CEC S4.2: Develop Innovative Tools and Strategies to Increase Predictability and Reliability of Wind and Solar Energy Generation. Improved forecasting of wind/solar can help make assumptions about renewables more accurate in the LTPP; this in turn will help directly create ratepayer savings; thus the CEC shall ensure this initiative is coordinated with or can inform the LTPP. CEC S5.3: Improve Science for Water Management in Power Generation: Hydropower Forecasting and Alternative Sources of Cooling Water. When investigating the technologies and strategies that may be applied and demonstrated in this space, the CEC should consider how these innovations may interact with the RA program, for example by informing how the qualifying capacity for hydropower resources should be calculated (R.11-10-023 and its successor). It should also consider whether/how they should be integrated into production cost simulation models for the RA program (ELCC modeling) and/or the LTPP proceeding (Operational Flexibility modeling, R.13-12-010). CEC S5.4: Provide Tools and Information for Regional Climate Change Adaptation Measures for the Electricity Sector If this initiative demonstrates that wind/solar availability are affected by climate change, such change in availability could get incorporated into LTPP assumptions, to the direct benefit of ratepayers; thus the CEC shall ensure that relevant results are shared with the appropriate Energy Division staff to help inform future procurement planning proceedings.
CEC EPIC Budget 80% of total EPIC budget 0.8 * $486,000,000 = $388,800,000 CEC Administrative Budget 10% of CEC EPIC Budget 0.1 * $388,800,000 = 38,880,000 CEC Share of Oversight Budget 80% of total CPUC oversight budget 0.8 * $2,430,000 = $1,944,000 CEC Program Area Budget CEC EPIC Budget – administrative and oversight budgets $388,800,000 - $38,880,000 - $1,944,000 = $347,976,000 We next adjust proposed program area budgets, preserving their proposed ratio to the total program investment budget. Program Area Proposed Budget Proposed Budget as Percent of Total Program Area Budget Reconciled Program Area Budget, Preserving the Proposed Percentage of Total Program Area Budget* Applied Research and Development $151,630,000 43.33% $150,787,611 Technology Demonstration and Deployment $145,020,000 41.44% $144,214,333 Market Facilitation $53,270,000 15.22% $52,974,055 *Rounded down to whole dollar amounts. Table 2: PG&E Reconciled 2015-2017 Budget, Unescalated Total EPIC Budget: $486,000,000 Total CPUC Oversight Budget: 0.5% of total EPIC budget 0.005 * $486,000,000 = $2,430,000 IOUs’ Portion of Total EPIC Budget: 20% of total EPIC budget 0.2 * $486,000,000 = $97,200,000 PG&E Collection Allocation 50.1% PG&E EPIC Budget 50.1% of IOU share of EPIC budget $97,200,000 * 0.501 = $48,697,200
PG&E Administrative Budget 10% of PG&E EPIC Budget $48,697,200 * 0.1 = $4,869,720 PG&E Share of Oversight Budget 10.02% of total CPUC oversight budget (50.1% of remaining 20% not paid by CEC) 0.1002 * $2,430,000 = $243,486 PG&E Program Area (TD&D) Budget PG&E EPIC Budget – administrative and oversight budgets $48,697,200 - $4,869,720 - $243,486 = $43,583,994 Table 3: SCE Reconciled 2015-2017 Budget, Unescalated Total EPIC Budget: $486,000,000 Total CPUC Oversight Budget: 0.5% of total EPIC budget 0.005 * $486,000,000 = $2,430,000 IOUs’ Portion of Total EPIC Budget: 20% of total EPIC budget 0.2 * $486,000,000 = $97,200,000 SCE Collection Allocation 41.1% SCE EPIC Budget 41.1% of IOU share of EPIC budget $97,200,000 * 0.411 = $39,949,200 SCE Administrative Budget 10% of SCE EPIC Budget $39,949,200 * 0.1 = $3,994,920 SCE Share of Oversight Budget 8.22% of total CPUC oversight budget (41.1% of remaining 20% not paid by CEC) 0.0822 * $2,430,000 = $199,746 SCE Program Area (TD&D) Budget SCE EPIC Budget – administrative and oversight budgets $39,949,200 - $3,994,920 - $199,746 = $35,754,534 Table 4: SDG&E Reconciled 2015-2017 Budget, Unescalated
Applied Research and Development $158,166,500 N/A N/A N/A $158,166,500 Technology Demonstration and Deployment $151,271,600 45,716,800 $37,504,200 $7,868,600 $242,361,200 Market Facilitation $55,566,400 N/A N/A N/A $55,566,400 Program Administration $40,782,600 $5,108,000 $4,190,400 $879,300 $50,960,300 Program Oversight (to be remitted to CPUC) $2,039,100 $255,400 $209,500 $44,900 $2,548,900 Total $407,826,200 51,080,200 $41,904,100 $8,792,800 $509,603,300* *As previously discussed in this Decision and appendix, SDG&E’s final approved budget here is 98% of its allocated share of the program budget; thus, the grand total in this table does not equate to the triennial collection amount.