March 29, 2017 Advice Letter 3402-E

Transcription

1 STATE OF CALIFORNIA PUBLIC UTILITIES COMMISSION SAN FRANCISCO, CA Edmund G. Brown Jr., Governor March 29, 2017 Advice Letter 3402-E Russell G. Worden Director, Regulatory Operations Southern California Edison Company 8631 Rush Street Rosemead, CA Subject: Establishment of Schedule TOU-EV-6, General Service TOU, Electric Vehicle Charging, Large Demand Metered Dear Mr. Worden: Advice Letter 3402-E is effective June 1, 2017 per Resolution E Sincerely, Edward Randolph Director, Energy Division

2 Russell G. Worden Managing Director, State Regulatory Operations May 5, 2016 ADVICE 3402-E (U 338-E) PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA ENERGY DIVISION SUBJECT: Establishment of Schedule TOU-EV-6, General Service Time-of-Use, Electric Vehicle Charging, Large Demand Metered Southern California Edison Company (SCE) hereby submits for filing the following new tariffs. The revised tariff sheets are included as Attachment A. A comparison matrix describing the primary attributes of SCE s commercial EV rates is included as Attachment B. Workpapers are included as Attachment C. PURPOSE The purpose of this filing is to establish Schedule TOU-EV-6, General Service Time-of- Use (TOU), Electric Vehicle (EV) Charging, Large Demand Metered, which is applicable to commercial EV customers whose monthly maximum demand exceeds 500 kilowatts (kw). BACKGROUND SCE has two commercial EV rates currently in place, Schedules TOU-EV-3 and TOU-EV-4, which were designed specifically for commercial EV customers with demands of 20 kw or less, and between 20 kw and 500 kw, respectively. 1 However, EV usage has continued to grow, and a new commercial EV rate for customers exceeding 500 kw demand is needed to respond to customer needs and to further the California Public Utilities Commission s (Commission s) and the state s policy to 1 Schedule TOU-EV-3, General Service Time-of-Use, Electric Vehicle Charging, was established in accordance with Decision (D.) for charging separately-metered electric vehicles. After receiving inquiries from General Service customers whose maximum demands were expected to exceed the 20 kw limit for Schedule TOU-EV-3, SCE filed Advice 1238-E on June 5, 1997, and established Schedule TOU-EV-4, General Service Time-of-Use, Electric Vehicle Charging, Demand Metered, to serve EV customers whose monthly maximum demand exceeds 20 kw but not 500 kw. P.O. Box Rush Street Rosemead, California (626) Fax (626)

3 ADVICE 3402-E (U 338-E) May 5, 2016 encourage EV use, in part by removing barriers to its adoption. 2 SCE anticipates the following types of customers could benefit from an EV rate designed for demand over 500 kw: Light-duty EVs using away-from-home, large-scale, commercial Direct Current (DC) fast-charging stations; e.g., many fast charging stations today have 10 ports each capable of 125 kw. Large deployments of light-duty EV Level 2 charging stations (typically 6.6 kw) at a single location; e.g., as few as 76 EVs at a fleet, workplace, destination center, or multi-unit dwelling can register over 500 kw. Medium- and heavy-duty EVs at fleet locations; e.g., some manufacturers heavy-duty EVs charge at 40 or 200 kw, while medium-duty EVs typically use Level 2 (6.6 kw). Non-road EVs at fleet locations; e.g., charging levels can vary between 10 and 200 kw depending on the type of vehicle. Given the uses described above, SCE reasonably expects that a relatively small numbers of battery electric vehicles (BEV) and plug-in hybrid electric vehicles (PHEV) at a single location can have demands that exceed 500 kw. Available BEVs and PHEVs (described below) and growth rates make it likely that individual customers would greatly benefit from access to locations with an EV-specific rate available for over 500 kw demand: In the light-duty EV market, 28 BEV and PHEV models are available today in California (from 18 different brands) and over 36 new BEVs and PHEVs are expected between now and All of these EVs can charge at Level 2 (3.3 kw to 19.2 kw) and many can charge at DC fast-charging stations (20 kw to 125 kw). In the medium-duty, heavy-duty, bus and non-road markets, 3 EV models and charging equipment are commercially available or are currently in demonstration projects from vehicle manufacturers such as BYD, Proterra, Wave, Altec, AMP, Autocar, Odyne, Via, EVI, Smith, Transpower, and US Hybrid. Typically these EVs charge with DC fast-charging (20 kw to 200 kw), but some of the EVs in this market (e.g., shuttles and delivery vans) can charge at Level 2. High demand in these markets could occur regardless of EV battery size. For example, large EVs with 100 to 300 kwh battery packs, such as transit buses, need higher power when fleet charging takes place simultaneously overnight 2 SCE also has EV rates for residential customers. 1) Schedule TOU-EV-1 was established pursuant to D for charging separately-metered electric vehicles. 2) Schedule TOU-D was established pursuant to D as a whole-house rate available to all residential customers regardless of whether they own an EV (except customers with EV load that is separately metered under Schedule TOU-EV-1). Schedule TOU-D offers two EV-friendly rate options for customers to elect based on the customer s usage level. 3 Examples include transit buses, shuttles, drayage trucks, large delivery vehicles, and cargo handling equipment.

