EL26-71-000 · 2026-08-03 · California Independent System Operator Corporation
CAISO requests more time to answer the June 18 show cause order
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UNITED STATES OF AMERICA
BEFORE THE
FEDERAL ENERGY REGULATORY COMMISSION
California Independent System Operator
Corporation
Citizen S-Line Transmission LLC
Citizens Sunrise Transmission LLC
Citizens Sycamore-Penasquitos Transmission LLC
City of Anaheim, California
City of Azusa, California
City of Banning, California
City of Colton, California
City of Pasadena, California
City of Riverside, California
DCR Transmission, L.L.C.
DesertLink, LLC
GridLiance West LLC
Horizon West Transmission, LLC
LS Power Grid California, LLC
Morongo Transmission LLC
Pacific Gas and Electric Company
San Diego Gas & Electric Company
Southern California Edison Company
Startrans IO, L.L.C.
SunZia Transmission, LLC
Trans Bay Cable LLC
Valley Electric Association, Inc.
Viridon Path 15, LLC
Western Area Power Administration
Docket No.
EL26-71-000
MOTION FOR ABEYANCE
Pursuant to Rule 212 of the Rules of Practice and Procedure of the
Federal Energy Regulatory Commission, the California Independent System
Operator Corporation (CAISO) respectfully submits this motion to hold the instant
proceeding in abeyance for 90 days from the deadline to respond, i.e., until
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November 16, 2026.1 As detailed below, this abeyance period will provide the
CAISO sufficient time to work with stakeholders to develop all policies necessary
to address the Commission’s preliminary findings in the Order to Show Cause on
the justness and reasonableness of the CAISO tariff concerning large loads, and
to submit a filing to the Commission under Section 205 of the Federal Power Act
(FPA).2 The abeyance period also will align with CAISO Participating
Transmission Owners’ requests, such that the CAISO and its Participating
Transmission Owners will be able to submit all relevant Section 205 filings to
address the findings of the Commission in the Order to Show Cause by
November 16, 2026. The CAISO appreciates the Commission’s recognition of
the unique regional differences present in California in the Order to Show Cause.
Providing time for the CAISO and its Participating Transmission Owners to
develop these filings will allow for tailored solutions that reflect these regional
nuances and will avoid disrupting existing commercial arrangements, as the
Order to Show Cause requires.3 The CAISO believes that granting this motion for
abeyance will enable the CAISO and its Participating Transmission Owners to
satisfy the Order to Show Cause, remove the need for further action under FPA
Section 206, and rather than causing any harm to interested parties, will expedite
the overall conclusion of the proceeding and the implementation of the reforms
envisioned by the Commission in the Order to Show Cause.
1
18 C.F.R. § 385.212. Capitalized terms not otherwise defined herein have the meanings
set forth in Appendix A to the CAISO tariff.
2
California Independent System Operator Corp., 195 FERC ¶ 61,214 at P 35 (2026)
(Order to Show Cause).
3
Id. at P 34.
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I.
Background
In the Order to Show Cause, the Commission identified a series of
complex issues related to integrating large loads onto the transmission system.
While the CAISO has prepared for and reliably served concentrated growth in
large loads to date, it also understands the need to evolve policies and
processes to enable the accelerated additions of large loads and the additional
complexity that they may introduce. The CAISO has identified similar issues to
the Commission over the past few months regarding changing system needs
related to new large loads. In response, the CAISO has convened several
stakeholder processes to enhance large load processes, resource adequacy
rules, demand-side market participation, and generator interconnection
processes. As explained further below, the CAISO’s Large Load stakeholder
initiative will become the vehicle for CAISO reforms to address the Order to
Show Cause, which the CAISO was planning to file pursuant to FPA Section 205
when the stakeholder processes concluded.
The Commission’s Order to Show Cause contemplated that the CAISO
might prefer to address the issues raised in the Order through a Section 205
filing, and suggested that if the CAISO wished to have the Commission hold the
Section 206 proceeding in abeyance, it should file an appropriate motion for
abeyance in this docket. The Commission emphasized that it would not grant
such abeyances reflexively, that any abeyance will be limited to 90 days, and that
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it would look with great disfavor toward requests to extend the abeyance period.4
The Commission anticipated that successful abeyance requests will include both
(1) a robust description of the content of a potential future filing under FPA
Section 205, and (2) a reasoned and specific explanation of when such a filing is
expected to be made.
