California-based PG&E Corporation’s PCG regulated electric and gas utility, Pacific Gas and Electric Company, has formed a strategic alliance with TransCanyon, LLC. This partnership will jointly pursue competitive transmission opportunities requested by the operator for the majority of California’s transmission grid, California Independent System Operator Corporation (CAISO).The alliance will focus on competitive transmission projects approved by CAISO, which will ultimately benefit California customers. TransCanyon is a 50-50 joint venture between subsidiaries of Berkshire Hathaway Energy and Pinnacle West Capital Corp. PNW. In 2014, TransCanyon was formed as an independent developer of electric transmission infrastructure in the Western U.S.PG&E won a joint bid back in 2013 to build, own and operate a transmission line project in California’s Central Valley region along with BHE U.S. Transmission. Competition was introduced in the California transmission market in 2013.In 2015, CAISO selected PG&E to construct, own and operate two CAISO approved new electric substations in California’s Central Valley and the South Bay. These are a part of CAISO’s annual Transmission Planning Process and the projects are yet to receive approval from the California Public Utilities Commission or CPUC.Pacific Gas and Electric Company is one of the largest combined natural gas and electric utilities in the U.S.PG&E Corp. strives to optimize generation margins by improving its cost structure, performance and reliability of its nuclear and fossil fuel-fired units. Going forward, its bottom line will be driven by favorable decisions from the CPUC as well as long-term supply agreements, diversification into alternative power sources and infrastructure improvement programs, resulting in rate base growth.Zacks RankCurrently, PG&E Corporation carries a Zacks Rank #3 (Hold). A couple of better-ranked stocks in the same space include Edison International EIX and CME Energy CMS, both with a Zacks Rank #2 (Buy).Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CMS ENERGY (CMS): Free Stock Analysis Report PINNACLE WEST (PNW): Free Stock Analysis Report EDISON INTL (EIX): Free Stock Analysis Report PG&E CORP (PCG): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research