distributed generation, nuclear retirement, transmission options and resource strategies to develop higher levels of preferred resources. The nature and extent of the scenarios that are covered in this proceeding will be addressed in a later ruling. Procurement Oversight and Rules This proceeding will also address broad rule and policy issues related to procurement plans. Specially, we intend to consider issues that were not resolved in Track 3 of R.12-03-014, and other emerging procurement topics. The issues include, but may not be limited to, the following: Safety Considerations – As safety is a top priority for the CPUC, we may consider revising procurement rules to better reflect this commitment to public safety and health. We may request procurement authorization requests to include information related to safety standards and considerations. Procurement Rules to Comply with SB 695 on the Cost Allocation Methodology – Senate Bill (SB) 695 codified aspects of the cost allocation rules established in D.06-07-029 and D.07-09-044. D.1105005 narrowly reconciled differences between SB 695 and our prior procurement rules. This proceeding will consider any necessary modifications to fully implement the RA provision of SB 695. Procurement Rules to Encourage Competitive Solicitations – We may consider adoption of new rules to encourage competition in resource solicitations, for bilateral contracts and Request for Offer (RFO) solicitations. As needed, we may vet for consideration procurement rules on all-source solicitations to encourage competition across resource types in response to a singular solicitation. Combined Heat and Power (CHP) Targets – The CHP Settlement, as set forth in D.10-12-035, directed the CPUC to review IOU progress toward the settlement’s dual CHP targets of 3,000 MW CHP capacity by 2015 and 4.8 million metric tons of
distributed generation, nuclear retirement, transmission options and resource strategies to develop higher levels of preferred resources. The nature and extent of the scenarios that are covered in this proceeding will be addressed in a later ruling. Procurement Oversight and Rules This proceeding will also address broad rule and policy issues related to procurement plans. Specially, we intend to consider issues that were not resolved in Track 3 of R.12-03-014, and other emerging procurement topics. The issues include, but may not be limited to, the following: Safety Considerations – As safety is a top priority for the CPUC, we may consider revising procurement rules to better reflect this commitment to public safety and health. We may request procurement authorization requests to include information related to safety standards and considerations. Procurement Rules to Comply with SB 695 on the Cost Allocation Methodology – Senate Bill (SB) 695 codified aspects of the cost allocation rules established in D.06-07-029 and D.07-09-044. D.1105005 narrowly reconciled differences between SB 695 and our prior procurement rules. This proceeding will consider any necessary modifications to fully implement the RA provision of SB 695. Procurement Rules to Encourage Competitive Solicitations – We may consider adoption of new rules to encourage competition in resource solicitations, for bilateral contracts and Request for Offer (RFO) solicitations. As needed, we may vet for consideration procurement rules on all-source solicitations to encourage competition across resource types in response to a singular solicitation. Combined Heat and Power (CHP) Targets – The CHP Settlement, as set forth in D.10-12-035, directed the CPUC to review IOU progress toward the settlement’s dual CHP targets of 3,000 MW CHP capacity by 2015 and 4.8 million metric tons of
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