Signatories to the 2018 Settlement Agreement Southern - - PowerPoint PPT Presentation

Signatoriestothe 2018SettlementAgreement

• SouthernCalifornia

Edison*

• SanDiegoGas&Electric*
• AllianceforNuclear

Responsibility

• CaliforniaLargeEnergy

ConsumersAssociation

• CaliforniaStateUniversity
• CitizensOversightDBA

Coalitionto DecommissionSan Onofre

• CoalitionofCalifornia

UtilityEmployees*

• DirectAccessCustomer

Coalition

• RuthHenricks
• OfficeofRatepayer

Advocates*

• TheUtilityReform

Network*

• Women’sEnergyMatters

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*Alsosignedthe2014SettlementAgreement.FriendsoftheEarthsignedthe2014 SettlementAgreementbutdidnotsignthe2018SettlementAgreement.

KeyTermsofthe 2018SettlementAgreement

• CessationofCollections:Utilitiesstopcollecting

SONGScostsinrateswhentheirremaininginvestment balanceis$775million—theCessationDate

– EstimatedtooccuronDecember19,2017(butdependson howtheCPUCresolvesrelatedissueinadifferent proceeding,inwhichcaseitcouldbeApril21,2018) – Utilitiesrefundtocustomersamountscollectedafterthe CessationDate

• PriorCollections:Utilitiesretainallamountscollected

beforetheCessationDate

• NuclearFuel:Utilitiesdonotrecovernuclearfuelin

ratesaftertheCessationDate,butretainallamounts receivedfromthefuturesaleoffuel

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• Mitsubishi:SONGScoownerssuedMitsubishi,thesupplierofthe

defectivesteamgenerators.Underthe2014settlement,theUtilities wouldcreditcustomerswith50%ofthenetrecoveryfromMitsubishi, afterdeductinglegalfees.Underthenewsettlement,thereisnofurther sharingofrecoveriesfromMitsubishi.

• GHG:Utilityshareholderswillcontribute$12.5milliontosupportresearch

byCSUintothedevelopmentoftechnologiestoreduce,avoid,ormitigate GHGemissionsandtointegraterenewableresourcesinruraland/or disadvantagedcommunities.

• Decommissioning:2018SettlementAgreementdoesnotaffect

decommissioningplansorcosts(whicharefundedfromaNuclear DecommissioningTrustFund).

• Otheragreements:

– SouthernCaliforniaEdisonCompanyandSanDiegoGas&ElectricCompany ShareholderAgreement(ShareholderAgreement) – AgreementtoResolveCitizensOversightInc.,etal.v.CPUC,etal.,Federal CourtLawsuits(FederalCourtAgreement) – TheShareholderAgreementandtheFederalCourtAgreementarereferenced intheproposed2018settlementagreementandareavailableontheCPUC websiteinthedocketcardforproceedingI.1210013

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Customer/ShareholderDivisionof FinancialResponsibility(%)

• Utilitiessoughttorecoverapproximately$5.5billionin

totalSONGScosts

• Nextslidegraphicallyshowsthedivisionoffinancial

responsibilitybetweenshareholdersandcustomersunder the2014and2018SettlementAgreementsasapercentage

• fthis$5.5billiontotal
• Thefirstbarshowsthe2014SettlementAgreementtaking

intoaccountvariouscreditsthatreducedcustomers’share

• Thesecondbarshowsthe2018SettlementAgreementif

adopted– theamountscollectedbytheUtilitiesunderthe 2014SettlementAgreementpriortotheCessationDate

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Comparethe2014and2018 SettlementAgreementResults

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RateImpactsofthe 2018SettlementAgreement

• SCEandSDG&Ecustomerswillnolongerpayfor

$775millioninSONGSinvestmentsthathadnot yetbeenrecovered($624forSCEand$151for SDG&E)

– SCEcustomers’portionofthattotalreductionis worthroughly$68perresidentialcustomeroverthe nextfouryears. – SDG&Ecustomers’portionisworthroughly$64per residentialcustomeroverthenextfouryears.

• SCEandSDG&Ewillprovidearefundforamounts

collectedafterCessationDate

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