SDG&E and SoCalGas
Pipeline Safety Implementation Forecasted Costs (A.17-03-021)

Background

In March 2017, SDG&E and SoCalGas submitted an application to the CPUC requesting approval for forecasted costs of proposed work to improve the safety and reliability of their gas system, as required by the CPUC’s 2014 Decision. The purpose of this proceeding is for the CPUC to determine the reasonableness of those expenditures.

In June 2017, SDG&E and SoCalGas submitted an Amended Application, which provided revisions of application attachments, and requested approximately $197.5 million in capital and $57 million in operations and maintenance expenditures, for the completed projects in the areas of: 

  • Pipeline Replacement
  • Hydrotesting
  • Valves
  • Project Analysis  
  • Other Associated Activities

Of these proposed expenditures, approximately $146.1 million is requested for Pipeline Replacement, and $67.7 million is requested for Hydrotesting.

SDG&E and SoCalGas estimate that CPUC approval of their Application would increase the average household monthly customer bill by:

  • SDG&E:      $0.12 (0.3%) 
  • SoCalGas:  $0.19 (0.5%) 

 

ORA Position

ORA conducted a statistical analysis of historical pipeline replacement and hydrotest project cost data to develop its recommended cost thresholds for SCG/SDG&E’s proposed pipeline replacement and hydrotest projects.    

ORA recommends a cost forecast of approximately $118.6 million for pipeline replacement, and $45 million for hydrotesting, representing an approximately 29% and 34% reduction from SCG/SDG&E’s requested amount for replacement and hydrotest projects, respectively.

 

Schedule

Event

Date 

Intervenor Opening Testimony

December 11, 2017

Concurrent Rebuttal Testimony

January 22, 2018

Evidentiary Hearings

February 26 - March 2, 2018

Opening Briefs

March 26, 2018

Reply Briefs

April 16, 2018


 

Proceeding Docket  

See the CPUC’s Proceeding docket for a record of the proceeding. 

Visit the docket to subscribe to updates to this proceeding. 

 

Other Resources

SDG&E and SoCalGas Testimony and Workpapers   

  

ORA Testimony, Workpapers, and Supporting Attachments

ORA exhibit  

number 

Public/confidential/highly  

confidential 

Recipients 

 

Redacted data 

 

ORA-01 Public All service list None
ORA-02 Public All service list None
ORA-03 Public All service list None
ORA-04 Public All service list None
ORA-05 Public All service list None

ORA-06-C

 

Confidential

 

Sempra counsel,

Commission staff

Confidential PG&E

data

ORA-06-HC

 

 

Highly confidential

 

Commission staff

only

 

None (includes

confidential PG&E

data)

ORA-07 Public All service list None
ORA-08 Public All service list None

ORA-09-C

 

Confidential

 

Sempra counsel,

Commission staff

Confidential PG&E

data

ORA-09-HC

 

 

Highly confidential

 

Commission staff

only

 

None (includes

confidential PG&E

data)