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					CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 1
                             Canceling Original                         CPUC Sheet No. 1




                                            TARIFF SCHEDULES

                                                 Applicable to

                                             ELECTRIC SERVICE

                                                           of

                             CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC

                                            933 ELOISE AVENUE

                                 SOUTH LAKE TAHOE, CALIFORNIA 96150


                                            Operating in (or Near)

                                Portions of the Counties of Nevada, Placer
                                Sierra, Plumas, Eldorado, Mono and Alpine
                                          in the State of California



       The following tariff schedules have been regularly filed with the Public Utilities Commission of
       the State of California and are the effective rates and rules of this Utility.

       The Public Utilities Commission may amend or cancel these rates and rules by formal
       procedure, and the Utility may amend or withdraw them after application to the Commission
       and receipt of authority for such action.

       No officer, inspector, solicitor, agent, or employee of the Utility has any authority to waive,
       alter, or amend these tariff schedules or any part thereof in any respect, except in the manner
       provided above.

       Applicants for service and customers must conform to and comply with these tariff schedules.




                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                CPUC Sheet No. 2
                             Canceling Original                   CPUC Sheet No. 2


                                         TABLE OF CONTENTS
                                                                            CAL. P.U.C.
                                                                            SHEET NO.
       TITLE PAGE                                                          1
       TABLE OF CONTENTS                                                   2, 3
       TABLE OF CONTENTS – RATE SCHEDULES                                  4
       TABLE OF CONTENTS – RULES                                           5, 6
       TABLE OF CONTENTS – STANDARD FORMS                                  7

       PRELIMINARY STATEMENT:
          1.     Territory Served                                          8
          2.     Description of Service                                    8
          3.     Procedure to Obtain Service                               8
          4.     Establishment of Credit and Deposits                      8
          5.     General                                                   9
          6.     Energy Cost Adjustment Clause (ECAC)                      9-28
          7.     Conservation Financing Adjustment                         29, 30
          8.     Electric Revenue Adjustment Mechanism                     31-33
          9.     California Alternate Rates for Energy (CARE)
                 Surcharge Provision                                       34-36
          10.    Income Tax Component of Contributions                     37,38
                 and Advances
          11.    Symbols                                                   38,39
          12.    Memorandum Accounts
              A. Catastrophic Event Memorandum Account (CEMA)              39,40
              B. Fire Hazard Prevention Memorandum Account (FHPMA)         41
          13.    Electric and Magnetic Fields (EMF) Measurement Policy     42-44
          14.    Electric and Magnetic Fields Experimental Research
                 Balancing Account (EMFERBA)                               45,46
          15.    Baseline Balancing Account                                47
          16.    Low Income Energy Efficiency (LIEE)
                 Surcharge Mechanism                                       48,49


                                                (Continued)




                                            Issued by
Advice Letter No.   1-E                   Bob Dodds            Date Filed         November 23, 2010
                                              Name
Decision No.    10-10-017              President and CEO       Effective     January 1, 2011
                                              Title
                                                               Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised           CPUC Sheet No. 3
                             Canceling Original              CPUC Sheet No. 3


                                       TABLE OF CONTENTS
                                             (Continued)

                                                                        CAL. P.U.C.
                                                                        SHEET NO.

       SERVICE AREA:
               1. Franchised Service Area Map                           50
               2. Description of Service Area                           51,52

       FUTURE USE:
       Intentionally left Blank                                         53-75




                                            Issued by
Advice Letter No.    1-E                  Bob Dodds        Date Filed    November 23, 2010
                                                Name
Decision No.     10-10-017            President and CEO    Effective    January 1, 2011
                                                Title
                                                           Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                   CPUC Sheet No. 4
                             Canceling Original                      CPUC Sheet No. 4


                                             TABLE OF CONTENTS
                                                  (Continued)

                                                 RATE SCHEDULES
       SCHEDULE                                                                     CAL. P.U.C.
       NO.     TITLE OF SHEET                                      TERRITORY        SHEET NO.
       D-1     Domestic Service                                    Entire           76-79
       TOU D-1      Time-Of-Use Domestic service                   Entire           80-83

       CARE         CARE Domestic Service                          Entire           84-89
       DS-1         Multi-Unit Domestic Service – Submetered       Entire           90-93
       DM-1         Multi-Unit Domestic Service – Not-Submetered   Entire           94-96
       DE           Domestic Service to Company Employees          Entire           97
       EXPCARE Expanded CARE, Service to Qualified
               Agricultural Employee Housing and Nonprofit
               Group Living Facilities                             Entire           98-106
       A-1          Small General Service                          Entire           107-109
       TOU A-1      Time-Of-Use Small General Service              Entire           110-112
       A-2          Medium General Service                         Entire           113-116
       TOU A-2      Time-Of-Use Medium General Service             Entire           117-119
       A-3          Large General Service                          Entire           120-123
       PA           Optional Interruptible Irrigation Service      Entire           124,125
       SL/OL        Street and Outdoor Lighting                    Entire           126,127
       SE           Service Establishment Charges                  Entire           128
       CSPP         Cogeneration and Small Power Production        Entire           129,130
       RF           Surcharge to Fund Public Utilities
                    Commission Reimbursement Fee                   Entire           131
       DAS          Direct Access Service Charges                  Entire           132-136
       NEM          Net Metering Service                           Entire           137-145
       WATER        Water Agency Tariff For Eligible Renewable     Entire           146-151

       Future Use
       Intentionally Left Blank Pages                                               152-172

                                                  Issued by
Advice Letter No.    1-E                        Bob Dodds          Date Filed    November 23, 2010
                                                    Name
Decision No.     10-10-017                  President and CEO      Effective    January 1, 2011
                                                    Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                   CPUC Sheet No. 5
                             Canceling Original                      CPUC Sheet No. 5



                                          TABLE OF CONTENTS
                                              (Continued)

                                                       RULES
       RULE                                                                    CAL. P.U.C.
       NO.           TITLE                                                      SHEET NO.
       1             Definitions                                               173-186
       2             Description of Service                                    187-194
       3             Application for Service                                   195
       4             Contracts                                                 196
       5             Special Information Required on Forms                     197-201
       6             Establishment and Reestablishment of Credit               202,203
       7             Deposits                                                  204
       8             Notices                                                   205,206
       9             Rendering and Payment of Bills                            207-209
       10            Disputed Bills                                            210,211
       11            Termination, Restoration and Refusal                      212-215
                     of Service
       12            Optional Rates and Information be Provided                216,217
                     the Public
       13            Temporary Service                                         218,219
       14            Continuity of Service                                     220
       14.1          Prohibitions and Curtailment Provisions                   221-223
       15            Electric Line Extensions Definitions                      224-237
       16            Service Extensions Definitions                            238-256
       17            Measurement of Service                                    257
       18            Meter Tests and Adjustment of Bills                       258,259
       19            Supply to Separate Premises and Resale                    260-262
       20            Replacement of Overhead with Underground                  263-267
                     Electric Facilities                                       268
       21            Generating Facility Interconnections                      269-341



                                                (Continued)




                                             Issued by
Advice Letter No.   1-E                    Bob Dodds               Date Filed November 23, 2010
                                               Name
Decision No.    10-10-017              President and CEO           Effective   January 1, 2011
                                               Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                  CPUC Sheet No. 6
                             Canceling Original                     CPUC Sheet No. 6


                                              TABLE OF CONTENTS
                                                  (Continued)

                                                          RULES


       22             Direct Access Service                                    342-406

                                        CONTRACTS AND DEVIATIONS

                      List of Contracts and Deviations                         407

       Future Use:
       Intentionally Left Blank                                                408-430




                                                   (Continued)




                                                Issued by
Advice Letter No.   1-E                       Bob Dodds           Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO        Effective    January 1, 2011
                                                  Title
                                                                  Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                      CPUC Sheet No. 7                (T)
                             Canceling 1st Revised                      CPUC Sheet No. 7                (T)



                                             TABLE OF CONTENTS

                                               STANDARD FORMS


       FORM                                                                               CAL. P.U.C.
       NO.                    APPLICATION AND AGREEMENTS                                  SHEET NO.

       98-0267        Deferred Payment Agreement                                          431
       98-0289        Residential Service Authorization                                   432
       98-0290        Authorization for Non-Residential (Commercial) Utility              433,434
                       Service(s) and Credit Application
       98-0303        Emergency Turn-On Service Order Request                             435
       98-1701        Bill for Service                                                    436,437
       98-0275        Notice - Service has been Terminated                                438
       98-1370        48 - Hour Notice - Termination of Service                           439,440
       98-0249        Certificate of Deposit                                              441
       98-2763        Utility Facility Agreement                                          442-446
       98-1045        Outdoor Lighting Agreement                                          447,448
                       (Schedule No. OL-1)
                      Contract for Schedule PA Electric Service                           449-452
                      Application for CalPeco’s California Alternative Rates
                       for Energy (CARE)                                                  453
                      Application for CalPeco’s California Alternative Rates for
                       Energy Expanded CARE for Group-Living Facilities                   454,455
       98-3290        Proposal to Purchase and Agreement for Transfer of
                       Ownership of Distribution Systems                                  456-471

       11-0100        Affidavit in Support of Customer Claim as Qualifying
                      as a Microbusiness Under Government
                      Code Section 14837                                                  472           (T)

       Future Use
       Intentionally Left Blank                                                           473-480       (T)




                                                Issued by
Advice Letter No.   3-E                       Bob Dodds              Date Filed March 1, 2011           (T)
                                                  Name
Decision No.     10-10-032                President and CEO          Effective     March 1, 2011        (T)
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 8
                             Canceling Original                          CPUC Sheet No. 8


                                         PRELIMINARY STATEMENT

       1.      TERRITORY SERVED

               The California Pacific Electric Company, LLC supplies electric service in portions
               of the counties of Nevada, Placer, Sierra, Plumas, Eldorado, Mono, and Alpine in
               the State of California.

       2.      DESCRIPTION OF SERVICE

               Detailed Description of Service is given under Rule No. 2.

       3.      PROCEDURE TO OBTAIN SERVICE

               Any person or firm whose premises are within the service territory of California
               Pacific Electric Company, LLC may obtain service by (1) making an application in
               accordance with Rule No. 3 and, if required, by signing a contract in accordance
               with Rule No. 4, and (2) establishing credit in accordance with Rule No. 6.
               However, where an extension of the utility’s lines or other substantial investment
               is necessary, then applicant will be informed as to the conditions under which
               service will be supplied. Applicants for service must conform to and comply with
               the utility’s tariff schedules.

       4.      ESTABLISHMENT OF CREDIT AND DEPOSITS

               A.     Establishment of Credit

                      As set forth in Rule No. 6, credit may be established as follows:
                      (1) ownership of property, (2) cash deposit, (3) guarantee, (4)
                      previous regular payment of bills, or (5) otherwise to the satisfaction
                      of the utility.

               B.     Deposit

                      Where credit is not otherwise established, deposit will be required
                      in amounts as set forth in Rule No. 7.


                                                    (Continued)




                                                 Issued by
Advice Letter No.   1-E                         Bob Dodds             Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 9
                             Canceling Original                        CPUC Sheet No. 9


                                        PRELIMINARY STATEMENT
                                                (Continued)
       5.      GENERAL

               A.    Measurement

                     Measurement of Electric Energy: All electric energy as supplied by the California
                     Pacific Electric Company, LLC to its customers shall be measured by means of
                     suitable standard electric meters, except energy delivered under street lighting
                     tariffs on a rate-per-lamp basis, and energy, estimated from load and operating
                     time data, for highway sign lighting, traffic control, and other installations where
                     metering is impractical.

               B.    Discounts

                     No discounts are allowed from bills, or minimum charges, except as specifically
                     provided in certain schedules.

       6.      ENERGY COST ADJUSTMENT CLAUSE (ECAC)

                     Pursuant to D.96-05-059, the ECAC “Offset” Balancing Account Mechanism was
                     suspended effective June 1, 1996.

                     Effective January 16 2004, the mechanism was reinstated in compliance with
                     D.04-01-027.

               A.    Purpose

                     The purpose of the Energy Cost Adjustment Clause (ECAC) is to reflect in rates
                     through application of the Energy Cost Adjustment Clause Billing
                     Factors (ECACBF): (1) the cost of fuel and purchased power, and (2) certain
                     other energy-related costs.

               B.    Applicability

                     The energy cost adjustment clause applies to bills for service under applicable
                     rate schedules and under contracts subject to the jurisdiction of the California
                     Public Utilities Commission.

               C.    Definitions

                     (1)     Rates

                             The rates for electric service to which this ECAC provision is applicable
                             are the Adjustment Rates provided for herein.

                                                      (Continued)
                                                Issued by
Advice Letter No.   1-E                       Bob Dodds             Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                  Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 10
                             Canceling Original                         CPUC Sheet No. 10


                                           PRELIMINARY STATEMENT
                                               (Continued)

       6.      ENERGY COST ADJUSTMENT CLAUSE (ECAC) (Continued)

               C.    Definitions (Continued)

                     (2)    Revision Dates:

                            Applications for Billing Factor revisions calculated in accordance with the
                            provisions described herein shall be filed with the California Public Utilities
                            Commission annually on April 1st.

                            (a) The Revision Date for calculating the Energy Cost Adjustment
                                Clause Billing Factor (ECACBF) will be September 1st.

                            (b) Application for the annual revision to the offset rate shall be
                                made only if the change in the new fuel and purchased power
                                forecast varies by +/- 5% from the adopted forecast.

                            (c) Application for the annual update to the balancing rate to
                                amortize any cumulative over or under collection balance
                                shall be made only if the change in the balance exceeds 5%.

                     (3)    Effective Date:

                            The Effective Date for the revised Billing Factors shall be the Revision Date
                            or on such other dates as the Commission may authorize. The revised Billing
                            Factors shall be applied to bills for service rendered on and after the
                            respective Effective Dates and shall continue thereafter until the next such
                            factors become effective.

                     (4)    Forecast Periods:

                            The Forecast Period for calculating the ECACBF shall be the twelve
                            calendar month period commencing with the Revision Date.

                                                 (Continued)




                                                Issued by
Advice Letter No.   1-E                        Bob Dodds             Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 11
                             Canceling Original                       CPUC Sheet No. 11


                                             PRELIMINARY STATEMENT
                                                 (Continued)

       6.      ENERGY COST ADJUSTMENT CLAUSE (ECAC) (Continued)

               C.    Definitions (Continued)


                     (5)    Interest Rates

                            The Interest Rate to be applied to the Balancing Account shall be
                            1/12 of the interest rate on Commercial Paper, for the previous month as
                            published in the Federal Reserve Statistical Release, H. 15. Should
                            publication of the interest rate on Commercial Paper (prime, 3 months) be
                            discontinued, interest will so accrue at the rate of 1/12 of the most recent
                            month’s interest rate on Commercial Paper, which most closely
                            approximates the rate that was discontinued, and which is published in
                            the Federal Reserve Statistical Release, H. 15, or its successor
                            publication.

                     (6)    Franchise Fees and Uncollectible Accounts Expense Factor

                            The Franchise Fees and Uncollectible Accounts Expense Factor shall be
                            the rate derived from the company’s most recent general rate
                            proceeding to provide for Franchise Fees and Uncollectible Accounts
                            Expense.

               D.    Energy Cost Adjustment Clause Billing Factor (ECACBF)

                     The amount hereunder to be added to or subtracted from each bill shall be
                     the total kilowatthours for which the bill is rendered multiplied by
                     the ECACBF. The ECACBF, to become effective for service on and after each
                     Revision Date and continuing thereafter until the next ECACBF becomes
                     effective in accordance herewith, shall be the algebraic sum of the Offset
                     Rate and the Balancing Rate, multiplied by the Franchise Fees and Uncollectible
                     Accounts expense Factor, and carried to the nearest $0.00001 per kilowatthour.




                                                   (Continued)




                                                Issued by
Advice Letter No.   1-E                        Bob Dodds            Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017               President and CEO           Effective    January 1, 2011
                                                  Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 12
                             Canceling Original                         CPUC Sheet No. 12


                                           PRELIMINARY STATEMENT
                                               (Continued)

       6.      ENERGY COST ADJUSTMENT CLAUSE (ECAC) (Continued)
               D.    Energy Cost Adjustment Clause Billing Factor (ECACBF) (Continued)
                     The rates shall be further adjusted to reflect the provisions of Section 739 of the
                     Public Utilities Code, relating to baseline rates, as implemented by the
                     Commission.
                     (1)    The Offset Rate shall be equivalent to the estimated Fuel and Purchased
                            Power Cost.
                     (2)    The Balancing Rate shall be an amount per kilowatthour of sales
                            necessary to amortize the accumulated balance in the Energy Cost
                            Adjustment Account, included as a subaccount in CPUC Account Nos.
                            186 and 557. The procedures for determining the Balancing Rate and for
                            maintaining the Energy Cost Adjustment Account are set forth in Sections
                            G and H below.
               E.    Offset Rate
                     The Offset Rate shall be determined as 100% of the estimated Fuel and Purchased
                     Power cost divided by the total system kilowatthours sales estimated for the
                     Forecast Period.

               F.    Estimated Cost of Fuel and Purchased Power.
                     (1)    The estimated cost of fuel and purchased power shall be equal to:
                            (a)     The volumes of gas and of each type of oil and coal estimated to
                                    be used for electric generation during the Forecast Period
                                    expressed in therms and multiplied by the current price as set
                                    forth below, plus
                            (b)     The total purchases of capacity and energy including variable
                                    wheeling, estimated to be made from each source during the
                                    Forecast Period multiplied by their respective latest tariff, contract,
                                    or delivered price forecasted to be in effect during the Forecast
                                    Period.

                            (c)     The carrying costs of fuel inventory equal to the product of the
                                    following estimated items for the Forecast Period: (1) the average
                                    monthly number of tons of coal, barrels of oil, and gallons of diesel
                                    or propane in inventory, (2) the average inventory price per ton,
                                    barrel or gallon, and (3) the interest rate as defined in Section C
                                    (5).
                                                 (Continued)

                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 13
                             Canceling Original                       CPUC Sheet No. 13


                                           PRELIMINARY STATEMENT
                                               (Continued)

       6.      ENERGY COST ADJUSTMENT CLAUSE (ECAC) (Continued)

               F.    Estimated Cost of Fuel and Purchased Power (Continued)

                     (2)    Current prices shall be determined as follows:

                            (a)    The current cost of gas shall be the applicable supplier gas rate
                                   schedule or contract expressed in dollars per therm estimated for
                                   the Forecast Period.

                            (b)    The current price of oil and coal shall be the estimated average
                                   cost in dollars per therm of each type from inventory computed at
                                   the end of each month of the Forecast Period, using estimated
                                   replacement price of each type of such fuel for the Forecast
                                   Period and the estimated additions and withdrawals in each
                                   month.

               G.    Balancing Rate

                     The Balancing Rate per kilowatthour sold shall be determined by dividing (1) the
                     estimated balance in the Energy Cost Adjustment Account as of the Revision
                     Date by (2) the estimated Kilowatthour sales applicable to the amortization period
                     set by the Commission.




                                                (Continued)




                                               Issued by
Advice Letter No.   1-E                      Bob Dodds             Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO         Effective    January 1, 2011
                                                 Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No. 14
                             Canceling Original                              CPUC Sheet No. 14


                                               PRELIMINARY STATEMENT
                                                   (Continued)

          6.        ENERGY COST ADJUSTMENT CLAUSE (ECAC) (Continued)

               H.     Energy Cost Adjustment Account

                      Effective April 1, 1976, the utility shall maintain an Energy Cost Adjustment
                      Account. Entries shall be made to this account at the end of each month as
                      follows:

                            (1) A debit entry (credit entry, if negative) equal to:

                                (a)     The recorded cost of generation fuels and purchased energy,
                                        less thel cost of fuel for economy or surplus sales, for the month.

                                (b)     The carrying cost fuel inventories, or product of the monthly
                                        fuel inventory balances multiplied by the interest rate defined in
                                        Section C (5).

                                (c)     The sum of (a) prorated to applicable jurisdictional sales by
                                        the ratio of such jurisdictional sales to total energy sales exclusive
                                        of economy or surplus sales.

                                (d)     Less: The amount of revenue billed during the month under
                                        the Offset Rate reduced to provide for Franchise Fees and
                                        Uncollectible Accounts Expense.

                      (2)       A credit entry (debit entry, if negative) equal to the amount of revenue
                                billed during the month under the Balancing Rate reduced to provide for
                                Franchise Fees and Uncollectible Accounts.

                      (3)       A credit entry equal to the amount of any cash refunds, including
                                associated interest, received from its fuel or purchased power suppliers
                                on and after the date the Energy Cost Adjustment Clause becomes
                                effective and applicable to retail energy sales.

                      (4)       A debit entry (credit entry, if negative) equal to the average of the
                                beginning and ending balance multiplied by the interest rate as defined in
                                Section C (5).



                                                     (Continued)



                                                    Issued by
Advice Letter No.    1-E                          Bob Dodds               Date Filed    November 23, 2010
                                                     Name
Decision No.    10-10-017                    President and CEO            Effective    January 1, 2011
                                                      Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                               CPUC Sheet No. 15
                             Canceling Original                                  CPUC Sheet No. 15


                                                PRELIMINARY STATEMENT
                                                       (Continued)
       6.        Energy Cost Adjustment Clause (ECAC) (Continued)

                 I.       Billing Factors
                          The following factors have been, or are, in effect for the period shown:
                                         Energy Cost Adjustment Clause Billing Factor $/kWh
                                                            Residential
                               DS-1, D-1        DS-1, D-1          DS-1, D-1
                                & DM-1          & DM-1              & DM-1        NEM
 Effective On and               Baseline        Non- Prem           Excess       (D - 1)        SL/OL     PA *
 After

 April 1, 1994

 Offset                        .01710          N/A                 .03183       N/A          .02098     .02473
 Balancing                     .00186          N/A                 .00186       N/A          .00186     .00186
 Total                         0.01896         N/A                 0.03369      N/A          0.02284    0.02659

 June 1, 1996

 Offset                        .01459          N/A                 .02563       N/A          .01362     .02654
 Balancing                     .00000          N/A                 .00000       N/A          .00000     .00000
 Total                         0.01459         N/A                 0.02563      N/A          0.01362    0.02654

 January 16, 2004

 Offset                        .03416          N/A                 .05180       N/A          .04500     .04500
 Balancing                     .00000          N/A                 .00000       N/A          .00000     .00000
 Total                         .03416          N/A                 .05180       N/A          .04500     .04500

 December 1, 2004

 Offset                        .04051          N/A                 .05899       N/A          .05188     .05188
 Balancing                     .00772          N/A                 .00772       N/A          .00772     .00722
 Total                         .04823          N/A                 .06671       N/A          .05960     .05960

 September 1, 2006

 Offset                  .03714          N/A             .06075       .05188     .05188                 .05188
 Balancing               .00772          N/A             .00772       .00772     .00772                 .00772
 Total                   .04486          N/A             .06848       .05960     .05960                 .08186
  * Prior to August 1, 1989, PA offset and balancing rates were the same as A-1.
                                                (Continued)

                                                       Issued by
Advice Letter No.        1-E                         Bob Dodds                 Date Filed    November 23, 2010
                                                        Name
Decision No.          10-10-017                  President and CEO             Effective    January 1, 2011
                                                         Title
                                                                               Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                              CPUC Sheet No. 16
                             Canceling 1st Revised                              CPUC Sheet No. 16


                                                    PRELIMINARY STATEMENT
                                                       (Continued)
       6.      Energy Cost Adjustment Clause (ECAC) (Continued)
               I.       Billing Factors (Continued)
                        The following factors have been, or are, in effect for the period shown:
                                        Energy Cost Adjustment Clause Billing Factor $/kWh
                                                           Residential
                                                           (Continued)

                             DS-1, D-1         DS-1, D-1          DS-1, D-1
                              & DM-1           & DM-1              & DM-1        NEM
 Effective On and             Baseline         Non- Prem           Excess       (D - 1)        SL/OL     PA *
 After
 November 1, 2006
 Offset                      .05386           N/A                 .08048       .07048       .06382     .07204
 Balancing                   .00982           N/A                 .00982       .00982       .00982     .00982
 Total                       .06368           N/A                 .09030       .08030       .07364     .08027

 September 1, 2008
 Offset                      .04592           N/A                 .07064       .06167       .05584     .06303
 Balancing                   (.00334)         N/A                 (.00334)     (.00334)     (.00334)   (.00334)
 Total                       .04258           N/A                 .06730       .05833       .05250     .05969

 December 1, 2009
 Offset                      .04363           N/A                 .07195       N/A          .05584     .06303
 Balancing                   (.00334)         N/A                 (.00334)     N/A          (.00334)   (.00334)
 Total                       .04029           N/A                 .06861       N/A          .05250     .05969

 January 1, 2010
 Offset                      .06904           N/A                 .09736       N/A          .09405     .07667
 Balancing                   (.00334)         N/A                 (.00334)     N/A          (.00334)   (.00334)
 Total                       .06570           N/A                 .09402       N/A          .09071     .07333

 January 1, 2011
 Offset                      .06929           N/A                 .09761       N/A          .09405     .07681
 Balancing                   (.00334)         N/A                 (.00334)     N/A          (.00334)   (.00334)
 Total                       .06595           N/A                 .09427       N/A          .09071     .07347

 *Prior to August 1, 1989, PA offset and balancing rates were the same as A-1.


                                                      Issued by
Advice Letter No.      2-E                           Bob Dodds                Date Filed    November 30, 2010
                                                       Name
Decision No.        10-10-017                   President and CEO             Effective    January 1, 2011
                                                        Title
                                                                              Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                            CPUC Sheet No. 17
                             Canceling 1st Revised                            CPUC Sheet No. 17


                                             PRELIMINARY STATEMENT
                                                    (Continued)
       6.       Energy Cost Adjustment Clause (ECAC) (Continued)
                I.       Billing Factors (Continued)
                         The following factors have been, or are, in effect for the period shown:
                                    Energy Cost Adjustment Clause Billing Factor $/kWh
                                                     Commercial

                A-1*          A-2    A-2       A-3     A-3     A-3      A-3      A-3                 NEM
                                             On-Peak On-Peak Mid-Peak Off-Peak Off-Peak              (A-1)

                          Winter Summer Winter Summer Winter                 Winter Summer
  Sep. 1,
   2006

  Offset       .05188     .05188    .05188    .05576     .06222    .05329     .04379     .04755     .05188
 Balancing     .00772     .00772    .00772    .00772     .00772    .00772     .00772     .00772     .00772
   Total       .05960     .05960    .05960    .06348     .06994    .06101     .05151     .05527     .05960
  Nov. 1,
   2006

  Offset       .07045     .07043    .07043    .07413     .08244    .07205     .06006     .06383     .07045
 Balancing     .00982     .00982    .00982    .00982     .00982    .00982     .00982     .00982     .00982
   Total       .08027     .08025    .08025    .08395     .09226    .08187     .06988     .07365     .08027

  Sep. 1,
   2008

  Offset        .06165 .06171 .06171 .06486 .07213           .06305           .05255      .05585     .06165
 Balancing     (.00334) (.00334) (.00334) (.00334) (.00334) (.00334)         (.00334)    (.00334)   (.00334)
   Total        .05831 .05837 .05837 .06152 .06879           .05971           .04921      .05251     .05831

  Dec. 1,
   2009

  Offset        .06165 .05407 .07605 .06585 .06568           .06731           .05346      .04929      N/A
 Balancing     (.00334) (.00334) (.00334) (.00334) (.00334) (.00334)         (.00334)    (.00334)     N/A
   Total        .05831 .05073 .07271 .06251 .06234           .06397           .05012      .04595      N/A

  Jan. 1,
   2010

  Offset        .09290 .07684 .12304 .07588 .07571           .07734           .06349      .05932      N/A
 Balancing     (.00334) (.00334) (.00334) (.00334) (.00334) (.00334)         (.00334)    (.00334)     N/A
   Total        .08956 .07350 .11970 .07254 .07237           .07400           .06015      .05598      N/A



                                                       Issued by
Advice Letter No.       2-E                       Bob Dodds                 Date Filed     November 30, 2010
                                                        Name
Decision No.         10-10-017                President and CEO             Effective    January 1, 2011
                                                         Title
                                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 17.1
                             Canceling Original                          CPUC Sheet No. 17.1

  Jan. 1,
   2011

  Offset        .09321 .07707 .12351 .07598 .07581           .07744      .06359      .05942    N/A
 Balancing     (.00334) (.00334) (.00334) (.00334) (.00334) (.00334)    (.00334)    (.00334)   N/A
   Total        .08987 .07373 .12017 .07264 .07247           .07410      .06025      .05608    N/A
        * Rate Schedule PA’s May 1, 1988, offset and balancing rates are the same as A-1.




                                                 Issued by
Advice Letter No.    2-E                       Bob Dodds               Date Filed     November 30, 2010
                                                  Name
Decision No.     10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                                  CPUC Sheet No 18
                             Canceling Original                                     CPUC Sheet No. 18


                                                    PRELIMINARY STATEMENT
                                                           (Continued)
       6.        Energy Cost Adjustment Clause (ECAC) (Continued)
                 I.        Billing Factors (Continued)
                           The following factors have been, or are, in effect for the period shown:
                                        Energy Cost Adjustment Clause Billing Factor $/kWh
                                                         Commercial

                       A-1 *      A-2       A-2        A-3     A-3     A-3      A-3                 A-3
                                                     On-Peak On-Peak Mid-Peak Off-Peak            Off-Peak
 May 1, 1983
                               Winter Summer Winter Summer Winter                     Winter      Summer

    Offset             .02474   .02530 .02355 .02691 .02400         .02652             .02312      .02267
   Balancing          (.00013) (.00013) (.00013) (.00013) (.00013) (.00013)           (.00013)     (.00013)
     Total             .02461   .02517 .02342 .02678 .02387         .02639             .02299      .02254

 April 1, 1994

    Offset            .02925    .02169     .01955     .02298      .02042   .02289     .01899        .01675
   Balancing          .00186    .00186     .00186     .00186      .00186   .00186     .00186        .00186
     Total            .03111    .02355     .02141     .02484      .02228   .02475     .02085        .01861

 June 1, 1996

    Offset            .03054    .02357     .01980     .01867      .01471   .01820     .01299        .01133
   Balancing          .00000    .00000      .00000    .00000      .00000   .00000     .00000        .00000
     Total            .03054    .02357     .01980     .01867      .01471   .01820     .01299        .01133

 Jan. 16, 2004

    Offset            .04500    .04500     .04500     .05051      .05921   .04774     .03699        .03146
   Balancing          .00000    .00000     .00000     .00000      .00000   .00000     .00000        .00000
     Total            .04500    .04500     .04500     .05051      .05921   .04774     .03699        .03146

 Dec. 1, 2004

    Offset            .05188    .05188     .05188     .05815      .06815   .05497     .04261        .03625
   Balancing          .00772    .00772     .00772     .00772      .00772   .00772     .00772        .00772
     Total            .05960    .05960     .05960     .06587      .07587   .06269     .05033        .04397

 * Rate Schedule PA’s May 1, 1988, offset and balancing rates are the same as A-1.

                                                       (Continued)



                                                        Issued by
Advice Letter No.        1-E                          Bob Dodds                Date Filed        November 23, 2010
                                                          Name
Decision No.          10-10-017                   President and CEO            Effective     January 1, 2011
                                                          Title
                                                                               Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No 19
                             Canceling Original                           CPUC Sheet No. 19


                                           PRELIMINARY STATEMENT
                                                   (Continued)


       6.      Energy Cost Adjustment Clause (ECAC) (Continued)

               I.       Billing Factors (Continued)

                        The following factors have been, or are, in effect for the periods shown:

                                Effective On and After               Annual Energy Rate $/kWh

                                December 11, 1981                     .00131

                                May 19, 1982                          .00119

                                April 27, 1983                        .00134

                                March 7, 1984                         .00854

                                June 5, 1985                          .00825

                                February 5, 1986                      .00744

                                January 1, 1987                       .00598

                                May 1, 1988                           .00609

                                August 1, 1989                        .00617

                                October 1, 1990                       .00645

                                September 15, 1991                    .00653

                                May 1, 1993                           .00698

                                April 1, 1994                         .00706

                                January 16, 2004                      .00000




                                                       (Continued)

                                                   Issued by
Advice Letter No.      1-E                        Bob Dodds            Date Filed    November 23, 2010
                                                      Name
Decision No.        10-10-017                 President and CEO        Effective    January 1, 2011
                                                      Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No 20
                             Canceling Original                           CPUC Sheet No. 20


                                              PRELIMINARY STATEMENT
                                                  (Continued)

       6.      ENERGY COST ADJUSTMENT CLAUSE (ECAC) (Continued)

               J.       Energy Cost Adjustment Clause Billing Factors

                        The following factors have been, or are, in effect for the period shown:

                                                   Energy Cost Adjustment Billing Factor
                                                          (¢/kWh) Applicable to
                         Effective On                 Residential                  Non-Residential
                         And After           Lifeline          Non-Lifeline        Non-Lifeline
                                            Quantities          Quantities          Quantities
                        July 1, 1976
                          Offset              1.084                  1.084                  1.084

               *        May 19, 1977
                         Offset               1.153                  1.153                  1.153

               **       February 4, 1978
                         Offset               1.887                  1.887                  1.887

                        February 7, 1978
                         Offset               1.753                  2.565                  2.565
                         Balancing             .205                   .205                   .205
                         Total                1.958                  2.770                  2.770

                        November 28, 1978
                         Offset               1.836                  2.648                  2.648
                         Balancing             .439                   .439                   .439
                         Total                2.275                  3.087                  3.087

                        April 10, 1979
                         Offset               1.885                  2.697                  2.697
                         Balancing             .145                   .145                   .145
                         Total                2.030                  2.842                  2.842

                        December 5, 1979
                         Offset               2.129                  2.941                  2.941
                         Balancing             .014                   .014                   .014
                         Total                2.143                  2.955                  2.955

               *        Initial ECAC rate (Decision No. 87307)
               **       Removal of Energy costs from base rates (Decision No. 88337)
                                                   (Continued)
                                                  Issued by
Advice Letter No.      1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                    Name
Decision No.        10-10-017               President and CEO          Effective    January 1, 2011
                                                      Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No 21
                             Canceling Original                             CPUC Sheet No. 21


                                              PRELIMINARY STATEMENT
                                                  (Continued)

       6.      ENERGY COST ADJUSTMENT CLAUSE (ECAC) (Continued)

               J.       Energy Cost Adjustment Clause Billing Factors (Continued)




                                                   Energy Cost Adjustment Billing Factor
                                                          (¢/kWh) Applicable to
                         Effective On                 Residential                  Non-Residential
                         And After           Lifeline          Non-Lifeline        Non-Lifeline
                                            Quantities          Quantities          Quantities

                        August 6, 1980
                         Offset               2.875                   4.043                 4.043
                         Balancing             .209                    .209                  .209
                         Total                3.084                   4.252                 4.252

                        February 27, 1981
                         Offset               2.802                   4.105                 4.057
                         Balancing             .517                    .517                  .517
                         Total                3.319                   4.622                 4.574

                        August 25, 1981
                         Offset               2.993                   4.492                 4.437
                         Balancing             .827                    .827                  .827
                         Total                3.820                   5.319                 5.264




                                                              (Continued)




                                                  Issued by
Advice Letter No.      1-E                      Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.        10-10-017               President and CEO           Effective    January 1, 2011
                                                      Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                                 CPUC Sheet No 22
                             Canceling Original                                    CPUC Sheet No. 22


                                               PRELIMINARY STATEMENT
                                                      (Continued)

       6.       Energy Cost Adjustment Clause (ECAC) (Continued)

                J.       Billing Factors (Continued)

                         The following factors have been, or are, in effect for the period shown:

                                        Energy Cost Adjustment Clause Billing Factor $/kWh
                                                           Residential

                                 DS-1        D-1 & DM-1           In Excess of   In Excess of
 Effective On and After          Lifeline    Lifeline             Lifeline       5000 kWh           Non Residential

 December 11, 1981

 Offset                          .01566      .01759               .04966         .06324             .03935
 Balancing                       .00176      .00176               .00176         .00176             .00176
 Total                           0.01742     0.01935              0.05142        0.06500            0.04111

 May 19, 1982

 Offset                          .01455      .01628               .04671         .06400             .03653
 Balancing                       .00100      .00100               .00100         .00100             .00100
 Total                           0.01555     0.01728              0.04771        0.06500            0.03753

 October 1, 1982

 Offset                          .02211      .02392               .05601         .07082             .04523
 Balancing                       (.00582)    (.00582)             (.00582)       (.00582)           (.00582)
 Total                           .01629      .01810               .05019         .06500             .03941

 April 27, 1983

 Offset                          .02286      .02286               .05445         .07333             .04325(1)
 Balancing                       (.01371)    (.01371)             (.01371)       (.01371)           (.01371)
 Total                           .00915      .00915               .04074         .05962             .02954




     (1) Applicable to A-1, A-2, and LS/OL sales only.

                                                        (Continued)


                                                        Issued by
Advice Letter No.       1-E                         Bob Dodds                    Date Filed      November 23, 2010
                                                         Name
Decision No.         10-10-017                  President and CEO                Effective      January 1, 2011
                                                          Title
                                                                                 Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                                 CPUC Sheet No 23
                             Canceling Original                                    CPUC Sheet No. 23


                                                  PRELIMINARY STATEMENT
                                                      (Continued)

       6.       Energy Cost Adjustment Clause (ECAC) (Continued)

                J.       Billing Factors (Continued)

                         The following factors have been, or are, in effect for the period shown:

                                        Energy Cost Adjustment Clause Billing Factor $/kWh
                                                           Residential

                                 DS-1        D-1 & DM-1           In Excess of   In Excess of
 Effective On and After          Lifeline    Lifeline             Lifeline       5000 kWh           LS/OL

 August 11, 1983

 Offset                           .01671      .01624               .04577         .06318             .03504
 Balancing                       (.01185)    (.01185)             (.01185)       (.01185)           (.01185)
 Total                            .00486      .00439               .03392         .05133             .02319

 March 7, 1984

 Offset                           .00731      .00731               .04321         .06463             .03026
 Balancing                       (.00275)    (.00275)             (.00275)       (.00275)           (.00275)
 Total                            .00456      .00456               .04046         .06188             .02751

 June 5, 1985

 Offset                           .00513      .00513               .04299         .06603             .02804
 Balancing                       (.00090)    (.00090)             (.00090)       (.00090)           (.00090)
 Total                            .00423      .00423               .04209         .06513             .02714

 February 5, 1986

 Offset                           .02638      .02638               .02638         .02638             .02637
 Balancing                       (.00405)    (.00405)             (.00405)       (.00405)           (.00405)
 Total                            .02233      .02233               .02233         .02233             .02232


                                                        (Continued)




                                                        Issued by
Advice Letter No.       1-E                         Bob Dodds                    Date Filed      November 23, 2010
                                                         Name
Decision No.         10-10-017                  President and CEO                Effective      January 1, 2011
                                                          Title
                                                                                 Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No 24
                             Canceling Original                           CPUC Sheet No. 24


                                          PRELIMINARY STATEMENT
                                                 (Continued)



       6.      Energy Cost Adjustment Clause (ECAC) (Continued)

               J.       Billing Factors (Continued)

                        The following factors have been, or are, in effect for the period shown:

                                  Energy Cost Adjustment Clause Billing Factor $/kWh
                                                     Residential

                                  DS-1, D-1     DS-1, D-1            DS-1, D-1
                                   & DM-1        & DM-1                & DM-1
      Effective On and After      Baseline      Non-permanent        Tier Two           SL/OL

      May 1, 1986

      Offset                       .00452        .02759               .04122             .02637
      Balancing                   (.00405)      (.00405)             (.00405)           (.00405)
      Total                        .00047        .02354               .03717             .02232

      January 1, 1987

      Offset                       .00773        .02132               .02965             .02204
      Balancing                   (.00775)      (.00775)             (.00775)           (.00775)
      Total                       (.00002)       .01357               .02190             .01429

      May 1, 1988

      Offset                       .00041        .02288               .03755             .02289
      Balancing                   (.00306)      (.00306)             (.00306)           (.00306)
      Total                       (.00265)       .01982               .03449             .01983

      November 1, 1988

      Offset *                     .00223        .02288               .03609             .02289
      Balancing                   (.00306)      (.00306)             (.00306)           (.00306)
      Total                       (.00083)       .01982               .03303             .01983

                       * Residential Baseline Realignment – Decision No. 88-10-062.

                                                  (Continued)


                                                  Issued by
Advice Letter No.      1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                      Name
Decision No.        10-10-017                President and CEO         Effective    January 1, 2011
                                                      Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No 25
                             Canceling Original                             CPUC Sheet No. 25


                                            PRELIMINARY STATEMENT
                                                   (Continued)

       6.      Energy Cost Adjustment Clause (ECAC) (Continued)

               J.       Billing Factors (Continued)

                        The following factors have been, or are, in effect for the period shown:

                                     Energy Cost Adjustment Clause Billing Factor $/kWh
                                                        Residential

                                DS-1, D-1      DS-1, D-1         DS-1, D-1
                                 & DM-1        & DM-1             & DM-1
 Effective On and After         Baseline      Non-permanent       Excess            SL/OL       PA *

 August 1, 1989

 Offset                         .00220        .02329             .03711         .02335          .02061
 Balancing                      .00293        .00293             .00293         .00293          .00293
 Total                          0.00513       0.02622            0.04004        0.02628         0.02354

 October 1, 1990

 Offset                         .00491          N/A              .03399         .02288          .02288
 Balancing                      .00155          N/A              .00155         .00155          .00155
 Total                          0.00646                          0.03554        0.02443         0.02443

 September 15, 1991

 Offset                         .00792          N/A              .03147         .02492          .02608
 Balancing                      (.00304)        N/A              (.00304)       (.00304)        (.00304)
 Total                          .00488                           .02843         .02188          .02304

 May 1, 1993

 Offset                         .01220          N/A              .03184         .02474          .02474
 Balancing                      (.00013)        N/A              (.00013)       (.00013)        (.00013)
 Total                          .01207                           .03171         .02461          .02461

    * Prior to August 1, 1989, PA offset and balancing rates were the same as A-1.

                                                   (Continued)




                                                   Issued by
Advice Letter No.      1-E                       Bob Dodds             Date Filed     November 23, 2010
                                                      Name
Decision No.        10-10-017                President and CEO         Effective     January 1, 2011
                                                      Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No 26
                             Canceling Original                           CPUC Sheet No. 26


                                         PRELIMINARY STATEMENT
                                                (Continued)

       6.       Energy Cost Adjustment Clause (ECAC) (Continued)
                J.    Billing Factors (Continued)
                      The following factors have been, or are, in effect for the period shown:

                                  Energy Cost Adjustment Clause Billing Factor $/kWh
                                  A-1            A-2             A-3             A-3               A-3
 Effective On and After                                       On-Peak        Mid-Peak            Off-Peak

 April 27, 1983

 Offset                                                         .05088         .04604          .03188
 Balancing                                                     (.01371)       (.01371)        (.01371)
 Total                                                          .03717         .03233          .01817

 August 11,1983
 Offset                                                         .04172         .03748          .02509
 Balancing                                                     (.01185)       (.01185)        (.01185)
 Total                                                          .02987         .02563          .01324

 Mary 7, 1984

 Offset                        .03026        .03026             .03921         .03353          .01693
 Balancing                    (.00275)      (.00275)           (.00275)       (.00275)        (.00275)
 Total                         .02751        .02751             .03646         .03078          .01418

 June 5, 1985

 Offset                        .02940        .02901             .03865         .03241          .01415
 Balancing                    (.00090)      (.00090)           (.00090)       (.00090)        (.00090)
 Total                         .02850        .02811             .03775         .03151          .01325

 February 5, 1986

 Offset                        .02634        .02668             .03504         .02804          .01736
 Balancing                    (.00405)      (.00405)           (.00405)       (.00405)        (.00405)
 Total                         .02229        .02263             .03099         .02399          .01331

 January 1, 1987
 Offset                        .02058        .02186             .03044         .02448          .01553
 Balancing                    (.00775)      (.00775)           (.00775)       (.00775)        (.00775)
 Total                         .01283        .01411             .02269         .01673          .00778

                                                (Continued)

                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                   Name
Decision No.      10-10-017                President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                               CPUC Sheet No 27
                             Canceling Original                                  CPUC Sheet No. 27


                                             PRELIMINARY STATEMENT
                                                    (Continued)

          6.   Energy Cost Adjustment Clause (ECAC) (Continued)

               J.       Billing Factors (Continued)

                        The following factors have been, or are, in effect for the period shown:

                                      Energy Cost Adjustment Clause Billing Factor $/kWh
                                                       Commercial

                                  A-1        A-2          A-3         A-3          A-3          A-3       A-3
 Effective on and After                                  On-         On-           Mid-         Off-      Off-
                                                         Peak        Peak          Peak         Peak      Peak

 May 1, 1988

 Offset                          .02187     .02269                   .03140        .02480      .01487
 Balancing                      (.00306)   (.00306)                 (.00306)      (.00306)    (.00306)
 Total                           .01881     .01963                   .02834        .02174      .01181

 August 1, 1989

 Offset                         .02251     .02296                   .03188        .02474      .01400
 Balancing                      .00293     .00293                   .00293        .00293      .00293
 Total                          0.02544    0.02589                  0.03481       0.02767     0.01693

 October 1, 1990
                                                        Winter      Summer                    Winter     Summer
 Offset                         .02288     .02288       .02628      .02483        .02601      .01853     .01848
 Balancing                      .00155     .00155       .00155      .00155        .00155      .00155     .00155
 Total                          0.02443    0.02443      0.02783     0.02638       0.02756     0.02008    0.0200
                                                                                                         3

 September 15, 1991

 Offset                          .02336     .02372      .02752       .02625        .02728      .02076     .02072
 Balancing                      (.00304)   (.00304)     (.00304)    (.00304)      (.00304)    (.00304)   (.00304)
 Total                           .02032     .02068      .02448       .02321        .02424      .01772     .01768


    * Rate Schedule PA’s May 1, 1988, offset and balancing rates are the same as A-1.



                                                      (Continued)
                                                       Issued by
Advice Letter No.      1-E                            Bob Dodds                Date Filed     November 23, 2010
                                                        Name
Decision No.        10-10-017                  President and CEO               Effective     January 1, 2011
                                                         Title
                                                                               Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                            CPUC Sheet No 28
                             Canceling Original                               CPUC Sheet No. 28


                                              PRELIMINARY STATEMENT
                                                     (Continued)

       6.        Energy Cost Adjustment Clause (ECAC) (Continued)

                 J.       Billing Factors (Continued)

                          The following factors have been, or are, in effect for the period shown:

                                       Energy Cost Adjustment Clause Billing Factor $/kWh
                                                          Residential

                                  DS-1, D-1      DS-1, D-1          DS-1, D-1
                                   & DM-1        & DM-1              & DM-1
 Effective On and After           Baseline      Non-permanent        Excess           SL/OL       PA *

 April 1, 1994

 Offset                           .01710          N/A               .03183        .02098          .02473
 Balancing                        .00186          N/A               .00186        .00186          .00186
 Total                            0.01896         N/A               0.03369       0.02284         0.02659

 June 1, 1996

 Offset                           .01459          N/A               .02563        .01362          .02654
 Balancing                        .00000          N/A               .00000        .00000          .00000
 Total                            0.01459         N/A               0.02563       0.01362         0.02654

 Feburary 1, 2003

 Offset                           .01948        N/A                 .02942                        .03360
 Balancing                        .00000        N/A                 .00000        .00000          .00000
 Total                            .01948        N/A                 .02942                        .03360




   * Prior to August 1, 1989, PA offset and balancing rates were the same as A-1.



                                                      (Continued)


                                                      Issued by
Advice Letter No.        1-E                       Bob Dodds             Date Filed     November 23, 2010
                                                        Name
Decision No.          10-10-017                President and CEO         Effective     January 1, 2011
                                                        Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No 29
                             Canceling Original                         CPUC Sheet No. 29


                                         PRELIMINARY STATEMENT
                                                 (Continued)

       7.      CONSERVATION FINANCING ADJUSTMENT (CFA)

               Pursuant to D. 96-05-059, the CFA Balancing Account Mechanism has been
               temporarily suspended effective June 1, 1996.

               A.     Purpose:

               The purpose of the Conservation Financing Adjustment (CFA) provision is to reflect
               in rates the changes in costs due to the implementation of plans for financing
               insulation, conservation measures, and solar installations under plans authorized by
               the California Public Utilities commission.

               B.     Applicability:

               This CFA provision applies to all rate schedules and contracts for electric service
               subject to the jurisdiction of the Commission.

               C.     CFA Rates:

               The CFA rate is included in the adjustments set forth in each rate schedule and is
               additive to the base rates.

               D.     Revision Dates:

               The Utility may file with the California Public Utilities Commission a revised CFA rate to
               be effective concurrently with the periodic filings for the Energy Cost Adjustment made
               pursuant to Part B of this preliminary statement. Such filing shall include a component to
               amortize the balance, if any, either debit or credit, in the Conservation Financing
               Account. Such a filing shall be accompanied by a report which shows the derivation of
               the revised CFA Rate and a summary of entries to the conservation
               Financing Account.

               E.     Conservation Financing Account:

               Effective June 1, 1981, the Utility shall maintain an electric Conservation Financing
               Account. Entries shall be made to this account in amounts sufficient to equal:

               (1)    Revenues received from the CFA rate, less

               (2)    The costs incurred by CalPeco. in administering any conservation incentive plan
               authorized under this CFA provision, less

                                              (Continued)

                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.     10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No 30
                             Canceling Original                             CPUC Sheet No. 30


                                            PRELIMINARY STATEMENT
                                                    (Continued)

       7.      CONSERVATION FINANCING ADJUSTMENT (CFA) (Continued)

               E.        Conservation Financing Account: (Continued)

               (3)      An allowance for franchise and uncollectible amounts expenses equal to the rate
                        derived from the company’s most recent general rate proceeding times gross
                        revenues from the CFA rate.

               (4)      A debit entry equal to interest on the average of the balance in this account at the
                        beginning of the month and the balance in this account after entries E(1), E(2),
                        E(3), and E(4) above, if average balance is debit (credit entry, if average balance is
                        credit), at a rate equal to 1/12 the interest rate on commercial paper (prime, 3
                        months) for the previous month as reported in Federal Reserve Statistical Release,
                        H.15, or its successor.

               F.       Billing Factors:

                        The following factors have been, or are, in effect for the period shown (¢ / kWh
                        applicable to all kWh sales)

                        Effective On
                        and After                       Conservation Financing Adjustment $ / kWh

                        March 7, 1984                                          .00093

                        June 5, 1985                                           .00059

                        February 5, 1986                                       (.00017)

                        January 1, 1987                                        .00000

                        May 1, 1988                                            .00000

                        August 1, 1989                                         .00000




                                                  (Continued)

                                                    Issued by
Advice Letter No.       1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                      Name
Decision No.         10-10-017                President and CEO          Effective    January 1, 2011
                                                      Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                              CPUC Sheet No 31
                             Canceling Original                                 CPUC Sheet No. 31


                                              PRELIMINARY STATEMENT
                                                     (Continued)

       8.      ELECTRIC REVENUE ADJUSTMENT MECHANISM (ERAM)
               Pursuant to D. 96-05-059,the ERAM Balancing Account Mechanism has been
               temporarily suspended effective June 1, 1996.

               A.       Purpose:

               The purpose of this Electric Revenue Adjustment Mechanism is to adjust for sales
               fluctuations.

               B.       Applicability:

               This ERAM provision applies to all bills for service under all rate schedules and contracts for
               electric service subject to the jurisdiction of the Public Utilities Commission.

               C.       Base Rates:

               The Base Rates are the rates for electric service in effect at anytime, exclusive of
               adjustment rates, for which a balance or adjustment account is specifically provided in the
               Preliminary Statement.

               D.       Base Revenue Amount:

               The base revenue amount is the annual revenue to be collected from Base Rates. The
               base revenue amount shall be increased or decreased to incorporate changes in the level
               of authorized revenue specified in decisions of the Commission with respect to Base
               Rates concurrently with the beginning of the period to which such revenue applies.

               E.       Revision Dates:

               The revision date is April 1 which coincides with the ECAC annual revision date. On April 1
               of each year, or as soon thereafter as the Commission may authorize, the Utility shall
               increase or decrease the ERAM rates applicable to each rate schedule and contract in
               accordance with these provisions.

               F.       Electric Revenue Adjustment Account:

               Beginning as of May 1, 1983, the Utility shall maintain an Electric Revenue Adjustment
               Account. Entries shall be made to this account at the end of each month as follows:

                       a.       A debit entry equal to, if positive (credit entry, if negative).

                                (1)      The applicable Base Revenue Amount of $25,601,000 reflects
                                         implementation of the 1995 Attrition Decision and is multiplied by the
                                         applicable monthly factor from the table below, less
                                                        (Continued)
                                                      Issued by
Advice Letter No.      1-E                          Bob Dodds                Date Filed     November 23, 2010
                                                        Name
Decision No.        10-10-017                   President and CEO            Effective    January 1, 2011
                                                         Title
                                                                             Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No 32
                             Canceling Original                          CPUC Sheet No. 32


                                    PRELIMINARY STATEMENT
                                             (Continued)

       8.      ELECTRIC REVENUE ADJUSTMENT MECHANISM (ERAM) (Continued)

               F.    Electric Revenue Adjustment Account: (Continued)

                     a. (Continued)

                          (2) The amount of Electric Department revenue from all applicable sales
                              recorded * during the month at Base Rates.

                                                                            Monthly
                                            Month                           Factor

                                            January                         10.3%
                                            February                        10.3
                                            March                            9.4
                                            April                            8.5
                                            May                              7.8
                                            June                            7.2
                                            July                             7.1
                                            August                           7.5
                                            September                        7.4
                                            October                          7.2
                                            November                         7.9
                                            December                         9.4

                            * Sales recorded during each month shall represent billed revenues
                            applicable only to current month consumption plus accrued unbilled
                            revenues for the month.

                     b.      A credit entry equal to the amount of revenue billed during the month
                             under ERAM rates, if positive (debit entry, if negative).

                     c.      An entry equal to interest on the average of the balance in this account
                             after entries a. and b. above at the interest rate provided in Part 6 C (5) of
                             this Preliminary Statement

               G.    The ERAM rate shall be equal to:

                     (1) The sum of the authorized Base Revenue Amount and the estimated balance in
                         the Electric Revenue Adjustment Account as of the revision date less (2).

                     (2) The revenue from Base Rates applied to the estimated sales for the twelve-
                         month forecast period beginning with the revision date.
                                                 (Continued)
                                                Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed      November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective     January 1, 2011
                                                  Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No 33
                             Canceling Original                             CPUC Sheet No. 33


                                           PRELIMINARY STATEMENT
                                                   (Continued)

       8.      ELECTRIC REVENUE ADJUSTMENT MECHANISM (ERAM) (Continued)

               G.       The ERAM rate shall be equal to: (Continued)

                        (3)     The sum of (1) and (2) divided by the forecast period sales.

               H.       Time and Manner of Filing and Related Reports:

                        The utility shall include proposed revised ERAM rates in its ECAC applications.
                        Each such filing shall be accompanied by a report which shows the derivation of
                        the adjustment to be applied.

               I.       Billing Factors

                        The following factor has been, or is, in effect for the period shown:

                        Effective On
                         and After             Electric Rate Adjustment Mechanism $/kWh

                        March 7, 1984                          .00097

                        June 5, 1985                           .00432

                        February 5, 1986                       .00369

                        January 1, 1987                        .00256

                        May 1, 1988                            .00296

                        August 1, 1989                         .00138

                        October 1, 1990                        (.00224)

                        September 15, 1991                     (.00497)

                        May 1, 1993                            (.00478)

                        April 1, 1994                          (.00031)

                        June 1, 1996                           .00000




                                                   Issued by
Advice Letter No.      1-E                       Bob Dodds                Date Filed    November 23, 2010
                                                    Name
Decision No.        10-10-017               President and CEO             Effective    January 1, 2011
                                                     Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No 34
                             Canceling Original                       CPUC Sheet No. 34


                                               PRELIMINARY STATEMENT
                                                    (Continued)

     9.   CALIFORNIA ALTERNATE RATES FOR ENERGY (CARE) SURCHARGE PROVISION

               A.    Purpose

                     The purpose of the California Alternate Rates for Energy (CARE) Surcharge
                     Provision is to establish the procedures to be utilized in adjusting the Public
                     Purpose Programs rates, of which the CARE surcharge is a component, in
                     order to recover the costs associated with the CARE program as authorized
                     in Decisions 89-07-062, 89-09-044, 92-04-024, 92-06-060 and 94-12-049.

                     Pursuant to D. 96-05-059, the CARE Balancing Account Mechanism was
                     suspended effective June 1, 1996. The CARE Balancing Account
                     Mechanism was re-established in accordance with D.03-03-007.

               B.    Applicability

                     The CARE Surcharge applies to certain rate schedules and certain special
                     contracts subject to the jurisdiction of the Commission.

               C.    Definitions

                     1.      CARE Program Costs:

                             CARE Program Costs are the sum of: (1) CARE benefits, which are
                             equal to the amount of discount granted pursuant to the authorized
                             CARE discounted rates; and (2) allocated incremental administrative
                             and general expenses, including processing, certification and
                             verification of applications and general costs, associated with the
                             CARE program.

                     2.      Effective Date:

                             The Effective Date for the CARE Surcharge shall be the date that the
                             Commission may authorize. The revised CARE Surcharge shall be
                             applied to sales for service rendered on and after the Effective Date
                             and shall continue thereafter until the next such surcharge becomes
                             effective.

                     3.      Forecast Period:

                             The Forecast Period for the CARE Surcharge shall be the twelve-
                             calendar-month period commencing with the Revision Date or as
                             otherwise directed by the Commission.
                                               (Continued)

                                                 Issued by
Advice Letter No.   1-E                         Bob Dodds          Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                President and CEO         Effective    January 1, 2011
                                                   Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No 35
                             Canceling Original                       CPUC Sheet No. 35


                                             PRELIMINARY STATEMENT
                                                  (Continued)

       9. CALIFORNIA ALTERNATE RATES FOR ENERGY (CARE) SURCHARGE PROVISION
          (Continued)

          C.         Definitions (Continued)

                     4.     Franchise Fees and Uncollectibles (FF&U) Allowance:

                            The FF&U allowance shall be based on the rate derived from the Utility's
                            most recent general rate decision to provide for FF&U expense.

                     5.     Interest Rate:

                            Interest Rate: The monthly interest rate will equal one-twelfth of the
                            interest rate on Commercial Paper (3 months) for the previous month as
                            published in the Federal Reserve Statistical Release, H.13 or its
                            successor.


          D.         CARE Surcharge Balancing Account

                     The following monthly entries shall be made to this account at the end of each
                     month:

                            1.     A debit entry equal to the discount granted through the authorized
                                   CARE Program rates.

                            2.     A debit entry equal to the incremental administrative and general
                                   expenses associated with the CARE Program.

                            3.     A credit entry equal to the amount of revenue billed under the CARE
                                   Surcharge, less the allowance for FF&U expense.

                            4.     An entry to record interest on the average balance at the Interest Rate
                                   described above.




                                                  (Continued)

                                                Issued by
Advice Letter No.   1-E                        Bob Dodds           Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017               President and CEO          Effective    January 1, 2011
                                                  Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No 36
                             Canceling Original                              CPUC Sheet No. 36


                                                 PRELIMINARY STATEMENT
                                                      (Continued)

     9.   CALIFORNIA ALTERNATE RATES FOR ENERGY (CARE) SURCHARGE PROVISION
          (Continued)

          E.        Calculation of CARE Surcharge

                    The CARE Surcharge shall be determined from the following calculations:

                    1.    The estimated Forecast Period CARE Program Costs;

                    2.    Plus: The estimated balance in the Balancing Account as of the beginning of
                          the Forecast Period;

                    3.    The sum of (1) and (2) above shall be divided by the sales subject to the
                          CARE Surcharge estimated to be sold during the Forecast Period.

                          The following factor has been, or is, in effect for the period shown:

                          Effective On and After                        Low-Income Surcharge $/kWh

                          September 18, 1989                                    $ .00000
                          October 1, 1990                                         .00032
                          September 15, 1991                                      .00052
                          May 1, 1993                                            (.00014)
                          April 1, 1994                                           .00012
                          June 1, 1996                                            .00000

          F.        Reasonableness Review

                    In conjunction with the appropriate proceeding, the Utility shall file with the
                    Commission a report on the reasonableness of recorded CARE Program costs
                    includable in the CARE Surcharge Balancing Account during the Record Period.




                                                     Issued by
Advice Letter No.        1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                      Name
Decision No.    10-10-017                     President and CEO           Effective    January 1, 2011
                                                       Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No 37
                             Canceling Original                             CPUC Sheet No. 37


                                          PRELIMINARY STATEMENT
                                                  (Continued)

  10.     INCOME TAX COMPONENT OF CONTRIBUTIONS AND ADVANCES PROVISION

         A.    General:
               Effective on or after August 1, 1988, all Contributions in Aid of Construction and
               Advances for Construction (“Contributions”), made to California Pacific Electric Company,
               LLC (CalPeco) pursuant to its tariffs, shall include a cost component to cover CalPeco’s
               estimated liability for Federal Income Tax and California State Tax resulting therefrom,
               therefrom, pursuant to Decision 87-09-026.
         B.    Definition:
               Contributions: Contributions in Aid for Construction and Advances for Construction shall
               include, but are not limited to, cash, services, facilities, labor, property, and income taxes
               thereon, provided by a person or agency to CalPeco. The value of all contributions
               shall be based upon CalPeco’s estimates. Contributions shall consist of two components
               for purposes of recording transactions, as follows:
                    1. Income Tax Component of Contribution (ITCC); and

                    2. The balance of the contribution, excluding income taxes (Balance of Contribution).

         C.    Determination of ITCC:
                    The ITCC shall be calculated by multiplying the Balance of Contribution by the Tax
                    Factor as shown in paragraph 2 below. CalPeco will make an advice letter filing to
                    reflect any changes in the Tax Factor which would cause an increase or decrease in
                    the Tax Factor to five percentage points or more.
                    1. The Tax Factor is established by using Method 5, for the Federal Income Tax and
                       California State Tax as set forth in Paragraphs 3.a. and 6., respectively, of
                       Decision 87-09-026 in OII 86-11-019. The following factors have been, or are, in
                       effect for the period shown;

                                                             Total Tax Factor
                                                     Distribution       Transmission
                       Effective                   Less Than 69 kV Greater Than 69 kV                Advice
                                                                                                     Letter
        Prior to January 1, 1992                              .26                      -             201-E-A
        January 1, 1992 to June 30, 2002                      .31                      -              216-E
        July 1, 2002 to September 10, 2004                    .21                      -              296-E
        September 11, 2004 to February 29, 2008               .31                      -              216-E
        March 1, 2008 to December 31, 2009                    .17                     .15             338-E
        January 1, 2010                                       .28                     .24             338-E

                                                                    (Continued)

                                                  Issued by
Advice Letter No.    1-E                        Bob Dodds                 Date Filed        November 23, 2010
                                                   Name
Decision No.     10-10-017                 President and CEO              Effective     January 1, 2011
                                                    Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No 38
                             Canceling Original                            CPUC Sheet No. 38


                                                PRELIMINARY STATEMENT
                                                    (Continued)

       10.     INCOME TAX COMPONENT OF CONTRIBUTIONS AND ADVANCES PROVISION
               (Continued)

       D.      Applicability:

               The ITCC shall apply to Contributions under CalPeco’s tariffs including but not limited to
               Rules 2, 13, 15, 16, 20 and 21, and Schedule SL/OL.

       E.      State Taxes:

               California state tax imposed on Contributions, is collected in accordance with Ordering
               Paragraph 6 of Decision No. 87-09-026 and is included in that total tax liability factor
               shown in C.2.

       F.      Internal Revenue Service:

               CalPeco shall recover through rates any penalties, interest, or taxes incurred if the Internal
               Revenue Service deems the method of tax collection authorized by Decision No. 87-09-026
               a violation of the tax normalization rules and imposes additional taxes, penalties, and
               interest.

       G.      Interest Rate:

               When interest is payable under this part of the Preliminary Statement by the contributor to
               CalPeco the interest rate shall be 1/12 of the most recent month’s interest rate on
                Commercial paper (prime, 3 months), published by the Federal Reserve Statistical
               Release, H.15. Should publication of the interest rate on commercial paper (prime, 3
               months) be discontinued, interest will so accrue at the rate of 1/12 of the most recent
               month’s interest rate on commercial paper, which most closely approximates the rate that
               was discontinued and which is published in the Federal Reserve Statistical Release, H.15,
               or its successor publication.

 11.   SYMBOLS

       When any change is proposed on a tariff sheet, attention shall be directed to such change by an
       appropriate character along the right-hand margin of the tariff sheet utilizing the following
       symbols:
       (C)     To signify changed listing, rule or condition which may affect rates or charges.
       (D)     To signify discontinued material including listing, rate, rule or condition.
       (I)     To signify increase.
                                                 (Continued)


                                                  Issued by
Advice Letter No.    1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.     10-10-017                  President and CEO           Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No 39
                             Canceling Original                            CPUC Sheet No. 39


                                                PRELIMINARY STATEMENT
                                                    (Continued)

 11.   SYMBOLS (Continued)

       (L)     To signify material relocated from or to another part of tariff schedules with no change in
               text, rate, or rule or condition.

       (N)     To signify new material including listing, rate, rule or condition.

       (R)     To signify reduction.

       (T)     To signify change in wording of text, but not change in rate, rule or condition.

 12.   MEMORANDUM ACCOUNTS

 A.    Catastrophic Event Memorandum Account (CEMA)

       i.      PURPOSE

               The purpose of the Catastrophic Event Memorandum Account (CEMA) is to record all costs
               incurred by the Utility associated with a catastrophic event. The Utility will record the costs
               for the following in CEMA:

               1.     Restoring utility service to the Utility’s Customers;
               2.     Repairing, replacing, or restoring damaged Utility facilities; and
               3.     Complying with governmental agency orders.

               The authority to establish this account was granted in CPUC Resolution E-3238, dated July
               24, 1991.

       ii.     PROCEDURE

               1.     A catastrophic event is defined as a disaster or state of emergency as declared by
                      the appropriate federal or state authorities.

               2.     Should a catastrophic event occur, the Utility will inform the Commission by letter
                      within 30 days after the event that the Utility has started accruing costs in the
                      CEMA. The letter shall be mailed to the Director of the Commission Energy
                      Division.




                                                  (Continued)


                                                   Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed    November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO           Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No 40
                             Canceling Original                          CPUC Sheet No. 40


                                              PRELIMINARY STATEMENT
                                                  (Continued)

 12.   MEMORANDUM ACCOUNTS (Continued)

 A.    Catastrophic Event Memorandum Account (CEMA) (Continued)

       ii.     PROCEDURE (Continued)

               3.     The letter shall specify the date, time and location of the catastrophic event. The
                      letter shall also state which service areas are affected, the impact on the Utility’s
                      facilities, and give an estimate of the extraordinary costs expected to be incurred.

               4.     Entries to the CEMA shall be made at the end of each month commencing with the
                      month in which the event occurs. The Utility shall record capital costs and
                      expenses separately.

               5.     The Utility shall not record any capital costs or expenses incurred prior to the start
                      of the declared disaster or state of emergency, as identified by the appropriate
                      authorities.

       iii.    APPLICABILITY

               The CEMA balance will be recovered from all customer classes, unless specifically
               requested for exclusion by the Utility.

       iv.     CHANGES IN RATES

               Costs recorded in the CEMA may be recovered in rates only after a request by the Utility, a
               showing of reasonableness, and approval by the Commission. Such a request may be
               made by formal application specifically for that purpose, by inclusion in a subsequent
               general rate case, or other rate setting request.




