N-1Report
4 passages
1 Figure 2: Inefficient Usage Estimates by Rate Class Caused by One Percent Differential
AI summary Figure 2 illustrates estimated inefficiencies in energy usage across rate classes resulting from a 1% pricing differential. The visual representation highlights disparities in consumption patterns influenced by rate structures, a key consideration in regulatory proceedings related to utility pricing and efficiency.
st representing the average annual marginal cost and fixed costs representing non-demand related fixed costs. There is also a transformer ownership credit (TOC) applicable to kilovolt monthly demand. Starting with May 2026, the Shore Power...
AI summary The Shore Power Tariff passed the SRMC test in 2025, with unit revenues (15.121 cents/kWh) 83% above the average marginal cost (8.259 cents/kWh) during April-November. The test compares revenues to daytime marginal costs during the service season, as seasonal cruise ship demand occurs in daytime hours, making annual comparisons inappropriate.
Figure 1.2 2025 Base Cost Rate Revenues with DSM, SCRR and 2025 FAM Amounts (Based on 2025 average annual marginal cost of 9.048 cents/kWh) Short Run Marginal Cost Test Inefficient Usage Estimate Sales Price Elasticity-of- Inefficient Usag...
AI summary Figure 1.2 presents 2025 base cost rate revenues with DSM, SCRR, and 2025 FAM amounts, including details on sales, price elasticity, line losses, and distribution across different residential and commercial classes. The table shows various rates, percentages, and revenue figures for different usage periods and customer classes.
ve to changes in electricity prices, compared to the U.S. in general. This conjecture is plausible, given modest space Autoregressive Model," Resource and Energy Economics, v. 16, p. 255-263, 1994. In economic analysis, the short run and l...
AI summary The text discusses economic analysis of consumer behavior in response to electricity price changes, distinguishing between short-run and long-run responses. It references studies on gasoline demand and energy efficiency programs in California, focusing on space conditioning and efficiency improvements.
N-2Report - Refiled
8 passages
2 Between Unit Revenue and Marginal Cost Current Approch based on Long term Load Forecast Alternate Approach based on Daily Price Elasticities from TVP Pilot Annual Sales (MWh) Long-term Elasticity Inefficient Usage (MWh) Percent of Annual...
AI summary The document compares two approaches for determining unit revenue and marginal cost: the current approach based on long-term load forecasts and an alternate approach using daily price elasticities from a TVP pilot. The alternate approach shows significantly higher inefficiencies, particularly during on-peak and off-peak winter hours, suggesting a potential impact on demand-side management strategies.
-0.15 -0.15 - - General Demand 2.78% 5.78% 16.52 9.30 77.7% 2,308.0 -0.15 -0.15 - - General Demand Time of Use On-Peak (Winter) 2.78% 5.78% 29.85 14.05 112.4% 0.3 -0.15 -0.15 - - Off-Peak (Winter) 2.78% 5.78% 17.43 10.96 59.0% 0.8 -0.15 -0...
AI summary The text presents data on demand and pricing across different categories, including General Demand, MURB, and various industrial and municipal sectors, with metrics such as percentages, costs, and usage estimates. It references the Short Run Marginal Cost (SRMC) test and inefficient usage estimates for 2025, based on an average annual marginal cost of 9.048 cents/kWh.
ve to changes in electricity prices, compared to the U.S. in general. This conjecture is plausible, given modest space Autoregressive Model," Resource and Energy Economics, v. 16, p. 255-263, 1994. In economic analysis, the short run and l...
AI summary The text discusses the distinction between short-run and long-run economic responses to changes in electricity prices, using space conditioning and thermostat adjustments as examples of short-run responses, while long-run responses include equipment upgrades and efficiency improvements. It references studies on gasoline demand and energy efficiency in California.
Time of Use Rates Time-of-use (TOU) rates, where t e kilowatt hour ·charge depends on whether the customer's load is at 3 am or 3 pm, permit prices to be aligned more closely with the marginal cost of supplying electricity. Increased use o...
AI summary Time-of-use (TOU) rates align electricity prices with the marginal cost of supply, promoting efficiency and better cost alignment for customers. While TOU rates are used for large customers in California, residential adoption faces technological and economic barriers. Widespread implementation could increase demand elasticity and allow for technological innovations in energy management.
Current Supply Elasticity Estimates Supply elasticities, per se, do not exist in a regulated retail electricity market. Prices are set beforehand in a regulatory proceeding, and utilities must supply all retail power demanded at the price...
AI summary In a regulated retail electricity market, supply elasticities do not exist because utilities must meet all demand at set prices. However, in wholesale markets, supply elasticities are present and influenced by factors like transmission constraints and hydro conditions. Fossil-fueled generation and hydropower play significant roles in determining supply elasticity.
ormance-based rate. Even if the market prices fall below operation and maintenance costs, owners of "must-run" generation may have no incentive to reduce output or to cease operating the power plants. As a result of restructuring, the scop...
AI summary Restructuring the electricity market introduces new markets and financial instruments, which can increase supply elasticities by reducing investor risks. However, due to high capital costs and long lead times, generation supply may remain inelastic. Public pressures and alternative investments like transmission upgrades or energy efficiency may also influence market responses.
PROFESSIONAL EXPERIENCE Dr. Stevens has been employed by the California Energy Commission since 1989. He has been a contributing author to the Fuels Report and the California Transportation Energy Analysis Report. Dr. Stevens is a member o...
AI summary Dr. Stevens has extensive experience in energy economics, having worked at the California Energy Commission since 1989 and contributed to major energy reports. He has also been a faculty member at Illinois State University and has published research in several economics and energy journals.
Witness Qualifications for LIONEL LERNER I am currently (since December 1, 1994) an Electric Generation System Program Specialist I. Previously, I developed assumptions and methods for the capacity expansion and demand conformance processe...
AI summary Lionel Lerner is an Electric Generation System Program Specialist with expertise in electricity restructuring, market power in deregulated electricity markets, and Federal legislation such as the National Energy Policy Act. He has experience in economic impact analyses, conservation program evaluations, and input-output modeling.