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HomeMy WebLinkAbout20240503IPC to Staff Response to First PR.pdf IDAW ORNPOWER. An IDACORP Company RECEIVED 2024 May 3, 2:15PM MEGAN GOICOECHEAALLEN IDAHO PUBLIC Corporate Counsel UTILITIES COMMISSION mgoicoecheaallen(D_idahopower.com May 3, 2024 Commission Secretary Idaho Public Utilities Commission 11331 W. Chinden Boulevard Building 8, Suite 201-A Boise, Idaho 83714 Re: Case No. IPC-E-24-11 In the Matter of the Application of Idaho Power Company for a Determination of 2023 Demand-Side Management Expenses as Prudently Incurred Dear Commission Secretary: Attached for electronic filing is Idaho Power Company's Response to the First Production Request of the Commission Staff in the above-entitled matter. The confidential attachments will be sent in a separate email to the parties who sign the Protective Agreement. If you have any questions about the attached documents, please do not hesitate to contact me. Sincerely, Megan Goicoechea Allen MGA:cd Enclosures P.O.Box 70(83707) 1221 W.Idaho St. Boise,ID 83702 CERTIFICATE OF ATTORNEY ASSERTION THAT INFORMATION CONTAINED IN AN IDAHO PUBLIC UTILITIES COMMISSION FILING IS PROTECTED FROM PUBLIC INSPECTION CASE NO. IPC-E-24-11 Idaho Power Company's Application for a Determination of 2023 Demand-Side Management Expenses as Prudently Incurred The undersigned attorney, in accordance with Commission Rules of Procedure 67, believes that the Attachment No(s). 4 and 6 to Idaho Power Company's Response to the First Production Request of the Commission Staff, dated May 3, 2024, may contain information that Idaho Power Company and a third party claims is a confidential trade secrets and business records of a private enterprise required by law to be submitted to or inspected by a public agency as described in Idaho Code § 74-101 , et seq., and/or § 48-801, et seq. As such, it is protected from public disclosure and exempt from public inspection, examination, or copying. DATED this Friday, May 3, 2024, Akr T i I I�XY�L Megan Goicoechea Allen Counsel for Idaho Power Company MEGAN GOICOECHEA ALLEN (ISB No. 7623) Idaho Power Company 1221 West Idaho Street (83702) P.O. Box 70 Boise, Idaho 83707 Telephone: (208) 388-5317 Facsimile: (208) 388-6936 mgoicoecheaal len(o-)_idahopower.com Attorneys for Idaho Power Company BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF THE APPLICATION ) OF IDAHO POWER COMPANY FOR A ) CASE NO. IPC-E-24-11 DETERMINATION OF 2023 DEMAND-SIDE ) MANAGEMENT EXPENSES AS ) IDAHO POWER COMPANY'S PRUDENTLY INCURRED. ) RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF COMES NOW, Idaho Power Company ("Idaho Power" or "Company"), and in response to the First Production Request of the Commission Staff ("Commission" or "Staff") to Idaho Power Company dated April 12, 2024, herewith submits the following information: IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 1 STAFF REQUEST FOR PRODUCTION NO. 1: Please provide the monthly interest calculations for the balance in the Demand Side Management ("DSM") tariff rider account for 2023. RESPONSE TO STAFF'S REQUEST FOR PRODUCTION NO. 1: Please see the attachment provided for this response. The response to this Request is sponsored by Robert Everett, Finance Team Leader, Idaho Power Company. IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 2 STAFF REQUEST FOR PRODUCTION NO. 2: Please provide the DSM tariff rider revenue by month and by customer class for 2023. RESPONSE TO STAFF'S REQUEST FOR PRODUCTION NO. 2: The table below contains the 2023 Idaho Power Energy Efficiency Rider funding by rate class: 2023 Rate Class Tariff Schedule Rider Funding Residential 01, 03, 05, 06 $ 16,438,416 Commercial 07, 08, 09 $ 8,845,599 Industrial 19, 26, 29, 30, 32 $ 5,146,818 Irrigation 24 $ 4,098,757 Lighting 15, 40, 41, 42 $ 146,410 Total $ 34,675,999 The response to this Request is sponsored by Robert Everett, Finance Team Leader, Idaho Power Company. IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 3 STAFF REQUEST FOR PRODUCTION NO. 3: Please provide the cost- effectiveness workpapers and calculations for each energy efficiency and demand response program in 2023 in Excel format, with all formulas intact. RESPONSE TO STAFF'S REQUEST FOR PRODUCTION NO. 3: Please see the attachment provided for this response. In preparing the workpapers for this response, Idaho Power discovered an error in the formula used to calculate the $29.93 per kW year for the A/C Cool Credit demand response program that is displayed on page 33 of Thompson's Direct Testimony, page 34 of the Annual Report, and page 13 of Supplement 1 to the Company's Demand-Side Management 2023 Report. The total expenses in 2023 for the A/C Cool Credit program were $1 ,987,623 and would have remained the same had the program been fully used for the maximum 60 hours. However, the program incentives were inadvertently omitted from the formula used in the calculation. As a result, the updated program cost is calculated to be $44.53 per kW year opposed to the $29.93 per kW year initially