Utility Files Five-Year Proposal
SAN DIEGO, Dec. 20, 2002 - San Diego Gas & Electric (SDG&E) today filed with the California Public Utilities Commission (CPUC) for review and approval of its Cost-of-Service case, a detailed projection of its expenses and revenue requirements for 2004 and a formula for 2005-2008.
"If approved, our filings will ensure that we are able to maintain exceptional service to our customers, while providing for their future energy needs," said Edwin A. Guiles, chairman and chief executive officer of Sempra Energy Utilities - SDG&E and Southern California Gas Co. "Our goal is to continue to provide safe, reliable energy, delivered to our customers at their homes and businesses."
The extensive filing outlines projected maintenance and operating costs, including planning for customers' future needs. It does not include the commodity cost of electricity or natural gas consumed by customers, or expenses related to programs such as low-income assistance or energy-efficiency rebates and information.
The net effect on customer bills will be $2.63 for the typical monthly residential electric bill for 500 kilowatt-hours, and $1.95 a month for the typical winter residential natural gas customer.
In its filing, SDG&E noted that it will be strengthening its role as a full-service provider in the aftermath of California's energy crisis. The utility has included the costs of an expanded energy procurement group as it reassumes its role of acquiring energy for its customers.
"Since the energy crisis, many of our customers have indicated they still see us in our traditional role, and they want us to provide them with a full range of services, including energy procurement and delivery, energy-efficiency services, and planning options," Guiles said. "Today's filing demonstrates SDG&E's determination to meet those needs by being able to offer full-service options to those customers who desire them.
"At the same time, the energy marketplace has evolved, and SDG&E needs to adapt to the emerging needs of San Diego," Guiles added.
To accommodate those needs, SDG&E is proposing a Community Energy Project that will integrate emerging, environmentally-responsive distributed generation resources - such as solar panels - with advanced energy-efficiency technologies into construction projects being built today. "SDG&E recognizes that its role is not only to provide energy but also to provide guidance on the conservation and environmentally sensitive use and production of that energy," Guiles said.
SDG&E also said it was requesting the funding to:
- Provide ongoing maintenance and replacement of aging infrastructure. More than 50 percent of SDG&E's electrical system is underground, much of it installed during rapid growth periods in the 1960s and 1970s. SDG&E is proposing to maintain its aggressive maintenance and replacement program from 2004 through 2008 so that customers will continue to receive safe, reliable energy service, while ensuring that all equipment is used in an efficient manner.
- Provide solutions to meet changing customer needs. Because customers need and desire more information to make sound energy decisions, SDG&E is proposing to expand its communication services, including electronic services, and its community outreach to ensure that all customers receive needed information about their energy services, including necessary safety and billing data and energy efficiency.
- To continue to replenish its maturing work force. SDG&E, which has stepped up its recruitment program over the last several years, anticipates that approximately 30 percent of its work force will be at retirement age within the next three to five years. "We want to use our highly skilled current work force to train the next generation of employees so that they, too, can meet customer needs safely and efficiently," Guiles said.
Sempra Energy Utilities is the umbrella for Sempra Energy's regulated California utilities - SDG&E and The Gas Company. Providing safe and reliable energy, Sempra Energy Utilities is a leader in developing energy solutions for a competitive regional economy. SDG&E is a regulated public utility that provides service to 3 million consumers through 1.3 million electric meters and 775,000 natural gas meters in San Diego and southern Orange counties. Exceptional customer service is a priority of Sempra Energy Utilities as it seeks to enhance the region's quality of life. Sempra Energy (NYSE: SRE), based in San Diego, is a Fortune 500 energy services holding company.