                                                 (Continued)




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No 41
                             Canceling Original                          CPUC Sheet No. 41


                                               PRELIMINARY STATEMENT
                                                  (Continued)

 12.   MEMORANDUM ACCOUNTS (Continued)

 B.    FIRE HAZARD PREVENTION MEMORANDUM ACCOUNT (FHPMA)

       i.      PURPOSE

               The purpose of the Fire Hazard Prevention Memorandum Account (FHPMA) is to record
               the costs incurred related to fire hazard prevention in compliance with Commission
               Decision No. (D.)09-08-029. These costs may include the following expenses:

               (1) Vegetation management activities to reduce risk of fires;
               (2) Cost of vegetation maintenance program, inspection, and patrolling requirements;
               (3) Costs associated with designing, construction, and maintaining facilities to mitigate fire
                   hazards in high speed wind areas; and
               (4) Other costs as required in order to implement D.09-08-029.

       ii      PROCEDURE

               In Compliance with G.O. 95 and 165. the Utility will:

               (1) Record entries to the FHPMA at the end of the month representing the total costs
                   associated with complying with the measures described above. These costs will be
                   limited to those not previously authorized in a general rate case or any other regulatory
                   proceeding.

               (2) Maintain support for each amount recorded in this FHPMA

               (3) Accrue interest monthly to this memorandum account applying one-twelfth of the interest
                   rate to the average of the beginning and ending balance in the FHPMA. The interest
                   rate shall be the interest rate on the three-month Commercial Paper for the previous
                   month, as reported in the Federal Reserve Statistical Release H.15, or its successor.

       iii     APPLICABILITY

               The FHPMA shall apply to all customer classes, except for those specifically excluded by
               the Commission in future phases on Rulemaking 08-11-005.

       iv.     CHANGES IN RATES

               CalPeco will request recovery of the FHPMA balance as determine by the Commission in
               Phase 2 of Rulemaking 08-11-005.



                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                   Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No 42
                             Canceling Original                          CPUC Sheet No. 42


                                              PRELIMINARY STATEMENT
                                                  (Continued)

 13.   ELECTRIC AND MAGNETIC FIELDS (EMF) MEASUREMENT POLICY

       A.      Purpose

               The purpose of California Pacific Electric Company, LLC’s (CalPeco's) Electric
               and Magnetic Fields Measurement Policy is to conduct magnetic field 'spot'
               measurements for customers and employees on request. Customers include, but are
               not limited to, residential and business customers, parents, realtors and potential home
               buyers, employers and employees interested in workplace exposures, as well as public
               agencies and/or schools.

               This EMF Measurement Policy is being set forth in compliance with Ordering Paragraph
               10 of the Interim Order in Decision 93-11-013 (I.91-01-012), dated November 2, 1993.

       B.      Introduction to EMF

               "EMF" is a convenient acronym for electric and magnetic fields or electromagnetic
               fields. Electric fields are associated with the voltage of the source; magnetic fields are
               associated with the current. Electric fields are measured in units of kilovolts per meter
               (kV/M); magnetic fields are measured in units of Gauss (G) or thousandths of a Gauss,
               called milligauss (mG). The earth itself has a static or DC magnetic field of about 0.5
               Gauss (500 mG). Normally, we speak of magnetic fields associated with transmission
               and distribution systems, as well as everyday electricity use, in terms of milligauss.

               Most electricity in the United States is alternating current (AC) and operates at a
               frequency of 60 Hertz (cycles per second). Power-frequency (that is, 60 Hertz) EMF
               exist everywhere there is electricity, including common home appliances, power tools,
               office equipment, video games and electric lines. EMF levels are higher close to their
               source and decrease rapidly with distance. For example, EMF levels near appliances
               can range from tens to thousands of milligauss, but virtually disappear at distances of
               more than five feet. EMF levels in the vicinity of electric lines are within the range of
               those encountered daily in homes, offices, shopping malls, and other locations where
               there is electricity.




                                                    (Continued)




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No 43
                             Canceling Original                         CPUC Sheet No. 43


                                              PRELIMINARY STATEMENT
                                                     (Continued)

 13.   ELECTRIC AND MAGNETIC FIELDS (EMF) MEASUREMENT POLICY (Continued)

       C.      Types of Measurement/Measurement Interpretation

               The health questions which are currently being discussed and/or researched generally
               focus on exposure to magnetic fields. Therefore, CalPeco conducts only the magnetic
               field measurements.

               CalPeco does not provide detailed diagnostic analysis of the sources of magnetic field
               measurements and/or the interpretation of the magnetic field readings. Literature on
               EMF survey is provided to enable the customer to compare the results of the readings
               provided by CalPeco with those typically found in similar situations.

               CalPeco is not a health expert, and we rely on scientific and medical experts to assess
               and make recommendations on EMF studies. Although science does not provide any
               specific information on safe or unsafe magnetic field levels, we will share with the
               customer any information we have on this issue.

       D.      How Does the Customer Schedule a Reading

               If a customer requests information on EMF, CalPeco will mail out an information packet
               which contains the following brochures:

               •       Your Guide to Understanding EMF, Culver Company
               •       Electric and Magnetic Fields: Measurement and Possible Effects on Human
                       Health, California Department of Health Services
               •       Questions & Answers About Electric and Magnetic Fields (EMF's), EPA

            If a customer requests magnetic field measurement, a pre-measurement telephone discussion
            is held with the customer and the measurement appointment is scheduled. Once the
            appointment is arranged, CalPeco's representative visits the customer's home or business,
            completes the measurements, and records the results on the Measurement Data Form. It is
            normally required that the person requesting the survey be present to participate in the survey
            process. If not previously provided, the literature normally mailed to the customer will be
            provided at the time of the visit for Measurement.



                                                   (Continued)




                                                Issued by
Advice Letter No.     1-E                     Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.       10-10-017              President and CEO          Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No 44
                             Canceling Original                         CPUC Sheet No. 44


                                              PRELIMINARY STATEMENT
                                                  (Continued)

 13.   ELECTRIC AND MAGNETIC FIELDS (EMF) MEASUREMENT POLICY (Continued)

       D.      How Does the Customer Schedule a Reading (Continued)

               A copy of the Measurement Data Form and a letter are normally mailed to the customer
               within a week.

       E.      Measurement Protocol

               CalPeco follows Residential Magnetic Field Measurement Protocol similar to the one
               developed by California Department of Health Service. CalPeco requires written
               permission of an authorized person prior to conducting a measurement. A verbal
               permission at the time of measurement may suffice. An authorized person is the
               property owner or the person who is responsible for the account at the location being
               measured. It does not include real estate agents or brokers.

               Copies of the written magnetic field measurement results will be provided only to the
               property owner, the customer or an authorized representative of the owner or the
               customer.

       F.      Meter Loan

               CalPeco does not have a meter loan program. Occasionally a magnetic field meter
               may be loaned or left with a customer as an educational tool, but only after a CalPeco
               representative has discussed the EMF issue, measurement limitations and discussed
               different types of magnetic field sources.

       G.      Types of Meter

               CalPeco primarily uses EMDEX II (three axis) meter for conducting magnetic field
               measurements.

       H.      Tracking of Costs (California Customers)

               CalPeco will provide reasonable magnetic field measurement service at no cost to the
               customer.

               To comply with the California Public Utilities Commission decision, we will be tracking
               the time spent with the customer inside the home, along with the total time spent on
               information package/consultation, round-trip travel, measurements outside the home,
               and report preparation etc.



                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds             Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No 45
                             Canceling Original                             CPUC Sheet No. 45


                                                PRELIMINARY STATEMENT
                                                    (Continued)

 14.   ELECTRIC AND MAGNETIC FIELDS EXPERIMENTAL RESEARCH BALANCING ACCOUNT
       (EMFERBA)

       A.      Purpose

               The purpose of the Electric and Magnetic Fields Experimental Research Balancing
               Account (EMFERBA) is to record monthly and track the Utility's fair share of the adopted
               California regulated utility contribution to the cost of the experimental research program
               to be conducted by the federal government pursuant to the National Energy Policy Act
               (NEPA) of 1992. These costs will be included only to the extent that the experimental
               research addresses EMF related to electric utility facilities and power lines or to the
               extent that regulated electric utility funding may be required by law.

               The authorization to participate in the program and to accumulate the Utility's fair share
               of costs is stated in Ordering Paragraphs 20 and 21 of the Interim Order in Decision 93-
               11-013 (I.91-01-012, dated November 2, 1993).

               CalPeco's fair share shall be based on the ratio of CalPeco's prior calendar year's
               electricity sales to the total participants' (regulated and municipal energy utilities) prior
               calendar year's total electric sales in California, or as otherwise determined by the
               Commission. Such costs will be included only to the extent that the experimental
               research addresses EMF related to electric utility facilities and power lines, or to the
               extent that regulated energy utility funding may be required by law.

       B.      Procedure

               The utility will maintain the EMFERBA in the following manner by:

               1.      Debiting the account, at the end of each month, with one-twelfth of the annual
                       Utility's fair share of the contribution made to the experimental research program
                       to be conducted by the federal government pursuant to the National Energy
                       Policy Act (NEPA) of 1992.

                                                     (Continued)




                                                   Issued by
Advice Letter No.    1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.     10-10-017                  President and CEO            Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No 46
                             Canceling Original                         CPUC Sheet No. 46


                                              PRELIMINARY STATEMENT
                                                  (Continued)


 14.   ELECTRIC AND MAGNETIC FIELDS EXPERIMENTAL RESEARCH BALANCING ACCOUNT
       (EMFERBA) (Continued)

       B.      Procedure (Continued)

               2.      Debiting the account, at the end of each month, with interest, calculated on the
                       monthly average of the beginning and ending balance in the account. The
                       interest rate used will be one-twelfth of the interest rate on the three-month
                       Commercial Paper for the previous month, as reported in the Federal Reserve
                       Statistical Release H.15, or its successor.

               3.      Crediting the account on January 1 of each year to transfer the balance in the
                       EMFMA to the Utility's ERAM balancing account.

       C.      Applicability

               The EMFMA balance will be transferred to the Electric Revenue Adjustment Mechanism
               (ERAM) account, annually and will be collected from all customer classes, unless
               specifically requested for exclusion by the Commission.

       D.      Changes in Rates

               The costs recorded in the EMFMA will be recovered in rates, through the annual ERAM
               filing with the Commission, only after a request by the Utility, a showing of
               reasonableness, and approval by the Commission.




                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.     10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No 47
                             Canceling Original                          CPUC Sheet No. 47


                                        PRELIMINARY STATEMENT
                                              (Continued)

15.    Baseline Balancing Account (BBA)

       A.      Purpose

               The Commission authorized the establishment of a balancing account that will track any
               under-collection or over-collection resulting from implementation of baseline amounts
               without corresponding ratemaking treatment in accordance with D.02-04-026.

       B.      Definitions

               1.     New Baseline Amounts: Any baseline amount implemented by the Commission
                      without corresponding ratemaking treatment.

               2.     Old Baseline Amounts: Any baseline amount previously implemented by the
                      Commission that has corresponding ratemaking treatment.

               3.     Baseline Balancing Amount: The difference in monthly revenues achieved under
                      New Baseline Amounts and Old Baseline Amounts.

               4.     Interest Rate: The monthly interest rate will equal one-twelfth of the interest rate on
                      Commercial Paper (3 months) for the previous month as published in the Federal
                      Reserve Statistical Release, H.15 or its successor.

       C.      Accounting Procedures

               1.     A monthly debit or credit representing the Baseline Balancing Amount will be
                      recorded at the end of the month commencing with the effective date of New
                      Baseline Amounts. This balance will be carried forward from month to month.

               2.     A monthly debit or credit entry equal to interest on the monthly average balance of
                      the BBA at the Interest Rate described in 15 B.4 will be made at the end of the
                      month.

               3.     Any amounts recorded in the BBA will be recoverable in the next rate case.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No 48
                             Canceling Original                         CPUC Sheet No. 48


                                         PRELIMINARY STATEMENT
                                              (Continued)

        16.    Low Income Energy Efficiency (LIEE) Surcharge Mechanism

               A.    Purpose

                     The purpose of the LIEE Surcharge Mechanism is to establish the procedure to be
                     utilized in adjusting the Public Purpose Programs rates, of which the LIEE
                     surcharge is a component, in order to recover the costs associated with the LIEE
                     program, in accordance with D.03-03-007.

               B.    Applicability

                     The LIEE surcharge applies to all rate schedules and certain special contracts
                     subject to the jurisdiction of the Commission.

               C.    Definitions

                     Franchise Fees and Uncollectibles (FF&U) Allowance: The FF&U allowance
                     shall be based on the rate derived from the Utility's most recent general rate
                     decision to provide for FF&U expense

                     Interest Rate: The monthly interest rate will equal one-twelfth of the interest rate
                     on Commercial Paper (3 months) for the previous month as published in the
                     Federal Reserve Statistical Release, H.15 or its successor.

               D.    LIEE Balancing Account

                     The following entries shall be made to this account at the end of each month:

                     1. A debit entry equal to the amount of incremental administrative expenses,
                        including weatherization, energy efficiency measures and education costs,
                        associated with the LIEE program.

                     2. A credit entry equal to the revenue collected through the LIEE surcharge, less
                        the allowance for FF&U.

                     3. A debit or credit entry equal to interest on the monthly average balance at the
                        Interest Rate described above.

                                                   (Continued)




                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No 49
                             Canceling Original                        CPUC Sheet No. 49


                                       PRELIMINARY STATEMENT
                                              (Continued)

        16.    Low Income Energy Efficiency (LIEE) Surcharge Mechanism (Continued)

               D.    LIEE Balancing Account, (Continued)

                     In conjunction with the appropriate proceeding, if an over-collection exists in
                     the balancing account, it will be refunded to customers. If an under-collection
                     exists in the balancing account, it will not be billed to customers.

               E.    Reasonableness Review

                     In conjunction with the appropriate proceeding, the Utility shall file with the
                     Commission a report on the reasonableness of recorded LIEE Program costs
                     includable in the LIEE Balancing Account during the Record Period.




                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 50
                              Canceling Original        CPUC Sheet No. 50




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised                     CPUC Sheet No. 51
                              Canceling Original                        CPUC Sheet No. 51




                                     DESCRIPTION OF SERVICE AREA

                                                Parcel 1

      The Service Area for which electricity will be served by California Pacific Electric Company, LLC
 under this body of Rules set forth, and as outlined on the Service Area Map, shall be as follows:

       The boundary line of the area is defined as…beginning at the Southwest corner of Section 34,
 T20N, R13E. Thence Easterly along the Northern boundary of T19N to the Northeast corner of
 Section 1, T19N, R14E; thence Southerly to the Southeast corner of Section 1, T19N, R14E; thence
 Easterly to the Southwest corner of Section 34, T20N, R15E; thence Northerly to the Northwest
 corner of Section 3, T20N, R15E; thence in an Easterly direction to the Southwest corner of Section
 34, T21N, R15E; thence Northerly to the Northwest corner of Section 22, T21N, R15E; thence
 Easterly to the Southeast corner of the SW ¼ of the SW ¼ of Section 13, T21N, R15E; thence
 Northerly to the Northeast corner of the NW ¼ of the SW ¼ of Section 12, T21N, R15E; thence
 Easterly to the center point of Section 8, T21N, R16E; thence in a Northerly direction to the Plumas-
 Sierra County line; thence Easterly to the Northeast corner of Section 4, T21N, R17E; thence
 Southerly to the Southeast corner of Section 33, T21N, R17E; thence Easterly to the Southeast
 corner of Section 36, T21N, R17E; thence in a Northerly direction to the Northeast corner of Section
 36, T21N, R17E; thence Easterly to the California-Nevada State line.

        (That portion of boundary line described above contiguous to territory served by Plumas-Sierra
 Rural Electric Co-operative as certified to them in Metes & Bounds Description by California Public
 Utility Commission Decision #47989.)

       Thence Southerly along the California-Nevada State line to its intersection with the North line of
 T7N. Thence Westerly along said North line of T7N (as described in Mono County Ordinance No.
 188, California Public Utility Commission Decision #39846) to the Alpine-Mono County line. Thence
 continuing along the North line of T7N to the summit of the Sierra Nevada Mountains. Thence
 Northwesterly along the summit of the Sierra Nevada Mountains to the Alpine-El Dorado County line.
 (Alpine County Ordinance No. 146.) Thence continuing along the summit of the Sierra Nevada
 Mountains across the counties of El Dorado and Placer to a point on the Placer-Nevada County line.
 (El Dorado County Ordinance No. 99, Placer County Ordinance No. 41.) Thence Easterly along the
 said Placer-Nevada County line to a point on the Easterly line of Section 16, T17N, R15E, said point
 being approximately 575 feet North of the Southeast corner of Section 16, T17N, R15E. Thence
 North to the boundary line between T17N and T18N. Thence Westerly along the said boundary line
 to the boundary line between R14E and R15E. Thence North four miles to the Southeast corner of
 Section 13, T18N, R14E. Thence West 6 miles to the boundary line between R13E and R14E.
 Thence North 2 miles along the said boundary line to intersect the common boundary between Sierra
 and Nevada Counties. Thence Westerly along the said Sierra-Nevada County line to its intersection
 with the Westerly line of Section 3, T18N, R13E. Thence Northerly along the West lines of Section 3,
 T18N, R13E and Sections 34, 27, 22, 15, 10 and 3,

                                               (Continued)

                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised                      CPUC Sheet No. 52
                              Canceling Original                         CPUC Sheet No. 52


                                        DESCRIPTION OF SERVICE AREA

                                                   Parcel 1
                                                  (Continued)

        T19N, R13E to the Southwest corner of Section 34, T20N, R13E to the point of beginning (California
        Public Utility Commission Decision No. 74631). Excluding therefrom that area in Nevada and Placer
        Counties served by the Truckee Public Utility District and described as follows:

                Beginning at the Northeast corner of Section 32, T18N, R17E, MDB&M; thence Southerly
        approximately 4 miles along the East line of the following Sections: Section 32, T18N, R17E,
        Sections 5, 8 and 17, T17N, R17E, to the intersection of said East line of Section 17, T17N, R17E,
        with the Placer-Nevada County line; thence Westerly 4 miles more or less along said County line to
        its intersection with the East line of Section 15, T17N, R16E; thence Southerly approximately 305 feet
        along the East section line of said Section 15 to the Southeast corner of Section 15, T17N, R16E;
        thence Westerly along the South section line of said Section 15 for approximately 1 mile, to the
        Southwest corner of Section 15; thence Northerly for approximately 305 feet along the West section
        line of Section line of Section 15, T17N, R16E, to its intersection with the Placer-Nevada County line;
        thence Westerly along said County line for approximately 6 miles to its intersection with the West
        section line of Section 15, T17N, R15E; thence Northerly 4 miles more or less along the West line of
        the following sections: Sections 15, 10 and 3, T17N, R15E, Section 34, T18N, R15E, to the
        Northwest corner of said Section 34; thence Easterly 11 miles more or less along the North line of the
        following sections: Sections 34, 35 and 36, T18N, R15E, Sections 31, 32, 33, 34, 35 and 36, T18N,
        R16E and Sections 31 and 32, T18N, R17E, MDB&M, to the point of beginning. (California Public
        Utility Commission Decision #72862.)

                                                            Parcel 2

             That area bounded by the following described line, as excluded from the area certificated to
        Plumas-Sierra Rural Electric Co-operative by California Public Utility Commission Decision #47989.

              Beginning at the Northwest corner of the NE ¼ of Section 34, T23N, R13E; thence in an
        Easterly direction to Northeast corner of Section 36, T23N, R13E; thence Northerly to the Northwest
        corner of Section 30, T23N, R14E; thence Easterly to the Northeast corner of Section 30, T23N,
        R14E; thence Southerly to the Southeast corner of Section 6, T22N, R14E; thence Westerly to the
        Southwest corner of Section 6, T22N, R14E; thence Southerly to the Southeast corner of Section 12,
        T22N, R13E; thence Westerly to the Southwest corner of the SE ¼ of Section 10, T22N, R13E;
        thence Northerly to the Northwest corner of the NE ¼ of Section 34, T23N, R13E, to the point of
        beginning.

            Above described area is a part of the area transferred to the California Pacific Electric
       Company, LLC by California Public Utility Commission Decision D.10-10-017.




                                                Issued by
Advice Letter No.   1-E                       Bob Dodds                Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                 President and CEO            Effective    January 1, 2011
                                                  Title
                                                                       Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 53
                              Canceling Original        CPUC Sheet No. 53




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 54
                              Canceling Original        CPUC Sheet No. 54




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 55
                              Canceling Original        CPUC Sheet No. 55




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 56
                              Canceling Original        CPUC Sheet No. 56




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 57
                              Canceling Original        CPUC Sheet No. 57




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 58
                              Canceling Original        CPUC Sheet No. 58




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 59
                              Canceling Original        CPUC Sheet No. 59




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 60
                              Canceling Original        CPUC Sheet No. 60




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 61
                              Canceling Original        CPUC Sheet No. 61




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 62
                              Canceling Original        CPUC Sheet No. 62




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 63
                              Canceling Original        CPUC Sheet No. 63




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 64
                              Canceling Original        CPUC Sheet No. 64




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 65
                              Canceling Original        CPUC Sheet No. 65




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 66
                              Canceling Original        CPUC Sheet No. 66




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 67
                              Canceling Original        CPUC Sheet No. 67




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 68
                              Canceling Original        CPUC Sheet No. 68




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 69
                              Canceling Original        CPUC Sheet No. 69




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 70
                              Canceling Original        CPUC Sheet No. 70




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 71
                              Canceling Original        CPUC Sheet No. 71




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 72
                              Canceling Original        CPUC Sheet No. 72




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 73
                              Canceling Original        CPUC Sheet No. 73




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 74
                              Canceling Original        CPUC Sheet No. 74




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
       CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
       SOUTH LAKE TAHOE, CALIFORNIA     1st Revised     CPUC Sheet No. 75
                              Canceling Original        CPUC Sheet No. 75




                                  INTENTIONALLY LEFT BLANK




                                        Issued by
Advice Letter No.   1-E               Bob Dodds       Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017         President and CEO   Effective    January 1, 2011
                                          Title
                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                                       CPUC Sheet No. 76
                             Canceling 1st Revised                                       CPUC Sheet No. 76



                                                        SCHEDULE NO. D-1
                                                        DOMESTIC SERVICE

       APPLICABILITY
       This rate schedule is applicable to all domestic power service to separately metered single family
       dwellings and individual living units of multi-unit complexes, where such units are metered by the
       Utility.

       TERRITORY
       Entire California Service Area.

       RATES
       Customer Charge
          Per meter, per month                                                                   $6.62
       Energy Charges
          For Quantities up to and Including Baseline Quantities (See Special Condition 2)
                                                                                                           Total
                                                                                                          Energy
          Per kWh,          Distrbtn1       PPPC2          PUCRF3          Gen4           ECS5             Rate6
          per month         $0.03596       $0.00221       $0.00024        $0.06994       $0.00029        $0.10864

          For Quantities in Excess of Baseline Quantities (See Special Condition 2):
          Per kWh
          per month         $0.03596       $0.00221       $0.00024        $0.09826       $0.00029        $0.13696

          1.   Distrbtn – Distribution Charges.
          2.   PPPC – Public Purpose Programs Charge to fund energy efficiency activities, and low income assistance programs.
          3.   PUCRF – Public Utilities Commission Reimbursement Surcharge that is described in Schedule No. RF.
          4.   Gen – Generation Charges which are applicable only to bundled service customers. Includes an Energy Cost
               Adjustment Clause billing factor that is described in Part 6 of the Preliminary Statement.
          5.   ECS – Energy Commission Surcharge that is established by the California Energy Commission.
          6.   Total Energy Rate – Sum of distribution charges, public purpose programs charges, PUC
               reimbursement surcharges, generation charges and Energy Commission Surcharges.

       Late Charge
          1% on any amount 45 days in arrears from previous billings
       Minimum Charge
          The per meter, per month Customer Charge



                                                            (Continued)




                                                           Issued by
Advice Letter No.     2-E                               Bob Dodds                    Date Filed         November 30, 2010
                                                            Name
Decision No.     10-10-017                         President and CEO                 Effective       January 1, 2011
                                                             Title
                                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No. 77
                             Canceling Original                              CPUC Sheet No. 77



                                                 SCHEDULE NO. D-1
                                                 DOMESTIC SERVICE
                                                    (Continued)

       SPECIAL CONDITIONS
          1. Service hereunder shall only be single-phase as described in Rule 2, Description of
             Service, and supplied to electric motors no larger than 10 horsepower.
          2. Baseline Quantities. Each residential customer in a single-family dwelling consisting of a
             permanent residential unit is eligible for a baseline quantity of electricity which is necessary
             to supply a significant portion of the reasonable energy needs of the average residential
             customer. Residential Customer means a customer who is eligible for service on a
             domestic service rate schedule, and excludes general, commercial, industrial, and every
             other category of customer.
               A. Eligibility. Baseline quantities are available only to separately metered, permanent
                  Residential Customers. Non-permanent Customers such as recreational or vacation
                  home customers are not eligible. The Utility may require Customers to complete and
                  file with it an appropriate Declaration of Eligibility for baseline quantities. The Utility
                  may also require proof of permanent residency, such as voter registration or property
                  tax exemption. The penalty for presenting false information in this declaration shall be
                  any legal action which the Utility might elect to pursue.
               B. Different Baseline Quantities. Different baseline quantities are established for a) basic
                  use, and b) all-electric only or electric space heat or both, as follows:
                                                               kWh Per Day Quantity1

                       Season                 Basic Use (E02, E06)                 All-Electric Use (E04, E08)

                      Summer2                           12.9                                    15.6
                       Winter3
                                                        17.7                                    30.7
                1. Per day baseline quantities for each monthly billing cycle shall be equal to the daily baseline
                   quantities (including Medical Baseline Quantities as appropriate) multiplied by the number of
                   days in the billing cycle.

                2. Summer baseline quantities will be used for six consecutive billing periods beginning on or after
                   May 1.

                3. Winter baseline quantities will be used for six consecutive billing periods beginning on or after
                   November 1.


                                                      (Continued)



                                                   Issued by
Advice Letter No.   1-E                          Bob Dodds                Date Filed     November 23, 2010
                                                     Name
Decision No.    10-10-017                   President and CEO             Effective    January 1, 2011
                                                     Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 78
                             Canceling Original                             CPUC Sheet No. 78



                                                 SCHEDULE NO. D-1
                                                 DOMESTIC SERVICE
                                                    (Continued)

       SPECIAL CONDITIONS (Continued)
       U                          U




           2. Baseline Quantities. (Continued)
               C. Standard Limited Quantity. A standard limited Medical Baseline Quantity in addition to
                  those quantities listed in B. above of 16.5 kWh per day is available for Residential
                  Customers who demonstrate that one of the following conditions exist: a) regular use in
                  the Customer’s residence of one or more medical life-support devices that is essential
                  to maintain the life of a full-time resident of the household, or b) there is a full-time
                  resident of the household who is a paraplegic, hemiplegic, quadriplegic, multiple
                  sclerosis, or scleroderma patient.
                    (1)     A supplemental quantity of 16.5 kWh per day will be provided to multiple
                            sclerosis patients for air conditioning during the six summer months of May 1
                            through October 31. Customer applications for this quantity must be
                            accompanied by a licensed doctor’s certification.
                    (2)     Additional baseline quantities are available to Residential Customers who qualify
                            for baseline usage, who require the use of a life support device (e.g., kidney
                            dialysis machine or iron lung). Upon certification of need by the Customer, the
                            Utility will estimate daily kWh for the life support device for inclusion in the total
                            allowable baseline quantity.
                    (3)     Life support devices means those devices which utilize mechanical or artificial
                            means to sustain, restore, or supplant a vital function, or mechanical equipment
                            which is relied upon for mobility both within and outside building. Life support
                            devices or equipment include those listed in PUC Section 739.2
               D. Limitation. Space heating quantities shall be available only where a minimum of 80% of
                  available living area is heated by permanently installed electric space heating
                  equipment. Partial quantities will not be offered.




                                                      (Continued)




                                                   Issued by
Advice Letter No.     1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                     Name
Decision No.    10-10-017                    President and CEO           Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 79
                             Canceling Original                         CPUC Sheet No. 79


                                               SCHEDULE NO. D-1
                                               DOMESTIC SERVICE
                                                  (Continued)

       SPECIAL CONDITIONS (Continued)
       U                        U




           3. Notice of Change. It is the responsibility of the customer to advise the Utility within
              fifteen (15) days of any changes in the type of space heaters in the residence and of
              changes in residential status.
           4. Consumption for separately metered water heating service shall be billed in combination
              with other domestic consumption under the rates set forth in this schedule, except that an
              additional customer charge shall not be made.
           5. Service hereunder shall not be provided to multiple dwellings or multiple units of multi-
              unit complexes, which are service through a common meter, or for domestic water
              pumping where water is delivered to more than one living unit.
           6. Billing.
               A. Bundled Service Customers receive supply and delivery services solely from the Utility.
                  The customer’s bill is based on the Total Energy Rate set forth above. The energy
                  supply component is determined by multiplying the offset rate for Schedule D-1
                  during the last month by the customer’s total usage.
               B. Direct Access Customers purchase energy from an energy service provider and
                  continue receiving delivery services from CalPeco The energy supply component is
                  determined as specified for a Bundled Service Customer. The bill will be calculated as
                  for a Bundled Service Customer, but the customer will receive a credit for the energy
                  supply component. If the energy supply component is greater than the amount of the
                  Bundled Service bill, the minimum bill for a Direct Access Customer is zero.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds             Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           3rd Revised                                                   CPUC Sheet No. 80
                             Canceling 2nd Revised                                                   CPUC Sheet No. 80

                                                    SCHEDULE NO. TOU D-1
                                               TIME-OF-USE DOMESTIC SERVICE

       APPLICABILITY
       This time-of-use rate schedule is optional for Customers for whom Schedule D-1 is applicable.
       Service under this schedule is subject to meter availability. Enrollment under Schedules TOU D-1
       and TOU A-1 is limited to a cumulative of 1,500 meters.

       TERRITORY
       Entire California Service Area.

       RATES
       Customer Charge
          Per meter, per month                                                                             $6.92

       Energy Charges
          Per kWh, per month                                                                                            Total
                                                                                                                       Energy
                                                     1           2                  3            4             5            6
                                          Distrbtn         PPPC              PUCRF         Gen           ECS            Rate
                      Summer
                      On-peak           $0.015670         $0.002210          $0.000240   $0.294400     $0.000290      $0.312810

                      Winter
                      On-peak           $0.103220         $0.002210          $0.000240   $0.098270     $0.000290      $0.204230

                      Summer/Winter
                      Off-peak      $0.021180             $0.002210          $0.000240   $0.077990     $0.000290      $0.101910
                                    7
                      Baseline Credit -                   ($0.01044)                                                                 `


          1.   Distrbtn – Distribution Charges.
          2.   PPPC – Public Purpose Programs Charge to fund energy efficiency activities, and low income assistance
               programs.
          3.   PUCRF – Public Utilities Commission Reimbursement Surcharge that is described in Schedule No. RF.
          4.   Gen – Generation Charges which are applicable only to bundled service customers. Includes an Energy Cost
               Adjustment Clause billing factor that is described in Part 6 of the Preliminary Statement.
          5.   ECS – Energy Commission Surcharge that is established by the California Energy Commission.
          6.   Total Energy Rate – Sum of distribution charges, public purpose programs charges, PUC reimbursement
               surcharges, generation charges, and Energy Commission Surcharges.
          7.   This credit is multiplied by baseline amounts as described in Special Condition 2.


       Late Charge
          1% on any amount 45 days in arrears from previous billings
       Minimum Charge
          The per meter, per month Customer Charge

                                                                 (Continued)




                                                                Issued by
Advice Letter No.     2-E                                    Bob Dodds                        Date Filed            November 30, 2010
                                                                  Name
Decision No.     10-10-017                               President and CEO                    Effective            January 1, 2011
                                                                     Title
                                                                                              Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                            CPUC Sheet No. 81
                             Canceling Original                               CPUC Sheet No. 81

                                              SCHEDULE NO. TOU D-1
                                         TIME-OF-USE DOMESTIC SERVICE
                                                  (Continued)

       SPECIAL CONDITIONS
       1. Service hereunder shall only be as described in Rule 2, Description of Service.

       2. Baseline Quantities. Each residential customer in a single-family dwelling consisting of a
          permanent residential unit is eligible for a baseline quantity of electricity which is necessary to
          supply a significant portion of the reasonable energy needs of the average residential
          customer. Residential Customer means a customer who is eligible for service on a domestic
          service rate schedule, and excludes general, commercial, industrial, and every other category
          of customer.
               A. Eligibility. Baseline quantities are available only to separately metered, permanent
                  Residential Customers. Non-permanent Customers such as recreational or vacation
                  home customers are not eligible. The Utility may require Customers to complete and
                  file with it an appropriate Declaration of Eligibility for baseline quantities. The Utility
                  may also require proof of permanent residency, such as voter registration or property
                  tax exemption. The penalty for presenting false information in this declaration shall
                  be any legal action which the Utility might elect to pursue.
      B.            Different Baseline Quantities. Different baseline quantities are established for a)
                    basic use, and b) all-electric only or electric space heat or both, as follows:


                                                                  kWh Per Day Quantity1

                            Season             Basic Use (E02, E06)             All-Electric Use (E04, E08)

                            Summer2                        12.9                           15.6

                            Winter3                        17.7                           30.7
                    1. Per day baseline quantities for each monthly billing cycle shall be equal to the daily
                       baseline quantities (including Medical Baseline Quantities as appropriate) multiplied by the
                       number of days in the billing cycle.

                    2. Summer baseline quantities will be used for six consecutive billing periods beginning on or
                       after May 1.

                    3. Winter baseline quantities will be used for six consecutive billing periods beginning on or
                       after November 1.


                                                      (Continued)




                                                     Issued by
Advice Letter No.     1-E                         Bob Dodds                Date Filed      November 23, 2010
                                                      Name
Decision No.    10-10-017                     President and CEO            Effective     January 1, 2011
                                                       Title
                                                                           Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 82
                             Canceling Original                            CPUC Sheet No. 82



                                             SCHEDULE NO. TOU D-1
                                        TIME-OF-USE DOMESTIC SERVICE
                                                 (Continued)

       SPECIAL CONDITIONS (Continued)
               C. Standard Limited Quantity. A standard limited Medical Baseline Quantity in addition to
                  those quantities listed in B. above of 16.5 kWh per day is available for Residential
                  Customers who demonstrate that one of the following conditions exist: a) regular use
                  in the Customer’s residence of one or more medical life-support devices that is
                  essential to maintain the life of a full-time resident of the household, or b) there is a
                  full-time resident of the household who is a paraplegic, hemiplegic, quadriplegic,
                  multiple sclerosis, or scleroderma patient.
                    (1)     A supplemental quantity of 16.5 kWh per day will be provided to multiple
                            sclerosis patients for air conditioning during the six summer months of May 1
                            through October 31. Customer applications for this quantity must be
                            accompanied by a licensed doctor’s certification.
                    (2)     Additional baseline quantities are available to Residential Customers who
                            qualify for baseline usage, who require the use of a life support device (e.g.,
                            kidney dialysis machine or iron lung). Upon certification of need by the
                            Customer, the Utility will estimate daily kWh for the life support device for
                            inclusion in the total allowable baseline quantity.

                    (3)     Life support devices means those devices which utilize mechanical or artificial
                            means to sustain, restore, or supplant a vital function, or mechanical equipment
                            which is relied upon for mobility both within and outside building. Life support
                            devices or equipment include those listed in PUC Section 739.2
               D. Limitation. Space heating quantities shall be available only where a minimum of 80%
                  of available living area is heated by permanently installed electric space heating
                  equipment. Partial quantities will not be offered.
       3. Daily time periods will be based on Pacific Standard Time are defined as follows:
               Winter Period                   On-Peak           5:01 p.m. to 10:00 p.m. daily
                                               Off-Peak          All Other Hours
               Summer Period                   On-Peak           1:01 p.m. to 10:00 p.m. daily
                                               Off-Peak          All Other Hours

               The winter period will consist of eight regularly scheduled billing periods for service
               provided primarily in the months of October through May. The summer period will
               consist of four regularly scheduled billing periods for service provided primarily in the
               months of June through September.



                                                   Issued by
Advice Letter No.     1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO           Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 83
                             Canceling Original                         CPUC Sheet No. 83



                                          SCHEDULE NO. TOU D-1
                                     TIME-OF-USE DOMESTIC SERVICE
                                              (Continued)

       SPECIAL CONDITIONS (Continued)

       4. Guarantee. For each residential TOU Customer, the Utility will, at the conclusion of the first
          year of service to that Customer under TOU rates, compare (a) the total actually paid by
          the residential TOU Customer for consumption (i.e., for the metered quantity of kilowatt-
          hours [“kWh”] used by the Customer) with (b) the amount that would have been paid for the
          same level of consumption under the otherwise applicable standard residential rate
          schedule. If the amount paid by the residential Customer for consumption under TOU rates
          is higher than the amount that would have been paid under the otherwise applicable
          residential rate per kWh, the Utility will credit the difference to the Customer’s account and
          request that the customer inform the Utility if they want to terminate Optional TOU service.
          If the Customer responds and requests termination, the Utility will return the Customer to
          the otherwise applicable standard residential rate schedule. If the Customer remains on the
          Optional TOU Schedule there is no further guarantee.

       5. Utility may require a contract for service hereunder for a minimum term of not less than one
          year.




                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           3rd Revised                         CPUC Sheet No. 84
                             Canceling 2nd Revised                         CPUC Sheet No. 84



                                           SCHEDULE NO. CARE
                                         CARE DOMESTIC SERVICE

       APPLICABILITY
       This rate schedule is applicable to all domestic power service to separately metered single family
       dwellings and individual living units of multi-unit complexes, where such units are metered by the
       Utility, and where the Customer is classified as a permanent Customer who meets the provisions
       of Special Condition 3 of this rate schedule.
                                                TERRITORY
       Entire California Service Area.

       RATES
       Customer Charge – Non TOU (Otherwise Applicable Schedule D-1)
          Per meter, per month                                       $5.30
       Energy Charges – Non TOU
          For Quantities up to and Including Baseline Quantities (See Special Condition 2)
                                                                                            Total
                                                                                           Energy
       Per kWh,       Distrbtn1    PPPC2       PUCRF3        Gen4             ECS5          Rate6
       per month     $0.01456     $0.00108    $0.00024      $0.06994         $0.00029     $0.08611

          For Quantities in Excess of Baseline Quantities (See Special Condition 2)
       Per kWh
       per month     $0.00890     $0.00108    $0.00024      $0.09826         $0.00029     $0.10877

       Customer Charge – TOU (Otherwise Applicable Schedule TOU D-1)
          Per meter, per month                                       $5.54
       Energy Charges - TOU
          Per kWh, per month                                                               Total
                                                                                          Energy
       Per kWh,       Distrbtn1    PPPC2       PUCRF3        Gen4             ECS5         Rate6
       Summer
       On-peak      ($0.04656)    $0.00108    $0.00024      $0.29440         $0.00029     $0.24945

       Winter
       On-peak       $0.06270     $0.00108    $0.00024      $0.09827         $0.00029     $0.16258

       Summer/Winter
       Off-peak    $0.00113       $0.00108    $0.00024      $0.07799         $0.00029     $0.08073

       Baseline Adjustment7
                     $0.00209                               ($0.01044)                  ($0.00835)

                                                    (Continued)
                                                Issued by
Advice Letter No.    2-E                      Bob Dodds                  Date Filed     November 30, 2010
                                                 Name
Decision No.      10-10-017                President and CEO             Effective    January 1, 2011
                                                  Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                                        CPUC Sheet No. 85
                             Canceling 1st Revised                                        CPUC Sheet No. 85

                                                    SCHEDULE NO. CARE
                                                  CARE DOMESTIC SERVICE
                                                        (Continued)

       RATES (Continued)
            1.   Distrbtn – Distribution Charges.
            2.   PPPC – Public Purpose Programs Charge to fund energy efficiency activities, and low income assistance programs.
            3.   PUCRF – Public Utilities Commission Reimbursement Surcharge that is described in Schedule No. RF.
            4.   Gen – Generation Charges which are applicable only to bundled service customers. Includes an Energy Cost
                 Adjustment Clause billing factor that is described in Part 6 of the Preliminary Statements.
            5.   ECS – Energy Commission Surcharge that is established by the California Energy Commission.
            6.   Total Energy Rate – Sum of distribution charges, public purpose programs charges, PUC reimbursement surcharges,
                 generation charges, and Energy Commission Surcharges.
            7.   This adjustment is multiplied by baseline amounts as described in Special Condition 2.


       Late Charge
          1% on any amount 45 days in arrears from previous billings
       Minimum Charge
          The per meter, per month Customer Charge
                  SPECIAL CONDITIONS

       1. Service hereunder shall only be single-phase as described in Rule 2, Description of
          Service, and supplied to electric motors no larger than 10 horsepower.
       2.    Baseline Quantities. Each residential customer in a single-family dwelling consisting of a
            permanent residential unit is eligible for a baseline quantity of electricity which is necessary to
            supply a significant portion of the reasonable energy needs of the average residential
            customer. Residential Customer means a customer who is eligible for service on a domestic
            service rate schedule, and excludes general, commercial, industrial, and every other category
            of customer.
                 A. Eligibility for Baseline Quantities. Baseline quantities are available only to separately
                    metered, permanent Residential Customers. Non-permanent Customers such as
                    recreational or vacation home customers are not eligible. The Utility may require
                    Customers to complete and file with it an appropriate Declaration of Eligibility for
                    baseline quantities. The Utility may also require proof of permanent residency, such
                    as voter registration or property tax exemption. The penalty for presenting false
                    information in this declaration shall be any legal action which the Utility might elect to
                    pursue.

                                                                 (Continued)




                                                            Issued by
Advice Letter No.       2-E                              Bob Dodds                    Date Filed        November 30, 2010
                                                              Name
Decision No.       10-10-017                        President and CEO                 Effective       January 1, 2011
                                                               Title
                                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                            CPUC Sheet No. 86
                             Canceling Original                               CPUC Sheet No. 86

                                              SCHEDULE NO. CARE
                                            CARE DOMESTIC SERVICE
                                                  (Continued)

       SPECIAL CONDITIONS (Continued)
       2.   Baseline Quantities. (Continued)
               B. Different Baseline Quantities. Different baseline quantities are established for a) basic
                  use, and b) all-electric only or electric space heat or both, as follows:
                                                                 kWh Per Day Quantity1

                          Season            Basic Use (E42,                 All-Electric Use (E44, E48)
                                                 E46)

                          Summer2                 12.9                                   15.6

                          Winter3                 17.7                                   30.7
                    1. Per day baseline quantities for each monthly billing cycle shall be equal to the daily
                       baseline quantities (including Medical Baseline Quantities as appropriate) multiplied by the
                       number of days in the billing cycle.

                    2. Summer baseline quantities will be used for six consecutive billing periods beginning on or
                       after May 1.

                    3. Winter baseline quantities will be used for six consecutive billing periods beginning on or
                       after November 1.

               C. Standard Limited Quantity. A standard limited Medical Baseline Quantity in addition to
                  those quantities listed in B. above of 16.5 kWh per day is available for Residential
                  Customers who demonstrate that one of the following conditions exist: a) regular use
                  in the Customer’s residence of one or more medical life-support devices that is
                  essential to maintain the life of a full-time resident of the household or b) there is a full-
                  time resident of the household who is a paraplegic, hemiplegic, quadriplegic, multiple
                  sclerosis, or scleroderma patient.
                    (1)     A supplemental quantity of 16.5 kWh per day will be provided to multiple
                            sclerosis patients for air conditioning during the six summer months of May 1
                            through October 31. Customer applications for this quantity must be
                            accompanied by a licensed doctor’s certification.
                    (2)     Additional baseline quantities are available to Residential Customers who
                            qualify for baseline usage, who require the use of a life support device (e.g.,
                            kidney dialysis machine or iron lung). Upon certification of need by the
                            Customer, the Utility will estimate daily kWh for the life support device for
                            inclusion in the total allowable baseline quantity.
                                                        (Continued)


                                                     Issued by
Advice Letter No.     1-E                         Bob Dodds                Date Filed      November 23, 2010
                                                      Name
Decision No.     10-10-017                    President and CEO            Effective     January 1, 2011
                                                       Title
                                                                           Resolution No.
       DWT 16616973v1 0089731-000002
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 87
                             Canceling Original                             CPUC Sheet No. 87

                                            SCHEDULE NO. CARE
                                          CARE DOMESTIC SERVICE
                                                (Continued)

       SPECIAL CONDITIONS (Continued)
       2.   Baseline Quantities. (Continued)
                    (3)     Life support devices means those devices which utilize mechanical or artificial
                            means to sustain, restore, or supplant a vital function, or mechanical equipment
                            which is relied upon for mobility both within and outside building. Life support
                            devices or equipment include those listed in PUC Section 739.2.
               D. Limitation. Space heating quantities shall be available only where a minimum of 80%
                  of available living area is heated by permanently installed electric space heating
                  equipment. Partial quantities will not be offered.
       3. CARE Program. The California Alternate Rates for Energy (“CARE”) is a program of
          assistance to low-income electric customers. The assistance is in the form of discounted
          rates that are listed above.
            A. Eligibility for CARE. A household eligible for CARE is one in which the total annual gross
               income from all sources is not more than what is shown on the following table
               that is based on the number of persons living in the household. For the period of
               June 1, 2010 to May 31, 2011 the combined income of all persons from all sources,
               both taxable and non-taxable, shall be no more than:

                      Number of Persons Living in
                             Household                        Total Annual Gross Income
                                1 or 2                                 $31,300
                                  3                                     36,800
                                  4                                     44,400
                                  5                                     52,000
                                  6                                     59,600

                For households with more than six persons, add $7,600 for each additional person. A
                person who is claimed as a dependent on another person’s income tax return is not
                eligible for service under this rate schedule. Pursuant to CPUC 739.4, the above
                annual gross income levels are subject to revision subsequent to the Commission’s
                establishment of new rates on or before May 1 of each year.
            B. Application and Eligibility Declaration. An application and eligibility declaration on a
               form authorized by the Commission is required for each request for service under this
               rate schedule. Renewal of a Customer’s eligibility declaration will be required on an
               annual basis.

                                                                            (Continued)



                                                  Issued by
Advice Letter No.     1-E                       Bob Dodds                Date Filed    November 23, 2010
                                                    Name
Decision No.     10-10-017                  President and CEO            Effective    January 1, 2011
                                                    Title
                                                                         Resolution No.
       DWT 16616973v1 0089731-000002
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 88
                             Canceling Original                            CPUC Sheet No. 88

                                            SCHEDULE NO. CARE
                                          CARE DOMESTIC SERVICE
                                                (Continued)

       SPECIAL CONDITIONS (Continued)
       3. CARE Program. (Continued)
               C. Commencement of Rate. Eligible Customers shall be billed on this rate schedule
                  commencing no later than one billing period after receipt and approval of the
                  application by the Utility.
               D. Verification. Information provided by the applicant is subject to verification by the
                  Utility. Refusal or failure of a Customer to provide documentation of eligibility
                  acceptable to the Utility, upon request by the Utility, shall result in removal from this
                  rate schedule.
               E. Notice. It is the Customer’s responsibility to notify the Utility within 30 days if there is a
                  change in eligibility status.
               F. Rebilling. Customers may be re-billed for periods of ineligibility under the applicable
                  rate schedule.
       4. Notice of Change. It is the responsibility of the customer to advise the Utility within
          fifteen (15) days of any changes in the type of space heaters in the residence and of
          changes in residential status.
       5. Consumption for separately metered water heating service shall be billed in combination
          with other domestic consumption under the rates set forth in this schedule, except that an
          additional customer charge shall not be made.
       6. Service hereunder shall not be provided to multiple dwellings or multiple units of multi-
          unit complexes, which are served through a common meter, or for domestic water
          pumping where water is delivered to more than one living unit
       7. Billing.
               A. Bundled Service Customers receive supply and delivery services solely from the
                  Utility. The customer’s bill is based on the Total Energy Rate set forth above. The
                  energy supply component is determined by multiplying the offset rate for Schedule D-1
                  during the last month by the customer’s total usage.
               B. Direct Access Customers purchase energy from an energy service provider and
                  continue receiving delivery services from CalPECo. The energy supply component is
                  determined as specified for a Bundled Service Customer. The bill will be calculated as
                  for a Bundled Service Customer, but the customer will receive a credit for the energy
                  supply component. If the energy supply component is greater than the amount of the
                  Bundled Service bill, the minimum bill for a Direct Access Customer is zero.
                                                     (Continued)


                                                   Issued by
Advice Letter No.    1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.     10-10-017                  President and CEO           Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
       DWT 16616973v1 0089731-000002
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 89
                             Canceling Original                           CPUC Sheet No. 89

                                           SCHEDULE NO. CARE
                                         CARE DOMESTIC SERVICE
                                               (Continued)

       SPECIAL CONDITIONS (Continued)
       8. Daily time periods will be based on Pacific Standard Time are defined as follows:
               Winter Period                  On-Peak           5:01 p.m. to 10:00 p.m. daily
                                              Off-Peak          All Other Hours
               Summer Period                  On-Peak           1:01 p.m. to 10:00 p.m. daily
                                              Off-Peak          All Other Hours

               The winter period will consist of eight regularly scheduled billing periods for service
               provided primarily in the months of October through May. The summer period will
               consist of four regularly scheduled billing periods for service provided primarily in the
               months of June through September.




                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 90
                             Canceling Original                        CPUC Sheet No. 90


                                            SCHEDULE NO. DS-1
                                MULTI-UNIT DOMESTIC SERVICE-SUBMETERED

       APPLICABILITY
       This rate schedule is applicable to all domestic power service to multiple living units on a single
       premises, all served by a single meter, and which are separately sub-metered by the Customer, in
       accordance with Rule 19. This schedule applies to mobile home parks as defined in Rule 1 and to
       Qualifying RV Parks as such term is defined in Special Condition 3.
       This rate schedule is closed to new installations of multi-family accommodations, mobile home
       park accommodations and manufactured housing communities since January 1, 1997. This rate
       schedule is also closed to additions to existing installations and therefore no sub-meters can be
       added to existing master-metered locations under this rate schedule, except that master-
       meter/sub-meters currently being served under this rate schedule will be allowed to continue on
       that schedule following a change of ownership provided that no additional sub-meters are added
       for inclusion in the master-metered rate schedule. This rate schedule remains open for Qualifying
       RV Parks.

       TERRITORY
       Entire California Service Area.

       RATES
       The rates of the separately metered, single family dwellings, Schedule No. D-1, Domestic Service,
       shall apply, except as adjusted as follows:
       Energy Charge
          The baseline quantity to be billed under rates designated as applicable to Tier I Baseline
          Quantities shall be determined by multiplying the applicable baseline quantity determined in
          Special Condition 7, by the number of sub-metered accommodations occupied by residents for
          whom the accommodation is their permanent place of residence in (1) multiple living units on a
          single premises; (2) residential Mobile Homes in a Residential Mobile Home Park; or (3)
          Qualifying RV Units in a Qualifying RV park; plus any eligible Medical Baseline Allocations.
           If any sub-metered accommodation qualifies for California Alternate Rates (“CARE”) rate
           assistance as set forth in Schedule No. CARE, the total metered usage shall be prorated
           among the applicable CARE and the non-CARE usage according to the proportion of CARE
           qualifying and CARE non-qualifying accommodations. The CARE Baseline Quantity to be
           billed under CARE baseline rates shall be determined by multiplying the applicable Baseline
           Quantity determined in Special Condition 7 by the number of sub-metered CARE qualifying
           accommodations in (1) multiple living units on a single premises; (2) residential Mobile Homes
           in a Residential Mobile Home Park; or (3) Qualifying RV Units in a Qualifying RV park; plus any
           eligible Medical Baseline Allocations. All quantities in excess of CARE Baseline Quantities, if
           any, shall be billed at the CARE Quantities in Excess of Baseline Quantities rates. Such
           discounted CARE rates are listed in Schedule No. CARE.

                                                  (Continued)

                                                Issued by
Advice Letter No.    1-E                      Bob Dodds             Date Filed    November 23, 2010
                                                 Name
Decision No.     10-10-017               President and CEO          Effective    January 1, 2011
                                                  Title
                                                                    Resolution No.
       DWT 16616973v1 0089731-000002
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 91
                             Canceling Original                            CPUC Sheet No. 91


                                            SCHEDULE NO. DS-1
                                MULTI-UNIT DOMESTIC SERVICE-SUBMETERED
                                               (Continued)

       RATES (Continued)
       U       U




       Sub-metering Discount
          The monthly bill for service under this rate schedule shall be reduced by the sub-metering
          discount of $0.08733 per day per occupied accommodation.
       Baseline Diversity Adjustment
          The monthly bill for service under this rate schedule shall be increased by the daily baseline
          diversity adjustment of $0.04942 per day per permanently occupied accommodation.
       Minimum Charge
          The Minimum Charge shall be the same as set forth in Schedule Nos. D-1 or CARE.

       SPECIAL CONDITIONS
           1. Seasonal Service. For customers who use service for only part of the year, this schedule is
              applicable only on an annual contract.
           2. Notification. It is the responsibility of the Customer to advise the Utility within fifteen (15)
              days of any change in the number of single-family accommodations in a multifamily
              accommodation or Qualifying RV Units in a Qualifying RV Park that qualify for basic
              Baseline allocations, and any change in qualifications for other than Basic Baseline
              allocations.
           3. Qualifying RV Park. An RV park which has at least 50% of its spaces on the same meter
              occupied at least nine months of the year by a tenant in a qualifying RV unit used as a
              permanent residence and renting on a month-to-month basis. Such meter shall not include
              non-domestic enterprises as described in Special Condition 6.
           4. Qualifying RV Unit. An RV unit that is used as a permanent single-family residence at least
              nine months out of the year. Baseline allocations shall be based on the number of
              occupied units meeting this criterion.
           5. Miscellaneous Loads. Miscellaneous electrical loads on the same meter such as general
              lighting, laundry rooms, general maintenance, and other similar usage incidental to the
              operation of a multifamily accommodation will be considered as domestic service.
           6. Non-domestic Enterprises. Electric energy used for non-domestic enterprises such as
              offices, stores, shops, restaurants, service stations, and other similar usage incidental to
              the operation of a multifamily accommodation will be considered as domestic service.

                                                     (Continued)




                                                   Issued by
Advice Letter No.     1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.       10-10-017                President and CEO           Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 92
                             Canceling Original                          CPUC Sheet No. 92

                                      SCHEDULE NO. DS-1
                        MULTI-UNIT DOMESTIC SERVICE-SUBMETERED
                                         (Continued)
       SPECIAL CONDITIONS (Continued)
       U                          U




           7. Baseline Allocations. The applicable baseline quantity of electricity to be billed under these
              rates designated as applicable to Baseline Service shall be the total of the Baseline Usage
              and the Medical Baseline Allocation, if any, specified under Schedule No. D-1, Domestic
              Service, Special Condition 2. The applicable Baseline rate codes for this schedule are E26
              or E30 for Basic Use and E28 or 32 for All-Electric Use.
           8. CARE Rate Assistance:
               a. Customers who receive service hereunder shall comply with the provisions of Public
                  Utilities Code Section 739.5 in providing service to their sub-metered tenants. This
                  includes, among other things, providing electric service to CARE tenants under the
                  provisions of Schedule No. CARE of the Utility’s tariffs.
               b. Customers who receive service hereunder shall provide application and declaration
                  forms for the CARE rate to their sub-metered residential tenants. The completed
                  application forms shall be mailed by the tenant to the Utility.
               c. When the Utility receives an application from a qualifying low-income tenant, the
                  information shall be forwarded to the Utility’s Customer receiving service hereunder.
               d. The proration of CARE and non-CARE rates on the Utility’s Customer monthly billing
                  will commence no later than one full billing period after receipt and approval by the
                  Utility of a qualifying tenant’s application.
               e. The Customer receiving service hereunder shall have the responsibility to notify the
                  Utility immediately of the date each CARE tenant is no longer receiving service from the
                  Customer. Additionally, if the Customer has reason to suspect that tenant is not
                  eligible, the Customer should notify the Utility.
               f.    When applying CARE rates to the baseline and non-baseline usage under this rate
                     schedule, all usage of non-permanent accommodations (i.e. accommodations occupied
                     by non-permanent residents) are first identified as non-baseline usage to which the
                     regular, or non-CARE, rate is applied. The usage of accommodations occupied by non-
                     permanent residents will be established in the same proportion of total usage as such
                     non-permanent accommodations are of the total occupied accommodations served by
                     the master meter customer.
           9. Provision of Service. Service hereunder is provided according to the Utility’s applicable
              tariffs. Violation of these tariffs may result in rebilling or discontinuation of service.
           10. Customer Cost of Service. California Public Utilities Code Section 739.5 requires utilities to
               provide a billing credit to master meter customers to compensate for their costs of owning,
               operating, and maintaining their electric sub-metered system. The monthly per-meter
               Customer Charge specified in the Utility’s Schedule D-1 or Schedule No. CARE, as
               applicable, for each tenant, along with the sub-metering discount, reimburses master meter
               customers.

                                                    (Continued)

                                                 Issued by
Advice Letter No.      1-E                     Bob Dodds              Date Filed    November 23, 2010
                                                   Name
Decision No.        10-10-017              President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 93
                             Canceling Original                        CPUC Sheet No. 93


                                           SCHEDULE NO. DS-1
                               MULTI-UNIT DOMESTIC SERVICE-SUBMETERED
                                              (Continued)
       SPECIAL CONDITIONS (Continued)
       U                        U




           11. Billing.
               A. Bundled Service Customers receive supply and delivery services solely from the Utility.
                  The customer’s bill is based on the Total Energy Rate set forth above. The energy
                  supply component is determined by multiplying the offset rate for Schedule D-1 during
                  the last month by the customer’s total usage.
               B. Direct Access Customers purchase energy from an energy service provider and
                  continue receiving delivery services from Utility. The energy supply component is
                  determined as specified for a Bundled Service Customer. The bill will be calculated as
                  for a Bundled Service Customer, but the customer will receive a credit for the energy
                  supply component. If the energy supply component is greater than the amount of the
                  Bundled Service bill, the minimum bill for a Direct Access Customer is zero.




                                                Issued by
Advice Letter No.    1-E                      Bob Dodds             Date Filed    November 23, 2010
                                                 Name
Decision No.     10-10-017                President and CEO         Effective    January 1, 2011
                                                  Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 94
                             Canceling Original                         CPUC Sheet No. 94


                                         SCHEDULE NO. DM-1
                            MULTI-UNIT DOMESTIC SERVICE-NOT SUBMETERED

       APPLICABILITY
       This schedule is applicable to all single phase domestic power service to multiple living units on a
       single premises, all served by a single meter, and which are not separately sub-metered by the
       Customer, in accordance with Rule 18. This schedule also applies to residential hotels as defined
       in Rule 1 and to residential RV parks which rent at least 50 percent of their spaces on a
       month-to-month basis for at least 9 months of the year to RV units used as permanent residences.
       This rate schedule is closed after February 4, 1978, to new installations and additions to existing
       installations and therefore no sub-meters can be added to existing master-metered locations under
       this rate schedule, except that master-meter/sub-meters currently being served under one of these
       schedules will be allowed to continue on that schedule following a change of ownership provided
       that no additional sub-meters are added for inclusion in the master-metered rate schedule. This
       rate schedule remains open for Qualifying Residential Hotels and Qualifying RV Parks as defined
       in Special Conditions 3 and 4, respectively.

       TERRITORY
       Entire California Service Area.

       RATES
       The rates of the separately metered, single family dwellings, Schedule No. D-1, Domestic Service,
       shall apply, except as adjusted as follows:
       Energy Charge
          The baseline quantity to be billed under rates designated as applicable to Tier I Baseline
          Quantities shall be determined by multiplying the applicable baseline quantity determined in
          Special Condition 8, by the number of single-family accommodations in (1) multiple living units
          on a single premises; (2) Qualifying Residential Units in a Residential Hotel; or (3) Qualifying
          RV Units in a Qualifying RV park; plus any eligible Medical Baseline Allocations.
       Minimum Charge
          The Minimum Charge shall be the same as set forth in Schedule No. D-1.

       SPECIAL CONDITIONS
          1. Seasonal Service. For customers who use service for only part of the year, this schedule is
             applicable only on an annual contract.




                                                  (Continued).



                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 95
                             Canceling Original                           CPUC Sheet No. 95

                                         SCHEDULE NO. DM-1
                             MULTI-UNIT DOMESTIC SERVICE-NOT SUBMETERED
                                            (Continued)

       SPECIAL CONDITIONS (Continued)
       U                        U




           2. Notification. It is the responsibility of the Customer to advise the Utility within fifteen (15)
              days of any change in the number of single-family accommodations in a multifamily
              accommodation, Qualifying Residential Units in a Residential Hotel, or Qualifying RV Units
              in a Qualifying RV Park that qualify for basic Baseline allocations, and any change in
              qualifications for other than Basic Baseline allocations.
           3. Qualifying Residential Unit. A residential unit in a Residential Hotel as defined in Rule No.
              1, Definitions, leased for a minimum of one month and occupied (excluding organizations or
              groups of persons) as a permanent primary residence for at least nine months of the year.
           4. Qualifying RV Park. An RV park which has at least 50% of its spaces on the same meter
              occupied at least nine months of the year by a tenant in a qualifying RV unit used as a
              permanent residence and renting on a month-to-month basis. Such meter shall not include
              non-domestic enterprises as described in Special Condition 7.
           5. Qualifying RV Unit. An RV unit that is used as a permanent single-family residence at least
              nine months out of the year. Baseline allocations shall be based on the number of units
              meeting this criterion.
           6. Miscellaneous Loads. Miscellaneous electrical loads on the same meter such as general
              lighting, laundry rooms, general maintenance, and other similar usage incidental to the
              operation of a multifamily accommodation will be considered as domestic service.
           7. Non-domestic Enterprises. Electric energy used for non-domestic enterprises such as
              offices, stores, shops, restaurants, service stations, and other similar usage incidental to the
              operation of a multifamily accommodation will be considered as domestic service.
           8. Baseline Allocations. The applicable baseline quantity of electricity to be billed under these
              rates designated as applicable to Baseline Service shall be the total of the Baseline Usage
              and the Medical Baseline Allocation, if any, specified under Schedule No. D-1, Domestic
              Service, Special Condition 2. The applicable Baseline rate codes for this schedule are E18
              or E22 for Basic Use and E20 or 24 for All-Electric Use.
           9. Resale and Sub-metering. Sub-metering for the purpose of resale of electricity is not
              allowed under this rate schedule. Electricity provided hereunder may be provided as part of
              the rental charge, but may not be itemized separately, and rents shall not vary based on
              electric consumption.

                                                        (Continued)




                                                  Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 96
                             Canceling Original                        CPUC Sheet No. 96


                                         SCHEDULE NO. DM-1
                             MULTI-UNIT DOMESTIC SERVICE-NOT SUBMETERED
                                            (Continued)

       SPECIAL CONDITIONS (Continued)
       U                        U




           10. Billing.
               A. Bundled Service Customers receive supply and delivery services solely from the Utility.
                  The customer’s bill is based on the Total Energy Rate set forth above. The energy
                  supply component is determined by multiplying the offset rate for Schedule D-1 during
                  the last month by the customer’s total usage.
               B. Direct Access Customers purchase energy from an energy service provider and
                  continue receiving delivery services from CalPeco. The energy supply component is
                  determined as specified for a Bundled Service Customer. The bill will be calculated as
                  for a Bundled Service Customer, but the customer will receive a credit for the energy
                  supply component. If the energy supply component is greater than the amount of the
                  Bundled Service bill, the minimum bill for a Direct Access Customer is zero.




                                                Issued by
Advice Letter No.    1-E                      Bob Dodds             Date Filed    November 23, 2010
                                                 Name
Decision No.     10-10-017                President and CEO         Effective    January 1, 2011
                                                  Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 97
                             Canceling Original                         CPUC Sheet No. 97


                                           SCHEDULE NO. DE
                                DOMESTIC SERVICE TO COMPANY EMPLOYEES

       APPLICABILITY

               Electricity for domestic and water heating purposes is available upon application, under
       this schedule to regular bargaining unit and pensioned employees of the Company, (married or
       unmarried) provided they reside in their own home (single family dwelling, separately-metered flat
       or apartment) and are supplied directly by the Company.

       TERRITORY

               Entire service Territory.

       RATES

       The regular filed rate schedules applicable to domestic service in the territory where service is
       supplied, less 50% discount.

               Minimum Charge:

                      $2.25 per month.

       SPECIAL CONDITIONS

               1. This rate applied to employees living with, and constituting the support of, a mother
                  and/or father or other relatives.

               2. The service must be billed to and paid by the employee.

               3. A regular employee is defined, for the purpose of this schedule, as one who has been
                  continuously employed by the Company for more than six months and is paid on a
                  weekly or monthly basis.

               4. This schedule is not applicable to probationary, casual or temporary employees.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 98
                             Canceling Original                           CPUC Sheet No. 98


                                    SCHEDULE NO. EXPCARE
                                        EXPANDED CARE
                     SERVICE TO QUALIFIED AGRICULTURAL EMPLOYEE HOUSING
                            AND NONPROFIT GROUP LIVING FACILITIES

   APPLICABILITY

   This schedule provides a California Alternate Rates for Energy (CARE) rate discount to qualified
   nonprofit group living facilities, migrant farm worker housing centers, privately owned employee
   housing, or agricultural employee housing operated by nonprofit organizations, and is taken in
   conjunction with the customer's otherwise applicable service schedule.

   TERRITORY

   Entire California Service Area.

   RATES

   Qualifying customers will receive a 20% discount on all customer, demand, and energy charges on
   their otherwise applicable service schedule. In addition, such customers will not be charged the
   CARE Surcharge.

   SPECIAL CONDITIONS

   1.     APPLICABLE CONDITIONS

          All special conditions contained in the customer's otherwise applicable schedule are applicable to
          service under this schedule.

   2.     NONPROFIT GROUP LIVING FACILITIES

          a. To be eligible for service under this schedule, the total gross annual income, both taxable
             and non-taxable, from all sources from each resident residing in the nonprofit group living
             facility may not exceed the Commission’s CARE eligibility income level established for June
             1, 2010 to May 31, 2011 as shown below for a single-person
             household, and each resident may not be claimed as a dependent on another person’s
             income tax return.
                                                             Total Gross
                                                           Annual Income

                      Each Resident                             $31,300

                                                (Continued)




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 99
                             Canceling Original                             CPUC Sheet No. 99


                                    SCHEDULE NO. EXPCARE
                                       EXPANDED CARE
                  SERVICE TO QUALIFIED AGRICULTURAL EMPLOYEE HOUSING
                             AND NONPROFIT GROUP LIVING FACILITIES
                                          (Continued)
       SPECIAL CONDITIONS (Continued)

       2.      NONPROFIT GROUP LIVING FACILITIES (Continued)
               a.   (Continued)

                    Examples of potentially eligible nonprofit group living facilities consist of licensed or
                    permitted homeless shelters, transitional housing, short- or long-term care facilities
                    (hospices, nursing homes, seniors’ or children’s homes), group homes for mentally or
                    physically disabled /disadvantaged persons or satellite facilities of a properly licensed
                    larger facility; and other nonprofit group living facilities that may not have a license or
                    permit (homeless shelters, women’s shelters or hospices) in which 100 percent of the
                    residents would meet the care residential CARE income eligibility requirements and
                    where services are being provided for the direct benefit of eligible residents. Any for-
                    profit entity, student housing/dormitories, military barracks and fraternities/sororities
                    are excluded.

                       An approved “Application for CalPeco’s California Alternative Rates
                       for Energy (CARE) Expanded Care for Group-Living Facilities” is required for
                       service under this schedule. In addition, applicants, other than homeless shelters,
                       shall submit an “Application of California Alternate Rates of Energy (CARE)
                       Program” on behalf of each resident of the facility.

            b. Nonprofit group living facilities must reaffirm their eligibility for service under this rate
               schedule annually. Eligibility confirmation shall require demonstration by the applicant that
               the rate discount obtained under this schedule has been passed on to the benefit of the
               facilities residents.

            c. Publicly owned and government-subsidized housing facilities are not qualifying group living
               facilities. A group living facility that would otherwise qualify for CARE would not be ineligible
               because compensation for room, board or services is provided by a government agency on
               behalf of the resident under a disability, Supplemental Security Income (SSI), Social
               Security Administration (SSA) or other governmental assistance program.

