PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA

ENERGY DIVISION				 RESOLUTION G-3269
 OCTOBER 7, 1999

R E S O L U T I O N

Resolution G-3269.  Southwest Gas Corporation (Southwest) requests approval of its Refund Plan No. 29 which would distribute refunds received from Pacific Gas and Electric Company (PG&E) and El Paso Natural Gas Company (El Paso) to Southwest’s gas customers.  Southwest’s request is approved with an effective date of today.

By Advice Letter 594, filed on July 27, 1999.
___________________________________________________________

SUMMARY 

This Resolution approves Southwest Advice Letter 594 with an effective date of today. Southwest proposes to implement Refund Plan No. 29 to distribute refunds received from PG&E and El Paso to its own gas customers. 

BACKGROUND

	In June 1997 El Paso refunded $5,551.53 to Southwest as ordered by the Federal Energy Regulatory Commission (FERC) Docket No. RP91-26-14.

	In February 1998 El Paso refunded $17,795.28 to Southwest as ordered by FERC Docket No. RP91-26-16.

In September 1998, Southwest received $2,720,097.17 in refunds from PG&E.  The refunds represented the distribution of refunds related to PG&E’s Advice Letter Nos. 1973-G-A and 2000-G.

On July 27, 1999, Southwest filed Advice Letter No. 594 that contained its Refund Plan No. 29.  Refund Plan No. 29 indicated how Southwest intends to refund the monies received by El Paso and PG&E to its own gas customers.  

Southwest requested an effective date of September 5, 1999, but later withdrew its request to implement that effective date.

NOTICE

Public notice of the Advice Letter was made by publication in the Commission Calendar and by Southwest mailing copies of the filing to interested parties in accordance with Section III-G of General Order (G.O.) 96-A.

PROTESTS

	No protests were filed.

DISCUSSION

	The issues before us are whether to permit Southwest to implement Refund Plan No. 29 and to determine if the Refund Plan No. 29 methodology is reasonable.

	Southwest is proposing that the refunds received from El Paso and PG&E be credited to the Purchased Gas Cost Balancing Account (PGA) for current sales customers.  Bill credits or checks will be implemented to non-PGA customers and other customers who have changed transportation service or are no longer customers of Southwest.

Southwest has taken into consideration the different eligibility time periods of the PG&E and El Paso refunds in determining the amount of refunds to be distributed to its own customers. The amount of the refund will be determined by the therms used by the customers during these time periods.

	Southwest’s next PGA filing will contain a rate revision.  Included in the consideration to revise the rates will be the refunds received by El Paso and PG&E.

Refund Plan No. 29 methodology to refund or credit Southwest’s customers is reasonable.

COMMENTS

This is an uncontested matter in which the resolution grants the relief requested.  Accordingly, pursuant to P.U. Code Section 311(g)(2), the otherwise applicable 30-day period for public review and comment is being waived.

FINDINGS

1.	By Advice Letter 594, filed on July 27, 1999, Southwest Gas Corporation requested to implement Refund Plan No. 29.

2.	Southwest’s Refund Plan No. 29 is reasonable.

THEREFORE, IT IS ORDERED THAT:

1.	Southwest Gas Corporation’s Advice Letter 594 is approved with an effective date of today.

2.	This Resolution is effective today.

I certify that the foregoing resolution was duly introduced, passed and adopted at a conference of the Public Utilities Commission of the State of California held on October 7, 1999; the following Commissioners voted favorably thereon: 

							________________________

							   WESLEY M. FRANKLIN
							        Executive Director 

							    RICHARD A. BILAS
								President
							     HENRY M. DUQUE
							     JOSIAH L. NEEPER
							     JOEL Z. HYATT
							     CARL W. WOOD
							      COMMISSIONERS