
THINK ABOUT THE TOTAL SYSTEM
COSTS WE MIGHT BE BUYING A
COUPLE OF- GENERATIONAL UNITS
THAT ARE A LITTLE BIT MORE
EXPENSIVE OR WE MIGHT BE DOING
SOME TRANSMISSION LINES THAT ARE
NEW. BUT ARE GOING TO BE COST
EFFETIVE IF YOU THINK ABOUT IT
FROM THE WHOLE SYSTEM AND SO
THERE'S GOING TO BE A TRADE OFF
THEIR OF IS THIS A LITTLE BIT
MORE EXPENSIVE BUT WE'RE
DEFERRING FIVE OF THE OTHER
CHEAP THINGS AND IS THAT A GOOD
INVESTMENT TO MAKE- I. A I
APOLOGIZE. I WANTED TO MAKE
CERTAIN TO HIGHLIGHT BECAUSE
THEY DID REALLY TREMENDOUS WORK
FOR US- THIS REPORT. THE LINK IS
THERE IT WAS UNDER PINE WITH
MODELING WORK FROM PRINCETON
STANFORD AND P. THREE- WITH THE
BASIC IDEA HERE THAT ONE MODEL
GOOD THREE MODEL GETS. IS
BETTER- AND REALLY WANT TO
HIGHLIGHT HOW FANTASTIC THAT
WORK AS- AND I'M NOT AT ALL
BIASED BECAUSE MY NAME IS ALSO
ON IT BUT- I DID WANT TO
HIGHLIGHT HERE. AND AGAIN MY
THINKING OF I DON'T THINK THAT
WE SHOULD BE SLOWING DOWN. OUR
CLEAN ENERGY INVESTMENTS IN
ORDER TO BE ABLE TO SAY THAT
WE'RE KEEPING THE GREAT
AFFORDABLE. AND I APOLOGIZE AT
ON THE SCREEN OVER THERE IT IS
CUT OFF A LITTLE BIT IT IS
SHOWING UP RIGHT ON THE SLIDE SO
I HOPE IT'S PRINTING OUT FOR YOU
AS WELL OKAY BUT I WILL DO MY
BEST TO TALK THROUGH THAT'S- ONE
OF THE RESULTS HERE. IS THIS
DOTTED LINE IS CALIFORNIA'S
CURRENT THIS IS TWENTY TWENTY
NUMBER SO IT'S CHANGED SLIGHTLY
BUT- I CALIFORNIA'S MARLYS
CURRENT. GENERATION AND
TRANSMISSION RATE AT ABOUT NINE
CENTS IN THE SUGGEST FOR THE
INVESTOR OWNED UTILITIES. I THAT
RATE IS GOING TO GO UP WE'RE
GOING TO GO YEAH IT'S GOING TO
GO UP A LITTLE BIT- MAY BE BY IF
WE WERE TO SEE ON THE PATHWAY
THAT WE'RE ON RIGHT NOW AND
REALLY GO AFTER OUR FULL
DECARBONIZATION GOALS AND THAT
INCLUDES DOUBLING THE SIZE OF
THE ELECTRIC GRADE TO ACCOUNT
FOR ALL THE ELECTRIC VEHICLES
FOR ALL THE NEW HOMES THAT ARE
GONNA BE ELECTRIFIED FOR
EVERYTHING. ELSE REALLY TRYING
TO LECTURE FIVE THE ECONOMY AND
FULLY ELIMINATE EMISSIONS FROM
THAT WE CAN DO IT. IN A WAY BUT
IF WE STAY ON THE SHORT DURATION
BATTERY PLUS STOLAR ONLY MODEL
IN SOLICITING THE CHEAPEST
RENEWABLE THAT'S OUT THERE.
WE'RE PROBABLY GONNA SEE A
DOUBLING OF RATES ON THAT
METRIC. BUT IF WE LOOK TO
SOMETHING THAT'S A LITTLE BIT
MORE EXPENSIVE BUT CAN HELP
CONTAIN OVERALL SYSTEM COST AND
WE'RE TURNING THIS A CLEAN FROM
POWER APPROACH. THESE ARE ANY OF
THE OPTIONS THAT ARE ON THE LEFT
HAND SIDE. WE CAN ACTUALLY DO
ALL OF THAT WORK AND KEEP RATES
MORE OR LESS WHERE THEY'RE AT
TODAY. SO GIVING SOME GUIDANCE
TO THE TO REGULATORS TO SAY.
IT'S OKAY TO LOOK AT AN
INDIVIDUAL POWER PURCHASE
AGREEMENT BUT IT'S ALSO OKAY TO
LOOK AT THE TOTAL IMPACT ON
SYSTEM COST. AND WHAT THE
OVERALL BALANCE THERE'S GOING TO
BE. I THINK THAT IS AN
APPROPRIATE GUIDANCE IN METRIC
THAT WE SHOULD DO- I DO WANNA UP
WITH SOMETHING THAT I HEARD BOTH
DR TONY AND MISTER BAKER SAY.
DURING THEIR PRESENTATIONS. THE
SINGLE LARGEST DRIVER OF RATES
IS NOT GOING TO BE. NEW
GENERATION OR NEW TRANSMISSION
IT REALLY IS THE WILDFIRE COST
AND SO IF WE ARE LOOKING AT WAYS
TO CONTAIN COSTS IN TO GIVE
CUSTOMERS AND BILL RELIEF. WHAT
I'M TRYING TO SAY AFTER THIS
REALLY COMPLICATED GRAPH IS.
DON'T LOOK TOWARDS THE CLEAN
ENERGY AGENDA TO HELP SAVE COSTS
THEIR WAYS OF KEEPING THESE
COSTS JUST REASONABLE
AFFORDABLE. LET'S LOOK AT THE
THINGS THAT ARE REALLY MOVING
THE NEEDLE ON THE BILL ITSELF.
AND TO PICK THAT ONE MORE TIME I
DID WANT TO ALSO SAY AS WE ARE
THINKING ABOUT WHAT WHAT IS THE
GUIDANCE OF THE LEGISLATURE
ITSELF CAN DO TO HELP THINK
THROUGH AFFORDABILITY I DO THINK
IT'S IMPORTANT TO THINK THROUGH
WHAT IS THE IMPORTANCE OF SOCIAL
AND NON MONETARY BENEFITS AND
THINGS THAT HAPPEN THAT
CUSTOMERS INTERACT WITH ON THEIR
ENERGY BILL BUT ALL THE BENEFITS
ARE GOING TO BE CAPTURED IN THE
RIGHT WAY. FOR THE PURPOSES OF
THIS SLIDE I JUST WANTED TO TALK
A MOMENT ABOUT VEHICLE
ELECTRIFICATION OR ZERO EMISSION
VEHICLES MORE BROADLY. AND I
REALLY WANT TO FOCUS ON MEDIUM
AND HEAVY DUTY VEHICLES THESE
ARE RELATIVELY SMALL BY NUMBER
BUT A HUGE BANG FOR THE BUCK FOR
REDUCING BOTH LOCAL AIR
POLLUTION. THINGS THAT CAUSE
ASTHMA AND OTHER HEALTH IMPACTS
AND ALSO GREENHOUSE GAS
EMISSIONS. NOW IF WE WERE TO
TAKE SORT OF A SCATTERSHOT
APPROACH AND SAY SOMETHING LIKE
FOR LIGHT DUTY VEHICLES- WE HAVE
TO MAKE INVESTMENTS EVERYWHERE
ALL AT ONCE- IT'S REALLY
EXPENSIVE AND YOU DON'T ACTUALLY
GET TO CAPTURE THAT MANY OF
THESE SORT OF EXTRA NON MONETARY
BENEFITS RIGHT AWAY. BUT IF YOU
LOOK AT WHERE THE TRUCKS AND
BUSES THEMSELVES ARE OPERATING
IN CONCENTRATING PRIORITIZE YOUR
INVESTMENTS IN THOSE AREAS. AND
WE KNOW WHERE THEY ARE WE KNOW
THE VEHICLES ARE REGISTERED WIN
OVER THE PORTS ARE WIN OVER THE
HIGHWAY CORRIDORS ARE. YOU END
UP GETTING AN UP LIFT IT OF
REALLY VULNERABLE POPULATIONS
EACH OF THESE ARE DISADVANTAGED
COMMUNITIES AS DEFINED BY COLIN
VIRUS SCREEN AND YOU END UP
GETTING FOR RELATIVELY MODEST
REPAIR INVESTMENT. ON THE
INFRASTRUCTURE SIDE HUGE
BENEFITS ON HEALTH AND ON LOCAL
ENVIRONMENTAL OF OUTCOMES. IN SO
THINKING THROUGH WHERE DO WE
MAKE THE INVESTMENTS IN HAVING
THE LEGISLATURE GETS SOME SORT
OF SENSE OF PRIORITY. IS REALLY
IMPORTANT HERE. IF WE ARE
TALKING ABOUT HOW DO WE FREE UP
ADDITIONAL INCOME FOR CUSTOMERS.
WHILE GIVING SOME ADDITIONAL
INCOME BY REDUCTION AND HEALTH
IMPACTS IS A HUGE BENEFIT TO OUT
BEDS OUT THERE. AND I KNOW THAT.
WHEN IT COMES TO THESE GREAT
UPGRADES THE PAST IS NOT GOING
TO BE A PREDICTOR OF THE FUTURE
WE REALLY DO NEED TO LOOK TO NEW
SOURCES OF DATA. THAT'S POSSIBLE
WE KNOW HOW TO DO THAT THAT THE
LEGISLATURE IS GOING TO NEED TO
GET SOME DIRECTION HERE. AND
THIS IS MY LAST FLIGHT BECAUSE I
REALLY DO WANT THIS TO BE MUCH
MORE OF A DIALOGUE BUT I WANTED
TO. OFFER UP A LITTLE BIT OF
COMMENTARY- THIS WAS ALLUDED TO
BY BOTH OF THE PREVIOUS SPEAKERS
SO I DON'T THINK THIS IS. A
REVOLUTIONARY CONCEPT BUT WHO IS
PAYING AND WHO SHOULD BE PAYING.
WELL THERE'S CERTAIN CUSTOMER
INVESTMENTS ARE GONNA BE
CAPTURED ON BILL SON THAT THE
CUSTOMER THEMSELVES ARE GOING TO
BE PAYING FOR JUST. ON THEIR
CREDIT CARD. OR ON SOME SORT OF
PRIVATE FINANCE. THEIR TAXPAYER
INVESTMENTS AND THEN THERE ARE
SHAREHOLDER INVESTMENTS AND I
pGUIDANCE ON. ALL FOR THESE- IF I
CAN RESPOND TO SOMETHING. THAT
THE FIRST TWO SPEAKERS SAID. I
THINK IT'S VERY APPROPRIATE
AGAIN TO BE LOOKING TOWARDS
WILDFIRE MITIGATION COSTS AT
SOMETHING THAT MAY BE TAXPAYERS
SHOULD BE PICKING UP THE- BILL
FOR. THAT IT IS VERY CLEARLY. A
SOCIAL PROBLEM THAT ALL
CUSTOMERS. REGARDLESS OF WHERE
YOU'RE LOCATED ARE BEING
IMPACTED BY THAT MAKES A LOT OF
SENSE TO ME FOR RATE RELIEF. AND
THERE ARE OTHER INVESTMENTS
WHERE MAYBE WE NEED TO BE
THINKING ABOUT WELL WHAT IS THE
APPROPRIATE ROLE FOR TAXPAYER
AND RATEPAYER MONIES TO BE
WORKING TOGETHER- I. HAVE SO
MUCH RESPECT FOR DR TONY BUT I
DISAGREE WITH HIM WITH HIS
RECOMMENDATION ON BUILDING
ELECTRIFICATION I ACTUALLY THINK
WE SHOULD BE THINKING ABOUT HOW
DO WE LEVERAGE RATEPAYER MONEY
AS MUCH AS POSSIBLE. DIRECT
INCENTIVES IS ONE APPROACH BUT
CAN WE GET ADDITIONAL LEVERAGE
FROM THOSE INVESTMENTS HAVE
REVOLVING LOAN FUNDS HAVE BY
DOWNS OF RATES OF LOANS DO OTHER
THINGS TO HELP DO THIS. THE SIZE
AND SCOPE OF THE PROBLEM THAT'S
OUT THERE IS REALLY NO SENSE
THAT HATING THAT THIS IS GOING
TO BE A MAJOR INVESTMENT. I ALSO
NOTE THAT WE'RE GONNA WANT TO
TARGET THOSE INVESTMENTS NOT
JUST TO LOW INCOME POPULATIONS
WHICH MAY HAVE TROUBLE PAYING
FOR AN UPGRADE AT THE BEGINNING
THAT WOULD BE A VERY. THAT WOULD
BE A INVESTMENT IT MAKES LOT OF
SENSE. BUT IF YOU'RE LOOKING AT
THE OVERALL ENERGY BURDEN. IT
SHOULD BE HOW DO WE HELP LOWER
INCOME CUSTOMERS AND ALSO MAKE
CERTAIN THAT THE REMAINING GAS
CUSTOMERS WHO AREN'T MAKING
THOSE ELECTRIFICATION
INVESTMENTS DON'T HAVE THEIR
BILLS SKYROCKET BECAUSE AGAIN
IT'S OVERALL ENERGY BURDEN THAT
WE SHOULD BE THINKING ABOUT
HERE. SO IS THERE A WAY THAT WE
CAN TARGET THE INVESTMENT SO
THAT WE CAN RETIRE SOME GAS
INFRASTRUCTURE THAT WE CANTAKES
AT LEAST EXPENSIVE COSTS OUT OF
RATES- THERE'S SOME OTHER
COMMENTARY THAT I'D BE HAPPY TO
ADDRESS AS WELL ON SOME OF HE
OTHER LEGACY PROGRAMS THAT I
KNOW CHAIR GARCIA WAS ASKING
ABOUT I'M HAPPY TO ADDRESS THOSE
IF THE COMMITTEE WANTS BUT I
THINK- FOR EACH OF THESE ITEMS I
THINK THERE IS A ROLE FOR ALL
FOUR SETS OF WALLETS TO BE
PAYING- AND WHAT'S APPROPRIATE
THE LAST NOTE THAT I WANT TO
MAKE HERE- WHEN IT COMES TO
LEGACY COST IN LEGACY PROGRAMS.