               A nonprofit owner/operator of a government-subsidized residential facility may be eligible
               for service under this schedule if services besides lodging are provided to
               residents and all other eligibility criteria are met.

                                                      (Continued)




                                                   Issued by
Advice Letter No.    1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                     Name
Decision No.     10-10-017                   President and CEO           Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 100
                             Canceling Original                        CPUC Sheet No. 100


                                    SCHEDULE NO. EXPCARE
                                         EXPANDED CARE
                     SERVICE TO QUALIFIED AGRICULTURAL EMPLOYEE HOUSING
                              AND NONPROFIT GROUP LIVING FACILITIES
                                            (Continued)

       SPECIAL CONDITIONS (Continued)

       2. NONPROFIT GROUP LIVING FACILITIES (Continued)

          d. The Company shall require a nonprofit group living facility applicant to provide a copy of its
             current valid State Business License or Conditional Use Permit, if licensed or permitted, a
             letter determination of tax-exemption, nonprofit corporation status under Internal Revenue
             Service Code Section 501 (c)(3), and any other documentation the Company may
             reasonably require.

          e. Homeless shelters shall provide verification that at least six (6) beds are provided during a
             minimum of 180 days each year for persons who have no alternative residence.

               Homeless shelters operated in a government-owned or subsidized building by a nonprofit
               organization may qualify for CARE so long as the nonprofit entity is the Utility customer of
               record for the site and a minimum of seventy (70) percent of the energy consumed on site is
               used for residential purposes.

       3. MIGRANT FARMWORKER HOUSING CENTERS

          Migrant farmworker housing centers provided pursuant to Section 50710 of the California Health
          & Safety Code may be determined by the Company to be eligible for service under this
          schedule subject to the following conditions.

          a. Applicant shall be the customer of record. The Company may require documentation which
             establishes the entity has a valid contract with the Director of Housing and Community
             Development of the State of California to provide housing.

          b. To be eligible for service under this schedule, the Applicant shall be responsible for
             determining that all households residing in the migrant center qualify for the CARE
             (California Alternate Rates for Energy) Residential Electric Service under the annual total
             household income guidelines and criteria as set forth in Schedule No. "CARE" of this
             California Electric Tariff. The Applicant shall make a certification to that effect under the
             penalty of perjury on the CARE application. Employees of the operating or managing entity
             for the migrant center who reside at the migrant center can be excluded for purposes of
             qualifying the facility for this CARE rate.

                                                      (Continued)



                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 101
                             Canceling Original                           CPUC Sheet No. 101


                                       SCHEDULE NO. EXPCARE
                                           EXPANDED CARE
                        SERVICE TO QUALIFIED AGRICULTURAL EMPLOYEE HOUSING
                                AND NONPROFIT GROUP LIVING FACILITIES
                                              (Continued)

       SPECIAL CONDITIONS (Continued)

       3. MIGRANT FARMWORKER HOUSING CENTERS (Continued)

               An approved "Application for California Alternate Rates for Energy ("CARE")
               Program for Qualified Agricultural Employee Housing Facilities" is required for service
               under this schedule. The Company shall be permitted to verify the eligibility of the facility
               and its tenants.

          c. The Applicant must reapply and reaffirm their eligibility for service under this schedule
             annually.

          d. For individually-metered dwelling units in the migrant center, 100% of the usage must be
             for residential uses in order to qualify for this CARE rate. If the migrant center is served
             by a master meter, then not less than 70% of the usage must be for residential uses in
             order to qualify. Electric usage for offices, maintenance shops or agricultural uses shall
             not be considered residential use. Only meters that are served under a residential or
             commercial rate schedule can qualify for this CARE rate.

          e. Applicants must indicate on each annual application how the discount from the CARE
             rate will be used to directly benefit the occupants of the migrant centers. Applicants
             shall make a certification to that effect under the penalty of perjury on the CARE
             application. At each annual recertification, Applicant shall be required to certify how the
             discount directly benefited the occupants of the migrant housing center.

               The Applicant will be required to demonstrate where the savings from the CARE rate
               will or have been reallocated and that the reallocation benefits the occupants directly.
               The Applicant must maintain accounting entries and retain supporting documentation in
               order to allow the Company to verify the benefits conferred. Supporting documentation
               includes, but is not limited to: dated receipts identifying items purchased; stated
               purposes of such purchases, and letters or memorandum to occupants indicating the
               benefit provided. Examples of benefits that would qualify, provided appropriate records
               are maintained, include: reduced energy charges to


                                                        (Continued)




                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 102
                             Canceling Original                          CPUC Sheet No. 102


                                      SCHEDULE NO. EXPCARE
                                          EXPANDED CARE
                       SERVICE TO QUALIFIED AGRICULTURAL EMPLOYEE HOUSING
                               AND NONPROFIT GROUP LIVING FACILITIES
                                             (Continued)

       SPECIAL CONDITIONS (Continued)

       3. MIGRANT FARMWORKER HOUSING CENTERS (Continued)

               tenants from the CARE rate savings; improvements to tenant services such as day care
               or recreational facilities for tenants; reduced rents or reduced rent increases from offsets
               by the CARE rate. Other benefits may be considered by the Company as qualifying
               provided the Applicant can adequately demonstrate the savings will or have been used
               for the direct benefit of the occupants.

               Items not considered direct benefits for current occupants include: physical
               improvements to property that do not directly benefit occupants, such as remodeling to
               add office space; or development of new migrant center housing.

          f.   Customers who wrongfully declare eligibility or fail to demonstrate the CARE rate
               savings directly benefited the migrant center occupants may be rebilled for the period of
               ineligibility under their otherwise applicable rate schedule.

       4. PRIVATELY-OWNED EMPLOYEE HOUSING

          Privately-owned employee housing, as defined by Section 17008 of the California Health
          and Safety Code, that is licensed and inspected by state or local agencies pursuant to Part
          1 (commencing with Section 17000) of Division 13 of the California Health and Safety Code,
          may be determined by the Company to be eligible for service under this schedule subject to
          the following conditions.

          a. Applicant shall be the customer of record. Applicant shall be required to provide proof of
             current compliance with Part 1 of Division 13 of the California Health and Safety Code,
             commonly cited as the Employee Housing Act. Compliance may take the form of a
             current valid permit or license issued pursuant to Health and Safety Code §17030.

          b. To be eligible for service under this schedule, the Applicant shall be responsible for
             determining that all households residing in the employee housing qualify for the CARE
             (California Alternate Rates for Energy) Residential Electric Service under the annual
             total household income guidelines and criteria as set forth in Schedule No. "CARE" of
             this California Electric Tariff. The Applicant shall make a certification to

                                                    (Continued)



                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 103
                             Canceling Original                            CPUC Sheet No. 103


                                        SCHEDULE NO. EXPCARE
                                            EXPANDED CARE
                         SERVICE TO QUALIFIED AGRICULTURAL EMPLOYEE HOUSING
                                 AND NONPROFIT GROUP LIVING FACILITIES
                                              (Continued)

       SPECIAL CONDITIONS (Continued)

       4.      PRIVATELY-OWNED EMPLOYEE HOUSING (Continued)

               that effect under the penalty of perjury on the CARE application. Housing for employees
               provided primarily for the convenience of the private employer shall not be considered
               eligible for the CARE rate.

               An approved "Application for California Alternate Rates for Energy (CARE) Program for
               Qualified Agricultural Employee Housing Facilities" is required for service under this
               schedule. The Company shall be permitted to verify the eligibility of the facility.

               c.       The Applicant must reapply and reaffirm their eligibility for service under this
                        schedule annually.

               d.       For privately-owned employee housing, 100% of the usage must be for
                        residential uses in order to quality for the CARE rate, whether individually- or
                        master-metered. Electric usage for offices, maintenance shops or agricultural
                        uses shall not be considered residential use. Only meters that are served under
                        a residential or commercial rate schedule can qualify for this CARE rate.

               e.       Applicants must indicate on each annual application how the discount from the
                        CARE rate will be used to directly benefit the occupants of the privately-owned
                        employee housing. Applicants shall make a certification to that effect under the
                        penalty of perjury on the CARE application. At each annual recertification,
                        Applicant shall be required to certify how the discount directly benefited the
                        occupants of the privately-owned employee housing.

                        The Applicant will be required to demonstrate where the savings from the CARE
                        rate will or have been reallocated and that the reallocation benefits the occupants
                        directly. The Applicant must maintain accounting entries and retain supporting
                        documentation in order to allow the Company to verify the benefits conferred.
                        Supporting documentation includes, but is not limited to: dated receipts
                        identifying items purchased; stated purposes of such purchase, and letters or
                        memorandum to occupants indicating the benefit provided. Examples of benefits
                        that would qualify, provided appropriate records are maintained, include: reduced
                        energy charges to


                                                    (Continued)

                                                   Issued by
Advice Letter No.      1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                    Name
Decision No.        10-10-017               President and CEO           Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 104
                             Canceling Original                           CPUC Sheet No. 104



                                      SCHEDULE NO. EXPCARE
                                          EXPANDED CARE
                       SERVICE TO QUALIFIED AGRICULTURAL EMPLOYEE HOUSING
                               AND NONPROFIT GROUP LIVING FACILITIES
                                            (Continued)

       SPECIAL CONDITIONS (Continued)

       4. PRIVATELY-OWNED EMPLOYEE HOUSING (Continued)

               tenants from the CARE rate savings; improvements to tenant services such as day care
               or recreational facilities for tenants; reduced rents or reduced rent increases from offsets
               by the CARE rate. Other benefits may be considered by the Company as qualifying
               provided the Applicant can adequately demonstrate the savings will or have been used
               for the direct benefit of the occupants.

               Items not considered direct benefits for current occupants include: physical
               improvements to property that do not directly benefit occupants, such as remodeling to
               add office space; or development of new privately-owned employee housing.

          f.   Customers who wrongfully declare eligibility or fail to demonstrate the CARE rate
               savings directly benefited the privately-owned employee housing occupants may be
               rebilled for the period of ineligibility under their otherwise applicable rate schedule.

       5. AGRICULTURAL EMPLOYEE HOUSING OPERATED BY NONPROFITS

          Agricultural employee housing, as defined by subdivision (b) of Section 1140.4 of the
          California Labor Code, operated by nonprofit organizations may be determined by the
          Company to be eligible for service under this schedule subject to the following conditions.

          a. Applicant shall be the customer of record. Applicant shall be required to provide proof of
             its nonprofit status. Acceptable proofs include: unrevoked letter determination or ruling
             of tax-exempt, nonprofit corporation status under Internal Revenue Service Code Section
             501 (c)(3) or similar tax-exempt certification from the California Franchise Tax Board.
             Additionally, Applicant shall provide a copy of a letter from the Assessor in the County
             where the agricultural employee housing is located indicating exemption of the housing
             from local property taxes, pursuant to subdivision (g) of Section 214 of the California
             Revenue and Taxation Code.

          b. To be eligible for service under this schedule, the Applicant shall be responsible for
             determining that all households residing in the agricultural employee housing qualify for
             the CARE (California Alternate Rates for Energy) Residential Electric Service under the
             annual total household income guidelines and criteria as set forth in

                                                      (Continued)

                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 105
                             Canceling Original                           CPUC Sheet No. 105


                                      SCHEDULE NO. EXPCARE
                                          EXPANDED CARE
                       SERVICE TO QUALIFIED AGRICULTURAL EMPLOYEE HOUSING
                               AND NONPROFIT GROUP LIVING FACILITIES
                                            (Continued)

       SPECIAL CONDITIONS (Continued)

       5. AGRICULTURAL EMPLOYEE HOUSING OPERATED BY NONPROFITS (Continued)

               Schedule No. "CARE" of this California Electric Tariff. The Applicant shall make a
               certification to that effect under the penalty of perjury on the CARE application.
               Employees or staff of the nonprofit organization operating the agricultural employee
               housing who reside at the facility can be excluded for purposes of qualifying the facility for
               this CARE rate.

               An approved "Application for California Alternate Rates for Energy (CARE) Program for
               Qualified Agricultural Employee Housing Facilities" is required for service under this
               schedule. The Company shall be permitted to verify the eligibility of the facility and its
               tenants.

 c.    The Applicant must reapply and reaffirm their eligibility for service under this schedule annually.

          d. For individually-metered dwelling units for agricultural employee housing operated by
             nonprofit organizations, 100% of the usage must be for residential uses in order to qualify
             for this CARE rate. If the agricultural employee housing is served by a master meter,
             then not less than 70% of the usage must be for residential uses in order to qualify.
             Electric usage for offices maintenance shops or agricultural uses shall not be considered
             residential use. Only meters that are served under a residential or commercial rate
             schedule can qualify for this CARE rate.

          e. Applicants must indicate on each annual application how the discount from the CARE
             rate will be used to directly benefit the occupants of the agricultural employee housing
             facility. Applicants shall make a certification to that effect under the penalty of perjury on
             the CARE application. At each annual recertification, Applicant shall be required to
             certify how the discount directly benefited the occupants of the agricultural employee
             housing facility.

               The Applicant will be required to demonstrate where the savings from the CARE rate will
               or have been reallocated and that the reallocation benefits the occupants directly. The
               Applicant must maintain accounting entries and retain supporting documentation in order
               to allow the Company to verify the benefits conferred
          .
                                                        (Continued)



                                                  Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 106
                             Canceling Original                          CPUC Sheet No. 106


                                      SCHEDULE NO. EXPCARE
                                          EXPANDED CARE
                       SERVICE TO QUALIFIED AGRICULTURAL EMPLOYEE HOUSING
                               AND NONPROFIT GROUP LIVING FACILITIES
                                            (Continued)

       SPECIAL CONDITIONS (Continued)

       5. AGRICULTURAL EMPLOYEE HOUSING OPERATED BY NONPROFITS (Continued)

               Supporting documentation includes, but is not limited to: dated receipts identifying items
               purchased; stated purposes of such purchase, and letters or memorandum to occupants
               indicating the benefit provided. Examples of benefits that would qualify, provided
               appropriate records are maintained, include: reduced energy charges to tenants from the
               CARE rate savings; improvements to tenant services such as day care or recreational
               facilities for tenants; reduced rents or reduced rent increases from offsets by the CARE
               rate. Other benefits may be considered by the Company as qualifying provided the
               Applicant can adequately demonstrate the savings will or have been used for the direct
               benefit of the occupants.

               Items not considered direct benefits for current occupants include: physical improvements
               to property that do not directly benefit occupants, such as remodeling to add office space;
               or development of new agricultural employee housing.

          f.   Customers who wrongfully declare eligibility or fail to demonstrate the CARE rate
               savings directly benefited the agricultural employee housing occupants may be rebilled
               for the period of ineligibility under their otherwise applicable rate schedule.

       6. ALL APPLICANTS

          a. Eligible customers shall be billed on this schedule commencing with the next regularly
             scheduled billing period after receipt and approval of application by the Company.

          b. Eligibility and certification information provided by the customer on the application form
             may be subject to verification by the Company. Refusal or failure of a customer to
             provide documentation of eligibility acceptable to the Company, upon request of the
             Company, shall result in removal from this schedule.

          c. Customers who wrongfully declare eligibility or fail to notify the Company when they no
             longer meet the eligibility requirements may be rebilled for the period of ineligibility under
             their otherwise applicable rate schedule.

          d. It is the responsibility of the customer to notify the Company within 30 days of any
             changes in the customer's eligibility status.



                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                                       CPUC Sheet No. 107
                             Canceling 1st Revised                                       CPUC Sheet No. 107


                                                     SCHEDULE NO. A-1
                                                   SMALL GENERAL SERVICE

       APPLICABILITY
       This schedule is applicable to all non-domestic service where demand is less than fifty (50)
       kilowatts and no other schedule is specifically applicable. This schedule is applicable to service for
       agricultural irrigation (Schedule No. PA, Optional Interruptible Irrigation Service) for the billing
       periods December 1 through the end of February. Non-profit group living facilities taking service
       under this schedule may be eligible for a 20% low-income rate discount on their bill, if such
       facilities qualify to receive service under the terms and conditions of Schedule EXPCARE.

       TERRITORY
       Entire California Service Area.

       RATES
       Customer Charge
          Per meter, per month                                                                   $12.22
       Energy Charges
          A. Rates that are applicable to Customers where demand has not exceeded twenty (20)
             kilowatts for any three (3) months during the preceding twelve (12) months. Applicability
             criteria are set forth in Special Condition 5.
                                                                                    Total
                                                                                   Energy
               Per kWh,              Distrbtn1 PPPC2 PUCRF3       Gen4     ECS5     Rate6
               per month             $0.03141 $0.00221 $0.00024 $0.09467 $0.00029 $0.12882

          B. Rates that are applicable to all other Customers not meeting applicability criteria set forth
             in Special Condition 5.
               Per kWh
               per month             $0.03141 $0.00221 $0.00024 $0.09467 $0.00029 $0.12882
          1.   Distrbtn -Distribution Charges.
          2.   PPPC – Public Purpose Programs Charge to fund energy efficiency activities and low income assistance programs.
          3.   PUCRF – Public Utilities Commission Reimbursement Surcharge that is described in Schedule No. RF.
          4.   Gen – Generation Charges which are applicable only to bundled service customers. Includes an Energy Cost
               Adjustment Clause billing factor that is described in Part 6 of the Preliminary Statement.
          5.   ECS – Energy Commission Surcharge that is established by the California Energy Commission.
          6.   Total Energy Rate – Sum of distribution charges, public purpose programs charges, PUC
               reimbursement surcharges, generation charges and Energy Commission Surcharges.


                                                              (Continued)




                                                           Issued by
Advice Letter No.     2-E                               Bob Dodds                    Date Filed        November 30, 2010
                                                            Name
Decision No.     10-10-017                        President and CEO                  Effective       January 1, 2011
                                                             Title
                                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 108
                             Canceling Original                             CPUC Sheet No. 108


                                             SCHEDULE NO. A-1
                                                 U                    U




                                          SMALL GENERAL SERVICE
                                          U                                  U




                                                (Continued)

       RATES (Continued)
       Late Charge
          1% on any amount 45 days in arrears from previous billings
       Minimum Charge
          The per meter, per month Customer Charge

       SPECIAL CONDITIONS
       U                        U




           1. Except for separately metered water heating, meter readings shall not be combined
              for billing hereunder.
           2. Consumption for separately metered water heating service shall be billed in
              combination with other consumption under the rates set forth in this schedule, except
              that an additional customer charge shall not be made.
           3. Service hereunder shall be supplied at one standard secondary voltage.
           4. Utility may require a contract for service hereunder for a minimum term of not less than
              one year.
           5. Applicability shall be based on a review of demand history. Customers whose
              estimated and/or metered monthly maximum demand has not exceeded twenty (20)
              kilowatts for any three months during the twelve month review period, will be billed
              under the (A) energy rates for the subsequent twelve month period. Similarly,
              customers whose estimated and/or metered monthly maximum demand is between
              twenty (20) and fifty (50) kilowatts for any three months during the twelve month
              review period, will be billed under the (B) energy rates for the subsequent twelve
              month period. Changes in customer operations, as brought to the attention of Utility,
              shall be considered as basis for mid-year rate changes. Any change in rate, whether
              resulting from annual review or change in customer operations, will be prospective
              only, except that Utility errors in reviewing demands annually shall be grounds for
              retroactive billing adjustment where such adjustment results in a refund or credit to the
              customer. See Rule Nos. 3 and 12, applicable to optional rates and changes in
              customer’s equipment or operations.




                                                        (Continued)



                                                     Issued by
Advice Letter No.   1-E                          Bob Dodds                Date Filed    November 23, 2010
                                                      Name
Decision No.    10-10-017                     President and CEO           Effective    January 1, 2011
                                                       Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 109
                             Canceling Original                          CPUC Sheet No. 109



                                             SCHEDULE NO. A-1
                                                 U                 U




                                          SMALL GENERAL SERVICE
                                          U                               U




                                                (Continued)

       SPECIAL CONDITIONS (Continued)
       U                        U




           6. Billing.

               A. Bundled Service Customers receive supply and delivery services solely from CalPeco.
                  The customer’s bill is based on the Total Rate set forth above. The energy supply
                  component is determined by multiplying the offset rate for Schedule A-1 during the last
                  month by the customer’s total usage.
               B. Direct Access Customers purchase energy from an energy service provider and
                  continue receiving delivery services from CalPeco. The energy supply component
                  is determined as specified for a Bundled Service Customer. The bill will be calculated as
                  for a Bundled Service Customer, but the customer will receive a credit for the energy
                  supply component. If the energy supply component is greater than the amount of the
                  Bundled Service bill, the minimum bill for a Direct Access Customer is zero.




                                                     Issued by
Advice Letter No.   1-E                          Bob Dodds             Date Filed    November 23, 2010
                                                      Name
Decision No.    10-10-017                     President and CEO        Effective    January 1, 2011
                                                       Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                                               CPUC Sheet No. 110
                             Canceling 1st Revised                                               CPUC Sheet No. 110


                                               SCHEDULE NO. TOU A-1
                                        TIME-OF-USE SMALL GENERAL SERVICE
       APPLICABILITY
       This time-of-use rate schedule is optional for Customers for whom Schedule A-1 is applicable.
       Non-profit group living facilities taking service under this schedule may be eligible for a 20% low-
       income rate discount on their bill, if such facilities qualify to receive service under the terms and
       conditions of Schedule EXPCARE. Service under this schedule is subject to meter availability.
       Enrollment under Schedules TOU A-1 and TOU D-1 is limited to a cumulative of 1,500 meters.
       TERRITORY
       Entire California Service Area.
       RATES
       Customer Charge
          Per meter, per month:                                                                        $12.69
       Energy Charges
          A. Rates that are applicable to Customers where demand has not exceeded twenty (20) kilowatts for
          any three (3) months during the preceding twelve (12) months. Applicability criteria are set forth in
          Special Condition 5.
          Per kWh, per month:                                                                                       Total
                                                                                                                   Energy
                                                  1          2                  3            4             5            6
                                       Distrbtn         PPPC             PUCRF         Gen           ECS            Rate
                    Summer
                    On-peak           $0.015970        $0.002210         $0.000240   $0.273690     $0.000290      $0.292400
                    Winter
                    On-peak           $0.061690        $0.002210         $0.000240   $0.085620     $0.000290      $0.150050
                    Summer/Winter
                    Off-peak          $0.028860        $0.002210         $0.000240   $0.061550     $0.000290      $0.093150
                    B. Rates that are applicable to all other Customers not meeting applicability criteria set forth
                    in Special Condition 5.
                    Summer
                    On-peak           $0.015970        $0.002210         $0.000240   $0.273690     $0.000290      $0.292400
                    Winter
                    On-peak           $0.061690        $0.002210         $0.000240   $0.085620     $0.000290      $0.150050
                    Summer/Winter
                    Off-peak          $0.028860        $0.002210         $0.000240   $0.061550     $0.000290      $0.093150

          5.   Distrbtn -Distribution Charges.
          6.   PPPC – Public Purpose Programs Charge to fund energy efficiency activities and low income assistance programs.
          7.   PUCRF – Public Utilities Commission Reimbursement Surcharge that is described in Schedule No. RF.
          8.   Gen – Generation Charges which are applicable only to bundled service customers. Includes an Energy Cost
               Adjustment Clause billing factor that is described in Part 6 of the Preliminary Statement.
          5.   ECS – Energy Commission Surcharge that is established by the California Energy Commission.
          6.   Total Energy Rate – Sum of distribution charges, public purpose programs charges, PUC reimbursement surcharges,
               generation charges and Energy Commission Surcharges.


                                                                   (Continued)




                                                            Issued by
Advice Letter No.     2-E                                 Bob Dodds                       Date Filed            November 30, 2010
                                                               Name
Decision No.     10-10-017                            President and CEO                   Effective            January 1, 2011
                                                                 Title
                                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 111
                             Canceling Original                        CPUC Sheet No. 111


                                            SCHEDULE NO. TOU A-1
                                    TIME-OF-USE SMALL GENERAL SERVICE
                                               (Continued)
       RATES (Continued)
       Late Charge
          1% on any amount 45 days in arrears from previous billings
       Minimum Charge
          The per meter, per month Customer Charge
       SPECIAL CONDITIONS
       U                        U




       1. Except for separately metered water heating, meter readings shall not be combined for
          billing hereunder.
       2. Consumption for separately metered water heating service shall be billed in combination
          with other consumption under the rates set forth in this schedule, except that an additional
          customer charge shall not be made.
       3. Service hereunder shall be supplied at one standard secondary voltage.
       4. Utility may require a contract for service hereunder for a minimum term of not less than
          one year.
       5. Applicability shall be based on a review of demand history. Customers whose estimated
          and/or metered monthly maximum demand has not exceeded twenty (20) kilowatts for any
          three months during the twelve month review period, will be billed under the (A) energy
          rates for the subsequent twelve month period. Similarly, customers whose estimated
          and/or metered monthly maximum demand is between twenty (20) and fifty (50) kilowatts
          for any three months during the twelve month review period, will be billed under the (B)
          energy rates for the subsequent twelve month period. Changes in customer operations,
          as brought to the attention of Utility, shall be considered as basis for mid-year rate
          changes. Any change in rate, whether resulting from annual review or change in customer
          operations, will be prospective only, except that Utility errors in reviewing demands
          annually shall be grounds for retroactive billing adjustment where such adjustment results
          in a refund or credit to the customer. See Rule Nos. 3 and 12, applicable to optional rates
          and changes in customer’s equipment or operations.
       6. Billing.
               A. Bundled Service Customers receive supply and delivery services solely from CalPeco.
                  The customer’s bill is based on the Total Rate set forth above. The energy supply
                  component is determined by multiplying the offset rate for Schedule A-1 during the last
                  month by the customer’s total usage.
               B. Direct Access Customers purchase energy from an energy service provider and
                  continue receiving delivery services from CalPeco. The energy supply component is
                  determined as specified for a Bundled Service Customer. The bill will be calculated as
                  for a Bundled Service Customer, but the customer will receive a credit for the energy
                  supply component. If the energy supply component is greater than the amount of the
                  Bundled Service bill, the minimum bill for a Direct Access Customer is zero.


                                                Issued by
Advice Letter No.    1-E                      Bob Dodds             Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                 President and CEO         Effective    January 1, 2011
                                                  Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 112
                             Canceling Original                           CPUC Sheet No. 112


                                         SCHEDULE NO. TOU A-1
                                   TIME-OF-USE SMALL GENERAL SERVICE
                                              (Continued)
       SPECIAL CONDITIONS (Continued)
       U




       7. Daily time periods will be based on Pacific Standard Time are defined as follows:
               Winter Period                  On-Peak           5:01 to 10:00 PM daily
                                              Off-Peak          All Other Hours
               Summer Period                  On-Peak           10:01 a.m. to 10:00 p.m. daily
                                              Off-Peak          All Other Hours

               The winter period will consist of eight regularly scheduled billing periods for service
               provided primarily in the months of October through May. The summer period will
               consist of four regularly scheduled billing periods for service provided primarily in the
               months of June through September.




                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                                      CPUC Sheet No. 113
                             Canceling 1st Revised                                      CPUC Sheet No. 113


                                                    SCHEDULE NO. A-2
                                                  MEDIUM GENERAL SERVICE

       APPLICABILITY
       This schedule is applicable to all service where maximum demand is between fifty (50) kilowatts
       and two hundred (200) kilowatts for any three months during the preceding twelve months and
       where another schedule is not specifically applicable. Non-profit group living facilities taking service
       under this schedule may be eligible for a 20% low-income rate discount on their bill, if such facilities
       qualify to receive service under the terms and conditions of Schedule EXPCARE.

       TERRITORY
       Entire California Service Area.

       RATES
       Customer Charge
          Per meter, per month                                                                               $108.94
       Demand Charge
          Per kW of Maximum Demand per month                                                                 Total
                      Distrbtn                                                Gen4                          Demand
                     Demand1                                                 Demand                          Rate7
          Winter       $7.23                                                  $1.30                           $8.53
          Summer       $3.92                                                  $0.00                           $3.92

                                                                                                             Total
                                                                                                             Energy
                         Distrbtn1           PPPC2           PUCRF3           Gen4            ECS5            Rate6
          Winter         $0.00000           $0.00221         $0.00024       $0.07373         $0.00029        $0.07647
          Summer         $0.00000           $0.00221         $0.00024       $0.12017         $0.00029        $0.12291
          1.   Distrbtn - Distribution Charges.
          2.   PPPC – Public Purpose Programs Charge to fund energy efficiency activities and low income assistance programs.
          3.   PUCRF – Public Utilities Commission Reimbursement Surcharge that is described in Schedule No. RF.
          4.   Gen – Generation Charges which are applicable only to bundled service customers. Includes an Energy Cost
               Adjustment Clause billing factor that is described in Part 6 of the Preliminary Statement.
          5.   ECS – Energy Commission Surcharge that is established by the California Energy Commission.
          6.   Total Energy Rate – Sum of distribution charges, public purpose programs charges, PUC reimbursement surcharges,
               generation charges and Energy Commission Surcharges.
          7.   Total Demand Rate – Sum of generation demand charges and distribution demand charges.

       Late Charge
          1% on any amount 45 days in arrears from previous billings
       Minimum Charge
          The per meter, per month Customer Charge

                                                            (Continued)




                                                          Issued by
Advice Letter No.     2-E                              Bob Dodds                     Date Filed        November 30, 2010
                                                            Name
Decision No.     10-10-017                        President and CEO                  Effective      January 1, 2011
                                                             Title
                                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 114
                             Canceling Original                          CPUC Sheet No. 114


                                            SCHEDULE NO. A-2
                                          MEDIUM GENERAL SERVICE
                                                (Continued)

       POWER FACTOR ADJUSTMENT
       Increase or decrease customer, demand and energy charges by .15% for each 1% that the average
       power factor is more or less than 90% lagging, per Special Condition 3.

       VOLTAGE AND TRANSFORMER ADJUSTMENT
       Where service is delivered either from an available primary distribution or transmission system, the
       customer, demand and energy charges shall be decreased as follows:
                                                                           Primary
                                                                           Distribution    Transmission
          a. Where service is metered at or compensated to
             the delivery point                                            1.25%           3.75%
          b. Where customer owns and maintains all equipment
             required for transformation from the delivery                  1.25%          3.75%
          c. Where both a. and b. exist                                    2.50%           5.00%
          d. Where neither a. nor b. exist                                 None            2.50%

       SPECIAL CONDITIONS
          1. Except for separately metered water heating, meter readings shall not be combined for
             billing hereunder.
          2. Determination of Demand: The demand for any billing shall be defined as the maximum
             measured fifteen minute average kilowatt load in the billing period. In instances,
             however, where the use of energy by a customer is intermittent or subject to violent
             fluctuations, a shorter time interval may by used and the demand determined from special
             measurements.
               At Utility’s option, a thermal type of demand meter which does not reset after a definite
               time interval may be used for demand measurements.




                                                    (Continued)



                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                  President and CEO          Effective     January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 115
                             Canceling Original                          CPUC Sheet No. 115


                                            SCHEDULE NO. A-2
                                          MEDIUM GENERAL SERVICE
                                                (Continued)
          SPECIAL CONDITIONS (Continued)

          3. Utility may, at its option, measure the average power factor of any customer load served
              hereunder. When such a measurement is made, the customer, demand and energy
             charges shall be decreased or increased, respectively .15% for each one percent that the
             average power factor for the billing period is more or less than 90% lagging.

          4. Utility retains the right to change its line voltage at any time, after reasonable advance
             notice to any customer receiving a voltage and transformer adjustment. Such customer
             then has the option to change his system so as to receive service at the new line voltage
             or to accept service (without discount) through transformers to be supplied by Utility.
          5. Utility may require a contract for service hereunder for a minimum term of not less than
             one year.
          6. Rate schedules shall be assigned by Utility annually, based on a review of demand
             history. Customers whose estimated and/or metered monthly demand is between 50
             and 200 kilowatts for any three months during the twelve month review period, and
             whose demand has not exceeded 200 kW for any three months will be billed under
             Schedule No. A-2 for the subsequent twelve month period. Changes in customer
             operations, as brought to the attention of Utility, shall be considered as basis for mid-
             year rate changes. Any change in rate, whether resulting from annual review or change
             in customer operations, will be prospective only, except that Utility errors in reviewing
             demands annually shall be grounds for retroactive billing adjustment where such
             adjustment results in a refund or credit to the customer. See Rule Nos. 3 and 12
             applicable to optional rates and change in customers equipment or operations.
          7. Seasonal Periods are defined as follows:
                      The Winter period will consist of eight regularly scheduled billing periods for
                      service provided in the months of October through May.
                      The summer period will consist of four regularly scheduled billing periods for
                      service provided in the months of June through September.
               8. Depending on their actual demand, customers shall have the option to switch to
                  Schedule No. A-3. Customers choosing Schedule No. A-3 on an optional basis shall
                  pay a monthly meter charge of $6.20 and contract for service for a minimum term of
                  not less than one (1) year.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 116
                             Canceling Original                        CPUC Sheet No. 116

                                           SCHEDULE NO. A-2
                                         MEDIUM GENERAL SERVICE
                                               (Continued)
          SPECIAL CONDITIONS (Continued)

          9. Billing.
               A. Bundled Service Customers receive supply and delivery services solely from the Utility.
                  The customer’s bill is based on the Total Energy Rate set forth above. The energy
                  supply component is determined by multiplying the offset rate for Schedule D-1 during
                  the last month by the customer’s total usage.
               B. Direct Access Customers purchase energy from an energy service provider and
                  continue receiving delivery services from CalPeco. The energy supply component
                  is determined as specified for a Bundled Service Customer. The bill will be calculated as
                  for a Bundled Service Customer, but the customer will receive a credit for the energy
                  supply component. If the energy supply component is greater than the amount of the
                  Bundled Service bill, the minimum bill for a Direct Access Customer is zero.




                                                Issued by
Advice Letter No.   1-E                       Bob Dodds             Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                 President and CEO         Effective    January 1, 2011
                                                  Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                                      CPUC Sheet No. 117
                             Canceling 1st Revised                                      CPUC Sheet No. 117

                                               SCHEDULE NO. TOU A-2
                                        TIME-OF-USE MEDIUM GENERAL SERVICE

       APPLICABILITY

       This time-of-use rate schedule is optional for Customers for whom Schedule A-2 is applicable.
       Non-profit group living facilities taking service under this schedule may be eligible for a 20% low-
       income rate discount on their bill, if such facilities qualify to receive service under the terms and
       conditions of Schedule EXPCARE. Service under this schedule is subject to meter availability.
       TERRITORY
       Entire California Service Area.
       RATES
       Customer Charge
          Per meter, per Billing Month                                                           $223.98
       Facilities Charge
          Per kW of Maximum Demand, per Billing Month                                            $2.56
       Demand Charges
          Per kW of Billing Demand for relevant time-of-use period, per Billing Month:
                                                                                                         Total
                                     Distrbtn                                 Gen4                      Demand
                                     Demand1                                 Demand                      Rate7
          Winter
           On-Peak                     $4.25                                   $2.21                     $6.46
            Mid-Peak                   $0.62                                   $1.32                     $1.94
          Summer
            On-Peak                    $1.85                                  $11.25                     $13.10
       Energy Charges
          Per kWh, per month                                                                              Total
                                                                                                         Energy
                                     Distrbtn1     PPPC2        PUCRF3         Gen4         ECS5          Rate6
          Winter
            On-Peak                  $0.00000 $0.00221 $0.00024 $0.07842 $0.00029 $0.08116
            Mid-Peak                 $0.00000 $0.00221 $0.00024 $0.07822 $0.00029 $0.08096
            Off-Peak                 $0.00000 $0.00221 $0.00024 $0.06870 $0.00029 $0.07144
          Summer
            On-Peak                  $0.00000 $0.00221 $0.00024 $0.07804 $0.00029 $0.08078
            Off-Peak                 $0.00000 $0.00221 $0.00024 $0.06577 $0.00029 $0.06851
          1.   Distrbtn - Distribution Charges.
          2.   PPPC – Public Purpose Programs Charge to fund energy efficiency activities and low income assistance programs.
          3.   PUCRF – Public Utilities Commission Reimbursement Surcharge that is described in Schedule No. RF.
          4.   Gen – Generation Charges which are applicable only to bundled service customers. Includes an Energy Cost
               Adjustment Clause billing factor that is described in Part 6 of the Preliminary Statement.
          5.   ECS – Energy Commission Surcharge that is established by the California Energy Commission.
          6.   Total Energy Rate – Sum of distribution charges, public purpose programs charges, PUC reimbursement surcharges,
               generation charges and Energy Commission Surcharges.
          7.   Total Demand Rate – Sum of generation and distribution demand charges.
                                                            (Continued)
                                                          Issued by
Advice Letter No.     2-E                              Bob Dodds                     Date Filed        November 30, 2010
                                                            Name
Decision No.     10-10-017                        President and CEO                  Effective      January 1, 2011
                                                             Title
                                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 118
                             Canceling Original                          CPUC Sheet No. 118


                                         SCHEDULE NO. TOU A-2
                                  TIME-OF-USE MEDIUM GENERAL SERVICE
                                              (Continued)
       RATES (Continued)
       Late Charge
          1% on any amount 45 days in arrears from previous billings
       Minimum Charge
          The per meter, per month Customer Charge
       Power Factor Adjustment
          Increase or decrease customer, demand and energy charges by .15% for each 1% that the
          average power factor is more or less than 90% lagging, per Special Condition 3.
       Voltage And Transformer Adjustment
           Where service is delivered either from an available primary distribution or transmission system,
           the customer, demand and energy charges shall be decreased as follows:
                                                                            Primary
                                                                            Distribution   Transmission
          a. Where service is metered at or compensated to
             the delivery point                                             1.25%          3.75%
          b. Where customer owns and maintains all equipment
             required for transformation from the delivery                  1.25%          3.75%
          c. Where both a. and b. exist                                     2.50%          5.00%
          d. Where neither a. nor b. exist                                  None           2.50%

       SPECIAL CONDITIONS
       1. Except for separately metered water heating, meter readings shall not be combined for billing
          hereunder.
       2. Determination of Demand: The demand for any billing shall be defined as the maximum
          measured fifteen minute average kilowatt load in the billing period. In instances, however,
          where the use of energy by a customer is intermittent or subject to violent fluctuations, a
          shorter time interval may by used and the demand determined from special measurements.
          At Utility’s option, a thermal type of demand meter which does not reset after a definite time
          interval may be used for demand measurements.
       3. Utility may, at its option, measure the average power factor of any customer load served
          hereunder. When such a measurement is made, the customer, demand and energy charges
          shall be decreased or increased, respectively .15% for each one percent that the average
          power factor for the billing period is more or less than 90% lagging.
       4. Utility retains the right to change its line voltage at any time, after reasonable advance notice
          to any customer receiving a voltage and transformer adjustment. Such customer then has
          the option to change his system so as to receive service at the new line voltage or to accept
          service (without discount) through transformers to be supplied by Utility.
                                                      (Continued)

                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                  President and CEO          Effective     January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 119
                             Canceling Original                         CPUC Sheet No. 119


                                        SCHEDULE NO. TOU A-2
                                 TIME-OF-USE MEDIUM GENERAL SERVICE
                                             (Continued)
       SPECIAL CONDITIONS (Continued)
       U




       5. Utility may require a contract for service hereunder for a minimum term of not less than one
          year.
       6. Rate schedules shall be assigned by Utility annually, based on a review of demand history.
          Customers whose estimated and/or metered monthly demand is between 50 and 200
          kilowatts for any three months during the twelve month review period, and whose demand
          has not exceeded 200 kW for any three months will be billed under Schedule No. A-2 for the
          subsequent twelve-month period. Changes in customer operations, as brought to the
          attention of Utility, shall be considered as basis for mid-year rate changes. Any change in
          rate, whether resulting from annual review or change in customer operations, will be
          prospective only, except that Utility errors in reviewing demands annually shall be grounds
          for retroactive billing adjustment where such adjustment results in a refund or credit to the
          customer. See Rule Nos. 3 and 12 applicable to optional rates and change in Customer’s
          equipment or operations.
       7. Time-of-use periods will be based on Pacific Standard Time and are as follows:
               Winter Period        On-Peak                 5:01 p.m. to 10:00 p.m. daily
                                    Mid-Peak                7:01 a.m. to 5:00 p.m. daily
                                    Off-Peak                All Other Hours
               Summer Period        On-Peak                 10:01 a.m. to 10:00 p.m. daily
                                    Off-Peak                All Other Hours




                                                Issued by
Advice Letter No.   1-E                        Bob Dodds             Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           3rd Revised                                       CPUC Sheet No. 120
                             Canceling 2nd Revised                                       CPUC Sheet No. 120


                                                      SCHEDULE NO. A-3
                                                   LARGE GENERAL SERVICE
       APPLICABILITY
       This schedule is applicable to three-phase general service, including light and power. This
       schedule is mandatory for all customers whose monthly maximum demand exceeds two
       hundred (200) kilowatts for any three months during the preceding twelve months. Customer
       shall contract for service hereunder for a minimum term of not less than one (1) year. Non-profit
       group living facilities taking service under this schedule may be eligible for a 20% low-income
       rate discount on their bill, if such facilities qualify to receive service under the terms and
       conditions of Schedule EXPCARE.
       TERRITORY
       Entire California Service Area.
       RATES
       Customer Charge
          Per meter, per month                                                                   $575.22

       Facilities Charge
          Per kW of Maximum Demand, per month                                                    $3.17

       Demand Charges
          Per kW of Billing Demand for relevant time-of-use period, per month (See Special Condition 6)

                                                                                                         Total
                                     Distrbtn                                 Gen4                      Demand
                                     Demand1                                 Demand                      Rate7
          Winter
           On-Peak                     $3.75                                   $1.91                      $5.66
           Mid-Peak                    $0.89                                   $1.37                      $2.26
          Summer
            On-Peak                    $2.61                                  $11.23                     $13.84
       Energy Charges
                                                                                                          Total
                                                                                                         Energy
                                     Distrbtn1      PPPC2       PUCRF3          Gen4         ECS5         Rate6
          Winter
            On-Peak                  $0.00000 $0.00221 $0.00024 $0.07264 $0.00029 $0.07538
            Mid-Peak                 $0.00000 $0.00221 $0.00024 $0.07410 $0.00029 $0.07684
            Off-Peak                 $0.00000 $0.00221 $0.00024 $0.06025 $0.00029 $0.06299
          Summer
            On-Peak                  $0.00000 $0.00221 $0.00024 $0.07247 $0.00029 $0.07521
            Off-Peak                 $0.00000 $0.00221 $0.00024 $0.05608 $0.00029 $0.05882
          1.   Distrbtn – Distribution Charges.
          2.   PPPC – Public Purpose Programs Charge to fund energy efficiency activities and low income assistance programs.
                                                            (Continued)

                                                           Issued by
Advice Letter No.     1-E                               Bob Dodds                    Date Filed        November 23, 2010
                                                            Name
Decision No.     10-10-017                        President and CEO                  Effective       January 1, 2011
                                                             Title
                                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                                      CPUC Sheet No. 121
                             Canceling Original                                         CPUC Sheet No. 121




                                                     SCHEDULE NO. A-3
                                                  LARGE GENERAL SERVICE
                                                        (Continued)
       RATES (Continued)
       Energy Charges (Continued)
          3.   PUCRF – Public Utilities Commission Reimbursement Surcharge that is described in Schedule No. RF.
          4.   Gen – Generation Charges which are applicable only to bundled service customers. Includes an Energy Cost Adjustment
               Clause billing factor that is described in Part 6 of the Preliminary Statement.
          5.   ECS – Energy Commission Surcharge that is established by the California Energy Commission.
          6.   Total Energy Rate – Sum of distribution charges, public purpose programs charges, PUC
               reimbursement surcharges, generation charges and Energy Commission Surcharges.
          7.   Total Demand Rate – Sum of distribution demand charges, and generation demand charges.

       Late Charge
          1% on any amount 45 days in arrears from previous billings
       Minimum Charge
          The per meter, per month Customer Charge


       POWER FACTOR ADJUSTMENT
       Increase or decrease customer, demand and energy charges by .15% for each 1% that the
       average power factor is more or less than 90% lagging, per Special Condition 2.

       VOLTAGE AND TRANSFORMER ADJUSTMENT
       Where service is delivered either directly from an available primary distribution or transmission
       system, the customer, demand, and energy charges shall be decreased as follows:

                                                                                        Primary
                                                                                      Distribution        Transmission
          a. Where service is metered at or compensated
             to the delivery point                                                        1.25%                 3.75%
          b. Where customer owns and maintains all equipment
             required for transformation from the delivery voltage                        1.25%                 3.75%
          c. Where both a. and b. exist                                                   2.50%                 5.00%
          d. Where neither a. nor b. exist                                                 None                 2.50%




                                                              (Continued)

                                                          Issued by
Advice Letter No.     1-E                              Bob Dodds                    Date Filed        November 23, 2010
                                                            Name
Decision No.     10-10-017                        President and CEO                 Effective       January 1, 2011
                                                             Title
                                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 122
                             Canceling Original                         CPUC Sheet No. 122


                                             SCHEDULE NO. A-3
                                          LARGE GENERAL SERVICE
                                                (Continued)
       SPECIAL CONDITIONS

          1. Except for separately metered water hearing, meter readings shall not be
             combined for billing hereunder.
          2. Utility may, at its option, measure the average power factor of any customer
             load served hereunder. When such a measurement is made, the customer,
             demand and energy charge shall be decreased or increased, respectively .15%
             for each one percent that average power factor for the billing period is more or
             less than 90% lagging.
          3. Utility retains the right to change its line voltage at any time, after reasonable advance
             notice to any customer receiving a Voltage and Transformer Adjustment. Such
             customer then has the option to change his system so as to receive service at the new
             line voltage or to accept service (without discount) through transformers to be supplied
             by Utility.
          4. Utility may require a contract for service hereunder for a minimum term of not
             less than one year.
          5. Rate schedules shall be assigned by Utility annually, based on a review of
             demand history. Customers whose estimated and/or metered monthly demand
             exceeds 200 kilowatts for any three months during the twelve month review
             period will be billed under Schedule No. A-3 for the subsequent twelve month
             period. Changes in customer operations, as brought to the attention of Utility,
             shall be considered as basis for mid-year rate changes. Any change in rate,
             whether resulting from annual review or change in customer operations, will be
             prospective only, except that Utility errors in reviewing demands annually shall be
             grounds for retroactive billing adjustment where such adjustment results in a
             refund or credit to the customer. See Rule Nos. 3 and 12 applicable to optional
             rates and change in customers equipment or operations.




                                                   (Continued)


                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 123
                             Canceling Original                           CPUC Sheet No. 123


                                              SCHEDULE NO. A-3
                                           LARGE GENERAL SERVICE
                                                 (Continued)

       SPECIAL CONDITIONS (Continued)

          6. Daily time periods will be based on Pacific Standard Time are defined as
             follows:
                        Winter Period         On-Peak                5:01 to 10:00 p.m. daily
                                              Mid-Peak               7:01 a.m. to 5:00 p.m. daily
                                              Off-Peak               All Other Hours
                        Summer Period         On-Peak                10:01 a.m. to 10:00 p.m. daily
                                              Off-Peak               All Other Hours
               The winter period will consist of eight regularly scheduled billing periods for
               service provided primarily in the months of October through May. The summer
               period will consist of four regularly scheduled billing periods for service provided
               primarily in the months of June through September.
          7. This schedule is also available to A-2 customers on an optional basis. Customers who
             switch to this schedule shall pay a monthly meter charge of $6.20 and contract for a
             minimum term of not less than one (1) year.

          8. Billing.
               A. Bundled Service Customers receive supply and delivery services solely from the Utility.
                  The customer’s bill is based on the Total Energy Rate set forth above. The energy
                  supply component is determined by multiplying the offset rate for Schedule D-1 during
                  the last month by the customer’s total usage.
               B. Direct Access Customers purchase energy from an energy service provider and
                  continue receiving delivery services from CalPeco. The energy supply component is
                  determined as specified for a Bundled Service Customer. The bill will be calculated as
                  for a Bundled Service Customer, but the customer will receive a credit for the energy
                  supply component. If the energy supply component is greater than the amount of the
                  Bundled Service bill, the minimum bill for a Direct Access Customer is zero.




                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                                         CPUC Sheet No. 124
                             Canceling 1st Revised                                         CPUC Sheet No. 124


                                                 SCHEDULE NO. PA
                                    OPTIONAL INTERRUPTIBLE IRRIGATION SERVICE

       APPLICABILITY
                 This optional schedule is applicable to service for agricultural irrigation for the billing
                 periods March 1 through November 30.
                          TERRITORY
                 Entire California Service Area.
       RATES
       Customer Charge
          Per customer, per month                                                                                $12.22
       Energy Charges
                                                                                                                  Total
                                                                                                                 Energy
            Per kWh,              Distrbtn1         PPPC2          PUCRF3           Gen4          ECS5            Rate6
            per month             $0.00242          $0.00221       $0.00024        $0.07984      $0.00029       $0.08500
            1.   Distrbtn – Distribution Charges.
            2.   PPPC – Public Purpose Programs Charge to fund energy efficiency activities, and low income assistance programs.
            3.   PUCRF – Public Utilities Commission Reimbursement Surcharge that is described in Schedule No. RF.
            4.   Gen – Generation Charges which are applicable only to bundled service customers. Includes an Energy Cost
                 Adjustment Clause billing factor that is described in Part 6 of the Preliminary Statement.
            5.   ECS – Energy Commission Surcharge that is established by the California Energy Commission.
            6.   Total Energy Rate – Sum of distribution charges, public purpose programs charges, PUC
                 reimbursement surcharges, generation charges and Energy Commission Surcharges.

            NOTE: For the billing periods December 1 through the end of February, the billing provisions of
            Schedule A-1 are applicable.
       Late Charge
          1% on any amount 45 days in arrears from previous billings.
       Minimum Charge
          The minimum charge shall be the customer charge
       SPECIAL CONDITIONS
       1.        Combined Meters. Except where multiple metering points are provided at the Utility’s
                 convenience, meter readings shall not be combined for billing hereunder.
       2.        Metering. This schedule is applicable only to electricity used to pump water for
                 agricultural irrigation, and service under this schedule must be separately metered from
                 non-agricultural loads.
       3.        Voltage. Service hereunder shall be supplied at one standard secondary voltage.


                                                                (Continued)



                                                             Issued by
Advice Letter No.       2-E                               Bob Dodds                    Date Filed         November 30, 2010
                                                              Name
Decision No.       10-10-017                        President and CEO                  Effective       January 1, 2011
                                                               Title
                                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 125
                             Canceling Original                           CPUC Sheet No. 125


                                           SCHEDULE NO. PA
                              OPTIONAL INTERRUPTIBLE IRRIGATION SERVICE

       SPECIAL CONDITIONS (Continued)

       4.      Service Contract: Utility may require a contract for service hereunder for a minimum
               term of not less than one year.

       5.      Energy Restriction: Customer must agree to interruption of service, upon notification
               by Utility, in situations where a system emergency exists and load reduction is needed
               to maintain system integrity. Failure to reduce load upon request of the Utility will result
               in the customer being billed for the season (March 1 through November 30) at the A-1
               rate schedule.

       6.      Billing:

               Bundled Service Customers receive supply and delivery services solely from Utility.
               The customer’s bill is based on the Total Rate set forth above. The energy supply
               component is determined by multiplying the offset rate for Schedule PA during the last
               month by the customer’s total usage.

               Direct Access Customers purchase energy from an energy service provider and
               continue receiving delivery services from CalPeco. The energy supply component is
               determined as specified for a Bundled Service Customer. The bill will be calculated as for
               a Bundled Service Customer, but the customer will receive a credit for the energy
               supply component. If the energy supply component is greater than the amount of the
               Bundled Service bill, the minimum bill for a Direct Access Customer is zero.




                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                                      CPUC Sheet No. 126
                             Canceling 1st Revised                                      CPUC Sheet No. 126

                                               SCHEDULE NO. SL/OL
                                          STREET AND OUTDOOR LIGHTING

       APPLICABILITY
       This rate is applicable to all classes of customers for lighting outdoor areas, streets, alleys,
       roads, and highways. Customer-owned lighting applications will be served under the
       appropriate residential or commercial metered accounts of customers owning their own lighting
       equipment.

       TERRITORY
       Entire California Service Area.

       RATES
       Energy Charges (per lamp per month)

          Lamp Type/            kWh/                                                                         Total
          Nominal Rating        Month Distrbtn1          PPPC2        PUCRF3        Gen4         ECS5        Rate6

          High Pressure Sodium Street Lights:
          5,800 Lumen     29    $6.94    $0.06                        $0.01        $3.27          $0.01      $10.29
          9,500 Lumen     41    $6.96    $0.09                        $0.01        $4.13          $0.01      $11.20
          22,000 Lumen    79    $7.52    $0.18                        $0.02        $7.28          $0.02      $15.02

          High Pressure Sodium Outdoor Lights:
          5,800 Lumen     29    $5.39 $0.06                            0.01        $2.81          $0.01       $8.28
          9,500 Lumen     41    $5.52 $0.09                            0.01        $3.61          $0.01       $9.24
          16,000 Lumen    67    $5.74 $0.15                            0.02        $5.35          $0.02      $11.28
          22,000 Lumen    85    $6.12 $0.19                            0.02        $6.60          $0.02      $12.95
          1.   Distrbtn – Distribution Charges.
          2.   PPPC – Public Purpose Programs Charge to fund energy efficiency activities, and low income assistance programs.
          3.   PUCRF –Public Utilities Commission Reimbursement Surcharge that is described in Schedule No. RF.
          4.   Gen – Generation Charges which are applicable only to bundled service customers. Includes an Energy Cost
               Adjustment Clause billing factor that is described in Part 6 of the Preliminary Statement.
          5.   ECS – Energy Commission Surcharge that is established by the California Energy Commission.
          6.   Total Rate – Sum distribution charges, public purpose programs charges, PUC reimbursement surcharges, generation
               charges, and Energy Commission Surcharges.

       Special Charges
          In addition to the above energy charges, the following special charges are applicable per month:
               New Wood Pole                           $ 5.47 Per Pole
               New Metal Pole (under 22,000 Lumen)       7.21 Per Pole
               New Metal Pole (22,000 Lumen)             7.66 Per Pole
               Underground Service                       3.70 Per Standard Installation of up to 130 ft.
                                                (Continued)




                                                          Issued by
Advice Letter No.     2-E                              Bob Dodds                     Date Filed        November 30, 2010
                                                            Name
Decision No.     10-10-017                        President and CEO                  Effective      January 1, 2011
                                                             Title
                                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 127
                             Canceling Original                            CPUC Sheet No. 127


                                              SCHEDULE NO. SL/OL
                                         STREET AND OUTDOOR LIGHTING
                                                  (Continued)

       SPECIAL CONDITIONS
       1.      Service hereunder is for dusk-to-dawn burning hours of approximately four
               thousand one hundred (4,100) hours per year.
       2.      Utility shall not be required to make investments in new installations in excess of
               the following:

                                           (a)                (b)                 (c)
                                            Existing          New                 New
                            Lamp Size            Pole         Wood Pole           Metal Pole
                           5,800 Lumen           $325               $400                  $625
                           9,500 Lumen            350                450                    650
                          22,000 Lumen            400                500                  1,015
               Costs in excess of the above amounts shall be paid by the customer on a non-
               refundable basis.
       3.      Relocation of existing lights will be done by the Utility upon customer's request provided
               the customer reimburses the Utility for net expenses incurred.
       4.      Billing.
               A. Bundled Service Customers receive supply and delivery services solely from the Utility.
                  The customer’s bill is based on the Total Energy Rate set forth above. The energy
                  supply component is determined by multiplying the offset rate for Schedule D-1 during
                  the last month by the customer’s total usage.
               B. Direct Access Customers purchase energy from an energy service provider and
                  continue receiving delivery services from CalPeco. The energy supply
                  component is determined as specified for a Bundled Service Customer. The bill will be
                  calculated as for a Bundled Service Customer, but the customer will receive a credit for
                  the energy supply component. If the energy supply component is greater than the
                  amount of the Bundled Service bill, the minimum bill for a Direct Access Customer is
                  zero.




                                                  Issued by
Advice Letter No.    1-E                         Bob Dodds            Date Filed         November 23, 2010
                                                   Name
Decision No.     10-10-017                 President and CEO          Effective         January 1, 2011
                                                    Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 128
                             Canceling Original                           CPUC Sheet No. 128



                                              SCHEDULE NO. SE

                                 SERVICE ESTABLISHMENT CHARGES

       APPLICABILITY

               Applicable to all customers.

       TERRITORY

               Entire service territory.

       RATES

                                                                                     OUTSIDE
                                                              REGULAR                REGULAR
                                                               HOURS                  HOURS

       Electric Turn on or Meter Set                          $25.00                 $40.00

       Change of Account                                      $25.00                 Service not
                                                                                     Available

       Problem with Non-Utility Facilities                    $25.00                 $40.00

       SPECIAL CONDITIONS

       1.      The applicable service establishment charge provided for herein is in addition to the
               charges calculated in accordance with the applicable schedule and will be made each
               time an account is opened, including a turn-on, meter set or reconnection of electric
               service or a change of account.

       2.      The outside regular hours rate is to be applied whenever the customer requests that
               electric service be turned on or reconnected outside regular business hours or within
               four hours after his request.

       3.      Utility shall take only those emergency actions and make only those minor repairs
               involving non-utility facilities, which would prevent serious hardship or property damage.

       4.      Utility may apply the service charge for problems with non-utility facilities whether or not
               actions and/or repairs involving such facilities are actually completed.




                                                  Issued by
Advice Letter No.    1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.     10-10-017                   President and CEO         Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 129
                             Canceling Original                            CPUC Sheet No. 129


                                           SCHEDULE NO. CSPP

                           COGENERATION AND SMALL POWER PRODUCTION

       APPLICABILITY

             This schedule is applicable only to purchases from Qualifying Facilities having rated
       (nameplate) capacities for 100 kW or less.

       TERRITORY

               Entire service territory.

       PURCHASE PRICES

              Prices paid are the current price offerings filed with the Commission in accordance with
       Decision No. 82-01-103.

               Prices are available on a short-term basis offered for either a non-time differentiated or a
       time of delivery payment. All prices consist of an energy and a capacity component stated in $
       per kWh with payments made for all kWh as delivered within the appropriate period.

       SPECIAL CONDITIONS

               1.     The billing period for purchases hereunder shall be the time interval between two
       consecutive meter readings that are taken for billing purposes. For subsequent changes in
       purchase prices occurring between reading dates, purchase payments will be prorated based
       on the number of days in each respective period, in cases where metering fails to record
       delivery quantities within each period.

               2.      Operators of Qualifying Facilities providing energy to Utility hereunder shall be
       entitled to purchase energy from Utility on the filed rate schedule(s) applicable to the type and
       location of the Qualifying Facility.

                3.     All cost of interconnection with Utility’s system shall be borne by the Qualifying
       Facility.

              4.       Contracts shall be required for all purchases hereunder. Such contracts will
       include the division of costs and responsibilities of both Utility and the Qualifying Facility for
       metering, interconnection, control and protection.


                                                    (Continued)




                                                   Issued by
Advice Letter No.    1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.     10-10-017                  President and CEO           Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 130
                             Canceling Original                           CPUC Sheet No. 130


                                          SCHEDULE NO. CSPP

                          COGENERATION AND SMALL POWER PRODUCTION
                                         (Continued)

       SPECIAL CONDITIONS (Continued)

              5.      Utility shall have the right to enter the premises at any time for the reading of
       meters. When in Utility’s opinion, a non-hazardous condition exists and immediate action is not
       necessary, Utility will provide at least two (2) days notice prior to entering premises for the
       purposes of testing meters, inspecting facilities or as necessary to prevent property damage,
       personal injury, or disruption of service to customers.

              6.       Utility shall have the right to disconnect the Qualifying Facility from its system
       without notice, when in Utility’s opinion, a hazardous condition exists and immediate action is
       necessary to prevent property damage, personal injury or disruption of service to customers.

               7.     All purchases made under this schedule are subject to the provisions of Rule No.
       21.

               8.      An adjustment to the effective rate(s) will be made to reflect any additional
       significant increase or decrease in costs due to the net impacts on system line losses, caused
       by the operational characteristics of the particular facility, when it has been demonstrated that
       such an adjustment is warranted.

               9.     An adjustment to the capacity component of the effective rate(s) will also be
       made to reflect any additional significant increase or decrease in costs due to the net impacts
       on required transmission and distribution system investment when it has been demonstrated
       that such an adjustment is warranted.




                                                  Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 131
                             Canceling Original                         CPUC Sheet No. 131


                                                 SCHEDULE NO. RF

                                            SURCHARGE TO FUND
                                         PUBLIC UTILITIES COMMISSION
                                             REIMBURSEMENT FEE

       APPLICABILITY

          This surcharge applies to all electric sales rendered under all tariff rate schedules
          authorized by the Commission, with the exception of interdepartmental sales or
          transfers and sales to electric public utilities.

       TERRITORY

               Entire California service area.

       RATES

               SURCHARGE*

               For all service, per kilowatthour………………………….$0.00024
               per meter, per month


               * In 1983 the Legislature established the Public Utilities Commission Reimbursement Fee to
               be paid by utilities to fund their regulation by the Commission (Public Utilities (PU) Code
               Section 401-443). The surcharge to recover the cost of that fee is ordered by the
               Commission under authority granted by Pu Code Section 433.




                                                   Issued by
Advice Letter No.   1-E                          Bob Dodds           Date Filed     November 23, 2010
                                                    Name
Decision No.    10-10-017                  President and CEO         Effective    January 1, 2011
                                                     Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 132
                             Canceling Original                            CPUC Sheet No. 132


                                                 Schedule No. DAS

                                       DIRECT ACCESS SERVICE CHARGES

       APPLICABILITY

              This schedule applies to energy service providers (ESPs) who provide direct access
       service to Customers and to those Customers electing Direct Access Service as set forth in
       Rule 22.

       TERRITORY

               Entire California Service Area.

       RATES

               1.       Direct Access Service Request (DASR) Charges:

                        a.      Switching. An ESP submitting a DASR as required by the Utility/ESP
                                Service Agreement will be charged per account per DASR submittal.
                                This charge applies to all accepted DASRs for switches from
                                traditional Utility services to Direct Access Service, switches between
                                ESPs, switches in metering agents, switches in billing options (when
                                offered), and switches in billing agents. This fee does not apply to
                                rejected DASRs.

                                DASR Charge, per account per DASR submittal:                 $5.00

               2.       Consumption Data:

                        a.      12 months of Customer usage data. The Utility will provide a
                                maximum of the most recent 12 months of customer usage data or
                                the amount of data for that specific account in a standard format.

                                Consumption Data Charge, per account per request
                                     Up to two (2) times per year: No charge
                                     Third (3rd) and subsequent requests, per calendar year:
                                     $40.00

               3.       Metering Services, per event:

                        a.      Interval Meter, per meter: Actual Cost


                                                  (continued)


                                                   Issued by
Advice Letter No.      1-E                       Bob Dodds               Date Filed    November 23, 2010
                                                    Name
Decision No.        10-10-017               President and CEO            Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 133
                             Canceling Original                         CPUC Sheet No. 133


                                        SCHEDULE NO. DAS
                                   DIRECT ACCESS SERVICE CHARGES
                                           (continued)

       RATES (cont’d.)

               3.    Metering Services, per event (cont’d.)

                     b.     Base Metering Service. The Utility will provide meter installation,
                            maintenance, and testing. This charge is incurred when the Utility
                            goes to the meter to perform meter services and is in addition to
                            any other specific service fees listed in this section 3.

                            Metering Service Base Charge, per meter, per event:            $90.00

                     c.     Meter Installation. The Utility will install an interval meter and
                            provide the ESP with the starting read for the new meter and
                            information on meter identification, voltage, meter constants and
                            other parameters required by the CPUC. This service does not
                            include interval meter cost, metering transformer material and
                            installation cost, telecommunications equipment, installation or
                            service costs. Meter removal, testing, and programming charges,
                            described below, would also be charged.

                            Meter Installation, per meter:                                $100.00

                     d.     Meter Removal. The Utility will remove an interval meter or a meter
                            to be replaced by an interval meter and provide the ESP with the
                            ending read for the meter which was removed (if applicable). The
                            service includes removal and processing of the existing meter.

                            Meter Removal, per meter:                                      $45.00

                     e.     Meter Test. The Utility will test an interval meter when it is installed
                            or at a specific request for previously installed interval meters and
                            provide the ESP with the results of the test.

                            Interval Meter Test, per meter:                                $60.00

                     f.     Meter Programming. The Utility will program interval meters that it
                            installs.

                            Interval Meter Programming, per meter:                         $25.00

                                               (continued)


                                                Issued by
Advice Letter No.   1-E                      Bob Dodds               Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No. 134
                             Canceling Original                              CPUC Sheet No. 134


                                               SCHEDULE NO. DAS

                                       DIRECT ACCESS SERVICE CHARGES
                                               (continued)

       RATES (cont’d.)

               3.       Metering Services, per event (cont’d.)

                        g.      Meter Battery. The Utility will replace an interval meter battery.

                                Interval Meter Battery Replacement:                             $30.00

                        h.      Meter Inspection. The Utility will inspect an interval meter.

                                Interval Meter Inspection, per meter:                           $55.00

                        i.      Unscheduled Meter Maintenance. The Utility will resolve a malfunction of
                                the interval meter. This service includes costs for diagnosing and
                                resolving malfunctions of the interval meter. This service does not
                                include any other meter services that may be required during malfunction
                                resolution or replacing the interval meter.

                                Unscheduled Interval Meter Maintenance:                         $105.00

                        j.      Metering Services Hourly Labor Rate. The Utility will perform other
                                services not specifically covered by the charges in this section 3. This
                                rate does not include any materials cost. This charge will be in addition to
                                the base service charge and specifically requested services listed above
                                that are performed.

                                Interval Metering Services Hourly Labor Rate:                   $65.00

               4.       Meter Service Contract:

                        a.      The Utility will perform required routine maintenance on interval meters
                                that it installs. This charge will not be prorated. The per event charges
                                listed in section 3. above will not apply to customers served under a
                                Meter Service Contract, with the exception of charges associated with
                                meter installation, customer-requested unscheduled meter tests, meter
                                removal, and metering inspections.

                                Interval Meter Service Contract, per year:                  $145.00

                                                   (continued)


                                                   Issued by
Advice Letter No.      1-E                        Bob Dodds             Date Filed     November 23, 2010
                                                    Name
Decision No.        10-10-017                President and CEO          Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 135
                             Canceling Original                             CPUC Sheet No. 135


                                               SCHEDULE NO. DAS

                                       DIRECT ACCESS SERVICE CHARGES
                                               (continued)

       RATES (cont’d.)

               5.       Meter Data Management Agent (MDMA) Services:

                        a.      Meter set-up. The Utility will perform MDMA Services to ensure the
                                ESP’s meter communications system is compatible with the Utility’s meter
                                reading system.

                                Meter Reading Set-up Charge, per meter:                            $20.00

                        b.      Unscheduled Meter Read. The Utility will perform unscheduled meter
                                reading services.
                                Monthly meter, per meter reading, per event:                      $12.00
                                Interval meter, telephone line retrieval, per reading, per event: $25.00
                                Interval meter, on-site data retrieval, per reading, per event: $90.00

               6.       Mandated Notice Mailing:

                        a.      Mandated Notices. The Utility will provide a separate mailing of
                                mandated legal and safety notices.
                                Up to 2 pounds, Express Mail - Next Day, per piece:           $15.00
                                Up to 2 pounds, Priority Mail - 2-3 days, per piece:           $3.0
       SPECIAL CONDITIONS
               1.       When the Utility performs any of the per event services of section 3. above, the
                        Base Metering Service Charge and applicable per event charge(s) will apply. For
                        example, if an interval meter malfunction requires repair and testing of the meter,
                        the Customer would incur the Metering Service Base Charge, Unscheduled
                        Interval Meter Maintenance Charge, and the Interval Meter Test Charge.
               2.       If a Customer requests that an interval meter be installed by the Utility and the
                        Utility is unable to install the meter because the site is not prepared, the Utility
                        may charge the customer the Metering Service Base Charge and the Interval
                        Meter Inspection Charge.

