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HomeMy WebLinkAbout20240514Notice_of_Application_Order_No_36174.pdf Office of the Secretary Service Date May 14,2024 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF ROCKY MOUNTAIN ) CASE NO. PAC-E-24-08 POWER'S APPLICATION FOR APPROVAL ) OF UPDATED VARIABLE ENERGY PRICES ) NOTICE OF APPLICATION FOR QFs SUBJECT TO TERMS OF THE ) 1992 AMENDMENTS TO CERTAIN POWER ) NOTICE OF PURCHASE AGREEMENTS ) MODIFIED PROCEDURE ORDER NO. 36174 On April 12, 2024, Rocky Mountain Power, a division of PacifiCorp ("Company"), applied for Commission approval of updates to the Qualifying Facility ("QF") variable energy price pursuant to the terms of the 1992 amendments ("Amendment") to certain Idaho QFs power purchase agreements. Specifically, the Company requests Commission approval for a variable energy rate of$31.76 per megawatt hour("MWh"). The Company requests that its Application be processed through Modified Procedure with an effective date for the new variable energy rate of July 1, 2024. With this Order the Commission issues notice of the Company's Application and establishes public comment and Company reply deadlines. NOTICE OF APPLICATION YOU ARE HEREBY NOTIFIED that the Company represents that, of the 13 QF contracts originally affected by the Amendment outlining the method used to determine the variable energy component of the avoided cost rate for QF contracts, only one remains in effect the Marsh Valley Hydro contract. According to the Company, this contract will remain effective through February 28, 2028.1 YOU ARE FURTHER NOTIFIED that the Company represents that the variable energy rate is calculated as the sum of the Company's fuel costs and Colstrip variable Operation and Maintenance("O&M")cost.2 The Company represents the variable O&M costs were set based 'The other 12 QF contracts have expired.Ten of these contracts transitioned to new Power Purchase Agreements,and two did not seek new contracts. 2 The Amendment defines fuel costs"as the average cost of fuel consumed in the Utah Division plants, specifically Carbon,Hale,Naughton,Huntington, and Hunter coal plants."Application at 2. The Amendment specifies that any plant that does not operate in a calendar year will be removed from the average fuel cost calculation. Since Carbon and Hale plants are now closed,the Company removed these from its calculation. NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36174 1 on the variable costs associated with the operation of the coal power generating facility Colstrip, excluding the generation tax and the line loss adjustments. YOU ARE FURTHER NOTIFIED that based on that calculation, the Company proposes the variable energy rate applicable to deliveries commencing July 1, 2024, through June 30, 2025, should be $31.76 per MWh. YOU ARE FURTHER NOTIFIED that the Company's Application and Attachments are available for public inspection during regular business hours at the Commission's office. These documents are also available on the Commission's website at www.puc.idaho.gov. Click on the "ELECTRIC" icon, select "Open Cases," then click on the case number as shown on the front of this document. YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held pursuant to the Commission's jurisdiction under Title 61 of the Idaho Code. YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be conducted pursuant to the Commission's Rules of Procedure, IDAPA 31.01.01.000 et seq. NOTICE OF MODIFIED PROCEDURE YOU ARE FURTHER NOTIFIED that the Commission has determined that the public interest may not require a formal hearing in this matter, and it will review the case through written submissions under the Commission's Rules of Modified Procedure Rules 201-204 of the Idaho Public Utilities Commission's Rules of Procedure, IDAPA 31.01.01.201-204. The Commission notes that Modified Procedure and written comments have proven to be an effective means for obtaining public input and participation. YOU ARE FURTHER NOTIFIED that persons desiring to state a position on this Application may file a written comment explaining why they support or oppose the Application. Persons who would like a hearing must specifically request a hearing in their written comments. Persons shall have until 21 days from the date of this Notice of Application and Notice of Modified Procedure to file written comments. Comments must be filed through the Commission's website or by e-mail unless computer access is unavailable. To comment electronically, please access the Commission's website at www.puc.idaho.gov. Click the "Case Comment Form" and complete the form using the case number as it appears on the front of this document. NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36174 2 To file by e-mail,persons must e-mail the comments to the Commission Secretary and all parties at the e-mail addresses listed below. Persons submitting a comment by e-mail must provide their name, address, and the Case Number under which they are commenting. Persons submitting a comment by e-mail also acknowledge that submitting a comment in an open case constitutes a public record under Idaho Code § 74-101(13), and all information provided by such person is available for public and media inspection. If computer access is unavailable, then comments may be mailed to the Commission and the Parties at the addresses below. Persons submitting a comment by mail must provide their name, address, and the Case Number under which they are commenting. Persons submitting a comment by mail also acknowledge that submitting a comment in an open case constitutes a public record under Idaho Code § 74-101(13), and all information provided by such person is available for public and media inspection. For the Idaho PUC: For Rocky Mountain Power: Commission Secretary Mark Alder Idaho Public Utilities Commission Rocky Mountain Power P.O. Box 83720 1407 West North Temple, Suite 330 Boise, ID 83720-0074 Salt Lake City, UT 84116 secretgakpuc.idaho.gov mark.alderkpacificorp.com Street Address for Express Mail: Joe Dallas Rocky Mountain Power 11331 W. Chinden Blvd. 825 NE Multnomah, Suite 2000 Building 8, Suite 201-A Portland, OR 97232 Boise, ID 83714 joseph.dallaskpacificorp.com Data Request Response Center 825 NE Multnomah St., Suite 2000 Portland, OR 97232 datarequest(a),pacific orp.com YOU ARE FURTHER NOTIFIED that the Company must file any reply comments no later than 28 days after the service date of this order. YOU ARE FURTHER NOTIFIED that if no written comments or protests are received within the time limit set,the Commission will consider this matter on its merits and enter its order NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36174 3 without a formal hearing. If written comments are received within the time limit set, the Commission will consider them and, in its discretion, may set the same for formal hearing. ORDER IT IS HEREBY ORDERED that the Company's Application be processed by Modified Procedure, Rules 201-204. Persons interested in submitting written comments must do so no later than 21 days after the issuance date of this order. The Company must file any reply comments by no later than 28 days after the issuance date of this order. IT IS FURTHER ORDERED that parties comply with Order No. 35375, issued April 21, 2022. Generally, all pleadings should be filed with the Commission electronically and will be deemed timely filed when received by the Commission Secretary.See Rule 14.02. Service between parties should continue to be accomplished electronically when possible. However, voluminous discovery-related documents may be filed and served on CD-ROM or a USB flash drive. DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 14th day of May 2024. ERIC ANDERSON, PRESIDENT HN R. HAMMOND JR., COMMISSIONER G EDWARD LODGE4r' MMISSIONER ATTEST: —1 JJQOAeQ� Mo c -o Commission Secretary I Tegat\ELECTRIC\PAC-E-24-08_PPAs QFS\orders\PACE2408_Ntc of App_Mod_at.docx NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36174 4