II.
Request for Abeyance
The CAISO files this motion for abeyance in accordance with the
Commission’s direction in the Order to Show Cause and in recognition of the
progress to date and planned future progress toward a Section 205 filing,
together with the CAISO Participating Transmission Owners, that will address the
preliminary findings in the Order to Show Cause. The CAISO respectfully
requests that the Commission hold the Section 206 proceeding initiated with the
Order to Show Cause in abeyance for 90 days while the CAISO and its
Participating Transmission Owners develop their respective Section 205 filings to
address Commission’s preliminary findings.
The CAISO describes below the content of a potential future filing under
FPA Section 205, with the level of detail currently available given the stage of the
Large Load stakeholder initiative, and the explanation of the timeline for an
anticipated Section 205 filing. The CAISO also includes a description of
coordination with its Participating Transmission Owners, which, as the
4
Id. at P 35.
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Commission recognized in the Order to Show Cause, have a unique role in the
large load interconnection process in California.
a.
Description of Content of Potential Future Filing Under FPA
Section 205
By the end of the abeyance period, the CAISO expects to submit an FPA
Section 205 filing that, with simultaneous Section 205 filings from the
Participating Transmission Owners, will address all the preliminary findings and
five categories of reforms set forth in the Order to Show Cause, as appropriate
for the CAISO region. The CAISO expects that the vast majority of its tariff
revisions will be able to become effective as soon as approved by the
Commission.5 Submitting such a Section 205 filing will require an expedited
stakeholder process to develop, vet, and receive approval for the policy changes;
however, a public stakeholder process will ensure policy changes are specifically
tailored to the regional needs and State policies of California.
The CAISO’s ongoing Large Load stakeholder initiative will become the
vehicle for CAISO reforms to address the Order to Show Cause. The CAISO
recognizes the importance of clarity on roles in planning for large loads and
launched the Large Loads stakeholder initiative last year. Within the initiative, the
CAISO posted an issue paper in January 2026 outlining roles, responsibilities,
and processes to effectively integrate large loads. In addition, the CAISO posted
5
Although it is too early to know for sure, the only likely exceptions could be those
changes that require significant software enhancements, such as new settlement charges;
however, the CAISO will expedite any software development to deploy as soon as possible.
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a straw proposal in June 2026 describing possible technical requirements
associated with large loads.
These initial documents are well-aligned with the five categories FERC
identified. For example, the issue paper specifically discusses the current
treatment of large load interconnection within the CAISO, provisions for co-
location of generation and large loads, transmission service offerings, cost
allocation and responsibility, technical requirements and standards, and
operational requirements. The straw proposal takes the next step with regard to
many of the technical requirements discussed in the Order to Show Cause, and
the CAISO is actively working on a straw proposal to address other issues
identified in the Large Loads stakeholder initiative and the Order to Show Cause.
In addition, the CAISO has had numerous discussions with the State
regulators that oversee retail rate design in California to ensure there is sufficient
transparency. The Commission highlights in the Order to Show Cause the need
to allow state regulators to effectively perform their role in protecting consumers
from cost shifts. As described in comments to the Commission’s Advanced Notice
of Proposed Rulemaking, California policymakers and utilities already did
considerable work to ensure long-term forecasting, procurement, and planning
accounted for large load growth.6 The California Public Utilities Commission and
Pacific Gas and Electric Company have likewise been working to create a tariff
6
See, e.g., Interconnection of Large Loads to the Interstate Transmission System,
Comments of Pacific Gas and Electric Co. (Nov. 21, 2025), Comments of California Public
Utilities Commission (Nov. 21, 2025), Docket No. RM26-4-000.
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specifically tailored to high-voltage interconnections of large loads that aligns
costs with benefits for all ratepayer classes.7
The CAISO also is closely coordinating with its Participating Transmission
Owners, to ensure the matters within their purview that the Commission raises in
the Order to Show Cause also will be part of the future Section 205 filings. To be
certain, this coordination began before the Order to Show Cause as the
framework for integrating large loads in California includes significant tariff
provisions in the Participating Transmission Owners’ tariffs and the CAISO’s tariff.
b.