THE SCALE OF INVESTMENT THAT HAS
TO OCCUR INCALIFORNIA. IS GOING
TO BE SIGNIFICANT. AND SOME OF
THAT IS GOING TO BE DONE THROUGH
THE UTILITY PROGRAMS AND SOME OF
THAT'S GOING TO BE DONE IN OTHER
WAYS BUT IF WE- ARE GOING TO BE
MAKING THOSE INVESTMENTS IN
MAKING THOSE INVESTMENTS AS
CHEAPLY AS WE CAN WE HAVE TO
MAKE THEM RISKY. LESS RISKY
EXCUSE ME WE DON'T WANT TO
INCREASE RISK WE WANT TO
DECREASE STRESS WE WANT TO MAKE
THEM AS CHEAP AS POSSIBLE FROM A
RISK PERSPECTIVE. PREDICTABILITY
AND SECURITISATION ARE GREAT
TOOLS THAT THE LEGISLATURE KNOWS
HOW TO DO. ANYTHING THAT WE CAN
DO TO LOWER THE COST OF CAPITAL
THAT WE CAN DO TO LOWER THE
BORROWING COSTS ARE GREAT. IN
SAID THAT MAY MEAN WE HAVE TO
HONOR THE PROMISES OF THE PAST
IN ORDER TO MAKE CERTAIN THAT
THE FUTURE INVESTMENTS ARE AS
CHEAP AS POSSIBLE. SO SECURITIZE
ING IN TAKING OUT OF RATE BASE
IS ONE OPTION OR SAYING LOOK IT
WOULD BE GREAT TED TAKE
SOMETHING OUT OF RATE BASE AND
TO SAY SHAREHOLDERS HAVE TO EAT
THAT COST. BUT IT MIGHT BE PENNY
WISE AND POUND FOOLISH TO DO
THAT BECAUSE IT WOULD MAKE
CALIFORNIA LOOK LIKE A VERY
RISKY PLACE TO DO BUSINESS IN
FUTURE INVESTMENTS FOR
DEVELOPERS ARE GOING TO GO UP
THE COMPANY OF FAR MORE. SO
THERE IS A BALANCE THERE SO AS
THE LEGISLATURE'S THINKING
THROUGH WHAT CAN WE DO TO HELP
CONTAIN OVERALL AFFORDABILITY. I
WOULD ENCOURAGE TO THINK THROUGH
WHAT CAN WE DO TO HELP REDUCE
RISK FROM SHAREHOLDER
INVESTMENTS WHETHER THEY BE
UTILITY SHAREHOLDER OR THIRD
PARTY SHAREHOLDER INVESTMENTS.
ON WITH THAT I THINK THAT'S THE
END OF MY PREPARED PRESENTATION
AND I LOOK FORWARD TO YOUR
QUESTIONS. THANK YOU VERY MUCH-
MISTER COLVIN BEFORE WE-
PROCEED- WE'D LIKE TO. TAKE CARE
OF OUR OUR OUR OUR OUR BUSINESS
HERE- IN IN IN REGARDS TO THE
BILLS THAT WERE ON THE AGENDA.
AND SO LET ME READ MY SKIPPED MY
SCRIPT HERE WE ARE NOW GOING TO
RECESS OUR REGULAR HEARING TO
ALLOW TIME FOR VOTERS ADD ONS-
OKAY THE THAT THE RIGHT PARTY
SCRIPT. I KNOW THAT WAS AROUND
OKAY WHO WE WILL TEMPORALLY
RECESS ARE INFORMATIONAL HEARING
AND CONVENE OUR REGULAR HEARING
TO ALLOW MEMBERS TO VOTE. YES
MA'AM CENTER. ITEM NUMBER ONE AB
NINETEEN SIXTY THE MOTION IS DUE
PASS ITEM NUMBER TWO THE MOTION
AS DO PASSES AMENDED TO NATURAL
RESOURCES. MAYES REYES REYES I
TÍNH. THAT'S TWELVE ZERO. THAT
THAT WAS OUT. ALL RIGHT TWELVE
ZERO THANK YOU FOR BILLS ARE OUT
OKAY I WILL NOW ADJOURN OUR
REGULAR BILL HEARING AND PROCEED
WITH OUR INFORMATION HERE THANK
YOU VERY MUCH MISTER COLVIN-
QUESTIONS FOR- MISTER COLVIN
FROM THE COMMITTEE. MS RENTS
COLEMAN I PREPARED PAUL DIES IF
. YOU ARE THE WRONG PERSON TO
ASK THIS QUESTION OF BUT- I'LL
DO MY BEST ALL RIGHT IN THE
COMMITTEE BACKGROUND PAPER THAT
WAS PROVIDED TO US ONE OF THE
SOLUTIONS THAT WAS LISTED. OF
FOR A REDUCING THESE COSTS WAS
TO LIMIT THE INVESTOR OWNED
UTILITIES RETURN ON EQUITY. AS A
WAY TO LIMIT THE COST OF RATES.
CAN YOU SPEAK TO THAT OF COURSE-
AND. THE SUIT SO I THINK THERE'S
A COUPLE OF OPTIONS THAT ARE
REALLY INTERESTING WITH AND
THAT'S THE FIRST ONE IS. I RIGHT
NOW A COMBINED FUEL UTILITY LIKE
SAN DIEGO GAS AND ELECTRIC
PACIFIC GAS AND ELECTRIC. THEY
EARN THE SAME AMOUNT OF RETURN.
FOR EVERY CAPITAL INVESTMENT
REGARDLESS OF ITS TYPE IF THEY
MAKE AN INVESTMENT ON A GAS PIPE
OR ON A TRANSMISSION WIRE. IT'S
THE SAME AMOUNT OF RETURN THAT'S
PROBABLY THE WRONG OUTCOME IF WE
ARE LOOKING TOWARDS
DECARBONIZING THE ECONOMY ON A
MAJOR LEVERAGE OF CLEAN ENERGY
INFRASTRUCTURE WE MIGHT NOT WANT
TO BE GIVING SHAREHOLDERS THE
SAME RETURN ON LEGACY GAS
INFRASTRUCTURE THAT'S IN THE
GROUND VERSES NEW GAS PIPELINE
INVESTMENTS VERSUS NEW ELECTRIC
INVESTMENTS. INTO ONE OF THE
OPTIONS THAT EDF HAS ADVOCATED
FOR ON AT THE PUBLIC UTILITIES
COMMISSION AND FOR PROCEDURAL
REASONS WE'RE GONNA HAVE TO RE
ASK FOR IT AGAIN NEXT MONTH IN
THEIR NEW COST TO CAPITAL
PROCEEDING BUT THAT'S NEITHER
HERE NOR THERE IS TO BIFURCATE
HOW SHAREHOLDERS RECEIVE THAT
SIGNAL TO SAY LEGACY GAS
INFRASTRUCTURE MIGHT GET ONE
REWARD. AND LEGACY
INFRASTRUCTURE AND ELECTRIC
MIGHT GET ANOTHER- AND WHEN YOU
THINK ABOUT IT HERE UP IN THE
SACRAMENTO AREA SACRAMENTO
CUSTOMERS ARE. SERVED BY PACIFIC
GAS AND ELECTRIC FOR THEIR GAS
SERVICE SINCE NOT FOR THEIR
ELECTRIC SERVICE SAYS YOU'RE
WELL AWARE- THE UTILITIES WHEN
THEY SAY HERE'S OUR TOP RISKS
HERE'S THE TOP AREAS OF WHY
CALIFORNIA DESERVES A PREMIUM I
DON'T THINK ACTUALLY DESERVE A
PREMIUM BUT THAT'S A DIFFERENT
STORY. THEY ONLY SITE ELECTRIC
RISKS IN SO WHY SHOULD GAS ONLY
CUSTOMERS THAT ARE HERE IN THIS
AREA. HEY FOR A RATE ICREASE
WHEN IT'S TO COMPENSATE FOR
SOMETHING THAT THEY'RE NOT EVEN
RECEIVING THE SERVICE FOR. IN SO
WE SHOULD THINK THROUGH WHAT IS
THE DIFFERENCE ON GAS VERSUS
ELECTRIC AND HOW DO WE REWARD
SHAREHOLDERS THE OTHER PART OF
THAT ANSWER IN MY OPINION IS IF
WE WERE TO DO SOMETHING LIKE
THAT. WE WE'D BE ABLE TO GIVE
SHAREHOLDERS A SIGNAL TO SAY
HERE'S WHAT YOUR NEXT DOLLARS
GOING TO GO AND HERE'S HOW IT'S
GOING TO ALIGN WITH THE CUSTOMER
INTEREST WITH ENVIRONMENTAL
INTEREST. IN SO I THINK ONE OF
THE PIECES OF GUIDANCE I COULD
BE OUT THERE IS TO SAY. LET'S
HAVE RETURN ON EQUITY ACTUALLY
REWARD THE RISK FOR THE
APPROPRIATE LINE OF BUSINESS NOT
THE OVERALL COMPANY STRUCTURE.
THIS IS A CONTROVERSIAL PROPOSAL
THAT HAS BEEN ADOPTED BY THE
COMMISSION YET THAT IT'S ONE
WAY. THAT IS CERTAINLY WITHIN
THE COMMISSION'S EXISTING
AUTHORITY AT THE LEGISLATURE
COULD GIVE THEM A KNOWLEDGE AND
HELP POINT TOWARD SAYS. THAT WAY
TO. REDUCE COSTS ALMOST
IMMEDIATELY. I LOOK FORWARD TO
THAT CONVERSATION. THANK YOU ARE
ANY OTHER MEMBERS. OKAY ALL
RIGHT MISTER COLVIN I HAVE A FEW
QUESTIONS- SELF- FIRST OF ALL A
- V. BRIEFING PACKET OF AND THAT
THE COMMITTEE PROVIDED TO-
INDICATES. THAT- SERVICE CENTER-
V. ARRIGO. THE CROSS ALL ALL
THREE I'LL USE RATES HAVE
INCREASED SINCE TWENTY THIRTEEN
THE GROWTH AND RATES CAN- CAN BE
LARGELY ATTRIBUTED TO INCREASES
FROM FROM- INFRASTRUCTURE
PROJECTS AND INSIGHTS- IF YOU
SEE FEBRUARY TWENTY TWENTY ONE
STUDY- WITH- IDENTIFYING
TRANSMISSION BY PG&E AND
DISTRIBUTION BY S. C. E. N. S.
T. G. N. E. R. WOULD YOU CONCUR
WITH THAT- AND I BELIEVE THAT'S
I MEAN OBVIOUSLY THAT'S WHAT THE
REPORT SAYS I THINK THERE IS A
LITTLE BIT OF NEW WANTS
HAPPENING WITHIN THOSE NUMBERS
THE LARGEST DRIVER FROM MY READ
OF THOSE REPORTS AND LOOKING AT
THE UNDERLYING SPREADSHEETS
REALLY IS THE WILDFIRE COST THIS
IS WHERE THEY GET RECORDED- IT'S
SORT OF. A DIFFERENT BY EACH
UTILITY. AND THE OTHER
OBSERVATION THAT I WOULD MAKE.
WITH RESPECT TO SOME OF THIS IS.
WE ARE GOING TO BUILD OUT. OUR
INFRASTRUCTURE. AND WE NEED TO
DO THAT NOW IN ORDER TO LET THE
ELECTRIC USAGE ITSELF GO UP THAT
WE'RE GOING TO IF WE'RE GOING TO
BE ELECTRIFYING EVERY SINGLE
VEHICLE IN THE STATE WHICH IS
WHERE THE GOVERNOR'S EXECUTIVE
ORDER AS- THERE'S GOING TO NEED
TO BE NEW INFRASTRUCTURE BUILD
OUT TO THE CAR TOWED TO TIE IT.
TO HAPPEN. THERE'S A LOT OF
STUFF THAT CAN BE DONE USING OUR
EXISTING INFRASTRUCTURE. ON
FEDERATED SIGN YOU MENTION
DURING ONE OF THE- EARLIER
QUESTIONS SHOULD THERE BE MORE
THINKING ABOUT RATE REFORM. MY
ANSWER TO THAT IS AN EMPHATIC
YES I THINK THERE REALLY IS A
LOT THAT CAN BE DONE TO SEND
SIGNALS TO CUSTOMERS OF. HERE'S
WHAT YOU CAN DO TO USE YOUR
EXISTING INFRASTRUCTURE. BUT USE
MORE OF THAT AND IF YOU SAT MORE
SALES OVER THE EXACT SAME AMOUNT
OF FIXED COSTS THE OVERALL BILL
WILL BE BETTER AND AGAIN AS YOU
THINK ABOUT. WHAT THE ENERGY.
BURDEN IS ON CUSTOMERS THE MORE
THAT WE CAN DO THAT SUBSTITUTION
EFFECT AND LEVERAGE THE EXISTING
PLATFORM. THE MORE WE'RE ABLE TO
YOU KNOW BASICALLY SAY LUCK.-FIXED INFRASTRUCTURES THOSE
COSTS ARE THE SAME NO MATTER
WHAT WE'RE USING IT MORE THE PER
UNIT COST IS GOING DOWN. THAT'S
MORE SAVINGS FOR CUSTOMERS SO
I'M NOT AS BOTHERED- BY SOME OF
THOSE NUMBERS BECAUSE THEY DID
THE OTHER NON WILD CARD NUMBERS
BECAUSE THEY ARE SENDING OUT
THAT ELECTRIFICATION PLUSH- WHAT
I WANT TO ENSURE. IS THAT ALL
CUSTOMERS HAVE ACCESS TO THAT
ENERGY TRANSITION. IN THAT THE
CUSTOMERS WHO AREN'T ABLE TO
TAKE ADVANTAGE OF IT STRAIGHT
AWAY. ARE NOT LEFT WITH
SKYROCKETING COSTS. MMHM SO- BUT
GOING BACK TO MY- ORIGINAL
QUESTION **** SO YOU'RE YOU'RE
SAYING IT'S A WHAT IS IT A
DEFINITIONAL OR OR OR OR
ACCOUNTING GOOD DIFFERENCE
BETWEEN WELL WHETHER IT'S
CLASSIFIED AS A- AS A-
INFRASTRUCTURE COSTS OF OVER
SUCH A SO THE INFRASTRUCTURE
COSTS OF WHETHER IT'S ON
TRANSMISSION OR DISTRIBUTION I
THINK IT IT'S MORE JUST THE
NATURE OF THE SERVICE TERRITORY
ITSELF WHERE PG&E HAS TO DO MOST
OF ITS WORK FOR WHILE PRIME
MEDICATION. IS ON THE
TRANSMISSION SIDE OF THINGS SO
IT'S BEING RECORDED ON THE
TRANSMISSION LINE OKAY WHERE
EDISON HAS TO DO THEIR WORK I
BELIEVE AS A FRONT THE BEST IN
MY REVIEW OF THE WILDFIRE
MITIGATION PLANS WITH MORE ON
THE DISTRIBUTION SIDE SO IT'S
JUST WHICH LINE IT GETS WRITTEN
DOWN HONOR BUT THE MOTIVATORS
THE SAME EITHER WAY YEAH. BUT-
I'M AT BUT I THINK THAT'S A- I
MEAN IN MY MIND IS THAT THE SAME
SIGNIFICANT BECAUSE- IF WE'RE
TALKING ABOUT YOU KNOW THE
PROBLEM BEING TRANSMISSION AND
DISTRIBUTION COSTS- I KNOW IT IT
SEEMS LIKE YOU KNOW WE NEED TO.
