Electric Power Procurement

The CPUC is also responsible for regulating Electric Power Procurement and Generation. The CPUC evaluates the necessity for additional power generation by the regulated utilities in California in both the long and short term. This task is accomplished using public input, data provided by the utilities, the California Energy Commission, the California Independent System Operator (CAISO), and following the regulations of the Commission, the Public Utilities Code, and the FERC.

The CPUC is interested in both the amount of power and how it can be used. As the percentage of renewable resources increases in California, the need for flexible power increases. Flexible power can ramp up and down to supplement the solar and wind generation to meet the total electric load. Additionally, there are load pockets in the state which need to be evaluated separately from the total load to assure local area reliability and local flexibility. Finally, there is an CPUC subsection on Resource Adequacy which determines that there is sufficient reserve power held by the utilities to assure reliable and affordable power to the ratepayers of California, both overall and locally.