News

Backbone Transmission and Distribution Shrinkage Changes

Friday, October 20, 2017

Updated:

The California Public Utilities Commission (CPUC) has approved filing Advice 3883-G, PG&E's request to revise its in-kind shrinkage rates for backbone transmission and distribution. Changes are effective November 1, 2017. New rates have been posted on Pipe Ranger's Shrinkage Factors page.

---Original Message 09/19/2017 03:00 p.m ----

PG&E filed Advice 3883-G with the California Public Utilities Commission on September 15, 2017, to revise its in-kind shrinkage rates for backbone transmission and distribution.

PG&E is requesting notice of this advice letter approval by October 16, 2017, with changes to gas Rule 21 (Transportation of Natural Gas) to be effective November 1, 2017.

In this advice filing, PG&E proposes to eliminate the “adders” that were part of the 2016 rates. The adders were implemented as a temporary measure to reduce PG&E’s under collected shrinkage balance. PG&E has since made progress in this regard and the under collection has been reduced.

Final approval of these rates or updates to this information will be posted on Pipe Ranger as it is received.

Summary of Proposed Shrinkage Changes:

  Current Total Allowance Proposed Total Allowance Proposed Change
Transmission - Redwood to Off-System 0.9% 0.9% --
Transmission - Mission to On/Off-System 0.0% 0.0% --
Transmission - All Other Backbone Paths 1.2% 1.2% --
Distribution - Noncore 0.1% 0.2% +0.1%
Distribution - Core
Summer Season (April-October)
2.4% 1.8% -0.6%
Distribution - Core
Winter Season (November-March)
3.2% 3.5% +0.3%

Please contact your CGT Account Manager if you have any questions regarding transmission and distribution shrinkage factors.