THE THAT I IDENTIFY THE PROBLEM
FOR SO MANY YEARS IT SEEMS LIKE
YOU KNOW YOU'RE CHARACTERIZING
YOU YOU'RE YOU'RE SAYING THAT
THAT IT'S ACTUALLY THE EVER
GROWING WILDFIRE- CRISIS THAT
THAT IS ACTUALLY DRIVING THE AND
THAT THE COST NOT SHOULD. NOT
LIKE SAY FOR EXAMPLE THAT THE
NEED TO BUILD MORE TRANSMISSION
AND DISTRIBUTION INFRASTRUCTURE
IN ORDER TO ACCOMMODATE NEW
CLEAN RENEWABLE ENERGY PROJECTS
I MEAN IT'S NOT JUST ME SAYING
THAT THAT'S WHAT THE PC REPORT
THEMSELVES SAY NOT CUT THIS
BAKER SAID AT THE BEGINNING OF
THE HEARING OF- I. THERE IS I
DON'T WANT TO MINCE WORDS SAID
THERE IS NEW INVESTMENT THAT IS
HAPPENING THAT IS SIGNIFICANT ON
DISTRIBUTED ENERGY RESOURCES ON
TRANSPORTATION ELECTRIFICATION
ON ON EACH OF THESE PROGRAMS
MISTER TONY SPOKE SYDNEY DR
COUNTY SPOKE TO SOME OF THESE AS
WELL- AN ORDER OF MAGNITUDE MY
OPINION IS THAT. WE GO AFTER THE
BIGGEST ITEM FIRST AND THE
BIGGEST ITEM IS IN MY OPINION
THE WILDFIRE COSTS AND THAT IT'S
GOING TO SHOW UP IN DIFFERENT
PLACES OF THE BILL. BUT THAT'S
WHERE YOU'RE GOING TO GET THE
BIGGEST BANG FOR THE BUCK FOR A
ONE TIME INVESTMENT FOR TAXPAYER
MONEY IT MORE SOMETHING ELSE TO
COME IN TO PUT INTO THE PICTURE
MMHM. SO GOING BACK TO. DOCTOR
TONY SO- ONE OF HIS MAIN POINTS
ABOUT HOW YOU KNOW THE- SOME OF
THESE COSTS SHOULD BE ADDRESSED
THROUGH THE- THIS ESSAY THE
GENERAL FUND INSTEAD OF GOING TO
RATE PAYERS. ME WHICH WOULD BE-
A BETTER CANDIDATE FOR- YOU
KNOW. FOR GENERAL FUND DOLLARS.
TO ADDRESS- WILDFIRE MITIGATION
OR TRANSMISSION INDUSTRY COST.
SO AGAIN ASSEMBLY MEMBER I THINK
THOSE ARE THE SAME THE SAME
THING THAT IT'S THE WILDFIRE
COST IN WHICH LINED UP TO GO IN
YOU ON THE MIDDLE. IS GOING TO
BE DIFFERENT. MY BUT I THINK THE
CORE OF YOUR QUESTION IS WHERE
DO WE GET THE BIGGEST BANG FOR
THE BUCK IF WE WANT TO DO A ONE
TIME INVESTMENT. AND I THINK
THAT'S THE WILDFIRE- THE
WILDFIRE RELIEF BOTH- THE
INSURANCE COST AND THE
MITIGATION COSTS. AND ONLY DO I
THINK IT'S THE APPROPRIATE. AND
JUST FROM A AN AFFORDABILITY
PERSPECTIVE I THINK IT'S
APPROPRIATE JUST FROM SORT OF A
FAIRNESS PERSPECTIVE- WE ARE ALL
PART OF. THE SAME STATE WERE ALL
PART OF AN EVER CHANGING
CLIMATE. IT'S NOT NECESSARILY
CLEAR TO ME THAT- BECAUSE I LIVE
IN A MUNICIPAL UTILITY DISTRICT
I DON'T HAVE TO PAY FOR A LOT.
OF THE SAME WAY THAT IF I LIVE
ONE TAP KERN LIVES IN AN
INVESTOR OWNED UTILITIES SERVICE
TERRITORY. YEP THIS IS A STATE
WIDE PROBLEM AND I THINK IT
REQUIRES A STATEWIDE SOLUTION-
AND I THINK IT'S VERY PER
PURCHASE FROM EQUITY IN FAIR
PERSPECTIVE. TO LOOK TOWARDS THE
TAX DOLLARS FOR THAT'S THAT TYPE
OF INVESTMENT MMHM YEAH THAT
THAT'S- OKAY REASONABLE PEOPLE
CAN DISAGREE WITH THAT BUT I
THINK PUTTING IT ON THE BACKS OF
INVESTOR OWNED UTILITIES-
CUSTOMERS IS PROBABLY THE WRONG
OUTCOME. NOW RIGHT- I YEAH I
APPRECIATE THAT. CLARIFICATION
AND- HELPING WITH MY THINKING I
GUESS WHEN I WAS TALKING ABOUT.
TRANSMISSION AND DISTRIBUTION
COSTS MEDIC. I KNOW THAT-
THERE'S BEEN THERE THERE IS A
LOT OF EXCITEMENT ABOUT TO.
ABOUT BUILDING OUT MORE OFFSHORE
WIND CAPACITY INSTEAD OF
CALIFORNIA AND THE POINT WAS
OFTEN MADE THAT- THAT WE NEED TO
EXPAND OUR TRANSMISSION AND
DISTRIBUTION. INFRASTRUCTURE IN
ORDER TO ACCOMMODATE NEW-
OFFSHORE WIND GENERATION- I
THINK THE ANSWER IS YS WE WILL
NEED TO DO THAT- AND AGAIN THE
IF I POINT YOU BACK TO THE SLIDE
THAT I SHOWED YOU SORT OF A FEW
MINUTES AGO- IF YOU MAKE THE
RIGHT CHOICE OF PROCUREMENT
POWER- IF YOU DO THE RIGHT
AMOUNT OF LOOKING A TOTAL SYSTEM
COSTS AS A WAY OF CONTAINING.
OVERALL SYSTEM COSTS ABOUT THE
GENERATION AND TRANSMISSION
PERSPECTIVE. IN KEEPING IT MORE
OR LESS WHERE RATES ARE AT TODAY
EVEN IF WE DO A MAJOR EXPANSION
OF THE GRANTED TO ACCOMMODATE
ALL THE NEW ELECTRIFICATION
PARTS OF THE SYSTEM SO WILL WE
NEED TO INVEST ACTUAL DOLLARS TO
MAKE THAT HAPPEN YES BUT WE'RE
ALSO GOING TO INCREASE OUR USAGE
AND SO THE OVERALL BALANCE I
THINK WILL WILL COME OUT. AND
THERE'S WAYS OF DOING THAT VERY
COST EFFECTIVELY ON EDS
SUPPORTED THAT OFFSHORE WIND
LEGISLATION LAST SESSION AND
WE'RE GOING TO SUPPORT I NEED TO
DO A LOT MORE NEW TRANSMISSION
BUILD OUT. BECAUSE WE NEED TO
GET THE POWER WHERE IT'S NEEDED
WHEN IT'S NEEDED IN ORDER FOR
CUSTOMERS TO BE ABLE TO TAKE
ADVANTAGE OF THAT. THERE ARE
WAYS OF MAKING THOSE INVESTMENTS
THAT ARE HIGHLY COST EFFECTIVE-
AND AS YOU OPEN THOSE
OPPORTUNITIES- MORE CUSTOMERS
GOING TO BE ABLE TO ELECTRIFY
AND IT WILL COME OUT RHETT
RELATIVELY WELL THAT BALLOTS
WILL BE THERE. I DO NOTE. THERE
IS NO SUCH THING AS A PERFECTLY
TIMED MAJOR TRANSMISSION PROJECT
IT'S EITHER GOING TO BE A LITTLE
BIT TOO EARLY OR A LITTLE BIT
TOO LATE- IT'S REALLY HARD TO
BUILD THINGS IN CALIFORNIA THE
LAST MAJOR TRANSMISSION LINE
TOOK SOMETHING LIKE NINE YEARS
FROM START TO FINISH. AND BUT
EVEN IN THOSE CIRCUMSTANCES I
THINK WHAT THE LEGISLATURE CAN
DO RIGHT NOW IS TO SAY. LET'S
FIGURE OUT WAYS OF HELPING TO
BUY DOWN THE COST OF SOME OF
THOSE INVESTMENTS NOT DEFERRED
THE INVESTMENT. IF THERE ARE
THINGS THAT WE CAN DO TO HELP
EXPEDITE THE PROCESS HELP DE
RISK IF EITHER- AS I TALKED
ABOUT. A FEW MOMENTS AGO WITH-
ASSEMBLY MEMBER GARCIA IF HER
WAYS OF BUYING DOWN THE
SHAREHOLDER RESCUE AS A MUCH
MORE COST EFFECTIVE WAY OF
BUYING DOWN THE INVESTMENT. THAT
IS STILL BUT YOU GET THE PROJECT
YOU WANT ONLINE AND ON TIME. IT
ACTUALLY GIVES YOU MORE
AFFORDABILITY THAN JUST SKIPPING
THE PROJECT OUT RIGHT. I THINK
THE BIGGEST MESSAGE THAT I WOULD
GIVE TO YOU OUT OF MY REMARKS
THE TODAY IS DON'T SLOW DOWN.
YOUR CLEAN ENERGY AGENDA UNDER
THE NAME OF AFFORDABILITY MAKE
DIFFERENT CHOICES. ABOUT MY LAST
QUESTION IS- GUY ON THE AGAIN ON
THE ISSUE OF. GENERAL FUND
VERSES RATEPAYER DOLLARS. IN
TERMS OF THE TRANSMISSION-
INFRASTRUCTURE BUILD OUT
NECESSARY TO SUPPORT NEW
OFFSHORE WIND. IS IT IS IT IS IT
BETTER TO PUT IT ON RATEPAYERS
OR IS IT IS THAT A POSSIBLE
CANDIDATE FOR GENERAL FUND
DOLLARS. MY I WOULD WANT TO
THINK ABOUT A LITTLE BIT MORE MY
PRELIMINARY. INITIAL REACTIONS
HAVING RIGHT YOUR LIFE WHICH IS
ALWAYS SCARY TOGETHER BUT I'M
GONNA DO IT ANYWAYS IS I THINK
THERE IS A ROLE FOR THE TAXPAYER
DOLLAR TO HELP BUY DOWN THE
COST. TO MAKE IT SO THAT IT IS A
MORE SECURITIZED INVESTMENTS.
BUT THAT THE OVERALL KIND OF
CORE PART OF THE COST IS
PROBABLY STILL APPROPRIATE TO BE
ASSIGNED TO RATE PAYERS. SO I
THINK IT IS A MATTER OF HOW DO
WE LEVERAGE OUR TAXPAYER MONEY
TO HELP BY DOWN OUR GRANDSON AND
SENATE INTO THE SITUATION BUT I
DON'T THINK THAT THE TAXPAYERS
SHOULD BE RESPONSIBLE FOR A 100%
OF THOSE COSTS. AND THAT'S MY
INITIAL THOUGHT AYE AYE IT WILL
COME BACK TO YOU IF I HAVE A
DIFFERENT THOUGHT IT TOO IN THE
MORNING WHEN I WAS LIKE OH THIS
IS HOW WE SHOULD ADVANCEMENT
INSTEAD ALL RIGHT THANK YOU VERY
MUCH OKAY THANK YOU. THANK YOU-
GREAT QUESTIONS AND I JUST
WANTED TO DROP IT FROM THE
COMMENTS ON TRANSMISSION
AFFORDABILITY THE PDF ALSO
PARTICIPATED IN THE ANALYSIS.
THAT WAS- IDENTIFYING CITING
PERMITTING COST- AND ALL OF
THOSE CHALLENGES THAT COME WITH
THAT I'M HOPING THAT- EVERY
MEMBER OF THIS COMMITTEE HAS
BEEN ABLE TO SEE THAT-
INFORMATION- TRYING TO REMEMBER
THE GROUP FOR THE COALITION
THAT. PUT IT TOGETHER IF YOU
WANT WAS HAVING A HEART- DONE
WITH THE ENVIRONMENTAL DEFENSE
FUND IN PARTNERSHIP WITH CLEANER
CAST THANK YOU YEAH THANK YOU I
THINK THAT THAT IS TELLING- TO
THE DISCUSSION THAT THE THAT
THIS COMMITTEE NEEDS ALSO ENGAGE
IN. AS IT RELATES TO THIS
MISSION. AND THE ACCESS TO COST
AND AFFORDABILITY THAT WE JUST
HAD AN EXTENSIVE THOUGHT AMOUNT
OF. HAVE ANY QUESTIONS FOR YOU
BUT WE APPRECIATE YOU BEING HERE
AND- I DON'T SEE ANYONE ELSE
RAISING THEIR HAND AT IT WOULD
YOU LIKE TO CLOSE. TO JEFF THANK
YOU SO MUCH FOR YOUR TIME I
TRIED TO OFFER UP A FEW IDEAS
TODAY AND I STAND READY TO HELP
WORK WITH ANY OF THE MEMBERS OF
THE COMMITTEE IF YOU WANT TO
THINK ABOUT- EXPLOIT THESE IDEAS
FURTHER BUT THANK YOU SO MUCH
FOR THE OPPORTUNITY. THANK YOU
VERY MUCH. THANK YOU GONNA ASK-
NOW THAT- THE DIRECTOR- OF THE
CENTER FOR ACCESSIBLE
TECHNOLOGY- BEAR FOR HER REMARKS
SHE'S GOING TO BE DOING SO- VIA
THE- INTERNET AND SO WE WELCOME
HER MELISSA CABINETS IF YOU-
WOULD LIKE TO BEGIN. WELCOME
YEAH I THINK IT'S THE MEMBERS OF
THE COMMITTEE ESPECIALLY THOSE
OF YOU WHO STEP AROUND TO THE
END OF THIS UP CATTLE WHICH I
FOUND VERY INTERESTING OKAY
EVERYONE ELSE HAS AS WELL- I'D
LIKE TO BEGIN BY TELLING YOU
ABOUT THE CENTER FOR ACCESSIBLE
TECHNOLOGY. AND THE CONSTITUENCY
THAT WE REPRESENT. SEE VERY T
A NONPROFIT ORGANIZATION.
