SCE was ordered to procure between 500 and 700MW, while SDG&E will purchase between 500 and 800MW by 2022 to make up for the 2,200MW that would have ben supplied by the decomissioned San Onofre nuclear generating station.

CPUC commissioner Catherine Sandoval said up to 1,500MW of the generation authorized to replace San Onofre can come from energy efficiency, demand response, renewable energy, and energy storage, in line with California’s vision for a healthier environment and economic sustainability.

"This decision provides flexibility while fulfilling the CPUC’s duty to ensure safe and reliable service at just and reasonable rates," Sandoval added.

CPUC Long-Term Procurement Proceeding assigned Commissioner Commissioner Mike Florio said the CPUC and the utilities will work to ensure going forward that preferred resources can provide not just clean energy, but the essential reliability services that are required to ensure a stable and reliable grid.

"This will put us firmly on the path toward meeting California’s greenhouse gas reduction goals by eventually phasing out the use of fossil fuels to generate electricity," Florio added.

Combined with previous CPUC decisions aimed at ensuring energy supplies for Southern California, the latest order brings a total of 1,900 to 2,500MW to the L.A. Basin from SCE, up to 60% of which may come from preferred resources.

SDG&E is required to procure at least 25% and up to 100% of new local capacity from preferred resources.

In addition, both companies are required to procure at least 50MWand 25MW, respectively, from energy storage.