                                                   (continued)




                                                    Issued by
Advice Letter No.      1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                     Name
Decision No.        10-10-017                President and CEO           Effective    January 1, 2011
                                                      Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 136
                             Canceling Original                         CPUC Sheet No. 136


                                          Schedule No. DAS

                              DIRECT ACCESS SERVICE CHARGES
                                      (continued)
       SPECIAL CONDITIONS (cont’d.)

       3.      If conditions at the meter site require the use of materials and/or time to
               perform the requested services, additional material costs and the hourly rate
               may be applied. Additional material costs and the hourly rate will also apply in instances
               when installation of more advanced meters are requested by the
               Customer.




                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
     CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
     SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No. 137
                                  Canceling Original                              CPUC Sheet No. 137


                                                     SCHEDULE NO. NEM
                                                   NET METERING SERVICE

            APPLICABILITY
                     This net energy-metering schedule is applicable to residential, small commercial,
            commercial, industrial, or agricultural Customers who use an electrical generating facility: (1)
            with a capacity of not more than 1,000 kilowatts; (2) that is located on the customer’s owned,
            leased, or rented premises; (3) is interconnected and operates in parallel with the Utility’s
            transmission and distribution facilities, (4) is intended primarily to offset part or all of the
            customer’s own electrical requirements; and (5) uses one of the following generation
            technologies: (a) solar or wind turbine, or a hybrid system of both as specified in PUC
            2827(b)(2) and 2827 (b) (4) (“Eligible Customer-Generator” or “Customer-Generator”); (b)
            eligible biogas digester as specified in PUC Section 2827.9(b)(2)(A) and (3) (“Biogas Customer-
            Generator” or “Customer-Generator”); or (c) eligible fuel cell as specified in California Public
            Utilities Code Section 2827.10(a)(2) and (3) (“Fuel Cell Customer-Generator” or “Customer-
            Generator”). This schedule is applicable on a first-come, first-served basis for new (1) Eligible
            Customer Generators until such time as the total rated generating capacity of Eligible Customer
            Generators exceeds one-half of one percent of the Utility’s aggregate peak load in California;
            (2) Biogas Customer-Generators until such time as 5,000 kW of rated generating capacity is
            served under this schedule and will expire on January 1, 2006 unless extended by legislation as
            a pilot program; and (3) Fuel Cell Customer-Generators until such time as 22,500 kW of rated
            generating capacity is served under this Schedule and will expire on January 1, 2006 unless
            extended by legislation as a pilot program.
                     This service is not applicable to a Direct Access (“DA”) customer where the Customer’s
            ESP does not offer such a service. Additionally if a Customer-Generator participates in direct
            transactions with an ESP that does not provide distribution service for the DA, the ESP, and not
            the Utility, is obligated to provide net energy metering to the Customer-Generator.
                    This schedule is offered in compliance with California Public Utilities Code Section 2827,
            et seq. and is not intended to expand nor limit rights under such section.

          TERRITORY
                    Entire California Service Area

          RATES
1.                  Customer Charge, Demand Charge (if applicable) and Consumption Charge. The generator
          technology, as listed above in the Applicability section and/or the 50 kilowatt limit for Wind Generators as
          shown below of the Eligible Customer-Generator will determine whether Net Energy Metering or Co-energy
          Metering is used for billing under this Schedule NEM.
                                                          (Continued)




                                                         Issued by
     Advice Letter No.    1-E                          Bob Dodds               Date Filed      November 23, 2010
                                                          Name
     Decision No.     10-10-017                   President and CEO            Effective     January 1, 2011
                                                           Title
                                                                               Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                             CPUC Sheet No. 138
                             Canceling Original                                CPUC Sheet No. 138



                                               SCHEDULE NO. NEM
                                             NET METERING SERVICE
                                                  (Continued)
       RATES (Continued)
               A. Net Energy Metering. Net Energy Metering applies to solar electric generating
                  facilities up to 1,000 kilowatts, wind electric generating facilities 50 kilowatts or less
                  or a hybrid of the two, with a wind generator capacity of less than 50 kilowatts. All
                  rates charged under Schedule NEM will be in accordance with the eligible Customer-
                  Generator’s otherwise-applicable metered rate schedule (“OAS”). A Customer-
                  Generator served under this schedule is responsible for all charges from its OAS
                  including monthly minimum charges, customer charges, meter charges, facilities
                  charges, demand charges and surcharges on the net consumption of electricity
                  supplied by the Utility.
               B. Co-energy Metering. Co-energy Metering applies to wind or solar/wind hybrid
                  generating facilities where the wind generator capacity is greater than 50 kilowatts,
                  biogas digester or fuel cell generating facilities less than 1,000 kilowatts. A
                  Customer-Generator served under this Schedule is responsible for all customer
                  charges from its OAS including monthly minimum charges, meter charges, facilities
                  charges, demand charges and surcharges on the net consumption of electricity
                  supplied by the Utility, except that facilities and demand charges for fuel cell and
                  biogas digester generating facilities will be based upon gross demands.
       2.      The power factor charge, when it applies on the OAS, will be based on the average
               power factor over the past 12 billing months of operation prior to starting on this rate
               schedule. Eligible Customer-Generators without 12 billing months of power factor
               history, will have their power factor estimated based on the type of the connected
               facilities and their hours of operation. Power factor charges will be applied to the
               Customer-Generator’s bill until the Customer-Generator demonstrates to the Utility’s
               satisfaction that a specified correction has been provided. The Utility will continue to
               monitor and review the power factor and if warranted, change the power factor
               correction charge on the Customer-Generator’s bills.
       3.      The voltage and transformer adjustment, when it applies on the Customer-Generators
               OAS shall be as stated on the OAS.
       4.      Customer-Generators under this schedule are except from any new or additional
               charges not included in their OAS, Customer-Generators under this schedule are
               exempt from standby charges, if any.
                                                        (Continued)




                                                     Issued by
Advice Letter No.    1-E                           Bob Dodds                Date Filed      November 23, 2010
                                                      Name
Decision No.     10-10-017                    President and CEO             Effective     January 1, 2011
                                                       Title
                                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 139
                             Canceling Original                             CPUC Sheet No. 139


                                              SCHEDULE NO. NEM
                                            NET METERING SERVICE
                                                 (Continued)
       SPECIAL CONDITIONS
       1. Metering:
          A. Net Energy Metering. The following applies to Customer Generators using a solar
             generating facility or wind generating facilities at or below 50 kilowatts or solar/wind |hybrid
             generating facilities where the wind generator capacity is at or below 50 kilowatts:
                    (1)     Single Meter. Net energy metering shall be accomplished using a single
                            meter capable of registering the flow of electricity in two directions. If the
                            eligible Customer-Generator’s existing electrical meter is not capable of
                            measuring the flow of electricity in two directions, the eligible Customer-
                            Generator shall be responsible for all expenses involved in purchasing and
                            installing a meter that is able to measure electricity flow in two directions.
                    (2)     Dual Meter. An additional meter or meters, installed in a dual meter socket
                            (“dual metering”), to monitor the flow of electricity in each direction may be
                            installed with the consent of the Eligible Customer-Generator, at the expense
                            of the Utility, and the dual metering shall be used only to provide the
                            information necessary to accurately bill or credit the customer according to
                            the Customer-Generator’s OAS or to collect generating facility performance
                            information for research purposes. The Utility shall determine whether dual
                            metering is required under this provision. If dual metering is installed, the
                            Net energy metering calculation shall yield a result identical to that of a single
                            meter capable of measuring the flow of electricity in two directions.
                    (3)     The Utility shall not require dual metering except where necessary for billing
                            accuracy. If none of the normal metering options available at the Utility’s
                            disposal which are necessary to render accurate billing are acceptable to the
                            Eligible Customer–Generator, the Utility shall have the right to refuse
                            interconnection under this schedule.
          B. Co-energy Metering. The following applies to Customer-Generators using 1) a wind
             generating facility with a rating of over 50 kilowatts but not exceeding 1,000 kilowatts or
             a solar/wind hybrid generating facility with a wind generator capacity of over 50 kilowatts
             in aggregate; 2) an Eligible Biogas Digester Generating Facility; or 3) an Eligible Fuel
             Cell Generating Facility:



                                                      (Continued)




                                                   Issued by
Advice Letter No.     1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                     Name
Decision No.    10-10-017                    President and CEO           Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 140
                             Canceling Original                           CPUC Sheet No. 140



                                            SCHEDULE NO. NEM
                                          NET METERING SERVICE
                                               (Continued)
       SPECIAL CONDITIONS (Continued)
       1. Metering: (Continued)
          B. Co-energy Metering (Continued)
                    (1)     Co-energy Metering shall be accomplished using a TOU meter capable of
                            separately registering the flow of electricity in two directions. If the Customer-
                            Generator’s existing meter is not capable of separately measuring the flow of
                            electricity in two directions, the Customer-Generator shall be responsible for
                            all expenses involved in purchasing below. If an eligible customer-generator
                            terminates service under this rate schedule, or experiences a change in
                            electric service provider prior to the end of any 12-month period, the Utility
                            shall reconcile the customer’s consumption and production of electricity and
                            bill the customer as described below, as if it were the end of the normal 12-
                            month period and installing a meter that is able to separately measure
                            electricity flow in two directions. If dual metering is installed, the Co-energy
                            metering calculation shall yield a result identical to that of a single meter
                            capable of separately measuring the flow of electricity in two directions.
                    (2)     If none of the normal metering options at the Utility’s disposal that are necessary
                            to render accurate billing are acceptable to the Customer-Generator, the Utility
                            shall have the have the right to refuse interconnection under this Schedule
                            NEM.
                    (3)     All TOU metered service account(s) serving dairy operations that are located
                            on property adjacent, or contiguous, to the Eligible Biogas Digester electrical
                            generating facility, including, but not limited to accounts associated with the
                            milking operations, milk refrigeration, or water pumping of the eligible Biogas
                            Digester dairy operation are eligible for aggregation under Special Condition
                            2 C (1). All such accounts must be under the same ownership and in the
                            Biogas Customer-Generator’s name.
       2. Billing:
          A. Billing for Eligible Customer-Generators Using Net Energy Metering. The following
               applies to Customer Generators using a solar generating facility or wind generating
               facility at or below 50 kilowatts or solar/wind hybrid generating facility where the wind
               generator capacity is at or below 50 kilowatts:
                    (1)     Net energy is defined as the difference between the electricity supplied
                            by the Utility through the electric grid to the Eligible Customer-Generator
                            and electricity generated by an Eligible Customer Generator and fed back
                            into the electric grid over a 12-month period that commences with the
                            annual anniversary of final interconnection (“Relevant Period”).

                                                     (Continued)


                                                  Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 141
                             Canceling Original                             CPUC Sheet No. 141


                                           SCHEDULE NO. NEM
                                         NET METERING SERVICE
                                               (Continued)
       SPECIAL CONDITIONS (Continued)
       2. Billing: (Continued)
          A. Billing for Eligible Customer-Generators Using Net Energy Metering (Continued)
                    (2)         At the end of each Relevant Period, the Eligible Customer-Generator
                                shall be billed for net energy consumed during that period at the Eligible
                                Customer-Generator’s OAS. If an Eligible Customer-Generator
                                terminates service under this rate Schedule NEM, or experiences a
                                change in electric service provider prior to the end of any Relevant
                                Period, the Utility shall reconcile the Customer’s consumption and
                                production of electricity and bill the Customer as if it were the end of the
                                normal Relevant Period.
                          a.    In the event the energy generated exceeds the energy consumed during
                                the Relevant Period, based on the Eligible Customer-Generator’s OAS,
                                no payment shall be made for the excess energy delivered to the Utility’s
                                grid and the new period commences with no credit. If the Utility is the
                                electric service provider, this condition may be modified where the
                                Customer has signed a contract to sell electricity to the Utility.
                    (4)         In the event that the electricity supplied by the Utility during the Relevant
                                Period exceeds the electricity generated by the Eligible Customer-
                                Generator during the same period, the Eligible Customer-Generator is a
                                net electricity consumer and the Utility shall bill the Eligible Customer-
                                Generator for the net consumption during the Relevant Period based on
                                the Eligible Customer-Generator’s OAS.

                          (5)   Baseline Rates. For Eligible Customer-Generators taking service on
                                OAS baseline rate, any net consumption or production shall be valued
                                monthly as follows:
                                (a) If the Eligible Customer-Generator is a net consumer, the Eligible
                                    Customer-Generator will be billed in accordance with the Eligible
                                    Customer-Generator’s OAS or as stated above. The baseline
                                    quantity will be prorated monthly as to the amount of net consumption
                                    in each TOU period.
                                (b) If the Eligible Customer-Generator is a net generator, the net kWh
                                    generated shall be valued at the rate for the kWh up to the baseline
                                    quantity, with any excess kWh generated, valued at the rate for the
                                    appropriate baseline quantity in which the equivalent kWh of
                                    consumption would fall. The baseline quantity will be prorated
                                    monthly as to the amount of net consumption in each TOU period.

                                                      (Continued)


                                                   Issued by
Advice Letter No.     1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                     Name
Decision No.    10-10-017                    President and CEO           Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No. 142
                             Canceling Original                              CPUC Sheet No. 142



                                                SCHEDULE NO. NEM
                                              NET METERING SERVICE
                                                   (Continued)
       SPECIAL CONDITIONS (Continued)
       2. Billing: (Continued)
          A. Billing for Eligible Customer-Generators Using Net Energy Metering (Continued)
                    (6)          Annual and Monthly Billing. If the Utility supplies the Eligible Customer-
                                 Generator with electricity, the Utility shall provide the Eligible Customer-
                                 Generator with net electricity consumption information with each regular
                                 bill. That information shall include the current monetary balance owed
                                 the Utility for the net electricity consumed since the last Relevant Period
                                 ended. Eligible residential and small commercial Customer-Generators
                                 may elect to pay either monthly or annually for the net energy consumed.
                                 For all other commercial, industrial, and agricultural Customers, the net
                                 balance of all moneys owed must be paid on each monthly billing cycle;
                                 when they are a net electricity producer over a monthly billing cycle, any
                                 excess kilowatt-hours generated during the billing cycle shall be carried
                                 over to the following billing period and appear as a credit on the
                                 Customer -Generator’s account, until the end of the Relevant Period.
          B. Billing for Eligible Wind Energy and Fuel Cell Customer-Generators Using Co-Energy
             Metering. The following applies to Customer -Generators using a wind generating
             facility above 50 kilowatts or a solar/wind hybrid generating facility, where the wind
             generator capacity is above 50 kilowatts, or a Fuel Cell generating facility:
                          (1)   The generation of electricity provided to the Utility by a wind Energy or Fuel
                                Cell Co-Metering Customer –Generator shall result in a credit to the
                                Eligible Customer-Generator valued in accordance with the generation
                                component of Schedule A-3 or above TOU schedule, as applicable . All
                                electricity supplied to the Wind Energy or Fuel Cell Co-Metering Customer-
                                Generator by the Utility shall be priced in accordance with either Schedule
                                A-3 or the above TOU rates, as applicable.
                          (2)    Time of Use Rates. For Eligible Customer-Generators taking service on
                                 OAS TOU, any net consumption or production shall be valued monthly as
                                 follows:
                                 (a) If the Eligible Customer-Generator is a net consumer during any
                                     discrete time-of-use period, the net kWh consumed shall be billed in
                                     accordance with that same TOU period in the Eligible Customer-
                                     Generator’s OAS.
                                 (b) If the Eligible Customer-Generator is a net generator during any
                                     discrete TOU period, the net kWh produced shall be valued at the
                                     same rate per kWh of the same TOU period in the Eligible Customer
                                     Generator’s OAS
                                                         (Continued)

                                                     Issued by
Advice Letter No.     1-E                          Bob Dodds              Date Filed    November 23, 2010
                                                      Name
Decision No.    10-10-017                     President and CEO           Effective    January 1, 2011
                                                       Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 143
                             Canceling Original                             CPUC Sheet No. 143


                                              SCHEDULE NO. NEM
                                            NET METERING SERVICE
                                                 (Continued)
       SPECIAL CONDITIONS (Continued)
       2. Billing: (Continued)
          B. Billing for Eligible Wind Energy and Fuel Cell Customer-Generators Using Co-Energy
               Metering (Continued)
                                (c) To calculate the maximum generation credit for a Wind or Fuel Cell
                                    Energy Co-Metering producer, the Utility will, at the end of each
                                    Relevant Period, determine the average credit for energy based on
                                    the following equation:
                                Average Credit ($/kWh) =

                                             Total Credit ($) calculated for the Relevant Period
                                    Total energy fed back to the Utility (kWh) during the Relevant Period

                                Then the Maximum Credit ($) =
                                Average Credit ($/kWh)  Total energy (kWh) the Utility supplied during the
                                Relevant Period
                                Any credit for excess energy (kWh) over this maximum will be retained by
                                the Utility and the Wind or Fuel Cell Energy Co-Metering producer will not
                                be owed any compensation for this excess energy.
                    (3)         The Utility shall provide the Wind or Fuel Cell Customer- Generator with
                                gross energy (kWh) consumption and net energy (kWh)
                                consumed/produced information with each monthly billing statement.
          C. Billing for Eligible Biogas Digester Customer-Generators. Biogas Customer-
             Generators will be billed monthly for all charges other than Generation Rate Component
             charges on all eligible metered service accounts. The following applies to Customer
             Generators using a Biogas Digester generating facility:
                          (1)   The Utility will complete an annual reconciliation for the Relevant Period
                                by totaling all the electricity (kWh) supplied by the Utility to the Eligible
                                Biogas Digester Customer-Generator and all the electricity (kWh) fed
                                back to the Utility’s Distribution System by the Biogas Digester Customer-
                                Generator during the Relevant Period. If the total electricity supplied by
                                the Utility is greater than the total of electricity fed back to the Utility’s
                                Distribution System, then the Eligible Biogas Digester Customer-
                                Generator is a “Net Consumer”. Otherwise, the Biogas Digester
                                Customer-Generator is a “Net Producer”. As part of the Annual
                                Reconciliation, Net Consumers and Net Producers will receive a bill for
                                energy usage that totals 1) all generation charges; 2) all Eligible
                                Generation Credits; and 3) all other charges, due in that billing cycle.
                                                         (Continued)

                                                   Issued by
Advice Letter No.     1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                     Name
Decision No.    10-10-017                    President and CEO           Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 144
                             Canceling Original                          CPUC Sheet No. 144



                                           SCHEDULE NO. NEM
                                         NET METERING SERVICE
                                              (Continued)

       SPECIAL CONDITIONS (Continued)
       2. Billing: (Continued)
          C. Billing for Eligible Biogas Digester Customer-Generators. (Continued)
                      (2)        The eligible generation credit for a Net Producer will be calculated using
                                 the method described in Special Condition 2.B. (2)(c).
                      (3)        The Utility shall provide the Biogas Digester Customer-Generator with
                                 gross energy (kWh) consumption and net energy (kWh)
                                 consumed/produced information with each monthly billing statement.

                      (4)        Schedule A-3 or above TOU schedules, as applicable, will be used to
                                 value the credit for electricity produced. For purposes of determining
                                 whether the dairy Biogas Customer-Generator was a net consumer of
                                 electricity or a net producer of electricity, the Utility shall aggregate the
                                 load of metered TOU service accounts that meet the requirements of
                                 Special Condition 1.B.(3) In the case of a dairy Biogas Digester
                                 operation, each of the aggregated Service Accounts will be billed for
                                 Generation Rate Component charges, based on the OAS for that
                                 particular Service Account, at the end of the Relevant Period, or sooner if
                                 the account closes or is no longer a qualifying account eligible for load
                                 aggregation.
  3.           Interconnection: The following applies to interconnection of Net or Co-energy Metering
               generating facilities:
          A. Net Energy Metering generating facilities used by a Customer shall include, at the
             Customer’s own expense, all equipment necessary to meet applicable safety, power
             quality, and interconnection requirements established by the National Electrical Code,
             National Electrical Safety Code, the Institute of Electrical and Electronics Engineers, and
             accredited testing laboratories such as Underwriters Laboratories, and where applicable,
             rules of the CPUC regarding safety and reliability. A customer-generator whose solar or
             wind turbine electrical generating facility, or a hybrid facility of both, meets those standards
             and rules shall not be required to install additional controls, perform or pay for additional
             tests, or purchase additional liability insurance.
          B. The Utility’s written approval of the Customer’s protection-isolation method to ensure
             generator disconnection in case of a power interruption from the Utility is required before
             service is provided under this Schedule NEM.

                                                    (Continued)




                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 145
                             Canceling Original                           CPUC Sheet No. 145



                                            SCHEDULE NO. NEM
                                          NET METERING SERVICE
                                               (Continued)

       SPECIAL CONDITIONS (Continued)
       3. Interconnection (Continued)

          C. A visible disconnect switch is required to isolate the generating facilities from the Utility’s
             distribution system. The disconnect switch shall be furnished and installed by the
             customer. The device must be accessible to Utility personnel and be capable of being
             locked in the open position.

          D. Generating facilities shall not be operated in a manner that interferes with the Utility’s
             operations or service to other customers. The Utility retains the right to disconnect
             service to maintain safety and quality of service to other customers.
          E. The Utility will ensure that requests for establishment of net energy metering service for
             solar, wind and solar/wind hybrid generating facilities are processed in a time period not
             exceeding 30 working days from the date that the Utility receives a completed
             application for service hereunder, including a signed interconnection agreement from
             the Eligible Customer Generator and the electric inspection clearance from the
             governmental authority having jurisdiction. The Utility shall notify the Commission if it
             can not interconnect within such period.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                   Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No. 146
                             Canceling Original                              CPUC Sheet No. 146


                                        SCHEDULE WATER
                          WATER AGENCY TARIFF FOR ELIGIBLE RENEWABLES
        APPLICABILITY

         This Schedule is optional for customers who meet the definition of an Eligible Public Water
         Agency or Wastewater Agency, as defined in the Special Condition section of this Schedule, who
         own and operate an Eligible Electric Generation Facility, as defined in the Special Conditions
         section of this Schedule, with a total effective generation capacity of not more than 1.0
         megawatt. The Company shall purchase all of the output of any Eligible Electric Generation
         Facility accepted by the Company under this tariff.
         Service under this Schedule is on a first-come-first-served basis and shall be closed to new
         customers once the combined rated generating capacity of Eligible Electric Generation Facilities
         within the Company’s service territory reaches the Company’s proportionate share of 250
         megawatts, or 404 kilowatts. This is based on the ratio of the Company’s peak demand to the
         total peak demand of all electrical corporations within the State of California. See Special
         Condition 5.
         TERRITORY

         Within the entire territory served.
         RATES
         All charges and provisions of the customer’s otherwise applicable tariff (OAT) shall apply except
         as follows:
         The Company shall purchase the output produced by an Eligible Electric Generation Facility up to
         the Company’s available proportionate share limit at a price equal to the Market Price Referent
         (“MPR”) as determined by the Commission during the calendar year of the actual commercial
         operation date of the Facility and that corresponds to the term selected by the customer. The
         current Adopted 2009 MPR values (Nominal – dollars/kWh) are:


                 Contract Start        10-Year        15-year      20-Year      25-Year
                 Date
                       2010            0.08448        0.09066      0.09674      0.10020
                       2011            0.08843        0.09465      0.10098      0.10442
                       2012            0.09208        0.09852      0.10507      0.10852
                       2013            0.09543        0.10223      0.10898      0.11245
                       2014            0.09872        0.10593      0.11286      0.11636
                       2015            0.10168        0.10944      0.11647      0.12002
                       2016            0.10488        0.11313      0.12020      0.12378

                                                        (Continued)

                                                    Issued by
Advice Letter No.   1-E                           Bob Dodds             Date Filed    November 23, 2010
                                                     Name
Decision No.    10-10-017                      President and CEO        Effective    January 1, 2011
                                                      Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No. 147
                             Canceling Original                              CPUC Sheet No. 147


                                           SCHEDULE WATER
                             WATER AGENCY TARIFF FOR ELIGIBLE RENEWABLES

                                                     (Continued)


         RATES (Continued)

                    Contract Start       10-Year      15-year      20-Year       25-Year
                    Date
                          2017           0.10834      0.11695      0.12404       0.12766
                          2018           0.11204      0.12090      0.12800       0.13165
                          2019           0.11598      0.12499      0.13209       0.13575
                          2020           0.12018      0.12922      0.13630       0.13994
                          2021           0.12465      0.13359      0.14064       0.14424


         SPECIAL CONDITIONS
         1.    Participation in other Company Programs: Participating customers with multiple generators
               may not participate in any other Company interruptible or net energy metering programs,
               unless sufficient Company metering is in place to isolate the output of the Eligible Electric
               Generation Facility from the output of any non-participating generator for purposes of
               applying this Schedule.

         2.    Definitions: The following definitions are applicable to service provided under this
               Schedule.

               a.        Eligible Wastewater Agency – Any state, local, or federal agency owning a facility,
                         as defined in Water Code Section 13625 (b) (1), used in the treatment or reclamation
                         of sewage or industrial wastes.

               b.        Eligible Public Water Agency – As defined in Water Code Section 12970, means
                         any public corporation, district, political subdivision, or any other agency or authority
                         now or hereafter organized under the laws of this state which develops, stores,
                         distributes or supplies water.

               c.        Eligible Electric Generation Facility – A generating facility that is owned and operated
                         by an Eligible Public Water Agency or an Eligible Wastewater Agency that is a retail
                         Customer of the Company, and where the Eligible Electric Generation Facility meets
                         all of the following criteria:



                                                        (Continued)


                                                    Issued by
Advice Letter No.      1-E                         Bob Dodds              Date Filed    November 23, 2010
                                                      Name
Decision No.        10-10-017                 President and CEO           Effective    January 1, 2011
                                                      Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 148
                             Canceling Original                            CPUC Sheet No. 148



                                        SCHEDULE WATER
                          WATER AGENCY TARIFF FOR ELIGIBLE RENEWABLES

                                                  (Continued)

         SPECIAL CONDITIONS (Continued)

         2.    Definitions: (Continued)

                      (1)     Has an effective capacity of not more than 1.0 megawatts and facility is
                              located on property owned or under the control of the public water or
                              wastewater agency.

                      (2)     Is interconnected and operates in parallel with the electric transmission and
                              distribution grid.

                      (3)     Is sized to offset part or all of the electricity demand of the Eligible Public
                              Water Agency or Eligible Wastewater Agency.

                      (4)     Is strategically located and interconnected to the electric transmission system
                              in a manner that optimizes the deliverability of electricity generated at the
                              facility to load centers.

                      (5)     Is an eligible renewable energy resource, as defined in Public Utilities Code
                              Section 399.12.

               d.     Green Attributes -- Any and all credits, benefits, emissions reductions, offsets, and
                      allowances, howsoever entitled, attributable to the generation from the Eligible
                      Electric Generation Facility and its displacement of conventional energy generation.
                      Green Attributes include but are not limited to Renewable Energy Credits, as well as:

                      (1)     Any avoided emissions of pollutants to the air, soil or water such as sulfur
                              oxides (SOx), nitrogen oxides (NOx), carbon monoxide (CO) and other
                              pollutants;

                      (2)     Any avoided emissions of carbon dioxide (CO2), methane (CH4), nitrous
                              oxide, hydrofluorocarbons, perfluorocarbons, sulfur hexafluoride and other
                              greenhouse gases (GHGs) that have been determined by the United
                              Nations intergovernmental Panel on Climate Change, or otherwise by law, to
                              contribute to the actual or potential threat of altering the Earth’s climate by
                              trapping heat in the atmosphere;

                      (3)     The reporting rights to these avoided emissions, such as, Green Tag
                              Reporting Rights;

                                                      (Continued)


                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO            Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 149
                             Canceling Original                           CPUC Sheet No. 149



                                        SCHEDULE WATER
                          WATER AGENCY TARIFF FOR ELIGIBLE RENEWABLES

                                                  (Continued)
         SPECIAL CONDITIONS (Continued)

         2.    Definitions: (Continued)

                      (4)     Renewable Energy Credits, and

                      (5)     Other tradable rights.

                              Green Tag Reporting Rights are the right of a Green Tag Purchaser to
                              report the ownership of accumulated Green Tags in compliance with federal
                              or state law, if applicable, and to a federal or state agency or any other party
                              at the Green Tag Purchaser’s discretion, and include without limitation those
                              Green Tag Reporting Rights accruing under Section 1605(b) of The Energy
                              Policy Act of 1992 and any present or future federal, state, or local law,
                              regulation or bill, and international or foreign emissions trading program.
                              Green Tags are accumulated on kWh basis and one Green Tag represents
                              the Green Attributes associated with 1,000 kWh of energy.

                      Green Attributes do not include:

                      (1)     Any electric energy, capacity, reliability or other power attributes from the
                              Generating Facility unit(s);

                      (2)     Production Tax Credits associated with the construction or operation of the
                              Generating Facility and other financial incentives in the form of credits,
                              reductions, or allowances associated with Generation Facility that are
                              applicable to a state or federal income taxation obligation;

                      (3)     Fuel-related subsidies or “tipping fees” that may be paid to Seller to accept
                              certain fuels, or local subsidies received by the Seller for the destruction of
                              particular pre-existing pollutants or the promotion of local environmental
                              benefits; or

                      (4)     Emission reduction credits encumbered or used by the Generating Facility
                              for compliance with local, state, or federal operating and/or air quality
                              permits.
                              If the Generating Facility is a biomass or landfill gas facility and Seller
                              receives any tradable Green Attributes based on the greenhouse gas
                              reduction benefits or other emission offsets attributable to its fuel usage, it
                              shall provide the Company with sufficient Green Attributes to ensure that
                              there are zero net emissions associated with the production of electricity
                              from the Generating Facility.
                                                     (Continued)
                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 150
                             Canceling Original                             CPUC Sheet No. 150


                                         SCHEDULE WATER
                           WATER AGENCY TARIFF FOR ELIGIBLE RENEWABLES

                                                   (Continued)
         SPECIAL CONDITIONS (Continued)

         3.    Metering Requirements: Customers served on this Schedule shall be separately metered
               with the Company’s metering to reflect the customer’s total load to be served under the
               Company’s OAT and the Net Generation Metering output of the Eligible Electric Generation
               Facility. Customers shall be responsible for all costs associated with separately metering the
               customer’s Eligible Electric Generation Facility output and associated load. All metering
               required for service on this Schedule shall be installed and maintained in accordance with
               the Company’s requirements and the Customer shall meet all the requirements of the
               Company’s Rule 21.

         4.    For purposes of this tariff, the Company shall pay for all Green Attributes and all electrical
               energy, measured as output by Net Generation Metering, as defined in the Company’s
               Rule 21. Such payments will be made in accordance with the Rates section of this
               schedule. Customer’s load will be metered separately and served under the OAT.

         5.    Customer Participation: Except as provided below, customers may participate in
               accordance with this Schedule until the sum of all customers’ contracted capacity
               reaches the Company’s proportionate share of 250 MW, or 404 kW. This amount will be
               calculated by the summation of all net power ratings (in kW) of Eligible Electric
               Generation Facilities accepted by the Company for service under this tariff. Should
               additional customers express interest in this Schedule after the Company’s share of the
               contract capacity limit is reached, the Company will maintain a list of interested
               customers, ranked in order of the date on which they requested service under this
               Schedule. Should the capacity installed fall below the Company’s share of the 250 MW,
               or 404 kW, the Company will allow those customers from the previously described list of
               interested customers who remain interested in the tariff the opportunity to participate
               under this Schedule on a first come, first served basis until the amount installed and
               operating capacity plus the capacity taken from the previously described list of interested
               customers equals CalPeco’s share of the 250 MW or 404 kW. This process will continue
               until such time, if any, as the installed capacity of projects in operation equals CalPeco’s
               proportionate share of 250 MW, or 404 kW.

         6.    Applicable Law. To the extent enforceable at such time, each part waives its respective
               right to any jury trial with respect to any litigation arising under or in connection with this
               tariff.

         7.    Confidentiality. The Customer authorizes the Company to release to the CEC and/or the
               Commission information regarding the Renewable Generating Facility, including the
               Customer’s name and location, and the size , location and operational characteristics of
               the Renewable Generating Facility, the Term, the ERR type, the initial Operation Date and
               the Net Power Rating of the Renewable Generating Facility, pursuant to the CEC’s or
               Commission’s rules and regulations.
                                                   (Continued)

                                                   Issued by
Advice Letter No.    1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.     10-10-017                  President and CEO            Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                            CPUC Sheet No. 151
                             Canceling Original                               CPUC Sheet No. 151


                                         SCHEDULE WATER
                           WATER AGENCY TARIFF FOR ELIGIBLE RENEWABLES

                                                     (Continued)

         SPECIAL CONDITIONS (Continued)

         8. Initial Operation. The Utility shall have the right to terminate the service if the Customer has
            not achieved Commercial Operation within 18 months of taking service hereunder.

         9.    Interconnection Facilities.

               (1)     Customer and or the Utility, as appropriate, shall provide Interconnection Facilities
                       that adequately protect the Utility’s Distribution System , personnel, and other
                       persons from damage or injury, which may be caused by the Operation of Producer’s
                       Renewable Generating Facility.

               (2)     The Customer shall be solely responsible for the costs, design, purchase,
                       construction, Operation, and maintenance of the Interconnection Facilities that the
                       Customer owns.

               (3)     If the provisions of the Utility’s Rule 21, or any other Tariff approved by the
                       Commission, require the Utility to own and operate a portion of the Interconnection
                       Facilities, the Customer and the Utility shall promptly execute an interconnection
                       agreement that establishes and allocates responsibility for the design, installation,
                       Operation, maintenance and ownership of the Interconnection Facilities.

         10.   Changes in Law. The Customer, and, if applicable, its successors, represents and
               warrants as a condition of eligibility for this tariff that: (i) the Project qualifies and is certified
               by the CEC as an Eligible Renewable Energy Resource (“ERR”) as such term is defined in
               Public Utilities Code Section 399.12 or Section 399.16; and (ii) the Project’s output
               delivered to the Utility qualifies under the requirements of the California Renewables
               Portfolio Standard. To the extent a change in law occurs after eligibility for this tariff is
               determined that causes this representation and warranty to be materially false or
               misleading, the Customer shall not be considered ineligible for the tariff if the Customer has
               used commercially reasonable efforts to comply with such change in law.




                                                    Issued by
Advice Letter No.    1-E                          Bob Dodds                Date Filed      November 23, 2010
                                                      Name
Decision No.     10-10-017                   President and CEO             Effective     January 1, 2011
                                                      Title
                                                                           Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised             CPUC Sheet No. 152
                             Canceling Original                CPUC Sheet No. 152




                                                     Intentionally Left Blank




                                      Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                        Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 153
                             Canceling Original                 CPUC Sheet No. 153




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 154
                             Canceling Original                 CPUC Sheet No. 154




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 155
                             Canceling Original                 CPUC Sheet No. 155




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 156
                             Canceling Original                 CPUC Sheet No. 156




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 157
                             Canceling Original                 CPUC Sheet No. 157




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 158
                             Canceling Original                 CPUC Sheet No. 158




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 159
                             Canceling Original                 CPUC Sheet No. 159




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 160
                             Canceling Original                 CPUC Sheet No. 160




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 161
                             Canceling Original                 CPUC Sheet No. 161




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 162
                             Canceling Original                 CPUC Sheet No. 162




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 163
                             Canceling Original                 CPUC Sheet No. 163




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 164
                             Canceling Original                 CPUC Sheet No. 164




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 165
                             Canceling Original                 CPUC Sheet No. 165




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 166
                             Canceling Original                 CPUC Sheet No. 166




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 167
                             Canceling Original                 CPUC Sheet No. 167




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 168
                             Canceling Original                 CPUC Sheet No. 168




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 169
                             Canceling Original                 CPUC Sheet No. 169




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 170
                             Canceling Original                 CPUC Sheet No. 170




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 171
                             Canceling Original                 CPUC Sheet No. 171




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised              CPUC Sheet No. 172
                             Canceling Original                 CPUC Sheet No. 172




                                     Intentionally Left Blank




                                       Issued by
Advice Letter No.   1-E              Bob Dodds              Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO          Effective    January 1, 2011
                                         Title
                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 173
                             Canceling Original                            CPUC Sheet No. 173


                                                   Rule 1

                                               DEFINITIONS

       Account: A Utility-specific identifier for tracking the service it provides through one or more
             meters at a specific customer premise or location. One customer may
             have several accounts within the Utility’s Service Territory.

       Aggregator: Any entity who consolidates the loads of multiple End-Use Customers in
             facilitating the sale and purchase of electric energy, transmission and other
             services on behalf of those customers.

       Ancillary Services: Those services that are necessary to support the transmission and
               distribution of capacity and energy from resources to loads while maintaining
               reliable operation of the transmission system, as deemed by the Utility, and in
               accordance with Good Utility Practice.

       Applicant: A person or agency requesting the Utility to supply electric service or for
              changes in electric service. Electric service may consist of both energy and
              energy-related services.

       Application: A request to the Utility for electric service; not an inquiry as to the
              availability or charges for such service. The form of the request shall be at the
              Utility’s discretion.

       Baseline: A rate structure mandated by the California Legislature and implemented at
              the Utility in 1984 that ensures all residential customers are provided a minimum
              necessary quantity, as defined by the Commission, of electricity at the lowest
              possible cost.

       Billing Cycle: The regular interval at which a bill for electric service is rendered,
               typically spaning a 27-to-33 day period.

       Billing Demand: The amount of energy drawn by the End-Use Customer at a specific
               time. The Billing Demand is the Demand on which the customer is to be billed in
               accordance with the terms and conditions of their applicable rate schedule.

       Billing Month: The billing month is that period of time over which a customer is billed for
               services rendered during a particular billing cycle.

       Bundled Customer: An End-Use Customer who receives its electric procurement and
             delivery services from the Utility. A Direct Access Customer is not a Bundled
             Customer. Sometimes referred to as a Utility Service Customer or Customer.

       Business Day: A day on which the Utility’s offices are open to conduct general business
             in California.

                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO           Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 174
                             Canceling Original                           CPUC Sheet No. 174


                                                  Rule 1

                                              DEFINITIONS
                                                (continued)
       California Alternate Rates for Energy (CARE): A program for qualifying (See
               Preliminary Statement, Section 9) low-income Applicants that provides reduced
               energy charges to the following:
               1.      Individually metered Customers;
               2.      Master-metered customers with qualifying low-income submetered
                       tenants;
               3.      Submetered tenants of master-metered Utility Customers;
               4.      Qualifying residents in individually metered Single Family Dwellings;
                       and
               5.      Qualifying Nonprofit Group-living Facilities.
       CARE Nonprofit Group-living Facility: A facility operated by a corporation that has
            received a letter of determination by the Internal Revenue Service that the
            corporation is tax exempt due to its nonprofit status under IRS Code Section 501
            (c)(3). The facility must be one of the following:
            1. A homeless shelter with 10 or more beds and open at least 180 days per
                 year,
            2. Transitional housing, such as a half-way house or drug rehabilitation facility;
            3. Short- or long-term care facility, such as a hospice, nursing home, seniors'
                 home, or children's home; or
            4. A group home for physically or mentally disabled persons.
               With the exception of homeless shelters, the nonprofit group-living facility must
               provide services such as meals or rehabilitation in addition to lodging. All of the
               residents of the facility must meet the LIRA eligibility standard for a single-person
               household. At least 70 percent of the electricity supplied to the facility's
               premises must be used for residential purposes, and the facility must be licensed
               by the appropriate state agency, with the exception of homeless shelters which
               must have the appropriate municipal or county conditional use permits.
               Facilities such as student housing/dormitories are excluded.
               For complete eligibility requirements see Preliminary Statement, Section 9.
       Certified Electric Metering Agent: Any entity that is certified by the Utility to perform one
               or more of the following tasks including but not limited to: purchasing, installing,
               maintaining, testing and reading the End-Use Customer's meter(s) on behalf of the
               Energy Service Provider. The Metering Agent also assists the Energy
               Service Provider in the development or updating or population of the meter data
               database. Also referred to as the Meter Agent.
       Certified Renewable Resource Provider: Any entity certified by the Commission who
              generates power using a renewable energy source. Renewable energy sources
              including those
                                                     (continued)


                                                  Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 175
                             Canceling Original                          CPUC Sheet No. 175


                                                  Rule 1

                                              DEFINITIONS
                                               (continued)

               resources that are considered to be practically inexhaustible because their energy
               source is not limited (such as, hydro, solar, wind, bio-mass and ocean-wave).

       Commercial or General Service: Service to Customers engaged in selling, warehousing,
            or distributing a product, in some business activity or in a profession or in some
            form of economic or social activity and for purposes that do not come directly under
            another classification of service.

       Commercial Development: Two or more enterprises engaged in trade or the furnishing of
            services, (e.g., shopping centers, sales enterprises, business offices, professional
            offices, and educational or governmental complexes) and located on a single
            parcel or on two or more contiguous parcels of land.

       Commission: The Public Utilities Commission of the State of California, sometimes
            referred to as the Public Utilities Commission or the CPUC.

       Common Use Areas: Those areas that may be shared or used by occupants within a
            multifamily accommodation, including, but not limited to, laundry room, recreation
            room, swimming pool, tennis courts, gardens, hall/outdoor lighting.

       Company’s Operating Convenience: The use, under certain circumstances, of facilities
            or practices not ordinarily employed which contribute to the overall efficiency of
            the Utility’s operations; the term does not refer to customer convenience nor to
            the use of facilities or adoption of practices required to comply with applicable
            laws, ordinances, rules, regulations, or similar requirements of public authorities.

       Competitive Transition Costs (CTC): A non-bypassable charge, mandated by the
            California Legislature and the Public Utilities Commission and applicable to all full
            service existing and future retail electric customers of the Utility, all Direct Access
            Customers, and all departed load customers for the recovery of the Utility’s
            transition costs.

       Conduit: Ducts, pipes, or tubes of certain metals, plastics or other materials acceptable to
             the Utility for the installation and protection of electric wires and cables.
       Connected Load: The sum of the rated capacities of all of the customers equipment that
             can be connected to the Utility’s lines at any one time as more completely
             described in the rate schedules.
       Control Area: An electric power system (or combination of electric power systems) to
              which a common automatic generation control scheme is applied in order to:
                                           (continued)

                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 176
                             Canceling Original                         CPUC Sheet No. 176



                                                 Rule 1

                                             DEFINITIONS
                                              (continued)
       Control Area: (continued)
              1      match, at all times, the power output of the generators within the electric
                     power system(s) and capacity and energy purchased from entities
              2      outside the electric power system(s) with the load within the electric
                     power system(s);
              3      maintain scheduled interchange with other Control Areas, within the
                     limits of Good Utility Practice;
              4      maintain the frequency of the electric power system(s) within reasonable
                     limits in accordance with Good Utility Practice; and
              5      provide sufficient generating capacity to maintain operating reserves in
                     accordance with Good Utility Practice.

       Curtailment: When the Utility temporarily reduces or interrupts service to customers
              because of projected or actual supply or capacity constraints, as further defined in
              Rule 14 and the Utility’s Electrical Emergency Plan.

       Customer: The person, group of persons, firm, corporation, institution, municipality, or
             other civic body, in whose name service is rendered, as evidenced by the
             signature on the application, contract, or agreement for that service or, in the
             absence of a signed instrument, by the receipt and payment of bills regularly
             issued in that name, regardless of the identity of the actual user of the service.

       Date of Presentation: The date upon which a bill or notice is mailed as postmarked or
              delivered to the Customer.

       Delivering Party: The entity supplying generation capacity and energy at Point(s) of
               Receipt.

       Demand Charge: One component of an electric customer's bill, (along with the
            customer charge and the energy charge). This charge recovers some of the
            costs the Utility incurs in providing sufficient operating capacity to meet that
            customer's maximum demand. The demand charge is based on the highest
            level of kW required by the customer during a billing period.

       Direct Access Customer: An End-Use Customer located within the service territory of the
               Utility who elects to receive Direct Access Service

       Direct Access Service: A service option whereby Customers may purchase electric
               power and additional energy services from non-Utility entities known as Electric
               Service Providers.
                                             (continued)

                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 177
                             Canceling Original                           CPUC Sheet No. 177


                                                 Rule 1
                                              DEFINITIONS
                                               (continued)
       Direct Transaction: Per Section 366(a) of the Public Utilities Code, Direct Transaction is
               synonymous for Direct Access.
       Distribution Lines: Overhead and underground lines which are designed to supply two
               or more services.
       Distribution System: Those non- transmission and distribution facilities owned,
               controlled, and operated by the Utility that are used to provide distribution service
               under its tariffs.
       Domestic Service: Service to a group of rooms, such as a house, a flat, or an
            apartment, which provides complete family living facilities in which the
            occupant(s) normally cooks meals, eats, sleeps, and carries on the household
            operations incidental to domestic life. Also referred to as residential service.
       Dual Billing: A situation in which the Utility and Energy Service Provider present
              separate bills to the End-Use Customer for their respective services.
       End-use Customer: A customer that takes final delivery of electric power, and does not
             resell the power.
       Energy Broker: Any entity that arranges the sale and purchase of electric energy,
             transmission, and other services between buyers and sellers, but does not take
             title to any of the power sold.
       Energy Service Provider (ESP): An aggregator, broker, marketer, billing agent or
             metering agent who provides energy or energy-related services to direct access
             customers within the Utility’s service territory. A Scheduling Coordinator who
             provides these services in addition to those associated scheduling and balancing
             loads with the transmission provider will also be considered a Energy Service
             Provider.
       Energy Supply. Includes, but is not limited to, procurement of electric energy; all
             scheduling, settlement, and other interactions with Scheduling Coordinators, the
             ISO and other transmission service providers, all ancillary services and
             congestion management.

       Federal Energy Regulatory Commission (FERC): Federal agency with jurisdictional
             responsibilities over electric transmission service.
       Firewall: A theoretical wall (Firewall) constructed by regulatory action to divide
              customers into two groups for purposes of (1) templating for direct access
              service, (2) identifying the need for hourly interval metering for direct access
              service,
                                                   (continued)

                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 178
                             Canceling Original                           CPUC Sheet No. 178


                                                  Rule 1
                                               DEFINITIONS
                                                (continued)
       Franchise Territory: Public streets, roads, highways, and other public ways and places
              where the Utility has a legal right to occupy under franchise agreements with
              governmental bodies having jurisdiction.
       Generation Customer: Any Utility electric customer with electric generation facilities
             (including back-up generation in parallel with the Utility) on the Customer’s side
             of the interconnection point.
       Good Utility Practice: Any of the practices, methods and acts engaged in or approved
             by a significant portion of the electric utility industry during the relevant time period,
             or any of the practices, methods and acts which, in the exercise of reasonable
             judgment in light of the facts known at the time the decision was made, could have
             been expected to accomplish the desired result at a reasonable cost consistent
             with good business practices, reliability, safety and expedition. Good Utility
             Practice is not intended to be limited to the optimum practice, method, or act to the
             exclusion of all others, but rather to be acceptable practices, methods, or acts
             generally accepted in the Western Systems Coordinating Council region.
       Independent System Operator (ISO): The California Independent System Operator
             Corporation, a state-chartered, non-profit corporation that controls the
             transmission facilities of all participating transmission owners and dispatches
             certain generating units and loads. The ISO is responsible for the operation and
             control of the statewide transmission grid. California Pacific Electric Company, LLC is
             not a participant in the ISO.
       Independent Verification Agent: An independent third-party who provides verification to
             the Utility of a change in an End-Use Customer's Energy Service Provider.
       Individual Metering: Where the Utility installs a separate service and meter for each
               individual residence, apartment dwelling unit, mobilehome space, store, office,
               etc.

       Industrial Development: Two or more enterprises engaged in a process which creates a
               product or changes material into another form or product and located on a single
               parcel or on two or more contiguous parcels of land.

       Industrial Service: Service to Customers engaged in process which creates or changes
               raw or unfinished materials into another form or product.

       Insignificant Loads: Small operating loads such as gate openers, valve controls, clocks,
               timing devices, fire protection equipment, alarm devices, etc.

                                                    (continued)


                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO            Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 179
                             Canceling Original                            CPUC Sheet No. 179


                                                      Rule 1

                                                    DEFINITIONS
                                                     (continued)

       Intermittent Loads: Loads requiring significant capacity but have low energy usage such
               as, but not limited to, welders, x-ray machines, fire protection equipment, etc.

       Interruption: Unscheduled disruption of power deliveries to one or more end-use
               customer resulting from transmission or distribution capacity shortages.

       Irrigation Pumping Service: Electric service used for irrigation or agricultural drainage
                purposes which is metered separately and billed under the applicable schedule.

       Kilowatt (kW): A watt is a unit of electrical power equal to a current of one ampere under
              one volt of pressure. A kilowatt is equal to 1,000 watts.

       Kilowatt-hours (kWh): 1,000 watts of electricity used for one hour.

       Line Extension: New distribution facilities of the Utility that is a continuation of, or branch
              from, the nearest available existing permanent Distribution Line (including any
              facility rearrangements and relocations necessary to accommodate the
              extension) to the point of connection of the last service. The Utility’s Line
              Extension includes transmission underbuilds and converting an existing single-
              phase line to three-phase in order to furnish three-phase service to an Applicant,
              but excludes transformers, meters and services.

       Load: The amount of electric power delivered or required, measured in kilowatts, at any
             specified point or points on the Utility’s system.

       Mailed: Any communication is considered mailed when it is sent by electronic transfer
              or enclosed in a sealed envelope, properly addressed, and deposited in any U.S.
              Post Office box, postage prepaid.

       Mandated Safety and Legal Notices: Mandated notices include notices required to be
             sent to all Utility Customers by law and include, but are not limited to, notices of
             the type, and with the frequency, that the Utility has used, and continues to use,
             to discharge legal obligations.

       Market Participants: Entities, including but not limited to Scheduling Coordinators,
              Aggregators, Energy Brokers, Billing And Metering Agents and other energy
              service providers participating in the direct access market.

       Marketer: Any entity that buys electric energy, transmission, and other services and
             resells those services at wholesale or to an End-Use Customer.
                                                  (continued)

                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO           Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 180
                             Canceling Original                         CPUC Sheet No. 180


                                                     Rule 1

                                                   DEFINITIONS
                                                    (continued)

       Master-meter: Where the Utility installs one service and meter to supply more than one
              residence, apartment dwelling unit, mobilehome space, store, office, etc.

       Maximum Demand: See Billing Demand.

       Meter: The instrument(s) used for measuring the amount of energy and/or power
              delivered to a Customer.

       Meter Read Date: Date upon which a meter is read for a Customer's account for the
              purposes of ending the current billing cycle and beginning a new one.

       Meter Test Standard: The standard of accuracy for meters, as set forth in Rule 17.

       Metering Equipment: The necessary meter, instrument transformers, test facilities, and
              other associated metering equipment.

       Mobilehome Park: An area of land where two or more mobilehome sites are rented, or
              held out for rent, to accommodate mobilehomes used for human habitation. A
              mobilehome park is not a recreational vehicle park.

       Mobilehome: A mobilehome is a structure designed for human habitation and for being
       moved on a street or highway under permit pursuant to the California Vehicle
       Code. Mobilehome also includes a manufactured home as defined in the
       California Health and Safety Code, but does not include a recreational vehicle or
       a commercial coach as defined in the California Health and Safety Code.

       Monthly Power Deliveries: Energy which is delivered to a particular customer account
              during the course of a billing cycle.

       Multifamily Dwelling: An apartment building, duplex, court group, residential hotel, or
              any other group of residential units located upon a single premises, providing the
              residential units meet the requirements for a residential dwelling unit. Hotels,
              guest or resort ranches, tourist camps, motels, auto courts, rest homes, rooming
              houses, boarding houses, dormitories, trailer courts, consisting primarily of guest
              rooms and/or transient accommodations, are not classed as multifamily
              accommodations.

       Paid or Payment: Funds received by the Utility through the postal service, Utility
              payment office, Utility authorized agent, or deposited in Utility’s bank account by
              electronic transfer.


                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 181
                             Canceling Original                          CPUC Sheet No. 181


                                                     Rule 1

                                                   DEFINITIONS
                                                    (continued)
       Permanent Service: Service which, in the opinion of the Utility, is of a permanent and
             established character. This may be continuous, intermittent, or seasonal in nature.
       Person: Any individual, partnership, corporation, public agency, or other organization
             operating as a single entity.
       Point of Delivery: The point where the Utility’s conductors are connected to the
               Customer’s conductors, regardless of the location of the Utility’s meters or
               transformers.
       Pole Line: Poles, cross-arms, insulators, conductors, switches, guy-wires, and other
              related equipment used in the construction of an electric overhead line.
       Power Exchange: The California Power Exchange Corporation, a state chartered, non-
             profit organization charged with establishing a competitive spot market for
             electric power through day and hour ahead auction of generation and demand
             bids, in accordance with the PX Tariff.
       Power Factor: The percent of total power delivery (kva) which does useful work. For
             billing purposes, average power factor is calculated from a trigonometric function
             of the ratio of reactive kilovolt-ampere-hours to the kilowatt-hours consumed
             during the billing month.
       Premise: All of the real property and apparatus employed in a single enterprise on an
             integral parcel of land undivided, excepting in the case of industrial, agricultural,
             oil field, resort enterprises, and public or quasi-public institutions, by a dedicated
             street, highway or public thoroughfare or a railway. Automobile parking lots
             constituting a part of and adjacent to a single enterprise may be separated by an
             alley from the remainder of the Premise served.
       Profiled Accounts: Accounts for which the Public Utilities Commission has authorized
               the use of approved statistical load profiles which are applied to cumulative end-
               use meter data in order to allocate consumption in lieu of recorded hourly data
               for billing and transmission settlements. This applies to Direct Access
               Customers with a maximum peak demand of less than 50 kW.
       Public Goods Charge: A non-bypassable surcharge imposed on all retail sales of
              electricity and electrical services to fund public goods research, development
              and demonstration, energy efficiency activities, and low income assistance
              programs.
       Public Utilities Commission: The Public Utilities Commission of the State of California.
                                                  (continued)


                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 182
                             Canceling Original                           CPUC Sheet No. 182


                                                      Rule 1

                                                   DEFINITIONS
                                                (continued)

       Qualified Contractor/Subcontractor (QC/S): An Applicant’s contractor or Subcontractor who:
               1.     Is licensed in California for the appropriate type of work such as, but not
                      limited to, electrical and general:
               2.     Employs electric workmen properly qualified (Qualified Electrical Worker,
                      Qualified Person, etc.) as defined in State of California High Voltage Safety
                      Orders (Title 8, Subchapter 5, Group 2);
               3.     Complies with applicable laws such as, but not limited to, Equal
                      Opportunity Regulations, OSHA, and EPA.
       Rate Schedules: One or more tariff sheets(s) setting forth the charges and conditions
             for a particular class or type of service in a given area or location. A rate
             schedule includes all the wording on the applicable tariff sheet(s), such as
             Schedule number, title, class of service, applicability, territory, rates, conditions,
             and references to rules.
       Real Time Meter: CPUC approved meter to be used for direct access or virtual direct
              access accounts which collects and stores usage data in increments of an hour
              or less. This term also implies those facilities associated with the physical meter
              that are required to retrieve the meter's data at any given time. This includes, but
              is not limited to, telephony and required data translation software.
       Recreational Vehicle Park: A recreational vehicle (RV) park is an area or tract of land or
             a separate designated section within a mobile home park where one or more lots
             are occupied by owners or users of recreational vehicles.
       Recreational Vehicle: A recreational vehicle (RV), as defined in the California Health
             and Safety Code, is a motor home, slide-in camper, park trailer, or camping
             trailer, with or without motive power, designed for human habitation for
             recreational or emergency occupancy.
       Regional Transmission Group (RTG): A voluntary organization of transmission owners,
             transmission users and other entities approved by the FERC to efficiently
             coordinate transmission planning (and expansion), operation and use on a
             regional (and inter-regional) basis.
       Regular Working Hours: The normal business hours of the Utility’s business offices.
       Residential Development: Five or more dwelling units in two or more buildings located
             on a single parcel of land.
       Residential Hotel: A hotel establishment which provides lodging as a primary or
             permanent residence and has at least 50 percent of the units or rooms leased for
             a minimum period of
                                                 (continued)
                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 183
                             Canceling Original                          CPUC Sheet No. 183

                                                     Rule 1
                                                   DEFINITIONS
                                                    (continued)

               one month and said units are occupied for nine months of the year. Residential
               hotels do not include establishments such as guest or resort hotels, resort motels
               or resort ranches, tourist camps, recreational vehicle parks, half-way houses,
               rooming houses, boarding houses, dormitories, rest homes, military barracks, or
               a house, apartment, flat or any residential unit which is used as a residence by a
               single family or group of persons.
       Retailer: Any entity, whether it is a non-utility generator, aggregator, broker, or marketer,
              which offers electrical service to End-Use Customers.

       Revenue: That portion of the total rate that supports the Utility’s distribution line
             extension costs and excludes such things as fuel costs, generation,
             transmission, public purpose programs, and other costs that do not support the
             distribution line extension costs.
       Rules: Tariff sheets which cover the application of all rates, charges, and services,
              when such applicability is not set forth in and as part of the rate schedules.
       Scenic Areas: An area such as a scenic highway, a state or national park or other area
              determined by a governmental agency to be of unusual scenic interest to the
              general public. Scenic highways are officially designated under the California
              Scenic Highway Program established pursuant to Paragraph 320 of the Public
              Utilities Code and applicable sections of the Streets and Highway Code. State or
              national parks or other areas of unusual scenic interest to the general public are
              determined by the appropriate governmental agency. “In proximity to” shall
              mean within 1,000 feet from each edge of the right-of-way of designated scenic
              highways and from the boundaries of designated parks and scenic areas.
              “Visible from” shall mean that overhead distribution facilities could be seen by
              motorists or pedestrians traveling along scenic highways or visiting parks or
              scenic areas.
       Scheduled Meter Reading Date: The date that the Utility has scheduled that a
             customer’s account be read for the purposes of ending the current billing cycle
             and beginning a new one.
       Scheduling Coordinator: An entity certified by the Federal Energy Regulatory
             Commission that acts as liaison with the transmission entity on behalf of
             generators, supply aggregators (wholesale marketers), retailers, and customers
             to schedule the distribution of electricity.
       Service: The availability of electric power and energy at the Customer’s point of
              delivery, in the form, and at the approximate volume required for the purposes
              specified in application for service or contract irrespective of whether electric
              energy is actually utilized by the Customer.

                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    _January 1, 1011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                         CPUC Sheet No. 184        (T)
                             Canceling 1st Revised                         CPUC Sheet No. 184        (T)


                                                            Rule 1

                                                    DEFINITIONS
                                                     (continued)

       Service Territory: The territory in which the Utility has the responsibility to supply or
              make available electric service.
       Service Wires or Connection: The overhead and underground primary or secondary
              facilities extending from the point of connection at the Distribution Line to the
              Service Delivery Point. When an underground Service Lateral is supplied from a
              Utility-designated overhead pole, the beginning point of connection to the Utility’s
              Distribution Line shall be where the Service Lateral is connected to the Utility’s
              overhead Distribution Line conductors.
       Settlement Day: A day beginning at midnight and consisting of twenty-four (24)
              consecutive settlement periods for all transmission and PX transactions which
              use a period beginning at the start of an hour, and ending at the end of an hour.
       Single-family Dwelling: A group of rooms, such as a house, a flat, or an apartment,
               which provides complete family living facilities in which the occupant(s) normally
               cooks meals, eats, sleeps, and carries on the household operations incidental to
               domestic life. Also referred to as Domestic Dwelling Unit.
       Small Business Customer: A non-residential Customer who: (1) has a maximum billing              (N)
              demand of 20 kW, or less, per meter during the most recent 12 month period, or
              (2) has an annual usage of 40,000 kWh, or less, during the most recent 12 month
              period, or (3) meets the definition of a “microbusiness” under California
              Government Code 14837. This definition does not include non-residential
              Customers who are on a fixed usage or unmetered usage rate schedule.                     (N)

       Small Customer: Customers on demand-metered schedules with less than 20 kilowatts
              maximum billing demand per meter for at least nine billing periods during the
              most recent 12 month period; or (2) any customer on a non-demand metered
              schedule with demand estimated to be less than 20 kilowatts maximum billing
              demand per meter for at least nine billing periods during the most recent 12
              month period, or (3) any domestic service customer.
       Statistical Load Profile: The result of a statistical sampling technique which estimates a
                group of customers' (usually by customer class) hourly energy consumption
                calculated over a given period of time and allows such customers with load
                variances to be represented by a single measurement. Load profiles will be used
                to measure hourly energy consumption of residential, small and medium size
                commercial and agricultural customers, and other customers who engage in
                Direct Access transactions, consume a maximum demand of less than 50 kW
                and who have cumulative monthly metering instead of hourly metering.



                                                  Issued by
Advice Letter No.   3-E                         Bob Dodds               Date Filed March 1, 2011     (T)
                                                    Name
Decision No.    10-10-032                  President and CEO            Effective   March 1, 2011    (T)
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 185              (T)
                             Canceling Original                            CPUC Sheet No. 185              (T)

                                                       Rule 1

                                                     DEFINITIONS
                                                      (continued)

       Stranded Costs: Investments which are uneconomic to operate in the deregulated
              energy market which limits the recovery of the Utility's investment.
       Subdivision: An area for family dwelling which may be identified by filed subdivision
              plans or as an area in which a group of dwellings may be constructed about the
              same time, either by a large scale builder or by several builders working on a
              coordinated basis.

       Submetering: Where the master-metered customer installs, owns, maintains, and reads
            the meters for billing the tenants in accordance with Rule 19.
       Substructures: The surface and subsurface structures which are necessary to contain
              or support the Utilities electric facilities. This includes, but is not limited to, such
              things as splice boxes, pull boxes, equipment vaults and enclosures, foundations
              or pads for surface-mounted equipment.
       Tariff Schedules: The entire body of effective rates, rentals, charges, and rules,
               collectively, of the Utility, including title page, preliminary statement, rate
               schedules, rules, sample forms, service area maps, and list of contracts and
               deviations.
       Tariff Sheet: An individual sheet of the tariff schedules.
       Temporary Service: Service to Premises, enterprises, or activities which are temporary
            in character, or where it is known in advance the service is of limited duration.
       Time of Use (TOU): A schedule of rates that prices electricity according to the season or
              time of day that it is used. Such usage is aggregated into discrete time periods
              are called 'time-of-use' (TOU) periods and are as specified within the Utility’s rate
              Schedules.
       Transmission Load Customer: A Utility electric customer, interconnected to the Utility’s
             power system at a transmission level voltage, who has no generation of its own
             paralleled with the Utility’s system and is not interconnected with any generation
             source other than the Utility.
       Utility Distribution Company (UDC): An entity that owns a Distribution System for the
                delivery of Energy to and from the transmission grid, and that provides regulated
                retail electric service to Customers, as well as regulated procurement service to
                those End-Use Customers who are not yet eligible for direct access, or who
                choose not to arrange such services through another retailer.
       Utility: California Pacific Electric Company, LLC (CalPeco).
       Utility’s Operating Convenience: The use, under certain circumstances, of facilities or
                practices not ordinarily employed which contribute to the overall efficiency of the
                Utility’s operations; the term does not refer to customer convenience nor to the

                                                   Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO           Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 186              (T)
                             Canceling Original                          CPUC Sheet No. 186              (T)


                                                      Rule 1

                                                      DEFINITIONS
               use of facilities or adoption of practices required to comply with applicable laws,
               ordinances, rules, regulations, or similar requirements of public authorities.

       Validated Data: Billing quality data resulting from the editing and estimating functions of
              the Metering Agent.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 187
                             Canceling Original                           CPUC Sheet No. 187


                                                    Rule No. 2

                                            DESCRIPTION OF SERVICE
 A.    General

       1.      The character of service available at any particular location should be ascertained by
               inquiry at the Utility’s office.

       2.      The tariff schedules included herein are applicable for service where the Customer
               purchases his entire electrical requirements from the Utility, and are not applicable
               where a part of the Customer’s electrical requirements are supplied from some other
               source.

       3.      The tariff schedules included herein are applicable for service provided from overhead
               distribution facilities, or where underground distribution facilities are provided for the
               Utility’s operating convenience or in accordance with the provisions of Rule No. 15,
               except where a schedule specifically provides otherwise.

       4.      Alternating current service of approximately 60-cycle frequency will be supplied.

       5.      Voltages referred to in the tariff schedules are nominal voltages.

       6.      Standard nominal voltage of the Utility are as follows: however, not all of them are
               available at each delivery point:

               a.       Distribution voltages – 120, 120/208, 120/240, 240, 277/480, 480, or depending
                        on location, 2400, 4160 volts; 12,500, 14,400 or 24,900 volts.

               b.       Voltages in excess of 24,900 volts are transmission voltages. For its operating
                        convenience, the Utility may elect to supply a Customer from lines of
                        transmission voltage. Where such transmission voltage is 66,000 volts, the
                        Utility may select as a standard delivery voltage one of the following: 2400,
                        4160, 12,500, 14,400, 24,900 volts, or such other voltage as the Utility may
                        select, provided that in no case shall a Customer be required to advance to the
                        Utility a greater amount of money to obtain service than he would be required to
                        advance under the Utility’s Rules applicable to the particular load, if he were
                        regularly served from the Utility’s nearest appropriate facilities ordinarily
                        employed.

               c.       Where the Utility maintains four-wire wye-connected polyphase secondary
                        mains: (1) 120, 120/208, and 208 volts, or (2) 277/480 volts.

               d.       Where specified in rate schedules, combined lighting and power service may be
                        supplied at 120/208 volts four-wire wye or at 277/480 volts four-wire wye or
                        120/240 four-wire delta.
                                                   (Continued)

                                                  Issued by
Advice Letter No.      1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                   Name
Decision No.        10-10-017              President and CEO           Effective    _January 2, 1011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 188
                             Canceling Original                            CPUC Sheet No. 188


                                                       Rule No. 2

                                              DESCRIPTION OF SERVICE
                                                  (Continued)
 B.    Phase and Voltage Specifications

       1.      Single-phase Service

               a.       Power
                                                Minimum Load                  Maximum Connected
               Voltage                          Required                      Load Allowed

               120 Volts                        None                          2-15 amp. branch circuits

               120/240 Volts                    None                          400 amp. main switch

               240 Volts                        None                          400 amp. main switch

               2400 volts or over               At Utility’s option           At Utility’s option

               b.       Motors

                        (1)      Installation consisting of one motor:

                                                Minimum Load                  Maximum Connected
               Voltage                          Required                      Load Allowed

               120 Volts                        None                          1/2 hp

               240 Volts                        None                          10 hp

                        (2)      For a group of motors, the voltage shall be in accordance with the
                                 specifications for the largest motor in the group.

               c.       Lighting is supplied at 120 or 120/240 volts, single-phase, except where
                        otherwise specified in rate schedules.

               d.       Single-phase service may be supplied to installations having a proposed
                        maximum load in excess of the switch capacities specified above provided the
                        written approval of the Utility has been first obtained as to the number and size of
                        motors, switches, circuits, and related facilities. 120/240 volt installations will be
                        supplied by the following method as determined by the Utility:

                        1.       From two or three separate 120/240 volt service connections. Energy so
                                 supplied will be measured through one meter. The connected load on
                                 any service connections shall not be greater than twice that on any other
                                 service connection.
                                                     (Continued)
                                                    Issued by
Advice Letter No.      1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                     Name
Decision No.        10-10-017                 President and CEO          Effective     _January 2, 1011
                                                       Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 189
                             Canceling Original                          CPUC Sheet No. 189


                                                    Rule No. 2

                                        DESCRIPTION OF SERVICE
                                                (Continued)
 B.    Phase and Voltage Specifications (Continued)

       1.      Single-phase Service (Continued)

               e.       Where the Utility maintains an A.C. low voltage network system, single-phase
                        service is supplied at 120/208 volts, 3-wire, for which the maximum allowed is
                        100 amperes main switch. Loads in excess of a 100 ampere main switch will
                        be supplied at 120/208 volts, 4-wire.

