October 26, 2017 Advice Letter 3665-E

Transcription

1 STATE OF CALIFORNIA PUBLIC UTILITIES COMMISSION SAN FRANCISCO, CA Edmund G. Brown Jr., Governor October 26, 2017 Advice Letter 3665-E Russell G. Worden Director, Regulatory Operations Southern California Edison Company 8631 Rush Street Rosemead, CA Subject: 2018 Authorized Cost of Capital in Compliance with D Dear Mr. Worden: Advice Letter 3665-E is effective as of January 1, Sincerely, Edward Randolph Director, Energy Division

2 Russell G. Worden Managing Director, State Regulatory Operations September 29, 2017 ADVICE 3665-E (U 338-E) PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA ENERGY DIVISION SUBJECT: 2018 Authorized Cost of Capital in Compliance with Decision PURPOSE In compliance with California Public Utilities Commission (Commission) Decision (D.) , Southern California Edison Company (SCE) respectfully submits the following changes to its tariff schedules. The revised tariff sheets are listed on Attachment A and are attached hereto. BACKGROUND On July 17, 2017, the Commission issued D granting the Joint Petition for Modification by Pacific Gas and Electric Company, San Diego Gas & Electric Company, SCE, Southern California Gas Company, the Office of Ratepayer Advocates, and The Utility Reform Network. Specifically, the Commission in D : Extends the date for each utility s next Cost of Capital application filing from April 22, 2017 to April 22, 2019, Reduces the authorized return on equity for each utility as specified in the decision (SCE s 2018 Return on Equity is set at 10.30%), Resets the authorized costs of long-term debt and preferred stock beginning in test year 2018 for each utility, Suspends the cost of capital mechanism (CCM) in 2017 but can operate in 2018 to potentially change the adopted cost of capital effective for 2019, and Requires testimony on specified factual questions to be provided in the utilities next round of cost of capital filings. As part of the Decision, the Commission also ordered the utilities to submit a Tier 2 advice letter by September 29, 2017 to: (1) reset their authorized cost of long-term debt and cost of preferred stock for 2018, and (2) to consolidate the respective revenue P.O. Box Rush Street Rosemead, California (626) Fax (626)

3 ADVICE 3665-E (U 338-E) September 29, 2017 requirement changes authorized in D with revenue changes from any other relevant applications which will be effective on January 1, As established in D , the long-term debt rates are to reflect actual August 2017 month-end embedded costs and forecasted interest rates for variable long-term debt and new long-term debt expected to be issued in the remainder of 2017 and all of The preferred stock rates are to reflect actual August 2017 month-end embedded costs and forecasted interest rates for new preferred stock expected to be issued in the remainder of 2017 and all of SCE s 2018 COST OF LONG-TERM DEBT The cost of long-term debt for 2018 is forecasted to be 4.98%. As of August 31, 2017, the actual embedded cost of long-term debt is 4.94%. SCE issued and retired $300 million of long-term debt in September SCE expects to retire $432 million and issue $2.4 billion of long-term debt in The actual embedded cost of long-term debt as of August 31, 2017 is calculated by dividing the sum of annual interest expense and annual amortization expense by total net proceeds. Amortization expenses include debt discounts, debt issuance costs, and loss on reacquired debt. Net proceeds is equal to the total face value of all outstanding debt, less the unamortized balance of debt discounts, the unamortized balance of debt issuance costs, and the unamortized balance of reacquired debt. The 2018 forecasted cost of long-term debt takes the August 31, 2017 recorded balance, adds in new debt issuances, and subtracts debt maturities for the remainder of 2017 and For forecasted issuances, the interest rate, discount or premium, and issuance costs are estimated based on the projected 30-year Treasury rate, plus projected spreads over the 30-year Treasury rate to estimate the interest rate and expenses. Attachment B provides the calculations in support of the average embedded cost of debt for SCE s 2018 COST OF PREFERRED STOCK The cost of preferred stock for 2018 is forecasted to be 5.82%. As of August 31, 2017, the actual embedded cost of preferred stock is 5.77%. SCE does not expect to issue any preferred stock in remainder of SCE expects to issue $300 million of preferred stock in The actual embedded cost of preferred stock as of August 31, 2017 is calculated by dividing the sum of annual dividends and annual amortization expense by total net 1 D , Appendix A, Sections (a) and (h).