4 ADVICE 3402-E (U 338-E) May 5, 2016 while other large EVs with smaller battery packs need high-power charging to individually refuel in-route several times a day. Public policy is an important driver pushing technology development and EV product availability. Air quality and climate change concerns continue to be major reasons for new statutes, regulations, and grant programs that encourage or require transportation electrification in California. Electrified technologies have zero or near-zero tailpipe emissions of criteria pollutants and electricity has much lower carbon intensity than fossil fuels like gasoline and diesel (approximately 70 percent less with today s grid). 4 Zero-emission and near-zero-emission vehicles in light-, medium-, heavy-duty, and nonroad vehicle markets are either required or encouraged by state and federal policies such as: the California Air Resources Board s (CARB s) zero-emission vehicle and lowcarbon fuel standard regulations; CARB s AB 32 scoping plan, State Implementation Plan for Air Quality, Sustainable Freight Plan, and Mobile Source Strategy; and the Governor s various executive orders and Zero-Emission Vehicle Action Plan and state funding through vehicle rebates, grants, and tax breaks. The Commission also supported accelerating light- and medium-duty vehicles that use Levels 1 and 2 charging in SCE s Charge Ready and Market Education program (per Decision on Application ). In addition, the recently enacted Senate Bill 350: amended Public Utilities Code to add widespread transportation electrification as a principal goal of electric utilities resource planning and investment; added Public Utilities Code that, among other things, requires the Commission to order electric utilities to file applications for programs and investments to accelerate widespread transportation electrification; and added transportation electrification as part of the Integrated Resources Plan. Public policy, together with technological advancement and available products, result in a reasonable expectation of increased adoption of commercial EVs in the near and long term. For example, ICF International and E3 released the Transportation Electrification Assessment Phase 1, which identified market sizing and forecasted vehicle populations 4 Public Utilities Code Section (a) (1) (I): According to the State Alternative Fuels Plan analysis by the Energy Commission and the State Air Resources Board, light-, medium-, and heavy-duty vehicle electrification results in approximately 70 percent fewer greenhouse gases emitted, over 85 percent fewer ozone-forming air pollutants emitted, and 100 percent fewer petroleum used.

5 ADVICE 3402-E (U 338-E) May 5, 2016 in 30 technology segments for the state of California out to The Assessment s in-between case forecasts that as many as 400,000 light-duty plug-in electric vehicles (PEVs) and 7,000 medium- and heavy-duty vehicles could be on the roads in California by Today over 180,000 light-duty PEVs (0.41% of light-duty vehicles) 6 and about 1,000 medium - and heavy-duty vehicles (0.12% market share) are on the roads. 7 To support the State s emission-reduction goals, on February 13, 2012, SCE submitted Advice 2699-E. In that advice filing, SCE proposed to expand the Applicability section of Schedule TOU-8, Option A, to customers for the purpose of charging zero-emission buses. Understanding the low penetration of such high-demand EV charging technologies at the time, on November 12, 2012, the Commission issued Resolution E-4514 ordering SCE to extend the applicability of Schedule TOU-GS-1 8 for a period of three years ( pilot period ) to government agencies for the purpose of charging zeroemission buses. According to Resolution E-4514, [a]fter the expiration of the three year period, transit agencies with electric buses (Foothill Transit in SCE s case) would default to Schedule TOU-8, Option A, or to a different rate, should the Commission explore electric vehicle rates in another proceeding. 9 In compliance with Resolution E-4514, SCE submitted Advice 2699-E-A on November 19, 2012, to extend Option A of Schedule GS-1 to zero-emission electric bus charging customers for three years. Upon expiration of the TOU-GS-1 pilot period in December 2015, SCE filed Advice 3329-E requesting to expand the applicability of ScheduleTOU-8, Option A, to large customers for purposes of charging zero-emissions electric vehicles. Without this tariff modification, a customer with a large electric vehicle fleet would not be eligible for Option A of Schedule TOU-8 and could only be served on Schedule TOU-8 with no special option for charging of environmentally-friendly technology. 10. However, even with Commission approval of Advice 3329-E, a rate specifically designed and intended for EV loads is still necessary for large demand-metered EV customers. EV loads typically exhibit profiles with frequent high peak demands, and relatively low kwh usage. These types of profiles can result in higher average rates primarily resulting from the high fixed charge/low volume nature of the bill, where fixed costs are recovered through peak demand charges. Properly designed measures that 5 FINAL_Updated_ pdf 6 Final 2015 IEPR Figure 21 on pg 143 See /TN210036_ T151510_2015_Integrated_Energy_Policy_Report_Proposed_for_ Adoption.pdf Draft IEPR Chapter 4 pg 132 and CEC staff presentation at March 2015 workshop page 6 See 8 Schedule TOU-GS-1 is intended for small commercial customers with maximum demands of 20 kw or less. 9 Resolution E-4514, Discussion, p Advice 3329-E was approved on March 30, 2016, and effective as of January 17, 2016.

6 ADVICE 3402-E (U 338-E) May 5, 2016 mitigate peak demand charges generally improve the chances of EV technologies becoming competitively viable with fossil fuel technologies. This general consideration was evident in the Commission s Resolution E-4514, where the pilot rate lacked demand charges altogether. While a rate structure without demand charges is beneficial to EV customers, the Commission limited the term of the pilot rate recognizing that a structure without demand charges for large scale EV load could inadvertently lead to the favorable positioning of one EV technology at the expense of another, reduce the incentive for customers to participate in energy efficiency and demand response programs, and, potentially, lead to unacceptable cost shifts related to the recovery of fixed costs through volumetric rates. Rate designs specifically intended for electric vehicles seek to meet a balance between competing objectives. SCE s proposed TOU-EV-6 rate design meets this balance through a combination of energy price signals, reflected in TOU periods that account for Matinee pricing period identified by the Commission, 11 and a distribution demand charge structure that reflects the expected lower contribution to distribution peak demand costs associated with EV load. Neither of these design considerations are present to the same extent, or at all, in the TOU-8 Option A rates. For example, the TOU-EV-6 rate design will offer a Facilities Related Demand (FRD) charge offset 12 for customers who co-locate a separately metered EV load with an existing general service account on a single premise. This FRD charge offset is a unique option that is only available to customers taking service on our current non-residential EV rate options and is not available in Schedule TOU-8 Option A or any other General Service rate schedule. Thus, SCE proposes the instant optional Schedule TOU-EV-6 rate for customers with EV charging loads greater than or equal to 500 kw, as these customers exhibit load characteristics that are distinctly different from the average representative of the TOU-8 rate group as a whole. Providing such a rate allows customers to optimize their usage and load behavior. The proposed rate design properly reflects differences in the cost to serve this subset of the TOU-8 rate group relative to the majority of other customers served on the default Option B of Schedule TOU-8 with average load factors greater than 47%. These unique characteristics of the customers likely to be eligible for Schedule EV-6 is further discussed in Section B of this advice letter, below. 11 Water-Energy Nexus Order Instituting Ratemaking (OIR) (R ). 12 If an additional service is provided under this Schedule (EV account) in conjunction with the customer s regular General Service rate schedule, in each billing period, the FRD Charge for the EV account will be determined using the demand, if any, which exceeds the FRD for such General Service account. If the FRD for the EV account does not exceed the FRD for the General Service account, there will be no FRD Charge for the EV account. This structure is similar to Schedule TOU-EV-3 and TOU-EV-4.