       2.      Three-phase Service

               a.       Power and Motor Service

                                              Minimum Connected             Maximum Demand
               Voltage                         Load Required                    Allowed

               240 Volts                              5 hp                        1,000 kva

               480 Volts                             30 hp                        3,000 kva

               2,400 or 4,160 volts           As specified in Rate            12,000 kva
                                              Schedules

               12,500, 14,400, or             As specified in Rate            30,000 kva
               24,900 Volts                   Schedules

               b.       Where three-phase service is supplied at 208 volts from a 4-wire wye-
                        connected service of 120/208 volts, the maximum demand allowed is 1,000
                        kva.

               c.       Service to all loads of 1,000 kva maximum demand, or over, must be approved
                        by the Utility as to adequacy of facilities for service.

               d.       Three-phase load must be balanced between phases in accordance with good
                        engineering practice.

       3.      Where three-wire single-phase or polyphase service is supplied, the load must be
               balanced as nearly as practicable between two sides or several phases, respectively.
               In no case is the load on one side of a three-wire single–phase service to be greater
               than twice that on the other, nor the load on any one phase of a polyphase service
               greater than twice that of any other.

                                                  (Continued)
                                                  Issued by
Advice Letter No.      1-E                      Bob Dodds             Date Filed      November 23, 2010
                                                   Name
Decision No.        10-10-017              President and CEO          Effective     _January 1, 1011
                                                    Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 190
                             Canceling Original                          CPUC Sheet No. 190


                                                   Rule No. 2

                                           DESCRIPTION OF SERVICE
                                               (Continued)

 C.    Motor Protection and Equipment. Customer’s motor equipment must conform with the
       following requirements.

       1.      Motors that cannot be safely subjected to full rated voltage on starting or that drive
               machinery of such a nature that the machinery, itself, or the product it handles will not
               permit the motor to resume normal speed upon the restoration of normal supply
               voltage shall be equipped with devices that will disconnect them from the line upon
               failure of supply voltage and that will prevent the automatic reconnection of the motors
               upon restoration of normal supply voltage.

       2.      All motors of 1 hp or larger shall be equipped with thermal relays, fuses, or other
               automatic over-current interrupting devices to disconnect completely such motors from
               the line as a protection against damage due to overheating.

       3.      Three-phase motors driving elevators, hoists, tramways, cranes, conveyors, or other
               equipment, which would create hazard to life in the event of uncontrolled reversal of
               motor rotation, shall be provided with reverse-phase and open-phase protection to
               disconnect completely the motors from the line in the event of phase reversal or loss of
               one phase.

 D.    Allowable Motor Starting Currents

       1.      The starting current drawn from the Utility’s lines shall be considered the nameplate
               locked rotor current or that guaranteed by the manufacturer. At its option the Utility
               may determine the starting current by test, using a stop ammeter with not more than
               15% overswing or an oscillograph, disregarding the value shown for the first 10 cycles
               subsequent to energizing the motor.

               If the starting current for a single motor exceeds the value stated in the following
               tables, reduced voltage starting or other suitable means must be employed, at the
               Customer’s expense, to limit the current to the value specified, except where specific
               exemptions are provided in Sections D-2, 3, and 4.

                                                  (Continued)




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                  President and CEO          Effective    _January 1, 1011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 191
                             Canceling Original                         CPUC Sheet No. 191


                                                   Rule No. 2

                                          DESCRIPTION OF SERVICE
                                                (Continued)
 D.    Allowable Motor Starting Currents (Continued)

                                                 TABLE 1

                          ALTERNATING CURRENT – SINGLE-PHASE MOTORS
                                            Allowable Locked Rotor Currents

       Rated Size                                    120 Volts             240 Volts
       1/2 hp and less                               40 amperes            20 amperes
       3/4 and 1 hp                                                        27 amperes
       1 1/2 hp                                                            30 amperes
       2 hp                                                                40 amperes
       3 hp                                                                60 amperes
       5 hp                                                               100 amperes
       7 1/2 hp                                                           110 amperes
       10 hp                                                              147 amperes

                                                     TABLE 2

                                    Allowable Locked Rotor Currents

       Rated Size           240 Volts                480 Volts           2,400 Volts
         3 hp                 60 amperes              30 amperes
         5 hp                 90 amperes              45 amperes
         7 1/2 hp            120 amperes              60 amperes
        10 hp                150 amperes              75 amperes
        15 hp                220 amperes             110 amperes
        20 hp                250 amperes             125 amperes
        25 hp                304 amperes             152 amperes
        30 hp                360 amperes             180 amperes
        40 hp                380 amperes             190 amperes
        50 hp                400 amperes             200 amperes            40 amperes
        60 hp                                        240 amperes            48 amperes
        75 hp                                        300 amperes            60 amperes
       100 hp                                        400 amperes            80 amperes
       125 hp                                        500 amperes           100 amperes
       150 hp                                        600 amperes           120 amperes
       200 hp and over                                  4 amperes per hp   0.8 amperes per hp

       2.      Reduce-voltage starters may be omitted on any motor of a group installation provided
               that its starting current does not exceed the allowable starting current of the largest
               motor of the group.
                                                    (Continued)
                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds             Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    _January 1, 1011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 192
                             Canceling Original                            CPUC Sheet No. 192



                                                    Rule No. 2

                                            DESCRIPTION OF SERVICE
                                                  (Continued)

 D.    Allowable Motor Starting Currents (Continued)

       3.      A reduced-voltage starter may be omitted on any motor in a group installation provided
               that its starting current does not exceed three times the maximum demand in amperes of
               the entire installation.

       4.      Where service conditions permit, subject to Utility approval, reduced-voltage starters
               may be omitted in the original installation until such time as the Utility may order the
               installation of a reduced-voltage starter to be made, and, similarly, the Utility may at
               any time require starting current values lower than set forth herein where conditions at
               any point on its system require such reduction to avoid interference with service.

  E.   Interference With Service

       1.      Customers who operate equipment which causes detrimental voltage fluctuations
               (such as, but not limited to, hoists, welders, radio transmitters, X-ray apparatus,
               elevator motors, compressors, and furnaces) must reasonable limit such fluctuations
               upon request by the Utility. The Customer will be required to pay for whatever
               corrective measures are necessary.

       2.      Any Customer who superimposes a current of any frequency upon any part of his
               electrical system, other than the current supplied by the Utility, shall, at his expense,
               prevent the transmission of such current beyond his electrical system.

 F.    Power Factor. The Utility may require the Customer to provide, at his own expense,
       equipment to increase the operating power factor of each complete unit of neon, fluorescent,
       or other gaseous tubelighting equipment to not less than 90% lagging or leading.

 G.    Wave Form: The Utility may require that the wave form of current drawn by equipment of any
       kind be in conformity with good engineering practice.

 H.    Added Facilities: Added facilities are facilities provided by the Utility which are in addition to,
       or in substitution for, the standard facilities which the Utility would normally install. Except
       where otherwise provided by rate schedule, when a Customer makes written application for
       added facilities and the installation of such facilities is acceptable to the Utility, the added
       facilities will be installed at the expense of the Customer.

                                                   (Continued)



                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO           Effective    _January 1, 1011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No. 193
                             Canceling Original                              CPUC Sheet No. 193


                                                       Rule No. 2

                                               DESCRIPTION OF SERVICE
                                                   (Continued)
 I.      Welder Service

         1.      Rating of Welders. Electric welders will be rated for billing purposes as follows:

                 a.       Motor Generation Arc Welders
                                 The horsepower rating of the motor driving a motor generator type arc
                                 welder will be taken as the horsepower rating of the welder.
                 b.       Transformer Arc Welders
                                 Nameplate maximum kva input (at rated output amperes) will be taken as
                                 the rating of transformer type arc welders.
                 c.       Resistance Welders
                                 Resistance welder ratings will be determined by multiplying the welder
                                 transformer nameplate rating (at 50% duty cycle) by the appropriate
                                 factor listed below:
                                                                                 Factor
                                 Transformer Nameplate          Utility Owned           Customer Owned
      Type of Welder           Rating @ 50% Duty Cycle          Distrib. Transf.        Distrib. Transf.

      Rocker Arm, Press or      20 kva or less                        .60                 .50
       Projection Spot
      Rocker Arm or Press Spot Over 20 kva              )
      Projection Spot           21 to 75 kva, incl.     )             .80                 .60
      Flash or Butt             100 kva or over         )
      Seam or Portable Gun      All Sizes               )
      Flash or Butt             67 to 100 kva, incl                   *                   *
      Projection Spot           Over 75 kva             )             1.20                1.90
      Flash or Butt             66 kva or less          )
                       *Each flash or butt welder in this group will be rated at 80 kva where distribution
                       transformer is owned by the Utility or 60 kva where distribution transformer is
                       owned by the Customer.

                 d.       Ratings prescribed by a, b, and c, above, normally will be determined from
                          nameplate data or from data supplied by the manufacturer. If such data are
                          not available or are believed by either the Utility or Customer to be unreliable,
                          the rating will be determined by test.

                 e.       If established by seals approved by the Utility, the welder rating may be limited
                          by the sealing of taps which provide capacity greater than the selected tap and/or
                          by the interlocking lockout of one or more welders with other welders.

                                                    (Continued)


                                                     Issued by
Advice Letter No.        1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                      Name
Decision No.          10-10-017               President and CEO           Effective    _January 1, 1011
                                                       Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 194
                             Canceling Original                          CPUC Sheet No. 194



                                                   Rule No. 2

                                           DESCRIPTION OF SERVICE
                                                 (Continued)

 I.    Welder Service (Continued)

       1.      Rating of Welders (Continued)

                      f.      When conversion of units is required for tariff application, 1 welder kva
                              will be taken as 1 horsepower for tariffs stated on a horsepower basis and
                              1 welder kva will be taken as 1 kilowatt for tariffs stated on a
                              kilowatt basis.

       2.      Billing of Welders. Welders will be billed at the regular rates and conditions of the
               tariffs on which they are served subject to the following provisions:

                      a.      Connected Load Type of Schedule
                                    Welder load will be included as part of the connected load with
                                    ratings as determined under Section 1, above, based on
                                    maximum load that can be connected at any one time, and no
                                    allowance will be made for diversity between welders.

                      b.      Demand Metered Type of Schedule
                                   Where resistance welders are served on these schedules the
                                   computation of diversified resistance welder load shall be made as
                                   follows:

                                             Multiply the individual resistance welder ratings, as
                                             prescribed in Sections 1-c to 1-f inclusive, above, by the
                                             following factors and add the results thus obtained:

                                                 1.0 times the rating of the largest welder
                                                 0.8 times the rating of the next largest welder
                                                 0.6 times the rating of the next largest welder
                                                 0.4 times the rating of the next largest welder
                                                 0.2 times the ratings of all additional welders

                                             If this computed diversified resistance welder load is
                                             greater than the metered demand, the diversified
                                             resistance welder load will be used in lieu of the metered
                                             demand for rate computation purposes.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    _January 1, 1011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 195
                             Canceling Original                           CPUC Sheet No. 195


                                                 Rule No. 3
                                          APPLICATION FOR SERVICE

       A.      Application for Service. Each Applicant for electric service may be required to sign an
               application on a form provided by Utility and, upon request, will be required to furnish the
               following information:

                1.    Name of Applicant.
                2.    Date and place of application.
                3.    Location of premises to be served.
                4.    Date Applicant will be ready for service.
                5.    Whether the premises have been heretofore supplied.
                6.    Purpose for which service is to be used.
                7.    Customer’s mailing address.
                8.    Whether Applicant is owner or tenant of, or agent for, the premises.
                9.    Rate schedule desired if optional rate is available.
               10.    Information to establish credit of Applicant.
               11.    Such other information as Utility may reasonably require.

               The application is a request for service and does not in itself bind Utility to serve except
               under reasonable conditions, not does it bind Customer to take service for a longer period
               than the minimum requirements of the rate. The Utility may disconnect or refuse to
               provide service to the Applicant if the acts of the Applicant or the conditions upon his/her
               premises indicate that false, incomplete, or inaccurate information was provided to the
               Utility. The Utility shall provide the Applicant the reason for such refusal.

       B.      Individual Liability for Joint Service. Two or more persons who join in one application or
               contract for service shall be jointly and severally liable thereunder and shall be billed by
               means of a single periodic bill mailed to the person designated on the application to
               receive the bill.

       C.      Change in Customer’s Equipment or Operations. Customers shall give Utility written
               notice of the extent and nature of any material change in the size, character, or extent of
               the utilizing equipment or operations for which Utility is supplying electric service before
               making any such change.

       D.      Connection of Service.

       1.      Utility will endeavor to connect electric service as soon as possible after an application for
               service has been received; however, it will not be required to connect a service on the day
               the application is received if the connection cannot be scheduled during regular working
               hours for that day. At Customer’s request, such connection may be made during a period
               other than regular working hours.

       2.      The charges for connection of service and for change of account are set forth in Schedule
               No. SE.

                                                  Issued by
Advice Letter No.    1-E                       Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    _January 1, 1011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 196
                             Canceling Original                           CPUC Sheet No. 196



                                                    Rule No. 4

                                                  CONTRACTS

       A.      Service contracts will not be required as a condition precedent to service except:

               1.     Where required by provisions contained in a filed rate schedule, in which
                      case the term of the contract will be that specified in the schedule

               2.     Where the building of a line extension or construction of other facilities will be
                      necessary, in which case the term of the contract will be stated in Rule No.
                      15, Line Extension.

               3.     Where Temporary Service is to be supplied under the provision of Rule No. 13, in
                      which case the term of the contract will be of sufficient length to cover the period
                      of contemplated operations but no longer than three years.

       B.      Each contract for electric service will contain the following provisions:

                      This contract shall, at all times, be subject to such changes or modifications
                      by the California Public Utilities Commission as said Commission may from
                      time to time direct in the exercise of its jurisdiction.

       C.      Approval of Contracts, and filing with the Commission.

                      All contracts for service between the Utility and its Customers, except those
                      specified in A.1. and A.2. above, shall be subject to the approval of the
                      Commission, and at least one executed copy shall be filed with the
                      Commission.




                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    _January 1, 1011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No. 197
                             Canceling Original                              CPUC Sheet No. 197



                                                    Rule No. 5

                              SPECIAL INFORMATION REQUIRED ON FORMS


   A.     Contracts. Each contract for electric service bill shall contain the following provision:

          “This contract shall at all times be subject to such changes or modifications by the Public
          Utilities Commission of the State of California as said Commission may, from time to time, direct
          in the exercise of its jurisdiction.”

   B.     Customer Bills. The following statements will be printed on each bill for electric service:

          1.        Regular bills for service are rendered on a monthly basis and are due and payable upon
                    presentation, which is considered to be two (2) days after mailing. Payment should be
                    mailed or made at the California Pacific Electric Company, LLC’s Customer
                    Business Office or authorized agent pay station.

                    Current charges become PAST DUE seventeen (17) days after the regular monthly
                    bill is mailed. A Termination of Service notice may be issued if payment has not
                    been received within two (2) working days after the Past Due date indicated on the
                    billing statement. A 1% late charge shall be assessed if payment is not received
                    within forty-five (45) days following the calculation of the regular monthly bill.

                    Should you question this bill, please request an explanation from the Utility. A
                    complaint or investigation request initiated within five (5) days of receipt of the
                    contested bill will be reviewed by the Company, during which time consideration will
                    be given to allow amortization of the unpaid balance over a reasonable period of
                    time. If you thereafter believe you have been billed incorrectly or disagree with the
                    Company’s disposition of your complaint or dispute, the amount of the bill should be
                    deposited with the California Public Utilities Commission, 505 Van Ness Avenue,
                    San Francisco, California 94102 or telephone (415) 703-1170 or 1-800-649-7570,
                    to avoid discontinuance of service. Make remittance payable to the California Public
                    Utilities Commission and attach the bill and a statement supporting your belief that
                    the bill is not correct. The Commission will review the basis of the billed amount and
                    make disbursement in accordance with its findings. The Commission will not,
                    however, accept deposits when the dispute appears to be over matters that do not
                    directly relate to the accuracy of the bill. Such matters include the quality of a
                    utility’s service, general level of rates, pending rate applications, and sources of fuel
                    or power.”

                                                   (Continued)




                                                    Issued by
Advice Letter No.     1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                      Name
Decision No.    10-10-017                    President and CEO            Effective    _January 1, 1011
                                                      Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                            CPUC Sheet No. 198
                             Canceling Original                               CPUC Sheet No. 198



                                                    Rule No. 5

                               SPECIAL INFORMATION REQUIRED ON FORMS
                                             (Continued)

       B. Customer Bills. The following statements will be printed on each bill for electric service:
          (Continued)

               2.     The schedule or code number of the rate under which service is billed.

       C.      Termination of Service Notice.

               1.     Every termination of Service Notice for nonpayment of a delinquent domestic
                      account, as provided for in Rule No. 8, shall include all of the following information:

                      a.      The name and address of the customer whose account is delinquent.

                      b.      The amount of the delinquency.

                      c.      The date by which payment or arrangement for payment is required in order
                              to avoid termination.

                      d.      The procedure by which the customer may initiate a compliant or request an
                              investigation concerning service or charges.

                      e.      The procedure by which the customer may request amortization of the
                              unpaid charges.

                      f.      The procedure for the customer to obtain information on the availability of
                              financial assistance including private, local, state, or federal sources, if
                              applicable.

                      g.      The telephone number of a representative of the Utility who can provide
                              additional information or institute arrangements for payment.

                      h.      The telephone number of the Commission to which inquires by the customer
                              may be directed.


                                                              (Continued)




                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds                   Date Filed    November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO               Effective    _January 1, 1011
                                                    Title
                                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 199
                             Canceling Original                         CPUC Sheet No. 199



                                                   Rule No. 5

                              SPECIAL INFORMATION REQUIRED ON FORMS
                                            (Continued)

       C.      Termination of Service Notice (Continued)

               2.     On each Notice of Termination of Service for nonpayment of bills will be printed:

                                            CALIFORNIA CUSTOMERS

              “Your account shows a past due balance which must be paid prior to the termination
       date shown on the reverse side. If you fail to pay by the termination date indicated, your utility
       service(s) will be subject to termination. To avoid possible termination, please make immediate
       payment at the local Customer Business Office listed on the reverse side. Do not mail payment
       or make payment at a bank pay station. Bring this notice with you.

               Residential customers may elect to designate a third party (agency or individual) to
       receive a copy, by first class mail, of all termination of service notices. Residential customers
       who are elderly (age 62 or older), disabled or require life-support equipment are responsible for
       notifying the Company of such fact.

               Electric service to a residential customer will not be terminated for non-payment of bills
       if the customer has established to the satisfaction of the Company that: 1.) such termination will
       be especially dangerous to health because of illness, age or disability, or the customer or other
       household member requires life-support equipment. Certification from a licensed physician,
       public health nurse or social worker shall be required by the Company; and 2.) is unable to pay
       for such service(s) in accordance with the provisions of the Company’s rules and regulations;
       and 3.) is willing to arrange installment payments, satisfactory to the Company, including
       arrangements for prompt payment of subsequent bills; or 4.) if the Customer qualifies for low
       income energy assistance.

               If you require additional information, special assistance, or need to make arrangements
       for installment payments, please contact the local business office listed on the reverse side.

              “This bill is now past due. Regular bills for service are rendered on a monthly basis and
       are due and payable upon presentation which is considered to be two (2) days after mailing.

               All unpaid bills are considered PAST DUE seventeen (17) days after mailing, at which
       time a termination of service notice may be issued. A 1% late charge shall be assessed if
       payment is not received within forty-five (45) days following the calculation of the regular
       monthly bill.
                                                   (Continued)



                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    _January 1, 1011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 200
                             Canceling Original                          CPUC Sheet No. 200


                                                   Rule No. 5

                             SPECIAL INFORMATION REQUIRED ON FORMS
                                           (Continued)

                                            CALIFORNIA CUSTOMERS

               The Company reserves the right to terminate service for failure to sign an authorization
       for service form; failure to provide clear access to meter(s); for nonpayment of bills for utility
       service(s), service charges, connect charges, reconnect charges, late charges, security
       deposits and/or any other unpaid billing charges, provided the Company has mailed a written
       notice at least fifteen (15) calendar days prior to the proposed termination of service date. If
       the Company receives no response to its initial notice of proposed termination, it shall serve a f
       inal notice at least forty-eight (48) hours before it terminates service. Service of notice shall
       be deemed complete two (2) days after mailing, or as of the date of personal delivery or
       personal contact.

                 After service has been terminated for nonpayment, the Company may require payment
       in full for all outstanding billing charges, a reconnection fee and a cash deposit to re-establish
       credit unless there is an existing deposit adequate to cover service(s) rendered.

                Should you question this bill, please request an explanation from the Utility. A complaint
       or investigation request initiated within five (5) days of receipt of the contested bill will be
       reviewed by the Company, during which time consideration will be given to allow amortization of
       the unpaid balance over a reasonable period of time. If you thereafter believe you have been
       billed incorrectly or disagree with the Company’s disposition of your complaint or dispute, the
       amount of the bill should be deposited with the California Public Utilities Commission, 505 Van
       Ness Avenue, San Francisco, California 94102, to avoid discontinuance of service. Make
       remittance payable to the California Public Utilities Commission and attach the bill and a
       statement supporting your belief that the bill is not correct. You may also telephone the
       Commission at (415) 703-1170 or 1-800-649-7570. The Commission will review the basis of the
       billed amount and make disbursement in accordance with its findings. The Commission will not,
       however, accept deposits when the dispute appears to be over matters that do not directly
       relate to the accuracy of the bill. Such matters include the quality of a utility’s service, general
       level of rates, pending rate applications, and sources of fuel or power.

               The procedure for termination (as opposed to billing) disputes is as follows: 1.) After
       receipt of a termination notice, the customer must first contact the Utility within the termination
       notice period to make special payment arrangements to avoid discontinuance of service; 2.)
       After contacting the Utility, if the customer alleges to the Commission an inability to pay and that
       lawful payment arrangements have not been extended to him, he should write to the
       Commission’s Consumer Affairs Branch (CAB) to make an informal complaint. It is the
       responsibility of the customer to timely inform CAB to avoid discontinuance of service; 3.)
       Within ten business days after receiving the informal complaint, the CAB will report its proposed
       resolution to the utility and the customer by letter; 4.) If the Customer is not
                                                    (Continued)

                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    _January 1, 1011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 201
                             Canceling Original                            CPUC Sheet No. 201


                                                    Rule No. 5

                             SPECIAL INFORMATION REQUIRED ON FORMS
                                           (Continued)

                                             CALIFORNIA CUSTOMERS
                                                  (Continued)

       satisfied with the proposed resolution of the CAB, he shall file within ten business days after the
       date of the CAB letter a formal complaint with the Commission under Section 1702 on a form
       provided by the CAB. The complaint shall be processed under the expedited complaint
       procedure; 5.) Failure of the customer to observe these time limits shall entitle the Utility to insist
       upon payment, or upon failure to pay, to terminate the customer’s service. A copy of the
       company’s complete termination of service policy Rule No. 11, including a statement of the
       customer’s rights and remedies, may be obtained upon request from any California Pacific
       Electric Company, LLC Customer Business Office.

               The Company may terminate service without prior notice only: 1.) if any unsafe or
       hazardous condition is found to exist on the customer’s premises, or if the use of service
       thereon by apparatus, appliance, equipment or otherwise is found to be detrimental or
       damaging to the Company or its customers; or 2.) upon the order of any court, the Commission,
       or any other authorized public authority; or 3.) if the act of the customer or the conditions upon
       his or her premises are such as to indicate intention to defraud the Company; or 4.) if the
       Company has tried diligently to meet the termination of service notice requirements outlined
       hereinabove but has not been able to furnish notice to the customer(s) affected.

               Rules, regulations and rate schedules, as amended or revised, and approved by the
       California Public Utilities Commission, are on file in each Customer Business Office of
       California Pacific Electric Company, LLC; and constitute the basis on which utility services are
       furnished and/or terminated. This information may be examined during regular business office
       hours, Monday through Friday.

       D.      Deposit Receipts. The following statement will be printed on each receipt of a cash
               deposit to establish or re-establish credit for service.

               For California Customers Interest on deposits is payable monthly at the applicable rate
               approved by the California Public Utilities Commission in accordance with the utilities
               filed Rule No. 7, DEPOSITS.




                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO           Effective    _January 1, 1011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 202
                             Canceling Original                            CPUC Sheet No. 202


                                                     Rule No. 6

                            ESTABLISHMENT AND RE-ESTABLISHMENT OF CREDIT

       A.      Establishment of Credit – Domestic Service. Each applicant, before receiving domestic
               service, will be required to satisfactorily establish credit which will be deemed
               established if:

               1       Applicant is the owner of the premises to be served or of other real estate within
                       the territory served by the Utility; or

               2.      Applicant makes a cash deposit to secure payment of bills for electric service as
                       prescribed in Rule No. 7; or

               3.      Applicant furnishes a guarantor, satisfactory to the Utility to secure payment of
                       bills for the service requested; or

               4.      Applicant has been a Customer of the Utility within the last two years and, during
                       the last twelve consecutive months of that prior service, has had not more than
                       two past due bills as prescribed in Rule No. 11-A; or

               5.      Applicant’s credit is otherwise established to the satisfaction of the Utility.

       B.      Establishment of Credit – Other Than Domestic Service. Each Applicant, before
               receiving such service, will be required to satisfactorily establish credit which will be
               deemed established if:

               1.      Applicant is the owner with a substantial equity, of value satisfactory to the Utility,
                       in the premises to be served; or

               2.      Applicant makes a cash deposit to secure payment of bills for electric service as
                       prescribed in Rule No. 7; or

               3.      Applicant furnishes a guarantor, satisfactory to the Utility, to secure payment of
                       bills for electric service; or

               4.      Applicant has been a Customer of the Utility for a similar type of service within
                       the last two years and during the last twelve consecutive months of that prior
                       service, has had not more than two past due bills as prescribed in Rule No. 11-A,
                       provided that the periodic bill for such previous service was equal to at least 50%
                       of that estimated for the new service, and , provided further, that the credit of
                       Applicant is unimpaired in the opinion of the Utility, or

               5.      Applicant’s credit is otherwise established to the satisfaction of the Utility.
                                                       (Continued)


                                                   Issued by
Advice Letter No.     1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.       10-10-017                President and CEO           Effective    _January 1, 1011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                         CPUC Sheet No. 203                     (T)
                             Canceling 1st Revised                         CPUC Sheet No. 203                     (T)


                                                     Rule No. 6

                            ESTABLISHMENT AND RE-ESTABLISHMENT OF CREDIT
                                             (Continued)

       C.        Re-Establishment of Credit – All Classes of Service.

            1.      An Applicant who previously has been a Customer of the Utility and whose
                    electric service has been terminated by the Utility during the last twelve months
                    of that prior service because of nonpayment of bills, may be required to re-
                    establish credit by depositing the amount prescribed in Rule No. 7 for that
                    purpose, and by paying electric bills regularly due; except, an Applicant for
                    domestic service will not be denied service for failure to pay such bills for other
                    classes of service.

            2.      A customer who fails to pay bills before they become past due as defined in Rule
                    11-A, and who further fails to pay such bills within five days after presentation of a
                    discontinuance of service notice for nonpayment of bills, may be required to pay said bills
                    and reestablish credit by depositing the amount prescribed in Rule 7; except, a Small           (N)
                    Business Customer, as defined in Rule 1, may not be required to reestablish credit if
                    such bills are for retroactive charges resulting from a meter error or billing error as
                    prescribed in Rule 18. In addition, a customer who has been identified by CalPeco as a
                    Small Business Customer, as defined in Rule 1, will receive a warning letter after the
                    first late payment during any twelve-month period informing the customer that a deposit
                    to reestablish credit may be required if another late payment occurs within the same
                    twelve-month period. This rule will apply regardless of whether or not service has been             (N)
                    discontinued for such nonpayment.

            3.      A Customer using other than domestic service may be required to re-establish
                    his credit in accordance with Rule No. 6-B in case the conditions of service or
                    basis on which credit was originally established have, in the opinion of the Utility,
                    materially changed.




                                                   Issued by
Advice Letter No.     3-E                        Bob Dodds              Date Filed     March 1, 2011              (T)
                                                    Name
Decision No.      10-10-017                 President and CEO           Effective    _March 1, 2011               (T)
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 204
                             Canceling Original                          CPUC Sheet No. 204


                                                     Rule No. 7

                                                     DEPOSITS

       A.      Amount of Deposit. The amount of deposit required to establish or reestablish credit is
               twice the estimated average monthly bill, but in no case may the amount of deposit be
               less than $10.00.

       B.      Return of Deposit.

               1.     Upon discontinuance of service, the Utility will refund the Customer’s deposit or
                      the balance in excess of the unpaid bills for service.

               2.     A deposit is refundable when the periods covered by bills paid before becoming
                      past due, as prescribed in Rule No. 11.A., are equal to one year.

               3.     The Utility may return the deposit at any time upon request provided the
                      Customer’s credit may otherwise be established in accordance with Rule No. 6.

               Interest on Deposit. The Utility will pay interest on the deposit on a monthly basis at the
               rate of 1/12 of the most recent month’s interest rate on commercial paper (prime, 3
               months), published it the Federal Reserve Statistical Release, H.15. The interest on the
               deposit shall be applied monthly to the depositor’s service account.

               No interest will be paid for periods covered by bills paid after becoming past due, as
               prescribed in Rule No. 11. No interest will be paid if service is temporarily or
               permanently discontinued for nonpayment of bills.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 205
                             Canceling Original                          CPUC Sheet No. 205


                                                   Rule No. 8

                                                   NOTICES


       A.      Notices To Customers. When notices from the Utility to a customer are required,
               they will normally be given in writing, either mailed by first-class mail to the
               Customer's mailing address or delivered to him, except that in emergencies the
               Utility may give oral notices.

               The "termination of service notice" for nonpayment of a delinquent account shall be
               presented by first class mail, addressed to the customer to whom the service is
               billed, at least 15 calendar days prior to proposed termination of service. For
               domestic service, the company shall also make reasonable attempts to contact an
               adult at the customer's premises either by telephone or by visit at least 24 hours prior
               to termination of service, except that, whenever telephone or personal contact
               cannot be accomplished, the Utility shall give, either by mail or in person, a Notice of
               Termination of Service at least 48 hours prior to termination. For elderly (age 62 and
               over) and disabled* residential customers, the company shall provide at least
               48 hours notice by telephone or visit; however, if personal contact cannot be made
               a notice shall be posted in a conspicuous location at the service address at least 48
               hours prior to termination.

               A domestic customer who has established to the satisfaction of the company that he
               is disabled* or elderly (age 62 or older) may designate a friend, family member,
               or public or private agency as a third party representative to receive notice on the
               customer's behalf. The customer must provide to the company written consent of the
               designated third party representative as well as change in said designation.

               Where electric service is provided to residential users through a master meter, the
               company shall make every good faith effort to inform the actual users of the utility
               services when the account is in arrears that service will be terminated in 10 days.
               The 10 day notice shall be posted at the premises not less than 5 days after the 15
               day notice of termination is mailed to the customer. The notice shall further inform
               the actual users that they have the right to become electric utility customers without
               being required to pay the amount due on the account.

       B.      Notices From Customers. Notices from a Customer to the Utility shall be given by
               written communication mailed to the Utility's office.


                                                    (Continued)




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 206
                             Canceling Original                         CPUC Sheet No. 206


                                                     Rule No. 8

                                                      NOTICES
                                                     (Continued)

       B.      Notices From Customers (Continued)

               In the event an oral communication is given, it shall be followed-up with a written
               communique to documentation. The Utility shall not be responsible for verbal notices
               given to it by the customer unless followed-up with a written communication.

       *       Certification from a licensed physician, public health nurse, or a social worker may be
               required by the company.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds             Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 207
                             Canceling Original                            CPUC Sheet No. 207



                                                       Rule 9

                                       RENDERING AND PAYMENT OF BILLS
       A.      Rendering of Bills
               1.       Billing Period. Bills for service will be rendered to each Customer on a
                        monthly basis, unless otherwise approved by the Commission.
               2.       Metered Service. Bills for metered service will show at least the reading
                        of the meter at the end of the period for which the bill was rendered, the
                        number of electrical units, and the date of the current meter reading.
                        Meters will be read as nearly as possible at regular intervals. Except as
                        otherwise stated, the regular billing period will be once each month. Due
                        to Saturdays, Sundays and holidays, it is not always possible to read
                        meters on the same day each month. Where, however, the monthly
                        period is less than 27 days or more than 33 days, a pro rata correction
                        will be made in accordance with Section A.3 below.
                        If, because of unusual conditions or for reasons beyond the meter reading
                        entity’s control, the customer’s meter cannot be read on the scheduled
                        reading date, or if for any reason accurate usage data are not available,
                        the Utility will bill the Customer for estimated consumption during the
                        billing period. Estimated consumption for this purpose will be calculated
                        considering the Customer’s prior usage, the Utility’s experience with other
                        Customers of the same class in that area, and the general characteristics
                        of the Customer’s operations.
               3.       Proration of Bills. The charges applicable to opening periods, closing
                        bills, and bills rendered for periods corresponding to less than 27 days or
                        more than 33 days for monthly billing periods will be computed as follows:
                        The amount of the minimum charge and the quantity in each of the
                        several quantity rate blocks will be prorated on the basis of the ratio of the
                        number of days in the period to the number of days in an average billing
                        period, which for this computation shall be taken as 30 days or multiples
                        thereof. The measured quantity of usage will be applied to such prorated
                        amounts and quantities.
               4.       When the total period of service is less than 34 days, no proration will be
                        made, and no bill for such service shall be less than the specified
                        minimum charge, except when temporary service is furnished and
                        Customer has paid the estimated cost of installing and removing the
                        service facilities a proration will be made as prescribed in Section A.3,
                        above.

                                                  (continued)

                                                   Issued by
Advice Letter No.      1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                    Name
Decision No.        10-10-017               President and CEO           Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 208
                             Canceling Original                             CPUC Sheet No. 208


                                                             Rule 9

                                       RENDERING AND PAYMENT OF BILLS
                                                 (continued)

       B.      Reading of separate Meters Not Combined. For purposes of billing, each meter upon
               the Customer’s premises will be considered separately, and the readings of two or
               more meters will not be combined except as follows:

               1.       Where combinations of meter readings are specifically provided for in the rate
                        schedule.

               2.       Where the Utility’s operating convenience requires the use of more than one
                        meter.

       C.      Payment of Bills. All bills for service are due and payable upon presentation and
               payment may be made at any commercial office of the Utility or to any representative
               of the Utility authorized to make collections. Payment of closing bills shall be made at
               the time of presentation.

               If a Customer makes only a partial payment on a bill, the partial payment received will
               be credited to amounts in arrears according to age. Customer failure to pay as set
               forth herein will be subject to termination of service as set forth in Rule 11.

       D.      Returned Check Charge. Should a check from a Customer used to pay a bill for
               service be returned to Utility as uncollectible for any reason, including a lack of funds,
               a charge of $5.00 will be added to the Customer’s account.

       E.      Equal Payment Plan. An equal payment plan is available to Small Customers who
               have received service at the same address for a minimum of twelve (12) consecutive
               months and have a satisfactory payment history.

               1.       The equal payment plan provides for twelve (12) equal payments of a
                        Customer’s estimated annual bill based on their prior usage. Equal payments
                        will begin the first full month of billing following the customer request to be placed
                        on the program. After twelve (12) consecutive months on the Equal Payment
                        Plan, there will be an adjustment from the Customer’s equal payment billing to
                        actual billing. At that time, a new equal payment amount will be computed and
                        any debit or credit balance less than $100.00 will be
                        spread over the new equal payment plan year. Credit balances greater than
                        $100.00 will be refunded by check. Credit balances between $25.00 and
                        $100.00 will automatically be recalculated into the new Equal Payment Plan
                        amount unless the customer requests that a refund check be issued.

               2.       The equal payment plan allows for pre-payment at the Customer’s request.
                                                  (Continued)

                                                   Issued by
Advice Letter No.      1-E                       Bob Dodds               Date Filed    November 23, 2010
                                                     Name
Decision No.        10-10-017                President and CEO           Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 209
                             Canceling Original                           CPUC Sheet No. 209


                                                       Rule 9

                                      RENDERING AND PAYMENT OF BILLS
                                                (continued)

       E.      Equal Payment Plan (continued)

               3.       The equal payment plan will be automatically canceled when two (2) equal
                        payment bills become past due. However, the plan may be reinstated upon
                        payment of the plan arrears.

               4.       This plan will be in effect from year to year for eligible Customers who reapply.

               5.       The equal payment amount will be adjusted during the year due to approved
                        rate increases or decreases and in the event of increases or decreases in
                        consumption.

       F.      Bill Payment Options

       Customers choosing to pay their utility bills through an authorized third party vendor may be
       charged a convenience fee. Customers will be notified of any such convenience fee prior to
       completing the transaction. The convenience fee goes directly to the third party vendor and does
       not go to the Utility. The third party vendor remits the exact amount of the Utility bill to CalPeco.
       The Utility does not accept credit card, ATM/debit card payments directly, all such payments are
       made through the third party vendor.

            Residential Accounts:
               Credit/Debit ATM/ electronic check (ACH) Fee per transaction ($600 limit)          $3.50
            Small Commercial Accounts: (Schedules: A-1, TOU A-1, A-2, TOU-A-2)
              Credit/Debit ATM/ electronic check (ACH) Fee per transaction ($1,200 limit)         $8.95
            Large Commercial Accounts: (Schedule: A-3) Electric Check (ACH) only –
               Fee per transaction ($25,000 limit)                                                $0.75




                                                  Issued by
Advice Letter No.      1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                    Name
Decision No.        10-10-017               President and CEO          Effective    January 1, 2011
                                                     Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 210
                             Canceling Original                          CPUC Sheet No. 210


                                                  Rule No. 10

                                                DISPUTED BILLS

       A.      Domestic Service To A Residential Dwelling. Any customer who has initiated a billing
               complaint to the company or requested an investigation by the company within five days of
               receiving a contested bill for domestic service shall be given an opportunity for review of
               such complaint or investigation by a review manager of the company. The review shall
               include consideration of whether the customer should be permitted to amortize the unpaid
               balance of his account over a reasonable period of time not to exceed a 12-month period.

       B.      Domestic and Nondomestic Service. Any customer, whose complaint or request for
               investigation regarding a bill for electric service has resulted in a determination by the
               company which is adverse to him, may appeal such determination to the California Public
               Utilities Commission.

       C.      Commission Appeal. When a customer and the company fail to agree on a bill for electric
               service:

               1.     In lieu of paying the disputed bill the customer may deposit with the California
                      Public Utilities Commission, 505 Van Ness Avenue, San Francisco, California
                      94102, the amount claimed by the company to be due. A nonresidential customer
                      who is unable to deposit the full amount in dispute for a bill covering a period in
                      excess of 90 days shall deposit an amount equal to 90 days at the average
                      disputed charge per day of the disputed bill.

               2.     Checks or other forms of remittance for such deposit should be made payable to
                      the California Public Utilities Commission.

               3.     Upon receipt of the deposit the Commission will notify the company, will review the
                      basis of the billed amount, and will advise both parties of its findings and disburse
                      the deposit in accordance therewith.

               4.     Service will not be terminated for nonpayment of the disputed bill when a deposit
                      has been made with the Commission pending the outcome of the Commission’s
                      review.

               5.     Failure of the customer to make such deposit within 17 days after presentation of
                      the disputed bill and prior to the expiration date of a 15 day termination of service
                      notice will warrant termination of his service. For domestic service the company
                      shall make reasonable attempts to contact an adult at the customer’s premises
                      either by telephone or visit at least 24 hours prior to termination of service, except
                      that, whenever telephone or personal contact cannot be accomplished, the Utility
                      shall give, either by mail or in person, a Notice of Termination of Service at least 48
                      hours prior                       (Continued)


                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 211
                             Canceling Original                         CPUC Sheet No. 211



                                                  Rule No. 10

                                               DISPUTED BILLS
                                                 (Continued)

       C.      Commission Appeal. (Continued)

               5.     (Continued)

                      to termination. For elderly (age 62 or over) or disabled* residential customers
                      the company shall provide at least 48 hours notice by telephone or visit;
                      however, if a personal contact cannot be made a notice shall be posted in a
                      conspicuous location at the service address at least 48 hours prior to termination
                      of service.

               6.     If before completion of the Commission's review, additional bills become due
                      which the customer wishes to dispute, he shall also deposit with the Commission
                      the additional amounts claimed by the company to be due for such additional bills
                      before they become past due and failure to do so will warrant termination of his
                      service in accordance with Rule No. 11.

               Notification of a Customer's right to make deposit with the Commission in order to avoid
               termination of service shall be printed on each customer's bill and termination of service
               notice as set forth in Rule No. 5.

       *       Certification from a licensed physician, public health nurse, or a social worker may be
               required by the company.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 212
                             Canceling Original                         CPUC Sheet No. 212


                                                  Rule No. 11

                       TERMINATION, RESTORATION AND REFUSAL OF SERVICE

       A.      Past Due Bills. When bills are rendered monthly or bimonthly, they will be
               considered past due if not paid within 17 days after date of presentation. When bills
               are rendered weekly, they will be considered past due if not paid within 4 days after
               date of presentation.

       B.      Nonpayment of Bills.

               1.     When a bill for electric service has become past due and a 15-day
                      termination of service notice for nonpayment has been issued, service may
                      be terminated if the bill is not paid within the time required by such notice
                      provided a final notice is served at least 24 hours prior to termination of
                      service. A customer's service, however, will not be terminated for
                      nonpayment until the amount of any deposit made to establish credit for that
                      service has been fully absorbed.

                      Any customer who has initiated a complaint or requested an investigation
                      within 5 days of receiving a contested bill shall not have domestic service to a
                      residential dwelling terminated for nonpayment during the pendency of an
                      investigation by the company of such customer dispute or complaint. Such
                      domestic service shall not be terminated for nonpayment for any customer
                      complying with an amortization agreement entered into with the Company,
                      provided the customer also keeps current his account for electric service as
                      charges accrue in each subsequent billing period. If a residential customer
                      fails to comply with an amortization agreement, the Company shall not
                      terminate service without giving notice to the customer at least 48 hours prior
                      to termination, of the conditions the customer is required to meet to avoid ter-
                      mination; but, such notice shall not entitle the customer to further
                      investigation by the Company.

               2.     Electric Service to a domestic customer will not be terminated for
                      nonpayment when the customer has established to the satisfaction of the
                      company that:

                      a.     Such termination would be especially dangerous to the health of the
                             customer or a full time resident of the customer's household*; or

                      b.     The customer or a full time resident of the customer's household is
                             among the elderly (age 62 or older) or disabled*; and

                      c.     He or she is temporarily unable to pay for such service in accordance
                             with the provisions of the Company's Tariffs; and
                                                       (Continued)

                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 213
                             Canceling Original                           CPUC Sheet No. 213


                                                 Rule No. 11

                     TERMINATION, RESTORATION AND REFUSAL OF SERVICE
                                               (Continued)
       B.      Nonpayment of Bills (Continued)

               2.      (Continued)

                       d.      The customer is willing to arrange installment payments, satisfactory
                               to the company, including arrangements for prompt payment of
                               subsequent bills.
                       The company shall make available to customers, upon request, information
                       regarding agencies and/or organizations that may provide financial
                       assistance.
                       However, service may be terminated to any customer who does not comply
                       with an installment payment agreement or keep current his account for
                       electric service as charges accrue in each subsequent billing period.
               *       Certification from a licensed physician, public health nurse, or a social worker
                       may be required by the company.
               3.      A customer’s service may be terminated for nonpayment of a bill for service
                       previously rendered him at any location served by the company provided
                       such bill is not paid within 15 days after presentation of a termination of
                       service notice that present service will be terminated for nonpayment of such
                       bill for prior service, but in no case will service be terminated for nonpayment
                       of such bill if less than 15 days after establishment of service at the new
                       location. However, domestic service will not be terminated because of
                       nonpayment of bills for other classes of service.
               4.      Where electric service is provided to residential users through a master
                       meter, the company shall make every good faith effort to inform the actual
                       users of the electric service when the account is in arrears that service will be
                       terminated in 10 days.
               5.      If a customer is receiving more than one service, any or all services may be
                       terminated when any service, regardless of location is terminated for
                       nonpayment. However, domestic service will not be terminated because of
                       nonpayment of bills for other classes of service.
               6.      Under no circumstances may service be terminated for nonpayment of a bill
                       to correct previously billed incorrect charges for a period in excess of the
                       preceding three months, unless such incorrect charges have resulted from
                       the customer not abiding by the filed rules.
                                                     (Continued)




                                                  Issued by
Advice Letter No.     1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                   Name
Decision No.       10-10-017               President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 214
                             Canceling Original                           CPUC Sheet No. 214


                                                      Rule No. 11

                       TERMINATION, RESTORATION AND REFUSAL OF SERVICE
                                         (Continued)

       B.      Nonpayment of Bills (Continued)

               7.     Service will not be terminated by reason of delinquency in payment for electric
                      service on any Saturday, Sunday, legal holiday, or at any time during which the
                      business offices of the company are not open to the public.

       C.      Unsafe Equipment. The company may refuse or terminate service to a customer without
               prior notice if any part of his wiring or other equipment, or the use thereof, shall be
               determined by the company to be unsafe or in violation of applicable laws, ordinances,
               rules or regulations of public authorities, of if any condition existing upon the customer’s
               premises shall be thus determined to endanger the company’s service facilities, until it
               shall have been put in a safe condition or the violation remedied.

       D.      Service Detrimental to Other Customers. The company will not provide service to
               utilizing equipment, the operation of which will be detrimental to the service of the
               company or its other customers, and will terminate electric service to any customer who
               shall continue to operate such equipment after having been given notice by the company
               to cease so doing.

       E.      Fraud. The company may refuse or terminate service without prior notice if the acts of
               the customer or the conditions upon his premises are such as to indicate to it an intent to
               defraud the company.

       F.      Unauthorized Use. The utility may discontinue service if the acts of the customer or the
               conditions upon his/her premises indicate an intent to deny the utility full compensation
               for services rendered, including, but not limited to, tampering or unauthorized use.
               Discontinuance of service for nonpayment of a bill for unauthorized use shall be in
               accordance with the provision’s of Rule 11B.

       G.      Failure to Establish or Re-establish Credit. If, for an applicant’s convenience, the
               company should provide service before credit is established or should continue service
               to a customer when credit has not been re-established in accordance with Rule No. 6,
               and he fails to establish or re-establish his credit as provided by a written notice of not
               less than 7 days for service, the company may terminate service.

       H.      Noncompliance. Except as otherwise specifically provided in the Rule No. 11, the
               company may terminate service to a customer for noncompliance with tariff schedules if,
               after written notice of at least 5 days, he has not complied with the notice. The company
               may dispense with the giving of such notice in the event of a dangerous condition, thus
               rendering the immediate termination of service to the premises imperative.
                                                    (Continued)

                                                  Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 215
                             Canceling Original                          CPUC Sheet No. 215



                                                Rule No. 11

                       TERMINATION, RESTORATION AND REFUSAL OF SERVICE
                                         (Continued)

       I.      Customer’s Request for Service Termination. When a customer desires to terminate his
               responsibility for service, he shall give the company not less than two days’ notice of his
               intention and state the date on which he wishes the termination to become effective. A
               customer may be held responsible for all service furnished at the premises until two days
               after receipt of such notice by the company or until the date of termination specified in
               the notice, whichever date is later.

       J.      Restoration – Reconnection Charge. The company may require payment of a
               reconnection charge before restoring service that has been terminated for nonpayment
               of bills or for failure otherwise to comply with tariff schedules. In case the customer
               requested that such service be reconnected on the same day or outside regular
               business hours an additional charge may be made. The charges for restoration or
               reconnection of service are set forth in Schedule No. S.E. Service wrongfully terminated
               shall be restored without charge for the restoration of service, and a notification thereof
               shall be mailed to the customer at the billing address.

       K.      Inability to Pay. If upon receipt of a 15-day termination of service notice, a customer is
               unable to pay, he must first contact the company within the termination of service notice
               period to make special payment arrangements to avoid termination of service.

               After contacting the company, if the customer alleges to the Commission an inability to
               pay and that lawful payment arrangements have not been extended to him, he should
               write to the Commission’s Consumer Affairs Branch (CAB), Public Utilities Commission,
               505 Van Ness Avenue, San Francisco, California 94102, to make an informal complaint.
               It is the responsibility of the customer to timely inform CAB to avoid termination of
               service. The company shall not require a customer to deposit with the Commission the
               amount of the overdue bill in such a termination dispute.

               With 10 business days after receiving the informal complaint, the CAB will report its
               proposed resolution to the company and the customer by letter.

               If the customer is not satisfied with the proposed resolution of the CAB, he shall file
               within 10 business days after the date of the CAB letter a formal complaint with the
               Commission under Section 1702 on a form provided by the CAB. The complaint shall be
               processed under the expedited complaint procedure.

               Failure of the customer to observe these time limits shall entitle the company to insist
               upon payment, or upon failure to pay, to terminate the customer’s service.



                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 216
                             Canceling Original                           CPUC Sheet No. 216



                                                   Rule No. 12

                    OPTIONAL RATES AND INFORMATION TO BE PROVIDED THE PUBLIC

       A.      General Information. The Utility will maintain, open for inspection at its more important
               commercial offices, pertinent information regarding the service rendered to the
               Customer, including the following:

               1.     A description of service that may be furnished as set forth in Rule No. 2.

               2.     A copy of the tariff schedules consisting of rates, general Rules of the Utility, and
                      forms of contracts and applications applicable to the territory served from that
                      office.

       B.      Effective Rates. The rates charged by the Utility for electric service are those on file with
               the Public Utilities Commission and legally in effect. A copy of complete tariff schedules
               and advice letters, as filed with the Commission, shall be maintained for public
               inspection at the General Office. Complete tariff schedules of all rates in effect in any
               one District of the Utility will be kept in that District Office where they may be consulted
               by the public during office hours.

       C.      Optional Rates. Where there are two or more rate schedules, rates, or optional
               provisions applicable to the class of service requested by the Applicant, the Utility of its
               authorized employees will call Applicant’s attention, at the time application is made to
               the several schedules, and the Applicant must designate which rate schedule, rate, or
               optional provision he desires. When the Customer notifies the Utility of any material
               change in the size, character, or extent of his utilizing equipment or operations, in
               accordance with Section C of Rule No. 3, the Utility will, within a reasonable time, advise
               the Customer of the resulting rate options. In the absence of the notification provided for
               in Section C of Rule No. 3, the Utility assumes no responsibility for advising the
               Customer of lower optional rates under other existing schedules, rates, or optional
               provisions available as a result of the Customer’s changes in equipment or operations.

       D.      New or Revised Rates. Should new or revised rates be established after the time
               application is made, the Utility will, within a reasonable time, use such means as may be
               practicable to bring them to the attention of those of its Customers who may be affected
               thereby.

                                                   (Continued)




                                                  Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 217
                             Canceling Original                          CPUC Sheet No. 217


                                                   Rule No. 12

                    OPTIONAL RATES AND INFORMATION TO BE PROVIDED THE PUBLIC
                                          (Continued)

       E.      Change of Rate Schedule.

               1.     A change to another applicable rate schedule, rate, or optional provision will be
                      made only where the Customer elects to make such change.

               2.     Should a Customer so elect, the change will be made provided:

                      a.      A change has not been made effective during the past twelve month
                              period; or

                      b.      The change is made to, or from, a new or revised rate schedule; or

                      c.      There has been a change in the Customer’s operating conditions for that
                              service which, in the opinion of the Utility, justifies the change; and

                      d.      The change is not made more often than once in twelve months where
                              service is being supplied under a schedule containing an annual fixed
                              charge or an annual minimum charge; and

                      e.      The Customer has made the request by written notice to the Utility.

               3.     The change will become effective for the billing period during which the Customer
                      has requested the change.

       F.      Interconnection. Unless otherwise stated in the rate schedule, the rate schedules of the
               Utility are applicable only for service supplied entirely by the Utility without
               interconnection with any other source of supply, except that interconnection may be
               made by double-throw switch where necessary to meet the minimum requirements for
               emergencies.

       G.      Stand-By Service. The Utility will not supply stand-by or breakdown service to
               customers whose premises are regularly served with light, heat or power from a source
               of supply other than the Utility. Stand-by service will not be supplied to any system,
               business or service regularly used in competition with the service of this Utility or where
               such stand-by service is desired or intended for resale or redistribution or as otherwise
               stated in Rule No. 19.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 218
                             Canceling Original                            CPUC Sheet No. 218



                                                  Rule No. 13

                                             TEMPORARY SERVICE

       A.      Establishment of Temporary Service. The Utility shall, if no undue hardship to its existing
               Customers will result therefrom furnish temporary service under the following conditions:

               1.     The Applicant shall pay, in advance or otherwise as required by the Utility, the
                      estimated cost installed plus the estimated cost of removal, less the estimated
                      salvage of the facilities necessary for furnishing service.

               2.     The Applicant shall establish credit as required by Rule No. 6, except that the
                      amount of deposit prescribed in Rule No. 7 shall not exceed the estimated bill for the
                      duration of service.

       B.      Change to Permanent Status.

               1.     If service to the electrical machinery or apparatus as originally installed or its
                      equivalent is supplied a temporary Customer on a continuous, intermittent or
                      seasonal basis for a period of 36 consecutive months from the date electric service
                      first was delivered under this rule, the Customer shall be classified as permanent
                      and, the payment made in excess of that required for permanent service or under the
                      line extension rule for permanent Customer shall be refunded in accordance with the
                      provision of Section C. 2 following, provided the Customer then complies with all of
                      the rules applicable to electric service.

               2.     If at any time the character of a temporary Customer’s operations changes so that in
                      the opinion of the Utility the Customer may be classified as permanent, the amount
                      of payment made in excess of that required for permanent service immediately shall
                      be refunded to the Customer in accordance with Section C.1 following.

               3.     In no event will a Customer be classified as temporary for more than six years.




                                                           (Continued)




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds                 Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO              Effective    January 1, 2011
                                                   Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 219
                             Canceling Original                        CPUC Sheet No. 219



                                                 Rule No. 13

                                            TEMPORARY SERVICE
                                                (Continued)

       C.      Refunds.

               1.    The amount of refund upon reclassification of a Customer from temporary to
                     permanent will be made on the basis of the extension rule in effect at the time
                     temporary service was first rendered to the Customer.

               2.    The payment made by the Applicant in excess of any that may be required under
                     the extension rule for permanent service in effect at the time of original temporary
                     service shall be refunded at the rate of 1 2/3% for each month of service in
                     excess of the first 12 months. Refunds shall be made annually except when
                     partial year payment may be required upon termination of service.

               3.    If payment has not been made in advance, Applicant’s excess obligation shall be
                     reduced by 1 2/3% for each month of service in excess of the first 12 months.

               4.    Total refunds shall not exceed the amount deposited and no interest shall be
                     paid on the amount advanced.




                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 220
                             Canceling Original                            CPUC Sheet No. 220



                                                    Rule No. 14

                                             CONTINUITY OF SERVICE


       A.      Shortage and Interruption. The Utility will exercise reasonable diligence to furnish a
               continuous and sufficient supply of electricity to its Customers and to avoid any shortage
               or interruption of delivery thereof. It cannot, however, guarantee a continuous or
               sufficient supply or freedom from interruption.

               The Utility will not be liable for interruption or shortage of supply, nor for any loss or
               damage occasioned thereby, if such interruption or shortage results from any cause not
               within its control.

               Whenever, in the operation of the Utility’s electric plants, properties, and/or systems,
               interruption in the delivery of electric energy to Customers results from or is occasioned
               by causes other than the exercise by the Utility of its right to suspend temporarily the
               delivery of electric energy for the purpose of making repairs or improvements to its
               system, notice of any such interruption will not be given to the Customers of the Utility,
               but the Utility shall exercise reasonable diligence to reinstitute delivery of electric energy.

       B.      Temporary Suspension for Repairs. The Utility, whenever it shall find it necessary for
               the purpose of making repairs or improvements to its system, will have the right to
               suspend temporarily the delivery of electricity. In all such cases as reasonable notice
               thereof as circumstances will permit will be given to the Customer, and the making of
               such repairs or improvements will be prosecuted as rapidly as may be practicable and, if
               practicable, at such times as will cause the least inconvenience to the Customers.

       C.      Apportionment of Supply During Time of Shortage. Should a shortage of supply ever
               occur, the Utility will apportion its available supply of electricity among its Customers as
               authorized or directed by the Public Utilities Commission. In the absence of a
               Commission order, the Utility will apportion the supply in the manner that appears to it
               not equitable under conditions then prevailing.




                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO           Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 221
                             Canceling Original                             CPUC Sheet No. 221


                                                   Rule No. 14.1

                                PROHIBITIONS AND CURTAILMENT PROVISIONS

   A.     General

          This rule has been ordered effective by the Commission as an emergency measure pursuant to
          D-82881. It will be in full force and effect until declared ineffective by order of the Commission.
          This rule supersedes and cancels all tariff and contract provisions inconsistent with its terms.
          Paragraph B.1. herein has been temporarily suspended per D-83225, effective July 30, 1974.

   B.     Prohibited Uses

          1. Outdoor Advertising and Decorative Lighting:

               a. No customer shall at any time make, cause or permit any use of electrical energy for
                  lighting of billboards, signs, advertising goods or services or to identify the providers
                  of goods or services, displays of goods, objects or designs symbolic of commercial
                  enterprises, trademarks or logo, or motors or devices to rotate or move advertising
                  signs or operate pumps or other devices in fountains which are primarily decorative,
                  building floodlighting, architectural or decorative lighting, or lights used for
                  landscaping, or any similar form of lighting based upon the use of electrical energy
                  supplied by Utility.

               b. Notwithstanding the provisions of subsection B.1.a. hereof, each business establishment
                  may operate its time and temperature, window and display lighting, and illuminate two
                  outdoor signs during normal business hours and until one-half (½) hour after closing or
                  10:30 p.m. whichever is later, and each billboard may be illuminated between the hours
                  of sunset and 10:30 p.m., local time, and two hours before daylight during the months of
                  October through March. Non-illuminated fountains may be operated during normal
                  business hours.

          2. Functional Outdoor Lighting:

               a. No customer shall make, cause or permit any use of electrical energy for the
                  floodlighting of outdoor commercial areas, including but not limited to, service
                  stations, used car lots, new car lots, automobile parking lots, or similar businesses,
                  between the hours of sunrise and sunset, and when not open for business.

               b. Notwithstanding the provision of subsection B.2.a. hereof, after sunset, when such
                  activities are open, the use of electrical energy for such purposes shall be reduced
                  to fifty percent (50%) of normal or usual levels. Furthermore, prohibited uses of
                  electrical energy from Utility are not applicable to that minimum lighting necessary
                  for public safety, or for security, or that required by law, or required for the lighting of
                  essential buildings utilized for police, fire protection, health and communication
                  purposes.
                                                    (Continued)

                                                   Issued by
Advice Letter No.    1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO            Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 222
                             Canceling Original                         CPUC Sheet No. 222


                                                 Rule No. 14.1

                               PROHIBITIONS AND CURTAILMENT PROVISIONS
                                                     (Continued)
     B.   Prohibited Uses (Continued)

          3. Comfort Heating and Cooling:

               a. During business hours, no customer shall at any time make, cause or permit any use
                  of electrical energy in any commercial or industrial establishment to provide heat to
                  raise the temperature therein above 68F, nor to provide cooling to reduce the
                  temperature therein below 78F, except where other temperatures are specifically
                  required by law. Where it is not established that a net energy savings can be
                  achieved by operating space conditioning equipment during non-business hours,
                  such equipment shall be turned off.

               b. Notwithstanding the provisions of subsection B.3.a. hereof, any commercial or
                  industrial buildings wherein the space heating and cooling control systems provide
                  for a single temperature set-point, or where such buildings are equipped with
                  systems which heat and cool simultaneously or depend upon electric lighting as a
                  part of the heating energy, the space conditioning systems shall be operated in a
                  manner which minimizes electric energy use.

               c. Electrical energy shall not be used by hotels, motels, similar guest accommodation
                  establishments, or restaurants to heat or cool vacant guest rooms. The 68F
                  temperatures in occupied rooms should be reduced to 55F during sleeping hours,
                  except where other temperatures are required by law, occupied rooms shall not be
                  cooled below 78F.

               d. No customer shall make, cause or permit any use of electrical energy for the heating
                  of residences, apartments or condominiums above 68F during the active hours of
                  the day and 55F during the sleeping hours or for cooling them below 78F, except
                  for medical reasons or where other temperatures are required by law.

          4. Outdoor Public Gatherings:

               No customer shall made, cause or permit the use of electrical energy for recreational or
               cultural activities in excess of eighty-five percent (85%) of the normal or usual amount used
               by that customer for the same, or similar activities.

          5. Indoor Business Lighting:

               a. No customer shall make, cause or permit the use of electrical energy for lighting the
                  interior of any business establishment during that period of time that said
                  establishment is not carrying on the usual and customary activities of that business.
                                                  (Continued)

                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds             Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 223
                             Canceling Original                            CPUC Sheet No. 223



                                                  Rule No. 14.1

                                  PROHIBITIONS AND CURTAILMENT PROVISIONS
                                                      (Continued)
     B.   Prohibited Uses (Continued)

          5. Indoor Business Lighting: (Continued)

               b. Notwithstanding the provisions of Section B.5.a. hereof, a business establishment
                  may provide sufficient illumination at all times to provide a minimal level of
                  protection and security to persons and property.

               c. Nothing in these subsections shall be construed to prohibit ordinary and customary
                  maintenance and janitorial services at times other than those during which the
                  business establishment is carrying on the usual and customary activities of that
                  business.

     C.   Notification:

          Utility shall notify the customer when it has learned of a prohibited use as defined in Section B
          and, unless the customer will discontinue such use, Section D. shall apply.

     D.   Noncompliance:

          Utility shall discontinue service to a customer for noncompliance with this rule if, after notice of
          at least five (5) days, the customer has not initiated compliance with such notice. Service will
          be restored after the customer establishes compliance with this rule.

     E.   Appeals Procedure:

          Requests by customers of Utility for special relief from the mandatory orders of prohibition or
          curtailment of certain end uses of electricity by reason of special hardship or impossibility of
          compliance shall be made to the California Public Utilities Commission in the manner provided
          for formal complaints under the Commission’s Rules of Practice and Procedure. During the
          period the request is pending before the Commission, Utility shall not terminate service for
          noncompliance.

     F.   Liability of Utility:

          Utility shall not, by taking action pursuant to this rule, be liable for any loss, damage, or injury,
          established or alleged, which may result or be claimed to result therefrom.




                                                  Issued by
Advice Letter No.    1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO            Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 224
                             Canceling Original                            CPUC Sheet No. 224



                                                    Rule No. 15

                                           ELECTRIC LINE EXTENSIONS

       A.      Applicability

               Under the provisions of this rule Utility shall make extensions and alterations of existing
               electric distribution and transmission facilities, to supply new or expanded service to
               Applicants.

       B       Cost

               1.      All Electric Extensions and Alterations

                       a.      Cost shall be the Utility's estimated cost of making such extensions and
                               alterations by the least expensive method which is also in accordance
                               with Utility's engineering and construction practices. Whenever Utility, at
                               its option, installs facilities of greater capacity or length than would be
                               adequate to provide the requested service, the cost for the purposes of
                               this rule will be the Utility's estimated cost of a normal system designed
                               with facilities of such capacity and along such a route as would be
                               adequate to provide the requested service. Whenever the Utility, at its
                               option and upon Applicant's request, installs facilities the cost of which
                               exceeds that of a system deemed by the Utility to be adequate to provide
                               the requested service, the excess cost shall be considered
                               non-refundable.


                       b.      Cost may, at Utility's option, include that portion of the cost of previously
                               installed facilities, which were installed or oversized by Utility in
                               preparation for providing service to future customers. In no case shall
                               Applicant be held responsible for any portion of the cost of facilities in
                               excess of those which would have been adequate to provide the
                               requested service.




                                                    (Continued)




                                                   Issued by
Advice Letter No.     1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO           Effective    January 1, 2011
                                                     Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 225
                             Canceling Original                             CPUC Sheet No. 225


                                                    Rule No. 15

                                          ELECTRIC LINE EXTENSIONS
                                                 (Continued)

       B.      Cost (Continued)

               c.       The base cost of all extensions and alterations made hereunder shall include
                        Utility's costs for all regulatory, environmental and other fees, engineering,
                        inspection, material, labor, transportation, costs for removal of existing facilities
                        less their salvage value, associated overheads and other charges which are
                        related to the extension or alteration, including any modification or improvement
                        of existing facilities which is required to provide the requested service.

               d.       Overhead Extensions and Alterations - Cost shall include poles, wire, insulators,
                        transformers, switches and other appurtenances necessary to provide the
                        requested service.


               e.       Underground Extensions and Alterations - (Utility shall only make underground
                        extensions in those areas where Utility maintains or desires to maintain
                        underground facilities for its operational convenience or in accordance with
                        applicable laws, ordinances or similar requirements of public authorities.) Cost
                        shall include conduits, cables, connections, terminations, riser materials,
                        transformers and other underground materials necessary to provide the
                        requested service. Applicant shall provide and install all trench, backfilling,
                        backfill material, excavation, breaking of pavement, paving, repaving, transformer
                        pads, vaults, enclosures, boxes, and all other work relating to structures and
                        substructures at no expense to the Utility.

               f.       On site substations - when a new substation is required, all site preparation,
                        including but not limited to grading and fencing will be provided by Applicant at
                        no expense to Utility.


                                                    (Continued)




                                                   Issued by
Advice Letter No.      1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                     Name
Decision No.        10-10-017                President and CEO           Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 226
                             Canceling Original                            CPUC Sheet No. 226



                                                   Rule No. 15

                                        ELECTRIC LINE EXTENSIONS
                                               (Continued)

               2.    Temporary Extensions and Alterations.

                     In addition to all costs applicable to the installation of facilities, cost shall include
                     the removal less salvage of facilities installed hereunder.

       C.      Advances

               1.    An advance, equal to Utility's estimated cost, in accordance with Section B., less
                     the free allowance provided for in Section D. will be required thirty (30) days prior
                     to the start of construction on any extension or alteration made under the
                     provisions of this rule. Provided, however, no advance shall be required if the
                     difference between the Utility's estimated cost and the free allowance is less than
                     two hundred dollars ($200.00). Such advance shall consist of cash and a credit
                     for Applicant installed or provided items, except that portion of an extension or
                     alteration which will be provided by Applicant at no expense to Utility, under
                     Section B. This credit shall be equal to Utility's estimated cost of installing or
                     providing same, and excluding any oversized facilities - the cost of which shall be
                     handled pursuant to Section F.2.d. of this rule.

               2.    Utility may require an acceptable bond, letter of credit or guaranty related to the
                     required cash advance whenever installation of the requested extension requires
                     firm scheduling by the Utility more than thirty (30) days prior to construction.
                     Bonds, letters of credit or guarantees provided for this purpose will be replaced
                     with cash thirty (30) days prior to construction, except that the cost of special
                     materials not normally stocked by Utility in the quantities needed, will be
                     advanced in cash prior to the ordering of such materials.

               3.    In those instances where more than one Applicant is to be served jointly from the
                     same extension or alteration, the total advance required from such group of
                     Applicants shall be apportioned among the members of the group in such
                     manner as they may mutually agree upon. The total advance shall equal the
                     Utility's total cost for providing service to the group, less the combined free
                     allowance provided for in Section D.

                                                   (Continued)




                                                  Issued by
Advice Letter No.   1-E                        Bob Dodds                Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO            Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 227
                             Canceling Original                            CPUC Sheet No. 227



                                                   Rule No. 15

                                        ELECTRIC LINE EXTENSIONS
                                               (Continued)

       C.      Advances (Continued)

               4.    Cash advances related to projects with total estimated construction costs
                     exceeding $5,000 will be adjusted to reflect the Utility's actual cost of
                     construction. Adjustments shall be limited to those portions of the advance
                     pertaining to facilities installed by the Utility. Applicant installed credits will not be
                     subject to adjustment. Utility shall review its actual cost and either bill or refund
                     the applicant within four (4) months of completion.