4 ADVICE 3665-E (U 338-E) September 29, 2017 proceeds. Amortization expenses include issuance costs, and loss from purchases and tender offers. Net proceeds are equal to the face value of all outstanding preferred stock, less the unamortized balance of issuance costs, and the unamortized balance of net loss from purchases and tender offers. The 2018 forecasted cost of preferred stock takes the August 31, 2017 recorded balance, and adds in new preferred stock issuances for the remainder of 2017 and SCE does not expect to redeem any preferred stock series in the referenced time period. For forecasted issuances, the interest rate and issuance costs are estimated based on the projected 30-year Treasury rate, plus projected spreads over the 30-year Treasury rate to estimate the interest rate and expenses. Attachment C provides the calculations in support of the average embedded cost of preferred stock for SCE s 2018 AUTHORIZED RETURN ON RATE BASE The return on rate base is 7.61%, as calculated in the table below. Capital Ratio Cost Factor Weighted Cost Long-term Debt 43% 4.98% 2.14% Preferred Stock 9% 5.82% 0.52% Common Equity 48% 10.30% 4.94% Return on Rate Base 7.61% The capital structure remains as 43% long-term debt, 9% preferred stock, and 48% common equity per D Ordering Paragraph 1. The cost factors for long-term debt and preferred stock are calculated as discussed in the sections above. The weighted cost of each capital structure component is calculated by multiplying its capital ratio and cost factor. The return on rate base is the sum of the weighted cost of long-term debt, preferred stock, and common equity REVENUE REQUIREMENT CHANGES AND RATE LEVEL CHANGES In D , the Commission directs the utilities to each consolidate their respective revenue requirement changes being authorized in this decision with revenue changes from any other relevant applications to become effective January 1, The 2018 Authorized Cost of Capital as set forth in this advice filing impacts the following revenue requirements that are reflected in rates on a forecast basis: 2 2 In addition, the 2018 Authorized Cost of Capital (i.e. RORB) will be reflected in the recorded operation of SCE s balancing and memorandum accounts that contain capital-related revenue requirements (e.g., Mobile Home Park Master Meter Balancing Account). The

5 ADVICE 3665-E (U 338-E) September 29, General Rate Case (GRC) Application (A.) : it is unlikely a Commission decision on this application will be issued in SCE anticipates establishing a GRC Revenue Requirement Memorandum Account (GRC RRMA) in the fourth quarter of this year that will track the revenue requirement change that results from the Commission s final decision in the 2018 GRC proceeding from January 1, 2018 to the effective date of the final GRC decision. In addition, the GRC RRMA will incorporate the impact of the 2018 Authorized Cost of Capital applied to the 2018 GRC authorized rate base from January 1, 2018 to the effective date of the final GRC Decision. 3 Upon a final Commission decision in SCE s 2018 GRC, the balance (i.e. over- or under-collection) in the GRC RRMA will be transferred to the Base Revenue Requirement Balancing Account (BRRBA), and will be reflected in customer s rate levels contemporaneously when SCE implements the 2018 GRC final decision. The entries recorded in the GRC RRMA will also be included for Commission review in the compliance advice letter implementing the final 2018 GRC decision. The estimated 2018 cost of capital revenue change associated with the 2018 GRC, under an assumption that SCE s 2018 forecast rate base as contained in the Joint Comparison Exhibit SCE-29 is adopted by the Commission, is an approximate revenue requirement reduction of $72.7 million.. San Onofre Nuclear Generating Station (SONGS) Order Instituting Investigation Settlement Agreement Revenue Requirement Pursuant to D : SCE is required to file an advice letter on November 1 of each year to establish the following year s SONGS Settlement revenue requirement. Section Nos. 2.4, 2.5, 4.3(d), 4.5(a) and 4.8(a) of the Settlement Agreement allow for updates to the SONGS Settlement revenue requirement for changes to the authorized cost of debt and cost of preferred stock. In its November 1, 2017 advice filing, SCE will reflect the 2018 cost of debt and cost of preferred stock in the 2018 SONGS Settlement revenue requirement. SCE will implement the 2018 SONGS revenue requirement, including the impact of the authorized 2018 Cost of Capital, in its consolidated rate change that will take place on January 1, revenue requirements for these accounts are not placed in rates on a forecast basis; instead SCE recovers the recorded revenue requirements (when authorized by the Commission) through its Base Revenue Requirement Balancing Account (BRRBA). 3 In 2018 GRC Hearings, ALJ Roscow stated that he imagined the Commission s expectation is to include the impact of the 2018 cost of capital in the authorized GRC revenue requirement (A , Transcript Volume 15 at p. 2154, dated July 25, 2017). In 2018 GRC Update testimony to be filed on December 8, 2017, SCE will incorporate the 2018 authorized cost of capital in the updated GRC revenue requirement.

