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Enron Mail |
To: OII Agreement Settling Parties
Attached for your review and comment is a draft advice filing in which PG&E proposes to reduce the in-kind shrinkage allowances for on-system transmission and distribution service to the level proposed in PG&E's 2000 Biennial Cost Allocation Proceeding (BCAP). PG&E's current adopted shrinkage allowances require customers to deliver more in-kind shrinkage gas than is actually needed on PG&E's pipeline system. Reducing shrinkage allowances to the proposed levels in PG&E's 2000 BCAP will more accurately reflect currently projected customer usage. PG&E is requesting your review and support of this adjustment to shrinkage allowances. October 1, 2000, is the target implementation date. PG&E is continuing to study ways to better manage shrinkage on its system. For this purpose, PG&E is examining the mechanisms used by other pipelines. If the Company determines that further proposals should be implemented, such as a true-up mechanism to adjust for the over- and under-collection of shrinkage that has occurred since the beginning of the Gas Accord, or which may occur in the future, it may file for such proposals through a separate mechanism. As with this filing, PG&E will seek your input prior to making any official advice filing. Please provide any comments on the attached no later than Friday, July 7, 2000, to Ms. Cynthia Crane by e-mail at CMC5@PGE.com or in writing to PG&E, Mail Code N15A, P.O. Box 770000, San Francisco, CA 94177. If comments are favorable, PG&E will file this advice filing the third week of July with a proposed implementation date of October 1, 2000. Please contact Ms. Cynthia Crane at (415) 973-5809 if you have any questions. Sincerely, Dan Thomas Manager, California Gas Transmission <<ALShrinkage_LTR<< - ALShrinkage_LTR.doc
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