Monitoring and Evaluation Report of Southern California Gas Company Gas Cost Incentive Mechanism
Overview
The two largest natural gas utilities in California have a ratemaking mechanism to provide a financial incentive to purchase and transport gas on behalf of households and other core customers at the lowest possible cost. The mechanisms compare recorded utility procurement costs to prevailing market prices, or benchmarks, and are reviewed annually by the Commission. The utility shareholders are eligible for financial rewards and potential penalties based on their performance.
The mechanism for Southern California Gas Company (SoCalGas) is called the Gas Cost Incentive Mechanism (GCIM). The utility files a separate application to document its performance over the last year. The Public Advocates Office conducts annual audits of SoCalGas GCIM filings.
Our Monitoring and Evaluation Reports are available through the links below.
- Year 28 (October 15, 2022)
- Year 27 (October 15, 2021)
- Year 26 (October 15, 2020)
- Year 25 (October 11, 2019)
- Year 24 (November 8, 2018)
- Year 23 (October 16, 2017)
- Year 22 (October 14, 2016)
- Year 21 (October 12, 2015)
- Year 20 (November 14, 2014)
- Year 19 (October 25, 2013)
- Year 18 (January 18, 2013)
The Public Advocates Office conducts annual audits on a similar mechanism specific to Pacific Gas & Electric Company called the Core Procurement Incentive Mechanism (CPIM). These audits can be accessed on the CPIM reports page.
Note: SoCal Gas also purchases natural gas on behalf of San Diego Gas & Electric Company, so SDG&E does not file similar reports.