DEDICATED TO SUPPORTING THE
ABILITY OF PEOPLE WITH
DISABILITIES TO LIVE
INDEPENDENTLY IN THEIR
COMMUNITIES WITH THE ASSISTANCE
OF TECHNOLOGY. OUR ORGANIZATION
PROVIDES DIRECT SERVICES AND
WORKS ON BUILDING COMMUNITY
CAPACITY TO SUPPORT ASSISTIVE
TECHNOLOGY USERS AND DINNER
LET'S SEE WORK WE APPETITE
EXTENSIVELY BEFORE THE
CALIFORNIA PUBLIC UTILITIES
COMMISSION BECAUSE ACCESS TO
RELIABLE AND AFFORDABLE UTILITY
SERVICE AND PARTICULARLY ENERGY
SERVICE. IS CRUCIAL TO ALLOW
PEOPLE TO MAINTAIN THEIR ABILITY
TO LIVE INDEPENDENTLY. THIS
GROUP OF CUSTOMERS CUSTOMERS
WITH DISABILITIES MEDICAL NEEDS
AND VULNERABILITIES MANY OF WHOM
MAY NOT EVEN SELF IDENTIFY THAT
WAY. THAT I WANT TO FOCUS YOUR
ATTENTION ON IN THESE LAST FEW
MINUTES THIS AFTERNOON. THESE
CUSTOMERS RELY ON ELECTRICITY.
TO POWER ASSISTIVE DEVICES SOME
OF WHICH ARE DIRECTLY OBVIOUSLY
MEDICAL IN NATURE LIKE CHARGING
POWER WHEELCHAIRS ARE POWERED
RESPIRATORS. SOME ARE LESS
OBVIOUS BUT EQUALLY VITAL THE
PERSON WITH DIABETES WHO RELIES
ON INSULIN. NEEDS THE
REFRIGERATOR FUNCTION FOR THEIR
INSULIN TO STAY POTENT AND IF
THEY LOSE ACCESS TO POWER FOR
THE REFRIGERATOR NOT ONLY WILL
THEY SUFFER HEALTH IMPACTS BUT
ALSO COSTS IF THEY LOSE ACCESS
TO THEIR MEDICATION. PEOPLE WITH
DISABILITIES TEND TO USE HIGH
LEVELS OF ELECTRICITY. ARE ALSO
DISPROPORTIONATELY LOW INCOME.
THIS MEANS THAT INCREASING
ELECTRICITY RATES PUTS AN EXTRA
BURDEN ON THIS CONSTITUENCY. AND
WHEN YOU LOOK AT AVERAGE COSTS
IT'S EASY TO LOSE SIGHT OF
CUSTOMERS LIKE THIS WHO ARE AT
THE EXTREMES BOTH IN TERMS OF
THEIR USE. THEIR INCOME AND
THEIR ABILITY TO ADAPT THEIR
ABILITY TO INSTALL WHO TOP SOLAR
OR TO PURCHASE AN ELECTRIC
VEHICLE IS PROBABLY LOWER THAN
AVERAGE AND THERE'S A RISK THAT
THEY'LL BE LEFT BEHIND AS A
LET'S SEE MAKERS DEVELOP
INCENTIVES TO MOVE TOWARDS
CLEANER ELECTRICITY. UNLESS
THERE'S A LOT OF CARE GIVEN TO
HOW TO ASSIST THOSE WHO MIGHT BE
LEFT BEHIND. UNDER SOME PROGRAMS
THAT ARE TARGETED SPECIFICALLY
TOWARDS THIS POPULATION
INCLUDING THE MEDICAL BASELINE
PROGRAM. UNFORTUNATELY THIS
PROGRAM ISN'T WELL KNOWN AND
IT'S UNDER UTILIZED. BEEN RECENT
EFFORTS TO INCREASE ENROLLMENT
WHICH ARE WELCOME- BUT NOT
SUFFICIENT TO MEET THE NEEDS OF
THESE CUSTOMERS. SIMILARLY
THERE'S TALK ABOUT USING RATES
AND RATE DESIGN TO PROVIDE
INCENTIVES FOR CUSTOMER
BEHAVIOR. I THINK THIS IS A
CRUCIAL PIECE OF THE PROBLEMS
THAT WE'RE LOOKING AT RIGHT NOW.
BUT AGAIN NOT EVERY CUSTOMER IS
GOING TO BE ABLE TO RESPOND TO
RATE SIGNALS THAT ARE SENT AND
SO CARE NEEDS TO BE TAKEN TO
PROTECT THOSE WHO MIGHT NOT HAVE
THE ABILITY TO SHIFT THE TIME
THAT THEY CHARGE THEIR POWER
WHEELCHAIR SO THAT IT'S OUTSIDE
OF PEAK HOURS OR TAKE OTHER
ACTIONS THAT MIGHT. BE WHAT A
POLICYMAKERS WANT TO ENCOURAGE
BUT MAY NOT WORK FOR INDIVIDUAL
USERS. THE NEED FOR ACCESS TO
AFFORDABLE AND RELIABLE ENERGY
IS A CRUCIAL MATTER OF HEALTH
AND SAFETY PARTICULARLY FOR THE
MOST VULNERABLE CUSTOMERS. IN MY
CONSTITUENCY DRIVES THIS POINT
HOME. SOME EXAMPLES. WELL BEFORE
THE BEGINNING OF THE CALL THE
PANDEMIC MY ORGANIZATION BURKE
REGULAR CONCERNS ABOUT PEOPLE
WHO LINGERED UNCOMFORTABLE AND
EVEN UNSAFE TEMPERATURES IN OUR
HOMES BECAUSE THEY COULDN'T
AFFORD THE COSTS OF HEATING OR
COOLING. MOST ACCORDING. WHAT
PEOPLE FORCED TO SPEND MORE TIME
AT HOME BECAUSE OF THE PANDEMIC.
AND UNABLE TO LOOK UP MOVE TO
PUBLIC PLACES WITH AIR
CONDITIONING DURING TIMES OF
EXTREME HEAT. THIS HAS BEEN AN
INCREASED RISK AND IT WILL
CONTINUE TO INCREASE WITH
CLIMATE CHANGE. THIS IS
PARTICULARLY PROBLEMATIC FOR
PEOPLE WITH HEALTH CONDITIONS
THAT REQUIRE THEM TO MAINTAIN A
NARROW RANGE OF TEMPERATURES.
SIMILARLY WELL BEFORE THE
BEGINNING OF THE COPA PANDEMIC.
MY ORGANIZATION HEARD REGULAR
CONCERNS ABOUT PEOPLE WHO WOULD
HAVE TO SACRIFICE OTHER
NECESSITIES SO THAT THEY COULD
PAY THEIR POWER BILLS. YOU CAN
GO WITHOUT MEDICAL CARE THEY
DON'T FILL THEIR PRESCRIPTIONS
THEY DON'T USE
TELECOMMUNICATIONS SERVICES EVEN
GO WITHOUT FOOD TO KEEP THEIR
POWER. THE PEOPLE WHO RECEIVE
FEDERAL HOUSING SUBSIDIES IF
THEIR POWER IS TURNED OFF FOR
NON PAYMENT THEIR FIRST HAVING
THEIR KIDS TAKE IT AWAY.
CUSTOMERS WHO ARE AT RISK MAKE
TERRIBLE CHOICES TO KEEP THE
POWER BOX. WITH COATED IN PEOPLE
BEING FORCED TO SPEND MORE TIME
AT HOME THESE PRE EXISTING
CONCERNS SEVEN BEEN ACTIVATED.
PEOPLE WITH MEDICAL LONGER
ABILITIES ARE ARE ALSO AT
INCREASED DIRECT RISKS DURING
THE PANDEMIC BECAUSE THEY'RE THE
MOST LIKELY TO HAVE- HAVE THE
WORST OUTCOMES IF THEY IN FACT
GET SICK. FOR THESE POPULATIONS
THE ABILITY TO ENGAGE IN WORK
AND SCHOOL TELL HEALTH AND
SOCIAL ACTIVITIES ALL VIRTUALLY
CONTINUES TO BE VITAL. AND NOW
AS THE STATE IS MOVING AWAY FROM
SOME BROAD PUBLIC HEALTH EFFORTS
AND TOWARDS INDIVIDUAL
RESPONSIBILITY TO MEDICATE
COVERT PRESS THE COSTS OF
REMAINING AT HOME INCLUDING
INCREASED ENERGY USE. CONTINUE
TO BE A CONCERN FOR THE
CUSTOMERS WHO FACE THESE CHOICES
. AND FINALLY THE LIABILITY IS
ALSO A KEY CONCERN FOR PEOPLE
WHO DEPEND ON POWER FOR THEIR
HEALTH AND SAFETY. YOU TELL IT
IS RELIANCE ON FIVE G. IN
CREATION AND POWER SHUT OFFS AS
PART OF A WILDFIRE MITIGATION
STRATEGY. INCREASES THE RISK OF
HARM TO THESE POPULATIONS. SO
THESE ARE THE CUSTOMERS I WANT
TO HIGHLIGHT THESE LAST FEW
MINUTES. IN THE BOOK THAT THE
BACKGROUND PAPER PRESENTED
TODAY- MAKES CLEAR THAT
CUSTOMERS ARE EXPERIENCING BILL
INCREASES EVEN IF THEIR ENERGY
USAGE ISN'T NECESSARILY CHANGING
. TO THE EXTENT THAT THERE'S
REASONS TO MOVE AWAY FROM
VOLUMETRIC BILLS- AND MOVE
TOWARDS THINGS LIKE EXTRACTIONS-
THE RISKS TO THESE CUSTOMERS
EVEN GREATER. BECAUSE THEY CAN'T
REDUCE THOSE PORTIONS OF THEIR
BILL FOR CONSERVATION. FOR
CUSTOMERS WHOSE USAGE IS LOW
CHANGES IN RATE STRUCTURE RISK
INCREASES IN WHAT THEY HAVE TO
PAY WITHOUT ANY CORRESPONDING
BENEFITS. SO WHAT CAN THE
LEGISLATURE DO UP WITH V. UP
INTERESTS OF THE PEOPLE THAT I
REPRESENT IN MIND. THE PUBLIC
UTILITIES COMMISSION IS CHARGED
WITH ENSURING THAT ELECTRICITY
RATES ARE JUST AND REASONABLE.
AND THE LEGISLATURE CAN BE A
PARTNER IN WORKING TO MAKE SURE
THAT MY CONSTITUENCIES NEEDS ARE
PART OF THAT EQUATION. THE
LEGISLATURE CAN MAKE CLEAR THAT
CONSIDERATION OF AFFORDABILITY
BILL FORD ABILITY IS PART OF THE
CONSIDERATION OF WHETHER RATES
ARE JUST AND REASONABLE. THAT
MAY SEEM COMMONSENSE BUT IT'S
NOT PART OF THE COMMISSION'S
EQUATION AT THIS TIME. BUT
MAKING THAT CLEAR MIGHT ASSIST
THE COMMISSION IN DEVELOPING
RATE STRUCTURES THAT TAKE INTO
ACCOUNT THE CHALLENGES FACING
THE MOST VULNERABLE AND LOW
INCOME CUSTOMER GROUPS. THIS MAY
INCLUDE SOME SUGGESTIONS THE
DOCTOR TONY SPOKE OF EARLIER
SUCH AS INCLUDING REVIEW OF
CUMULATIVE IMPACTS OF RATE
INCREASES REQUESTED BY UTILITIES
AND SETTING POTENTIAL LIMITS ON
THE INCREASE. THE LEGISLATURE
CAN ALSO PROVIDE ADDITIONAL
DIRECT RELIEF TO CUSTOMERS WHO
ACCUMULATED ARREARS REACHES
DURING THE KOPET PANDEMIC. THE
DEBT RELIEF THAT HAS PREVIOUSLY
BEEN AUTHORIZED IS ONLY EXPECTED
TO COVER 38% OF THE CUSTOMER
DEBT INCURRED. WELL THIS IS AN
ENORMOUS HELP IT DOESN'T SOLVE
THE PROBLEM OF CUSTOMER DATA AT
THIS TIME. BUT THERE'S BEEN
EXTENSIVE DIALOGUE ABOUT COST
THAT COULD BE TAKEN OUT OF RATES
AND COVERED THROUGH OTHER
ASPECTS OF THE STATE BUDGET. US
CENTER FOR ACCESSIBLE TECHNOLOGY
ADDS TO THE VOICES SUGGESTING
THAT WILDFIRE MITIGATION WOULD
BE APPROPRIATE- AS A ONE AS ONE
TIME EXPENDITURES THAT COULD BE
PAID BY TAXPAYERS RATHER THAN
RATEPAYERS. THIS WOULD HAVE
ADDITIONAL RIPPLE EFFECT BEYOND
THE BENEFITS SPOKEN OF
PREVIOUSLY IN THAT STATE
INVESTMENT WOULD NOT ADD TO THE
UTILITY RATE BASE AND SO THE
COSTS OF THE STATE INVESTMENTS
WOULD NOT BE PART OF THE
UTILITIES UP COST. THE RATE OF
RETURN. SO THAT WOULD BE NOT
JUST THE IMMEDIATE BENEFIT OF
PUTTING COSTS ON TAXPAYERS
RATHER THAN RATEPAYERS BUT IT
WOULD COULD DECREASE COSTS
MOVING FORWARD. JENNIFER
ACCEPTABLE TECHNOLOGY ALSO
SUPPORTS A BROADER FUNDING OF
TRANSPORTATION ELECTRIFICATION
AND WE THINK THAT THERE ARE
INTERESTING SUGGESTIONS WHETHER
THAT'S CORRECT. BUT CASHIER
FUNDING FOR A TRANSPORTATION
SECTOR FUNDING. WE DO NOT
SUPPORT THE MOVEMENT OF LOW
INCOME SUBSIDIES THE CARE AND
FERRE PROGRAM OUT OF REPAIR
SUPPORT AT THE FEDERAL LEVEL THE
LIE HE PROGRAM IS AN UNFORTUNATE
EXAMPLE OF A LOW INCOME SUBSIDY
THAT HAS BEEN USED AS A
POLITICAL FOOTBALL YEAR UPON
YEAR AND FUNDING FOR THAT
PROGRAM ISNEVER SHARED. THAT
LOW INCOME CALIFORNIANS WHO
DEPEND ON CARE CAN'T HAVE A
SITUATION LIKE THAT WHICH IS
FACED BY CUSTOMERS WHO RELY ON
THE LIGHT HE- SO THE THESE ARE
THAT THERE'S ROOM FOR A LOT OF-
CREATIVE THINKING ABOUT HOW TO
FUND IMPORTANT PROGRAMS THAT
SHARE GARCIA I APPRECIATE YOUR
QUESTIONS ABOUT REVIEW OF OTHER
COMMISSION OF MANAGED PROGRAMS
AND- WHILE I HAVEN'T DONE AN
EXTENSIVE REVIEW AT THIS TIME I
WOULD WELCOME RECONIDERATION OF
CERTAIN PROGRAMS- THAT HAVE BEEN
AROUND FOR AWHILE TO SEE WHETHER
THEY'RE STILL ACHIEVING THE
GOALS THAT THEY WERE INITIALLY
INTENDED FOR. WE KNOW FROM
CONDEMN EXAMPLE THAT IT'S MUCH
HARDER TO ELIMINATE THE PROGRAM
THAT EXISTS THAN IT IS TO CREATE
A NEW PROGRAM- SO LOOKING WITH
FRESH EYES MIGHT BE A USEFUL
TASK TO UNDERTAKE. AND FINALLY
THE LEGISLATURE CAN ADDRESS THE
IMPORTANCE OF SHAREHOLDER
CONTRIBUTIONS TO AFFORDABILITY
SOLUTIONS. YEAH YOU JUST LIKE TO
SAY BEFORE THE COMMISSION THAT
WERE ALL IN THE CURRENT CRISIS
TOGETHER BUT THEY ACTIVELY
RESIST MOST EFFORTS TO ENCOURAGE
SHAREHOLDER CONTRIBUTIONS SO
WHETHER THIS IS THREE RETURN ON
EQUITY- THE EVALUATIONS- OR
OTHER MEANS MAKING SURE THAT
SHAREHOLDERS ARE PART OF THE
PROBLEM I'M SORRY. PART OF PART
OF THE SOLUTION- IT IS AN
IMPORTANT STEP TO TAKE. MY LAST
RECOMMENDATION BUT IS LOOKING
AT- THE LEGISLATIVE REQUIREMENT
THAT ESSENTIAL SUPPLIES OF
ELECTRICITY MUST BE AFFORDABLE
TO CUSTOMERS. RIGHT NOW THAT
SECTION THREE EIGHTY TO BE IF
THE PUBLIC UTILITIES CODE. SO
THE COMMISSION IS AWARE THAT
ESSENTIAL SUPPLIES OF
ELECTRICITY IT REQUIRED TO BE
AFFORDABLE. BUT IT'S NEVER BEEN
TO FIND EXACTLY WHAT OTHERS
ESSENTIAL SUPPLIES ACTUALLY ARE.
