Long Term
Procurement Planning: 2014 - 2024
The
Long-Term Procurement Planning (LTPP) proceeding is an umbrella proceeding where
the CPUC considers all of its electric resource procurement policies and
programs in an integrated manner. Every two years the CPUC assesses the system
and local resource needs of California’s three largest investor owned electric
utilities – Edison, PG&E, and SDG&E – over a ten-year
horizon. The CPUC also determines what changes should be made to current
procurement rules and examines the utilities’ proposed procurement plans.
Pursuant to Assembly Bill 57 (Public
Utilities Code Section 454.5), the CPUC establishes upfront standards for
the utilities’ procurement activities and cost recovery by reviewing and
approving their procurement plans prior to implementation. This process
obviates the need for the CPUC to conduct after-the-fact reasonableness reviews
for procurement transactions that are in compliance with the approved
procurement plans.
In
December 2013, the CPUC issued a Rulemaking to
initiate the 2014 Long-Term Procurement Planning (LTPP) proceeding.
The
CPUC uses findings from previous planning cycles and will utilize 2012
LTPP findings in its 2014 LTPP proceeding.
The
2014 LTPP cycle will be divided into two phases to examine system reliability
needs and procurement rules and utility procurement plans.
Phase 1a: Studies for System and Flexible Resource Needs
In
2014 the CAISO, Edison, and Public Advocates Office (the Office) will undertake modeling studies using the
CPUC’s Standard Planning Assumptions from the February 27, 2014 Ruling to determine overall system and flexibility resource needs, i.e., new
resources needed for the state’s entire electric demand, but not how those
needs would be filled.
Phase 1b: Residual System Need
In
2015 the CPUC will utilize the Phase 1a modeling results to potentially
authorize specific resources (generation, demand-side programs, etc.) to fill
any residual system need including authorized transmission and
transmission-related infrastructure from the CAISO’s
Transmission Planning Process which may offset some need
determined in Phase 1a.
Phase
2 will also consist of a review of the utilities’ individual procurement plans
that project the needs their bundled customers, i.e., those customers who
receive electricity service from the primary utility serving a given local area,
such as PG&E, Edison, or SDG&E.
Procurement Rules
This
phase will consider what changes should be made to current procurement rules and
what new procurement rules should be adopted.
Proceeding Status
See
the Proceeding
docket.
Other Resources
The Office’s
February 3, 2014 Comments
on the scope of the 2014 LTPP.
The Office’s
January 8, 2014 Comments
responding to CPUC questions on Planning Assumptions.
CPUC
Long-Term Procurement Planning Webpage
PUBLIC ADVOCATES OFFICE LTPP ARCHIVES
The Office's 2012 Long-Term Procurement Planning webpage
CPUC
LTPP Archives
CPUC
2014 Webpage