SoCalGas Unbundling

The CPUC published the SoCalGas unbundling order yesterday however due to Outlook problems I was unable to distribute it until today. Attached is a direct link to the order for your review. Since I'm using the website link to Outlook to send this e-mail, please let me know if you can't open the attachment and I will send it again when Outlook is back up in Omaha. The order is about 163 pages in length so if you don't have a good copier and want a hardcopy please give either myself or Blair a call and we will provide it for you.

Significantly for Transwestern is the section on Intrastate Transmission Capacity and the Open Season process. This can be found on pages 41-58 with the Open Season discussion on pages 44 and 45. On pages 126 and 140, the commission directs SoCal to include an additional 375mm/d of backbone (including receipt point) capacity in the open season process. This is important because it includes the 50mm/d at Needles (per SoCal's exhibits in the system adequacy docket). In the Comprehensive Settlement, Appendix B, North Needles is listed as having capacity of 750mm/d of Primary Access Rights from Transwestern. It would be my recommendation that we need to encourage SoCal to revise this Appendix B as directed by the Commission to include the 50mm/d as capacity with Primary Access Rights from Transwestern as they had previously indicated in the Systems Adequacy Proceeding.

SoCalGas was directed to file an Advice Letter to establish tariff revision to implement this order within 15 business days of the effective date (December 11,2001). Assuming two holidays for Christmas and New Years Day, this would make their filing date January 3, 2002. If we all agree that we need to encourage SoCal to add the 50mm/d as part of the open season process, then this needs to be done prior to their Jan. 3rd filing. Steve/Lorraine, please let me know if I can be of assistance. Following their filing, interested parties have 20 days to file a protest and/or comments on an Advice Letter filing (January 23, 2002).

Please review the order or pertinent portions and advise of any comments you may have for our response. I'll be in the office this week and on vacation between Christmas and New Years Day however I can be reached at home anytime. My home number is (402) 330-3860. gh