20070312_1859.pdf

DECISION MEMORANDUM
TO:CO MMISSI 0 NER KJELLAND ER
CO MMISSI 0 NER SMITH
CO MMISSI 0 NER RED FO RD
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:DONOV AN E. WALKER
DATE:MARCH 9, 2007
SUBJECT:IDAHO POWER'PETITION FOR EXEMPTION OF SPECIFIC
ACCOUNTS FROM THE COMP ANY'S RULE C PROVISIONS
REGARDING AGGREGATED METER READING, CASE NO. IPC-07-
On January 23 , 2007, Idaho Power filed a Petition requesting an exemption for
specific accounts from the Company s Rule C provisions regarding aggregated meter reading.
The Company requested that its Petition be processed by Modified Procedure. Staff also
recommends Modified Procedure to process the Company s request.
THE PETITION
Rule C states that where a customer has more than one delivery point or separate
meters at a single premises, that the meter readings will not be combined or aggregated for any
purpose except for determining if the customer s total power requirements exceed 25 000 kW.
The Company requests an exemption from Rule C's aggregated meter reading provision to allow
bills for specific large accounts to be prepared by combining the readings from multiple meters.
The Company states that this would allow it to best accommodate the electric requirements of
some of its larger customers, where multiple meters at the same premises are the most cost-
effective and optimal means to design the distribution facilities necessary to provide the
customer s requested level of service.
The Company states that it currently has 13 accounts where aggregated billing would
provide the best, most cost-effective service. Those accounts are:
Amalgamated Sugar (Paul)
American Micro Systems (Pocatello)
Kinross Delamar (Murphy)
DECISION MEMORANDUM
Lamb Weston (Twin Falls)
McCain Foodservice (Burley)
Micron Fab B (Nampa)
Micron Nano Fab (Boise - anticipated to be online 4/1/07)
Mountain Home Air Force Base (Mountain Home)
Irrigation Customers:
Grindstone Butte: Header 746, Pump 05s 0ge 3403 (Glenns Ferry)
Grindstone Butte: Header 744, Pump 05s 0ge 3405 (Glenns Ferry)
Farm Dev. Corp. (Sailor Creek): Header 745 , Pump 05s 0ge 3404 (Glenns Ferry)
Magic Water Corp. (Buhl)
West End Project (Melba)
The Company states that the customers of the above referenced accounts received a letter and a
personal contact from Idaho Power explaining the Company s intention to file this Petition
seeking an exemption from Rule C , and that no customer has objected.
Additionally, the Company requests the Commission to authorize an abbreviated
procedure in which it could add additional customers to the list of those exempt from Rule C'
aggregated meter reading provisions. The Company requests that rather than filing separate
petitions requesting exemptions that the Commission authorize it to forward the customer
name, city location, and an explanation of why aggregation is appropriate to the Commission for
review. The Company proposes that unless the Commission has an objection, that the customer
would then be added to the list of customers exempt from Rule C as it is applied to aggregated
meter readings.
ST AFF COMMENTS
Staff has reviewed the Company s Petition, met with Company representatives, and
recommends the Commission approve the Company s requests. Staff states that under the
current rate schedules, aggregating the meter readings does not appear to impact the amount the
customer is charged for their service. It is possible that under different rate structures
specifically those that vary the amount charged for peak demand by time of use, aggregating the
meter readings would impact the amount the customer is billed. Consequently, Staff
recommends that customers affected by this exemption be granted the flexibility to request and
receive separate billings ifthey so desire.
DECISION MEMORANDUM
COMMISSION DECISION
Does the Commission wish to approve the requested exemption from Rule C of the
Company s tariff for the thirteen specific customers identified in the request? If so, does the
Commission wish to authorize the abbreviated procedure proposed by the Company for similar
exemptions in the future?
DECISION MEMORANDUM