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HomeMy WebLinkAbout20250411Notice_of_Application_Order_No_36539.pdf Office of the Secretary Service Date April 11,2025 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF IDAHO POWER ) CASE NO. IPC-E-25-11 COMPANY'S APPLICATION FOR ) AUTHORITY TO IMPLEMENT FIXED ) NOTICE OF APPLICATION COST ADJUSTMENT ("FCA") RATES FOR ) ELECTRIC SERVICE FROM DUNE 1, 2025 ) NOTICE OF MODIFIED THROUGH MAY 31, 2026 ) PROCEDURE ORDER NO. 36539 On March 12, 2025, Idaho Power Company ("Company") applied to the Idaho Public Utilities Commission("Commission")requesting an order authorizing the Company to implement Fixed Cost Adjustment ("FCA") rates for electric service from June 1, 2025, through May 31, 2026, and to approve the Company's corresponding Schedule 54, FCA. Application at 1. BACKGROUND The FCA is a rate adjustment mechanism designed to break the link between the energy a utility sells and the revenue it collects to recover fixed costs' of providing service,thus decoupling the utility's revenues from its customers' energy usage. This decoupling removes a utility's incentive to increase sales to increase revenue and profits and encourages energy conservation. It applies to Residential and Small General Service customers. NOTICE OF APPLICATION YOU ARE HEREBY NOTIFIED that the Company proposes a $40,657,141, or 5.28 percent, decrease for Residential and Small General Service customers through Schedule 54. Application at 1. The Company represents that if the FCA is approved as filed,a typical residential customer using 950 kilowatt-hours ("kWh")per month will see an approximate $6.35 decrease to their monthly bill.Id. at 1-2. YOU ARE FURTHER NOTIFIED that the Company represents that the proposed FCA is $2,936,820.93 for the Residential class and$114,953.11 for the Small General Service class, for a 1 "Fixed costs"are a utility's costs to provide service,such as infrastructure and customer service,which do not vary with energy use,output,or production,and remain relatively stable between rate cases. NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36539 1 total amount of$3,051,774.04, which is less than the current FCA deferral balance collected in customers' rates.Id. at 7. YOU ARE FURTHER NOTIFIED that the Company proposes a rate adjustment for the Residential and Small General Service classes to credit the fixed costs that were over-collected through actual billed energy charges during the year. Id. at 7-8. The Company states that the increase equates to new FCA credit of 0.0503 cents per kWh for the Residential class and 0.0614 cents per kWh for the Small General Service class. Id. at 8. YOU ARE FURTHER NOTIFIED that the Company requests that the new FCA rates become effective on June 1,2025,coincident with the Company's annual Power Cost Adjustment, and that the FCA rates remain in effect until May 31, 2026.Id. YOU ARE FURTHER NOTIFIED that the Application, proposed tariff, and supporting documents are available for public inspection during regular business hours at the Commission's office. The Application is also available on the Commission's website at www.puc.idaho.gov. Click on the "ELECTRIC" icon, select "Open Cases," and 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 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 that it will proceed under Modified Procedure pursuant to the Commission's Rules of Procedure 201-204, 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 the person supports or opposes the Application. Persons who would like a hearing must specifically request a hearing in their written comments and explain why written comments alone are insufficient. Persons interested in filing written comments must do so by May 6, 2025. Comments must be filed through the NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36539 2 Commission's website or by e-mail unless computer access is unavailable. To comment electronically, please access the Commission's website at http://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 Public Utilities For the Company: Commission: Commission Secretary Megan Goicoechea Allen Idaho Public Utilities Commission Connie Aschenbrenner P.O. Box 83720 Grant T. Anderson Boise, ID 83720-0074 Idaho Power secretgakpuc.idaho.gov 1221 West Idaho Street(83702) P.O. Box 70 Street Address for Express Mail: Boise, ID 83707 m goicoecheaallengidahopower.com 11331 W. Chinden Blvd. docketskidahopower.com Building 8, Suite 201-A caschenbrenner(aidahopower.com Boise, ID 83714 ganderson&idahopower.com YOU ARE FURTHER NOTIFIED that the Company must file any reply comments by May 13, 2025. 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 final NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36539 3 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 Application be processed by Modified Procedure. Persons interested in filing written comments must do so by May 6,2025. The Company must file any reply comments by May 13, 2025. 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 1 lth day of April 2025. EDWARD LODGE, P SIDENT J R. HAMMOND JR., COMMISSIONER DAYN HAR161E, COMMISSIONER ATTEST: 010—C86, a Ba io ,sA';;�T Commission Secre IALegahELECTRIC\IPC-E-25-11_FCA\orders\1PCE2511_Ntc_App_Mod_cb.docx NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 36539 4