               5.    All advances and advance adjustments made pursuant to Sections C.1. through
                     C.4. above and all nonrefundable contributions required under this rule will be
                     increased to reflect the Utility's net tax liability on such advances and/or
                     contributions. The advance, as described above, will be multiplied by the
                     appropriate tax liability factor, which includes cost component to cover
                     CalPeco’s estimated liability for Federal Income Tax and California State Tax as
                     provided for in Preliminary Statement, Section 10.

                     The tax liability portion of any advance or contribution must be paid by the
                     Customer in cash.

       D.      Free Allowances

               1.    The allowable investment for line extensions shall be two and five tenths (2.5)
                     times annual revenues for electric customers with projected new loads less than
                     1 MW. The allowable investment for electric customers, with loads of 1 MW or
                     more, will be calculated individually so that the non-fuel revenues derived from
                     such application will be sufficient to support the carrying costs on the allowable
                     investment and a contribution to margin from that customer during the projected
                     life of the project.


                                                  (Continued)




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds                Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO            Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 228
                             Canceling Original                          CPUC Sheet No. 228



                                                  Rule No. 15

                                       ELECTRIC LINE EXTENSIONS
                                              (Continued)

       D.      FREE ALLOWANCES (Continued)

               2.    The Utility will install that portion of the line extension in excess of the allowance,
                     subject to the payment of an advance pursuant to Section C.

               3.    As a condition for granting free allowance, the Utility may require a contract
                     providing for:

                     a.     The repayment of any free allowance granted, but not justified.

                     b.     Minimum revenue guarantee and/or.

                     c.     Termination/reduction of service charges.

                     Provided, however, the utility shall require a minimum revenue guarantee and
                     termination/reduction of service charges for all projects the estimated
                     construction costs of which exceed $350,000 and for all projects of abnormal
                     risk. Such contract may also provide that if the Applicant fails to take service in
                     the amount stated as the basis for estimating the allowable investment, the Utility
                     may calculate and bill the customer an amount to recover the allowance granted
                     but not justified based on actual annual billings.

               4.    For projects where the special contract provisions under D.3. are unacceptable to
                     the Utility or the Applicant, the Utility may require the entire cost of the project as
                     an advance.

       E.      Refunding

               1.    All advances made by Applicant(s) under the provisions of this rule, which are
                     not classified as a contribution in aid of construction by Utility, shall be subject to
                     refund, to the party or parties entitled thereto as set forth in this section. Except
                     as noted in Section E.3 of this rule, all refunds shall be made without interest. All
                     refunds described below in Sections E.2. through E.9. will be increased by the
                     same tax liability factor, from Section C.5. above, that was used in determining
                     the original advance against which the refund is being applied.

                                                  (Continued)




                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 229
                             Canceling Original                          CPUC Sheet No. 229


                                                 Rule No. 15

                                       ELECTRIC LINE EXTENSIONS
                                              (Continued)

       E.      Refunding (Continued)

               2.    Refunding will be based on revenues in excess of the level used as the basis for
                     a free allowance, derived from the following customers, who initiate service within
                     ten (10) years of the date of the extension agreement:

                     a.     Those served directly from the subject extension or alteration, as long as
                            subject extension or alteration is the first in a series from the original point
                            of supply for which a portion of an advance remains refundable.

                     b.     Those served from subsequent extensions-of or additions-to the original
                            extension. Refunds based on revenues in this section shall be made to
                            the Applicant having the first extension in series from the original point of
                            supply, for which a portion of an advance remains refundable.

               3.    Refunds based on estimated usage levels shall be paid by the Utility within ninety
                     (90) days of the date service is initiated.

               4.    Customers who advance the entire cost of a project under Section D.4. will
                     receive refunds based on revenues from their service in the first ten years
                     following the date their service is connected, unless the Utility and Customer
                     agree that a shorter refund period should be utilized. At the end of each year of
                     service, the free allowance that would have been granted under Section D.1. had
                     they not been subject to Section D.4. will be computed based upon their annual
                     revenues for the past year. The refund for each year will be one tenth (.10) of
                     such amount, so computed for that year, unless a shorter refund period has been
                     utilized, in which event the calculation of the refund shall be adjusted to reflect
                     the period over which the refund is being computed.

               5.    In those cases where two or more parties make a joint advance on the same
                     extension, Utility shall distribute refundable amounts to such parties in the same
                     proportion as their individual advances bear to the joint total advance, unless
                     otherwise directed by all parties.

                                                 (Continued)




                                                Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO            Effective    January 1, 2011
                                                  Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 230
                             Canceling Original                            CPUC Sheet No. 230



                                                  Rule No. 15

                                       ELECTRIC LINE EXTENSIONS
                                              (Continued)

       E.      Refunding (Continued)

               6.    Refundable amounts hereunder may be accumulated before refunding to
                     twenty-five dollars ($25.00) minimum or to total refundable balance if less than
                     twenty-five dollars ($25.00).

               7.    Refunds hereunder shall be made for new customer connections during the
                     period not to exceed ten (10) years after the date of the extension agreement.

               8.    The total amount refunded hereunder shall not exceed the total amount
                     advanced.

               9.    Except for refunds from customer connections made within ten years of contract
                     execution, any portion of the advance which remains unrefunded ten (10) years
                     after the date of the line extension agreement, will become the property of the
                     Utility.

       F.      General Conditions

               1.    Facilities

                     a.      Utility shall install hereunder only those facilities which it deems
                             necessary to render service in accordance with its tariff schedules.
                             However, Utility at its option, may install facilities with greater capacity or
                             of greater length than would be required for the service requested by
                             Applicant. In such event, the advance required of Applicant shall be
                             based on the estimated cost of the most economical and operationally
                             efficient method of serving the Applicant, as detailed in Section B.

                     b.      Conversions of Existing Electric Facilities

                             1.      Overhead to underground conversions will be made entirely at
                                     Utility's option, with costs being calculated according to Section B.
                                     Free allowance and refund consideration will be given only for
                                     new or additional revenues derived from customers served from
                                     the underground facilities installed hereunder.

                                                  (Continued)



                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO            Effective    January 1, 2011
                                                   Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 231
                             Canceling Original                         CPUC Sheet No. 231



                                                   Rule No. 15

                                      ELECTRIC LINE EXTENSIONS
                                             (Continued)

       F.      General Conditions (Continued)


                            2.      Single phase to three phase conversions will be made under the
                                    provisions of this rule only when Applicant qualifies for the
                                    requested service under the provisions of Rule No. 2. Costs shall
                                    be calculated according to Section B. Free allowance and refund
                                    consideration shall be given only for new or additional revenues
                                    derived from customers receiving three phase service from the
                                    conversion made hereunder.


                     c.     All facilities installed by Utility and Applicant hereunder shall be and
                            remain the sole property of the Utility.

                     d.     Size, type, quality of material and location of facilities hereunder shall be
                            selected by the Utility.

                     e.     Where either final grade or the alignment of roads, streets and alleys, in
                            the proximity of proposed extensions, have not been established and
                            there is a reasonable probability that said grades or alignments will be
                            changed within three (3) years, Utility will require that Applicant deposit,
                            cash or post an acceptable surety bond at the time of the execution of the
                            extension agreement in the amount of the Utility's estimated cost of
                            relocation. Upon completion of any such relocation which is made within
                            three (3) years of the date of the original extension, Applicant shall
                            replace said surety bond with cash in the amount of Utility's actual cost
                            incurred in making the relocation. Where Applicant has deposited cash to
                            cover such relocation, that deposit shall be adjusted by Applicant or Utility
                            to reflect Utility's actual cost incurred in making the relocation.

               2.    Construction

                     a.     Unless specifically provided for in Sections B or F. 2. d. all construction
                            shall be the responsibility of the Utility or its agent.

                                                      (Continued)




                                                Issued by
Advice Letter No.   1-E                      Bob Dodds               Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 232
                             Canceling Original                           CPUC Sheet No. 232


                                                  Rule No. 15

                                       ELECTRIC LINE EXTENSIONS
                                              (Continued)

       F.      General Conditions (Continued)

                     b.      All work performed by the Applicant shall be performed in such a manner
                             as to permit Utility to perform its work without delay and in an efficient
                             manner.

                     c.      It shall be Utility's intention to install facilities hereunder as soon as
                             possible following completion of Applicant's obligations, however, due to
                             work load fluctuations and Utility's obligations to perform unscheduled
                             emergency work, both of which are beyond control of Utility, Utility will not
                             be held responsible for damages or other inconveniences resulting from
                             unavoidable delays in construction of facilities installed hereunder.

                     d.      Applicant Installations

                     Applicants for line extensions shall have the option of installing facilities, in
                     excess of those specified as being the Applicant's responsibility under this rule,
                     only when the Utility is unable to guarantee availability of it's crews for installation
                     or availability of a contractor to meet the Applicant's reasonable project schedule.

                     The Applicant must initially provide the Utility with plans and load information in a
                     timely manner to allow the Utility to develop detailed plans, costs, and a
                     construction schedule. A reasonable construction schedule will provide for up to
                     ninety (90) days or one hundred and eighty (180) days for electric extensions
                     where demand will exceed one thousand (1,000) kilowatts for design, with
                     construction scheduled to commence within thirty (30) days from receipt of
                     Applicant's advance or as mutually agreed between the Utility and Applicant.

                     The following conditions must be complied with for an Applicant to qualify to
                     install facilities under the provisions of an Applicant installation:

                     (1)     All design, plans, and specifications shall be prepared by the Utility at the
                             Applicant's expense.

                     (2)     All phases of the project installation shall be subject to inspection by the
                             Utility, at Applicant's expense.

                                                  (Continued)




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO            Effective    January 1, 2011
                                                   Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 233
                             Canceling Original                         CPUC Sheet No. 233



                                                 Rule No. 15

                                      ELECTRIC LINE EXTENSIONS
                                             (Continued)

       F. General Conditions (Continued)


                     (3)    The Applicant's contractor must qualify in accordance with the Utility's
                            guidelines for a Qualified Contractor for Utility installations. The
                            contractor must be accepted on the Utility's Pre-Qualified Contractors List
                            and have sufficient qualified personnel and sufficient reliable equipment
                            to perform in a workmanlike manner before any installation is
                            commenced.

                     (4)    The Applicant and/or his contractor must comply with the Utility's
                            Gas/Water Distribution System Improvement Standards and/or Electric
                            Installation Guide, and also any additionally specified construction
                            standards and/or governmental requirements, i.e., OSHA, City, County,
                            State, etc. that may apply, in all phases of the project installation.

                     (5)    The Applicant must provide all material in accordance with the
                            specifications of Utility's stock materials catalogs and all material provided
                            will be subject to acceptance by the Utility, based on inspections by the
                            Utility at Applicant's expense.

                     (6)    The Applicant must also agree to guarantee all material and workmanship
                            against defects for one (1) year following final acceptance of the work by
                            the Utility. This guarantee shall be made a part of the Utility's Line and
                            Main Extension Agreement.

                     (7)    If, during installation of facilities under provisions of an Applicant
                            installation, the Applicant's contractor, for any reason, must cease work
                            on the installation, the Utility must be notified by the contractor at least
                            five (5) working days prior to recommencement of work.

                     (8)    The Applicant must agree to install any oversized facilities specified by
                            the Utility. The Applicant will be reimbursed the Utility's estimated cost
                            difference of the oversized facility and a facility sufficient to provide
                            required service. This cost will consist of:


                                                (Continued)



                                               Issued by
Advice Letter No.   1-E                      Bob Dodds               Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 234
                             Canceling Original                        CPUC Sheet No. 234


                                                Rule No. 15

                                      ELECTRIC LINE EXTENSIONS
                                             (Continued)

       F.      General Conditions (Continued)

                            (a)    The additional cost of oversized facility (when provided by the
                                   Applicant).

                            (b)    The Utility's estimated additional cost to install the oversized
                                   facility.

                            (c)    The Utility's estimated additional cost to provide and install extra
                                   trench and backfill required for the oversized facility.

                            The Applicant will be reimbursed the cost of oversizing thirty (30) days
                            prior to the start of construction or the advance otherwise due Utility may
                            be reduced to reflect a credit for such oversizing.

                     (9)    The Applicant must start the project in accordance with the Utility's
                            established schedule and pursue the work in a satisfactory rate.


               3.    Extension Agreements

                     a.     All Applicants requesting service under the provisions of this rule shall be
                            required to enter into Extension Agreements covering the terms under
                            which Utility shall make extensions and/or alterations.

                     b.     Refunds due and payable pursuant to any agreement entered into under
                            this rule may be assigned upon written notice to Utility by the holder of
                            said Agreement, as shown on Utility's records. Such assignment shall
                            apply only to those refunds which become due more than thirty (30) days
                            after date of receipt by Utility of the notice of assignment.

               4.    Estimates, Plans and Specifications

                     a.     Upon request by potential Applicants for extensions, Utility shall, without
                            charge, prepare preliminary sketches and estimates of costs and
                            amounts to be advanced from such information as provided by
                            Applicants.

                                                (Continued)



                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017               President and CEO           Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 235
                             Canceling Original                         CPUC Sheet No. 235


                                                 Rule No. 15

                                      ELECTRIC LINE EXTENSIONS
                                             (Continued)

       F.      General Conditions (Continued)

               Estimates, Plans and Specifications (Continued)

                     b.     Applicants for extensions and/or alterations of facilities requesting Utility
                            to prepare detailed plans, specifications and cost estimates shall be
                            required to deposit the estimated cost of preparation of such material.

                            1.     Such requests shall be accompanied by maps to suitable scale
                                   showing street and lot layouts, and if requested by Utility, contours
                                   or other indications of relative elevations of various parts of area
                                   to be developed. Applicant shall also provide a proposed
                                   construction schedule and service date.

                            2.     As requested by Utility, Applicant shall furnish any required
                                   property ownership, property description, plot plan or record of
                                   survey information concerning the area to be served under the
                                   provisions of this rule.


                            3.     If changes are made subsequent to the presentation of the
                                   aforesaid information and these changes require additional
                                   expense to Utility in revising plans, specifications and cost
                                   estimates, this additional expense shall also be advanced by
                                   Applicants.

                            4.     Utility shall, upon request, make available within ninety (90) days
                                   after receipt of the deposit or deposits referred to above, such
                                   plans, specifications and cost estimates of proposed extensions
                                   except that such information relative to electric extensions to
                                   serve projects where demand will exceed 1,000 kilowatts, will be
                                   provided within one hundred and eighty (180) days after deposit
                                   receipt. If extensions are to include oversizing of facilities to be
                                   done at Utility's expense, appropriate details shall be set forth in
                                   the plans, specifications and cost estimates.

                                                 (Continued)




                                                Issued by
Advice Letter No.   1-E                      Bob Dodds               Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 236
                             Canceling Original                         CPUC Sheet No. 236


                                                 Rule No. 15

                                         ELECTRIC LINE EXTENSIONS
                                              (Continued)

       F.      General Conditions (Continued)

               Estimates, Plans and Specifications (Continued)

                            5.      If an extension agreement is executed between such Applicants
                                    and Utility within twelve (12) months after detailed plans,
                                    specifications and cost estimates are furnished, the aforesaid
                                    deposit or deposits shall become a part of any required advances
                                    and shall be refunded in accordance with the extension
                                    agreement.

                            6.      If an extension agreement is not executed between such
                                    Applicants and Utility within twelve (12) months after detailed
                                    plans, specifications and cost estimates are furnished, the
                                    aforesaid deposit or deposits shall be forfeited.

                     c.     Estimates provided hereunder shall be firm for a period of three (3)
                            months after the date of transmittal.

               5.    Easements, Rights-of-Way, and Permits

                     a.     Utility shall only make extensions under this rule when such extension will
                            be located in a public street, road or highway which Utility has the legal
                            right to occupy or on public lands and private property across which
                            rights-of-way, easements or permits satisfactory to the Utility may be
                            obtained.

                     b.     Utility shall not purchase rights-of-way for extensions made under the
                            provisions of this rule.

               6.    Utility shall maintain detailed records of actual costs and provide all Applicants
                     with an opportunity for review of such records, for a period of three (3) years
                     following completion of the line or main extension.


                                                 (Continued)




                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 237
                             Canceling Original                           CPUC Sheet No. 237


                                                  Rule No. 15

                                       ELECTRIC LINE EXTENSIONS
                                              (Continued)

       F.      General Conditions (Continued)

               7.    In case of disagreement or dispute regarding application of any provision of this
                     rule, or in circumstances where application of this rule appears unreasonable to
                     either party, Utility or Applicant may refer the matter to the Public Utilities
                     Commission of the State of California for determination. During the period that
                     the Commission is deliberating over a dispute submitted to it by either the Utility
                     or Applicant, Utility or Applicant shall not delay the start of construction nor
                     discontinue construction.

               8.    Customer contributions for all work, inspections, etc., under these General
                     Conditions will be increased to reflect the Utilities net tax liability, which includes
                     cost component to cover CalPeco's estimated liability for Federal Income Tax
                     and California State Tax as provided for in Preliminary Statement, Section 10.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO            Effective    January 1, 2011
                                                   Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 238
                             Canceling Original                            CPUC Sheet No. 238


                                                   Rule No. 16

                                            SERVICE EXTENSIONS

       APPLICABILITY: This rule is applicable to both (1) Utility Service Facilities that extend from
       Utility's Distribution Line facilities to the Service Delivery Point, and (2) service related
       equipment required of Applicant on Applicant's Premises to receive electric service.

       A.      GENERAL

               1.     DESIGN. Utility will be responsible for planning, designing, and engineering its
                      Service Facilities and Service Lateral facilities using Utility's standards for design,
                      materials and construction.

               2.     SERVICE FACILITIES: Utility's Service Facilities shall consist of (a) primary or
                      secondary underground or overhead Service Lateral conductors, (b) poles to
                      support overhead service conductors, (c) service transformers, (d) metering
                      equipment, and (e) other Utility-owned service related equipment.

               3.     OWNERSHIP OF FACILITIES. Service Facilities installed under the provisions
                      of this rule shall be owned, operated, and maintained by Utility if they are (a)
                      located in the street, road or Franchise Area of Utility, (b) installed by Utility under
                      section D.2 below on Applicant's Premises for the purpose of the delivery of
                      electric energy to Applicant, or (c) installed by Applicant under the provisions of
                      this rule, and conveyed to Utility.

               4.     PRIVATE LINES. Utility shall not be required to connect Service Facilities to or
                      serve any Applicant from electric facilities that are not owned, operated, and
                      maintained by Utility.

               5.     SPECIAL OR ADDED FACILITIES. Any special or added facilities Utility installs
                      at the request of Applicant, will be installed at Applicant's expense in accordance
                      with Rule 2, Description of Service.

               6.     TEMPORARY SERVICE FACILITIES. Service Facilities installed for temporary
                      service or for operations of speculative character or questionable permanency
                      shall be made in accordance with the fundamental installation and ownership
                      provisions of this rule, except that all charges and refunds shall be made under
                      the provisions of Rule 13, Temporary Service.

               7.     STREET LIGHTS. Street light services and appurtenant facilities shall be
                      installed in accordance with the service provisions of the applicable street light
                      schedule.

                                                   (Continued)


                                                  Issued by
Advice Letter No.   1-E                        Bob Dodds                Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO            Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 239
                             Canceling Original                          CPUC Sheet No. 239



                                                  Rule No. 16

                                           SERVICE EXTENSIONS
                                                (Continued)
       A.      GENERAL (Continued)

               8.     CONTRACTS. Each Applicant requesting service may be required to execute a
                      written contract(s) prior to Utility performing its work to establish service. Such
                      contract(s) shall be in the form on file with the California Public Utilities
                      Commission (Commission).

               9.     DISTRIBUTION LINE EXTENSIONS. Whenever Utility's distribution system is
                      not complete to the point designated by Utility where the Service Lateral is to be
                      connected to Utility's distribution system, the extension of Distribution Line
                      facilities will be installed in accordance with Rule 15, Distribution Line
                      Extensions.

               10.    RIGHTS-OF-WAY. Rights-of-way or easements maybe required by Utility to
                      install Service Facilities on Applicant's property to serve only Applicant.

                      a.     SERVICE FACILITIES. If the Service Facilities must cross property
                             owned by a third party to serve Applicant, Utility may, at its option, install
                             such Service Facilities after appropriate rights-of-way or easements,
                             satisfactory to Utility, are obtained without cost to Utility; or

                      b.     LINE EXTENSIONS. If Utility's facilities installed on Applicant's property,
                             or third-party property, will be or are designed to serve adjacent property,
                             then Utility may, at its option, install its facilities under Rule 15, after
                             appropriate rights-of-way or easements, satisfactory to Utility, are
                             obtained without cost to Utility.

                      c.     CLEARANCES. Any necessary rights-of-way or easements for Utility's
                             facilities shall have provisions to maintain legal clearances from adjacent
                             structures.

               11.    ACCESS TO APPLICANT'S PREMISES. Utility shall at all times have the right
                      to enter and leave Applicant's Premises for any purpose connected with the
                      furnishing of electric service (meter reading, inspection, testing, routine repairs,
                      replacement, maintenance, emergency work, etc.) and the exercise of any and
                      all rights secured to it by law, or under Utility's tariff schedules. These rights
                      include, but are not limited to,

                      a.     The use of a utility-approved locking device, if Applicant desires to
                             prevent unauthorized access to Utility's facilities;
                                                  (Continued)

                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 240
                             Canceling Original                         CPUC Sheet No. 240


                                                 Rule No. 16

                                             SERVICE EXTENSIONS
                                                (Continued)
       A.      GENERAL (Continued)

               11.    ACCESS TO APPLICANT'S PREMISES.

                      b.     Safe and ready access for Utility personnel free from unrestrained
                             animals,

                      c.     Unobstructed ready access for Utility's vehicles and equipment to install,
                             remove, repair, or maintain its facilities, and

                      d.     Removal of any and all of its property installed on Applicant's Premises
                             after the termination of service.

               12.    SERVICE CONNECTIONS. Only personnel duly authorized by Utility are allowed
                      to connect or disconnect service conductors to or from Utility's Distribution Lines,
                      remove meters, remove Utility-owned service facilities, or perform any work upon
                      Utility-owned existing facilities.

       B.      METERING FACILITIES.

               1.     GENERAL

                      a.     METER ALL USAGE. Utility will meter delivery of all electric power and
                             energy, unless otherwise provided for by Utility's tariff schedules or by
                             other applicable laws.

                      b.     METER LOCATION. All utility meters and associated metering
                             equipment shall be located at some protected location on Applicant's
                             Premises as approved by Utility.

               2.     NUMBER OF METERS. Utility normally will install only one meter for a single-family
                      residence or a single non-residential enterprise on a single Premises except:

                      a.     When otherwise required or allowed under Utility's tariff schedules:

                      b.     At the option of and as determined by Utility, for its operating
                             convenience, consistent with its engineering design; or

                      c.     When required by law or local ordinance.

                      d.     When additional services are granted by Utility.
                                               (Continued)

                                                Issued by
Advice Letter No.    1-E                      Bob Dodds               Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                  Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 241
                             Canceling Original                          CPUC Sheet No. 241


                                                  Rule No. 16

                                             SERVICE EXTENSIONS
                                                (Continued)

       B.      METERING FACILITIES. (Continued)

               2.    NUMBER OF METERS (Continued)

       A single meter is required for each single enterprise operating in one building or group of
       buildings or other development on a single Premises such as, but not limited to, a commercial
       business, school campus, industrial manufacturer or recreational vehicle park, unless otherwise
       approved by Utility. See Rule 2 for more information.

               3.    MULTIPLE OCCUPANCY. In a building with two or more tenants, or where
                     Utility furnishes more than one meter on the same Premises, Utility's meters
                     normally shall be grouped at one central location, or as otherwise specified by
                     Utility, and each meter position or socket shall be clearly and permanently
                     marked by Applicant, customer, or owner of the Premises to indicate the
                     particular unit, occupancy, or load supplied by it.

                     a.      RESIDENTIAL. Utility will individually meter electric service to every
                             residential unit in a residential building or group of buildings or other
                             development with multiple tenants such as, but not limited to, apartment
                             buildings, mobile home parks, etc., except as may be specified in Rule 2
                             and applicable rate schedules.

                     b.      NON-RESIDENTIAL. Utility will individually meter electric service to each
                             tenant in a non-residential building or group of buildings or other
                             development on a single Premises with multiple tenants or enterprises
                             (such as, but not limited to, an office building or shopping center
                             complex). Alternative metering arrangements as determined by Utility
                             may be allowed only as specified in Rule 2 and applicable rate schedules.

       C.      SERVICE LATERAL FACILITIES

               1.    GENERAL LOCATION. The location of the Service Lateral facilities shall
                     extend:

                     a.      FRANCHISE AREA. From the point of connection at the Distribution Line
                             to Applicant's nearest property line abutting upon any street, highway,
                             road, or right-of-way, along which it already has, or will install distribution
                             facilities, and

                                                 (Continued)


                                                Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 242
                             Canceling Original                       CPUC Sheet No. 242


                                                Rule No. 16

                                          SERVICE EXTENSIONS
                                               (Continued)

       C.      SERVICE LATERAL FACILITIES (Continued)

               1.    GENERAL LOCATION (Continued)

                     b.     PRIVATE PROPERTY. A further extension on private property, along the
                            shortest, most practical and available route (clear of obstructions) as
                            necessary to reach a Service Delivery Point designated by Utility.

               2.    NUMBER OF SERVICE LATERALS. Utility will not normally provide more than
                     one Service Lateral, including associated facilities, either overhead or
                     underground for any one building or group of buildings, for a single enterprise on
                     a single Premises, except:

                     a.     TARIFF SCHEDULES. Where otherwise allowed or required under
                            Utility's tariff schedules; or

                     b.     UTILITY CONVENIENCE. At the option of and as determined by Utility,
                            for its operating convenience, consistent with its engineering design for
                            different voltage and phase classification, or when replacing an existing
                            service; or

                     c.     ORDINANCE. Where required by ordinance or other applicable law, for
                            such things as fire pumps, fire alarm systems, etc.

                     d.     OTHER. Utility may charge for additional services provided under this
                            paragraph, as special or added facilities.

               3.    UNDERGROUND INSTALLATIONS. Underground services will be installed:

                     a.     UNDERGROUND REQUIRED. Underground services (1) shall be
                            installed where required to comply with applicable tariff schedules, laws,
                            ordinances, or similar requirements of governmental authorities having
                            jurisdiction, and (2) may be necessary as determined by Utility where
                            Applicant's load requires a separate transformer installation of 75 KVa or
                            greater.

                     b.     UNDERGROUND OPTIONAL. An underground service may be installed
                            in an area where it is not otherwise required and when requested by
                            Applicant and agreed upon by Utility.

                                                (Continued)

                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 243
                             Canceling Original                          CPUC Sheet No. 243



                                                  Rule No. 16

                                             SERVICE EXTENSIONS
                                                 (Continued)

       C.      SERVICE LATERAL FACILITIES (Continued)

               4.    OVERHEAD INSTALLATIONS. Overhead services are permitted except under
                     the circumstances specified in section C.3.a above.

               5.    UNUSUAL SITE CONDITIONS. In cases where Applicant's building is located a
                     considerable distance from the available Distribution Line or where there is an
                     obstruction or other deterrent obstacle or hazard such a plowed land, ditches, or
                     inaccessible security areas between Utility's Distribution Line and Applicant's
                     building or facility to be served that would prevent Utility from prudently installing,
                     owning, and maintaining its Service Facilities, Utility may at its discretion, waive
                     the normal Service Delivery Point location. In such cases, the Service Delivery
                     Point will be at such other location on Applicant's property as may be mutually
                     agreed upon; or, alternatively, the Service Delivery Point may be located at or
                     near Applicant's property line as close as practical to the available Distribution
                     Line.

       D.      RESPONSIBILITIES FOR NEW SERVICE FACILITIES

               1.    APPLICANT RESPONSIBILITY. In accordance with Utility's design,
                     specifications, and requirements for the installation of Service Facilities, subject
                     to Utility's inspection and approval, Applicant is responsible for:

                     a.     SERVICE LATERAL FACILITIES.

                            (1)     CLEAR ROUTE. Providing (or paying for) a route on any private
                                    property that is clear of obstructions which would inhibit the
                                    construction of either underground or overhead Service Facilities.

                            (2)     EXCAVATION. All necessary trenching, backfilling, and other
                                    digging as required including permit fees.

                            (3)     CONDUIT AND SUBSTRUCTURES

                                    (a)     Furnishing, installing, owning, and maintaining all Conduits
                                            (including pull wires) and Substructures on Applicant's
                                            Premises.


                                                  (Continued)

                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 244
                             Canceling Original                          CPUC Sheet No. 244


                                              Rule No. 16
                                          SERVICE EXTENSIONS
                                               (Continued)

       D.      RESPONSIBILITIES FOR NEW SERVICE FACILITIES (Continued)

               1.    APPLICANT RESPONSIBILITY. (Continued)

                     a.     SERVICE LATERAL FACILITIES. (Continued)

                            (3)     CONDUIT AND SUBSTRUCTURES
                                    (b) Installing (or paying for) any Conduits and Substructures in
                                        Utility's Franchise Area (or rights-of-way, if applicable) as
                                        necessary to install Applicant's Service Lateral.

                                    (c)     Conveying ownership to Utility upon its acceptance of
                                            those Conduits and Substructures not on Applicant's
                                            Premises.

                            (4)     PROTECTIVE STRUCTURES. Furnishing, installing, owning, and
                                    maintaining all necessary Protective Structures as specified by
                                    Utility for Utility's facilities on Applicant Premises.

                     b.     APPLICANT'S FACILITY DESIGN AND OPERATION. Applicant shall
                            be solely responsible to plan, design, install, own, maintain, and operate
                            facilities and equipment beyond the Service Delivery Point (except for
                            Utility's metering facilities) in order to properly receive and utilize the type
                            of electric service available from Utility. Refer to Rule 2 for a description,
                            among other things, of:

                            (1)     Available service delivery voltages and the technical requirements
                                    and conditions to qualify for them,
                            (2)     Customer utilization voltages,
                            (3)     Load Balancing requirements,
                            (4)     Requirements for installing electrical protective devices,
                            (5)     Loads that may cause service interference to others, and
                            (6)     Motor starting limitations.

                     c.     REQUIRED SERVICE EQUIPMENT. Applicant shall, at its sole liability,
                            risk, and expense, be responsible to furnish, install, own, maintain,
                            inspect, and keep in good and safe condition, all facilities of any kind or
                            character on Applicant's Premises that are not the responsibility of Utility
                            but are required by Utility for Applicant to receive

                                                 (Continued)


                                                Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                  Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 245
                             Canceling Original                        CPUC Sheet No. 245


                                               Rule No. 16
                                            SERVICE EXTENSIONS
                                               (Continued)

       D.      RESPONSIBILITIES FOR NEW SERVICE FACILITIES (Continued)

               1.    APPLICANT RESPONSIBILITY. (Continued)

                     c.     REQUIRED SERVICE EQUIPMENT. (Continued)
                            service. Such facilities shall include but are not limited to the overhead or
                            underground Service Lateral termination equipment, Conduits, service
                            entrance conductors from the Service Delivery Point to the location of
                            Utility's metering facilities, connectors, meter sockets, meter and
                            instrument transformer housing, service switches, circuit breakers, fuses,
                            relays, wireways, metered conductors, machinery and apparatus of any
                            kind or character. Detailed information on Utility's service equipment
                            requirements will be furnished by Utility.

                     d.     COORDINATION OF ELECTRICAL PROTECTIVE DEVICES. When, as
                            determined by Utility, Applicant's load is of sufficient size as to require
                            coordination of response time characteristics between Applicant's
                            electrical protective devices (circuit breakers, fuses, relays, etc.) and
                            those of Utility, it shall be Applicant's responsibility to provide such
                            coordination in accordance with Rule 2.

                     e.     LIABILITY. Utility shall incur no liability whatsoever, for any damage,
                            loss or injury occasioned by:

                            (1)    Applicant-owned equipment or Applicant's transmission and
                                   delivery of energy or,

                            (2)    The negligence, omission of proper protective devices, want of
                                   proper care, or wrongful act of Applicant, or any agents,
                                   employees, or licensees of Applicant, on the part of Applicant in
                                   installing, maintaining, using, operating, or interfering with any
                                   such conductors, lines, machinery, or apparatus.

                     f.     FACILITY TAMPERING. Applicant shall provide a suitable means
                            acceptable to Utility for placing its seals on meter rings and covers of
                            service enclosures and instrument transformer enclosures which protect
                            unmetered energized conductors installed by Applicant. All Utility-owned
                            meters and enclosure covers will be sealed only by Utility's authorized
                            employees and such seals shall be broken only by
                                                      (Continued)



                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 246
                             Canceling Original                       CPUC Sheet No. 246


                                             Rule No. 16
                                         SERVICE EXTENSIONS
                                              (Continued)

       D.      RESPONSIBILITIES FOR NEW SERVICE FACILITIES (Continued)

               1.    APPLICANT RESPONSIBILITY. (Continued)

                     f.     FACILITY TAMPERING. (Continued)

                            Utility's authorized employees. However, in an emergency, Utility may
                            allow a public authority or other appropriate party to break the seal. Any
                            unauthorized tampering with utility-owned seals or connection of
                            Applicant-owned facilities to unmetered conductors at any time is
                            prohibited and is subject to the provisions of Rule 11 for unauthorized
                            use.

                     g.     TRANSFORMER INSTALLATIONS ON APPLICANT'S PREMISES.
                            Transformer installations on Applicant's Premises shall be as specified by
                            Utility and in accordance with the following applicable provisions:

                            (1)    SPACE FOR TRANSFORMERS. Applicant shall provide space
                                   on Applicant's Premises at a location approved by Utility for a
                                   standard transformer installation including any necessary
                                   switches, capacitors, and electric protective equipment where
                                   required if (a) in an overhead area, Utility determines that the load
                                   to be served is such that a separate transformer installation, or (b)
                                   if Utility determines that the installation of a padmounted or
                                   subsurface transformer of any size is required on Applicant's
                                   Premises to serve only Applicant.

                            (2)    PADMOUNTED EQUIPMENT. In Utility's standard installation,
                                   Applicant shall furnish, install, own, and maintain, at its expense,
                                   Substructures and any required Protective Structures as specified
                                   by Utility for the proper installation of the transformer, switches,
                                   capacitors, etc. as determined by Utility.

                            (3)    SINGLE UTILITY-OWNED CUSTOMER SUBSTATION. When
                                   Utility elects for its operating convenience to supply Applicant from
                                   a transmission line and install a Utility-owned substation on
                                   Applicant's Premises, Applicant shall furnish, install, own and
                                   maintain at its expense the necessary site improvements as
                                   specified by Utility for the proper installation of the transformer.
                                   Such improvements shall include but

                                                (Continued)

                                               Issued by
Advice Letter No.   1-E                      Bob Dodds             Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017               President and CEO          Effective    January 1, 2011
                                                 Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 247
                             Canceling Original                         CPUC Sheet No. 247


                                             Rule No. 16
                                         SERVICE EXTENSIONS
                                               (Continued)

       D.      RESPONSIBILITIES FOR NEW SERVICE FACILITIES (Continued)

               1.    APPLICANT RESPONSIBILITY. (Continued)

                     g.     TRANSFORMER INSTALLATIONS ON APPLICANT'S
                            PREMISES.(Continued)

                            (3)     SINGLE UTILITY-OWNED CUSTOMER SUBSTATION.(Continued)
                            are not limited to a concrete pad or foundation, grounding system, fences
                            and gates, access road, grading, and paving as required, etc. Detailed
                            information on Utility's requirements for a single customer substation will
                            be furnished by Utility.

                            (4)    TRANSFORMER ROOM OR VAULT. Where Applicant request
                                   and Utility approves the installation of the transformer(s) in a vault
                                   or room on Applicant's Premises, rather than Utility's standard
                                   padmounted installation,

                                   (a)     The room or vault on Applicant's Premises shall be
                                           furnished, installed, owned, and maintained by Applicant
                                           and shall meet Utility's specifications for such things as
                                           access, ventilation, drainage, grounding system, etc.

                                   (b)     If space cannot be provided on Applicant's Premises for
                                           the installation of a transformer on either a pad or in a
                                           room or vault, a vault will be installed at Applicant's
                                           expense in the street near the property line. It shall be
                                           Applicant's responsibility to install (or pay for) such vault if
                                           not restricted by governmental authority having jurisdiction
                                           and Applicant shall convey ownership of the vault to Utility
                                           upon its acceptance. The additional facilities shall be
                                           treated as special or added facilities under the provisions
                                           of Rule 2.

                                   (c)     If Utility's installed cost for the transformer in the room or
                                           vault is more costly than the standard padmounted
                                           transformer installation, the additional costs shall be paid
                                           by Applicant as special or added facilities.

                                                (Continued)



                                               Issued by
Advice Letter No.   1-E                     Bob Dodds                Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                 Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 248
                             Canceling Original                        CPUC Sheet No. 248


                                             Rule No. 16
                                         SERVICE EXTENSIONS
                                              (Continued)

       D.      RESPONSIBILITIES FOR NEW SERVICE FACILITIES (Continued)

               1.    APPLICANT RESPONSIBILITY. (Continued)

                     g.     TRANSFORMER INSTALLATIONS ON APPLICANT'S
                            PREMISES.(Continued)

                            (5)    TRANSFORMER LIFTING REQUIREMENTS. Where Utility has
                                   installed or agrees to install, transformers at locations where Utility
                                   cannot use its standard transformer lifting equipment and special
                                   lifting facilities are required to install or remove the transformers
                                   on Applicant's Premises, Applicant shall, at his/her expense, (a)
                                   furnish, install, own, and maintain permanent lifting facilities and
                                   be responsible for lifting the transformer to and from its permanent
                                   position, or (b) provide (or pay for) portable lifting facilities
                                   acceptable to Utility for installing or removing the transformers.
                                   Rights-of-way and space provisions shall be provided by Applicant
                                   such that access and required clearances from adjacent
                                   structures can be maintained. Utility may require a separate
                                   contract for transformer lifting requirements.

                            (6)    OVERHEAD TRANSFORMERS. In remote areas or in areas not
                                   zoned for residential or commercial use or for underground
                                   services, padmounted transformers are preferred for installation
                                   on Applicant's Premises however, where Utility determines that it
                                   is not practical to install a transformer on a pad, in a room or vault,
                                   Utility may furnish a pole-type structure at its expense for an
                                   installation not exceeding 500 kVA.

                     h.     BUILDING CODE REQUIREMENTS. Any service equipment and other
                            related equipment owned by Applicant, as well as any vault, room,
                            enclosure, or lifting facilities for the installation of transformers shall
                            conform with applicable laws, codes, and ordinances of all governmental
                            authorities having jurisdiction.

                     i.     REASONABLE CARE. Applicant shall exercise reasonable care to
                            prevent Utility's Service Lateral, meters, and other facilities owned by
                            Utility on the Applicant's Premises from being damaged or destroyed, and
                            shall refrain from

                                                     (Continued)


                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017               President and CEO           Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 249
                             Canceling Original                            CPUC Sheet No. 249


                                               Rule No. 16
                                           SERVICE EXTENSIONS
                                                (Continued)

       D.      RESPONSIBILITIES FOR NEW SERVICE FACILITIES (Continued)

               1.    APPLICANT RESPONSIBILITY. (Continued)

                     i.     REASONABLE CARE. (Continued)
                            interfering with Utility's operation of the facilities and shall notify Utility of
                            any obvious defect. Applicant may be required to provide and install
                            suitable mechanical protection (barrier posts, etc.) as required by Utility.

               2.    UTILITY RESPONSIBILITY

                     a.     SERVICE, METER, AND TRANSFORMER. Utility will furnish, install,
                            own, and maintain the following Service Facilities as applicable after
                            Applicant meets all requirements to receive service:

                            (1)     UNDERGROUND SERVICE. A set of Service Lateral conductors
                                    to supply permanent service from the Distribution Line source to
                                    the Service Delivery Point approved by Utility.

                            (2)     RISER MATERIALS. Any necessary pole riser material for
                                    connecting underground services to an overhead Distribution Line.

                            (3)     OVERHEAD SERVICE. A set of overhead Service Lateral
                                    conductors and support poles to supply permanent service from a
                                    Distribution Line source to a suitable support at the Service
                                    Delivery Point approved by Utility. Such support shall be of a type
                                    and located such that service wires may be stalled in accordance
                                    with good engineering practice and in compliance with all
                                    applicable laws, ordinances, rules, and regulations including those
                                    governing clearances and points of attachment.

                            (4)     METERING. The necessary instrument transformers where
                                    required, test facilities, meters, associated


                                                       (Continued)




                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds                 Date Filed      November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO             Effective     January 1, 2011
                                                   Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 250
                             Canceling Original                         CPUC Sheet No. 250


                                              Rule No. 16
                                          SERVICE EXTENSIONS
                                               (Continued)

       D.      RESPONSIBILITIES FOR NEW SERVICE FACILITIES (Continued)

                     2.     UTILITY RESPONSIBILITY (Continued)

                            (4)    METERING. (Continued)
                                   metering equipment and the metering enclosures when Utility
                                   elects to locate metering equipment at a point that is not
                                   accessible to Applicant.

                            (5)    TRANSFORMER. The transformer where required, including any
                                   necessary switches, capacitors, electrical protective equipment,
                                   etc. When either a pad-mounted or overhead transformer is
                                   installed on Applicant's Premises, the Service Lateral shall include
                                   the primary conductors from the connection point at the
                                   distribution supply line to the transformer and the secondary
                                   conductors, if any, from the transformer to the Service Delivery
                                   Point.

                     b.     SPECIAL CONDUIT INSTALLATIONS. Utility shall own and maintain
                            Service Lateral Conduits only if: (1) they are located in the same trench
                            with distribution facilities, and (2) when it is necessary to locate Conduits
                            on property other than that owned by Applicant, as determined by Utility,
                            or as may be required by local authorities.

                     c.     CABLE-IN-CONDUIT. In those cases where Utility elects to install its
                            Service Lateral conductors using pre-assembled cable-in-conduit (CIC),
                            the conduit portion will be considered a part of the conductor installation
                            provided by Utility.

                     d.     GOVERNMENT INSPECTION. Utility will establish electric service to
                            Applicant following notice from the governmental authority having
                            jurisdiction that the Applicant-owned facilities have been installed and
                            inspected in accordance with any applicable laws, codes, ordinances,
                            rules, or regulations, and are safe to energize.

                                                     (Continued)




                                               Issued by
Advice Letter No.   1-E                      Bob Dodds               Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                 Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 251
                             Canceling Original                          CPUC Sheet No. 251


                                               Rule No. 16
                                           SERVICE EXTENSIONS

                                         (Continued)
       D.      RESPONSIBILITIES FOR NEW SERVICE FACILITIES (Continued)

               3.    INSTALLATION OPTIONS.

                     (a)    UTILITY-PERFORMED WORK. Where requested by Applicant and
                            mutually agreed upon, Utility may perform that portion of the new service
                            extension work normally the responsibility of Applicant according to
                            Section D.1 above provided Applicant pays Utility its estimated installed
                            cost.

                     (b)    APPLICANT-PERFORMED WORK. Applicant may elect to use
                            competitive bidding to install that portion of the new Service Facilities
                            normally installed and owned by Utility in accordance with the same
                            provisions outlined in Rule 15.

       E.      ALLOWANCES AND PAYMENTS BY APPLICANT

               1.    ALLOWANCES. Utility will provide the Service Lateral extension without charge
                     provided the length of the Service Lateral extension does not exceed an
                     allowance of up to 100 feet as measured from the point of connection to the
                     Distribution Line.

               2.    SEASONAL, INTERMITTENT, AND INSIGNIFICANT LOADS. When Applicant
                     requests service for loads that are expected to have low or minimal energy
                     usage, such as loads that are seasonal, intermittent, insignificant, or used only
                     for emergency purposes, the allowances stated above shall not apply. Further,
                     Applicant shall pay Utility its total estimated costs for their service, including the
                     transformer, if any.

               3.    PAYMENTS. Applicant is responsible to pay Utility the following non-refundable
                     costs as applicable under this rule and in advance of Utility commencing its work:

                     (a)    POLE RISER. Utility's estimated installed costs of any riser materials on
                            its poles.

                     (b)    EXCESS SERVICE. Utility's total estimated installed cost (including
                            appurtenant facilities, such as connectors and the conduit portion of CIC
                            cable) for the excess service length beyond the allowance.

                     (c)    TAX. Any payments or contribution of facilities by Applicant are taxable
                            Contributions in Aid of Construction
                                                    (Continued)


                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 252
                             Canceling Original                         CPUC Sheet No. 252


                                              Rule No. 16
                                          SERVICE EXTENSIONS
                                               (Continued)

       E.      ALLOWANCES AND PAYMENTS BY APPLICANT (Continued)

               3.    PAYMENTS (Continued)

                     (c)    TAX. (Continued)
                            (CIAC) and shall include an Income Tax Component of Contribution
                            (ITCC) for state and federal tax at the rate provided in Utility's Preliminary
                            Statement.

                     (d)    OTHER. Utility's total estimated installed cost for any work it performs
                            that is Applicant's responsibility or performs for the convenience of
                            Applicant.

       F.      EXISTING SERVICE FACILITIES

               1.    SERVICE REINFORCEMENT

                     (a)    UTILITY-OWNED. When Utility determines that its existing Service
                            Facilities require replacement, the existing Service Facilities shall be
                            replaced as new Service Facilities under Section D above.

                     (b)    APPLICANT-OWNED. When Utility determines that existing Applicant-
                            owned service facilities (installed under a prior rule) require replacement,
                            such replacement or reinforcement shall be accomplished under the
                            provisions for a new service installation, except that if Utility determines
                            that any portion of Applicant's existing service conductors can be utilized
                            by Utility, Applicant will convey any such usable part to Utility and an
                            appropriate credit by Utility may be allowed to Applicant.

                            Applicant will replace that portion of the service lateral which Applicant
                            will continue to own subject to the provisions of Section D above.

               2.    SERVICE RELOCATION OR REARRANGEMENT

                     a.     UTILITY CONVENIENCE. When, in the judgement of Utility, the
                            relocation or rearrangement of a service, including Utility-owned
                            transformers, is necessary for the maintenance of adequate service or for
                            the operating convenience of Utility, Utility normally will perform such
                            work at its own expense, except as provided Sections F.2.b. and F.5.
                            below.
                                                   (Continued)


                                               Issued by
Advice Letter No.   1-E                      Bob Dodds               Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                 Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 253
                             Canceling Original                          CPUC Sheet No. 253


                                              Rule No. 16
                                          SERVICE EXTENSIONS
                                               (Continued)

       F.      EXISTING SERVICE FACILITIES (Continued)

               2.    SERVICE RELOCATION OR REARRANGEMENT (Continued)

                     b.     APPLICANT CONVENIENCE. Any relocation or rearrangement of
                            Utility's existing Service Facilities at the request of Applicant (aesthetics,
                            building additions, remodeling, etc.) and agreed upon by Utility shall be
                            performed in accordance with Section D above except that Applicant shall
                            pay Utility its total estimated costs.

                            In all instances, Utility shall remove or abandon its existing facilities
                            rendered idle by the relocation or rearrangement.

               3.    IMPAIRED ACCESS AND CLEARANCES. Whenever Utility determines that:

                     (a)    ACCESS. Its existing Service Lateral facilities have become inaccessible
                            for inspecting, operating, maintenance, meter reading, or testing, or

                     (b)    CLEARANCES. A hazardous condition exists or any of the required
                            clearances between the existing Service Facilities and any object
                            becomes impaired under any applicable laws, ordinances, rules, or
                            regulations of Utility or public authorities, then

                     (c)    CORRECTIVE ACTION. Applicant or owner shall, at Applicant's or
                            owner's expense, either correct the access or clearance infractions or pay
                            Utility its total estimated cost to relocate its facilities to a new location
                            which is acceptable to Utility. Applicant or owner shall also be
                            responsible for the expense to relocate any equipment which Applicant
                            owns and maintains. Failure to comply with corrective measures within a
                            reasonable time may result in discontinuance of service.

               4.    OVERHEAD TO UNDERGROUND SERVICE CONVERSIONS

                     (a)    RULE 20. Where an existing overhead Distribution Line is replaced by an
                            underground distribution system in accordance with Rule 20,
                            Replacement of Overhead with Underground Electric Facilities, new
                            underground services will be installed under Rule 16, Service Extensions.

                                                      (Continued)




                                                Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO            Effective    January 1, 2011
                                                  Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 254
                             Canceling Original                            CPUC Sheet No. 254


                                                  Rule No. 16
                                               SERVICE EXTENSIONS
                                                  (Continued)

       F.      EXISTING SERVICE FACILITIES (Continued)


               4.     OVERHEAD TO UNDERGROUND SERVICE CONVERSIONS (Continued)

                      (b)     APPLICANT'S CONVENIENCE. Where overhead services are replaced
                              by underground services for Applicant's convenience, Applicant shall
                              perform on the private property of Applicant all Excavation, furnish and
                              install all Substructures, and pay Utility its total estimated installed cost to
                              complete the new service and remove the overhead facilities.

               5.     DAMAGED FACILITIES. When Utility's facilities are damaged by Applicant,
                      customer, third party, or any of their agents, the repair will be made by Utility at
                      the expense of the party responsible for the damage. Applicants are responsible
                      for repairing their own facilities.

               6.     SUBDIVISION OF PREMISES. When Utility's Service Facilities are located on
                      private property and such private property is subsequently subdivided into
                      separate Premises with ownership divested to other than Applicant or customer,
                      the subdivider is required to provide Utility with adequate rights-of-way
                      satisfactory to Utility for its existing facilities and to notify property owners of the
                      subdivided Premises of the existence of the rights-of-way.

                      When adequate rights-of-way are not granted as a result of the property
                      subdivision, Utility shall have the right, upon written notice to Applicant, to
                      discontinue service without obligation or liability. The existing owner, Applicant,
                      or customer shall pay to Utility the total estimated cost of any required relocation
                      or removal of Utility's facilities. A new electric service will be re-established in
                      accordance with the provisions of Section D above for new service and the
                      provisions of any other applicable Utility rules.

       G.      EXCEPTIONAL CASES

               When the application of this rule appears impractical or unjust to either party, or
               ratepayers, Utility or Applicant may refer the matter to the Commission for a special
               ruling or for approval of special conditions which may be mutually agreed upon.

                                                        (Continued)




                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed      November 23, 2010
                                                    Name
Decision No.    10-10-017                  President and CEO            Effective     January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 255
                             Canceling Original                             CPUC Sheet No. 255


                                                   Rule No. 16
                                                SERVICE EXTENSIONS
                                                   (Continued)

       H.      DEFINITIONS FOR RULE 16

               Applicant: A person or agency requesting Utility to supply electric service.

               Conduit: Ducts, pipes, or tubes of certain metals, plastics or other materials acceptable
               to Utility for the installation and protection of electric wires and cables.

               Distribution Lines: Utility's overhead and underground line which is operated at
               distribution voltages as set forth in Utility's Rule 2 and which is designed to supply two or
               more services.

               Excavation: All necessary trenching, backfilling, and other digging as required to install
               service facilities including furnishing of any imported backfill material, concrete
               encasement to protect conduit, and disposal of trench soil, as required by Utility, surface
               repair and replacement, landscape repair and replacement.

               Franchise Area: Public streets, roads, highways, and other public ways and places
               where Utility has a legal right to occupy under franchise agreements with governmental
               bodies having jurisdiction.

               Insignificant Loads: Small operating loads, such as but not limited to gate openers,
               valve controls, clocks, timing devices, transmitter services, alarm devices, etc.

               Intermittent Loads: Loads requiring significant capacity but have low energy usage
               such as but limited to welders, x-ray machines, fire protection equipment, etc.

               Premises: All of the real property and apparatus employed in a single enterprise on an
               integral parcel of land undivided, excepting in the case of industrial, agricultural, oil field,
               resort enterprises, and public or quasi-public institutions, by a dedicated street, highway
               or public thoroughfare or a railway. Automobile parking lots constituting a part of and
               adjacent to a single enterprise may be separated by an alley from the remainder of the
               Premises served.

               Protective Structures: Fences, retaining walls, sound barriers, posts, barricades and
               other structures as required by Utility.

               Service Delivery Point: Where Utility's Service Lateral is connected to either
               Applicant's conductors or other service termination facility designated and approved by
               Utility.
                                                     (Continued)



                                                   Issued by
Advice Letter No.    1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                     Name
Decision No.     10-10-017                  President and CEO            Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 256
                             Canceling Original                             CPUC Sheet No. 256


                                                   Rule No. 16
                                                SERVICE EXTENSIONS
                                                   (Continued)

       H.      DEFINITIONS FOR RULE 16 (Continued)

               Service Lateral: The overhead and underground primary or secondary facilities
               extending from the point of connection at the Distribution Line to the Service Delivery
               Point. When an underground Service Lateral is supplied from a Utility-designated
               overhead pole, the beginning point of connection to Utility's Distribution Line shall be
               where the Service Lateral is connected to Utility's overhead Distribution Line conductors.

               Substructures: The surface and subsurface structures which are necessary to contain
               or support Utility's electric facilities. This includes but is not limited to splice boxes, pull
               boxes, equipment vaults and enclosures, foundations or pads for surface-mounted
               equipment.




                                                   Issued by
Advice Letter No.    1-E                         Bob Dodds               Date Filed     November 23, 2010
                                                     Name
Decision No.     10-10-017                  President and CEO            Effective    January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 257
                             Canceling Original                         CPUC Sheet No. 257


                                                  Rule No. 17

                                        MEASUREMENT OF SERVICE

       A.      Measurement of Electric Energy

               1.     All electric energy as supplied by the California Pacific Electric Company, LLC
                      to its Customers shall be measured by means of suitable standard electric meters,
                      except energy delivered under street lighting tariffs on a rate-per-lamp basis, and
                      energy, estimated from load and operating time data, for highway sign lighting, traffic
                      control and other installations where metering is impractical.

               2.     For billing purposes, all meters upon the Customer’s premises will be considered
                      separately, and the readings thereof will not be combined, except that where the
                      Utility shall, for operating convenience, install upon the Customer’s premises, in
                      place of one meter, two or more meters, then the readings of such two or more
                      meters may be combined for billing purposes.

       B.      Standard of Accuracy.

               The average error of a meter is one-half the algebraic sum of the error at light load (1%
               to 10% of rated capacity) and the error at heavy load (60% to 100% of rated capacity).
               No meter will be installed which has an error of more than 2% fast or slow at light or at
               heavy load. Whenever on any test, a meter is found to exceed these limits it will be
               adjusted or replaced.




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds             Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                        CPUC Sheet No. 258                      (T)
                             Canceling 1st Revised                        CPUC Sheet No. 258                      (T)


                                                   Rule No. 18

                    METER TESTS AND ADJUSTMENTS OF BILLS FOR METER ERROR

       A.      Tests

               1.      Prior to Installation – Every meter will be tested at or prior to the time of
                       installation, and no meter will be placed in service if found to register more than
                       1% fast or 1% slow.

               2.      On Customer Request – A Customer may, on notice of not less than one week,
                       require the Utility to test the meter for his service.

                       No charge will be made for such a test, but, should a Customer demand a test within
                       six months after installation or more often than once in six months, he will be
                       required to deposit $5.00 to pay, in part, the cost of the test. This deposit will be
                       returned if the meter is found to register more than 2% fast or 2% slow.

                       A Customer shall have the right to require the Utility to conduct the test in his
                       presence or in the presence of an expert or other representative appointed by him.
                       The results of the test will be furnished to the Customer within a reasonable time
                       after completion of the test.

       B.      Adjustment of Bills for Meter Error

               Where, as a result of a meter test, a meter is found to be nonregistering or incorrectly
               registering, the Utility may render an adjusted bill to the Customer for the amount of the
               undercharge, and shall issue a refund or credit to the Customer for the amount of the
               overcharge in accordance with the following:                                                         (C)

               1.      Fast Meter – If a meter is found to be registering more than 2% fast, the Utility will
                       refund to the Customer the amount of the overcharge based on the corrected meter
                       readings or the Utility’s estimate of the energy usage either for the known period of
                       the meter error or, if the period of error is not known, for the period during which the
                       meter was in use, not to exceed three years.                                                     (C)

               2.      Slow Meter – If a meter for domestic service is found to be registering more than
                       25% slow, or meter for other class of service is found to be registering more than
                       2% slow, the Utility may bill the Customer for the amount of the undercharge
                       based on corrected meter readings or the Utility’s estimate of the energy usage
                       either for the known period of meter error or, if the period of meter error is not
                       known for the period the meter was in use, not exceeding three months in the
                       case of residential service or nonresidential service to Small Business Customer             (N)
                       and three years for all other nonresidential service.                                        (N)

                                                   (Continued)

                                                  Issued by
Advice Letter No.   3-E                         Bob Dodds              Date Filed March 1, 2011                   (T)
                                                   Name
Decision No.    10-10-032                  President and CEO           Effective    March 1, 2011                 (T)
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           2nd Revised                       CPUC Sheet No. 259                   (T)
                             Canceling 1st Revised                       CPUC Sheet No. 259                   (T)


                                                  Rule No. 18

                    METER TESTS AND ADJUSTMENTS OF BILLS FOR METER ERROR
                                          (Continued)

       B.      Adjustment of Bills for Meter Error (Continued)

                      A Customer who qualified as a Small Business Customer based upon annual                   (N)
                      usage under Rule 1 during the period of the billing error, but exceeds the annual
                      maximum usage as a result of applying the three-month back-billing to calculate
                      annual usage shall be treated as a Small Business Customer under this section
                      for any undercharges.                                                                     (N)

               3.     Nonregistering Meter – If a meter is found to be nonregistering, the Utility may bill
                      the Customer for the Utility’s estimate of the electric service used but not
                      registered, not exceeding three months in the case of residential service or              (N)
                      nonresidential service to Small Business Customer and three years for                     (N)
                      nonresidential service.

       C.      Adjustment of Bills for Unauthorized Use

                      Where the Utility determines that there has been unauthorized use of electricity
                            service, the Utility may bill the Customer for the Utility’s estimate of up to
                            three years of such unauthorized use. However, nothing in this rule shall
                            be interpreted as limiting the Utility’s rights in any provisions of any
                            applicable law.

       D.      Adjustment of Bills for Billing Error

               Where the Utility overcharges or undercharges a Customer as the result of a billing
               error, the Utility may render an adjusted bill for the amount of the undercharge, and shall
               issue a refund or credit to the Customer for the amount of the overcharge, for the same
               periods as for meter error.

       E.      General

               Estimated Usage – When regular, accurate meter readings are not available or the
               electric usage has not been accurately measured, the Utility may estimate the
               Customer’s energy usage for billing purposes on the basis of information including but
               not limited to the physical condition of the metering equipment, available meter readings,
               records of historical use, and the general characteristics of the Customer’s load and
               operation.




                                                 Issued by
Advice Letter No.   3-E                        Bob Dodds              Date Filed March 1, 2011                (T)
                                                  Name
Decision No.    10-10-032                  President and CEO          Effective    March 1, 2011              (T)
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                            CPUC Sheet No. 260
                             Canceling Original                               CPUC Sheet No. 260


                                                     RULE NO. 19

                                SUPPLY TO SEPARATE PREMISES AND RESALE

       A.      Separate Metering.

               Separate premises, even though owned by the same Customer, will not be supplied through
               the same meter, except as may be specifically provided for in the applicable rate schedule.

       B.      Other Uses or Premises.

               A Customer shall not furnish or use electricity received from the Utility upon premises, or for
               purposes, other than those specified in his application for service.

       C.      Furnishing and Metering of Electricity

               1.       RESIDENTIAL SERVICE

                        The Utility will furnish and meter electricity to each individual residential dwelling
                        unit, except:


                        a.      Where electricity is furnished under a rate schedule that specifically provides
                                for resale service; or

                        b.      Where a customer, or his predecessors in interest on the same premises,
                                was a customer on June 13, 1978, receiving electricity through a single
                                meter to an apartment house, mobile home park, or other multifamily
                                accommodation, and the cost of electricity is absorbed in the rental for the
                                individual dwelling unit, there is no separate identifiable charge by such
                                customer to the tenants for electricity, and the rent does not vary with electric
                                consumption; or

                        c.      Where a customer or his predecessors in interest on the same premises
                                was a customer on December 14, 1981, and submeters and furnishes
                                electricity to residential tenants at the same rates and charges that would be
                                applicable if the user were purchasing such electricity directly from the
                                Utility; or

                        d.      Where a mobile home park developer, owner or operator submeters and
                                furnishes electricity to residential tenants at the same rates and charges that
                                the Utility would charge for the same service if supplied by it directly; or
                                unless construction of a new mobile home park or manufactured housing
                                community commenced after January 1, 1997; or
                                                       (Continued)


                                                     Issued by
Advice Letter No.      1-E                        Bob Dodds                Date Filed      November 23, 2010
                                                      Name
Decision No.        10-10-017                 President and CEO            Effective     January 1, 2011
                                                       Title
                                                                           Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                              CPUC Sheet No. 261
                             Canceling Original                                 CPUC Sheet No. 261


                                                      Rule No. 19

                                SUPPLY TO SEPARATE PREMISES AND RESALE
                                               (Continued)

       C.      Furnishing and Metering of Electricity (Continued)

               1.       RESIDENTIAL SERVICE (Continued)

                        e.      Nothing in this section shall prevent the Utility from furnishing separately-
                                metered service to electric equipment used in common by residential
                                tenants or owners.

               2.       NONRESIDENTIAL SERVICE

                        The Utility will furnish and meter electricity to each individual nonresidential
                        premises or space, except:

                        a.      Where electricity is furnished under a rate schedule that specifically provides
                                for resale service; or

                        b.      Where a customer is receiving electricity through a single meter and the cost
                                of electricity is absorbed in the rental for the individual premises or spaces,
                                there is no separate identifiable charge by such customer to the tenants for
                                electricity, and the rent does not vary with electric consumption; or

                        c.      Where, in the sole opinion of the Utility, it is impractical for the Utility to meter
                                individually each premises or space. In such a case, the Utility will meter
                                those premises or spaces that it is practical to meter, if any.

                        d.      Where the Commission has authorized the Utility to supply electric service
                                through a single meter and to furnish service to nonresidential tenants on the
                                same basis as in 1.c. above.

                        e.      Where customer was furnishing electricity on a submetered basis to tenants
                                for nonresidential purposes on May 15, 1962, at the same rates and charges
                                that the Utility would charge for the service if supplied by it directly and
                                where such customer desires to continue to receive such nonresidential
                                service. Unless otherwise ordered by the Commission in an appropriate
                                proceeding or requested by the customer, such nonresidential service on a
                                submetered basis, together with additions, rearrangements and changes to
                                the service, is permitted so long as the customer’s premises, as defined by
                                Decision No. 60938, are used by the customers or his successors in interest
                                for the same general purpose.
                                                        (Continued)


                                                     Issued by
Advice Letter No.      1-E                         Bob Dodds                Date Filed      November 23, 2010
                                                       Name
Decision No.        10-10-017                 President and CEO             Effective     January 1, 2011
                                                       Title
                                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                             CPUC Sheet No. 262
                             Canceling Original                                CPUC Sheet No. 262


                                                      Rule No. 19

                                SUPPLY TO SEPARATE PREMISES AND RESALE
                                               (Continued)

       C.      Furnishing and Metering of Electricity (Continued)

               3.       MARINAS AND SMALL CRAFT HARBORS

                        Notwithstanding any other provision of this rule, the Utility will furnish electrical
                        service to the master-meter customer at a privately or publicly owned marina or
                        small craft harbor. The master-meter customer may submeter individual slips or
                        berths at the marina or harbor but may not submeter any land-based facility or
                        tenant.

                        If the master meter customer submeters and furnishes electricity to individual slips
                        or berths, the rates and charges to the user must not exceed those that would apply
                        if the user were purchasing such electricity directly from the Utility.

       D.      Testing of Submeters

               As a condition of service for submetering, where electric energy is resold in accordance with
               Paragraph C.1., C.2., and C.3. above, Customer’s using submeters as a basis for charges for
               electricity shall submit to the Utility certification of a meter testing laboratory, satisfactory to the
               utility, as to the accuracy of the submeters upon initial installation of such submeters, or for
               existing submeters upon request of the Utility. As a further condition of service for
               submetering, the Customer shall agree that he will be governed by the Utility’s Rule No. 18,
               Meter Tests and Adjustment of Bills for Meter Error, with the exception that the word
               “subcustomer” be substituted for “Customer” and the words “Utility’s customer” be substituted
               for “Utility”. As a further condition of service for submetering, the Customer shall agree that
               the Utility may inspect and examine Customer’s billing procedures from time to time to
               determine that resale is made in accordance with this rule or as otherwise may be authorized
               by the Commission.

       E.      In the event such energy is furnished or resold otherwise than as provided for above, the
               Utility may either discontinue service to the Customer or furnish electric energy directly to the
               subcustomer.




                                                     Issued by
Advice Letter No.      1-E                         Bob Dodds                Date Filed      November 23, 2010
                                                       Name
Decision No.        10-10-017                 President and CEO             Effective     January 1, 2011
                                                       Title
                                                                            Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 263
                             Canceling Original                           CPUC Sheet No. 263


                                                   Rule No. 20

               REPLACEMENT OF OVERHEAD WITH UNDERGROUND ELECTRIC FACILITIES

       A.       The Utility will, at its expense, replace its existing overhead electric facilities with
                underground electric facilities along public streets and roads, and on public lands and
                private property across which rights-of-way satisfactory to the Utility have been obtained
                by the Utility, provided that:

                1.     The governing body of the city or county in which such electric facilities are and
                       will be located has:

                       a.      Determined, after consultation with the Utility and after holding public
                               hearings on the subject, that such undergrounding is in the general public
                               interest for one or more of the following reasons:

                               (1)    Such undergrounding will avoid or eliminate an unusually heavy
                                      concentration of overhead electric facilities.

                               (2)    The street or road or right-of-way is extensively used by the
                                      general public and carries a heavy volume of pedestrian or
                                      vehicular traffic.

                               (3)    The street or road or right-of-way adjoins or passes through a civic
                                      area or public recreation area or an area of unusual scenic
                                      interest to the general public.

                       b.      Adopted an ordinance creating an underground district in the area in
                               which both the existing and new facilities are and will be located requiring,
                               among other things, (1) that all existing overhead communication and
                               electric distribution facilities in such district shall be removed, (2) that
                               each property served from such electric overhead facilities shall have
                               installed in accordance with the Utility’s rules for underground service, all
                               electrical facility changes on the premises necessary to receive service
                               from the underground facilities of the Utility as soon as it is available, and
                               (3) authorizing the Utility to discontinue its overhead service.

                                                   (Continued)




                                                  Issued by
Advice Letter No.    1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                    Name
Decision No.     10-10-017                  President and CEO          Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 264
                             Canceling Original                          CPUC Sheet No. 264


                                                  Rule No. 20

               REPLACEMENT OF OVERHEAD WITH UNDERGROUND ELECTRIC FACILITIES
                                        (Continued)

       A.       (Continued)

                2.    The Utility’s total annual budgeted amount for undergrounding within any city or
                      the unincorporated area of any county shall be allocated as follows:

                      a.      The amount allocated to each city and county in 1990 shall be the highest
                              of:

                              (1)    The amount allocated to the city or county in 1989, which amount
                                     shall be allocated in the same ratio that the number of overhead
                                     meters in such city or unincorporated area of any county bears to
                                     the total system overhead meters.

                              (2)    The amount the city or county would receive if the Utility’s total
                                     annual budgeted amount for undergrounding provided in 1989
                                     were allocated in the same ratio that the number of overhead
                                     meters in each city or the unincorporated area of each county
                                     bears to the total system overhead meters based on the latest
                                     count of overhead meters available prior to establishing the 1990
                                     allocations.

                              (3)    The amount the city or county would receive if the Utility’s total
                                     annual budgeted amount for undergrounding provided in 1989
                                     were allocated as follows:

                                     (a)     Fifty percent of the budgeted amount allocated in the same
                                             ratio that the number of overhead meters in any city or the
                                             unincorporated area of any county bears to the total
                                             system overhead meters.

                                     (b)     Fifty percent of the budgeted amount allocated in the same
                                             ratio that the total number of meters in any city or the
                                             unincorporated area of any county bears to the total
                                             system meters.



