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Development of Rates and Infrastructure for Vehicle Electrification ("DRIVE")
R. 18-12-006
July 15, 2021

Commission Approved a Streamlined Advice Letter Process for IOU Investment in Transportation Electrification

D. 21-07-028 specifically adopts guidance and a streamlined advice letter process regarding near-term priorities for Transportation Electrification ("TE") investments by the IOUs. The streamlined process is intended to address the urgent need to meet the state’s EV policy goals by 2025 while focusing on issues of equity and environmental justice requirements.

California has established several critical TE policy goals to accelerate the adoption of Zero-Emission Vehicles ("ZEVs") and increase access to charging station. Most recently, in  September 2020, Governor Newsom issued Executive Order N-79-20, which sets multiple additional ZEV goals:

1) 100 percent of in-state sales of new passenger cars and trucks be ZEVs by 2035;

2) 100 percent of medium- and heavy-duty (MD/HD) vehicles in the state be ZEVs by 2045, for all operations where feasible and by 2035 for drayage trucks; and

3) 100 percent of zero-emission off-road vehicles and equipment be ZEVs by 2035, where feasible.

The Decision sets forth a streamlined process for IOUs to seek approval of projects within the following near-term priorities:

  • promoting resilience;
  • serving customers without access to home charging;
  • investments in medium and heavy-duty vehicles;
  • new building construction; and
  • upgrading chargers and panels for low-income customers.

Each near-term priority program proposal using the advice letter process must have a budget that does not exceed $20 million, and each IOU's aggregated budget for program proposals is limited to $80 million.

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D. 21-07-028
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