6 ADVICE 3665-E (U 338-E) September 29, 2017 The estimated 2018 cost of capital revenue change associated with the 2018 SONG Settlement revenue requirement, based on an estimate of the remaining regulatory asset balance to be amortized through January 31, 2022, is a revenue requirement reduction of less than $100,000. Charge Ready Program (Phase 1 Pilot) Revenue Requirement in Accordance with D : Commencing in 2016, SCE files an advice letter in November of each year to establish the following year s Charge Ready Program revenue requirement. 4 In its November 2017 advice filing, SCE will reflect the 2018 RORB in the 2018 Charge Ready Program revenue requirement. SCE will implement the 2018 Charge Ready Program revenue requirement, including the impact of the authorized 2018 Cost of Capital, in its consolidated rate change that will take place on January 1, The estimated 2018 cost of capital revenue change associated with the 2018 Charge Ready Program Phase 1 revenue requirement, based on the 2018 rate base projection as filed in A , is a revenue requirement reduction of less than $100,000. TARIFF CHANGES In accordance with D , in this advice filing SCE modifies Preliminary Statement Part CCC, Cost of Capital Mechanism, to reflect the authorized returns on equity, preferred stock, and long-term debt effective January 1, In addition, SCE modifies relevant language in Preliminary Statement Part CCC to conform to the current adjustment and review procedures for the Cost of Capital Mechanism. This advice filing will not cause the withdrawal of service or conflict with any other schedule or rule. TIER DESIGNATION Pursuant to General Order (GO) 96-B, Energy Industry Rule 5.2, this advice letter is submitted with a Tier 2 designation. 4 SCE is authorized to fully recover in distribution rates the costs of Phase 1 of the Charge Ready Program up to a $22 million (2014$) cap and subject to Commission Review. These annual advice filings will continue up until the time the Charge Ready Program Phase 1 costs are included in a GRC.

7 ADVICE 3665-E (U 338-E) September 29, 2017 EFFECTIVE DATE In accordance with D , the changes submitted in this advice filing will become effective on January 1, NOTICE Anyone wishing to protest this advice filing may do so by letter via U.S. Mail, facsimile, or electronically, any of which must be received no later than 20 days after the date of this advice filing. Protests should be submitted to: CPUC, Energy Division Attention: Tariff Unit 505 Van Ness Avenue San Francisco, California EDTariffUnit@cpuc.ca.gov Copies should also be mailed to the attention of the Director, Energy Division, Room 4004 (same address above). In addition, protests and all other correspondence regarding this advice letter should also be sent by letter and transmitted via facsimile or electronically to the attention of: Russell G. Worden Managing Director, State Regulatory Operations Southern California Edison Company 8631 Rush Street Rosemead, California Telephone (626) Facsimile: (626) AdviceTariffManager@sce.com Laura Genao Managing Director, State Regulatory Affairs c/o Karyn Gansecki Southern California Edison Company 601 Van Ness Avenue, Suite 2030 San Francisco, California Facsimile: (415) Karyn.Gansecki@sce.com There are no restrictions on who may file a protest, but the protest shall set forth specifically the grounds upon which it is based and must be received by the deadline shown above. In accordance with General Rule 4 of GO 96-B, SCE is serving copies of this advice filing to the interested parties shown on the attached GO 96-B and A service

8 ADVICE 3665-E (U 338-E) September 29, 2017 lists. Address change requests to the GO 96-B service list should be directed by electronic mail to AdviceTariffManager@sce.com or at (626) For changes to all other service lists, please contact the Commission s Process Office at (415) or by electronic mail at Process_Office@cpuc.ca.gov. Further, in accordance with Public Utilities Code Section 491, notice to the public is hereby given by filing and keeping the advice filing at SCE s corporate headquarters. To view other SCE advice letters filed with the Commission, log on to SCE s web site at For questions, please contact Ka-Wing Poon at (626) or by electronic mail at Ka-wing.Poon@sce.com Southern California Edison Company RGW:ll:jm Enclosures /s/ Russell G. Worden Russell G. Worden

