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HomeMy WebLinkAbout20240821Notice_of_Application_Order_No_36298.pdf Office of the Secretary Service Date August 21,2024 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF AVISTA ) CASE NO. AVU-G-24-02 CORPORATION'S APPLICATION FOR ) APPROVAL OF A CHANGE IN RATES FOR ) NOTICE OF APPLICATION PURCHASED GAS COSTS AND ) AMORTIZATION OF GAS-RELATED ) NOTICE OF DEFERRAL BALANCES ) MODIFIED PROCEDURE ORDER NO. 36298 On July 31, 2024, Avista Corporation d/b/a/Avista Utilities ("Company") applied for authority to change its rates for purchased gas costs and amortize its gas-related deferral balances. The Company represents that, if the Application is approved as filed, its annual revenue will decrease by approximately $32.3 million, or about 27.9%. The Company requests processing of this matter via modified procedure with a November 1, 2024, effective date. 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 proposes: (1) to pass any change in the estimated cost of natural gas for the period of November 2024 through October 2025 to customers (Tariff Schedule 150); and (2) revise the amortization rate(s) to refund or collect the balance of deferred gas costs (Tariff Schedule 155). The Company proposes to change its PGA rates in this case for its customer classes as follows: Commodity Demand Total Amortization TotalPGA Sch Change Change Sch 150 Change Rate Change Service No. per the per therm Change per therm per thenm General 101 $ (0.04984) $ 0.00111 $ (0.04873) $ (0.27015) $ (0.31888) Lg. General 111 $ (0.04984) $ 0.00111 $ (0.04873) $ (0.27015) $ (0.31888) Lg General 112 $ (0.04984) $ 0.00111 $ (0.04873) $ - $ (0.04873) Interruptible 131 $ (0.04984) $ - $ (0.04984) $ - $ (0.04984) Transportation 146 $ - $ - $ - $ - $ - YOU ARE FURTHER NOTIFIED that the Company's commodity costs are the variable costs at which the Company must buy natural gas. The weighted average cost of gas ("WACOG") is an estimate of those costs. The Company estimates the WACOG change is a NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36298 1 decrease of $0.04984 per therm; representing a proposed WACOG of $0.23850 per therm compared to the WACOG of$0.28834 per therm currently included in rates. YOU ARE FURTHER NOTIFIED that the Company's demand costs primarily consist of costs to transport natural gas on interstate pipelines to the Company's local distribution system and fixed costs associated with storage of natural gas. The Company represents that demand costs are expected to increase for residential customers by approximately $0.00111 per therm. YOU ARE FURTHER NOTIFIED that the Company represents that the proposed amortization rate change for Schedule 101 and Schedule 111 is a decrease in revenue of$0.27015 per therm. The Company States that the current rate applicable to Schedule 101 and Schedule 111 is $0.25281 per therm in the surcharge direction, and the proposed rate is $0.01734 per therm in the rebate direction. YOU ARE FURTHER NOTIFIED that the Company represents that if the Application is approved as filed,the Company's annual revenue will decrease by approximately$32.3 million, or 27.9% effective November 1, 2024. The Company represents that residential or small commercial customers using an average of 64 therms per month would see a decrease of$20.41 per month, or approximately 26.2%. YOU ARE FURTHER NOTIFIED that the Company represents that it will deliver notice of the proposed changes to customers as inserts in monthly bills in the September timeframe as well as posting copies of the notice in its district offices and distributing the notice to various information entities. YOU ARE FURTHER NOTIFIED that the 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"NATURAL GAS" 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, and 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 APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36298 2 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 October 16, 2024, 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. 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 Avista Utilities: Commission Secretary Patrick D. Ehrbar Idaho Public Utilities Commission David J. Meyer NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36298 3 P.O. Box 83720 Avista Utilities Boise, ID 83720-0074 1411 E. Mission Avenue secretary_Apuc.idaho.gov Pat.ehrbar(&avistacorp.com David.me ergavistacorp.com Street Address for Express Mail: Dockets(ir avistacorp.com 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 YOU ARE FURTHER NOTIFIED that the Company must file any reply comments by October 23, 2024. 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 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 by October 16, 2024. The Company must file any reply comments by October 23, 2024. 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. NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36298 4 DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 2ISt day of August 2024. ERIC DER N. PRESIDENT JO HAMMOND JR., COMMISSIONER G EDWARD LODGE, COMIVT SIONER ATTEST: 0�.. MonjAtwiosudh Commission Secretary <2T NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36298 5