individuals that the Utilities contract with to carry out decommissioning activities. Also pursuant to Pub. Util. Code § 451 all rates and charges collected by a public utility must be “just and reasonable,” and a public utility may not change any rate “except upon a showing before the commission and a finding by the commission that the new rate is justified.” (Pub. Util. Code § 454.) The Commission requires that the public utility demonstrate with admissible evidence that the costs it seeks to include in revenue requirement are reasonable and prudent. The Commission is charged with the responsibility of ensuring that all rates demanded or received by a public utility are just and reasonable. Pursuant to Pub. Util. Code § 8326, SCE (for SONGS and PVNGS) and SDG&E (for its share of SONGS), must prepare, submit, and periodically revise their DCEs: (a) Each electrical utility owning, in whole or in part, or operating a nuclear facility, located in California or elsewhere, shall provide a decommissioning cost estimate to the commission or the board for all nuclear facilities which shall include all of the following: (1) An estimate of costs of decommissioning. (2) A description of changes in regulation, technology, and economics affecting the estimate of costs. (3) A description of additions and deletions to nuclear facilities. (4) Upon request of the commission or the board, other information required by the Nuclear Regulatory Commission regarding decommissioning costs. (b) The decommissioning costs estimate study shall be periodically revised in accordance with procedures adopted by the commission or the board pursuant to Section 8327.
Units 2&3 will be set in the Nuclear Decommissioning Cost Triennial Proceedings consistent with the Milestone Framework adopted herein and attached to this decision as Appendix 1. Southern California Edison Company must file annually Forecast and Recorded Decommissioning Disbursements Tier 2 Advice Letters (AL); each such AL must show information supporting the requested disbursement tied to the Nuclear Decommissioning Cost Estimate and include expenditures and related progress toward specific major milestones in the decommissioning process consistent with the Milestone Framework and the decision adopted herein. San Diego Gas & Electric Company (SDG&E) must file annually Forecast and Recorded Decommissioning Disbursement Tier 2 Advice Letters (AL) consistent with its share of San Onofre Nuclear Generating Station 2 and 3 decommissioning costs as presented by Edison and billed to SDG&E by Edison, plus include any additional administrative costs unique to SDG&E. Each such AL must show information supporting the requested disbursements consistent with the Milestone Framework adopted herein. Southern California Edison Company (SCE) shall, consistent with this decision, in consultation with Energy Division staff and other interested parties, update its cost categorization structure for tracking expenditures as discussed herein, which includes a reasonable path to compare the decommissioning costs previously estimated to actual costs expended. SCE shall provide more detailed directions and instructions to its staff so that record keeping will directly and transparently reflect the appropriate location, and the appropriate detail, and support for Distributed activities. The revised cost categorization structure must set forth how costs will be recorded in the future, in a manner that can efficiently compare to forecasted costs included in the DCE. The revised cost categorization