PG

1
PGE PY2006 LIEE Budget Augmentation Application

• LIOB Meeting
• May 2, 2006
• Fresno, CA

2
PGE LIEE Budget Augmentation

• Filed April 14, 2006, in compliance with
  D.05-12-026, O.P. 3 and 12
• D.05-12-026 approved PGEs PY2006 LIEE Budget
• 56.530 Million Annual Authorized
• 12.231 Million Unspent Carryover from previous
  years
• 68.761 Million Total
• PY2006 LIEE Budget Augmentation Request
• 21.334 Million
• Total PY2006 LIEE Projected Budget
• 90.094 Million

3
Why PGE Needs Additional Funding

• The Commission adopted new LIEE measures for
  PY2006 in D.05-12-026.
• The Commission ordered various emergency LIEE
  Program measures as part of the Winter
  Initiative in response to expected high natural
  gas prices during the winter of 2005-2006.
• The Commission ordered that in 2006 the Utilities
  treat 5-10 more homes than projected in their
  June 1, 2005 LI Program and Budget Applications.
• New Title 24 Duct Testing requirements and a
  proposed Tankless Water Heater Pilot program also
  add costs to PGEs 2006 LIEE Program.

4
PGE LIEE Budget Augmentation

• New LIEE measures for PY2006
• Standardization Team measure recommendations were
  not completed and filed in time for the utilities
  to include them in their PY2006-2007 Program
  Applications.
• For PGE, these new measures are
• High efficiency central air conditioners
• Duct testing and sealing

5
PGE LIEE Budget Augmentation

• Winter Initiative Program
• Revise LIEE income eligibility to 200 of federal
  poverty guidelines for all customers. (Prior
  income eligibility for LIEE was 200 for elderly
  and disabled customers only, and 175 for other
  customers)
• Replace central gas forced air furnaces to
  renters and home-owners as part of whole-house
  effort where existing furnace has an AFUE of 65
  or lower
• Perform necessary duct work when installing a new
  furnace
• Replace leaky water heaters
• Increase new refrigerator replacements through
  go-backs and other initiatives and
• Hold harmless from repayment customers receiving
  LIEE benefits during the winter period who are
  later determined to be ineligible for the LIEE
  benefits.

6
PGE LIEE Budget Augmentation

• Increase homes treated through the LIEE Program
  by 5-10
• D.05-10-044 increased LIEE income eligibility to
  200 of federal poverty guidelines for all
  customers. (Prior income eligibility for LIEE
  was 200 for elderly and disabled customers only,
  and 175 for all other customers).
• The number of PGE customers estimated to be
  eligible for LIEE increased from 1.6 million to
  1.8 million.
• PGE proposes treating 11 more homes in 2006.
• Increase from over 56,000 homes treated in 2005
  to 62,500 homes in 2006.

7
PGE LIEE Budget Augmentation

• New Title 24 Duct Testing Requirements
• Costs were not included in the PY2006-2007
  Applications.
• New requirements went into effect in October,
  2005.
• Tankless Water Heater Pilot Program
• Recent joint proposal for pilot with California
  State Department of Community Services and
  Development (CSD) and the Community Action Agency
  of San Mateo County, Inc. (CAASMC) was filed
  March 6, 2006.

8
PGE LIEE Budget Augmentation 2006 Shortfall
9
PGE LIEE Budget Augmentation Measure
Installations