7 ADVICE 3402-E (U 338-E) May 5, 2016 SCHEDULE TOU-EV-6 A. Customer Applicability/Eligibility In recent years, SCE has received inquiries from large General Service customers, such as governmental transit agencies, large trucking companies, and customers with multiple charging stations, regarding the availability of a rate schedule for large EV customers whose monthly maximum demands are expected to exceed 500 kw. The proposed Schedule TOU-EV-6 is applicable solely to the charging of EVs, as defined in Rule 1, on a premises or public right of way where a separate SCE meter to serve EV charging facilities is requested. Schedule TOU-EV-6 is applicable to these EV charging customers whose monthly maximum demand is expected to exceed 500 kw. B. Rate Design Like all optional rate schedules for customers with demand greater than 500 kw, SCE proposes that Schedule TOU-EV-6 be designed revenue-neutral to the TOU-8 rate group, and that rebalancing of Schedule TOU-EV-6 be performed annually, consistent with the methodology used in SCE s Annual ERRA filing to perform rate setting on the optional schedules. Energy charges for TOU-EV-6 will be set such that SCE will recover all non-bypassable costs, generation capacity-related costs, transmission balancing account costs, and portions of the distribution facilities-related costs through volumetric energy charges. Given California s 50% Renewable Portfolio Standard (RPS) targets, SCE expects the generation load curve, net of renewables, to peak later in the day. Thus, SCE has proposed TOU periods for Schedule TOU-EV-6 to better align with this expected net load curve. 13 The proposed TOU-EV-6 is a variant of a matinee 14 pricing rate structure where lower-priced rates are offered in the late morning and early afternoon periods. An on-peak period from 2:00 p.m. to 8:00 p.m. 15 is reasonable during the latter part of 13 SCE will be filing a 2016 Rate Design Window (RDW) Application on September 1, In the RDW Application, SCE will propose new TOU periods for default commercial TOU rate schedules based on studies of load and cost drivers that influence TOU period determination. Approval of this Advice Letter in advance of the conclusion of that proceeding is appropriate because it is an optional rate schedule similar to TOU-EV-3 and TOU-EV Matinee pricing proposals are currently being explored in the Water-Energy Nexus OIR (R ). 15 The on-peak period of 2:00 p.m. to 8:00 p.m. was adopted in SCE s 2013 Rate Design Window for one set of optional residential rates with the intent of setting TOU periods that align with the anticipated shift in the on-peak period due to the RPS requirements. This same on-peak period will be used in the initial rate setting of TOU-EV-6, and will likely be superseded by TOU periods emerging from SCE s 2016 Rate Design Window Application

8 ADVICE 3402-E (U 338-E) May 5, 2016 the day, where the California Independent System Operator (CAISO) expects significantly increased ramp and peak capacity needs to meet system constraints when balancing the generation portfolio against expected demand. Demand on the grid typically increases in the late afternoon or early evening, just as renewable energy supply starts to decline. The super off-peak and off-peak periods, 10:00 p.m to 8:00 a.m. and all other hours, 16 respectively, are better aligned with portions of the day when CAISO expects an abundant or sufficient supply of generation. Thus, the proposed rate structure will allow for the fair recovery of future costs experienced by SCE and provide a price signal to encourage charging during periods when CAISO grid is expected to experience excess supply. Attachment B includes a comparison matrix describing the primary attributes of SCE s current versus proposed commercial EV rates. In this matrix, SCE highlights the differences in the TOU periods across the three EV rates. SCE acknowledges that its proposed TOU periods for Schedule TOU-EV-6 differ from the TOU periods in the other commercial EV rate schedules. However, the proposed TOU periods for Schedule TOU-EV-6 do align with the time periods adopted as reasonable by the Commission for residential EV customers. Moreover, SCE relied on the optional residential TOU schedules for the simple reason that they contained a super off-peak period, which is compatible with EV charging load. SCE compared and analyzed representative loads of customers that potentially would qualify for Schedule TOU-EV-6 relative to the broader TOU-8 customer group s load profile. This analysis was done on an average per customer basis using the following three cost drivers: (1) Top 100 System Hours, (2) 12 monthly system coincident peaks, and (3) maximum non-coincident demand. (1) Marginal Genertion Capacity Costs SCE s Generation Capacity costs are generally recovered through monthly TOU demand charges. However, in setting the generation TOU demand rate factors for TOU-EV-6 customers, SCE proposes 100% recovery of the generation TOU demand revenues through TOU energy rates as currently adopted for Schedules TOU-EV-3 and TOU-EV-4 in recognition of the lower load factor usage profiles characteristic of the electric vehicle class, and as a means of encouraging adoption of what is a nascent technology that may benefit from the use of nontraditional rate structures. (2) Transmission Facility-related Costs (Allocated by 12-monthly system peaks) SCE s Transmission revenue requirement is recovered through monthly FRD charges. Transmission revenue requirment is established in the Federal Energy Regulatory Commission (FERC) rate case and allocated to individual rate groups (to the extent the time periods are different), to be filed in September 2016 pursuant to a settlement adopted in D Here, all other hours refers to hours not designated as on-peak or super-off-peak.

