Volume I. Part I - California Public Utilities Commission
Volume I. Part I - California Public Utilities Commission
Volume I. Part I - California Public Utilities Commission
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PACIFIC GAS AND ELECTRIC COMPANY<br />
VOLUME 1 – 2006 LONG-TERM PROCUREMENT PLAN<br />
SECTION II – BACKGROUND INFORMATION ON UTILITY PROCUREMENT<br />
TABLE OF CONTENTS<br />
II. BACKGROUND INFORMATION ON UTILITY PROCUREMENT ........ II-1<br />
A. Introduction to Previous Procurement Plans and Procurement<br />
Plan Approvals..................................................................................... II-1<br />
1. Transitional Procurement Authority for 2002 .......................... II-1<br />
2. The 2003 Short-Term Procurement Plan.................................. II-2<br />
3. The 2004 Short-Term Procurement Plan.................................. II-3<br />
4. Extension of the 2004 Short-Term Procurement Plan Into<br />
2005 and Beyond...................................................................... II-4<br />
5. The 2004 Long-Term Procurement Plan.................................. II-5<br />
6. Resource Adequacy Product Authority.................................... II-6<br />
7. Gas Hedging Authority............................................................. II-6<br />
B. Introduction to Procurement Policy and State Law............................. II-7<br />
1. <strong>California</strong>’s Policy Framework for Energy Procurement......... II-7<br />
2. The <strong>Commission</strong>’s Implementation of Its Procurement<br />
Authority................................................................................... II-8<br />
3. Recent Policies and Market Changes Impacting PG&E’s<br />
Long-Term Procurement Plans................................................. II-9<br />
a. Resource Adequacy ....................................................... II-9<br />
b. Reliability Must-Run ................................................... II-10<br />
c. Market Redesign and Technology Upgrade................ II-10<br />
d. Community Choice Aggregation................................. II-11<br />
e. CAISO 95% Scheduling Requirement<br />
(Amendment No. 72)................................................... II-12<br />
f. <strong>Commission</strong> Greenhouse Gas Policies and Recent<br />
Legislation ................................................................... II-12<br />
II-i
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