202404262023 Renewable Natural Gas Report.pdf

RECEIVED
Avista Corp. Friday, April 26, 2024 3:40PM
1411 East Mission P.O. Box 3727 IDAHO PUBLIC
Spokane. Washington 99220-0500 UTILITIES COMMISSION
Telephone [phone]
Toll Free 800-727-9170
April 26, 2024
Secretary
Idaho Public Utilities Commission
11331 W. Chinden Blvd. Bldg. 8, Ste. 201-A
Boise, Idaho 83714
RE: Avista Utilities 2023 Annual Report on Optional Renewable Natural Gas
Dear Secretary:
Pursuant to Order No. 35520 in Case No. AVU-G-22-01, attached for filing is Avista
Corporation's dba Avista Utilities' (Avista or the Company) report on optional renewable natural
gas (RNG) offered as an option to customers in 2023 under tariff Schedule 195 - Optional
Renewable Natural Gas.
Please direct questions on this matter to Amanda Ghering at (509) 495-7950 or
[e-mail].
Sincerely,
/Q/s" gm#w
Sr. Manager of Regulatory Policy& Strategy
Avista Utilities
Shawn.Bonfield(d,avistacorp.com

11
SCHEDULE 195
RENEWABLE NATURAL GAS
2023 ANNUAL REPORT
AVISTA CORPORATION
April 2024

Background
On March 3,2022,Avista filed its proposed Tariff Schedule 1951 to provide natural gas customers
within Avista's Idaho natural gas service territory a voluntary opportunity to purchase renewable
natural gas (RNG) as part of their monthly billing. On September 2,2022,the Idaho Public Utility
Commission (Commission) issued Final Order 35520, approving Avista's voluntary RNG
program. The Program offers residential and commercial natural gas customers in Idaho with the
option to purchase blocks of RNG which includes the environmental equivalent attributes
associated with 1.5 therms of RNG. Each block is priced at$5.00 per block,per month. Customers
subscribe on a monthly basis and can cancel and re-subscribe at any time through multiple channels
including Avista's website, bill inserts, and contacting Avista's contact center. Avista purchases
and retires Renewable Thermal Credits (RTCs) on behalf of its customers to supply the
program. The Company markets the program through billing inserts, earned media, selected fairs,
and printed media.
Renewable Natural Gas 2023 Annual Reporting
Table I below represents the number of active participants each month.
Table 1 —2023 MonthlyRenewable Natural Gas Participation
2023 ID—Total
Participants
Jan 126
Feb 126
Mar 126
Apr 126
May 126
Jun 124
Jul 124
Aug124
Sep 127
Oct 119
Nov 119
Dec 119
'Advice No.AVU-G-22-01
2 Page

Table 2 below provides the Idaho RTC purchase details.
Table 2—2023 RTC Purchase Details (Idaho)
Generator Plant- Location Qty RTC Total Price
Unit Name (Dth) Vintage
H.W. Hill Renewable
Gas Facility WA 226 2023 $4,594.58
Tables 3 and 4 below provide a detailed break-down of administrative and marketing costs. These
expenses correlate to the overall project expenses and program budget as provided in reporting
requirement No. 5.
Table 3 —2023 Labor Expenses
Jan Feb March A rfl May June July August Set Oct Nov
DecD Total
340 Regular Pa 1-NU $ 128.69 $ 73.70 $ 114.73 $ 317.12
509 Pa Ben In'&Dam $ 1.66 $ 0.80 $ 1.24 $ 3.70
510 Pa ofi Benefits loading $ 53.68 $ 25.74 $ 40.06 $ .48
511 Non-Service Loading $ (11.58) $ (111) (1.43) S 4.12
512 Incentive Loading-NU $ 6.57 $ 7.14 $ 11.12 $ 24.83
515 Pa fi Tax loading $ 10.94 $ 6.08 $ 9.47 $ 26.49
516Incty Tax $ 0.64 $ 0.37 0.57 $ 1.58
$ 8.59520 Pa ofi Time Offloading $ 24.09 $ 13.27 �$ 21.23
Total $ $214.69 $ - $125.99 6 $
53767
Table 4 below outlines the non-labor expenses,which include the license expense for the M-RETS
software required to retire RTCs on behalf of all customers. The table below reflects the program
expenses for all RNG purchased for Washington, Idaho, and Oregon customers. The RNG
purchased for Idaho participants is prorated by the number of Idaho participants and is reflected in
table 2 above.
Table 4—2023 Non-Labor Expenses
Accounting Expenditure Type Vendor Name Transaction Transaction
Period Ex Description Amount
820 Computer Equip Midwest RNG-MRETS
Feb-23 Software Renewable Energy Software Subscription $2,200.00
TrackingS stem
May-23 885 Miscellaneous Puget Sound RNG Purchase-April $11,750.74
Energy 2023
Jun-23 820 Computer Equip Midwest RTC Retirement for $58.15
Software Renewable Energy RNG
Tracking S stem
Nov-23 885 Miscellaneous Puget Sound RNG Purchase-Oct $18,317.33
Energy 2023
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Grand Total $32,326.22
Program Promotion and Education
Table 5 below provides a list of the promotional communication pertaining to the voluntary RNG
program to Idaho customers throughout 2023.
Table 5—Summary of communication activities in 2023:
February Idaho Account Executive newsletter article
March eConnections article for all customers
October Net Promoter Survey to customers
Table 6 below provides the provides the break-down of program expenses. These costs and
balances correlate to the detailed break-down of itemized expenses provide in Table 3 above. A
general rate case filed in 2023 updated the revenue conversion factor in Idaho, effective September
1 st, 2023.
Table 6—2023 Program Expenses
Sch 195 Revenue Net Revenue
Revenue Gross Conversion Factor
Idaho: January-August 2023 5,110.00 0.949622 4,852.57
Idaho: September-December 2023 2,410.00 0.787016 1,896.71
Idaho: Total 2023 7,520.00 6,749.28
Project Costs(WA,ID,OR):
340 Regular Payroll-NU 317.12
509 Pay Ben Inj &Dam 3.70
510 Payroll Benefits loading 119.48
511 Non-Service Loading (14.12)
512 Incentive Loading-NU 24.83
515 Payroll Tax loading 26.49
516 Inctv Pyrll Tax 1.58
520 Payroll Time Off loading 58.59
820 Computer Equip Software 2,258.15
RTCs purchased(WA,ID, OR) 30,068.07
Revenue offset(WA, ID, OR) (54,975.33)
Net(Benefit)/Costs(WA, ID, OR) (24,907.26)
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