9 ADVICE 3402-E (U 338-E) May 5, 2016 based on the group s demand contribution coincident with SCE s monthly system peaks. SCE examined the representative demand for the TOU-EV-6 group of customers and compared the same with the TOU-8 group. On a kw per customer basis, the average 12-CP coincident demand for TOU-EV-6 customers is 67% lower than the average for TOU-8 rate group. However, because Transmission retail rates are driven by FERC s formula rate-making mechanism, SCE must reflect Transmission-related revenue recovery in kw or demand charges in distribution rates. SCE therefore proposes that the benefit of the reduced coincident demand from the TOU-EV-6 customers be recovered by a commensurate increase in distribution energy rates, similar to schedules developed for solar PV custoemrs with demands above 500 kw. Table 2: Monthly System Peaks Load Comparison Month (Yr 2014) kw per Customer TOU-8 TOU-EV-6 January February March April May June July August September October November December Average kw/customer TOU-EV-6 as % of TOU-8-33% (3) Distribution Facility-related Costs (Allocated by Annual maximum non-coincident group peaks) SCE s distribution revenue requirement is recovered through monthly FRD charges applied to the customer s monthly non-concident peak demand. Distribution costs are allocated to rate groups based on the group s Effective Demand Factor (EDF) applied to the group s average annual non-coincident peak demand (NCP). EDF is the average ratio of a group s customer demand experienced at the time of the group s typical circuit peak to the customer s noncoincident peak demand. EDFs for each group are estimated by using a Monte Carlo simulation technique that relies on load research samples. Due to the limited size of the TOU-EV-6 group, SCE could not perform such a Monte Carlo simulation for the group. However, SCE analyzed the monthly non-coincident

10 ADVICE 3402-E (U 338-E) May 5, 2016 peak demands of the TOU-EV-6 group and compared the same to that of the TOU-8 group. On a kw per customer basis, TOU-EV-6 customers have noncoincident peak demands that are 28% lower than the average TOU-8 rate group. To account for this lower impact of the TOU-EV-6 group on SCE s marginal distribution costs, SCE proposes lowering the FRD charges by this said amount and recovering the difference in revenue through energy charges, similar to schedules developed for solar PV customers with demands above 500 kw. Table 3: 12-Monthly Maximum Non-Coincident Peaks Load Comparison kw per Customer Month (Yr 2014) TOU-8 TOU-EV-6 January February March April May June July August September October November December Average kw/customer TOU-EV-6 as % of TOU-8-72% C. Rate Level Summary Table 4 provides an overview of the rate structure and illustrative rate levels under the current TOU-8-Option B rate (e.g., TOU-8-Secondary rate is shown) and proposed TOU-EV-6 rate. In general, the rate structure remains the same except for the time of use period definitions. The summer season TOU period for the proposed Schedule TOU-EV-6 is 2:00 p.m. to 8:00 p.m. instead of Noon to 6:00 p.m., and the mid- and offpeak periods were modified to off- and super off-peak periods, respectively.

11 ADVICE 3402-E (U 338-E) May 5, 2016 Table 4: Comparison of TOU-8-SEC Option B vs. TOU-EV-6 Rate Structure TOU-8-SEC-B (Below 2kV) TOU-EV-6 (Below 2kV) Generation Delivery Total Rate Generation Delivery Total Rate Energy Charge - $/kwh Energy Charge - $/kwh Summer Season - On-Peak Summer Season - On-Peak Mid-Peak Off-Peak Off-Peak Super Off-Peak Winter Season - On-Peak Winter Season - On-Peak Mid-Peak Off-Peak Off-Peak Super Off-Peak Customer Charge - $/Meter/Month Customer Charge - $/Meter/Month Facilities-Related Demand (FRD) Charge Facilities-Related Demand (FRD) Charge - $/kw of Billing Demand/Meter/Month $/kw of Billing Demand/Meter/Month Time-Related Demand (TRD) Charge - $/kw Time-Related Demand (TRD) Charge - $/kw Summer Season - On-Peak Summer Season - On-Peak Mid-Peak Off-Peak Power Factor Adjustment - $/kvar Power Factor Adjustment - $/kvar D. Bill Impact The bill impact tables below (Table 5, Table 6, and Table 7) illustrate the bill comparisons between the proposed TOU-EV-6 rates and Schedule TOU-8 Option B. As depicted in Table 5, for customers served at voltages below 2 kv (Secondary Service), about 52% of the customers with average load factors below 47% will receive an average monthly bill reduction of -2% to -34%, with the remaining customers with average load factors above 47% receiving an average monthly increase of +3% to +11% relative to Schedule TOU-8-B.