                                                 (Continued)




                                                Issued by
Advice Letter No.    1-E                      Bob Dodds               Date Filed    November 23, 2010
                                                  Name
Decision No.     10-10-017                 President and CEO          Effective    January 1, 2011
                                                  Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 265
                             Canceling Original                         CPUC Sheet No. 265


                                                  Rule No. 20

               REPLACEMENT OF OVERHEAD WITH UNDERGROUND ELECTRIC FACILITIES
                                        (Continued)

       A.       (Continued)

                2.    (Continued)

                      b.      Except as provided in Section 2.c., the amount allocated for
                              undergrounding within any city or the unincorporated area of any county
                              in 1991 and later years shall use the amount actually allocated to the city
                              or county in 1990 as the base, and any changes from the 1990 level in
                              the Utility’s total annual budgeted amount for undergrounding shall be
                              allocated to individual cities and counties as follows:

                              (1)    Fifty percent of the change from the 1990 total budgeted amount
                                     shall be allocated in the same ratio that the number of overhead
                                     meters in any city or unincorporated area of any county bears to
                                     the total system overhead meters.

                              (2)    Fifty percent of the change from the 1990 total budgeted amount
                                     shall be allocated in the same ratio that the total number of meters
                                     in any city of the unincorporated area of any county bears to the
                                     total system meters.

                      c.      When a city incorporates, resulting in a transfer of utility meters from the
                              unincorporated area of a county to the city, there shall be a permanent
                              transfer of a prorata portion of the county’s 1990 allocation base referred
                              to in Section 2.b. to the city. The amount transferred shall be determined:

                              (1)    Fifty percent based on the ratio that the number of overhead
                                     meters in the city bears to the total system overhead meters.

                              (2)    Fifty percent based on the ratio that the total number of meters in
                                     the city bears to the total system meters.

                                     When territory is annexed to an existing city, it shall be the
                                     responsibility of the city and counted affected, in consultation with
                                     the Utility serving the territory, to agree upon an amount of the
                                     1990 allocation base that will be transferred from the county to the
                                     city, and thereafter to jointly notify the Utility in writing.


                                                  (Continued)


                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.     10-10-017                President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 266
                             Canceling Original                          CPUC Sheet No. 266


                                                  Rule No. 20

               REPLACEMENT OF OVERHEAD WITH UNDERGROUND ELECTRIC FACILITIES
                                        (Continued)

       A.       (Continued)

                2.    (Continued)

                      d.      However, Section 2.a., b., and c., shall not apply to any Utility where the
                              total amount available for allocation under Rule 20-A is equal to or greater
                              than 1.5 times the previous year’s statewide average on a per-customer
                              basis. In such cases, the Utility’s total annual budgeted amount for
                              undergrounding within any city or the unincorporated area of any county
                              shall be allocated in the same ratio that the number of overhead meters in
                              the city or unincorporated area of any county bears to the total system
                              overhead meters.

                      e.      The amounts allocated in accordance with Section 2.a., b., c., or d., may
                              be exceeded where the Utility establishes that additional participation on
                              a project is warranted. Such allocated amount may be carried over for a
                              reasonable period of time in communities with active undergrounding
                              programs. In order to qualify as a community with an active
                              undergrounding program, the governing body must have adopted an
                              ordinance or ordinances creating an underground district and/or districts
                              as set forth in Section A.1.b. of this rule. Where there is a carry-over, the
                              Utility has the right to set, as determined by its capability, reasonable
                              limits on the rate of performance of the work to be financed by the funds
                              carried over. When amounts are not expended or carried over for the
                              community to which they are initially allocated, they shall be assigned
                              when additional participation on a project is warranted or be reallocated to
                              communities with active undergrounding programs.


                                                  (Continued)




                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.     10-10-017                President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 267
                             Canceling Original                             CPUC Sheet No. 267


                                                     Rule No. 20

               REPLACEMENT OF OVERHEAD WITH UNDERGROUND ELECTRIC FACILITIES
                                        (Continued)

        A.      (Continued)

                3.      The undergrounding extends for a minimum distance of one block or 600 feet,
                        whichever is the lesser.

                        Upon request of the governing body, the Utility will pay for the installation of no
                        more than 100 feet of each customer’s underground electric service lateral
                        occasioned by the undergrounding. The governing body may establish a smaller
                        footage allowance or may limit the amount of money to be expended on a single
                        customer’s electric service or the total amount to be expended on all electric
                        service installations in a particular project.

   B.        In circumstances other than those covered by A above, the Utility will replace its existing
                 overhead electric facilities with underground electric facilities along public streets and
                 roads or other locations mutually agreed upon when requested by an applicant or
                 applicants when all of the following conditions are met:

                1.      a.      All property owners served from the overhead facilities to be removed first
                                agree in writing to have the wiring changes made on their premises so
                                that service may be furnished from the underground distribution system in
                                accordance with the Utility’s rules and that the Utility may discontinue its
                                overhead service upon completion of the underground facilities.

                        b.      Suitable legislation is in effect requiring such necessary wiring changes to
                                be made and authorizing the Utility to discontinue its overhead service.


                                                     (Continued)




                                                    Issued by
Advice Letter No.     1-E                         Bob Dodds              Date Filed     November 23, 2010
                                                     Name
Decision No.      10-10-017                  President and CEO           Effective    January 1, 2011
                                                      Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 268
                             Canceling Original                           CPUC Sheet No. 268


                                                   Rule No. 20

               REPLACEMENT OF OVERHEAD WITH UNDERGROUND ELECTRIC FACILITIES
                                        (Continued)

       B.       (Continued)

                2.     The applicant has:

                       a.     Furnished and installed the pads and vaults for transformers and
                              associated equipment, conduits, ducts, boxes, pole bases, and performed
                              other work related to structures and substructures including breaking of
                              pavement, trenching, backfilling, and repaving required in connection with
                              the installation of the underground system, all in accordance with the
                              Utility’s specifications, or, in lieu thereof, paid the Utility to do so.

                       b.     Transferred ownership of such facilities, in good condition, to the Utility.

                       c.     Paid a nonrefundable sum equal to the excess, if any, of the estimated
                              costs, exclusive of transformers, meters, and services, of completing the
                              underground system and building a new equivalent overhead system.

                3.     The area to be undergrounded includes both sides of a street for at least one
                       block or 600 feet, whichever is the lesser, and all existing overhead
                       communication and electric distribution facilities within the area will be removed.

       C.       In circumstances other than those covered by A or B above, when mutually agreed upon
                by the Utility and an applicant, overhead electric facilities may be replaced with
                underground electric facilities, provided the applicant requesting the change pays, in
                advance, a nonrefundable sum equal to the estimated cost of the underground facilities
                less the estimated net salvage value and depreciation of the replaced overhead
                facilities. Underground services will be installed and maintained as provided in the
                Utility’s rules applicable thereto.

       D.       The term “underground electric system” means an electric system with all wires installed
                underground, except those wires in surface-mounted equipment enclosures.




                                                  Issued by
Advice Letter No.    1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                   Name
Decision No.     10-10-017                  President and CEO          Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 269
                             Canceling Original                         CPUC Sheet No. 269


                                              RULE 21
                                GENERATING FACILITY INTERCONNECTIONS

       A.      APPLICABILITY AND INTRODUCTION

               1.    Applicability. This Rule describes the interconnection, operating and metering
                     requirements for Generating Facilities that are intended to be connected to the
                     Distribution System over which the California Public Utilities Commission (CPUC)
                     has jurisdiction. Subject to the requirements of this Rule, California Pacific Electric
                     Company, LLC (CalPeco) will allow the interconnection of Generating Facilities with
                     its Distribution System.

               2.    Definitions. Capitalized terms used in this Rule, and not otherwise defined, shall
                     have the meaning ascribed to such terms in Section H. The definitions in the Rule
                     shall only apply to this Rule and shall not apply to CalPeco’s other tariffs.

               3.    Enabling Documents. It is contemplated that the Applicant will be required to
                     execute various enabling documents, such as the Application and Interconnection
                     Agreement. Such documents shall be in the form on file with the CPUC, as may be
                     amended from time to time.

       B.      GENERAL RULES, RIGHTS AND OBLIGATIONS

               1.   Authorization Required to Interconnect. An Electricity Producer must comply with this
                    Rule, form an Interconnection Agreement with CalPeco, and receive CalPeco’s
                    express written permission to interconnect before connecting or operating a
                    Generating Facility in parallel with CalPeco’s Distribution System. CalPeco shall
                    apply this Rule in a non-discriminatory manner and shall not unreasonably withhold its
                    permission to interconnect an Electric Producer’s Generating Facility.

               2.    Separate Arrangements Required for Other Services. An Electricity Producer
                     requiring other electric services from CalPeco including, but not limited to,
                     Distribution Service provided by CalPeco during periods of curtailment or
                     interruption of a Generating Facility, must enter into separate arrangements with
                     CalPeco for such services in accordance with CPUC approved tariffs.

               3.    Transmission Service Not Provided with Interconnection. Interconnection with
                     CalPeco’s Distribution System under this Rule does not provide an Electricity
                     Producer any rights to utilize CalPeco’s Distribution System for the transmission or
                     distribution of electric power, nor does it limit those rights.



                                                 (Continued)



                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 270
                             Canceling Original                         CPUC Sheet No. 270


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       B.      GENERAL RULES, RIGHTS AND OBLIGATIONS (Continued)

               4.    Compliance with Laws, Rules, and Tariffs. An Electricity Producer shall ascertain
                     and comply with applicable CPUC approved rules, tariffs, and regulations of
                     CalPeco; applicable FERC approved rules, tariffs, and regulations; and any local,
                     state or federal law, statute or regulation which applies to the design, siting,
                     construction, installation, operation, or any other aspect of the Electricity Producer’s
                     Generating Facility and Interconnection Facilities.

               5.    Design Reviews and Inspections. CalPeco shall have the right to review the
                     design of an Electricity Producer’s Generating Facility and Interconnection Facilities
                     and to inspect an Electricity Producer’s Generating and/or Interconnection Facilities
                     prior to the commencement of Parallel Operation with CalPeco’s Distribution
                     System. CalPeco may require an Electricity Producer to make modifications as
                     necessary to comply with the requirements of this Rule. CalPeco’s review and
                     authorization for Parallel Operation shall not be construed as confirming or endorsing
                     the Electricity Producer’s design or as warranting the Generating and/or
                     Interconnection Facility’s safety, durability or reliability. CalPeco shall not, by
                     reason of such review or lack of review, be responsible for the strength, adequacy,
                     or capacity of such equipment.

               6.    Right to Access. An Electricity Producer’s Generating Facilities and Interconnection
                     Facilities shall be reasonably accessible to CalPeco’s personnel as necessary for
                     CalPeco to perform its duties and exercise its rights under its tariffs and rules filed
                     with and approved by the CPUC, and any agreement between CalPeco and the
                     Electricity Producer.

               7.    Confidentiality of Information. Any information pertaining to Generation and/or
                     Interconnection Facilities provided to CalPeco by an Electricity Producer shall be
                     treated by CalPeco in a confidential manner. CalPeco shall not use information
                     contained in the Application to propose discounted tariffs to the customer unless
                     authorized to do so by the customer or the information is provided to CalPeco by
                     the customer through other means.




                                                 (Continued)



                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 271
                             Canceling Original                        CPUC Sheet No. 271


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       B.      GENERAL RULES, RIGHTS AND OBLIGATIONS (Continued)

               8.    Prudent Operation and Maintenance Required. An Electricity Producer shall
                     operate and maintain its Generating Facility and Interconnection Facilities in
                     accordance with Prudent Electrical Practices and shall maintain compliance with
                     CPUC adopted standards for the Electricity Producer’s particular Generation and
                     Interconnection Facilities. Said standards shall be those in effect at the time an
                     Electricity Producer executes an Interconnection Agreement with CalPeco.

               9.    Curtailment and Disconnection. CalPeco may limit the operation and/or disconnect
                     or require the disconnection of an Electricity Producer’s Generating Facility from
                     CalPeco’s Distribution System at any time, with or without notice, in the event of an
                     Emergency, or to correct Unsafe Operating Conditions. CalPeco may also limit the
                     operation and/or disconnect or require the disconnection of an Electricity Producer’s
                     Generating Facility from CalPeco’s Distribution System upon the provision of
                     reasonable notice: 1) to allow for routine maintenance, repairs or modifications to
                     CalPeco’s Distribution System; 2) upon CalPeco’s determination that an Electricity
                     Producer’s Generating Facility is not in compliance with this Rule; or, 3) upon
                     termination of the Interconnection Agreement.

       C.      GENERATING FACILITY APPLICATION AND INTERCONNECTION PROCESS

               1.    Generating Facility Application Process

                     a.     Applicant Initiates Contact with CalPeco. Upon request, CalPeco will
                            provide information and documents (such as the Application form,
                            Agreement, technical requirements, specifications, listing of Certified
                            Equipment, application fee information, applicable rate schedules and
                            metering requirements) in response to the potential Applicant’s inquiry.
                            Unless otherwise agreed upon, all such information and a copy of
                            CalPeco’s standardized interconnection requirements shall normally be
                            sent to the Applicant within three (3) business days following the initial
                            request from the Applicant. CalPeco will establish an individual
                            representative as the single point of contact for the Applicant, but may
                            allocate responsibilities among its staff to best coordinate the
                            Interconnection of a Applicant’s Generating Facility.




                                                (Continued)


                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 272
                             Canceling Original                         CPUC Sheet No. 272


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       C.      GENERATING FACILITY APPLICATION AND INTERCONNECTION PROCESS

               1.    Generating Facility Application Process (Continued)

                     b.     Applicant Completes an Application Document. All Applicants shall be
                            required to complete and file an Application document and supply any
                            additional information requested by CalPeco. The filing must include the
                            completed standardized Application, which may be either in paper or
                            electronic form, and a fee for processing the application and performing the
                            Initial Review to be completed by CalPeco pursuant to Section C.1.c. The
                            application fee shall vary with the nature of the proposed Generating Facility
                            as follows:

                      Type of Generating Facility                   Initial Review      Supplemental
                                                                                        Review

                      Net Energy Metering                           None                None
                      (per Public Utilities Code Section
                      2827)

                      All others                                    $800                $600

                      Note: Allocation of cost between Generating Facility Applicant and CalPeco to be
                      determined by CPUC in Phase 2 of R.99-10-025. The total cost borne by the
                      Applicant should be reduced by the cost allocated to the utility’s distribution
                      function.


                     Fifty percent of the fees associated with the Initial Review will be returned to the
                     Applicant if the application is rejected by CalPeco or the Applicant retracts the
                     application.

                     The Applicant may propose and CalPeco may negotiate specific costs for
                     processing non-standard installations such as multi-units, multi-sites, or otherwise
                     as conditions warrant. The costs for the Initial Review and the Supplemental
                     Review contained in this Section, as well as the language provided in Sections
                     C.1.c and C.1.d do not apply under these circumstances.

                     Within ten (10) business days of receiving an Application, CalPeco shall normally
                     acknowledge its receipt and whether the Application has been completed
                     adequately. If defects are noted, CalPeco and Applicant shall cooperate in a
                     timely manner to establish a satisfactory Application.
                                                 (Continued)

                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed      November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 273
                             Canceling Original                        CPUC Sheet No. 273


                                                 RULE 21
                                      FACILITY INTERCONNECTIONS

       C.      GENERATING FACILITY APPLICATION AND INTERCONNECTION PROCESS

               1.    Generating Facility Application Process (Continued)

                     c.     CalPeco Performs an Initial Review and Develops Preliminary Cost
                            Estimates and Interconnection Requirements.

                            1)     Upon receipt of a satisfactorily completed Application and any
                                   additional information necessary to evaluate the Interconnection of a
                                   Generating Facility, CalPeco shall perform an Initial Review using
                                   the process defined in Appendix A. The Initial Review determines if
                                   the Generation Facility qualifies for Simplified Interconnection, if the
                                   Generating Facility can qualify for Interconnection subject to
                                   additional requirements, or if it will be necessary for CalPeco to
                                   perform an Interconnection Study to determine Interconnection
                                   Requirements.

                            2)     CalPeco shall complete its Initial Review, absent any extraordinary
                                   circumstances, within 10 business days if the Application qualifies for
                                   Simplified Interconnection. If the Initial Review determines that the
                                   proposed facility can be interconnected by means of a Simplified
                                   Interconnection, CalPeco will provide the Applicant with a written
                                   description of the requirements for interconnection and a draft
                                   Interconnection Agreement pursuant to Section C.1.e.

                            3)     If the Application does not qualify for Simplified Interconnection as
                                   submitted, the Initial Review will include a Supplemental Review as
                                   described in Section I. The Supplemental Review provides either (a)
                                   Interconnection Requirements that may include requirements beyond
                                   those for Simple Interconnection, and a draft Interconnection
                                   Agreement, or (b) a cost estimate and schedule for an Interconnection
                                   Study. The supplemental review shall be completed, absent any
                                   extraordinary circumstances, within 20 business days of receipt of a
                                   completed Application. Payment for the Supplemental Review shall
                                   be submitted to CalPeco within 10 calendar days after
                                   the results of the Supplemental Review are provided to the
                                   Applicant.




                                                (Continued)


                                              Issued by
Advice Letter No.   1-E                     Bob Dodds               Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017               President and CEO           Effective    January 1, 2011
                                                Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 274
                             Canceling Original                         CPUC Sheet No. 274


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       C.      GENERATING FACILITY APPLICATION AND INTERCONNECTION PROCESS

               1.    Generating Facility Application Process (Continued)

                     d.     When Required, Applicant and CalPeco Commit to Additional
                            Interconnection Study Steps. When an Initial Review reveals that the
                            proposed facility cannot be interconnected to CalPeco’s system by means of
                            a Simplified Interconnection pursuant to Section D and Section J, and that
                            significant CalPeco Interconnection Facilities or Distribution System
                            Improvements must be installed or made to CalPeco’s electric system to
                            accommodate the interconnection of an Applicant’s Generating Facility,
                            CalPeco and Applicant shall enter into an agreement that provides for
                            CalPeco to perform such additional studies, facility design, and engineering
                            and to provide detailed cost estimates for fixed price or actual cost billing, to
                            the Applicant at the Applicant’s expense. The Interconnection Study
                            Agreement shall set forth CalPeco’s schedule for completing such work and
                            the estimated or fixed price costs of such studies and engineering. Upon
                            completion of an Interconnection Study, CalPeco shall provide the
                            Applicant with the specific requirements, costs and schedule for
                            interconnecting the Generating Facility to accommodate execution of
                            agreements pursuant to Section C.1.e.

                     e.     Applicant and CalPeco enter into a Generation Interconnection Agreement
                            and, where required, a Financing and Ownership Agreement for
                            Interconnection Facilities or Electric System Modifications. CalPeco shall
                            provide the Applicant with an executable version of the Interconnection
                            Agreement, Net Energy Metering Agreement, or Power Purchase
                            Agreement appropriate for the Applicant’s Generating Facility and desired
                            mode of operation. Where the Initial Review or Interconnection Study
                            performed by CalPeco has determined that modifications or additions are
                            required to be made to its Electric System, or that additional metering,
                            monitoring, or protection devices will be necessary to accommodate a
                            Applicant’s Generating Facility, CalPeco shall also provide the Applicant
                            with an interconnection facilities financing and ownership agreement. These
                            Agreements shall set forth the respective parties’ responsibilities,
                            completion schedules, and estimated or fixed price costs for the required
                            work.



                                                 (Continued)



                                               Issued by
Advice Letter No.   1-E                      Bob Dodds               Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                 Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 275
                             Canceling Original                        CPUC Sheet No. 275


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       C.      GENERATING FACILITY APPLICATION AND INTERCONNECTION PROCESS

               1.    Generating Facility Application Process (Continued)

                     f.     Electricity Producer Installs or Constructs the Generating Facility; where
                            applicable, CalPeco or Electricity Producer Installs Required
                            Interconnection Facilities or Modifies CalPeco’s Electric System. After
                            executing the appropriate Generating Facility Interconnection Agreement,
                            the Electricity Producer may install or construct its Generating Facility in
                            accordance with the provisions of this rule and the terms of the specific
                            agreements formed between the Electricity Producer and CalPeco. Where
                            appropriate, CalPeco will commence construction/installation of the system
                            modifications and/or metering and monitoring requirements which have
                            been identified. The parties will use good faith efforts to meet the schedules
                            and fixed costs or estimated costs as appropriate.

                     g.     Electricity Producer arranges for and completes testing of Generating
                            Facility and, where applicable, Electricity Producer Installed Interconnection
                            Facilities. New Generating Facilities and associated Interconnection
                            Facilities must be tested to ensure compliance with the safety and reliability
                            provisions of the CPUC approved rules and regulations prior to being
                            operated in parallel with CalPeco’s electric system. Certified Equipment will
                            be subject to the tests specified in Section J. For non-Certified Equipment,
                            the Electricity Producer will develop a written testing plan to be submitted to
                            CalPeco for its review and acceptance. Alternatively, the Electricity
                            Producer and CalPeco may agree to have CalPeco conduct the required
                            testing at the Electricity Producer’s expense. Where applicable, the test
                            plan shall include the installation test procedure(s) published by the
                            manufacturer(s) of the generation or interconnection equipment. Facility
                            testing shall be conducted at a mutually agreeable time, and depending on
                            who conducts the tests, CalPeco or Electricity Producer shall be given the
                            opportunity to witness the tests.




                                                (Continued)



                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017               President and CEO           Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 276
                             Canceling Original                        CPUC Sheet No. 276


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       C.      GENERATING FACILITY APPLICATION AND INTERCONNECTION PROCESS

               1.    Generating Facility Application Process (Continued)

                     h.     CalPeco Authorizes Interconnection. The Electricity Producer’s
                            Generating Facility shall be allowed to commence parallel operation with
                            CalPeco’s electric system upon satisfactory compliance with the terms of
                            the Generating Facility Interconnection Agreement. Compliance may include,
                            but not be limited to, provision of any required documentation and
                            satisfactorily completing any required inspections or tests as described herein
                            or in the agreements formed between the Electricity Producer and CalPeco.
                            An Electricity Producer shall not interconnect a Generating
                            Facility unless it has received CalPeco’s express written permission to do
                            so.

                     i.     CalPeco Reconciles Costs and Payments. If the Electricity Producer
                            selected a fixed price cost for the Interconnection Facilities or Electric System
                            Modifications, no reconciliation will be necessary. If the Electricity Producer
                            selected actual cost billing, a true-up will be required. Within a reasonable
                            time after the interconnection of a Electricity Producer’s Generating Facility,
                            CalPeco will reconcile its actual costs related to the
                            Electricity Producer’s facility against the application fee and any other
                            advance payments made by the Electricity Producer. The Electricity
                            Producer will receive either a bill for any balance due or a reimbursement for
                            overpayment as determined by CalPeco’s reconciliation. The Electricity
                            Producer shall be entitled to a reasonably detailed and understandable
                            report detailing CalPeco’s reconciliation process.

       D.      GENERATING FACILITY DESIGN AND OPERATING REQUIREMENTS

               1.    General Interconnection and protection requirements

                     a.     Protective Functions shall be equipped with automatic means to prevent the
                            Generating Facility from re-energizing a de-energized Distribution System
                            circuit.

                     b.     The Protective Functions of a Generating Facility must include an
                            over/under voltage trip function, an over/under frequency trip function, and a
                            means for disconnecting the Generating Facility from CalPeco when a
                            protective function initiates a trip.

                                                (Continued)


                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 277
                             Canceling Original                        CPUC Sheet No. 277


                                            RULE 21
                              GENERATING FACILITY INTERCONNECTIONS

       D.      GENERATING FACILITY DESIGN AND OPERATING REQUIREMENTS (Continued)

               1.    General Interconnection and protection requirements (Continued)

                     c.     The Generating Facility and associated Protective Functions shall not
                            contribute to the formation of an Unintended Island.

                     d.     The Electricity Producer's protection and control diagrams for the
                            interconnection shall be approved by CalPeco prior to completion of the
                            Generating Facility Interconnection, unless the Electricity Producer uses a
                            protection and control scheme previously approved by CalPeco for system-
                            wide application or uses only Certified Equipment.

                     e.     Protective Functions shall be equipped with automatic means to prevent
                            reconnection of the Generating Facility with the Distribution System unless
                            the Distribution System service voltage and frequency is of specified settings
                            and is stable for 60 seconds.

                     f.     Certified Equipment contains certified functions that are accepted by all
                            California Electrical Corporations. This equipment may be installed on a
                            Distribution System in accordance with an Interconnection control and
                            protection scheme approved by CalPeco.

                     g.     These requirements are designed to protect CalPeco’s Distribution System
                            and not the Generating Facility. An Electricity Producer shall be solely
                            responsible for providing adequate protection for the Electricity Producer’s
                            Generating Facility and Interconnection Facilities connected to CalPeco’s
                            Distribution System. The Electricity Producer's protective equipment shall not
                            impact the operation of other protective devices utilized on the Distribution
                            System in a manner that would affect CalPeco’s
                            capability of providing reliable service to Customers.

                     h.     Circuit breakers or other interrupting devices at the Point of Common
                            Coupling must be Certified or "Listed" (as defined in Article 100, the
                            Definitions Section of the National Electrical Code) as suitable for the
                            application. This includes being capable of interrupting maximum available
                            fault current. The Generating Facility shall be designed so that the failure of
                            any one device shall not potentially compromise the safety and reliability of
                            the Distribution System.
                                                 (Continued)




                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 278
                             Canceling Original                        CPUC Sheet No. 278


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       D.      GENERATING FACILITY DESIGN AND OPERATING REQUIREMENTS (Continued)

               1.    General Interconnection and protection requirements (Continued)

                     i.     The Electricity Producer will furnish and install a manual disconnect device
                            that has a visual break to isolate the Generating Facility from the Distribution
                            System. The device must be accessible to CalPeco personnel and be
                            capable of being locked in the open position. Generating Facilities with non-
                            islanding inverters totaling 1kVA or less are exempt from this provision.

                     j.     This section is not intended to address the requirements for Generating
                            Facilities that parallel momentarily (60 cycles or less) or Generating Facilities
                            that operate independently of CalPeco’s Distribution System.

               2.    Prevention of interference.

                     The Electricity Producer shall not operate equipment that superimposes upon the
                     Distribution System a voltage or current that interferes with CalPeco’s operations,
                     service to CalPeco customers, or CalPeco communication facilities. If such
                     interference occurs, the Electricity Producer must diligently pursue and take
                     corrective action at its own expense after being given notice and reasonable time to
                     do so by CalPeco. If the Electricity Producer does not take timely corrective
                     action, or continues to operate the equipment causing interference without
                     restriction or limit, CalPeco may, without liability, disconnect the Electricity
                     Producer’s equipment from the Distribution System, in accordance with Section B.9
                     of this rule.




                                                   (Continued)



                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                   Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 279
                             Canceling Original                        CPUC Sheet No. 279


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       D.      GENERATING FACILITY DESIGN AND OPERATING REQUIREMENTS (Continued)

               2.    Prevention of interference (Continued)

                     To eliminate undesirable interference caused by operation of the Generating
                     Facility, each Distributed Generator in a Generating Facility shall meet the following
                     criteria:

                     a.     Normal voltage operating range. The voltage operating range for a
                            Generating Unit shall be selected as a protection function that responds to
                            abnormal Distribution System conditions and not as a voltage regulation
                            function.

                            1)      Small systems (11 kVA or less). Generating Units connected to a
                                    Generating Facility with a Gross Nameplate capacity of 11 kVA or less
                                    shall be capable of operating within the limits normally experienced on
                                    the Distribution System. The operating window shall be selected in a
                                    manner that minimizes nuisance tripping and range between 106 volts
                                    and 132 volts (88-110% of nominal voltage) on a 120-volt base.
                                    Generating Facilities shall cease to energize
                                    CalPeco lines whenever the voltage at the PCC deviates from
                                    the allowable voltage operating range.

                            2)      Systems larger than 11 kVA. CalPeco may have specific operating
                                    voltage ranges for larger Generating Facilities, and may require
                                    adjustable operating voltage settings for these larger systems. In
                                    the absence of such requirements, the above principles of operating
                                    between 88% and 110% of the appropriate interconnection voltage
                                    should be followed.




                                                 (Continued


                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 280
                             Canceling Original                           CPUC Sheet No. 280


                                                 RULE 21
                                   GENERATING FACILITY INTERCONNECTIONS

       D.      GENERATING FACILITY DESIGN AND OPERATING REQUIREMENTS (Continued)

               2.    Prevention of interference (Continued)

                     a.       Normal voltage operating range. (Continued)

                              3)      Voltage Disturbances. System voltage assumes a nominal 120 V
                                      base. For the convenience of those wishing to translate these
                                      guidelines to voltage bases other than 120 volts, the limits will also
                                      be provided as approximate percentages. The Generating Units
                                      should sense abnormal voltage and respond. The following
                                      conditions should be met, with voltages in RMS at the Point of
                                      Common Coupling:

                                 Voltage at Point             Maximum Trip Time
                                  of Common                   (Assuming 60 Cycles per
                                  Coupling                          Second)
                          Less than 60 Volts                 10 Cycles
                          Greater than 60 volts              120 Cycles
                          but less than 106 volts
                          Greater than 106 volts             Normal Operation
                          but less than 132 volts
                          Greater than 132 volts             120 Cycles (30 cycles for
                          but less than 165 volts            facilities greater than 11kVA)
                          Greater than 165 volts             6 Cycles


                     *”Trip time” refers to the time between the abnormal condition being applied and the
                     Generating Facility unit ceasing to energize CalPeco’s Distribution System. Certain
                     circuits will actually remain connected to the Distribution System to allow sensing of
                     electrical conditions for use by the “reconnect” feature. The purpose of the allowed
                     time delay is to ride through short-term disturbances to avoid excessive nuisance
                     tripping. For Generating Facilities with a Gross Nameplate Rating of 11 kVA peak
                     capacity or less, the above set points are to be non-user adjustable. For Generating
                     Facilities with a Gross Nameplate Rating larger than 11 kVA, different voltage set
                     points and trip times from those in Table 4.1 may be negotiated CalPeco.




                                                    (Continued)



                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                    Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                   CPUC Sheet No. 281
                             Canceling Original                      CPUC Sheet No. 281


                                            RULE 21
                              GENERATING FACILITY INTERCONNECTIONS

       D.      GENERATING FACILITY DESIGN AND OPERATING REQUIREMENTS (Continued)

               2.    Prevention of interference (Continued)

                     b.     Flicker. Any voltage flicker at the Point of Common Coupling caused by the
                            Generating Facility should not exceed the limits defined by the “Maximum
                            Borderline of Irritation Curve” identified in IEEE 519 (IEEE Recommended
                            Practices and Requirements for Harmonic Control in Electric Power
                            Systems, IEEE STD 519-1992, Institute of Electrical and Electronic
                            Engineers, Piscataway, NJ. April 1992. This requirement is necessary to
                            minimize the adverse voltage effects to other customers on the Distribution
                            System. Induction generators may be connected and brought up to
                            synchronous speed (as an induction motor) provided these flicker limits are
                            not exceeded.

                     c.     Frequency. CalPeco controls system frequency, and the Generating
                            Facility unit shall operate in synchronism with the Distribution System.
                            Small Generating Facilities should have a fixed operating frequency range
                            of 59.3-60.5 Hertz. The Generating Facility must cease to energize the
                            system in a maximum of ten cycles should CalPeco remain outside of the
                            frequency limits. The purpose of the time delay is to allow the Generating
                            Facility to ride through short-term disturbances to avoid excessive nuisance
                            tripping. CalPeco may require adjustable operating frequency settings for
                            systems larger than 11 kVA to assist the system during serious capacity
                            shortages. For Generating Facilities larger than 11 kVA, low frequency
                            settings of 59.3 Hz and 58.0 Hz may be used with the consent of CalPeco.

                     d.     Harmonics. Harmonic distortion shall be in compliance with IEEE 519.
                            Exception: The harmonic distortion of a Generating Facility at a Customer’s
                            site shall be evaluated using the same criteria as the loads at that site.

                     e.     Direct Current Injection. The Generating Facility should not inject Direct
                            Current greater than 0.5% of rated output current into CalPeco’s
                            Distribution System under either normal or abnormal operating conditions.




                                                (Continued)

                                              Issued by
Advice Letter No.   1-E                     Bob Dodds              Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017               President and CEO          Effective    January 1, 2011
                                                Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 282
                             Canceling Original                       CPUC Sheet No. 282


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       D.      GENERATING FACILITY DESIGN AND OPERATING REQUIREMENTS (Continued)

               2.    Prevention of interference (Continued)

                     f.     Power Factor. Each Generating Unit in a Generating Facility shall be
                            capable of operating at some point within a range of a power factor of 0.9
                            (either leading or lagging). Operation outside this range is acceptable
                            provided the reactive power of the Generating Facility is used to meet the
                            reactive power needs of on-site loads or that reactive power is otherwise
                            provided under tariff by CalPeco. The Electricity Producer shall notify
                            CalPeco if it is using the Generating Facility for power factor correction.

               3.    Control, Protection and Safety Equipment Requirements

                     a.     Basic Requirements

                            1)      Protective Function Requirements. The Protective Functions of a
                                    Generating Facility must include a visual open disconnect device
                                    (except as exempted in Section D.1.i) a fault interrupting device, and
                                    over/under voltage trip function, and an over/under frequency trip
                                    function.

                            2)      Limits specific to single-phase generators. For single-phase
                                    generators connected to a shared single-phase secondary system,
                                    the maximum capacity shall be 20 kVA. Generating Facilities applied
                                    on a center-tap neutral 240-volt service must be installed such that
                                    no more than 6 kVA of imbalance in capacity exists between the two
                                    sides of the 240-volt service. For dedicated distribution transformer
                                    services, the limit of a single-phase Generating Facility shall be the
                                    transformer nameplate rating.



                                                (Continued)




                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 283
                             Canceling Original                        CPUC Sheet No. 283


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       D.      GENERATING FACILITY DESIGN AND OPERATING REQUIREMENTS (Continued)

               3.    Control, protection and safety equipment requirements (Continued)

                     b.     Technology Specific Requirements

                            1)      Three-phase synchronous generators: The Generating Facility
                                    circuit breakers shall be three-phase devices with electronic or
                                    electromechanical control. The Electricity Producer shall be
                                    responsible for properly synchronizing its Generating Facility with
                                    CalPeco’s Distribution System by means of either a manual or
                                    automatic synchronizing function. Automatic synchronizing is
                                    required for all synchronous generators, which have a Short Circuit
                                    Contribution Ratio (SCCR) exceeding 0.05. A Generating Facility
                                    whose SCCR exceeds 0.05 shall be equipped with Protective
                                    Functions suitable for detecting loss of synchronism and rapidly
                                    disconnecting the Generating Facility from the Distribution System.

                                    Unless otherwise agreed to between the Electricity Producer and
                                    CalPeco, synchronous generators shall automatically regulate
                                    power factor, not voltage, while operating in parallel with the
                                    Distribution System. Power system stabilization is specifically not
                                    required for Generating Facilities under 10 MW.

                                    Synchronization means that at the time of connection, the frequency
                                    difference shall be less than 0.2 Hz, the voltage difference shall be
                                    less than 10%, and the phase angle difference shall be less than 10
                                    degrees.

                            2)      Induction Generators. Induction Generators do not require separate
                                    synchronizing equipment. Starting or rapid load fluctuations on
                                    induction generators can adversely impact CalPeco’s Distribution
                                    System's voltage. Corrective step-switched capacitors or other
                                    techniques may be necessary and may cause undesirable
                                    ferroresonance. When these counter measures (e.g. additional
                                    capacitors) are installed on the Electricity Producer's side of the
                                    Point of Common Coupling, CalPeco must review these measures.
                                    Additional equipment may be required to resolve this problem as a
                                    result of an Interconnection Study.



                                                (Continued)

                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 284
                             Canceling Original                          CPUC Sheet No. 284



                                                RULE 21
                                  GENERATING FACILITY INTERCONNECTIONS


       D.      GENERATING FACILITY DESIGN AND OPERATING REQUIREMENTS (Continued)

               3.    Control, protection and safety equipment requirements (Continued)

                     b.     Technology Specific Requirements (Continued)

                            3)       Inverter Systems. Utility-interactive inverters do not require separate
                                     synchronizing equipment. Non-utility-interactive stand-alone inverters
                                     shall not be used for parallel operation with CalPeco’s
                                     Distribution System.

                     c.     Initial Review process

                            1.)      Section I of this Rule defines the Initial Review process. The Initial
                                     Review process evaluates the specific characteristics of the
                                     Interconnection, including those specific to the location of the
                                     Generating Facility, and whether additional requirements are
                                     necessary.

                     d.     Supplemental Generating Facility Requirements

                            1)       Unintended Islanding For Generating Facilities that fail the Export
                                     Screen. Generating Facilities must mitigate their potential
                                     contribution to an Unintended Island. This can be accomplished by
                                     one of the following options:

                                     (a)     incorporating certified non-islanding control functions into the
                                             Protective Functions, or

                                     (b)     verifying that local loads sufficiently exceed the load carrying
                                             capability of the Generating Facility, or

                                     (c)     incorporating transfer trip or equivalent function in the
                                             Protective Functions.




                                                  (Continued)



                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 285
                             Canceling Original                        CPUC Sheet No. 285


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS


       D.      GENERATING FACILITY DESIGN AND OPERATING REQUIREMENTS (Continued)

               3.    Control, protection and safety equipment requirements (Continued)

                     d.     Supplemental Generating Facility Requirements

                            2)      Fault Detection.

                                    A Generating Facility with an SCCR exceeding 0.1 or that does not
                                    meet any one of the options for detecting Unintended Islands in
                                    D.3.d.1 shall be equipped with Protective Functions designed to
                                    detect Distribution System faults, both line-to-line and line-to-ground,
                                    and promptly remove the Generating Facility from the Distribution
                                    System in the event of a fault. For a Generating Facility that cannot
                                    detect these faults within two seconds, transfer trip or equivalent
                                    function may be required. Reclose-blocking of CalPeco’s
                                    affected recloser(s) may also be required by CalPeco for generators
                                    that exceed 15% of the peak load on the Line Section.

                     e.     Generating Facility types and conditions not identified. In the event that
                            Section D of this rule does not address the interconnection requirements of a
                            Generating Facility, CalPeco and Electricity Producer may interconnect a
                            Generating Facility using mutually agreed upon technical requirements.

       E.      INTERCONNECTION FACILITY OWNERSHIP AND FINANCING

               1.    Scope and Ownership of Interconnection Facilities

                     a.     Scope. The interconnection of an Electricity Producer’s Generating Facility
                            with CalPeco’s Distribution System is made through the use of
                            Interconnection Facilities. Such interconnection may also require
                            Distribution System Improvements. The nature, extent and costs of
                            Interconnection Facilities and Distribution System Improvements shall be
                            consistent with this Rule and determined through the Initial Review and/or
                            Interconnection Studies described in Section C.




                                                 (Continued)




                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 286
                             Canceling Original                        CPUC Sheet No. 286


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       E.      INTERCONNECTION FACILITY OWNERSHIP AND FINANCING (Continued)

               1.    Scope and Ownership of Interconnection Facilities (Continued)

                     b.     Ownership. Subject to the limitations set forth in this Rule, Interconnection
                            Facilities which may be installed on Electricity Producer’s side of the Point of
                            Common Coupling may be owned, operated and maintained by the
                            Electricity Producer or CalPeco. Interconnection Facilities installed
                            on CalPeco’s side of the Point of Common Coupling and Distribution
                            System Improvements may be owned, operated and maintained only by
                            CalPeco.

               2.    Responsibility for Costs of Interconnecting a Generating Facility

                     a.     Study and Review Costs. An Electricity Producer shall be responsible for
                            the reasonably incurred costs of the Initial Review and any Interconnection
                            Studies conducted pursuant to Section C.2 of this Rule solely to explore the
                            feasibility and determine the requirements of interconnecting a Generating
                            Facility with CalPeco 's Distribution System.

                     b.     Facility Costs. An Electricity Producer shall be responsible for all costs
                            associated with Interconnection Facilities owned by the Electricity Producer.
                            The Electricity Producer shall also be responsible for any costs reasonably
                            incurred by CalPeco in providing, operating, or maintaining Interconnection
                            Facilities and Distribution System Improvements required solely for the
                            interconnection of the Electricity Producer’s Generating Facility with
                            CalPeco’s Distribution System.

                     c.     Separation of Costs. Should CalPeco combine the installation of
                            Interconnection Facilities, or Distribution System Improvements with
                            modifications or additions to CalPeco’s Distribution System to serve other
                            Customers or Electricity Producers, CalPeco shall not include
                            the costs of such separate or incremental facilities in the amounts billed to
                            the Electricity Producer for the Interconnection Facilities or Distribution
                            System Improvements required pursuant to this Rule.




                                                (Continued)

                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 287
                             Canceling Original                        CPUC Sheet No. 287


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       E.      INTERCONNECTION FACILITY OWNERSHIP AND FINANCING (Continued)

               3.    Installation and Financing of Interconnection Facilities Owned and Operated by
                     CalPeco

                     a.     Agreement Required. Costs for Added Facilities shall be paid by Electricity
                            Producer pursuant to the provisions contained in the Interconnection
                            Agreement or, where the nature and extent of the Interconnection Facilities
                            and Distribution System Improvements warrant additional detail, in a separate
                            Interconnection Facility Financing and Operating Agreement between the
                            Electricity Producer and CalPeco, and CalPeco 's applicable
                            tariffs and rules for Added Facilities.

                     b.     Attachments and Modifications to Distribution System. Except as provided
                            for in Section E.3.c of this Rule, Interconnection Facilities connected directly
                            to CalPeco’s Distribution System and Distribution System Improvements
                            shall be provided, installed, owned and maintained by CalPeco as Added
                            Facilities.

                     c.     Third-Party Installations. Subject to the approval of CalPeco, an Electricity
                            Producer may, at its option, employ a qualified contractor to provide and
                            install Interconnection Facilities or Distribution System Improvements to be
                            owned and operated by CalPeco. Such Interconnection Facilities and
                            Distribution System Improvements shall be installed in accordance with
                            CalPeco 's design and specifications. Upon final inspection and
                            acceptance by CalPeco, the Electricity Producer shall transfer ownership of
                            such Electricity Producer installed Interconnection Facilities or Distribution
                            System Improvements to CalPeco and such facilities shall thereafter be
                            owned and maintained by CalPeco at Electricity Producer’s expense as
                            Added Facilities. The Electricity Producer shall pay CalPeco’s reasonable
                            costs of design, administration, and monitoring the installation of such
                            facilities to ensure compliance with CalPeco 's requirements. Electricity
                            Producer shall also be responsible for all costs, including any income tax
                            liability, associated with the transfer of Electricity Producer installed
                            Interconnection Facilities and Distribution System Improvements to
                            CalPeco.




                                                 (Continued)



                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 288
                             Canceling Original                        CPUC Sheet No. 288


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       E.      INTERCONNECTION FACILITY OWNERSHIP AND FINANCING (Continued)

               3.    Installation and Financing of Interconnection Facilities Owned and Operated by
                     CalPeco (Continued)

                     d.     Reservation of Unused Facilities. When a Electricity Producer wishes to
                            reserve CalPeco owned Interconnection Facilities or Distribution System
                            Improvements installed and financed as Added Facilities for the Electricity
                            Producer, but idled by a change in the operation of the Electricity Producer's
                            Generating Facility or otherwise, Electricity Producer may elect to abandon
                            or reserve such facilities consistent with the terms of its Interconnection
                            Facility Financing and Operating Agreement with CalPeco. If Electricity
                            Producer elects to reserve idled Interconnection Facilities or Distribution
                            System Improvements, CalPeco shall be entitled to continue to charge
                            Electrical Producer for the costs related to the ongoing operation and
                            maintenance of the Special Facilities.

                     e.     Refund of Salvage Value. When a Electricity Producer elects to abandon
                            the Added Facilities for which it has either advanced the installed costs or
                            constructed and transferred to the CalPeco, the Electricity Producer shall,
                            at a minimum, receive from the CalPeco a credit for the net salvage value
                            of the Special Facilities.

       F.      METERING, MONITORING AND TELEMETRY

               1.    General Requirements. All Generating Facilities shall be metered in accordance
                     with this Section F and shall meet all applicable standards of CalPeco contained in
                     CalPeco’s applicable tariffs and published CalPeco manuals dealing with metering
                     specifications. The requirements in this Section F do not apply to metering of
                     Generating Facilities operating under CalPeco’s Net Energy Metering tariff
                     pursuant to California Public Utilities Code Section 2827.

               2.    Metering by Non-CalPeco Parties. The ownership, installation, operation, reading,
                     and testing of metering for Generating Facilities shall be by CalPeco except to the
                     extent that the CPUC has determined that all these functions, or any of them, may be
                     performed by a non CalPeco party as authorized by the CPUC.




                                                (Continued)



                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017               President and CEO           Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 289
                             Canceling Original                          CPUC Sheet No. 289


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       F.      METERING, MONITORING AND TELEMETRY (Continued)

               3.    Net Generation Metering. For purposes of monitoring Generating Facility operation
                     for determination of standby charges and applicable non-bypassable charges as
                     defined in CalPeco’s tariffs, and for Distribution System planning and
                     operations, consistent with Section B.4 of these Rules, CalPeco shall have the
                     right to specify the type, and require the installation of, Net Generation Metering.
                     CalPeco shall require the provision of generator output data to the extent
                     reasonably necessary to provide information for the utility to administer its tariffs or to
                     operate and plan its system. CalPeco shall only require Net Generation
                     Metering to the extent that less intrusive and/or more cost effective options for
                     providing the necessary generator output data are not available. In exercising its
                     discretion to require Net Generation Metering, CalPeco shall consider all relevant
                     factors, including but not limited to:

                     a.     Data requirements in proportion to need for information;

                     b.     Producer election to install equipment that adequately addresses CalPeco’s
                            operational requirements;

                     c.     Accuracy and type of required metering consistent with purposes of collecting
                            data;

                     d.     Cost of metering relative to the need for and accuracy of the data;

                     e.     The Generating Facilities size relative to the cost of the metering/monitoring;

                     f.     Other means of obtaining the data (e.g. generator logs, proxy data etc.);

                     g.     Requirements under any Generating Facility Interconnection Agreement with
                            the Producer.

                     CalPeco will report to the CPUC or designated authority, on a quarterly basis, the
                     rationale for requiring net generation equipment in each instance along with the
                     size and location of the facility.




                                                  (Continued)


                                                Issued by
Advice Letter No.   1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 290
                             Canceling Original                       CPUC Sheet No. 290


                                            RULE 21
                              GENERATING FACILITY INTERCONNECTIONS

       F.      METERING, MONITORING AND TELEMETRY (Continued)

                     4.     Point of Common Coupling Metering. For purposes of assessing CalPeco
                            charges for retail service, the Electricity Producer’s Point of Common Coupling
                            Metering shall be a bi-directional meter so that power deliveries to
                            and from the Electricity Producer’s site can be separately recorded.
                            Alternately, the Electricity Producer may, at its sole option and cost, require
                            CalPeco to install multi-metering equipment to separately record power
                            deliveries to the Distribution System and retail purchases from CalPeco.
                            Such Point of Common Coupling Metering shall be equipped with detents to
                            prevent reverse registration.

                     5.     Telemetering. If the nameplate rating of the Generating Facility is 1 MW or
                            greater, Telemetering equipment at the Net Generator Metering location
                            may be required at the Electricity Producer’s expense. If the Generating
                            Facility is interconnected to a Distribution System operating at a voltage
                            below 10kV, then Telemetering equipment may be required on Generating
                            Facilities 250 kW or greater. CalPeco shall only require Telemetering to
                            the extent that less intrusive and/or more cost effective options for providing
                            the necessary data in real time are not available. CalPeco will report to the
                            CPUC or designated authority, on a quarterly basis, the rationale for requiring
                            telemetering equipment in each instance along with the size and location of
                            the facility.

                     6.     Sunset Provision. Sections F.3 and F.5 are interim provisions only.
                            CalPeco shall file permanent metering requirements with the CPUC on or
                            by December 31, 2004. At that time, CalPeco shall serve its application for
                            approval of permanent metering requirements on the service list in
                            Rulemaking 99-10-025.

                     7.     Location. Where CalPeco owned metering equipment is located on the
                            Electricity Producer’s premises, Electricity Producer shall provide, at no
                            expense to CalPeco, a suitable location for all such metering equipment.

                     8.     Costs of metering. The Electricity Producer will bear all costs of the
                            metering required by this Rule 21, including the incremental costs of
                            operating and maintaining the Metering.




                                                (Continued)


                                               Issued by
Advice Letter No.   1-E                      Bob Dodds             Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017               President and CEO          Effective    January 1, 2011
                                                 Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 291
                             Canceling Original                           CPUC Sheet No. 291


                                              RULE 21
                                GENERATING FACILITY INTERCONNECTIONS

       G.      DISPUTE RESOLUTION PROCESS

               1.    The following procedures will apply for disputes arising from this Rule. The CPUC
                     shall have initial jurisdiction to interpret, add, delete or modify any provision of this
                     Rule or of any agreements entered into between CalPeco and the Electricity
                     Producer to implement this tariff (“the implementing agreements") and to resolve
                     disputes regarding CalPeco’s performance of its obligations under its electric rules
                     and tariffs, the implementing agreements, and requirements related to the
                     interconnection of the Electricity Producer’s Facilities pursuant to this Rule .

               2.    Any dispute arising between CalPeco and the Electricity Producer (individually
                     “Party” and collectively “the Parties”) regarding CalPeco’s performance of its
                     obligations under its electric rules and tariffs, the implementing agreements, and
                     requirements related to the interconnection of Producer’s Facilities pursuant to this
                     Rule shall be resolved according to the following procedures.

                     a.      The dispute shall be reduced to writing by the aggrieved Party in a letter
                             (“the dispute letter”) to the other Party containing the relevant known facts
                             pertaining to the dispute, the specific dispute and the relief sought, and
                             express notice by the aggrieved Party that it is invoking the procedures
                             under Section G.2. Within 45 calendar days of the date of the dispute letter,
                             the Parties’ authorized representatives will be required to meet and confer to
                             try to resolve the dispute.

                     b.      If the Parties do not resolve their dispute within 45 calendar days after the
                             date of the dispute letter, the dispute shall, upon demand of either party, be
                             submitted to resolution before the Commission in accordance with the
                             Commission’s rules, regulations and procedures applicable to the resolution
                             of such disputes.

               3.    Pending resolution of any dispute under this section, the Parties shall proceed
                     diligently with the performance of their respective obligations under this Rule and
                     the implementing agreements, unless the implementing agreements have been
                     terminated. Disputes as to the application and implementation of this section shall
                     be subject to resolution pursuant to the procedures set forth in this section.




                                                  (Continued)



                                                 Issued by
Advice Letter No.   1-E                       Bob Dodds                Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO            Effective    January 1, 2011
                                                   Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 292
                             Canceling Original                         CPUC Sheet No. 292


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       H.      DEFINITIONS

               The definitions set forth in this Section H are applicable only to this Rule and its
               corresponding agreements including Interconnection Facilities Financing and Ownership
               Agreement and Interconnection Application Form.

               Accredited, Nationally Recognized Testing Laboratory (NRTL): A laboratory approved
               to perform the certification testing requirements.

               Active Anti-Islanding Scheme: A control scheme installed with the Generating Facility that
               senses and prevents the formation of an Unintended Island.

               Applicant: The entity submitting an Application for Interconnection under the provisions of
               CalPeco’s Rule 21 and the Application to Interconnect a Customer-owned
               Generating Facility.

               Application: The standard form CPUC approved document submitted to CalPeco for
               electrical interconnection of a Generator with CalPeco.

               Certification Test: A test adopted by CalPeco that verifies conformance of certain
               equipment with CPUC approved performance standards in order to be classified as
               Certified Equipment. Certification Tests are normally performed by an NRTL such as the
               Underwriter’s Laboratory.

               Certification; Certified; Certificate: The documented results of a successful Certification
               Testing.

               Certified Equipment: Equipment used in a Generation Facility that has passed the
               Certification Test.

               CPUC: The Public Utilities Commission of the State of California.

               Commissioning Test: A test performed during the commissioning of all or part of a
               Generating Facility system to achieve one or more of the following:

                      Verify specific aspects of its performance;
                      Calibrate its instrumentation;
                      Establish instrument or Protective Function set-points.

               Customer: The entity that receives or is entitled to receive Distribution Service through
               the Distribution System.

                                                  (Continued)

                                                 Issued by
Advice Letter No.     1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.       10-10-017               President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 293
                             Canceling Original                        CPUC Sheet No. 293


                                              RULE 21
                                GENERATING FACILITY INTERCONNECTIONS

       H.      DEFINITIONS (Continued)

               Dedicated Transformer; Dedicated Distribution Transformer: A transformer that
               provides Electricity Service to a single Customer. The Customer may or may not have a
               Generating Facility.

               Distributed Generation: Electrical power generation by any means, including from stored
               electricity, that is interconnected to CalPeco at a Point of Common Coupling under
               the jurisdiction of the CPUC.

               Distribution Service: All services required by, or provided to, a Customer pursuant to the
               approved tariffs and rules of CalPeco.

               Distribution System: All electrical wires, equipment, and other facilities owned or
               provided by CalPeco by which CalPeco provides Distribution Service to its Customers.

               Electricity Producer (EP): The entity that executes an Interconnection Agreement with
               the Electrical Corporation. The Electricity Producer may or may not own or operate the
               Generating Facility, but is responsible for the rights and obligations related to the
               Interconnection Agreement.

               Emergency: An actual or imminent condition or situation, which jeopardizes the
               Distribution ystem Integrity.

               Field Testing: Testing performed in the field to determine whether equipment meets
               CalPeco’s requirements for safe and reliable Interconnection

               Generating Facility: All Generating Units that are included in a Generating Facility
               Interconnection Agreement.

               Generating Unit: An individual electrical generator or generating system (including
               required equipment, appurtenances, protective equipment and structures) that is
               connected to and made a part of a Generating Facility.

               Gross Nameplate Rating: The gross generating capacity of a Generating Unit or the total
               of the gross generating capacity of the Generating Units comprising a Generating Facility
               as designated by the manufacturer(s) of the Generating Unit(s).

               Host Load: Electrical power that is consumed by the Customer at the property on which
               the Generating Facility is located.

                                                  (Continued)


                                                Issued by
Advice Letter No.   1-E                       Bob Dodds             Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                 President and CEO         Effective    January 1, 2011
                                                  Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                         CPUC Sheet No. 294
                             Canceling Original                            CPUC Sheet No. 294


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       H.      DEFINITIONS (Continued)

               Initial Operation: The first time the Generating Facility is in Parallel Operation.

               Initial Review: The review by CalPeco, following receipt of an Application, to determine
               the following: If an Application qualifies for Simplified Interconnection, or If an Application
               can be made to qualify for Interconnection with supplemental review determining any
               potential additional requirements, or

               If an Interconnection Study is required, the cost estimate and schedule for performing the
               Interconnection Study.

               In-rush Current: The current drawn by the Generating Facility during startup.

               Interconnection Agreement: An agreement between CalPeco and the Electricity
               Producer that gives each the certain rights and obligations to effect or end Interconnection.

               Interconnection Study: A study to establish the requirements for Interconnection of an
               Electricity Producer.

               Interconnection; (Interconnected): The physical connection of a Generating Facility in
               accordance with the requirements of these rules so that Parallel Operation with CalPeco’s
               system can occur (has occurred).

               Interconnection Facilities: The electrical wires, switches and related equipment that
               interconnect a Generating Facility to the Distribution System.

               Island; Islanding: A condition on the Distribution System in which one or more
               Generating Facilities deliver power to Customers using a portion of the Distribution System
               that is electrically isolated from the remainder of the Distribution System.

               ISO: The California Independent System Operator, responsible for the management of
               electrical power flow through California’s electrical transmission network.

               Line Section: That portion of the Distribution System connected to a Customer bounded by
               automatic sectionalizing devices or the end of the line.

               Metering Equipment: All equipment, hardware, software including meter cabinets,
               conduit, etc. that is necessary for Metering.



                                                    (Continued)

                                                  Issued by
Advice Letter No.   1-E                         Bob Dodds               Date Filed    November 23, 2010
                                                    Name
Decision No.    10-10-017                   President and CEO           Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 295
                             Canceling Original                          CPUC Sheet No. 295


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       H.      DEFINITIONS (Continued)

               Metering: The measurement of electrical power flow in kW and/or kWh, and, if necessary,
               kVAR at a point, and its display to CalPeco, as required by this rule.

               Net Energy Metering: Metering for the mutual purchase and sale of electricity between
               the Electricity Producer and CalPeco pursuant to the net metering tariff approved by the
               CPUC.

               Net Generation Metering: The Metering of the net electrical energy output in kW and
               kWh from a given Generating Facility. This may also be the measurement of the
               difference between the total electrical energy produced by a Generating Unit and the
               electrical energy consumed by the auxiliary equipment necessary to operate the
               Generating Unit. For a Generating Unit with no Host Load and/or Section 218 Load,
               Metering that is located at the point of Common Coupling. For a Generating Unit with Host
               Load and/or Section 218 Load, Metering that is located at the Generating Unit bus after the
               point of auxiliary load(s) and prior to serving Host Load and/or Section 218 Load.

               Net Metering: Where electricity at a point may flow in both directions, the measurement of
               the net, or the algebraic sum, of electrical energy in kWh, that flows through that point in a
               given time-interval. Net Metering typically uses two meters, or in some cases a single
               meter with two or more registers, to individually measure a Customer’s electric deliveries
               to, and consumption of retail service from, the Distribution System. Over a given time
               frame (typically a month) the difference between these two values yield either net
               consumption or net surplus. The meter registers are ratcheted to prevent reverse
               registration. If available, a single meter may be allowed spin backward to yield the same
               effect as a two meter (or register) arrangement.

               Net Nameplate Rating: The gross generating capacity of a Generating Unit or the total of
               the gross generating capacity of the Generating Units comprising a Generating Facility as
               designated by the manufacturer(s) of the Generating Unit(s) minus the consumption of
               electrical power of the Generating Unit(s).

               Network Service: More than one electrical feeder providing Distribution Service at a Point
               of Common Coupling.

               Non-Exporting: Designed to prevent the transfer of electrical energy from the EP to
               CalPeco.




                                                  (Continued)

                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 296
                             Canceling Original                          CPUC Sheet No. 296


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       H.      DEFINITIONS (Continued)

               Non-Islanding: Designed to detect and disconnect from a stable Unintended Island with
               matched load and generation. Reliance solely on under/over voltage and frequency trip is
               not considered sufficient to qualify as Non-Islanding.

               Parallel Operation: The simultaneous operation of a Generating Facility with power
               delivered or received by CalPeco while Interconnected. For the purpose of this rule,
               Parallel Operation includes only those generators that are so interconnected with the
               Distribution System for more than 60 cycles.

               Periodic Test: A test performed on part or all of a Generating Facility system at pre-
               determined time or operational intervals to achieve one or more of the following:

                      Verify specific aspects of its performance;
                      Calibrate instrumentation;
                      Verify and re-establish instrument or Protective Function set-points.

               Point of Common Coupling Metering: Metering located at the Point of Common Coupling.
               This is the same Metering as Net Generation Metering for Generating Facilities with no Host
               Load and/or Section 218 Load.

               Point of Common Coupling (PCC): The transfer point for electricity between the
               electrical conductors of CalPeco and the electrical conductors of the Electricity
               Producer.

               Point of Interconnection: The electrical transfer point between an electrical power plant
               and the electrical distribution system. This may or may not be coincident with the Point of
               Common Coupling.

               Production Test: A test performed on each device coming off the production line to verify
               certain aspects of its performance.

               Protective Function(s): The equipment, hardware and/or software in a Generating
               Facility (whether discrete or integrated with other functions) whose purpose is to protect
               against Unsafe Operating Conditions.

               Prudent Electrical Practices: Those practices, methods, and equipment, as changed from
               time to time, that are commonly used in prudent electrical engineering and operations to
               design and operate electric equipment lawfully and with safety, dependability, efficiency, and
               economy.
                                                 (Continued)


                                                 Issued by
Advice Letter No.     1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                   Name
Decision No.       10-10-017               President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 297
                             Canceling Original                          CPUC Sheet No. 297


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       H.      DEFINITIONS (Continued)

               Scheduled Operation Date: The date specified in the Interconnection Agreement when the
               Generating Facility is, by the Electricity Producer’s estimate, expected to begin Initial
               Operation.

               Secondary Network: A network supplied by several primary feeders suitably interlaced
               through the area in order to achieve acceptable loading of the transformers under
               emergency conditions and to provide a system of extremely high service reliability.
               Secondary networks usually operate at 600 V or lower.

               Section 218 Load: Electrical power that is supplied in compliance with California Public
               Utilities Code (PU Code) section 218. PU Code 218 defines an “Electric Corporation” and
               provides conditions under which a generator transaction would not classify a generating
               entity as an Electric Corporation. These conditions relate to “over-the-fence” sale of
               electricity from a generator without using the Distribution System.

               Simplified Interconnection: Interconnection conforming to the minimum requirements
               under these rules, as determined by Section I.

               Short Circuit Contribution Ratio (SCCR): The ratio of the Generating Facility’s short
               circuit contribution to CalPeco’s short circuit contribution for a three-phase fault at
               the high voltage side of the distribution transformer connecting the Generating Facility to
               CalPeco’s system.

               Stabilization; Stability: The return to normalcy of CalPeco’s Distribution System,
               following a disturbance. Stabilization is usually measured as a time period during which
               voltage and frequency are within acceptable ranges.

               Starting Voltage Drop: The percentage voltage drop at a specified point resulting from
               In-rush current. The SVD can also be expressed in volts on a particular base voltage, (eg. 6
               volts on a 120-volt base, yielding a 5% drop).

               System Integrity: The condition under which a Distribution System is deemed safe and
               can reliably perform its intended functions in accordance with the safety and reliability rules
               of CalPeco.


               Telemetering: The electrical or electronic transmittal of Metering data on a real-time basis
               to CalPeco.


                                                   (Continued)

                                                  Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 298
                             Canceling Original                           CPUC Sheet No. 298


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       H.      DEFINITIONS (Continued)

               Type Test: A test performed on a sample of a particular model of a device to verify
               specific aspects of its design, construction and performance.

               Unintended Island: The creation of an island, usually following a loss of a portion of the
               Distribution System, without the approval of CalPeco.

               Unsafe Operating Conditions: Conditions that, if left uncorrected, could result in harm to
               personnel, damage to equipment, loss of System Integrity or operation outside pre-
               established parameters required by the Interconnection Agreement.

       I.      INITIAL REVIEW PROCESS FOR APPLICATIONS TO INTERCONNECT DISTRIBUTED
               GENERATION

               1.     Introduction:

                      This Initial Review Process was developed to create a path for selection and rapid
                      approval of those Applications for Interconnection that do not require an
                      Interconnection Study. The capitalized phrases used in this Section I have the
                      same meanings as those in Section H of the proposed Rule 21.

               2.     Purpose:

                      The Initial Review determines:

                      a.     If a Generating Facility qualifies for Simplified Interconnection;

                      b.     If a Generating Facility can be made to qualify for Interconnection with
                             supplemental review determining any potential additional requirements, or

                      c.     If an Interconnection Study is required, the cost estimate and schedule for
                             performing the Interconnection Study.

       NOTE:

       Failure to pass any screen means only that further review, and/or studies, are required before the
       Generating Facility can be approved for interconnection with CalPeco. It does not mean
       that the Generating Facility cannot be interconnected.



                                                   (Continued)

                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                   Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 299
                             Canceling Original                           CPUC Sheet No. 299


                                            RULE 21
                              GENERATING FACILITY INTERCONNECTIONS

       I.      INITIAL REVIEW PROCESS FOR APPLICATIONS TO INTERCONNECT DISTRIBUTED
               GENERATION (Continued)

       2.      Purpose: (Continued)

                                      Initial Review Process Flow Chart




                                                  (Continued)


                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds            Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO         Effective    January 1, 2011
                                                   Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 300
                             Canceling Original                        CPUC Sheet No. 300


                                               RULE 21
                                GENERATING FACILITY INTERCONNECTIONS

       I.      INITIAL REVIEW PROCESS FOR APPLICATIONS TO INTERCONNECT DISTRIBUTED
               GENERATION (Continued)

               3.    Initial Review Process Details

                     a.     Is the PCC on a Networked Secondary System?

                               If No, continue to next screen.
                               If Yes, Generating Facility does not qualify for Simplified
                                Interconnection.
                                Perform supplemental review.

                     Significance: Special considerations must be given to Generating Facilities on
                     networked secondary distribution systems because of the design and operational
                     aspects of network protectors. There are no such considerations for radial
                     distribution systems.

               4.    Will power be exported across the PCC?

                           If Yes, Generating Facility does not qualify for Simplified Interconnection.
                            Perform supplemental review.
                           If No, Generating Facility must incorporate one of the following four options:

                     Option 1: To insure power is never exported, a reverse power Protective Function
                     must be implemented at the PCC. Default setting shall be 0.1% (export) of
                     transformer rating, with a maximum 2.0 second time delay.

                     Option 2: To insure at least a minimum import of power, an under-power Protective
                     Function must implemented at the PCC. Default setting shall be 5% (import) of
                     Generating Facility Gross Nameplate Rating, with maximum 2.0 second time delay.

                     Option 3: To limit the incidental export of power, all of the following conditions must
                     be met: a) The aggregate Generating Facility capacity of the Generating Facility
                     must be no more than 25% of the nominal ampere rating of the Customer’s Service
                     Equipment; b) The total aggregate Generating Facility capacity must be no more
                     than 50% of the service transformer rating (This capacity requirement does not apply
                     to customers taking primary service without an intervening transformer); c)The
                     Generating Facility must be certified as Non-Islanding.

                                                 (Continued)




                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 301
                             Canceling Original                        CPUC Sheet No. 301


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       I.      INITIAL REVIEW PROCESS FOR APPLICATIONS TO INTERCONNECT DISTRIBUTED
               GENERATION (Continued)

               4.    Will power be exported across the PCC? (Continued)

                     Option 4: To insure that the relative size (capacity) of the Generating Facility
                     compared to facility load results in no export of power without the use of additional
                     devices, the Generating Facility capacity must be no greater than 50% of the
                     Customer’s verifiable minimum annual load.

                     Significance: If it can be assured that the Generating Facility will not export power,
                     CalPeco’s Distribution System does not need to be studied for load-carrying
                     capability or Generating Facility power flow effects on CalPeco voltage regulators
                     since the Generating Facility will simply be reducing load on CalPeco’s Distribution
                     System. This screen permits use of reverse-power relaying at the PCC as positive
                     anti-islanding protection.

               5.    Is the Interconnection Equipment Certified for the Application or does the
                     Interconnection Equipment have Interim CalPeco Approval?

                           If No, Generating Facility does not qualify for Simplified Interconnection.
                            Perform supplemental review.
                           If Yes, continue to next screen.

                     Significance: If the Generating Facility has been Certified or previously approved
                     by CalPeco, CalPeco does not need to review, or test, the Generating Facility’s
                     Protective Function scheme. Site Commissioning Testing may still be required to
                     insure that the system is connected properly and that the protective functions are
                     working properly. Certification or CalPeco approval indicates
                     the following criteria have been tested and verified:

                           Basic protective function requirements met.
                           Harmonic distortion limits met.
                           Synchronizing requirements met.
                           Pf regulation requirements met.
                           Non-islanding requirements met.
                           If used, reverse power function requirement met.
                           If used, under-power function requirement met.

                                                 (Continued)




                                                Issued by
Advice Letter No.   1-E                      Bob Dodds               Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 302
                             Canceling Original                        CPUC Sheet No. 302


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       I.      INITIAL REVIEW PROCESS FOR APPLICATIONS TO INTERCONNECT DISTRIBUTED
               GENERATION (Continued)

               6.    Is the aggregate Generating Facility Capacity on the Line Section less than 15% of
                     Line Section Peak Load?

                           If Yes, continue to next screen.
                           If No, Generating Facility does not qualify for Simplified Interconnection.
                            Perform supplemental review to determine cumulative impact on Line
                            Section.