THE COMMISSION HAS AUTHORIZED TO
STUDY TO GET A BETTER
UNDERSTANDING OF WHAT YOU SAID
JUST A CENTRAL. WE WERE STRONG
PROPONENTS OF THAT STUDY AND
APPRECIATE IT. BUT WITH THE MOV
TOWARDS INCREASED
ELECTRIFICATION TO ADVANCE CLEAN
ENERGY GOALS. THE NATURE OF
ESSENTIAL USAGE IS LIKELY TO
CHANGE RAPIDLY SO IT MIGHT BE
HELPFUL FOR THE LEGISLATURE TO
TAKE AN ACTIVE ROLE IN CREATING
A SHARED UNDERSTANDING OF WHAT
IT MEANS TO EVALUATE THE USAGE
THAT'S ESSENTIAL FOR PARTICULAR
CUSTOMERS- THESE ARE. BROAD
SUGGESTIONS THERE'S A LOT OF
ROOM FOR DISCUSSION AND DEBATE.
MY ROLE HERE TODAY IS TO MAKE
SURE THAT IN THAT DISCUSSION AND
DEBATE THE NEEDS OF THE MOST
VULNERABLE CUSTOMERS WHO MIGHT
HAVE AT LEAST ABILITY TO ADAPT
ARE ALL TAKEN INTO
CONSIDERATION. THANK YOU VERY
MUCH THANK YOU AND I THINK
YOU'VE DONE EXACTLY THAT AND WE
APPRECIATE YOU- CLOSING OUT THE-
PANELIST- BECAUSE I THINK-
OFTENTIMES. THERE THERE MAY NOT
BE- AS CONSIDERATION ON THE
FRONT END OF THESE DISCUSSIONS.
OF FOR THE IMPORTANT POPULATION
THAT THAT WE REPRESENT IN THE
YEAR REPRESENTING IN TODAY'S.
CONVERSATION SO THANK YOU I
DON'T HAVE ANY QUESTIONS ON MY
LOOK TO MY RIGHT TO HAVE. MY
COLLEAGUES HAVE ANY QUESTIONS-
WE WILL- PROCEED WITH A PUBLIC
COMMENT SOMEONE THANK YOU AND
ALL THE REST OF THE PANELISTS.
WHO HAVE JOINED US TODAY FOR
THIS INFORMATIONAL HEARING WE'RE
GOING TO ASK NOW THAT- WE OPEN
UP THE PUBLIC COMMENTS. PUBLIC
COMMENTS- WILL BE- RESTRICTED TO
A MINUTE AND A PLEASE STATE YOUR
NAME THAT WAS A SHE REPRESENT-
ONCE WE GO AFTER THE PUBLIC
COMMENT HERE IN PERSON WE'LL SEE
IF THERE'S ANYONE. REMOTELY
WANTING TO SPEAK BOTH FROM A
RUMOR FROM THE MODERATORS A
TELEPHONE SERVICE SO. WE WILL
BEGIN PUBLIC COMMENTS. YEAH HI.
ARE YOU READY FOR THE PHONE
LINES ARE JUST IN THE ROOM THERE
MISTER CHAIR. WE ARE DOING THE
IN PERSON- PUBLIC COMMENTS FIRST
AND THEN WE WILL CALL ON. THE
PHONE LINE- COMMENTS THANK YOU.
GREAT THANK YOU CHECK- MUCH.
YEAH THE HEAD THANKS ADAM SMITH
SOUTHERN CALIFORNIA EDISON
KEEPING IT VERY BRIEF NOTES A
LONG DAY- I THINK WE KNOW IT'S-
CLEAR THE STATE OF CALIFORNIA
HAS A VERY SIGNIFICANT LONG TERM
GOALS CARBON NEUTRALITY SB ONE
HUNDRED. AND THOSE ARE NOT GOING
TO BE FREE SO I THINK THE REAL
QUESTION YOU GUYS TOUCH ON TODAY
IS WHO SHOULD PAY. AND ARE THERE
WAYS TO KIND OF REDUCED RATES AS
WE ALECTRA FI I THINK THIS CAN
BE ONE THE CORE THEMES OF THE
NEXT YOU KNOW THIRTY YEARS IN
THE STATE IS ELECTRIFYING OUR
STATE'S ECONOMY. I THINK WE
REALLY DO AGREE WITH WHAT WE
HEARD FROM EDF AND MICHAEL
COLVIN ABOUT THE NEED TO LOOK AT
ENERGY SHARE OF WALLET THERE
THAT FROM OUR OWN ANALYSIS AND
THEIR RESOURCES BOARD IS DOING
THE SAME. YOU CAN HAVE INCREASES
IN ELECTRIC RATES MAYBE EVEN
INCREASES ELECTRIC BILLS BUT THE
SAME TIME IF YOU'RE REDUCING
YOUR USAGE OF GASOLINE OR
NATURAL GAS YOUR TOTAL SPEND THE
TOTAL SPEND YOUR HOUSEHOLD AS ON
ENERGY COULD BE REDUCED AND IF
WE LOOK AT OUR ANALYSIS WHICH IS
PUBLIC. GO OUT TO TWENTY FORTY
FIVE WE SEE AN INCLUDING
INFLATION ALL THOSE AT ALL THE
REST- ONE THIRD REDUCTION IN
TOTAL ENERGY SPEND THE MONEY
AMONG HOUSEHOLDS ACHIEVING
CARBON. NEUTRALITY BY TWENTY
FORTY FIVE SO I THINK THERE'S
LIKE WE HEARD BEFORE YOU CAN
STILL ACHIEVE THE LONG TERM
ENVIRONMENTAL GOALS OF THE STATE
IN AN AFFORDABLE MANNER. LAST
POINT I'LL MAKE BEFORE I LEAVE
IS THAT YOU KNOW WE HEARD ABOUT
R. B. E. APPLICATION SOUTHERN
CALIFORNIA EDISON'S BUILDING
ELECTRIFICATION APPLICATION-
THERE WAS A CLAIM BY MARK TONY I
THINK MAYBE IT'S JUST MOVING
THROUGH NUMBERS FAST THAT IT
WOULD ONLY SUPPORT TEN THOUSAND
HOUSEHOLDS. WERE ACTUALLY OUR
PROPOSAL WOULD WHICH IS PENDING
BEFORE THE PUBLIC UTILITY
COMMISSION WOULD INSTALL TWO
HUNDRED AND FIFTY THOUSAND HEAT
PUMPS SO AT MY HOUSE I HAVE ONE
HEAT PUMP SO YOU KNOW YOU COULD
KINDA DO THE MATH THERE IT'S
SIGNIFICANTLY LARGER. AND IN
FACT SIXTY FIVE THOUSAND
HOUSEHOLDS WILL RECEIVE PANEL
UPGRADE SO IT'S A LOT BIGGER
THAN TEN THOUSAND ALL CINNAMON
NOTE I KNOW WE HAD A LEAVE BUT
I'LL LEAVE YOU WITH THAT. THANKS
YOUR TIME IN THE GREATER. THANK
YOU. THE GOOD AFTERNOON YET
MISTER CHAIRMAN VALERIE TORELLO-
PACIFIC GAS AND ELECTRIC COMPANY
THANK YOU SO MUCH FOR THE
HEARING TODAY REALLY APPRECIATE
THE FOCUS ON ALL OF THE IDEAS
ALL OF THE PROPOSED- SOLUTIONS
FOCUS- AND ONE AS THE COMMITTEE
TO THINK ABOUT- THE SOLUTIONS
AND SOME SHORT TERM AND LONGER
TERM VIEWS- THE SO FOR EXAMPLE
THERE'S A LOT OF MENTIONED TODAY
ABOUT RATE DESIGN- AND SOMETIMES
THOSE CAN BE- A LITTLE BIT MORE
LONGER TERM BUT THEY'RE
IMPORTANT LIKE THAT WHAT WAS
BROUGHT UP TODAY ABOUT FIXED
CHARGES- IT'S- PROBABLY TIME FOR
THE LEGISLATURE TO RE EXAMINE
THE- THE- CONSTRAINTS IN AB
THREE TWENTY SEVEN THAT WAS BACK
IN TWENTY THIRTEEN. THAT WAS
DEBATED IN THE LEGISLATURE ON
FIXED CHARGES AND OUR STRUCTURES
REALLY AREN'T IN LINE NOW WITH
OUR ELECTRIFICATION AND CLIMATE
GOALS SO THAT'S REALLY WHERE THE
OF- SOME MORE DISCUSSION- AND
THEN ALSO P. GENIE IS VERY
SUPPORTIVE OF. THESE
NONTRADITIONAL SOURCES OUTSIDE
FUNDING- FOR- OUR CUSTOMERS
ESPECIALLY THOSE MOST VULNERABLE
FOR RATE RELIEF- IT WAS ALSO
MENTIONED LAST YEAR. THE ARREARS
THE ONE BILLION ON THAT YOU KNOW
A LETTER CAN GAS SIDE FOR
CUSTOMERS. BECAUSE WE ANTICIPATE
OUR LOW AND MODERATE INCOME
CUSTOMERS ARE STILL GOING TO
HAVE NEEDS SO- THOSE ARE SOME
VERY NEAR TERM- AND THAT MONEY
IS ALREADY OUT THE DOOR FOR PG&E
CUSTOMERS. AND THEN FINALLY-
DISCUSSIONS LIKE- GETTING PUBLIC
PURPOSE PROGRAM OR PPP CHARGES
OFFER THE BILL ARE VERY WORTHY
AND WE LOOK FORWARD TO HAVING
MORE DISCUSSIONS WITH THIS
COMMITTEE ABOUT THOSE PROPOSALS
THANK YOU. THANK YOU NEXT WEEK-
I'M BILL JULIAN MEMBER PUBLIC
WANTS TO GET IN THE MICROPHONE
PLEASE. THE BILL JULIAN I'M A
MEMBER OF THE PUBLIC I WAS THE
CHIEF CONSULTANT TO THIS
COMMITTEE OF BACK IN THE
EIGHTIES AND NINETIES WHEN WE'RE
CHAIRED IT. I WAS THE
LEGISLATIVE DIRECTOR FOR THE
PUBLIC UTILITIES COMMISSION
DURING THE CALIFORNIA ENERGY
CRISIS. I WANT TO SAY A COUPLE
OF THINGS FIRST. MISTER CHAIRMAN
I'M VERY IMPRESSED THAT YOU ARE
FOCUSED ON. A RIGOROUS APPROACH
TO RATE PAYER IMPACTS OFWHAT'S
HAPPENING WITH ELECTRIC RATES
ELECTRIC COSTS IN THIS STATE.