12 ADVICE 3402-E (U 338-E) May 5, 2016 Table 5: Secondary Service % of Customers Impacted Monthly Average kwh Load Factor Weighted by kwh Average Rates * ( /kwh) Current TOU-8-Option B Percent Impact (%) Proposed TOU-EV-6 Average Minimum Maximum 2% 63, % % -52.5% -30.5% 6% 90, % % -29.9% -20.1% 15% 144, % % -20.0% -10.0% 12% 184, % % -10.0% -5.0% 17% 240, % % -5.0% 0.0% 21% 308, % % 0.0% 5.0% 22% 419, % % 5.0% 10.0% 4% 547, % % 10.0% 13.7% 100% 277, % % -52.5% 13.7% * Actual bill depends on the customer's actual usage and the Commission's Decision on SCE's TOU-EV-6 Proposal As depicted in Table 6, for customers served at voltages between 2 kv and 50 kv (Primary Service), about 57% of the customers with average load factors below 50% receive an average reduction of -2% to -38%, with the remaining customers with average load factors above 50%, receiving an average increase of +3% to +11%. Table 6: Primary Service Monthly Average Average Rates * Percent Impact ( /kwh) (%) % of Customers Impacted kwh Load Factor Weighted by kwh Current TOU-8-Option B Proposed TOU-EV-6 Average Minimum Maximum 3% 57, % % -55.3% -31.2% 8% 188, % % -29.8% -20.2% 18% 243, % % -19.4% -10.0% 13% 295, % % -10.0% -5.2% 15% 497, % % -4.8% -0.1% 20% 683, % % 0.0% 5.0% 20% 1,099, % % 5.0% 10.0% 3% 1,264, % % 10.2% 15.0% 100% 572, % % -55.3% 15.0% * Actual bill depends on the customer's actual usage and the Commission's Decision on SCE's TOU-EV-6 Proposal As depicted in Table 7, for customers served at voltages above 50 kv (Subtransmission Service), about 54% of the customers with average load factors below 63% receive an average reduction of -2% to -41%, with the remaining customers with average load factors above 63%, receiving an average increase of +3% to +6%.

13 ADVICE 3402-E (U 338-E) May 5, 2016 Table 7: Subtransmission Service % of Customers Impacted Monthly Average kwh Load Factor Weighted by kwh Current TOU-8-Option B Average Rates * ( /kwh) Percent Impact (%) Proposed TOU-EV-6 Average Minimum Maximum 7% 313, % % -49.9% -31.2% 7% 336, % % -27.0% -20.8% 11% 2,448, % % -18.5% -10.1% 11% 1,029, % % -9.5% -5.2% 18% 2,049, % % -4.3% 0.0% 39% 5,425, % % 0.0% 4.9% 7% 8,692, % % 5.5% 6.2% 100% 3,558, % % -49.9% 6.2% * Actual bill depends on the customer's actual usage and the Commission's Decision on SCE's TOU-EV-6 Proposal Eligible TOU-EV-6 Customer Bill Impacts In addition, as a means of comparison, SCE includes in this section the impact to bills for existing customers that would potentially be eligible for TOU-EV-6 load (Table 8). Table 8: Eligible TOU-EV-6 Customer Bill Impacts Secondary Voltage Service Level Average Monthly Average Current Proposed Average Rate Change kwh Load Factor TOU-8-Option B TOU-EV-6 ( /kwh) % Change 40, % (8.8) -28.5% 51, % (8.0) -26.2% 52, % (6.9) -24.3% 71, % (4.7) -19.2% 102, % (4.3) -18.5% 160, % (1.5) -9.7% Average: 79, (4.5) -19.6% SCE requests the Commission adopt its proposal for Schedule TOU-EV-6. The proposed rate structure was designed consistent with State and Commission objectives regarding greenhouse gas reduction and the 50% RPS requirement, while also providing EV customers with a fair and reasonable pricing signal. The proposed rate structure, coupled with the time-of-use periods, appropriately incentivizes EV customers to modify load behavior while allowing for a fair and equitable recovery of SCE s costs. Proposed Schedule TOU-EV-6 will become effective upon Commission approval. Attachment C contains the supporting Rate Design Workpapers for the proposed Schedule TOU-EV-6.

14 ADVICE 3402-E (U 338-E) May 5, 2016 This advice filing will not increase any rate or charge, cause the withdrawal of service, or conflict with any other schedule or rule. TIER DESIGNATION Pursuant to General Order (GO) 96-B, Energy Industry Rule 5.3(3), this advice letter is submitted with a Tier 3 designation. EFFECTIVE DATE This advice filing will become effective upon Commission approval. NOTICE Anyone wishing to protest this advice filing may do so by letter via U.S. Mail, facsimile, or electronically, any of which must be received no later than 20 days after the date of this advice filing. Protests should be submitted to: CPUC, Energy Division Attention: Tariff Unit 505 Van Ness Avenue San Francisco, California EDTariffUnit@cpuc.ca.gov Copies should also be mailed to the attention of the Director, Energy Division, Room 4004 (same address above). In addition, protests and all other correspondence regarding this advice letter should also be sent by letter and transmitted via facsimile or electronically to the attention of: Russell G. Worden Managing Director, State Regulatory Operations Southern California Edison Company 8631 Rush Street Rosemead, California Facsimile: (626) AdviceTariffManager@sce.com

15 ADVICE 3402-E (U 338-E) May 5, 2016 Michael R. Hoover Director, State Regulatory Affairs c/o Karyn Gansecki Southern California Edison Company 601 Van Ness Avenue, Suite 2030 San Francisco, California Facsimile: (415) Karyn.Gansecki@sce.com There are no restrictions on who may file a protest, but the protest shall set forth specifically the grounds upon which it is based and must be received by the deadline shown above. In accordance with General Rule 4 of GO 96-B, SCE is serving copies of this advice filing to the interested parties shown on the attached GO 96-B, R , R , A , and A service lists. Address change requests to the GO 96-B service list should be directed by electronic mail to AdviceTariffManager@sce.com or at (626) For changes to all other service lists, please contact the Commission s Process Office at (415) or by electronic mail at Process_Office@cpuc.ca.gov. Further, in accordance with Public Utilities Code Section 491, notice to the public is hereby given by filing and keeping the advice filing at SCE s corporate headquarters. To view other SCE advice letters filed with the Commission, log on to SCE s web site at For questions, please contact Reuben Behlihomji at (626) , and Amy Liu at (626) or by electronic mail at Reuben.Behlihomji@sce.com, and Amy.Liu@sce.com. Southern California Edison Company RGW:rb/al:cm Enclosures /s/ Russell G. Worden Russell G. Worden

