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<strong>May</strong> <strong>19</strong>, <strong>2011</strong><br />

<strong>Notice</strong> <strong>of</strong> <strong>Commencement</strong> <strong>of</strong> <strong>Stakeholder</strong> <strong>Process</strong> <strong>to</strong> Reform SCE’s California<br />

Renewable Energy Small Tariff (“CREST”) Power Purchase Agreements (“PPA”)<br />

<strong>Notice</strong> <strong>to</strong> all interested parties: Since the California Public Utilities Commission<br />

(“CPUC”) Resolution E-4137’s approval <strong>of</strong> the final tariffs and standard contracts in<br />

2008, the market has undergone many changes. While Southern California Edison<br />

Company (“SCE”) was able <strong>to</strong> address these changes in its annual renewable solicitation,<br />

the Renewable Standard Contracts program, the Solar Pho<strong>to</strong>voltaic Program, and the<br />

Renewable Auction Mechanism Feed-in-Tariff, these changes have not been addressed in<br />

the CREST program.<br />

During this time, multiple stakeholders have requested that SCE institute a stakeholder<br />

process (“CREST Review <strong>Process</strong>”) <strong>to</strong> address changes in the CREST PPA. SCE has<br />

agreed and is pleased <strong>to</strong> announce the launch <strong>of</strong> the CREST Review <strong>Process</strong> <strong>to</strong> reform<br />

the CREST PPA. A proposed schedule <strong>of</strong> the CREST Review <strong>Process</strong> <strong>to</strong> solicit<br />

stakeholder input and comments on the proposed reforms <strong>to</strong> the CREST PPA is attached<br />

<strong>to</strong> this notice as Attachment A and will also be posted on SCE’s website at<br />

www.sce.com/crest.<br />

The proposed pro forma CREST PPA, which is scheduled <strong>to</strong> be posted on SCE’s website<br />

on or before June 2, <strong>2011</strong>, is based on SCE’s pro forma Solar Pho<strong>to</strong>voltaic Program PPA<br />

for projects less than 5 MWs, and has been modified <strong>to</strong> make it applicable <strong>to</strong> all<br />

technology types and <strong>to</strong> be in compliance with the requirements <strong>of</strong> the CREST Tariff and<br />

CPUC Decision (“D.”) 07-07-27. <strong>Stakeholder</strong>s may submit written questions, comments<br />

or suggested changes <strong>to</strong> the proposed CREST PPA until June 22, <strong>2011</strong>. Please submit all<br />

written comments <strong>to</strong> crest@sce.com.<br />

SCE also will hold a web conference on July 27, <strong>2011</strong> <strong>to</strong> discuss the CREST PPA.<br />

Further details will be provided when SCE posts the proposed pro forma CREST PPA for<br />

stakeholder review.<br />

Please be advised that the CREST Review <strong>Process</strong> schedule and documents are subject <strong>to</strong><br />

change at any time without notice. Any changes <strong>to</strong> the schedule and documents will be<br />

posted on the CREST website at www.sce.com/crest. Please check the website regularly<br />

for new updates.<br />

If interested parties have general questions regarding the stakeholder process, please<br />

direct them <strong>to</strong> Janice Wang, program manager <strong>of</strong> CREST. Janice may be reached at (626)<br />

302-3515 and at janice.wang@sce.com. If you wish <strong>to</strong> be removed from this email<br />

distribution or, conversely, you would like additional email addresses <strong>to</strong> be added, please<br />

email your request <strong>to</strong> crest@sce.com or <strong>to</strong> Janice at janice.wang@sce.com.<br />

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Attachment A: Planned Schedule <strong>of</strong> <strong>Stakeholder</strong> <strong>Process</strong> for SCE’s CREST PPA Reform<br />

Target Date<br />

Thursday, <strong>May</strong> <strong>19</strong><br />

Thursday, June 2<br />

Wednesday, June 22<br />

Friday, July 22<br />

Wednesday, July 27<br />

Friday, August 5<br />

Event<br />

SCE launches stakeholder process <strong>to</strong> reform the CREST PPA.<br />

SCE posts proposed pro forma CREST PPA on<br />

www.sce.com/crest for market feedback.<br />

Last day stakeholders may provide feedback <strong>to</strong> SCE.<br />

SCE posts revised draft <strong>of</strong> pro forma CREST PPA on<br />

www.sce.com/crest.<br />

SCE hosts web conference on proposed pro forma CREST PPA.<br />

SCE submits Advice Letter <strong>to</strong> CPUC for CREST PPA.<br />

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