                     Significance: Low penetration of Generating Facility installations will have a
                     minimal impact on operation and load restoration. The operating requirements for a
                     high penetration of Generating Facilities may be different since the system impact
                     will no longer be minimal, therefore requiring additional study or controls.

               7.    Is the Starting Voltage Drop screen met?

                           If Yes, continue to next screen.
                           If No, Generating Facility does not qualify for Simplified Interconnection.
                            Perform supplemental review.

                     NOTICE: This screen only applies to Generating Facilities that start by motoring
                     the Generating Unit(s).

                     CalPeco has two options in determining whether Starting Voltage Drop could
                     be a problem; which option to use is at CalPeco’s discretion.

                     Option 1: CalPeco may determine that the Generating Facility’s starting Inrush
                     Current must be equal to or less than the continuous ampere rating of the
                     Customer’s Service Equipment.

                     Option 2: CalPeco may determine the impedances of service distribution
                     transformer (if present) and secondary conductors, from primary to Producer’s
                     Service Equipment, and perform a voltage drop calculation. Alternately, CalPeco
                     may use tables or nomographs. Voltage drop caused by the starting
                     of a Generating Unit must be less than 2.5% for primary interconnection and 5%
                     for secondary interconnection.

                     Significance:
                      This screen addresses potential voltage fluctuation problems for Generating
                        Units that start by motoring.
                                                 (Continued)

                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                           CPUC Sheet No. 303
                             Canceling Original                              CPUC Sheet No. 303


                                                 RULE 21
                                   GENERATING FACILITY INTERCONNECTIONS

       I.      INITIAL REVIEW PROCESS FOR APPLICATIONS TO INTERCONNECT DISTRIBUTED
               GENERATION (Continued)

               7.        Is the Starting Voltage Drop screen met? (Continued)

                         Significance: (Continued)

           When starting, Generating Facilities should have minimal impact on the service voltage to
            other CalPeco Customers.
           Passing this screen does not relieve the Producer from compliance with the flicker requirements
            of Section D.2.b.

                8.      Is the Gross Nameplate Capacity of the Generating Facility 11 kVA or less?
           If Yes, Generating Facility qualifies for Simplified Interconnection. Skip remaining screens.
           If No, continue to next screen.

                         Significance: Generating Facility has minimal impact on fault current levels and
                         any potential line overvoltages from loss of system neutral grounding.

               9.        Is Short Circuit Current Contribution screen met?

           If No, Generating Facility does not qualify for Simplified Interconnection.
                                Perform supplemental review.
           If Yes, continue to next screen.

                    The Short Circuit Current Contribution Screen consists of two criteria, both of which
                    must be met when applicable:

                    a.      When measured at primary side (high side) of the Dedicated Distribution
                            Transformer serving a Generating Facility, the sum of the Short Circuit
                            Contribution Ratios (SCCR) of all Generating Facilities connected to the
                            particular Distribution System circuit that serves the Generating Facility must
                            be less than or equal to 0.1.

                    b.      When measured at secondary (low side) of a shared distribution
                            transformer, the short circuit contribution of the proposed Generating Facility
                            must be less than or equal to 2.5% of the interrupting rating of the
                            Producers Service Equipment.

                                                      (Continued)




                                                     Issued by
Advice Letter No.    1-E                         Bob Dodds              Date Filed    November 23, 2010
                                                      Name
Decision No.     10-10-017                  President and CEO           Effective    January 1, 2011
                                                       Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 304
                             Canceling Original                           CPUC Sheet No. 304


                                              RULE 21
                                GENERATING FACILITY INTERCONNECTIONS

       I.      INITIAL REVIEW PROCESS FOR APPLICATIONS TO INTERCONNECT DISTRIBUTED
               GENERATION (Continued)

               9.     Is Short Circuit Current Contribution screen met? (Continued)

                      Significance:
                      If the Generating Facility passes this screen, it can be expected that it will have no
                      significant impact on CalPeco’s Distribution System’s short circuit duty, fault
                      detection sensitivity, relay coordination, or fuse-saving schemes.

               10.    Is the Line Configuration screen met?

                            If No, then Generating Facility does not qualify for Simplified Interconnection.
                             Perform supplemental review.
                            If Yes, then Generating Facility qualifies for Simplified Interconnection. Skip
                             remaining screens.

                      Line Configuration Screen: Identify primary distribution line configuration. Based on
                      proposed interconnection type, determine from table whether Generating Facility
                      passes screen.

               Primary Distribution Line       Type of Interconnection to      Result/Criteria
               Type                            Primary Distribution Line

               Three-phase, three wire         Any                             Pass screen
               Three-phase, four wire          Single-phase, line-to-          Pass screen
                                               neutral
               Three-phase, four wire          All others                      To pass, aggregate
               (For any line that has such                                     Generating Facility
               a section OR mixed 3 wire                                       Capacity must be less than
               & 4 wire)                                                       or equal to 10% of Line
                                                                               Section Peak Load.

                      Significance: If CalPeco’s primary system is three-wire or the Generating Facility
                      interconnection transformer is single-phase (line-to-neutral), then there is no concern
                      about overvoltages to CalPeco’s, or Customer, equipment caused
                      by loss of system neutral grounding during the operating time of anti-islanding
                      protection.

                                                    (Continued)




                                                  Issued by
Advice Letter No.    1-E                        Bob Dodds               Date Filed    November 23, 2010
                                                   Name
Decision No.    10-10-017                    President and CEO          Effective    January 1, 2011
                                                    Title
                                                                        Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 305
                             Canceling Original                         CPUC Sheet No. 305


                                              RULE 21
                                GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               1.    Introduction

                     This Appendix describes the test procedures and requirements for equipment
                     used for the Interconnection of Generating Facilities to CalPeco’s Distribution
                     System. Included are Type Testing, Production Testing, Commissioning Testing, and
                     Periodic Testing. The procedures listed rely heavily on those described in
                     appropriate Underwriters Laboratory (UL), Institute of Electrical and Electronic
                     Engineers (IEEE), and International Electrotechnical Commission (IEC) documents—
                     most notably UL 1741 and IEEE 929—as well as the testing described in May 1999
                     New York Standardized Interconnection Requirements. These procedures and
                     requirements were developed prior to the completion of IEEE
                     P1547 Standard for Distributed Resources Interconnected with Electric Power
                     Systems, and should be revisited once that standard is published.

                     The tests described here, together with the technical requirements in Section D of
                     Rule 21, are intended to provide assurance that the Generating Facility’s equipment
                     will not adversely affect CalPeco’s Distribution System and that it will cease
                     providing power to the grid under abnormal conditions. The tests were developed
                     assuming a low level of Generating Facility penetration. At high levels of
                     Generating Facility penetration, other requirements and corresponding test
                     procedures may need to be defined.

                     This test specification also provides a means of certifying equipment. CalPeco
                     does not need to review the design or test Protective Functions of Certified
                     Equipment. The use of non-certified equipment may be acceptable subject to testing
                     and approval by CalPeco as discussed below.

               2.    Certification Criteria

                     Equipment tested and approved (e.g. listed) by an accredited, nationally recognized
                     testing laboratory (NRTL) as having met both the Type Testing and Production
                     Testing requirements is considered Certified Equipment for purposes of
                     Interconnection. Certification may apply to either a pre-packaged system or an
                     assembly of components that address the necessary functions. Type Testing may
                     be done in the factory/test lab or in the field. At the discretion of the testing
                     laboratory, field-certification may apply only to the particular installation tested. In
                     such cases, some or all of the tests may need to be repeated at other installations.



                                                    (Continued)

                                                   Issued by
Advice Letter No.   1-E                          Bob Dodds           Date Filed     November 23, 2010
                                                    Name
Decision No.    10-10-017                     President and CEO      Effective    January 1, 2011
                                                     Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 306
                             Canceling Original                         CPUC Sheet No. 306


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               2.    Certification Criteria (Continued)

                     For non-certified equipment, some or all of the tests described in this document
                     may be required by CalPeco. The manufacturer or other lab acceptable to
                     CalPeco may perform these tests. Test results must be submitted to CalPeco
                     with the Interconnection Application for review and approval under the supplemental
                     review. Approval by CalPeco for use in a particular
                     application does not guarantee approval for use in other applications or by other
                     Electrical Corporations.

                     The NRTL shall provide to the manufacturer, at a minimum, a Certificate with the
                     following information for each device certified:

                     a.     Administrative:

                            1)      Effective date of certification or applicable serial number (range or first
                                    in series), other proof that certification is current
                            2)      Equipment model number (s)
                            3)      Software version, if applicable
                            4)      Test procedures specified (including date or revision number)
                            5)      Laboratory accreditation (by whom and to what standard)

                     b.     Technical (As appropriate):

                            1)      Device rating (kW, kVA, V, A, etc.)
                            2)      Maximum available fault current, A
                            3)      In-rush current, A
                            4)      Trip points, if factory set (trip value and timing)
                            5)      Trip point and timing ranges for adjustable settings
                            6)      Nominal power factor or range if adjustable
                            7)      If the device/system is certified for non-export and the method used
                                    (reverse power or under power)
                            8)      If the device/system is certified non-islanding

                     It is the responsibility of the equipment manufacturer to ensure that certification
                     information is made publicly available by the manufacturer, the testing laboratory, or
                     by a third party.



                                                 (Continued)

                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                   CPUC Sheet No. 307
                             Canceling Original                      CPUC Sheet No. 307


                                            RULE 21
                              GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               3.    Type Testing (Continued)

                     a.     Inverters (Continued)

                            Static power inverters shall meet all of the Type Tests and requirements
                            appropriate for a utility interactive inverter as specified in UL 1741 Static
                            Inverters and Charge Controllers for Use in Photovoltaic Power Systems, and
                            listed below. These requirements may be applied to inverters used with
                            electric energy sources other than PV. The specific section number from the
                            May

                            1999 version of UL1741 is provided for each test and requirement. The
                            titles for some sections were added for clarity. These section numbers are
                            subject to change by UL. A revised version of 1741 is expected to be
                            published around Nov 2000. The utility interconnection-related procedures
                            and requirements of that version will need to be reviewed to determine if
                            they should be adopted into these testing and certification rules.

                            The requirements described below cover only issues related to
                            Interconnection and are not intended to address device safety and other
                            issues outside the need and relationship between CalPeco and EP.


                                                (Continued)




                                              Issued by
Advice Letter No.   1-E                     Bob Dodds             Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017               President and CEO         Effective    January 1, 2011
                                                Title
                                                                  Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 308
                             Canceling Original                             CPUC Sheet No. 308


                                                  RULE 21
                                    GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               3.        Type Testing (Continued)

                         a.       Inverters (Continued)


                                        Table 1, UL1741 (May 1999 Version
                    Type Tests and Requirements Appropriate for Utility Interactive Inverter Systems

               Section Number                             Section Title

                         39.1                             Utility Disconnect Switch
                         39.2                             Field Adjustable Trip-points
                         39.3                             Field Adjustable Trip-points
                         39.4                             Field Adjustable Trip-points
                         39.5                             Field Adjustable Trip-points, Marking
                         40.1                             DC Isolation
                         41.2                             Simulated PV Array (Input Source) requirements
                         44                               Dielectric Voltage Withstand Test
                         45.2.2                           Power Factor
                         45.4                             Harmonic Distortion
                         45.5                             DC Injection
                         46.2                             Utility Voltage and Frequency Variation Test
                         46.2.3                           Reset Delay
                         46.4                             Loss of Control circuit
                         47.3                             Short Circuit Test
                         47.7                             Load Transfer Test

                         A description of key aspects of these procedures is provided in the Testing
                         Procedures Section K.




                                                     (Continued)




                                                   Issued by
Advice Letter No.      1-E                       Bob Dodds                Date Filed    November 23, 2010
                                                     Name
Decision No.    10-10-017                    President and CEO            Effective    January 1, 2011
                                                     Title
                                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 309
                             Canceling Original                         CPUC Sheet No. 309


                                              RULE 21
                                GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               3.    Type Testing (Continued)

                     a.     Inverters (Continued)

                            Separate test procedures are provided to certify non-islanding function
                            (J.3.d.) and non-export function (J.3.e.), to determine the in-rush current
                            J.3.f., to subject the device to voltage surge conditions J.3.g., and to verify
                            the inverter’s ability to synchronize with the Distribution System (J.3.h.).

                     b.     Synchronous Generators

                            Until a standardized test procedure, written specifically for synchronous
                            generators, is identified, an EC or NRTL shall determine which of the tests
                            described in this Section are appropriate and necessary to certify the
                            performance of the control and protection system functions of the
                            synchronous machine, and how to perform them. The following tests, defined
                            in UL 1741, shall be performed as applicable to a synchronous generator.

                                     Table 2, UL1741 (May 1999 Version
                     Type Tests and Requirements Appropriate for Synchronous Generators

               Section Number                       Section Title
                      39.1                          Utility Disconnect Switch
                      39.2                          Field Adjustable Trip-points
                      39.3                          Field Adjustable Trip-points
                      39.4                          Field Adjustable Trip-points
                      39.5                          Field Adjustable Trip-points, Marking
                      44                            Dielectric Voltage Withstand Test
                      45.2.2                        Power Factor
                      45.4                          Harmonic Distortion
                      46.2                          Utility Voltage and Frequency Variation Test
                      46.2.3                        Reset Delay
                      46.4                          Loss of Control circuit
                      47.3                          Short Circuit Test

                     Separate test procedures are provided to certify non-islanding function and non-
                     export function, to determine in-rush current, to subject the device to voltage surge
                     conditions, and to verify the generator’s ability to synchronize with the Distribution
                     System.

                                                 (Continued)

                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 310
                             Canceling Original                        CPUC Sheet No. 310


                                              RULE 21
                                GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               3.    Type Testing (Continued)

                     c.      Induction Generators

                             Until a standardized test procedure, written specifically for induction
                             generators is identified, CalPeco or NRTL shall determine which of
                             the tests described in this Appendix are appropriate and necessary to certify
                             the performance of the control and protection system functions of the
                             induction generator, and how to perform them. The following tests, defined in
                             UL 1741, shall be performed as applicable to a induction generator.

                                     Table 3, UL1741 (May 1999 Version
                       Type Tests and Requirements Appropriate for Induction Generators

               Section Number                       Section Title
                      39.1                          Utility Disconnect Switch
                      39.2                          Field Adjustable Trip-points
                      39.3                          Field Adjustable Trip-points
                      39.4                          Field Adjustable Trip-points
                      39.5                          Field Adjustable Trip-points, Marking
                      44                            Dielectric Voltage Withstand Test
                      45.2.2                        Power Factor
                      45.4                          Harmonic Distortion
                      46.2                          Utility Voltage and Frequency Variation Test
                      46.2.3                        Reset Delay
                      46.4                          Loss of Control circuit
                      47.3                          Short Circuit Test
                      47.7                          Load Transfer Test

       Separate test procedures are provided to certify non-islanding function and non-export function, to
       determine the in-rush current, and to subject the device to voltage surge conditions.




                                                 (Continued)




                                                Issued by
Advice Letter No.   1-E                       Bob Dodds             Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                 President and CEO         Effective    January 1, 2011
                                                  Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 311
                             Canceling Original                       CPUC Sheet No. 311


                                            RULE 21
                              GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               3.    Type Testing (Continued)

                     d.     Anti-Islanding Test

                            In addition to the above Type Tests, devices that pass the Anti-Islanding test
                            procedure described in this Appendix will be considered Non-Islanding for
                            the purposes of these interconnection requirements.

                     e.     Non-Export Test

                            In addition to the above Type Tests, devices that pass the Non-Export test
                            procedure described in Section K.1 a. will be considered Non-Exporting for
                            the purposes of these interconnection requirements.

                     f.     In-rush Current Test

                            Generation equipment that utilizes CalPeco power to motor up to
                            speed will be tested using the procedure defined in Section K.1.b. to
                            determine the maximum current drawn during this startup process. The
                            resulting in-rush current is used to estimate the starting voltage drop.

                     g.     Surge Withstand Capability Test

                            Interconnection equipment shall tested for surge withstand capability
                            (SWC), both oscillatory and fast transient, in accordance with the test
                            procedure defined in IEEE/ANSI C62.45 using the peak values defined in
                            IEEE/ANSI C62.41 Tables 1 and 2 for location category B3. An acceptable
                            result occurs even if the device is damaged by the surge, but is unable to
                            operate or energize CalPeco. If the device remains operable after being
                            subject to the surge conditions, previous type tests related to CalPeco’s
                            protection and power quality will need to be repeated to ensure the unit will
                            still pass those tests following the surge test.



                                                  (Continued)




                                               Issued by
Advice Letter No.   1-E                       Bob Dodds            Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017               President and CEO          Effective    January 1, 2011
                                                   Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 312
                             Canceling Original                        CPUC Sheet No. 312


                                             RULE 21
                               GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               3.    Type Testing (Continued)

                     h.     Synchronization Test

                            This test verifies that the unit synchronizes within the specified
                            voltage/frequency/phase angle requirements. It is applied to synchronous
                            generators and inverters capable of operating as voltage-source while
                            connected to CalPeco. This test is not necessary for induction
                            generators or current-source inverters.

                            The test will start with only one of the three parameters--voltage difference
                            between Generating Facility and CalPeco, frequency difference, or phase
                            angle--outside of the synchronization specification. Initiate the
                            synchronization routine and verify that the Generating Facility is brought
                            within specification prior to synchronization. Repeat the test five times for
                            each of the three parameters.

                            For manual synchronization with synch check or manual control with auto
                            synchronization, the test must verify that paralleling does not occur until the
                            parameters are brought within spec.

               4.    Production Testing

                     As a minimum, the Utility Voltage and Frequency Variation Test procedure
                     described in UL1741 under Manufacturing and Production Tests, Section 68 shall
                     be performed as part of routine production (100 percent) on all equipment used to
                     interconnect Generating Facilities to CalPeco. This testing may be performed in
                     the factory or as part of a Commissioning Test (J.5.a.).

               5.    Commissioning Testing

                     Commissioning Testing, where required, will be performed on-site to verify
                     protective settings and functionality. Upon initial Parallel Operation of a generating
                     system, or any time interface hardware or software is changed that may affect the
                     functions listed below, a Commissioning Test must be performed. An individual
                     qualified in testing protective equipment (professional engineer, factory-certified
                     technician, or licensed electrician with experience in testing protective equipment)
                     must perform commissioning testing in accordance with the manufacturer’s
                     recommended test procedure to prove the settings and requirements of this


                                                 (Continued)
                                                Issued by
Advice Letter No.   1-E                      Bob Dodds               Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 313
                             Canceling Original                         CPUC Sheet No. 313


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               5.    Commissioning Testing (Continued)

                     document. CalPeco has the right to witness Commissioning Tests as described
                     below, or to require written certification by the installer describing which tests were
                     performed and their results. Functions to be tested during commissioning,
                     particularly with respect to non-certified equipment, may consist of the following:

                           Over- and under-voltage
                           Over- and under-frequency
                           Anti-Islanding function (if applicable)
                           Non-Export function (if applicable)
                           Inability to energize dead line
                           Time delay restart after utility source is stable
                           Utility system fault detection (if used)
                           Synchronizing controls (if applicable)
                           Other interconnection protective functions that may be required as part of
                            the Interconnection Agreement

                     Other checks and tests that may need to be performed include:

                           Verifying final protective settings
                           Trip test
                           In-service test

                     a.     Certified Equipment

                            Systems qualifying for Simplified Interconnection incorporate Certified
                            Equipment that have, at a minimum, passed the Type and Production Tests
                            described in this document, and are judged to have little or no potential
                            impact on CalPeco’s distribution system. For such systems, it is necessary
                            to perform only the following tests:

                            1)      Protection settings that have been changed after factory testing will
                                    require field verification. Tests will be performed using injected
                                    secondary quantities, applied waveforms, a test connection using a
                                    generator to simulate abnormal utility voltage or frequency, or
                                    varying the set points to show that the device trips at the measured
                                    (actual) utility voltage or frequency.


                                                  (Continued)
                                                Issued by
Advice Letter No.   1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                  Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 314
                             Canceling Original                        CPUC Sheet No. 314


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               5.    Commissioning Testing (Continued)

                     a.     Certified Equipment (Continued)

                            2.      Non-Islanding function will be checked by operating a load break
                                    disconnect switch to verify the interconnection equipment ceases to
                                    energize the line and does not re-energize for the required time
                                    delay after the switch is closed

                            3.      Non-Export function will be checked using secondary injection
                                    techniques. This function may also be tested by adjusting the
                                    Generating Facility output and local loads to verify that the applicable
                                    non-export criteria (i.e., reverse power or under power) are met.

                            The supplemental review or an Interconnection Study may impose additional
                            components or additional testing.

                     b.     Non-Certified Equipment

                            Non-certified equipment shall be subjected to the appropriate tests
                            described in Type Testing (Section J.3.) as well as those described in
                            Certified Equipment Commissioning Test (Section J.5.a.). With CalPeco
                            approval, these tests may be performed in the factory, in the field as part of
                            commissioning, or a combination of both. CalPeco, at its discretion, may
                            also approve a reduced set of tests for a particular application or, for
                            example, if they have sufficient experience with the equipment.

                     c.     Verifying final protective settings

                            If the testing is part of the commissioning process, then, at the completion of
                            such testing, the EP shall confirm all devices are set to EC-approved
                            settings. This step shall be documented in the Commissioning Test
                            Certification.




                                                 (Continued)
                                                Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                  Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 315
                             Canceling Original                       CPUC Sheet No. 315


                                            RULE 21
                              GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               5.    Commissioning Testing (Continued)

                     d.     Trip Test (Continued)

                            Interconnection protective devices (e.g. reverse power relay) that have not
                            previously been tested as part of the interconnection system with their
                            associated interrupting devices (e.g. contactor or circuit breaker) shall be
                            trip tested during commissioning. The trip test shall be adequate to prove that
                            the associated interrupting devices open when the protective devices
                            operate.

                            Interlocking circuits between protective devices or between interrupting
                            devices shall be similarly tested unless they are part of a system that has
                            been tested and approved during manufacture.

                     e.     In-service test

                            Interconnection protective devices that have not previously been tested as
                            part of the interconnection system with their associated instrument
                            transformers or that are wired in the field shall be given an in-service test
                            during commissioning. This test will verify proper wiring, polarity, CT/PT
                            ratios, and proper operation of the measuring circuits. The in-service test
                            shall be made with the power system energized and carrying a known level of
                            current. A measurement shall be made of the magnitude and phase angle of
                            each ac voltage and current connected to the protective device and the
                            results compared to expected values.

                            For protective devices with built-in metering functions that report current and
                            voltage magnitudes and phase angles, or magnitudes of current, voltage, and
                            real and reactive power, the metered values may be used for in-service
                            testing. Otherwise, portable ammeters, voltmeters, and phase-angle meters
                            shall be used.




                                                (Continued)




                                               Issued by
Advice Letter No.   1-E                       Bob Dodds            Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO         Effective    January 1, 2011
                                                 Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 316
                             Canceling Original                       CPUC Sheet No. 316


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       J.      TESTING AND CERTIFICATION CRITERIA (Continued)

               6.    Periodic Testing

                     Periodic Testing of Interconnection-related Protective Functions shall be performed
                     as specified by the manufacturer, or at least every four years. All periodic tests
                     prescribed by the manufacturer shall be performed. The EP shall maintain periodic
                     test reports or a log for inspection by CalPeco. Periodic Testing conforming
                     to CalPeco test intervals for the particular line section may be specified by
                     CalPeco under special circumstances, such as high fire hazard areas. A
                     system that depends upon a battery for trip power shall be checked and logged
                     once per month for proper voltage. Once every four years, the battery must be either
                     replaced or a discharge test performed.

       K.      TESTING PROCEDURES

               1.    Type Test and Requirements

                            This section describes the Type Tests necessary to qualify a device as
                            Certified, which are not contained in Underwriters Laboratories UL 1741
                            Standard Inverters, Converters and Controllers for Use in Independent Power
                            Systems, or other referenced standards.

                     a)     Non-Export test Procedures

                            The non-export test is intended to verify the operation of relays, controllers
                            and inverters designed to limit the export of power and certify the equipment
                            as meeting the requirements of Step 2, Options 1 and 2, of the Initial
                            Review Process. Tests are provided for discrete relay packages and for
                            controllers and inverters that include the intended function.

                            1)      Reverse Power Relay Test

                                    This version of the Non-Export test procedure is intended for stand-
                                    alone reverse power and under power relay packages provided to
                                    meet the requirements of Options 1 and 2 of the Export Screen. It
                                    should be understood that in the reverse power application, the relay
                                    will provide a trip output with power in the export (toward CalPeco’s
                                    system) direction.


                                                (Continued)


                                               Issued by
Advice Letter No.   1-E                      Bob Dodds             Date Filed     November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO         Effective    January 1, 2011
                                                 Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 317
                             Canceling Original                        CPUC Sheet No. 317


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       K.      TESTING PROCEDURES (Continued)

               1.    Type Test and Requirements (Continued)

                     a.     Non-Export test Procedures (Continued)

                            1)      Reverse Power Relay Test (Continued)

                                    Step 1: Power Flow Test at Minimum, Midpoint and Maximum
                                           Pickup Level Settings

                                    Determine the appropriate secondary pickup current for the desired
                                    export power flow of 0.5 secondary watts (the agreed-upon
                                    minimum pickup setting, assumes 5Amp and 120V CT/PT
                                    secondary). Apply nominal voltage with minimum current setting at 0
                                    degrees in the trip direction. Increase the current to pickup level.
                                    Observe the relay’s (LCD or computer display) indication of power
                                    values. Note the indicated power level at which the relay trips. The
                                    power indication should be within 2 percent of the expected power.
                                    For relays with adjustable settings, repeat this test at the midpoint,
                                    and maximum settings. Repeat at phase angles of 90, 180 and 270
                                    degrees and verify that the relay does NOT operate (measured watts
                                    will be zero or negative).

                                    Step 2: Leading Power Factor Test

                                    Apply rated voltage with a minimum pickup current setting
                                    (calculated value for system application) and apply a leading power
                                    factor load current in the non-trip direction (current lagging voltage
                                    by 135 degrees). Increase the current to relay rated current and
                                    verify that the relay does NOT operate. For relay’s with adjustable
                                    settings, this test should be repeated at the minimum, midpoint, and
                                    maximum settings.

                                    Step 3: Minimum Power Factor Test
                                    At nominal voltage and with the minimum pickup (or ranges)
                                    determined in Step 1, adjust the current phase angle to 84 or 276
                                    degrees. Increase the current level to pickup (about 10 times higher
                                    than at 0 degrees) and verify that the relay operates. Repeat for
                                    angles 90, 180 and 270 degrees and verify that the relay does NOT
                                    operate.

                                                 (Continued)

                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 318
                             Canceling Original                        CPUC Sheet No. 318


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       K.      TESTING PROCEDURES (Continued)

               1.    Type Test and Requirements (Continued)

                     a.     Non-Export test Procedures (Continued)

                            1)      Reverse Power Relay Test (Continued)

                                    Step 4: Negative Sequence Voltage Test

                                    Using the pickup settings determined in Step 1, apply rated relay
                                    voltage and current at 180 degrees from tripping direction, to
                                    simulate normal load conditions (for 3-phase relays, use Ia at 180, Ib
                                    at 60 and Ic and 300 degrees). Remove Phase-1 voltage and
                                    observe that the relay does not operate. Repeat for phase-2 and 3.

                                    Step 5: Load Current Test

                                    Using the pickup settings determined in Step 1, apply rated voltage
                                    and current at 180 degrees from the tripping direction, to simulate
                                    normal load conditions (use Ia at 180, Ib at 300 and Ic at 60
                                    degrees). Observe that the relay does NOT operate.

                                    Step 6: Unbalanced Fault Test

                                    Using the pickup settings determined in Step 1, apply rated voltage
                                    and 2 times rated current, to simulate an unbalanced fault in the non-
                                    trip direction (use Va at 0 degrees, Vb and Vc at 180 degrees, Ia at
                                    180 degrees, Ib at 0 degrees, and Ic at 180 degrees). Observe that
                                    the relay, especially single phase, does not misoperate.

                                    Step 7: Time Delay Settings Test

                                    Apply Step 1 settings and set time delay to minimum setting. Adjust
                                    the current source to the appropriate level to determine operating
                                    time, and compare against calculated values. Verify that the timer
                                    stops when the relay trips. Repeat at midpoint and maximum delay
                                    settings



                                                (Continued)


                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 319
                             Canceling Original                       CPUC Sheet No. 319


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       K.      TESTING PROCEDURES (Continued)

               1.    Type Test and Requirements (Continued)

                     a.     Non-Export test Procedures (Continued)

                            1)      Reverse Power Relay Test (Continued)

                                    Step 8: Dielectric Test

                                    Perform the test described in IEC 414 using 2 kV RMS for 1 minute.

                                    Step 9: Surge withstand

                                    Perform the surge withstand test described in IEEE C37.90.1.1989
                                    or the surge withstand test described in B.3.7.

                            2)      Under Power Relay Test

                                    In the underpower application, the relay will provide a trip output
                                    when import power (toward the EP) drops below the specified power
                                    level.

                            Note: For an underpower relay, pickup is defined as the highest power level
                            at which the relay indicates that the power is less than the set setting.

                                    Step 1: Power Flow Test at Minimum, Midpoint and Maximum
                                    Pickup Level Settings

                                    Determine the appropriate secondary pickup current for the desired
                                    power flow pickup level of 5% of peak load (the agreed-upon
                                    minimum pickup setting). Apply rated voltage and current setting at 0
                                    degrees in the direction of normal load current.

                                    Decrease the current to pickup level. Observe the relay’s (LCD or
                                    computer display) indication of power values. Note the indicated
                                    power level at which the relay. Trips. The power indication should be
                                    within 2 percent of the expected power. For relays with adjustable
                                    settings, repeat the test at the midpoint, and maximum settings.
                                    Repeat at phase angles of 90, 180 and 270 degrees and verify that
                                    the relay operates (measured watts will be zero or negative).

                                                (Continued)

                                               Issued by
Advice Letter No.   1-E                      Bob Dodds             Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO         Effective    January 1, 2011
                                                 Title
                                                                   Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                    CPUC Sheet No. 320
                             Canceling Original                       CPUC Sheet No. 320


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       K.      TESTING PROCEDURES (Continued)

               1.    Type Test and Requirements (Continued)

                     a.     Non-Export test Procedures (Continued)

                            2)      Under Power Relay Test (Continued)

                                    Step 2: Leading Power Factor Test

                                    Using the pickup current setting determined in step 1, apply rated
                                    voltage and rated leading power factor load current in the normal
                                    load direction (current leading voltage by 45 degrees). Decrease the
                                    current to 145% of the pickup level determined in Step 1 and verify
                                    that the relay does NOT operate. For relays with adjustable settings,
                                    repeat the test at the minimum, midpoint, and maximum settings.

                                    Step 3: Minimum Power Factor Test

                                    At nominal voltage and with the minimum pickup (or ranges)
                                    determined in Step 1, adjust the current phase angle to 84 or 276
                                    degrees. Decrease the current level to pickup (about 10% of the
                                    value at 0 degrees) and verify that the relay operates. Repeat for
                                    angles 90, 180 and 270 degrees and verify that the relay operates
                                    for any current less than rated current.

                                    Step 4: Negative Sequence Voltage Test

                                    Using the pickup settings determined in Step 1, apply rated relay
                                    voltage and 25% of rated current in the normal load direction, to
                                    simulate light load conditions. Remove Phase-1 voltage and observe
                                    that the relay does not operate, repeat for phase-2 and 3.

                                    Step 5: Unbalanced Fault Test

                                    Using the pickup settings determined in Step 1, apply rated voltage
                                    and 2 times rated current, to simulate an unbalanced fault in the
                                    normal load direction (use Va at 0 degrees, Vb and Vc at 180
                                    degrees, Ia at 0 degrees, Ib at 180 degrees, and Ic at 0 degrees).
                                    Observe that the relay, especially single phase, operates properly.


                                                (Continued)

                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                     CPUC Sheet No. 321
                             Canceling Original                        CPUC Sheet No. 321


                                               RULE 21
                                 GENERATING FACILITY INTERCONNECTIONS

       K.      TESTING PROCEDURES (Continued)

               1.    Type Test and Requirements (Continued)

                     a.     Non-Export test Procedures (Continued)

                            2)      Under Power Relay Test (Continued)

                                    Step 6: Time Delay Settings Test

                                    Apply Step 1 settings and set time delay to minimum setting. Adjust
                                    the current source to the appropriate level to determine operating
                                    time, and compare against calculated values. Verify that the timer
                                    stops when the relay trips. Repeat at midpoint and maximum delay
                                    settings.

                                    Step 7: Dielectric Test

                                    Perform the test described in IEC 414 using 2 kV RMS for 1 minute.

                                    Step 8: Surge withstand

                                    Perform the surge withstand test described in IEEE C37.90.1.1989
                                    or the surge withstand test described in J.3.g

                            3)      Functional Test for Inverters and Controllers

                                    Inverters and controllers designed to provide reverse or under power
                                    functions shall be tested to certify the intended operation of this
                                    function. Two methods are provided.

                                    Method 1: If the controller utilizes external current/voltage
                                    measurement to determine the reverse or underpower condition,
                                    then the controller shall be functionally tested by application of
                                    appropriate secondary currents and potentials as described in the
                                    Relay Test K.1.a.1.

                                    Method 2: If external secondary current or potential signals are not
                                    used, then unit-specific tests must be conducted to verify that power
                                    cannot be exported across the PCC for a period exceeding two
                                    seconds. These tests may be factory tests, if the measurement and
                                    control points are part of a single unit, or may be provided for in the
                                    field.

                                                 (Continued)
                                               Issued by
Advice Letter No.   1-E                      Bob Dodds              Date Filed      November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO          Effective    January 1, 2011
                                                 Title
                                                                    Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 322
                             Canceling Original                         CPUC Sheet No. 322


                                 GENERATING FACILITY INTERCONNECTIONS

       K.      TESTING PROCEDURES (Continued)

               1.    Type Test and Requirements (Continued)

                     b.     In-rush Current Test

                            This test will determine the maximum in-rush current drawn by the unit.

                            1)      Locked-Rotor Method

                                    Use the test procedure defined in NEMA MG-1 (manufacturer’s data
                                    is acceptable if available).

                            2)      Start-up Method

                                    Install and setup the Generating Facility equipment as specified by
                                    the manufacturer. Using a calibrated oscilloscope or data acquisition
                                    equipment with appropriate speed and accuracy, measure the
                                    current draw at the Point of Interconnection as the Generating
                                    Facility starts up and parallels to CalPeco. Startup shall follow
                                    the normal, manufacturer-specified procedure. Sufficient time and
                                    current resolution and accuracy shall be used to capture the
                                    maximum current draw within five percent. In-rush current is defined
                                    as the maximum current draw from CalPeco during the startup
                                    process, using a 10-cycle moving average. During the test, the utility
                                    source, real or simulated, must be capable of maintaining voltage
                                    within +/- five percent of rated at the connection to the unit under test.
                                    Repeat this test five times. Report the highest 10-cycle current as the
                                    in-rush current A graphical representation of the time-current
                                    characteristic along with the certified in-rush current will be included
                                    in the test report and will be made available to CalPeco.




                                               Issued by
Advice Letter No.   1-E                      Bob Dodds               Date Filed     November 23, 2010
                                                 Name
Decision No.    10-10-017                President and CEO           Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 323
                             Canceling Original                         CPUC Sheet No. 323



                                                             PROPOSED
                                                             GENERATING FACILITY
                                                             INTERCONNECTION AGREEMENT


       This Generating Facility Interconnection Agreement (“Agreement”) is entered into by and between
       Electrical Producer’s Name (”Electricity Producer” or “EP ”), and California Pacific Electric
       Company, LLC (“CalPeco”). EP and CalPeco are sometimes also referred to in this
       Agreement jointly as “Parties” or individually as “Party.”

       In consideration of the mutual promises and obligations stated in this Agreement and its
       attachments, the Parties agree as follows:

       1.      SCOPE AND PURPOSE
               This Agreement provides for EP to interconnect and operate a Generating Facility in
               parallel with CalPeco’s Distribution System to serve the electrical loads connected to the
               electric service account that CalPeco uses to interconnect EP’s Generating Facility (or,
               where permitted under Section 218 of the California Public Utilities Code, the electric loads
               of an on-site or neighboring party lawfully connected to EP’s Generating Facility through
               EP’s circuits).
       2.      SUMMARY AND DESCRIPTION OF EP’s GENERATING FACILITY
               2.1    A description of the Generating Facility, including a summary of its significant
                      components and a single-line diagram showing the general arrangement of how
                      EP’s Generating Facility and loads are interconnected with CalPeco’s Distribution
                      System, is attached to and made a part of this Agreement as Appendix A.
               2.2    Generating Facility identification number: _________________ (Assigned by CalPeco)
               2.3    CalPeco’s customer electric service account number: ____________ (Assigned by
                      CalPeco)

               2.4    Name and address used by CalPeco to locate the electric service account used to
                      interconnect the Generating Facility with CalPeco’s Distribution System:
                                 _______________________
                                 _______________________
                                 _______________________
               2.5    The Gross Nameplate Rating of the Generating Facility is: _____ kW.
               2.6    The Net Nameplate Rating of the Generating Facility is _____ kW.
               2.7    The expected annual energy production of the Generating Facility is ______ kWh.



                                                  (Continued)

                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 324
                             Canceling Original                          CPUC Sheet No. 324



       2.      SUMMARY AND DESCRIPTION OF EP’s GENERATING FACILITY (Continued)
               2.8    For the purpose of securing the Competition Transition Charge exemption available
                      under Section 372 of the California Public Utilities Code (“PUC”), EP hereby declares
                      that the Generating Facility  does /  does not meet the requirements for
                      “Cogeneration” as such term is used in Section 218.5 of the California Public Utilities
                      Code.
               2.9    The Generating Facility’s expected date of Initial Operation is ____________.
                      The expected date of Initial Operation shall be within two years of the date of this
                      Agreement.
       3.      DOCUMENTS INCLUDED; DEFINED TERMS
               3.1    This Agreement includes the following exhibits which are specifically incorporated
                      herein and made a part of this Agreement by this reference:
                      Appendix A-    Description of Generating Facility and Single-Line Diagram
                      Appendix B-    Copies of Rules 2 and 21 and other selected rules and tariffs of
                                     CalPeco
                      Appendix C     (When applicable) Copy of Interconnection Facility Financing and
                                     Ownership Agreement
               3.2    When initially capitalized, whether in the singular or in the plural, the terms used
                      herein shall have the meanings assigned to them either in this Agreement or in
                      Rule 21 of CalPeco’s tariffs.
       4.      TERM AND TERMINATION
               4.1    This Agreement shall become effective as of the last date entered in Section 16,
                      below. The Agreement shall continue in full force and effect until the earliest date
                      that one of the following events occurs:
                      (a) The Parties agree in writing to terminate the Agreement; or
                      (b) At 12:01 A.M. on the 61st day after EP or CalPeco provides written Notice
                          (pursuant to Section 9, below) to the other Party of EP’s or CalPeco’s intent to
                          terminate this Agreement.
               4.2    EP may elect to terminate this Agreement pursuant to the terms of Section 4.1(b)
                      for any reason. CalPeco may elect to terminate this Agreement pursuant to the terms
                      of Section 4.1(b) for one or more of the following reasons:
                      (a) A change in applicable rules, tariffs, and regulations, as approved or directed by
                          the CPUC, or a change in any local, state or federal law, statute or regulation,
                          either of which materially alters or otherwise affects CalPeco’s ability or
                          obligation to perform CalPeco’s duties under this Agreement; or,

                                                  (Continued)


                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 325
                             Canceling Original                         CPUC Sheet No. 325



 4.    TERM AND TERMINATION (Continued)
               (b)    EP fails to take all corrective actions specified in CalPeco’s Notice that EP’s
                      Generating Facility is out of compliance with the terms of this Agreement within
                      the time frame set forth in such Notice; or,
               (c)    EP fails to interconnect and operate the Generating Facility per the terms of this
                      Agreement prior to 120 days after the date set forth in Section 2.9, above, as
                      the Generating Facility’s expected date of Initial Operation; or,
               (d)    EP abandons the Generating Facility. CalPeco shall deem the Generating
                      Facility to be abandoned if CalPeco determines, in its sole opinion, the
                      Generating Facility is non-operational and EP does not provide a substantive
                      response to CalPeco’s Notice of intent to terminate this Agreement as a result
                      of EP’s apparent abandonment of the Generating Facility affirming EP’s intent
                      and ability to continue to operate the Generating Facility.
       4.3     Notwithstanding any other provisions of this Agreement, CalPeco shall have the
               right to unilaterally file with the CPUC, pursuant to the CPUC’s rules and
               regulations, an application to terminate this Agreement.
       4.4     Any agreement attached to and incorporated into this Agreement shall terminate
               concurrently with this Agreement unless the Parties have agreed otherwise in
               writing.
 5.    GENERATING FACILITY OPERATION AND CERTIFICATION REQUIREMENTS
       5.1     The electric power produced by EP’s Generating Facility shall be used solely to
               serve electrical loads connected to the electric service account that CalPeco uses
               to interconnect EP’s Generating Facility (or, where permitted under Section 218 of
               the PUC, the electric loads of an on-site or neighboring party lawfully connected to
               EP’s Generating Facility through EP’s circuits). EP shall attempt in good faith to
               regulate the electric power output of EP’s Generating Facility so as to prevent the
               flow of electric energy from the Generating Facility to CalPeco's electric system.
               Unless otherwise agreed upon in writing by the Parties, this Agreement does not
               provide for, nor otherwise require CalPeco to receive, purchase, transmit,
               distribute, or store the electrical power produced by EP’s Generating Facility.
       5.2     If EP declares that its Generating Facility meets the requirements for
               “Cogeneration” as such term is used in Section 218.5 of the PUC (or any successor
               definition of “Cogeneration”) (“Cogeneration Requirements”), EP warrants that,
               beginning on the date of Initial Operation and continuing throughout the term of this
               Agreement, its Generating Facility shall continue to meet such Cogeneration
               Requirements. If EP becomes aware that its Generating Facility has ceased to
               meet the Cogeneration Requirements, EP shall promptly provide CalPeco with
               Notice of such change pursuant to Section 9.1 below.

                                                  (Continued)


                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds             Date Filed    November 23, 2010
                                                  Name
Decision No.     10-10-017                President and CEO          Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                      CPUC Sheet No. 326
                             Canceling Original                         CPUC Sheet No. 326


       5.      GENERATING FACILITY OPERATION AND CERTIFICATION REQUIREMENTS
               (Continued)


               5.2    (Continued)
                      If at any time during the term of this Agreement CalPeco determines in its sole
                      discretion that EP’s Generating Facility may no longer meet the Cogeneration
                      Requirements, CalPeco may require EP to provide evidence that its Generating
                      Facility continues to meet the Cogeneration Requirements within 15 business days
                      of CalPeco’s request for such evidence. Additionally, CalPeco may periodically
                      (typically, once per year) inspect EP’s Generating Facility and/or require
                      documentation from EP to monitor the Generating Facility’s compliance with
                      Section 218.5 of the PUC. If CalPeco determines in its sole judgment that EP
                      either failed to provide evidence in a timely manner or that it provided insufficient
                      evidence that its Generating Facility continues to meet the Cogeneration
                      Requirements, then the Cogeneration status of the Generating Facility shall be
                      deemed ineffective until such time as EP again demonstrates to CalPeco’s
                      reasonable satisfaction that the Generating Facility meets the requirements for a
                      Cogeneration facility (the “Status Change”).

                      5.2.1   CalPeco shall revise its records and the administration of this Agreement to
                              reflect the Status Change and provide Notice to EP of the Status Change
                              pursuant to Section 9.1 below. This Notice shall specify the effective date of
                              the Status Change. This date shall be the first day of the calendar year for
                              which CalPeco determines in its sole discretion that the Generating Facility
                               first ceased to meet the Cogeneration Requirements. CalPeco’s Notice
                              shall include an invoice for Competition Transition Charges (“CTCs”) that
                              were not previously billed during the period between the effective date of the
                              Status Change and the date of the Notice in reliance upon EP’s
                              representations that the Generating Facility complied with the Cogeneration
                              Requirements and therefore was eligible for the exemption from CTCs
                              available under Section 372 of the PUC.
                      5.2.2   Any amounts to be paid or refunded by EP, as may be invoiced by CalPeco
                               pursuant to the terms of Section 5.2, shall be paid to CalPeco within 30 days
                              of EP’s receipt of such invoice.
       6.      INTERCONNECTION FACILITIES

               6.1    EP and/or CalPeco, as appropriate, shall provide Interconnection Facilities that
                      adequately protect CalPeco’s Distribution System, personnel, and other persons
                      from damage or injury, which may be caused by the operation of EP’s Generating
                      Facility.




                                                 Issued by
Advice Letter No.    1-E                      Bob Dodds              Date Filed    November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO          Effective    January 1, 2011
                                                   Title
                                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 327
                             Canceling Original                             CPUC Sheet No. 327



       6.      INTERCONNECTION FACILITIES (Continued)
               6.2     EP shall be solely responsible for the costs, design, purchase, construction,
                       operation, and maintenance of the Interconnection Facilities that EP owns.
               6.3     If the provisions of CalPeco’s Rule 21, or any other tariff or rule approved by the
                       CPUC, requires CalPeco to own and operate a portion of the Interconnection
                       Facilities, EP and CalPeco shall promptly execute an Interconnection Facilities
                       Financing and Operation Agreement that establishes and allocates responsibility for
                       the design, installation, operation, maintenance, and ownership of the
                       Interconnection Facilities. This Interconnection Facilities Financing and Operation
                       Agreement shall be attached to and made a part of this Agreement as Appendix C.
       7.      LIMITATION OF LIABILITY
               Each Party’s liability to the other Party for any loss, cost, claim, injury, liability, or expense,
               including reasonable attorney’s fees, relating to or arising from any act or omission in its
               performance of this agreement, shall be limited to the amount of direct damage actually
               incurred. In no event shall either Party be liable to the other Party for any indirect, special,
               consequential, or punitive damages of any kind whatsoever.
       8.      INSURANCE
               8.1     In connection with EP’s performance of its duties and obligations under this
                       Agreement, EP shall maintain, during the term of the Agreement, general liability
                       insurance with a combined single limit of not less than:
                       (a) Two million dollars ($2,000,000) for each occurrence if the Gross Nameplate
                           Rating of EP’s Generating Facility is greater than one hundred (100) kW;
                       (b) One million dollars ($1,000,000) for each occurrence if the Gross Nameplate
                           Rating of EP’s Generating Facility is greater than twenty (20) kW and less than
                           or equal to one hundred (100) kW; and
                       (c) Five hundred thousand dollars ($500,000) for each occurrence if the Gross
                           Nameplate Rating of EP’s Generating Facility is twenty (20) kW or less.
                       (d) Two hundred thousand dollars ($200,000) for each occurrence if the Gross
                           Nameplate Rating of EP’s Generating Facility is ten (10) kW or less and EP’s
                           Generating Facility is connected to an account receiving residential service
                           from CalPeco.
                       Such general liability insurance shall include coverage for “Premises-Operations,
                       Owners and Contractors Protective, Products/Completed Operations Hazard,
                       Explosion, Collapse, Underground, Contractual Liability, and Broad Form Property
                       Damage including Completed Operations.”

                                                     (Continued)




                                                   Issued by
Advice Letter No.    1-E                         Bob Dodds               Date Filed      November 23, 2010
                                                     Name
Decision No.     10-10-017                  President and CEO            Effective     January 1, 2011
                                                     Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                        CPUC Sheet No. 328
                             Canceling Original                           CPUC Sheet No. 328



       8.      INSURANCE (Continued)
               8.2    The general liability insurance required in Section 8.1 shall, by endorsement to the
                      policy or policies, (a) include CalPeco as an additional insured; (b) contain a
                      severability of interest clause or cross-liability clause; (c) provide that CalPeco shall
                      not by reason of its inclusion as an additional insured incur liability to the insurance
                      carrier for payment of premium for such insurance; and (d) provide for thirty (30)
                      calendar days’ written notice to CalPeco prior to cancellation, termination,
                      alteration, or material change of such insurance.

               8.3    If EP’s Generating Facility is connected to an account receiving residential service
                      from CalPeco and the requirement of Section 8.2(a) prevents EP from obtaining
                      the insurance required in Section 8.1, then upon EP’s written Notice to CalPeco in
                      accordance with Section 9.1, the requirements of Section 8.2(a) shall be waived.

               8.4    Evidence of the insurance required in Section 8.2 shall state that coverage provided
                      is primary and is not in excess to or contributing with any insurance or self-
                      insurance maintained by CalPeco.

               8.5    EP shall furnish the required insurance certificates and endorsements to CalPeco
                      prior to Initial Operation of the Generating Facility. Thereafter, CalPeco shall have
                      the right to periodically inspect or obtain a copy of the original policy or policies of
                      insurance.

               8.6    If EP is self-insured with an established record of self-insurance, EP may comply
                      with the following in lieu of Sections 8.1 through 8.4:
                      (a)    EP shall provide to CalPeco, at least thirty (30) calendar days prior to the
                             date of Initial Operation, evidence of an acceptable plan to self-insure to a
                             level of coverage equivalent to that required under Section 8.1.
                      (b)    If EP ceases to self-insure to the level required hereunder, or if EP are
                             unable to provide continuing evidence of EP’s ability to self-insure, EP agrees
                             to immediately obtain the coverage required under Section 8.1.


               8.7    All insurance certificates, statements of self insurance, endorsements,
                      cancellations, terminations, alterations, and material changes of such insurance shall
                      be issued and submitted to the following:
                                     California Pacific Electric Company, LLC
                                     Attention: _____________
                                     ______________________
                                     ______________________
                                     ______________________

                                                   (Continued)
                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds               Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO           Effective    January 1, 2011
                                                    Title
                                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 329
                             Canceling Original                          CPUC Sheet No. 329



       9.      NOTICES
               9.1    Any written notice, demand, or request required or authorized in connection with
                      this Agreement (“Notice”) shall be deemed properly given if delivered in person or
                      sent by first class mail, postage prepaid, to the person specified below:
                                      If to CalPeco: California Pacific Electric Company, LLC
                                      Attention: _____________
                                      ______________________
                                      ______________________
                                      ______________________
                                      Phone: ( ) ________
                                      FAX: ( ) ________
                      If to EP :      EP Name
                                      Address: __________________
                                      City:   __________________
                                      Phone: ( ) ________
                                      FAX: ( ) ________
               9.2    A Party may change its address for Notices at any time by providing the other Party
                      Notice of the change in accordance with Section 9.1.
               9.3    The Parties may also designate operating representatives to conduct the daily
                      communications, which may be necessary or convenient for the administration of this
                      Agreement. Such designations, including names, addresses, and phone numbers
                      may be communicated or revised by one Party’s Notice to the other.
       10.     REVIEW OF RECORDS AND DATA
               CalPeco shall have the right to review and obtain copies of EP’s operations and
               maintenance records, logs, or other information such as, unit availability, maintenance
               outages, circuit breaker operation requiring manual reset, relay targets and unusual events
               pertaining to EP’s Generating Facility or its interconnection with CalPeco’s Distribution
               System.
       11.     ASSIGNMENT
               EP shall not voluntarily assign its rights nor delegate its duties under this Agreement
               without CalPeco’s written consent. Any assignment or delegation EP makes without
               CalPeco’s written consent shall not be valid. CalPeco shall not unreasonably withhold its
               consent to EP’s assignment of this Agreement.
       12.     NON-WAIVER
               None of the provisions of this Agreement shall be considered waived by a Party unless
               such waiver is given in writing. The failure of a Party to insist in any one or more instances
               upon strict performance of any of the provisions of this Agreement or to take advantage of
               any of its rights hereunder shall not be construed as a waiver of any such provisions or the
               relinquishment of any such rights for the future, but the same shall continue and remain in
               full force and effect. (Continued)
                                                 Issued by
Advice Letter No.    1-E                       Bob Dodds              Date Filed     November 23, 2010
                                                   Name
Decision No.    10-10-017                  President and CEO          Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                          CPUC Sheet No. 330
                             Canceling Original                             CPUC Sheet No. 330



       13.     GOVERNING LAW, JURISDICTION OF CPUC, INCLUSION OF CALPECO’S TARIFFS
               AND RULES
               13.1     This Agreement shall be interpreted, governed, and construed under the laws of the
                        State of California as if executed and to be performed wholly within the State of
                        California without giving effect to choice of law provisions that might apply to the
                        law of a different jurisdiction.
               13.2     This Agreement shall, at all times, be subject to such changes or modifications by
                        the CPUC as it may from time to time direct in the exercise of its jurisdiction.
               13.3     The interconnection and services provided under this Agreement shall at all times
                        be subject to the terms and conditions set forth in the tariff schedules and rules
                        applicable to the electric service provided by CalPeco, which tariff schedules and
                        rules are hereby incorporated into this Agreement by this reference.
               13.4     Notwithstanding any other provisions of this Agreement, CalPeco shall have the
                        right to unilaterally file with the CPUC, pursuant to the CPUC’s rules and
                        regulations, an application for change in rates, charges, classification, service, tariff
                        or rule or any agreement relating thereto.
       14.     AMENDMENT AND MODIFICATION
               This Agreement can only be amended or modified by a writing signed by both Parties.
       15.     ENTIRE AGREEMENT
               This Agreement, including any incorporated tariff schedules and rules, contains the entire
               agreement and understanding between the Parties, their agents, and employees as to the
               subject matter of this Agreement. Each party also represents that in entering into this
               Agreement, it has not relied on any promise, inducement, representation, warranty,
               agreement or other statement not set forth in this Agreement or in the incorporated tariff
               schedules and rules.
       16.     SIGNATURES
               IN WITNESS WHEREOF, the Parties hereto have caused two originals of this Agreement to
               be executed by their duly authorized representatives. This Agreement is effective as of the
               last date set forth below.
                              EP NAME                          CALIFORNIA PACIFIC ELECTRIC
                                                               LLC
               By:      SAMPLE                                 By:    SAMPLE

               Nam                                             Name:
               Title:                                          Title:
               Date                                            Date:




                                                   Issued by
Advice Letter No.     1-E                        Bob Dodds               Date Filed     November 23, 2010
                                                     Name
Decision No.    10-10-017                    President and CEO           Effective    January 1, 2011
                                                      Title
                                                                         Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised     CPUC Sheet No. 331
                             Canceling Original        CPUC Sheet No. 331




                                        APPENDIX A




                            DESCRIPTION OF GENERATING FACILITY
                                AND SINGLE-LINE DIAGRAM,
                                      (Provided by EP)




                                      Issued by
Advice Letter No.   1-E              Bob Dodds       Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO   Effective    January 1, 2011
                                        Title
                                                     Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                       CPUC Sheet No. 332
                             Canceling Original                          CPUC Sheet No. 332




                                                   APPENDIX B




                                              RULES: “2” and “21”
                                      TARIFF SCHEDULE: “S”- Standby
                                             TARIFF SCHEDULES:




                    (Note: CalPeco’s tariffs are included for reference only and shall at all
                    times be subject to such changes or modifications by the CPUC as the
                    CPUC may, from time to time, direct in the exercise of its jurisdiction.)




                                                 Issued by
Advice Letter No.   1-E                        Bob Dodds              Date Filed     November 23, 2010
                                                  Name
Decision No.    10-10-017                 President and CEO           Effective    January 1, 2011
                                                   Title
                                                                      Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised          CPUC Sheet No. 333
                             Canceling Original             CPUC Sheet No. 333




                                        APPENDIX C
                                      (When Applicable)


                                INTERCONNECTION FACILITIES
                                 FINANCING AND OWNERSHIP
                                        AGREEMENT




                                      Issued by
Advice Letter No.   1-E              Bob Dodds            Date Filed    November 23, 2010
                                        Name
Decision No.    10-10-017        President and CEO        Effective    January 1, 2011
                                        Title
                                                          Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised       CPUC Sheet No. 334
                             Canceling Original          CPUC Sheet No. 334



                                      ATTACHMENT C

                            INTERCONNECTION APPLICATION FORM




                                        Issued by
Advice Letter No.   1-E               Bob Dodds        Date Filed    November 23, 2010
                                         Name
Decision No.    10-10-017          President and CEO   Effective    January 1, 2011
                                          Title
                                                       Resolution No.
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                                                                 CPUC Sheet No. 335
                             Canceling Original                                                                    CPUC Sheet No. 335

             PART 1 To be filled out by all Applicants

                     Note: This Application must be filled out in accordance with CalPeco’s Rule 21, “Generating Facility Interconnections,”
                Sections C, I, and J

                Facility Information                        (Where will the Generating Facility be installed?)




                Contact Person                                            Phone                     Fax                Email Address


                Company Name                                                              EC Meter Number


                Street Address                                            City                                                State       Zip Code


                Mailing Address (if different from above)                 City                                                State       Zip Code


                Applicant Information                           (Who will be contractually obligated for this Generating Facility?)

                Contact Person                                            Phone                     Fax                Email Address


                Company Name


                Street Address                                            City                                                State       Zip Code


                Mailing Address (if different from above)                 City                                                State       Zip Code


                Contractor / Installer Information                                   (If different from above)

                Contact Person                                            Phone                     Fax                Email Address


                Company Name


                Street Address                                            City                                                State       Zip Code


                Mailing Address (if different from above)                 City                                                State       Zip Code

                Installation Questions
                1.           How many Generators do you intend to install behind the single meter covered by this Application
                             for this Generating Facility?
                                                                                  Number of Generators

                Note:
                Multiple Generators connected through a single interface and controlled as one generating set count as one Generating
                Facility.
                Example: photovoltaic panels connected through a single inverter or multiple micro-turbines connected through a single
                interface and controlled as one generating set count as one Generating Facility. If you plan to use more than one type of
                Generator, please provide the information for each type and specify how many of each type you plan to use.

                2.           Is any piece of generation equipment you are using Certified for use in California?
                             (Section J, Rule 21)                                                                                                    Yes   No

                If Yes, please attach your generation equipment certificate for each certified generation package. If every
                piece of equipment you are using is certified, go to question 3.
                Note: If you want to check for certification, please contact the manufacturer of your Product.




                                                                              Issued by
Advice Letter No.         1-E                                             Bob Dodds                              Date Filed            November 23, 2010
                                                                                 Name
Decision No.         10-10-017                                     President and CEO                             Effective             January 1, 2011
                                                                                  Title
                                                                                                                 Resolution No.
DWT 16616973v1 0089731-000002
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                                                CPUC Sheet No. 336
                             Canceling Original                                                   CPUC Sheet No. 336

                      2.1      Has any non-certified piece of generation equipment you are installing been previously
                      approved by CalPeco for interconnection with CalPeco’s Distribution System?
                                                                                                                           Yes    No

                               If Yes, attach your generation equipment certificate for each certified generating unit. If every
                               generating unit you are installing is certified, skip to question 3. If you are uncertain about the
                               certification status of your generation unit, contact the manufacturer of your generating unit.

                                Approval Date    Equipment Type                          Approval Date    Equipment Type


                                Approval Date    Equipment Type                          Approval Date    Equipment Type

                               Note: Add additional sheets if necessary.
                      2.2      Is any piece of generation equipment you are using not certified?
                                                                                                                       Yes       No

                               If Yes, complete Part 2 for each non-certified or non-CalPeco approved piece of generation
                               equipment.
                               Note: You will need to fill out one Part 2 form for each non-certified piece.
                3.          Do you plan to export to the Distribution System?
                                                                                            Yes    No

                            If Yes, continue to question 3.1.
                            If No, continue to question 3.2.

                      3.1      Is the Generating Facility a Qualifying Facility (QF)?
                                                                                                         Yes      No

                               If Yes, continue to question 3.1.1.
                               If No, STOP! You cannot apply with this form.

                                      3.1.1       Is the Generating Facility system <100 kW?
                                                                                                          Yes     No

                                      If Yes, continue to question 3.1.1.1.
                                      If No, STOP! You cannot apply with this form.

                                3.1.1.1         What is the estimated net annual export in kWh?
                                                                                                                  Net Export kWh

                      3.2      Which of the four options do you choose as your non-export condition?
                               Note: See Appendix A of Rule 21
                               Option 1: Reverse power protection                        Yes

                               Option 2: Underpower (always import)                      Yes

                               Option 3: Limit incidental export of power*               Yes

                                            *If you select this option, you must meet all of the following conditions:




                                                                   Issued by
Advice Letter No.       1-E                                       Bob Dodds                    Date Filed              November 23, 2010
                                                                    Name
Decision No.         10-10-017                            President and CEO                    Effective               January 1, 2011
                                                                     Title
                                                                                               Resolution No.
DWT 16616973v1 0089731-000002
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                                                  CPUC Sheet No. 337
                             Canceling Original                                                     CPUC Sheet No. 337


                                            a. The aggregate nameplate capacity of the Generating Facility must be less than or
                                                equal to 25% of the nominal ampere rating of the service entrance equipment
                                                serving your facility.
                                            b. Total aggregate nameplate capacity of the Generating Facility must be less than
                                                or equal to the rating of CalPeco’s transformer serving your facility.
                                                Note: Does not apply to customers taking primary service.
                                            c. Your Generating Facility must be certified as Non-Islanding.
                                Option 4: The nameplate rating of the Generating Facility will not exceed 50% of the host

                                            facility’s minimum electrical load.             Yes

                                            If option 4 is selected, what is the minimum load of the host facility?
                                                                                                                                      Minimum Load kW


                4.          Operational Information
                      4.1       What mode of operation do you plan?
                                As available                   Prime power (base load)                        Demand Management
                                Peak shaving                   Combined Heat and Power                        Load Following

                                Other (Describe):

                      4.2       What is your total estimated annual kilowatt-hr production?
                                                                                                              Annual kWh Production


                5.          Do any of your generating units start by using grid power (motoring)?
                                                                                                                         Yes   No

                            If Yes, continue to question 5.1.
                            If No, skip to question 6.
                      5.1       What is your Inrush Current?
                                Note: If you don’t know, contact your generator manufacturer.           Inrush Current

                      5.2       What is the continuous ampere rating of your service entrance equipment?
                                                                                                                                    Ampere Rating


                6.          Is the Gross Nameplate Rating of your Generating Facility system 11 kVA or less?
                                                                                                                                         Yes   No

                            If Yes, skip to question 8.

                7.              (a) What is the short circuit contribution of the proposed Generating Facility system at the
                                Generator terminals?
                                                                   Amps

                            Note: If your Generating Facility system is not Certified, or if this information is not in the Certificate, you must
                            also answer Part 2, Question 6




                                                                  Issued by
Advice Letter No.       1-E                                    Bob Dodds                          Date Filed             November 23, 2010
                                                                    Name
Decision No.         10-10-017                           President and CEO                        Effective              January 1, 2011
                                                                     Title
                                                                                                  Resolution No.
DWT 16616973v1 0089731-000002
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                                                 CPUC Sheet No. 338
                             Canceling Original                                                    CPUC Sheet No. 338


                7.               (b) What is the short circuit contribution of the proposed Generating Facility at the Point of
                                 Common Coupling with CalPeco’s Distribution System?
                                                                                                       Amps

                            Note: This value should be based on your answer to question 7(a), adjusted for site/facility impedance to the
                            Point of Common Coupling.
                      7.1        Is your proposed Generating Facility system connected to CalPeco’s Distribution System
                                 through a transformer shared by other Customers?
                                                                                                 Yes    No

                                 Note: It may be necessary to contact CalPeco to obtain this information
                                 If Yes, answer question 7.2.
                                 If No, skip to question 8.


                      7.2        What are the interrupting ratings of the other Customers service panels?
                                                                                                                                 Amps


                8.          Will you install a Dedicated Transformer in connection with the installation of your proposed
                            Generating Facility?
                                                          Yes     No

                            If Yes, answer question 8.1.
                            If No, skip to question 9.
                      8.1        If you are adding a transformer, please provide the following:

                      Rating KVA Primary volts        Secondary volts                Impedance



                9.          What is your estimated date of initial operation?
                                                                                       Date of Operation


                10.         The following attachments must accompany Part 1 of the application when you submit it:
                            Single-line Drawing
                            Note: A sample Single-line drawing is included with this application              Included

                            Site plan showing the location and arrangement of the major equipment (facility layout)
                            Note: This plan should include any customer-owned transformers.
                                                                                                              Included


                11.         Please check this box if you wish CalPeco to bypass Initial Review and to provide you
                            with a cost-estimate for the Interconnection Study.
                                                                                                              Provide Cost Estimate




                                                                  Issued by
Advice Letter No.        1-E                                    Bob Dodds                    Date Filed                  November 23, 2010
                                                                        Name
Decision No.         10-10-017                          President and CEO                    Effective                   January 1, 2011
                                                                        Title
                                                                                             Resolution No.
DWT 16616973v1 0089731-000002
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                                              CPUC Sheet No. 339
                             Canceling Original                                                 CPUC Sheet No. 339

                When you have completed this application, mail, express mail, fax, or email it to:
                California Pacific Electric Company
                Attn: Customer Generation
                933 Eloise Avenue
                South Lake Tahoe, CA 96150
                Phone: (905) 465-4500
                Fax: 905-465-4514
                Email: Bob.Dodds@CaliforniaPacificElectric.com
                All completed applications must be accompanied by the Application Fee:
                A check in the amount of $800.00 payable to California Power Electric Company must accompany
                all completed Applications prior to CalPeco commencing the Initial Review.
                Note: If you choose to fax, please contact CalPeco for notification of the date and time that your successful fax
                transmission occurred. It is the Generating Facility’s responsibility to ensure that the Application and the Application Fee
                have been received by CalPeco.




                                                               Issued by
Advice Letter No.      1-E                                  Bob Dodds                       Date Filed           November 23, 2010
                                                                 Name
Decision No.      10-10-017                           President and CEO                     Effective            January 1, 2011
                                                                  Title
                                                                                            Resolution No.
DWT 16616973v1 0089731-000002
CALIFORNIA PACIFIC ELECTRIC COMPANY, LLC
SOUTH LAKE TAHOE, CALIFORNIA           1st Revised                                                              CPUC Sheet No. 340
                             Canceling Original                                                                 CPUC Sheet No. 340

             PART 2 To be filled out for all non-certified DG units or component types

                Note: Fill out one Part 2 form for each non-certified generating unit. Multiple Generators connected through a single
                interface and controlled as one generating set count as one Generating Facility. Example: photovoltaic panels connected
                through a sincle inverter or multiple micro-turbines connected through a single interface and controlled as one generating
                set count as on Generating Facility.

                1.          Is the unit a Pre-packaged prime mover/generator/inverter/controller system?
                                                                                                                                           Yes      No

                            If Yes, answer question 1.1.
                            If No, skip to question 2.
                      1.1         Who is the manufacturer?
                                                                              Manufacturer Name

                      1.2         What is the model number?
                                                                              Model


                2.          What is the Gross and Net Nameplate Rating in kVA?
                                                                                                            Gross kVA         Net kVA


                3.          Prime Mover Information
                            What is the prime mover technology? (Please check all appropriate boxes.)

                             IC Engine     Microturbine    PV           Fuel Cell        Hydro         Wind        Comb. Turbine    Steam Turbine




                             Other (please describe)

                            Who is the prime mover manufacturer?
                                                                                                   Manufacturer Name

                            Who is the prime mover model number?
                                                                                                   Model


                4.          Generator/Inverter Information
                            What is the generator/inverter technology? (mark all appropriate boxes)

                             Inverter          Induction        Synchronous       Single phase    Three phase


                            Who is the generator/inverter manufacturer?
                                                                                                   Manufacturer Name

                            What is the generator/inverter model #?
                                                                                                   Model


                5.          What is the power factor range of the generator/inverter?
                                                                                                                 Min    Max

                            Is the range adjustable?
                                                                                  Yes    No

                            Note: When paralleled with CalPeco’s Distribution System, the unit is required to operate in power factor
                            regulation mode (not in voltage regulation mode.)




                                                                       Issued by
Advice Letter No.       1-E                                         Bob Dodds                              Date Filed              November 23, 2010
                                                                         Name
Decision No.         10-10-017                              President and CEO                              Effective               January 1, 2011
                                                                          Title