16 CALIFORNIA PUBLIC UTILITIES COMMISSION ADVICE LETTER FILING SUMMARY ENERGY UTILITY MUST BE COMPLETED BY UTILITY (Attach additional pages as needed) Company name/cpuc Utility No.: Southern California Edison Company (U 338-E) Utility type: Contact Person: Darrah Morgan ELC GAS Phone #: (626) PLC HEAT WATER Disposition Notice to: EXPLANATION OF UTILITY TYPE ELC = Electric GAS = Gas PLC = Pipeline HEAT = Heat WATER = Water (Date Filed/ Received Stamp by CPUC) Advice Letter (AL) #: 3402-E Tier Designation: 3 Subject of AL: Establishment of Schedule TOU-EV-6, General Service Time-of-Use, Electric Vehicle Charging, Large Demand Metered Keywords (choose from CPUC listing): Demand Charge AL filing type: Monthly Quarterly Annual One-Time Other If AL filed in compliance with a Commission order, indicate relevant Decision/Resolution #: Does AL replace a withdrawn or rejected AL? If so, identify the prior AL: Summarize differences between the AL and the prior withdrawn or rejected AL: Confidential treatment requested? Yes No If yes, specification of confidential information: Confidential information will be made available to appropriate parties who execute a nondisclosure agreement. Name and contact information to request nondisclosure agreement/access to confidential information: Resolution Required? Yes No Requested effective date: Upon Commission Approval Estimated system annual revenue effect: (%): Estimated system average rate effect (%): No. of tariff sheets: -11- When rates are affected by AL, include attachment in AL showing average rate effects on customer classes (residential, small commercial, large C/I, agricultural, lighting). Tariff schedules affected: Service affected and changes proposed 1 : See Attachment A Pending advice letters that revise the same tariff sheets: None 1 Discuss in AL if more space is needed.

17 Protests and all other correspondence regarding this AL are due no later than 20 days after the date of this filing, unless otherwise authorized by the Commission, and shall be sent to: CPUC, Energy Division Attention: Tariff Unit 505 Van Ness Avenue San Francisco, California Russell G. Worden Managing Director, State Regulatory Operations Southern California Edison Company 8631 Rush Street Rosemead, California Facsimile: (626) Michael R. Hoover Director, State Regulatory Affairs c/o Karyn Gansecki Southern California Edison Company 601 Van Ness Avenue, Suite 2030 San Francisco, California Facsimile: (415)

18 Public Utilities Commission 3402-E Attachment A Cal. P.U.C. Sheet No. Original E Original E* Original E* Original E* Original E Original E Original E Original E Original E Title of Sheet Schedule TOU-EV-6 Schedule TOU-EV-6 Schedule TOU-EV-6 Schedule TOU-EV-6 Schedule TOU-EV-6 Schedule TOU-EV-6 Schedule TOU-EV-6 Schedule TOU-EV-6 Schedule TOU-EV-6 Cancelling Cal. P.U.C. Sheet No. Revised E Table of Contents Revised E Revised E Table of Contents Revised E 1

19 Southern California Edison Original Cal. PUC Sheet No E Rosemead, California (U 338-E) Cancelling Cal. PUC Sheet No. Schedule TOU-EV-6 Sheet 1 General Service Time-of-Use Electric Vehicle Charging, Large Demand Metered APPLICABILITY Applicable solely for the charging of electric vehicles, as defined in Rule 1, on a premises or public right of way where a separate SCE meter to serve electric vehicle (EV) charging facilities is requested. This Schedule is applicable to customers whose monthly Maximum Demand, in the opinion of SCE, is expected to exceed 500 kw or has exceeded 500 kw in any three months during the preceding 12 months. Any customer served on this Schedule whose monthly maximum demand has registered 500 kw or less for 12 consecutive months is ineligible for service under this Schedule (See Special Condition 12). Effective with the date of ineligibility, such customer s accounts shall be transferred to an applicable Time-of-Use rate schedule. Service under this Schedule is subject to meter availability. TERRITORY Within the entire territory served. (Continued) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3402-E R.O. Nichols Date Filed May 5, 2016 Decision Senior Vice President Effective Jun 1, C23 Resolution E-4831