9 ADVICE 3665-E (U 338-E) September 29, 2017 Attachment B Projected Embedded Cost of Long-Term Debt Southern California Edison Company Projected Embedded Cost of Long-Term Debt (Thousands of Dollars) Line No. Principal Net Premium/ (Discount) and Expense Net Proceeds Annual Interest Expense Annual Amortization Expense Embedded Cost 1. August 31, 2017 (Recorded) 10,561,681 (223,586) 10,338, ,071 23, % Third Quarter Issue 300,000 (3,229) 296,771 12, Fourth Quarter Issue (Maturing Issues) (300,000) (55) (300,055) (5,553) 0 5. Ft. Irwin Acquisition Debt Amortization (52) (52) (3) 0 6. Amortization and Adjustments 7,789 7, December 31, 2017 Forecast 10,561,628 (219,081) 10,342, ,516 23, % 8. Average Embedded Cost of Debt for % First Quarter Issue 800,000 (8,466) 791,534 36, Second Quarter Issue 650,000 (6,937) 643,063 31, Third Quarter Issue 500,000 (5,382) 494,618 24, Fourth Quarter Issue 400,000 (4,342) 395,658 20, (Maturing Issues) (32,000) (32,000) (590) (Maturing Issues) (400,000) 0 (400,000) (22,000) Ft. Irwin Acquisition Debt Amortization (52) (52) (3) Amortization and Adjustments 23,475 23, December 31, 2018 Forecast 12,479,576 (220,733) 12,258, ,222 24, % 18. Average Embedded Cost of Debt for %

10 ADVICE 3665-E (U 338-E) September 29, 2017 Attachment C Projected Embedded Cost of Preferred Stock Southern California Edison Company Projected Embedded Cost of Preferred Equity (Thousands of Dollars) Line No. Principal Net Premium/ (Discount) and Expense Net Proceeds Annual Dividend Annual Amortization Expense Embedded Cost 1. August 31, 2017 (Recorded) 2,245,055 (59,173) 2,185, ,929 5, % Third Quarter Issue Fourth Quarter Issue (Maturing Issues) Amortization and Adjustments 0 1,735 1, December 31, 2017 Forecast 2,245,055 (57,437) 2,187, ,929 5, % 7. Average Embedded Cost of Preferred for % First Quarter Issue 300,000 (10,281) 289,719 19, Second Quarter Issue Third Quarter Issue Fourth Quarter Issue (Maturing Issues) Amortization and Adjustments 2,603 2, December 31, 2018 Forecast 2,545,055 (65,115) 2,479, ,269 5, % 15. Average Embedded Cost of Preferred for %

11 CALIFORNIA PUBLIC UTILITIES COMMISSION ADVICE LETTER FILING SUMMARY ENERGY UTILITY MUST BE COMPLETED BY UTILITY (Attach additional pages as needed) Company name/cpuc Utility No.: Southern California Edison Company (U 338-E) Utility type: Contact Person: Darrah Morgan ELC GAS Phone #: (626) PLC HEAT WATER Disposition Notice to: EXPLANATION OF UTILITY TYPE ELC = Electric GAS = Gas PLC = Pipeline HEAT = Heat WATER = Water (Date Filed/ Received Stamp by CPUC) Advice Letter (AL) #: 3665-E Tier Designation: Authorized Cost of Capital in Compliance with Decision Subject of AL: Keywords (choose from CPUC listing): Compliance AL filing type: Monthly Quarterly Annual One-Time Other If AL filed in compliance with a Commission order, indicate relevant Decision/Resolution #: Decision Does AL replace a withdrawn or rejected AL? If so, identify the prior AL: Summarize differences between the AL and the prior withdrawn or rejected AL: Confidential treatment requested? Yes No If yes, specification of confidential information: Confidential information will be made available to appropriate parties who execute a nondisclosure agreement. Name and contact information to request nondisclosure agreement/access to confidential information: Resolution Required? Yes No Requested effective date: 1/1/18 No. of tariff sheets: -5- Estimated system annual revenue effect: (%): Estimated system average rate effect (%): When rates are affected by AL, include attachment in AL showing average rate effects on customer classes (residential, small commercial, large C/I, agricultural, lighting). Tariff schedules affected: Service affected and changes proposed 1 : Pending advice letters that revise the same tariff sheets: Preliminary Statement Part CCC and Table of Contents None 1 Discuss in AL if more space is needed.

