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Agenda <br />• Process improvements <br />• Distribution challenges <br />• Transmission challenges <br />• Power supply challenges <br />Internal Processes <br />• Implementation of condition -based maintenance programs to identify problems before <br />they occur <br />o GO95 — overhead <br />o G01 28 — underground <br />o Overhead/underground switches <br />o Pole inspections <br />o Underground cable testing <br />o Circuit breaker maintenance <br />o Relay testing <br />o Transformer maintenance <br />o SCADA <br />o Communication system <br />o Substation switchyard <br />Work Management System <br />• Work Order process for capital and O & M <br />• Compatible units — standard list of materials <br />• Proper capitalization of costs <br />System Reliability <br />• SAIDI of .07405/SAIFI of .00070 <br />• SCE average outage time of 70 minutes with SAIFI of .95 <br />Distribution Challenges <br />• Future load is not properly served by location of existing substations <br />• Large voltage drops occur from long circuits <br />• Large customer operations have pushed existing transformers to their limits <br />• Long outages will occur from transformer failures <br />Distribution Capital Plan <br />• North Substation <br />o New 12 kV substation <br />o Located near Pennsylvania and Pleasantview <br />o Will improve power quality <br />o Will relieve some load from existing substations and minimize possibility of rolling <br />blackouts <br />o Will remove limitations on large customer operations <br />o Funding secured in 2007 for $8.5 million <br />• South Substation <br />o New 12 kV substation <br />o Located in the Pellisier Ranch area <br />o Will be constructed to serve load in the area <br />o Commercial operation dependent upon development in Pellisier Ranch <br />o Estimated cost = $8,648,000 <br />• Underground Cable Replacement <br />2008 JULY 29 JT SPC CC/RDA/CUA MEETING - 2 - <br />