20 Southern California Edison Original Cal. PUC Sheet No E* Rosemead, California (U 338-E) Cancelling Cal. PUC Sheet No. Schedule TOU-EV-6 Sheet 2 General Service Time-of-Use Electric Vehicle Charging, Large Demand Metered (Continued) RATES The following rates are set forth for service metered and delivered at secondary, primary, and subtransmission voltages. SERVICE METERED AND DELIVERED AT VOLTAGES BELOW 2 KV Delivery Service Generation Trans Distrbtn NSGC NDC PPPC DWRBC PUCRF Total Delivery UG DWREC Energy Charge - $/kwh/meter/month Summer Season - On-Peak ( ) Off-Peak ( ) SOff-Peak ( ) Winter Season - On-Peak ( ) Off-Peak ( ) SOff-Peak ( ) Customer Charge - $/Meter/Month Facilities-Related Demand Charge - $/kw of Billing Demand/Meter/Month Time Related Demand Charge - $/kw Summer Season - On-Peak 0.00 Off-Peak 0.00 SOff-Peak 0.00 Winter Season - On-Peak 0.00 Off-Peak 0.00 Off-Peak 0.00 Power Factor Adjustment - $/kvar * The ongoing Competition Transition Charge (CTC) of $( ) per kwh is recovered in the UG component of Generation. 1 Trans = Transmission and the Transmission Owners Tariff Charge Adjustments (TOTCA) which are FERC approved. The TOTCA represents the Transmission Revenue Balancing Account Adjustment (TRBAA) of $( ) per kwh, Reliability Services Balancing Account Adjustment (RSBAA) of $ per kwh, and Transmission Access Charge Balancing Account Adjustment (TACBAA) of $ per kwh. 2 Distrbtn = Distribution 3 NSGC = New System Generation Charge 4 NDC = Nuclear Decommissioning Charge 5 PPPC = Public Purpose Programs Charge (includes California Alternate Rates for Energy Surcharge where applicable. Control tab) 6 DWRBC = Department of Water Resources (DWR) Bond Charge. The DWR Bond Charge is not applicable to exempt Bundled Service and Direct Access Customers, as defined in and pursuant to D , D , and D PUCRF = The PUC Reimbursement Fee is described in Schedule RF-E. 8 Total = Total Delivery Service rates are applicable to Bundled Service, Direct Access (DA) and Community Choice Aggregation Service (CCA Service) Customers, except DA and CCA Service Customers are not subject to the DWRBC rate component of this Schedule but instead pay the DWRBC as provided by Schedule DA-CRS or Schedule CCA-CRS. 9 Generation The Generation rates are applicable only to Bundled Service Customers. 10 DWREC = Department of Water Resources (DWR) Energy Credit For more information on the DWR Energy Credit, see the Billing Calculation Special Condition of this Schedule. (Continued) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3402-E R.O. Nichols Date Filed May 5, 2016 Decision Senior Vice President Effective Jun 1, H28 Resolution E-4831

21 Southern California Edison Original Cal. PUC Sheet No E* Rosemead, California (U 338-E) Cancelling Cal. PUC Sheet No. Schedule TOU-EV-6 Sheet 3 General Service Time-of-Use Electric Vehicle Charging, Large Demand Metered RATE (Continued) (Continued) SERVICE METERED AND DELIVERED AT VOLTAGES 2 KV TO 50 KV Delivery Service Generation Trans Distrbtn NSGC NDC PPPC DWRBC PUCRF Total Delivery UG DWREC Energy Charge - $/kwh/meter/month Summer Season - On-Peak ( ) Off-Peak ( ) SOff-Peak ( ) Winter Season - On-Peak ( ) Off-Peak ( ) SOff-Peak ( ) Customer Charge - $/Meter/Month Facilities-Related Demand Charge - $/kw of Billing Demand/Meter/Month Time Related Demand Charge - $/kw Summer Season - On-Peak 0.00 Off-Peak 0.00 SOff-Peak 0.00 Winter Season - On-Peak 0.00 Off-Peak 0.00 Off-Peak 0.00 Power Factor Adjustment - $/kvar * The ongoing Competition Transition Charge (CTC) of $(0.0008) per kwh is recovered in the UG component of Generation. 1 Trans = Transmission and the Transmission Owners Tariff Charge Adjustments (TOTCA) which are FERC approved. The TOTCA represents the Transmission Revenue Balancing Account Adjustment (TRBAA) of $( ) per kwh, Reliability Services Balancing Account Adjustment (RSBAA) of $ per kwh, and Transmission Access Charge Balancing Account Adjustment (TACBAA) of $ per kwh. 2 Distrbtn = Distribution 3 NSGC = New System Generation Charge 4 NDC = Nuclear Decommissioning Charge 5 PPPC = Public Purpose Programs Charge (includes California Alternate Rates for Energy Surcharge where applicable. Control tab) 6 DWRBC = Department of Water Resources (DWR) Bond Charge. The DWR Bond Charge is not applicable to exempt Bundled Service and Direct Access Customers, as defined in and pursuant to D , D , and D PUCRF = The PUC Reimbursement Fee is described in Schedule RF-E. 8 Total = Total Delivery Service rates are applicable to Bundled Service, Direct Access (DA) and Community Choice Aggregation Service (CCA Service) Customers, except DA and CCA Service Customers are not subject to the DWRBC rate component of this Schedule but instead pay the DWRBC as provided by Schedule DA-CRS or Schedule CCA-CRS. 9 Generation The Generation rates are applicable only to Bundled Service Customers. 10 DWREC = Department of Water Resources (DWR) Energy Credit For more information on the DWR Energy Credit, see the Billing Calculation Special Condition of this Schedule. (Continued) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3402-E R.O. Nichols Date Filed May 5, 2016 Decision Senior Vice President Effective Jun 1, H23 Resolution E-4831

