20090309_2498.pdf

DECISION MEMORANDUM
TO:COMMISSIONER REDFORD
COMMISSIONER SMITH
COMMISSIONER KEMPTON
COMMISSION SECRETARY
LEG AL
WORKING FILE
FROM:BRYAN LANSPERY
DATE:MARCH 6, 2009
RE:ACIFICORP ADVICE NO. 09-01 RATE SCHEDULE 72A
BACKGROUND
On February 11 , 2009, PacifiCorp, dba Rocky Mountain Power ("Company ), proposed a
number of modifications to Schedule No. 72A, the Irrigation Load Control Credit Rider Dispatch
Program. Specifically, the Company proposed revisions to Tariff Sheet Nos. 72 A. 1 , 72A.2
72A.3 and 72A.4 as follows:
. Sheet No. 72A.l; specify rationale for preseason internet access.
. Sheet No. 72A.2; revise language to allow the Company to issue a credit in lieu of
a check for the Load Control Service Credit ("Credit"), at its discretion, at the end
of the season;
0 Clarify how average demand is calculated when two years of usage history
is unavailable;
0 Add language to specify that the tiered Credit was designed to promote
participation; and
0 Correct the notification date for participation from February 15 to April 15.
. Sheet No. 72A.3; add language to clarify notification procedures for a dispatch
event.
. Sheet Nos. 72A.3 to 72A.4; revise language to the liquidated damages section from
actual prices paid by the Company for replacement power to the day ahead on-
peak price at Four Corners as quoted at the Intercontinental Exchange (ICE).
The Company requested an effective date of March 13 2009.
DECISION MEMORANDUM MARCH 6, 2009
STAFF ANALYSIS
The Staff has reviewed the submitted tariff revisions, and believes that while certain
changes are relatively minor, some are substantive and warrant further review. Particularly, Staff
believes that the changes to Sheet No. 72A.2, permitting the Company, at its discretion, to credit
accounts rather than send checks to participants at the end of the season for the Credit is a
significant departure from previous practices. Furthermore, the language is vague and devoid of
any guidelines for when a credit is warranted over issuing a check. Informal discussions with the
Company show that irrigation customers are generally unsupportive of the change.
STAFF RECOMMENDATION
Staff requests that the filing be suspended and processed under Modified Procedure.
Doing so would permit interested parties an opportunity to provide input, as well as allowing the
Company to design a more definitive protocol regarding credit issuance. Staff has informed the
Company about its concerns, and the Company has assured Staff that suspension of the tariff
advice will not unduly impact the 2009 Irrigation Load Control Season.
COMMISSION DECISION
Does the Commission wish to suspend Tariff Advice No. 09-01 and proceed under
Modified Procedure?
i:udmemos/PacifiCorp SuspendO9-0 I (2).doc &'tJ
DECISION MEMORANDUM MARCH 6, 2009