B. Substantive Proposed Changes to the Individual IOU RAM Pro Forma PPAs SCE, PG&E, and SDG&E requested substantive changes to their RAM pro forma agreements for the RAM V Auctions. Where the IOUs request approval of the same or similar modification, the issues are addressed together. Table 2 below is a summary of the IOUs’ proposed substantive changes to their RAM pro forma agreements. Table 2: Summary of Proposed Substantive Changes to IOUs’ RAM Pro Forma PPAs Subject of PPA Change Relevant RAM Pro Forma PPA Section Proposed Revision to RAM Pro Forma PPA Source of Change Disposition (1) Safety SCE: Section 3.11(e) SDG&E: Section3.5(a) Addition of Section 3.11(e) to require that prior to commencement of any construction activity on the project site, the seller must provide a certified written plan for the safe construction and operation of the generation facility. Modification to further include safety as a general element of operation and require reporting of any accidents SCE advice letter 3003-E (Section A.1.) SDG&E advice letter 2580-E (Section III.1) Approve (2) Network Upgrade Cost Cap and Seller’s Right” SCE: Sections 2.02(b)(5), 2.03(a)(ii), 3.17(a), and Exhibit A SDG&E: Section2.3(b) Modification and addition of Sections 2.02(b)(5), 2.03(a)(ii), 3.17(a) to provide a termination right for SCE if estimated network upgrade costs exceed the Network Upgrade Cost Cap and provide the seller an option to “buy down” the costs above the Network Upgrade Cost Cap. Addition of Section 2.3b and related definitions to provide for a condition precedent regarding the project’s electrical interconnection date and cost. SCE advice letter 3003-E (Section A.2.) SDG&E advice letter 2580-E (Section III.2) Approve (3) Curtailment SCE: Sections 3.03, 3.12(g), 4.01, and SCE: Deletion of Section 4.02 and addition of Sections 3.03, 3.12(g), SCE advice letter 3003-E (Section A.3.) Approve
Exhibit A PG&E: Section 3.1(p) 4.01 to simplify and streamline curtailment provisions regarding when SCE will and will not pay for curtailed energy. PG&E: Deletion of 100 hour cap per year on buyer curtailment and replace with unlimited amount PG&E advice letter (Section III.A.a) (4) Resource Adequacy and Full Capacity Deliverability Status SCE Sections 3.02, 6.01(b)(xxi), and Exhibit A PG&E Section 3.4(a)(i)(B) and Protocol Section VI Modification of Sections 3.02 and 6.01(b)(xxi) such that payments to Full Capacity Deliverability Status (FCDS) projects will be calculated using the FCDS time of delivery (TOD) factors regardless of whether the seller is actually able to provide any RA benefits. Modification of requirement to achieve FCDS by December 31, 2021 to December 31, 2024 for FCDS projects SCE advice letter 3003-E (Section A.4.) PG&E advice letter 4365-E (Section III.A.b) Approve (5) Shared Facilities SCE: Sections 3.05, 3.11(c)(xxiv), 3.30, 8.04(e)-(f), 10.18, and Exhibit A PG&E: Section 3.6 Addition of Sections 3.05, 3.11(c)(xxiv), 3.30, 8.04(e)-(f), 10.18, and Exhibit A to integrate provisions related to shared interconnection facilities that were previously part of a separate consent agreement. Addition of requirement that Sellers provide separate high-side metering and separate step-up transformers for each project. SCE advice letter 3003-E (Section A.5.) PG&E AL (Section III.A.d) Approve (6) In-Service and Test Energy Date Provisions Sections 3.9(c)(i) and 4.4 Addition of provisions limiting test energy to no sooner than nine months prior to Guaranteed COD (GCOD) and COD no sooner than six months prior to GCOD SDG&E advice letter 2580-E (Section III.3) Approve
Permitting Sections 2.01(c)(ii)-(v) (previously Sections 2.02(c)(ii)-(v)) and 3.20 Simplified permitting requirement language in 2.01(c)(ii)-(v) (previously Sections 2.02(c)(ii)-(v)) and moved certain CEC Certification provisions to Section 3.20. SCE advice letter 3003-E (Section A.6): Approve Biomethane Standard Term and Condition Section 3.01(f) Added standard contract language regarding biomethane projects in Section 3.01(f) pursuant to SCE advice letter 3003-E (Section A.6): Approve Monitoring Equipment Section 3.08(f) and Exhibit P-2b Revised Section 3.08(f) and Exhibit P-2b, Meteorological Stations and Reporting Requirements, to add more detailed requirements for solar photovoltaic facilities and to allow for sellers to install fewer pieces of monitoring equipment. SCE advice letter 3003-E (Section A.6): Approve Notice Requirement Section 3.11(d) Clarified that the notice requirement in Section 3.11(d) does not give sellers the right to make material changes to the Generating Facility without SCE’s consent. SCE advice letter 3003-E (Section A.6): Approve Supplier Diversity Section 3.17(i) Added further requirements and SCE rights to Section 3.17(i) on seller’s reporting requirements for women, minority and disabled veteran business enterprise (“WMDVBE”) spend. SCE advice letter 3003-E (Section A.6): Approve Confidentiality Section 10.10 Clarified details of the parties’ confidentiality obligations in Section 10.10. SCE advice letter 3003-E (Section A.6): Approve Insurance Requirements Section 10.11 Updated insurance requirements in Section 10.11. SCE advice letter 3003-E (Section A.6): Approve Dispute Resolution and Sections 12.01 and 12.03 Clarified details of dispute resolution and arbitration SCE advice letter 3003-E Approve
Arbitration procedures and specified a time frame in which a party must commence a dispute and institute arbitration in Sections 12.01 and 12.03. (Section A.6): Definitions Exhibit A Revised, deleted or added certain defined terms, including: “Capacity Attributes,” “Demonstrated Contract Capacity,” and “Inverter Block Unit Capacity” SCE advice letter 3003-E (Section A.6): Approve Product Replacement Damage Exhibit F Added upper and lower limits to the Product Replacement Damage Amount in Exhibit F. SCE advice letter 3003-E (Section A.6): Approve Time of Delivery Periods and Factors Exhibit J Updated Product Payment Allocation Factors for Time of Delivery Periods in Exhibit J. SCE advice letter 3003-E (Section A.6): Approve Summary of SCE’s Proposed Non-Substantive Changes to its RAM RFO Protocol Subject of Change Proposed Revision Source of Change Disposition Requirements for Existing or Repowered Projects Modification of Section 2.03 to incorporate Section 3.04 for one section regarding requirements for existing and repowered projects SCE advice letter 3003-E (Section B.2) Approve Product Payment Allocation Factors Modification of Attachment B to update Product Payment Allocation Factors SCE advice letter 3003-E (Section B.2)