OIR ON THE COMMISSION’S OWN MOTION TO ADOPT NEW SAFETY AND RELIABILITY REGULATIONS FOR NATURAL GAS TRANSMISSION AND DISTRIBUTION PIPELINES AND RELATED RATEMAKING MECHANISMS (R.11-02-019)

(2nd DATA REQUEST FROM SCGC)

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2.1.

SoCalGasBBT
53 / 1031 / 5012
85 / 1180 / 5015
90 / 1181 / 5034
103 / 1185 / 5036
119 / 1186 / 5041
127 / 1187 / 5043
169 / 1192 / 6900
203 / 1201 / 6901
225 / 1215 / 6904
235 / 1216 / 6905
245 / 1220 / 6906
247 / 1221 / 6907
293 / 1229 / 6916
294 / 2005 / 7039
300 / 2051 / 7053
303 / 3006 / 7200
309 / 3008 / 8100
335 / 3009 / 8105
963 / 4000 / 8106
1004 / 4002 / 8107
1005 / 5000 / 8108
1027 / 5002 / 8109
1028 / 5010 / 8110
1030

UPDATED, CORRECTED TABLE


QUESTION 2.1:

Please provide a breakdown in dollars between the backbone and local transmission systems (as defined in the tables below) of the revenue requirement associated with all pipeline safety enhancement work proposed in this application to take place during Phase 1A under the Proposed Case.

QUESTION 2.2:

What portion of the revenue requirement in the Phase 1A, Base Case pipeline safety enhancement work falls within backbone transmission, local transmission, distribution, and storage facilities using the FERC’s definition of distribution?

QUESTION 2.3:

What portion of the revenue requirement inthe Phase 1B, Proposed Case pipeline safety enhancement work falls within backbone transmission, local transmission, distribution, and storage facilities using the FERC’s definition of distribution?

QUESTION 2.4:

What portion of the revenue requirement inthe Phase 1B, Base Case pipeline safety enhancement work falls within backbone transmission, local transmission, distribution, and storage facilities using the FERC’s definition of distribution?

RESPONSE 2.1-2.4:

Pursuant to Rule 10.1 of the Rules of Practice and Procedure of the California Public Utilities Commission, SoCalGas and SDG&E object to this request on the grounds that the burden, expense or intrusiveness of the request clearly outweighs the likelihood that the information sought will lead to the discovery of admissible evidence.

SoCalGas and SDG&E apply FERC’s definition of storage, distribution and transmission for utility accounting and ratemaking purposes. Therefore, SoCalGas and SDG&E can readily provide a response to these questions with respect to distribution, storage and transmission as a whole. FERC does not, however, distinguish between backbone and local transmission—these are CPUC distinctions on the SoCalGas and PG&E systems. Furthermore, there is no officially recognized CPUC classification of SoCalGas’ pipelines into these two categories because the $135 million allocated to backbone is the result of a black box settlement in the Phase 2 BCAP. In the upcoming TCAP, SoCalGas will propose the classification of gas pipelines into local or backbone facility categories using the table of line numbers at the beginning of this data request. SDG&E’s entire transmission system is backbone.

Answering SCGC’s request for the segregation of SoCalGas’ backbone and local transmission would be unduly burdensome because it would require several weeks of effort to model the revenue requirement using the above definition. The revenue requirement set forth in the filing was developed on a FERC account basis.

Subject to, and without waiving, the foregoing objection SoCalGas and SDG&E respond as follows:

Estimates of the revenue requirement by phase of storage, distribution, and transmission are provided in the table below.

One should note that due to assumptions made in our revenue requirement model, modeling the cases in phases yields slightly different AFUDC results and thus creates minor differences in estimated revenue requirement; therefore, the revenue requirement provided herein does not exactly tie to the revenue requirement filed.

Table 2.1: Revenue Requirements by Phase

(in millions of dollars, nominal)


QUESTION 2.5:

Please identify by pipeline number the pipelines that are currently designated as requiring or potentially requiring replacement during Phase 1 A under the Proposed Case.

RESPONSE 2.5:

The SoCalGas pipelines designated as requiring replacement during Phase 1A of the Proposed Case can be found in Appendices IX-1-A and IX-1-B of the workpapers.

The SDG&E pipelines designated as requiring replacement during Phase 1A of the Proposed Case can be found in Appendices IX-1-C and IX-1-D of the workpapers. The replacement effort for line 1600 will begin during Phase 1A but is not estimated to be completed until Phase 1B.

QUESTION 2.6:

Please identify by pipeline number the pipelines that are designated as currently designated as requiring or potentially requiring replacement during Phase 1 A under the Base Case.

RESPONSE 2.6:

The Phase 1A Pipe Replacement scope for SoCalGas is the same for the Proposed Case and the Base Case. As such, the pipelines identified for replacement in the Base Case can be found in Appendices IX-1-A and IX-1-B of the workpapers.

The Phase 1A Pipe Replacement scope for SDG&E is the same for the Proposed Case and the Base Case. As such, the pipelines identified for replacement in the Base Case can be found in Appendices IX-1-C and IX-1-D of the workpapers.The replacement effort for line 1600 will begin during Phase 1A but is not estimated to be completed until Phase 1B.

QUESTION 2.7:

Please identify by pipeline number the pipelines that are designated as currently designated as requiring or potentially requiring replacement during Phase 1 B under the Proposed Case.

RESPONSE 2.7:

The SoCalGas pipelines designated as requiring replacement during Phase 1B of the Proposed Case can be found in the workpapers supporting Chapter IX of the testimony on pages WP-IX-1-51, WP-IX-1-55, and WP-IX-1-56.

The only pipe replacement effort for SDG&E in Phase 1B of the Proposed Case is line 1600, which will begin in Phase 1A but is not estimated to be completed until Phase 1B.

QUESTION 2.8:

Please identify by pipeline number the pipelines that are currently designated as requiring or potentially requiring replacement during Phase 1 B under the Base Case.

RESPONSE 2.8:

SoCalGas does not identify any pipelines requiring replacement in Phase 1B of the Base Case.

The only pipe replacement effort for SDG&E in Phase 1B of the Base Case is line 1600, which will begin in Phase 1A but is not estimated to be completed until Phase 1B.

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