Explanation of When a Section 205 Filing is Expected
The CAISO will refocus the Large Loads initiative on the issues the
Commission has identified in the Order to Show Cause. Given the timeline
described in the Order to Show Cause and the Commission’s clear prioritization
of addressing issues around integrating large loads onto the transmission
system, the CAISO expects to expedite the stakeholder initiative, with two
discrete proposals: a straw proposal in August and draft final proposal in
September, before seeking Western Energy Market Governing Body and Board
of Governors approval as necessary at the October 20 and October 28 meetings,
respectively.8 Although the stakeholder initiative will be expedited, the CAISO will
host workshops and solicit stakeholder feedback on the proposals to better
7
Id.
8
Decisional classifications will become clearer as the proposals within the Large Loads
stakeholder initiative develop.
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inform the policy outcomes.9 The CAISO has already notified stakeholders of the
expedited Large Loads initiative schedule and included the schedule in its 30-day
filing regarding resource adequacy filed publicly in this docket on July 20, 2026:
Rather than causing any harm to interested parties, holding the Section 206
proceeding in abeyance will enable the CAISO to work with its stakeholders as
part of the Large Loads stakeholder initiative that it has already begun—and
which interested parties have already begun to participate—and will resolve the
issues the Commission identifies in a more expeditious manner than proceeding
with a response to the Order to Show Cause and traditional processing of the
Section 206 proceeding.
c.
Coordination with Participating Transmission Owners
The Order to Show Cause recognizes “the framework under which CAISO
provides transmission service is unique among the RTOs/ISOs and that certain
responsibilities fall to the Participating Transmission Owners.”10 The Order to
Show Cause further states that the Commission appreciates that the CAISO and
9
This timeline assumes the Commission grants this motion for abeyance for 90 days, as
contemplated by the Order to Show Cause at P 25.
10
Order to Show Cause at P 37.
Action
Date
Post Straw Proposal
August 12, 2026
Stakeholder workshop
August 19, 2026
Comments due
September 2, 2026
Post Draft Final Proposal
September 21, 2026
Stakeholder workshop
September 28, 2026
Comments due
October 12, 2026
Western Energy Market Governing Body (if necessary)
October 20, 2026
CAISO Board of Governors
October 28, 2026
FERC Filing on Order to Show Cause
November 16, 2026
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Participating Transmission Owner responsibilities may stem from how the CAISO
and the Participating Transmission Owners allocated rights and responsibilities in
the governing documents establishing the CAISO.11 While the Commission
“do[es] not seek to alter that allocation of rights and responsibilities,”12 it
“expect[s] that CAISO and the Participating Transmission Owners will coordinate
with each other, as appropriate, to develop responses.”13
The CAISO values these directions from the Commission. The CAISO and
its Participating Transmission Owners coordinated on large load interconnections
before the Order to Show Cause, and have coordinated strongly since, including
multiple weekly meetings among various teams of subject-matter experts for the
categories of issues identified by the Commission. By being able to maintain the
current allocation of responsibilities between the CAISO and Participating
Transmission Owners, Californian stakeholders will not have to start anew,
enabling the CAISO and Participating Transmission Owners to coordinate on
addressing all the issues identified in the Order to Show Cause by the end of the
abeyance period. This coordination should enable rapid and smooth
implementation of the policies necessary to address the Order to Show Cause.
11
Id. at P 51.
12
Id.
13
Id. at P 37.
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III.
Conclusion
For the foregoing reasons, the CAISO respectfully requests that the
Commission grant the CAISO’s motion for abeyance in this proceeding.
Respectfully submitted,
/s/ William H. Weaver
Roger E. Collanton
General Counsel
William H. Weaver
Assistant General Counsel
California Independent System
Operator Corporation
250 Outcropping Way
Folsom, CA 95630
(916) 608-7135
bweaver@caiso.com
Counsel for the California Independent System Operator Corporation
Dated: August 3, 2026
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CERTIFICATE OF SERVICE
I certify that I have served the foregoing document upon the parties listed on the
official service list in the captioned proceeding, in accordance with the requirements of
Rule 2010 of the Commission’s Rules of Practice and Procedure (18 C.F.R. §
385.2010).
Dated at Folsom, CA this 3rd day of August, 2026.
/s/ Jacqueline Meredith
Jacqueline Meredith
An employee of the California ISO