12 Protests and all other correspondence regarding this AL are due no later 20 days after the date of this filing, unless otherwise authorized by the Commission, and shall be sent to: CPUC, Energy Division Attention: Tariff Unit 505 Van Ness Avenue San Francisco, California Russell G. Worden Managing Director, State Regulatory Operations Southern California Edison Company 8631 Rush Street Rosemead, California Telephone: (626) Facsimile: (626) Laura Genao Managing Director, State Regulatory Affairs c/o Karyn Gansecki Southern California Edison Company 601 Van Ness Avenue, Suite 2030 San Francisco, California Facsimile: (415)

13 Public Utilities Commission 3665-E Attachment A Cal. P.U.C. Sheet No. Title of Sheet Cancelling Cal. P.U.C. Sheet No. Revised E Preliminary Statement Part CCC Revised E Revised E Preliminary Statement Part CCC Revised E Original E Preliminary Statement Part CCC Revised E Revised E Table of Contents Revised E Revised E Table of Contents Revised E 1

14 Southern California Edison Revised Cal. PUC Sheet No E Rosemead, California (U 338-E) Cancelling Revised Cal. PUC Sheet No E Sheet 1 CCC. COST OF CAPITAL MECHANISM (CCM) 1. Purpose. The purpose of the Cost of Capital Mechanism (CCM) is to adjust SCE s authorized cost of capital (return on equity, preferred stock and long-term debt rates) for changes in interest rates between cost of capital applications pursuant to Decision (D.) , D , D , and D Applicability. The CCM was established by D effective May 29, 2008 and will be effective until terminated by further action of the Commission. 3. Definitions. a. Authorized Return on Equity The authorized return on equity for 2013 is percent as approved in D The Authorized Return on Equity shall be equal to the preceding year s authorized Return on Equity adjusted by the Return on Equity Adjustment as described in Section 4 below. A Cost of Capital adjustment has not been necessary for 2014, 2015, 2016 and 2017 D approved the Authorized Return on Equity at percent for Table A sets forth the Authorized Return on Equity. (T) Table A Authorized Return on Equity Year Authorized Return on Equity percent percent percent percent percent percent (N) b. Interest Rate Index The interest rate index is the 12-month average of the Moody s Long-Term Bond Yield for Baa Utilities ending in September. Should SCE s Standard & Poor s or Moody s corporate credit rating/issuer credit rating change, the interest rate index will be modified in the next cost of capital application as directed by D c. Trigger Value The initial trigger value shall be 5.00 percent, as established by D The trigger value will be modified as necessary by the operation of this mechanism. Table B Trigger Value Year Trigger Value percent (Continued) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3665-E Caroline Choi Date Filed Sep 29, 2017 Decision Senior Vice President Effective Jan 1, C12 Resolution

15 Southern California Edison Revised Cal. PUC Sheet No E Rosemead, California (U 338-E) Cancelling Revised Cal. PUC Sheet No E Sheet 2 (Continued) CCC. COST OF CAPITAL MECHANISM (CCM) (Continued): 3. Definitions. d. Authorized long-term debt and preferred stock costs. A Cost of Capital adjustment has not been necessary for 2014, 2015, 2016 and 2017; therefore, preferred stock and long term debt costs have remained at 5.79 percent and at 5.49 percent for those years. D reset the authorized costs of longterm debt and preferred stock beginning in test year The cost of long-term reset reflects actual August 2017 month-end embedded cost and forecasted interest rates for variable long-term debt and new long-term debt expected to be issued in the remainder of 2017 and all of The cost of preferred stock reset reflects actual August 2017 month-end embedded cost and forecasted dividend rates for preferred stock expected to be issued in the remainder of 2017 and all of (T) (T) (N) (N) (N) (N) Table C Authorized Preferred Stock and Long-term Debt Rates Year Authorized Preferred Stock Authorized Long-Term Debt percent 5.49 percent percent 5.49 percent percent 5.49 percent percent 5.49 percent percent 5.49 percent percent 4.98 percent (N) (L) (Continued) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3665-E Caroline Choi Date Filed Sep 29, 2017 Decision Senior Vice President Effective Jan 1, C14 Resolution