reported. This also results in an updated total demand response portfolio value of $41.97 per kW year compared to the $40.80 per kW year initially reported, which is still under the 2023 demand response avoided cost threshold of $84.57 per kW year and therefore remains cost-effective. The Commercial & Industrial Flex Peak and Irrigation Peak Rewards Program's dollar per kW year values were not impacted by the formula error. The response to this Request is sponsored by Billie McWinn, Energy Efficiency Program & Customer Analysis Leader, Idaho Power Company. IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF -4 STAFF REQUEST FOR PRODUCTION NO. 4: Please provide a listing of all legal and consulting fees, including, but not limited to Evaluation, Measurement and Verification ("EM&V"), charged to the Idaho DSM tariff rider during 2023. RESPONSE TO STAFF'S REQUEST FOR PRODUCTION NO. 4: Please see the Confidential attachment provided for this response. The response to this Request is sponsored by Billie McWinn, Energy Efficiency Program & Customer Analysis Leader, Idaho Power Company. IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 5 STAFF REQUEST FOR PRODUCTION NO. 5: Please provide the amount of labor expense charged to the DSM tariff rider for 2023. Please also include the number of Full Time Equivalents funded by the rider. Please also provide the general wage adjustment percentage for non-union personnel approved by the Compensation Committee of the Board of Directors for each year. RESPONSE TO STAFF'S REQUEST FOR PRODUCTION NO. 5: The table below contains the 2023 Idaho Power Demand-Side Management labor expense, full-time equivalent employees, and general wage adjustment percentage: Year Idaho Rider Labor Expense FTEs General Wage Adjustment 2023 $3,449,976 24.07 6% The response to this Request is sponsored by Robert Everett, Finance Team Leader, Idaho Power Company. IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 6 STAFF REQUEST FOR PRODUCTION NO. 6: Please provide a current organizational chart by title and name showing all Idaho Power and contract employees who charge time to the DSM rider. Please include complete job descriptions, required qualifications, salary ranges, bonus opportunities, and total compensation ranges, including benefits, for all employees identified in this request. RESPONSE TO STAFF'S REQUEST FOR PRODUCTION NO. 6: Please see the Confidential Attachments 1 and 2 provided for this response. The response to this Request is sponsored by April Powell, Total Rewards Director, Idaho Power Company. IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 7 STAFF REQUEST FOR PRODUCTION NO. 7: Please provide copies of all internal audit reports referencing any of the Company's DSM expenses and processes for 2023. If an audit was completed and no reports were issued, please provide the date and scope of the audit and all internal auditor workpapers. RESPONSE TO STAFFS REQUEST FOR PRODUCTION NO. 7: Audit Services performs audits of internal controls related to the Company's DSM expenses and processes on a rotational basis as part of complying with Sarbanes-Oxley ("SOX") requirements. The related SOX process is Regulatory DSM Liability ("RDSU). The RDSL process was not subject to audit in 2023. The response to this Request is sponsored by Sonse Sutezzo, Audit Manager, Idaho Power Company. IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 8 STAFF REQUEST FOR PRODUCTION NO. 8: Please provide a list of market transformation and marketing activities offered in 2023 by the Northwest Energy Efficiency Alliance ("NEEA")that the Company has opted out of, for all or part of its service territory. a. For those activities, please provide a side-by-side comparison of NEEA marketing activities and those conducted by the Company; and b. Please provide a financial comparison of those activities. If applicable, please identify how much the Company was reimbursed from NEEA for those marketing activities. RESPONSE TO STAFF'S REQUEST FOR PRODUCTION NO. 8: The Company did not opt out of any market transformation or marketing activities offered by NEEA in 2023. The response to this Request is sponsored by Billie McWinn, Energy Efficiency Program and Customer Analysis Leader, Idaho Power Company. Respectfully submitted this V day of May 2024. Awrx T I' I I�JIJUUy l MEGAN GOICOECHEA ALLEN Attorney for Idaho Power Company IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 9 CERTIFICATE OF SERVICE I HEREBY CERTIFY that on this V day of May 2024, 1 served a true and correct copy of the within and foregoing Idaho Power Company's Response to the First Production Request of the Commission Staff upon the following named parties by the method indicated below, and addressed to the following: Adam Triplett Hand Delivered Deputy Attorneys General U.S. Mail Idaho Public Utilities Commission Overnight Mail P.O. Box 83720 FAX Boise, ID 83720-0074 X Email adam.triplett(a),puc.idaho.gov a4lw Christy Davenport, Legal Assistant IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 10