SDG&E Advice Letter 3836-E justifies SDG&E’s methodology for determining how much of its PCIA-eligible RA is reserved in its Bundled Procurement Plan. The AL indicates that SDG&E maintains no RA Reserves given its expectation of significant near-term load departure and that all excess RA is made available to the market regardless of PCIA eligibility.
D.21-05-030 requires each IOU to file a Tier 2 advice letter to justify its methodology for determining how much of its PCIA-eligible RA is reserved as part of its BPP.
SDG&E defines “RA Reserves” as RA capacity that is not required to meet its annual and/or monthly RA compliance requirements but is not offered for sale. SDG&E’s AL indicates that it is SDG&E’s practice to maintain no RA Reserves given its expectation of significant near-term load departure.
The AL indicates that, since 2020, SDG&E has sought to make all RA in its portfolio not required for RA program compliance (“Excess RA”) available to the market regardless of its PCIA eligibility. SDG&E submits that this approach benefits bundled service customers by reducing overall RA costs while still enabling compliance with RA requirements.
SDG&E reports the amount of Excess RA determined to be available for sale through competitive solicitation in Attachment E of its Quarterly Compliance Report (“QCR”).