BUT I ALSO WANT TO. TELL YOU
THAT SOME OF THE LESSONS THAT WE
LEARNED DURING THE ENERGY CRISIS
WAS THAT CALIFORNIA'S ABILITY TO
CONTROL THOSE COSTS. IS LIMITED
BY THINGS THAT HAPPENED DURING
THE REGULATION. SO I WANT TO
FOCUS ON WHAT I EMPHASIZE. THE
RELATIONSHIP BETWEEN. THE STATE
AND THE FEDS SO FOR EXAMPLE
TRANSMISSION COSTS THE FEDERAL
ENERGY REGULATORY COMMISSION-
CONTROLS THOSE COSTS AND IS
EXTREMELY GENEROUS WITH
CALIFORNIA RATEPAYER DOLLARS IN
A WAY THAT. CALIFORNIA NEEDS TO
CLARIFY. THAT IS TO SOME EXTENT
A QUESTION OF YOUR RELATIONSHIP
WITH THE CALIFORNIA INDEPENDENT
SYSTEM OPERATOR WHICH IS A
CALIFORNIA. NONPROFIT
CORPORATION SUBJECT TO
CALIFORNIA CONTROL BUT WHICH IS
AT THIS POINT IN CONTROL OF
WHOLESALE ENERGY MARKETS ONE AND
TWO TRANSMISSION COSTS IN
CALIFORNIA YOU NEED TO TAKE A
VERY CLOSE LOOK AT THAT AND YOU
NEED TO HAVE A VERY SHARP PENCIL
ON THOSE TRANSMISSION COST. GIVE
YOU JUST ONE EXAMPLE. MISTER
CORK INDICATED THAT OVER THE
LAST. IN IN IN A QUESTION OVER
THE LAST TEN YEARS. INVESTMENT
IN TRANSMISSION AS THE SINGER
FROM DISTRIBUTION HAS MORE THAN
DOUBLED FOR SOUTHERN CALIFORNIA
EDISON SAID AND SAN DIEGO GAS
AND ELECTRIC THAT'S BECAUSE THE
PROFITS AVAILABLE FROM FIRST
REGULATION ARE SIGNIFICANTLY
GREATER THAN THEY ARE UNDER
CALIFORNIA. SOUTHERN CALIFORNIA
EDISON I HAS A DIFFERENT-
SEPARATION BETWEEN TRANSMISSION
AND DISTRIBUTION DISTRIBUTION AS
STATE JURISDICTIONAL AND
SOUTHERN CALIFORNIA EDISON'S
TRANSMISSION BECAUSE HAVE GREAT
HAVE INCREASED AT A MUCH SLOWER
RATE. AND HAVE THE OTHER
UTILITIES SO THAT ISSUE OF STATE
CONTROL OVER THE CALIFORNIA ISO
IS SO YOU REALLY NEED TO LOOK
AT. SECOND I WANNA. EMPHASIZED
REEMPHASIZE CINEMARK TONY SAID
WHICH IS TRANSPARENCY OF COSTS
ARE REALLY IMPORTANT YOU'VE
HEARD A LOT OF INFORMATION TODAY
ABOUT COST OF CAPITAL ABOUT
SECRET DEALS AND SO ON AND SO
FORTH IT. ARE YOU NEED TO
INCREASE THE TRANSPARENCY OF
COSTS IN CALIFORNIA AND THAT
INCLUDES SPECIFICALLY COSTS AT
THE PUBLIC UTILITIES COMMISSION
ONE THING THAT YOU CAN DO. NOW
IS TO REPEAL SECTION FOR FIFTY
FOUR POINT FIVE G. OF THE PUBLIC
UTILITIES CODE WHICH CREATES A
SECRET PROCESS FOR LONG TERM
CONTRACTS AT THE PUBLIC
UTILITIES COMMISSION. I WON'T GO
INTO THE WEEDS ABOUT WHAT THAT
MEANS BUT WHEN WE HEAR ABOUT HOW
COSTS OF RENEWABLES FOR EXAMPLE
ARE DECLINING WE DON'T KNOW AND
YOU DON'T KNOW WHETHER THOSE
DECLINING COSTS ARE ACTUALLY
REFLECTED IN THE CONTRACTS IF
UTILITIES ARE SIGNING- FOR- OF
PROCURE IN THEIR PROCUREMENT
PROCEEDINGS BECAUSE OF WHAT'S
CALLED THE PROCUREMENT REVIEW
GROUP WHICH IS AUTHORIZED. BY
THAT SECTION OF THE PUBLIC
UTILITIES CODE THAT NEEDS TO BE
ADDRESSED FINALLY. THE ISSUE OF
TAX PAYER VERSES RATEPAYER
DOLLARS IS REALLY IMPORTANT AND
YOU NEED TO UNDERSTAND THAT
THERE ARE. A LARGE NUMBER OF.
TAXPAYER DOLLARS THAT ACTUALLY
GO INTO UTILITY INVESTMENTS
THEY'RE CALLED. XCELERATED
DEDUCTIONS FOR ACCELERATE
DEPRECIATION AND FOR INVESTMENT
TAX CREDITS THEIR RATEPAYER
PROVIDED DOLLARS HOW THEY ARE
ACCOUNTED FOR THE RATEMAKING
PROCESS HOWEVER IS VERY OPAQUE I
WON'T AGAIN I WON'T GO INTO THE
WEEDS BUT YOU NEED TO BE LOOKING
AT. THE RATE PAYER CONTRIBUTIONS
THROUGH THE TAX SYSTEM THAT ARE
BILLIONS OF DOLLARS OF
INVESTMENT- THAT- AND YOU NEED
IT YOU HAVE REALLY REALLY SHARP
PENCIL AND THAT. I WON'T GO INTO
AS I SAID I WON'T GO INTO THE
WEEDS HAVE PROVIDED A SHORT
OUTLINE OF THESE REMARKS TO- TO-
MISS SMITH WHO'S ON YOUR- SAYING
HONEY I AM HERE- RIGHT. AND TO
YOUR- TO TEACH HERE CONSULTANT
ALSO I'VE I'VE GOT COPIES WHICH
I'LL GIVE YOU BUT- OF THE I'LL
JUST I'LL JUST CLOSE WITH THAT
TRANSPARENCY AND STATE FEDERAL
RELATIONS CRITICAL IF YOU WANT
TO CONTROL COSTS IN A IN A
PRACTICAL. WAY THANK YOU FOR
YOUR COMMENTS. THANK YOU FOR
YOUR SERVICE AS WELL- AND WE
APPRECIATE YOUR FEEDBACK AND- IF
YOU HAVE ANY FEEDBACK ON MY
JOKES ALL OF HAPPY TO TAKE THOSE
TWO- BUT THAT NO SERIOUSLY THANK
YOU FOR THE FEED BACK ON ON
THIS- HEARING TODAY. ANY OTHER
PERSONS WANT TO MAKE ANY PUBLIC
COMMENTS HERE IN THE ROOM. HAS
SEEN NO ONE WILL GO TO THE
MODERATOR I UNDERSTAND WE HAVE A
FEW FOLKS LINED UP TO MAKE SOME
COMMENTS- TO THE COMMITTEE FOR
MODERATOR. IF YOU'D LIKE TO OPEN
UP THOSE LINES. THANK YOU LADIES
AND GENTLEMEN IF YOU WOULD LIKE
TO- EXPRESS OPPOSITION OR- IF
YOU WOULD- OPPOSITE YOUR SUPPORT
PLEASE PRESS ONE ZERO AT THIS
TIME. YOU ARE TAKING VOTES RIGHT
MISTER CHAIR. NO WE ARE- TAKING
PUBLIC COMMENTS FOR THE
INFORMATION HEARING AS WE WRAP
UP BUT TODAY'S CONVERSATION SO
UP. ANY COMMENTS THAT ANYONE MAY
HAVE THEY HAVE ONE MINUTE TO-
MAKE THOSE COMMENTS THANK YOU.
THANK YOU MISTER CHAIR AND WE'LL
GO LINE THIRTY FOUR PLEASE GO
AHEAD. EUROPE IN THIRTY MARKETS
. CAN YOU HEAR ME. YES IT. HELLO
WE HEAR YOU WE CAN HEAR YOU. MY
NAME IS JENNIFER TANNER
INDIVISIBLE CALIFORNIA GREEN
TEAM- I'M APPALLED TO HEAR THE
STUPID THING MAKING IT SOUND
LIKE WITH COUNSELORS THE BIGGER
PROBLEM THAN ESCALATING
TRANSMISSION AND DISTRIBUTION
COSTS. AND WALDRON MITIGATION
IT'S REALLY RIDICULOUS BUT IT
MAKES SENSE BECAUSE IF THE PC
HAS NOT THAT WELL KNOWN CONFLICT
OF INTEREST. IT SAID RECENTLY
THAT THE LONG DISTANCE POWER
LINES ARE THE MAJOR COSTS WITH
ESCALATION.AND I COULD BUY THE
FORTY. IT OF THE CAR. EIGHT
THREE THE PREFERRED COULD HELP
TO THE STATE. THERE CLIENTS
INCLUDE PG&E STAMPER AND SO. AND
NINE. FIFTY PC USED TO DO FOR
ENERGY. AT HOME BERKELEY. BUT IT
COULD BE GENIES. CALIF IS A LOOK
DIFFICULT AND YOU TO FOCUS. BOB
DOLE COALITION HIT MY FROM YOU
TO. YOU CONTRACT ALL TO DEFEND
PGA. COMPETITOR CHALLENGE LIKELY
SO FEEDING LOBBYIST ON THIS
ISSUE WITH THIS SIX JUST A FEW
AGO EITHER MATHIS OF INTEREST.
IF YOU WOULD LIKE TO KNOW BY
RESPECT STUDY READ RESEARCH BY
DOC COULD. IF YOU HAVEN'T DONE
SO IT CAN ACTUALLY BE GIVES A OF
LONG HOW LINE AND IF THEY UP TO
HUNDRED DOLLARS THEY PAIRS OF
THE NEXT THIRTY. WATCHING WE ARE
IN A IN. TALKS OVER A PROVEN TO
HELP NOT IN THE POWER. AND WILL
HELP WITH THE BY COST OF GAS AS
WELL. NINETY THANK YOU VERY MUCH
FOR LETTING ME. THANK YOU NEXT
UP CALLER. AB YOU ARE OPEN
PLEASE GO AHEAD. HI THIS IS
PATRICK WELCH WITH THE
CALIFORNIA MISSED LEAD TO THESE
SUBJECTS FROM REPRESENT LOCALLY
REGULATED PUBLIC ON ELECTRIC
UTILITIES THAT PROVIDE
AFFORDABLE RELIABLE CLEAN
ELECTRICITY 25% STATE WE
APPRECIATE THAT CHAIRED THE
COMMITTEE HOLDING. THIS HEARING
TODAY AND FOCUS ON AFFORDABILITY
. RATES ARE AN AVERAGE 15% LOWER
THAN THAT ARE YOU COUNTERPARTS
YOU MAY DID WRITE DTA TO THE
COMMITTEE SHOWING THAT OVER THE
PAST TWO DECADES. THE PRICE OF
Q. U. ELECTRICITY AND OUTPACED
THE NATIONAL RIGHT MCCARTY COPS
BY OVER FIFTY PERCENT. AND
MOVING FORWARD WE SEE ADDITIONAL
RATE INCREASES THAT THE
UNAVOIDABLE AS UTILITIES
INCLUDING PEER YEARS BACK WHO
TRANSITION OF OWNERSHIP 100%
CLEAN ELECTRIC GRID. NEW
RESEARCH SAYS BILLING AT TRENT.
RATHER COST PRESSURES SUCH AS
WELL EDUCATION. TRANSACTION A
TRANSMISSION AND WHETHER THAT
ONE BECAUSE YOU CALL OUR
CUSTOMERS BUT WE DO SEE IT AS A
SIGNIFICANT COST PRESSURE. AND
WE AGREE THAT MORE TRANSMISSION
LIKELY NEED TO BE BUILT AND THE
PROBLEM YOU'VE GOT GREAT. BUT
ONE ANALYSIS WE'VE SEEN OF THE
KITE SAYS TWENTY YEAR OUTLOOK
SHOWS THAT THE TRANSMISSION
ACCESS CHARGE WOULD INCREASE
FROM SIXTEEN AND A HALF DOLLARS
TODAY PER MEGAWATT HOUR. TO
FORTY THREE DOLLARS AFTER
MEGAWATT HOUR BY THE YEAR TWENTY
THIRTY SIX THE COPLEY PASSED ON
TO CONSUMERS IT'S NOT A. IT'S
NOT A SMALL NOT MARKET YOUR-
THERE'S ALSO TO KEEP REVENUE
PER. EVERY FOR KOBE NINE. MISTER
CHAIR. YOU RIGHT NOW- EARLIER ON
AND- THAT COMMITTEE HEARING. THE
LEGISLATIVE ENACTED CALIFORNIA
RIDGE PAYMENT. IT'S BEEN HIGHLY
SUCCESSFUL HAVING HELPED OVER
THREE HUNDRED FIFTY THOUSAND PA
YOU CUSTOMERS YEP TWO HUNDRED
NINETY SIX MILLION DOLLARS. IN
UNPAID BILLS. BUT THEY'RE STILL
UNMET NEED FOR CARE YOUR
CUSTOMERS OF FIVE HUNDRED THIRTY
MILLION DOLLARS WE THINK THERE
ARE STILL SUFFICIENT FEDERAL
FUNDS ON THE TABLE TO COVER THIS
GAP. INCLUDING AT THE WHEN ARE
WE PARTY. YOU MAY BELIEVE THAT
WRITER. YEAH COMPARATIVE AS
CALIFORNIANS INCREASINGLY RHINO
CHRISTY FOR MANY FACETS OF THEIR
LIVES. DALY IT'S A COPULATE
PROPOSED COULD JEOPARDIZE THE
STATE'S BROADER CRIME BECAUSE-
BECAUSE A GROWING NUMBER OF
CALIFORNIANS POWER THEIR
VEHICLES AS WELL THEIR WATER
HEATERS AND HOMES ELECTRICITY.
WE AGREE WITH THE CONVERSATION
TODAY THAT LOOKING AT ONE TIME
SPENDING ON THINGS LIKE A REAR
GATE IS. CLEAN ENERGY
INVESTMENTS IN TRANSMISSIONS IS
VERY WORTHY OF. DISCUSSION AND
WE APPRECIATE YOUR TIME THANK
YOU. THANK YOU. NEXT OKAY LINE
EIGHTY ONE PLEASE GO AHEAD.
