2025 General Rate Case - Risk Policy, Climate Change Policy, and Environmental & Social Justice Goals

Sep 4, 2026

Filing for the 2025 General Rate Case before the California Public Utilities Commission outlines Southern California Edison’s risk policy approach, climate change policy, and alignment with environmental and social justice goals. The submission details enterprise risk management, enterprise governance, and the 2022 RAMP overview, including RAMP integration with GRC, risk modeling advances, and climate adaptation and vulnerability assessment processes. It also describes compliance actions tied to CPUC environmental and social justice objectives.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages60

Reading Time2 h 31 min

AccessFree to download

I. INTRODUCTION

II. OVERVIEW OF ENTERPRISE RISK AT SCE

A. Introduction to SCE Enterprise Risk Management

B. Governance Structure and Leadership Engagement

III. SCE 2022 RAMP OVERVIEW

A. Introduction

B. Background

C. Overall Parameters of RAMP Filings

D. SPD and Intervening Parties’ Feedback on RAMP

E. SCE Responses to Feedback from SPD and Intervening Parties

F. RAMP Integration with GRC

1. Risk Spending Efficiency Scores and Cost-Benefit Ratios

2. SCE’s 2022 RAMP Integration Approach For Test Year 2025 GRC Testimony

3. Compliance Requirements

IV. ADVANCES IN SCE’S RISK MODELING

A. Wildfire and PSPS Risk Modeling

B. The Risk-Informed Decision-Making Framework Is Not Yet Mature

V. OVERVIEW OF CLIMATE ADAPTATION AND VULNERABILITY ASSESSMENT

A. Overview

B. Compliance Requirements

C. Addressing Safety Policy Division’s RAMP Recommendations

D. CAVA Process

E. Climate Adaptation Inclusion in RAMP

F. Adaptation Options Included in GRC

G. Long-Term Goals for Adapting to Climate Risk

H. Lessons Learned

VI. SCE COMPLIANCE WITH CPUC ENVIRONMENTAL AND SOCIAL JUSTICE GOALS

A. ESJ Goal # 1

B. ESJ Goal # 2

C. ESJ Goal # 3

Application No.: A.23-05-010 Exhibit No.: SCE-01 Vol. 02 Witnesses: R. Archer R. LeMoine S. Torres (U 338-E) 2025 General Rate Case Risk Policy, Climate Change Policy, and Environmental & Social Justice Goals Before the Public Utilities Commission of the State of California Rosemead, California May 12, 2023 I. INTRODUCTION .............................................................................................1 R. LeMoine II. OVERVIEW OF ENTERPRISE RISK AT SCE ..............................................2 A. Introduction to SCE Enterprise Risk Management................................2 B. Governance Structure and Leadership Engagement ..............................2 III. SCE 2022 RAMP OVERVIEW.........................................................................5 A. Introduction............................................................................................5 B. Background ............................................................................................5 C. Overall Parameters of RAMP Filings ....................................................6 D. SPD and Intervening Parties’ Feedback on RAMP .............................10 E. SCE Responses to Feedback from SPD and Intervening Parties ................................................................................................... 10 1. SCE Will Provide Additional Information in Multiple Formats for Parties to Further Analyze RSEs......................................................................................... 11 2. SCE Is Complying with TURN’s Request that SCE Provide RSEs that are Calculated Over a Four-Year Period ....................................................................................... 11 3. SCE Disagrees with SPD that RSEs are Required for Compliance-Based Programs .............................................11 4. Absolute vs. Relative Risks .....................................................13 5. SCE Disagreed with SPD’s AND MGRA’s Suggestion that We have Decoupled our Wildfire Mitigation Planning from Risk Scoring...................................15 6. The Staff Report’s Recommendations Regarding the Level of Estimated Spending for Cyber Security Risk Mitigations Were Not Suitable for Resolution in a RAMP Proceeding ............................................................16 F. RAMP Integration with GRC ..............................................................17 1. Risk Spending Efficiency Scores and Cost-Benefit Ratios Are Only One of Several Factors that Must Be Considered in a Prudent Risk-Informed Decision-Making Process ........................................................17 2. SCE’s 2022 RAMP Integration Approach For Test Year 2025 GRC Testimony .....................................................19 3. Compliance Requirements .......................................................21 a) S-MAP and RISK OIR Framework and Methodologies..............................................................21 b) Test Year 2021 GRC Decision Requirements ...............................................................26 IV. ADVANCES IN SCE’S RISK MODELING ..................................................28 A. Wildfire and PSPS Risk Modeling ......................................................28 B. The Risk-Informed Decision-Making Framework Is Not Yet Mature ...........................................................................................30 V. OVERVIEW OF CLIMATE ADAPTATION AND VULNERABILITY ASSESSMENT...............................................................32 S. Torres A. Overview ..............................................................................................32 B. Compliance Requirements ...................................................................32 C. Addressing Safety Policy Division’s RAMP Recommendations............................................................................

FAQs

What is the purpose of the 2025 General Rate Case filing described in the document?

It presents SCE’s risk policy and climate-related policies and explains how the company aligns with CPUC environmental and social justice goals as part of the 2025 General Rate Case proceedings.

How does the document describe SCE’s enterprise risk management and governance?

It provides an overview of enterprise risk management, including the governance structure and leadership engagement that guide how risks are managed across the enterprise.

What frameworks and processes are covered for climate adaptation and vulnerability assessment?

It outlines the climate adaptation and vulnerability assessment overview, compliance requirements, how recommendations are addressed, and the CAVA process, including analytical framework and community engagement.

Sep 4, 2026

Uploaded by Sophia Brooks