[California Energy Commission Letterhead]


Energy Resources
Conservation and Development Commission

In the Matter of: ) Docket No. 98-SIT-6
Sempra Energy Resources and ) NOTICE OF COMMISSION HEARING
Occidental Energy Ventures Corp. ) –and- COMMITTEE ORDER
(Elk Hills Power Project) ) (Cal. Code of Regs., title 20, section 1232(2))
Petition for Jurisdictional Determination )  
______________________________ )  




On October 14, 1998, Sempra Energy Resources and Occidental Energy Ventures Corporation filed a "Petition for Jurisdictional Determination" regarding the application of Public Resources Code section 25540.6.{1} Petitioner requests that the Commission determine whether its proposed Elk Hills Power Project is exempt from the Notice of Intention (NOI) requirements of Public Resources Code section 25502.



NOTICE IS HEREBY GIVEN that the Commission will conduct a public hearing on this Petition at its regularly scheduled Business Meeting as follows:


Beginning at 10 a.m.
California Energy Commission
First Floor Hearing Room A
1516 Ninth Street
Sacramento, California
[Wheelchair Accessible]



Petitioner contends that its Elk Hills Power Project is a market-based response to the formation of the California Power Exchange (PX) which solicits energy bids on an hourly basis. The proposed natural gas-fired project will be operated to sell all or some of its output to the PX, as well as to wholesale markets on a bilateral basis. In light of the Commission’s Decision in the Blythe Energy matter,{2} which addresses issues similar to the assertions contained in this Petition, the Energy Facility Siting Committee may review the Petition on the basis of sworn affidavits, as well as other documentary evidence, and present its recommendations to the full Commission without the necessity of conducting a Committee hearing.

The Committee hereby directs Petitioner to respond to the following inquiries regarding its Petition:

  1. Describe the specific nexus between the particular project proposed by Petitioner and the PX's solicitations for "day ahead" and "hourly bids". How is the proposed project anticipated to perform under both scenarios regarding its baseload and peaking capacities?

  2. Is Petitioner negotiating with any other potential power purchasers or power exchanges?

  3. What is Petitioner's registration status at the PX? If Petitioner has not begun the registration process, what are Petitioner's plans regarding registration and negotiation for a "PX Participation Agreement?"

  4. Identify Petitioner's principal corporate owners and/or other entities or individuals who are legally and financially responsible for the development, construction, and operation of the proposed project.

  5. Describe Petitioner's experience and assets with regard to power generation acquisition, and powerplant development, ownership, and operation.

  6. Describe the specific location where the project will be constructed, and describe Petitioner's site selection criteria that led to this particular site location.

  7. Provide evidence describing the project components sufficiently to establish that the proposed facility is a natural gas-fired powerplant.

  8. Provide evidence to establish that the proposed project can be developed and operated without the benefit of ratepayer support or guarantees.

  9. Explain how Petitioner's negotiations may be affected by the Independent System Operator's "congestion" and "ancillary services" market activities.


Petitioner shall serve its written responses to the above inquiries in the form of testimony executed under penalty of perjury by one or more principals representing the project, as well as any other evidence, and Commission staff shall serve a written statement discussing the matters raised in the Petition, upon all entities included on the Proof of Service List as well as those listed in Attachment A, no later than 5:00 p.m. on Wednesday, November 25, 1998. Identify all filings with "Docket No. 98-SIT-6." The Committee also advises any individual or entity intending to actively participate in this proceeding to file and serve a written statement explaining its position, in accordance with the above filing directions.

Based on the sworn testimony and other evidence submitted, the Committee will prepare a recommendation concerning disposition of the Petition for consideration by the full Commission at the December 16, 1998, hearing. The parties will have an opportunity to review and comment upon the Committee’s recommendation prior to the hearing.

For information on how to participate at the hearing, contact Roberta Mendonca, the Commission's Public Adviser, at (916) 654-4489 or 800-822-6228 or email at: rmendonc@energy.state.ca.us or pao@energy.state.ca.us

If you have a disability and require reasonable accommodation to participate, contact Robert Sifuentes at (916) 654-5004 or email at: rsifuent@energy.state.ca.us

Procedural or legal questions may be directed to the Hearing Officer, Susan Gefter, at (916) 654-3893 or E-mail at: sgefter@energy.state.ca.us



_____//signed//_____ _____//signed//_____
Commissioner and Presiding Member Vice Chair and Associate Member
Energy Facility Siting Committee Energy Facility Siting Committee



Endnotes * * * * * * * * *

  1. Public Resources Code section 25540.6 provides, in pertinent part, that no NOI is required for a powerplant which "...is the result of a competitive solicitation or negotiation for new generation resources and will employ natural gas-fired technology."

  2. In the Blythe Decision, the Commission determined that the PX may be viewed as a continuing series of solicitations and negotiations. (Docket No. 98-SIT-2; Energy Commission Publication No. P800-98-003).

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