22 Southern California Edison Original Cal. PUC Sheet No E* Rosemead, California (U 338-E) Cancelling Cal. PUC Sheet No. Schedule TOU-EV-6 Sheet 4 General Service Time-of-Use Electric Vehicle Charging, Large Demand Metered (Continued) RATE (Continued) SERVICE METERED AND DELIVERED AT VOLTAGES ABOVE 50 KV Delivery Service Generation Trans Distrbtn NSGC NDC PPPC DWRBC PUCRF Total Delivery UG DWREC Energy Charge - $/kwh/meter/month Summer Season - On-Peak ( ) Off-Peak ( ) SOff-Peak ( ) Winter Season - On-Peak ( ) Off-Peak ( ) SOff-Peak ( ) Customer Charge - $/Meter/Month 2, , Facilities-Related Demand Charge - $/kw of Billing Demand/Meter/Month Time Related Demand Charge - $/kw Summer Season - On-Peak 0.00 Off-Peak 0.00 SOff-Peak 0.00 Winter Season - On-Peak 0.00 Off-Peak 0.00 Off-Peak 0.00 Power Factor Adjustment - $/kvar Voltage Discount, Demand, 220 kv - $/kw Facilities Related Time-Related Summer Voltage Discount, Energy, 220 kv - $/kwh ( ) ( ) ( ) * The ongoing Competition Transition Charge (CTC) of $( ) per kwh is recovered in the UG component of Generation. 1 Trans = Transmission and the Transmission Owners Tariff Charge Adjustments (TOTCA) which are FERC approved. The TOTCA represents the Transmission Revenue Balancing Account Adjustment (TRBAA) of $( ) per kwh, Reliability Services Balancing Account Adjustment (RSBAA) of $ per kwh, and Transmission Access Charge Balancing Account Adjustment (TACBAA) of $ per kwh. 2 Distrbtn = Distribution 3 NSGC = New System Generation Charge 4 NDC = Nuclear Decommissioning Charge 5 PPPC = Public Purpose Programs Charge (includes California Alternate Rates for Energy Surcharge where applicable. Control tab) 6 DWRBC = Department of Water Resources (DWR) Bond Charge. The DWR Bond Charge is not applicable to exempt Bundled Service and Direct Access Customers, as defined in and pursuant to D , D , and D PUCRF = The PUC Reimbursement Fee is described in Schedule RF-E. 8 Total = Total Delivery Service rates are applicable to Bundled Service, Direct Access (DA) and Community Choice Aggregation Service (CCA Service) Customers, except DA and CCA Service Customers are not subject to the DWRBC rate component of this Schedule but instead pay the DWRBC as provided by Schedule DA-CRS or Schedule CCA-CRS. 9 Generation The Generation rates are applicable only to Bundled Service Customers. 10 DWREC = Department of Water Resources (DWR) Energy Credit For more information on the DWR Energy Credit, see the Billing Calculation Special Condition of this Schedule. (Continued) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3402-E R.O. Nichols Date Filed May 5, 2016 Decision Senior Vice President Effective Jun 1, H22 Resolution E-4831

23 Southern California Edison Original Cal. PUC Sheet No E Rosemead, California (U 338-E) Cancelling Cal. PUC Sheet No. Schedule TOU-EV-6 Sheet 5 General Service Time-of-Use Electric Vehicle Charging, Large Demand Metered SPECIAL CONDITIONS (Continued) 1. Voltage: Service under this Schedule will be supplied at one standard voltage. 2. Time periods are defined as follows: On-Peak: 2:00 p.m. to 8:00 p.m. summer and winter weekdays except holidays. Super Off-Peak: 10:00 p.m. to 8:00 a.m. all year, every day. Off-Peak: All other hours all year, every day. The summer season shall commence at 12:00 a.m. on June 1 and continue until 12:00 a.m. on October 1 of each year. The winter season shall commence at 12:00 a.m. on October 1 and continue until 12:00 a.m. on June 1. Holidays are New Year's Day (January 1), Presidents Day (third Monday in February), Memorial Day (last Monday in May), Independence Day (July 4), Labor Day (first Monday in September), Veterans Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas (December 25). When any holiday listed above falls on Sunday, the following Monday will be recognized as a holiday and an off-peak period. No change will be made for holidays falling on Saturday. 3. Metering: Only EV charging facilities and related equipment shall be separately metered and served under this Schedule. Where SCE determines that the operation of the EV charging facilities may interfere with service to that customer or other customers, SCE will install a load management device at customer s expense to control when EV charging will occur. For purposes of monitoring customer load, SCE may install at its expense, load research metering. The customer shall provide, at no expense to SCE, a suitable location for meters and associated equipment. (Continued) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3402-E R.O. Nichols Date Filed May 5, 2016 Decision Senior Vice President Effective Jun 1, C29 Resolution E-4831

24 Southern California Edison Original Cal. PUC Sheet No E Rosemead, California (U 338-E) Cancelling Cal. PUC Sheet No. Schedule TOU-EV-6 Sheet 6 General Service Time-of-Use Electric Vehicle Charging, Large Demand Metered SPECIAL CONDITIONS (Continued) (Continued) 4. Billing Demand: The Billing Demand shall be the kilowatts (kw) of Maximum Demand, to the nearest kw. The Demand Charge shall include the following billing components. The Time Related Component shall be for the kw of Maximum Demand recorded during (or established for) the monthly billing period for within the Summer season Time Periods. The Facilities Related Component shall be for the kw of Maximum Demand recorded during (or established for) the monthly billing period. However, when SCE determines the customer s meters will record little or no energy use for extended periods of time or when the customer s meter has not recorded a Maximum Demand in the preceding eleven months, the Facilities Related Component of the Demand Charge may be established at 50 percent of the customer s connected load. Separate Demand Charge(s) for the Summer season Time Periods shall be established for each monthly billing period. The Demand Charge for each time period shall be based on the Maximum Demand for that time period occurring during the respective monthly billing period. If an additional service is provided under this Schedule (EV account) in conjunction with the customer s regular General Service rate schedule, in each billing period, the Facilities Related Demand Charge for the EV account will be determined using the demand, if any, which exceeds the Facilities Related Demand for such General Service account. If the Facilities Related Demand for the EV account does not exceed the Facilities Related Demand for the General Service account, there will be no Facilities Related Demand Charge for the EV account. 5. Maximum Demand: The maximum demand for each period shall be the measured maximum kw input, indicated or recorded by instruments, such as SCE metering during the monthly billing period. 6. Voltage Discount: Bundled Service, CCA Service, and Direct Access customers will have the Distribution rate component of the applicable Delivery Service charges reduced by the corresponding Voltage Discount amount for service metered and delivered at the applicable voltage level as shown in the RATES section above. In addition, Bundled Service Customers will have the Utility Generation (UG) rate component of the applicable Generation charges reduced by the corresponding Voltage Discount amount for service metered and delivered at the applicable voltage level as shown in the RATES section. (Continued) (To be inserted by utility) Issued by (To be inserted by Cal. PUC) Advice 3402-E R.O. Nichols Date Filed May 5, 2016 Decision Senior Vice President Effective Jun 1, C30 Resolution E-4831