In a rare show of unanimity, California’s five energy regulators agreed on two different natural gas requests from Sempra Energy’s two utilities — Southern California Gas Co. and San Diego Gas and Electric Co.

One action clarifies an inherited supply contract tied to a state bulk power contract, and the other item opens the utilities’ gas distribution pipes to cable/telecom operators.

As part of the allocation of the state Department of ‘Water Resources (DWR) power contracts, a related gas contract was tied to one of the deals with Oklahoma-based Williams Energy Services. SDG&E was allowed part of the power and part of the related gas contracts; Southern California Edison Co. received the rest. The California Public Utilities Commission agreed to allocate the gas contracts the same way the electricity volumes in the Williams deals were split up.

“DWR’s methodology matches the needs of its long-term power supply contracts with the principal quantities of gas to be delivered under the Williams’ gas contracts,” said CPUC President Michael Peevey. “I think this approach is reasonable and straightforward.”

Within a few minutes more time, the five CPUC commissioners also unanimously approved a more than year-old request from Sempra’s gas utilities to allow telecommunications and cable firms to run fiber optic cable in live natural gas distribution pipelines using a patented technology developed by a non-utility affiliate in the Sempra organization — Sempra Fiber Links. The approval, however, was strictly tied to the two utilities.

“This is an exciting new technology that has the potential to solve the ‘last-mile’ problem in utility (telecom) service by using pre-existing infrastructure without the need for major construction work,” Peevey said. “Instead of digging up streets to install fiber optics in urban areas, carriers would be able to make small incisions in each end of a gas distribution line and run the cable through the gas pipe with no disruption of natural gas service.”

In approving the new process with gas utility pipelines, the CPUC also certified an environmental impact report that determined with appropriate mitigation measures and notification requirements, the procedure meets the California Environmental Quality Act (CEQA) standards, Peevey said.

For the initial three years, there is a limit to the miles of pipe that can be involved, and there will be additional reports from the utilities before expanding the program. Net revenues will be shared under the two utilities’ performance-based ratemaking procedures.

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