THANK YOU MICHAEL BOOKER DORO ON
BEHALF OF THE AGRICULTURAL
ENERGY CONSUMERS ASSOCIATION-
JUST. THINKING BACK A LITTLE BIT
I'VE BEEN REPRESENTING
AGRICULTURAL INTERESTS OF THE
LEGISLATURE IN THE P. YOU SEE
NOW FOR OVER THIRTY YEARS. AND
AFFORDABILITY OF RATES HAS BEEN
AN ISSUE I THINK IN EVERY ONE OF
THOSE YEARS IT'S GROWN TO A
CRISIS PROPORTION NOW THOUGH IN
TERMS OF NEEDING TO BE ADDRESSED
RATES ARE SKYROCKETING
CALIFORNIA NOT JUST FOR
RESIDENTIAL CUSTOMERS THIS YEAR
HER TODAY. BUSINESS CUSTOMERS
INCLUDING AGRICULTURE AND FOOD
PROCESSING CUSTOMERS THAT WE
REPRESENT. I WE'RE HITTING A
TIPPING POINT IN TERMS OF OUR
ABILITY TO BE ABLE TO COMPETE IN
GLOBAL MARKETS WHAT WE MUST
COMPLETE. YEAH WE CAN TALK ABOUT
RATES AND BILLS AND M. SPOKE TO
ONE OF SUGGESTED RATES ARE
IMPORTANT GOALS ARE IMPORTANT I
DON'T THINK THAT THAT REALLY
APPLIES TO THE RESIDENTIAL
SECTOR NEVER HAVE BECAUSE WE'VE
GOT A LOT OF PEOPLE IN THE
RESIDENTIAL SECTOR. TO PAY FAR
HIGHER THAN AVERAGE TYPICALLY
THOSE WHO LIVE IN THE SAN
JOAQUIN VALLEY FOR INLAND EMPIRE
OR ONE MORE REGIONS OF THE STATE
WERE- CONDITIONING AT SUCH A
MAJOR USER ALEXA THREE BUT THE
BUSINESS SECTOR THERE'S NO
QUESTION RATES ARE IMPORTANT AND
THEY WILL CONTINUE TO BE
IMPORTANT BECAUSE- TAKES THE
SAME AMOUNT OF ENERGY TO PRODUCE
AN ALMOND OR APPLE OR ANY
WIDGET. IN CALIFORNIA AS IT DOES
ANYWHERE ELSE MAYBE MORE BECAUSE. WE PUMP GROUNDWATER JUNE.
BROKE UP IN THE STATE SO GETTING
UNDER CONTROL BECAUSE AS WE MOVE
FOR. THERE ARE LITERALLY TENS OF
BILLIONS OF DOLLARS OF. RATE
INCREASESSPENDING. ATTHE
PUBLIC UTILITIES COMMISSION
RIGHT NOW TODAY. THAT WILL BE
ACTED ON IN THE NEXT COUPLE OF
YEARS AND ONCE THEY'RE MOVED
INTO RATE BASE. UNWINDING THAT
IS IMPOSSIBLE. AND SO IT'S VERY
IMPORTANT THAT IF WE'RE GONNA DO
SOMETHING ABOUT AFFORDABILITY I
HOPE UNDER THE NEW LEADERSHIP IN
THIS COMMITTEE. HAVE A GREAT
DEAL OF CONFIDENCE IN MR GARCIA
AND YOU AS THE NEW CHAIR. BUT I
THINK WE CAN MAKE SOME
SIGNIFICANT PROGRESS TOWARDS
FINALLY GETTING THE STRESS.
THANK YOU. I THANK YOU NEXT
WEEK- THANK YOU WILL BOTTOM LINE
TWENTY EIGHT YOU ARE OPEN. WELL
DAVID REINER CINEMA HOMEOWNER IN
HUNTINGTON BEACH CALIFORNIA. THE
CDC KNOWLEDGE IS THE PRIMARY
COST DRIVERS FOR ELECTRICITY
COSTS HAVE BEEN THE COPS NATURAL
GAS AND THE MAINTENANCE OF
TRANSMISSION LINES AND ONE
PARTICULAR ALSO THE INSURANCE.
THAT HAVE BEEN REQUIRED BECAUSE
OF THE FIRES THAT ARE.
INADEQUATE MAINTENANCE OF THOSE
TRANSMISSION LINES. CAPSULAR SO
. A GREAT MANY OF THOSE POSH.
RIGHT YOU DON'T REDUCING GAS YOU
DON'T HAVE TRANSMISSION LINE
CALL. AND WE ALSO KNOW THAT THE
CITY DEMAND OF THE STATE'S
INCREASED DUE TO ELECTRICAL CARS
AND ELECTRIFICATION OF HOMES
REPLACING A GAS FIRED FURNACES
AND WATER HEATERS WHICH HE POPS.
RATHER THAN DIGGING- COMMISSION
OF THOSE WHO HAVE TAKEN THE LEAD
IN DECARBONIZATION BY ROUTINE
VESTING IN ROOFTOP SOLAR. WE
SHOULD BE LOOKING AT HOW WE CAN
HELP LOW INCOME- PRESIDENT'S
ACCESS ROOFTOP SOLAR AND ALSO TO
FIND A WAY TO MAKE IT POSSIBLE
FOR MULTI FAMILY RESIDENTS TO
PARTICIPATE IN ROOFTOP SOLAR.
THANK YOU VERY MUCH. THANK YOU
NEXT CALLER. WE WILL GO TO LINE
FIFTY TWO YOUR OPEN. HI THIS IS
ROB CALLING FROM SAN JOSE I'M A
MEMBER OF THE SOLAR RIGHTS
ALLIANCE THE CPC AGAIN
SCAPEGOATS ROOFTOP SOLAR IS A
COST DRIVER INTERESTINGLY THERE
ARGUMENT FOR KASHIF IS MORE FROM
ATM REIMBURSEMENT TO THE
RATEPAYERS CONSERVING WEISS OF
CPC NOW DEMONIZING CONSERVATION.
BEATING LESS POWER BIG TIME
SAVES EVERYBODY MONEY EXCEPT THE
UTILITIES MISSILES BLESS NEED
MEANS LESS TRANSMISSION GEAR
TRANSMISSION LINES MEANS
PURIFIERS HERE SHUT OFFS AND
LOWER COSTS READ THE VIBRANT
STUDY WHY IS THIS MESSAGE ABOUT
THE MESSENGER HEARING THE CPUC
RELIES ON SOURCES THAT ARE
FUNDED BY THE UTILITIES. IT'S
TIME FOR YOU TO PUT AN END TO
SUCH CONFLICTS OF INTEREST IF
YOU DO NOT ACT EXPECT MANY MORE
MEETINGS LIKE THIS ONE WITH YET
MORE. EXCUSES THANK YOU. THANK
YOU NEXT WEEK- SO THE LIGHTS OF
ONE PLEASE GO AHEAD. FIFTY
FOUNDER THEN I'M THE FOUNDER OF
INDIVISIBLE ROCK VALLEY THE RED
OF LYNCH A FORMER PRESIDENT OF
THE CPC RECENTLY SAID THAT.
CALIFORNIA UTILITIES MAKE MONEY
BY RECEIVING A PROFIT ON THEIR
ASSETS. THE UTILITY CAN INCREASE
ITS PROFIT BY BUILDING MORE
ASSETS INCLUDING POWER LINES AND
OTHER EQUIPMENT IF THEY CAN KILL
ROOFTOP SOLAR THEN THEY NEED
MORE TRANSMISSION LINES AND THEY
PROFIT EVEN MORE. WHEN HE SAID
HE THINKS IT'S REALLY ABOUT WHO
TO BLAME FOR HIGH ELECTRICITY
RATES. BY BLAMING HIGH RATES ON
SOLAR OWNERS UTILITIES AND
REGULATORS ARE TURNING ATTENTION
AWAY FROM THEIR MANY DECISIONS
THAT CONTRIBUTED MUCH MORE TO
HIGH RATE. INCLUDING THE COST OF
WILDFIRE LIABILITY AND MANY
DECISIONS THAT HELP UTILITIES AT
THE EXPENSE OF CONSUMERS
COMPARED TO THOSE EXPENSES ANY
HARDSHIP RELATED TO ROOFTOP
SOLAR IS TINY AND TO FOCUS ON
THAT IS THE PROBLEM IS
DISINGENUOUS AND ABHORRENT HE%
SAID. AND I'D LIKE TO SAY I WAS
THE CONCERN FOR LOWER INCOME
RESIDENTS TOOK INTO ACCOUNT THE
AIR POLLUTION HEALTH AND CLIMATE
DAMAGE TO THEIR COMMUNITIES
BECAUSE UTILITIES FACT THE POOR
NOT. THE WEALTHY. YOU'LL LOSE
AND PRO POOR COMMUNITIES NOT
MIDDLE INCOME WEALTHY. ROOFTOP
SOLAR REDUCE ANY FOR FIVE FUEL
I'M NOT HELPS WITH. COMMUNITY
CLIMATE AND CUT DOWN ON COSTS
YOU IN CHRIS. THE CPU LAST YEAR
TO THE WHOLE WHITE PAIR SHOWING
. WHY PAPER CHAU HOW THE
ESCALATING OF LONG DISTANCE
POWER LINES AND WILDFIRE
MITIGATION ARE WHAT IS DRIVING
UP THE RATE. CPUC ALSO POINTED
OUT THAT UTILITIES ARE
INCENTIVIZED MORE RATEPAYER
DOLLARS ON LONG DISTANCE POWER
LINES BECAUSE THAT'S HOW THEY
MAKE THEIR MONEY. GIVEN THAT WHY
ARE WE NOT TALKING ABOUT HOW TO
REDUCE THE NEED FOR AS MANY LONG
DISTANCE POWER LINE. AND TWENTY
EIGHTEEN RATE PAYERS STATED TWO
POINT SIX BILLION IN CANCEL
POWER LINE PROJECT THANKS TO
ROOFTOP SOLAR AND ENERGY
EFFICIENCY. I WISH THEM THE
CONCERN FOR LOW INCOME
RATEPAYERS FROM SOME OF THIS
PANEL TOOK INTO ACCOUNT- ALL OF
THAT. AND THAT ROOFTOP SOLAR IS
THE CHEAPEST CLEANEST FORM OF
ENERGY OR THE LEAF SPRING FOR
THE MOST BRING THANK YOU WHAT I
HEARD. CAN YOU THINK. OKAY THANK
YOU THANK YOU VERY MUCH. NEXT
CALLER. THANK YOU ENSURE WE WILL
ALIGN SIXTY PLEASE GO AHEAD. BY
SIXTY ARE YOU MUTED. CAN YOU
HEAR ME. YES HELLO. REALLY LINES
UP WITH THE SOLE RIGHTS
ALLIANCE- G. COMMITTEE MEMBERS
REGIONAL STATES INFORMATIONAL
HEARING IS TRYING TO IDENTIFY
LIKE CALIFORNIANS ARE
EXPERIENCING RECORD HIGH
ELECTRIC AND GAS BILLS. WELL WE
KNOW WHY RATES ARE HIGHER THE
CBC DESCENT LAST YEAR AND IT'S
ALREADY BEEN DISCUSSED TODAY THE
BILL WITH A WHITE PAPER THAT
SHOWING HOW THE ESCALATING COSTS
OF LONG DISTANCE POWER LINES
WATER MITIGATION- WHAT'S DRIVING
UP ELECTRICITY RATES. WE ALL
KNOW THIS AND UTILITIES HAVE
ALSO INSTEAD OF BEING
INCENTIVIZED MORE WEIGHT PAYER
DOLLARS A NEW LONG DISTANCE
PIPELINES BECAUSE HOUSING THAT'S. HOW THEY'RE GUARANTEED THEIR
PROFITS. SO BASED ON THIS I FEEL
THE SAME WAY THE RENEWABLE PA
FOR THE PART STATE IN THE
COUNTRY. IS BEING CONTROLLED BY
THE INVESTOR OWNED UTILITY
COMPANIES. THAT ARE ONLY
INTERESTED IN BOOSTING THEIR
BOTTOM LINE. IT IS PROPOSAL.
ATTEMPTS TO CREATE A NEW NEW
ENTRY GUIDELINES BASED ON POLICY
PROVIDED BY ALEC. THE RIGHT WING
THINK TANK. AND IS AIMED AT
PUNISHING CURRENT AND FUTURE
ROOFTOP SOLAR OWNERS WITH A NEW
SOLAR TAX. CALIFORNIA REPAIRS
COULD SAVE UP TO A HUNDRED AND
TWENTY BILLION DOLLARS OVER THE
NEXT THREE YEARS. VOIDED POWER
LINES THINKING IF WE KEEP
ROOFTOP SOLAR. AND BATTERIES
ALIVE AND GROWING. SO IF YOU'RE
SERIOUS ABOUT A REAL SOLUTION TO
OUR ENERGY COSTS WE NEED TO STOP
BLAMING ROOFTOP SOLAR HAVE
REDUCE OUR NEED FOR EXPENSIVE
LONG DISTANCE POWER LINES. THANK
YOU VERY MUCH. THANK YOU NEXT
CALLER. YOUR NEXT WE'RE GONNA GO
TO LINE THIRTY EIGHT YOU ARE
OPEN. YES HELLO ERIC YES. GREAT
THANK YOU MY NAME IS DAN
SCHWARTZMAN THE POLICY MANAGER
FOR THE CLEAN. STATE AGENCIES
AND I JUST WANTED TO TAKE THIS
OPPORTUNITY TO COMMENT ON THE
NEED FOR A BALANCED PLANNING
PROCESS- IN PARTICULAR AS THE
TOTAL GROSS LOADING OF THE
ELECTRIC SYSTEM HAS GONE DOWN
ELECTRIC RATES HAVE CONTINUED TO
SKYROCKET AND IF YOU BREAK THAT
DOWN FURTHER THE ACTUAL RATE OF
ENERGY IS LESS THAN THE COST TO
TRANSMIT TRANSMITTING THAT
ENERGY AND THAT COMES FACE TO
FACE WITH YOU TOLD A CONFLICT OF
INTEREST THAT COMES FROM A HIGH
RATE OF RETURN TRANSACTION
LINES- TRANSMISSION LINES ARE.
IN FACT THIRTY TO FIFTY YEAR
HELLO IT GETTING DOUBLE DIGIT
RETURNS THERE IS A HUGE REASON
FOR THEM TO CONTINUE BUILDING
MORE TRANSMISSION WHY. EVEN MORE
COST EFFECTIVE SOLUTIONS. ARE
EASILY AVAILABLE. AVERAGE CAP
THAT INVESTMENT IN TRANSMISSION
WHICH WOULD BE THE FACE VALUE
PROP PROJECT J. TWO BILLION
DOLLARS OVER THE LIFETIME OF THE
PROJECT TWENTY PUTTING
OPERATIONS AND MAINTENANCE COSTS
WILL RESULT IN OVER NINE TIMES
THAT COST TO THE GREAT PAIR. SO
WHAT WE NEED TO BE GETTING IS A
MORE BALANCED PLANNING PROCESS
THAT VALUES DISTRIBUTED ENERGY
RESOURCES AND MULTIPLE
APPLICATIONS THEY CAN BRING TO
COMMUNITY- AND SECOND OF ALL WE
NEED MORE TRANSPARENCY IN THE
TRANSMISSION PLANNING PROCESS.