16 Southern California Edison Original Cal. PUC Sheet No E Rosemead, California (U 338-E) Cancelling Revised Cal. PUC Sheet No E Sheet 3 (Continued) CCC. COST OF CAPITAL MECHANISM (CCM) (Continued): Definitions. 4. Automatic Cost of Capital Adjustment In October of each year, except 2016 and 2017, the current value of the interest rate index shall be compared with the current trigger value. If the difference between the interest rate index and the trigger value exceeds one percent (100 basis points) in absolute value, then: a. The authorized return on equity shall be changed by one-half of the difference and the trigger value will be reset at the current value of the interest rate index. This change will take effect on January 1 of the following year; and b. The authorized costs of long-term debt and preferred equity will be adjusted to the latest forecast values for the following year, taking into account current embedded costs, latest projected interest rates for the following year, and latest projections of long-term debt and preferred equity to be redeemed, repurchased, and issued through the end of the following year. These changes will take effect on January 1 of the following year. 5. Review Procedures SCE will file a Tier 2 advice letter on October 15 to implement the automatic Cost of Capital adjustment on January 1 of the following year, in accordance with D SCE will set forth its updated revenue requirements in this filing. 6. Cost of Capital Applications In accordance with D , SCE will file a cost of capital application by April 20 of every third year; beginning in 2010, for the purpose of reviewing SCE s authorized cost of capital beginning on January 1 of the following year, unless such filing is deferred or waived by the Commission. SCE has the right to file a cost of capital application outside of this three-year process upon an extraordinary or catastrophic event that materially affects its cost of capital between applications. (L) (T) (L) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3665-E Caroline Choi Date Filed Sep 29, 2017 Decision Senior Vice President Effective Jan 1, C13 Resolution

17 Southern California Edison Revised Cal. PUC Sheet No E Rosemead, California (U 338-E) Cancelling Revised Cal. PUC Sheet No E TABLE OF CONTENTS Sheet 1 Cal. P.U.C. Sheet No. TITLE PAGE E TABLE OF CONTENTS - RATE SCHEDULES E E TABLE OF CONTENTS - LIST OF CONTRACTS AND DEVIATIONS E TABLE OF CONTENTS - RULES E TABLE OF CONTENTS-INDEX OF COMMUNITIES, MAPS, BOUNDARY DESCRIPTIONS E TABLE OF CONTENTS - SAMPLE FORMS E E (T) PRELIMINARY STATEMENT: A. Territory Served E B. Description of Service E C. Procedure to Obtain Service E D. Establishment of Credit and Deposits E E. General E F. Symbols E G. Gross Revenue Sharing Mechanism E E H. Baseline Service E I. Not In Use... -E J. Not In Use... -E K. Nuclear Decommissioning Adjustment Mechanism E L. Purchase Agreement Administrative Costs Balancing Account E M. Income Tax Component of Contributions E N. Memorandum Accounts E E E E E E E E O. California Alternate Rates for Energy (CARE) Adjustment Clause E E P. Optional Pricing Adjustment Clause (OPAC) E (Continued) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3665-E Caroline Choi Date Filed Sep 29, 2017 Decision Senior Vice President Effective Jan 1, H10 Resolution

18 Southern California Edison Revised Cal. PUC Sheet No E Rosemead, California (U 338-E) Cancelling Revised Cal. PUC Sheet No E TABLE OF CONTENTS Sheet 3 (Continued) PRELIMINARY STATEMENT: (Continued) Cal. P.U.C. Sheet No. RR. New System Generation Balancing Account E SS. Songs 2&3 Steam Generator Removal And Disposal Balancing Account E E TT. SONGS Cost of Financing Balancing Account E UU. Not In Use... -E VV. Medical Programs Balancing Account E WW. Not in Use... -E XX. Low Carbon Fuel Standard Revenue Balancing Account E YY. Base Revenue Requirement Balancing Account E E ZZ. Energy Resource Recovery Account E E AAA. Post Test Year Ratemaking Mechanism E BBB. Not In Use... -E CCC. Cost of Capital Mechanism E DDD On Bill Financing Balancing Account E EEE Not in Use... -E FFF Electric Program Investment Charge Balancing Account-California Energy Commission E GGG Electric Program Investment Charge Balancing Account-Southern California Edison E HHH Electric Program Investment Charge Balancing Account-California Public Utilities Commission E III New Solar Homes Partnership(NSHP) Program Balancing Account (NSHPPBA) E JJJ Aliso Canyon Demand Response Program Balancing Account (ACDRPBA) E E RRR Integrated Distributed Energy Resources Shareholder Incentive Award Balancing Account (idersiaba) E LLL Integrated Distributed Energy Resources Contract Costs Balancing Account (iderccba) e MMM Distributed Resources Plan Demonstration Balancing Account (DRPDBA) E (T) (Continued) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3665-E Caroline Choi Date Filed Sep 29, 2017 Decision Senior Vice President Effective Jan 1, H10 Resolution