California Public Utilities Commission president Mike Peevey this week assured Governor Arnold Schwarzenegger and Senator Dianne Feinstein (D-California) that the CPUC has a handle on the state?s resource needs and energy shortages are not imminent. Peevey?s assurances, contained in a January 20 letter, came in response to another missive by Feinstein to the governor (see <i>Energy Circuit<\/i>, January 16, 2004). She warned that the state could face energy shortages by 2006. Peevey?s move also came amid public confirmation that the CPUC?s jurisdiction is being scrutinized in Sacramento. For instance, commissioner Susan Kennedy warned colleagues this week that the CPUC could lose oversight of transmission planning if it does not allow for faster transmission line approval. The commission president linked fears about power shortages with a forecast by the California Independent System Operator. He noted that since that forecast was released last October, the CPUC has approved an additional 2,000 MW that CAISO did not factor in. In addition, Peevey said the commission may approve San Diego Gas & Electric?s power plant proposals, which would beef up resources by 500 MW. Peevey outlined numerous other commission efforts on the energy front and said he hoped the summary helps to reduce the concerns of the governor and Senator Feinstein.