TRANSACTION RATES AND THE RATE
OF INVESTMENT HAS GOT OVER BLACK
DECADE. IN PARTICULAR OVER THE
LAST FIVE YEARS THAT RATE HAS
INCREASED AND IT'S CONTINUING TO
INCREASE. ICHIMI SERVICE
TERRITORY MORE THAN 50% OF
TRANSMISSION PROJECT OUR SELF
APPROVED WITHOUT ANY INVOLVEMENT
OR SIGNIFICANT INVOLVEMENT FROM
THE STATE IT SUCKS. WE NEED A
MORE BALANCED TRANSMISSION
PLANNING PROCESS. A PROCESS THAT
CONTINUES CONSIDERS LOCAL
RESOURCES AND FINALLY NEED TO
ALIGN PROFIT WRAPPING UTILITIES
WITH THE PEOPLE THROUGH
PERFORMANCE BASED METRICS. AND
AS A WAY TO- REPLACE THE
TRADITIONAL INFRASTRUCTURE.
THANK YOU VERY MUCH THANK. NEXT
WE'LL GO TO LINE SIXTY THREE YOU
ARE OPEN. SIXTY THREE PLEASE GO
AHEAD. OH ONE MORE SHOT SIXTY
THREE WOULD YOU LIKE TO TESTIFY
TODAY OR GET PUBLIC COMMENT. I'M
MOVING ALONG WITH OUR LINE FIFTY
EIGHT YOU ARE OPEN. WELL YEAH
CHARLES ADDAMS ALBION POWER
COMPANY BUT WE'RE ASKING YOU TO
LOOK AT PRIVATE INVESTMENT IN
SOLAR IN THE BUILT ENVIRONMENT
THROUGH THE LENS OF WHAT IT
ACTUALLY PROVIDES. IMPORTANT
NOTE THE UNITED STATES IS 5% OF
THE WORLD'S POPULATION CONSUMING
25% OF THE WORLD'S ENERGY AND
WE'RE DOWN 222% OF OUR LAND
LEFT. IS NOT SUSTAINABLE AND
SOLAR IN THE BUILT ENVIRONMENT
ADDRESSES THIS UNDER CURRENT NET
METERING ROOFTOP SOLAR AND
ENERGY EFFICIENCY OR THE SAME
DENOMINATOR BOTH ELIMINATE MANY
OF THE COSTS YOU'RE DISCUSSING
HERE TODAY. NEVER CAUGHT ME
CREATES ENERGY AND ECONOMIC
BENEFITS FOR THE CONSUMER WHICH
AND STAY IN THE LOCAL COMMUNITY
TO BUILD CALIFORNIA GREEN
ECONOMIES LOCAL ECONOMIES CREATE
LOCAL JOBS DECREASED INEQUALITY
INCREASED WAGES HIGHER INCOME
GROWTH LOWER LEVELS OF POVERTY
HIGHER LEVELS OF CIVIC WELL
BEING. AND LOCAL TAX REVENUE THE
COMMISSION IS ENCOURAGED TO
CONSIDER DAM THREE POINT OH TO
DEBATE OF ONE OF MAIN STREET
SOLAR VERSUS WALL STREET SOLAR.
ROOFTOP SOLAR IS ONLY BEEN DOING
THIS FOR FIFTEEN YEARS SO OF
COURSE IT'S DISRUPTIVE BUT WE'RE
ALSO CREATING 40% OF THE SOLAR
THE TICKET IN THE STATE OF
CALIFORNIA WHILE DESTROYING NONE
OF THE ENVIRONMENT. MANY OF THE
CPUC CALCULATIONS FOR SENATE
BILL ONE HUNDRED DON'T EVEN
CLASSIFY ROOFTOP SOLAR A CLEAN
ENERGY NOR COUNT FOR THE
ENVIRONMENT IN ANY WAY. THIS
CUTS FOR IT IS CREATING A LOT OF
FUNNY MATH WE ASK YOU TO
UNDERSTAND THAT ARE YOU USE
COULD NOT GO CARPET BOMB ALL THE
REMAINING LAND TO BUILD SOLAR
FARMS AND BUILD CORRESPONDING
TRANSMISSION. THE PREVIOUS
CALLER STATED RATE THEIR
CONTRIBUTION TO THE TAX SYSTEM
5260% OF SOLAR FARMS ARE PAID
FOR BY TAXPAYERS OF TAX CREDITS
TO THE WEALTHIEST 1% WHO ARE
FINDING ANSWERS OF THE FOSSIL
FUEL INDUSTRY. PASS IT MEANS
THAT THEY HAVE NO STAKE IN THE
PRODUCTION OF THE SYSTEM SOLAR
FARMS OR TAX CREDIT MARKET IT IS
HARD TO DESTROY THE ENVIRONMENT
AND LOCAL ECONOMIES AND CALL
THIS EQUITY. SO WE HAVE A SYSTEM
CURRENTLY WHERE THE SOLAR FARM
DESTROYING. LANDING CANADA
COUNTS TOWARD THE ARCHITECT
1100% THANK LEAN FOR CALIFORNIA
. ROOFTOP TO NOT THANK YOU. I
HAD WILL GO A LONG THIRTY TWO
YOUR OPEN. THANK YOU THANK YOU
MY NAME IS RICK COMPSTAT CRIME-
CALLING IN FROM SAN JOSE
CALIFORNIA- I HAVE BUT A LOT OF
CONCERNS ON. IN YOU KNOW I FEEL
IF YOU IF YOU WANT TO CONTROL I
ALSO WANT TO REITERATE SEVERAL
POINTS THAT OTHER PEOPLE HAVE
MADE THERE'S BEEN A LOT OF GOOD
POINTS MADE IF YOU WANT TO
CONTROL WEIGHT HEIGHT YOU'RE NOT
GOING TO GET GOOD INFORMATION
FROM THE CQC OR THEIR
CONSULTANTS. THEY ALL HELP
CONFIDENTIAL- S. IT WAS SAID THE
EACH IS THE PREFERRED CONSULT
FOR THE C. CARE CLIENTS INCLUDE
. STOCK BROUGHT IN SO CAL EDISON
. HOW CONTRA OF INTEREST OKAY-
THE MOST OF THE OTHER GROUPS CAN
YOU TELL SO BROUGH SOLAR
COALITION TAKE MONEY FROM
UTILITY BILLS BEEN REPORTED ON
BY THE LA TIMES AND OTHER NEWS
OUTLETS WE WILL BE. REPORT PETER
IS A CONTRA. YOU UNION A
CONTRACT COOLEY OF OBLIGATED TO
DEFEND PG&E FROM COMPETITIVE
CHALLENGES LIKE ROOFTOP SOLAR
PLEASE LOOK AT THEIR CONTRACT OF
PG&E GO OBVIOUS ON THIS ISSUE
WITH THE CPUC COMMISSIONER JUST
A FEW YEARS AGO WHY ISN'T THIS
ILLEGAL THANK YOU SIR THAT WAS
AT ALL I HAVE IS THAT- LONG
TENTACLES GOT NEXT NEXT CALLER.
SEVENTY EIGHT OF THE FOUR.
PLEASE PROCEED YOU'RE RIGHT YES
SIR YES CAN YOU HEAR ME. ALL
RIGHT SO I'M ALAN MARLER MARLING
WITH THE SUNRISE MOVEMENT AND-
CAN YOU CONSTITUENTS- ASSEMBLY
MEMBER BAR CON. OKAY IF YOU KNOW
MISS WHY PG&E IS INCREASING RATE
THE CRIMINAL COMPANY IS SO
GREEDY WITH CELL ALL CALIFORNIA
AND SENATE ON FIRE IF IT MEANT
ONE MORE QUARTER OF PROFITS. NOW
IT'S FORCING US TO PEOPLE ACROSS
THE TENEMENTS AND ANOTHER SECOND
DRIVER ACOSTA IS LONG DISTANCE
CAROLINE. THE FUTURE IS IN MICRO
GRIDS OF SOLAR AND. LOCAL IN
WINDFARMS. NOW I CAN BELIEVE
I'VE HEARD SAY SHE ON MEASURES
ARE BAKER IN EVERYONE ELSE
PARROTED THE INDUSTRY TALKING
POINTS ACCUSING. SOLAR BUT BEING
THE PROBLEM AMIDST A CLIMATE
TECH POCKET. THE PROBLEM IS.
THAT IT'S AFFORDABLE ENOUGH FOR
EVERYONE AND EVERYONE SHOULD GET
THE. TOP SELLER YOU KNOW. GIVEN
RENTERS IF YOU WANT TO REDUCE.
AND CALIFORNIA FROM BURNING
ALIVE THE KIND OF CRISIS THE
STATE YOU'RE NASSAU ANY WORLDLY
TO THE- IN THE PAST THREE THE
STEEP. THANK YOU. NINE THIRTY
SEVEN BECAUSE- FIND A LOT OF IN
YOUR OPEN. GO AHEAD. YES WE CAN
HEAR YOU VERY WELL YES WE GARY
THANK YOU HI MY NAME'S ALLERGY
TABLETS REIMAGINE POWER- THANKS
FOR THIS HEARING TODAY IT WAS
VERY INFORMATIVE I'M NOT GOINGTO REPEAT ALL OF THE COMMENTS
THAT EVERYONE ELSE THAT THEY'RE
ALL REALLY- VALID AND SHOULD BE
REALLY SERIOUSLY CONSIDERED BY
THE COMMITTEE I THINK THE LARGER
ISSUE THAT THIS IS RAIN WATER
PORTABILITY AND A LOT OF LONG
DISTANCE POWER LINES CAUSING
WILDFIRES AND BLACKOUT. IT WOULD
NEED TO RALLY JUST REVISIT THE
ENTIRE UTILITY BUSINESS MODEL WE
NEED TO UPDATE IT FOR THE TWENTY
FIRST CENTURY WE ARE STILL
OPERATING UNDER OUTDATED MODELS
AND THE REGULATORY CONTACTED
BEEN BROKEN BY THE UTILITIES
IT'S TIME FOR US TO REALLY THINK
ABOUT HOW WE MODERNIZE THE
UTILITY BUSINESS MODEL FOR THE
TWENTY FIRST CENTURY AND THAT
INCLUDES REALLY MAKING COMMUNITY
LEVEL RESOURCES LIKE MICHAEL
GRANT AND DISTRIBUTED ENERGY
RESOURCES A LARGER PART OF OUR
ENERGY FUTURE NOT JUST TRYING TO
PAY THE DESERT WITH GLASS AND
BUILD MORE OF THE COST OF THE-
WIRES THAT ARE CAUSING. PROBLEMS
THANK YOU. THANK YOU VERY NEXT
CALLER. MY TWO PLEASE CALL AHEAD. HELLO MY NAME IS TIED INTO A
LONG TIME AND ENERGY ANALYST FOR
THE PROTECT OUR COMMUNITY
FOUNDATION I PARTICIPATING
SEVERAL PROCEEDINGS OF THE
PUBLIC UTILITIES COMMISSION
INCLUDING PROVIDING EXPERT
TESTIMONY ON THE NET ENERGY
METERING PRECEDING. CHRISTMAS
DAY THE COMMISSION AND
COMMISSION STAFF COMPLETED WORK
ON A DAILY BASIS BUT BEAUTY IS
MADE UP OF PEOPLE AND
OCCASIONALLY THEY GET THINGS
WRONG JUST LIKE EVERYONE ELSE
THE PROPOSAL THAT ENERGY
METERING DECISION IS ONE SUCH
INSTANCE. THE REASON I BRING
THIS UP IS THAT FOR THE LAST
COUPLE OF YEARS THE COMMISSION
HAS BEEN PUBLISHING INFORMATION
LIKE WHAT YOU SAW TODAY IN
PRESENTATION WHERE IT SAYS THAT
MANIS THE COST OF INCREASED
COSTS. ARGAN AND ALSO. AND INTO
. IN THE NUMBER SEATING SHOULD
IMPACT COST OF THEM PROGRAM
EQUAL THE BENEFITS. THE BENEFITS
ALL CUSTOMERS. THE AVERAGE
RESIDENTIAL ROOFTOP SOLAR ARRAY
PROVIDES SIX HUNDRED DOLLARS PER
YEAR IN BENEFITS. TO THE
ELECTRICAL SYSTEM AS A WHOLE
WHEN JUST CONSIDERING A
REDUCTION IN TRANSMISSION
INFRASTRUCTURE COSTS. THE HIGH
RATE IN CALIFORNIA ARE NOT
CAUSED BY ROOFTOP SOLAR. HI
ELECTRICITY RATES RESULT FROM
THE NEEDED INFRASTRUCTURE
SPENDING THE UTILITIES CONTINUE
TO REQUEST AND THE BILLION
DOLLARS IN ANNUAL PROFITS THE
UTILITIES TAKE FROM RATE PAYERS
YEAR AFTER YEAR. THAT CONCLUDES
MY COMMENTS THANK YOU FOR
HOLDING THIS HEARING THANK YOU
VERY MUCH NEXT CALLER. MISTER
CHAIR WE HAVE EXHAUSTED THE
QUEUE. PRESSURE. WHAT WOULD YOU
LIKE ME TO REPEAT NO NO NO NO
WE'RE FINE. BUT IT OUT ARE YOU
CALLING IT A WILL WILL TAKE OF
MINE IT LOOKS LIKE THERE ISN'T
SO THANK YOU MR MODERATOR AND-
PROCEDURE WORKERS GET WHAT R. O.
Y. O. RIGHT. OKAY WELL IN ORDER
TO BUT WHEN WE HEAR ONE MORE.
PLEASE OKAY BROKE IT THANK YOU.
FIVE SIXTY THREE PLEASE GO AHEAD
. THE. SIXTY THREE DO YOU LIKE
TO MAKE A COMMENT. APPARENTLY
THAT ALL RIGHT I RARE FIFTY
THREE HAS GONE HOME THANK THANK
YOU MR MODERATOR AND WE
APPRECIATE YOU FACILITATING
THESE PUBLIC- COMMENTS WE ARE
NOW DONE THE ONE I THINK THE
PALACE FOR THEIR TESTIMONY AND
PARTICIPATION TODAY- WE HAD SOME
REALLY GOOD TO QUESTIONS AND
ANSWERS THAT WENT BACK AND
FORTH. AND AT THIS TIME WE WILL
ADJOURN THE UTILITIES AND ENERGY
INFORMATION HEARING. THIRTEEN SO
. YEAH. THANK YOU. HI GREGORY IN
THE REAL PERSON FIVE. AGAIN NEXT
WEEK. ACTUALLY MORRELL WILL
ENSURE THE HEALTH EFFECTS I JUST
WANTED TO LET YOU GUYS KNOW
YOU'RE LYING STILL OPEN OKAY.
THANK YOU. THANK YOU. B. SEVENTY
EIGHT WILL NOT BE SAID LAURA
WILL BE BACK AT THE. YEAH. TWO
HANDLES THAT THE GENERAL. OKAY.