HomeMy WebLinkAbout20250415Notice_of_Application_Order_No_36541.pdf Office of the Secretary
Service Date
April 15,2025
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF IDAHO POWER ) CASE NO. IPC-E-25-08
COMPANY'S APPLICATION FOR A )
CERTIFICATE OF PUBLIC CONVENIENCE ) NOTICE OF APPLICATION
AND NECESSITY FOR AN OWNERSHIP )
INTEREST IN THE SOUTHWEST INTERTIE ) NOTICE OF
PROJECT—NORTH 500-KV ) INTERVENTION DEADLINE
TRANSMISSION LINE AND APPROVAL OF )
THE UTILIZATION OF CAPACITY ON THE ) ORDER NO. 36541
LINE )
On March 7, 2025, Idaho Power Company ("Company") applied to the Idaho Public
Utilities Commission ("Commission") requesting an order: (1) granting a Certificate of Public
Convenience and Necessity ("CPCN") for the Company's interests in the Southwest Intertie
Project - North ("SWIP-North"), transmission line, including the ownership rights to 250
megawatts("MW")of its northbound capacity, and(2) approving the Company's utilization of an
additional 250 MW of GBT Northbound,LLC's("GBT Northbound")northbound capacity rights,
both via the SWIP-North agreements.Application at 1-2. In total, the Company claims that it will
gain 500 MW of south-to-north capacity on the total Southwest Intertie Project transmission line
("Total SWIP"). The Company asserts this provides a cost-effective resource addition to meet
capacity deficiencies.
BACKGROUND
SWIP-North is an approximately 285 mile,nearly construction ready transmission line that
will connect the Midpoint substation, near Shoshone, Idaho, to the Robinson Summit substation,
near Ely,Nevada. Id. at 2-3. The Company represents that SWIP-North is planned to be online in
2028. Id. at 5. The Company asserts that SWIP-North will connect to the existing Southwest
Intertie Project — South 500-kV line ("SWIP-South"), an existing transmission line that extends
between Robinson Summit substation and the Harry Allen substation, northeast of Las Vegas,
Nevada. Id. at 3. The Company states that when combined, SWIP-North and SWIP-South form
the Total SWIP.Id.
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 36541 1
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that the Company represents that ownership and capacity
entitlements associated with SWIP-South, as well as SWIP-North and Total SWIP once
completed, are governed by the Second Amended and Restated Transmission Use and Capacity
Exchange Agreement by and among Nevada Power Company, Sierra Pacific Power Company,
Great Basin Transmission South, LLC, and Great Basin Transmission, LLC, dated as of June 30,
2020 ("TUA"), which is included as Exhibit 2 to Mr. Ellsworth's direct testimony filed in this
case.Id.
The Company represents that its participation in, and joint ownership of, SWIP-North has
been memorialized in: (1) the Participation and Joint Ownership Agreement by and among Great
Basin Transmission, LLC, GBT Northbound, LLC and the Company dated as of February 13,
2025; (2) the Capacity Entitlement Agreement by and between GBT Northbound, LLC and the
Company dated as of February 13, 2025 ("Capacity Entitlement Agreement"); (3) the Purchase
and Sale Agreement by and between GBT Northbound, LLC and the Company dated as of
February 13, 2025; and (4) the Purchase Option Agreement by and between GBT Northbound,
LLC and the Company dated as of February 13, 2025 ("Definitive Agreements"). Id. at 6. The
Company requests approval of the Definitive Agreements, and they are included as Confidential
Exhibit No. 5 to Mr. Ellsworth's direct testimony filed in this case.Id.
YOU ARE FURTHER NOTIFIED that the Company states that it analyzed SWIP-North,
as well as other portfolio scenarios, as part of its 2023 Integrated Resource Plan ("IRP") as
providing a 500 MW resource equivalent capacity, from the Desert Southwest ("DSW") market,
in the winter months beginning in 2028. Id. at 5. Costs were modeled to reflect a 22.83 percent
ownership interest for the Company. Id. The Company asserts the results of its IRP analysis
indicated that a portfolio inclusive of SWIP-North was lower cost than one that excluded SWIP-
North. Id.
YOU ARE FURTHER NOTIFIED that the Company represents that once energized, the
Definitive Agreements provide for the Company's undivided ownership interest in approximately
11.4 percent, or 250 MW, of SWIP-North's south-to-north capacity. Id. at 6. GBT Northbound
will provide the Company transmission rights for the use of an additional 250 MWs of GBT
Northbound's ownership interest of SWIP-North's south-to-north capacity for 40 years through
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 36541 2
the Capacity Entitlement Agreement. Id. At the end of 40 years the Company will have the option
to purchase the 250 MWs of SWIP-North from GBT Northbound.' Id. In addition to the
Company's ownership interests and transmissions entitlements for SWIP-North,GBT Northbound
has dedicated the remaining capacity entitlement on SWIP-North transmission line to the
California Independent System Operator. However, GBT Northbound will retain ownership
interest in SWIP-North associated with this dedication. Id. at 5.
YOU ARE FURTHER NOTIFIED that the Company represents that it is not requesting
binding ratemaking treatment in this case. Id. at 9. The Company requests that the Commission
find the Company has met the requirements of Idaho Code § 61-526, and that the Commission
issue an order granting a CPCN to acquire the rights to approximately 11.4 percent of the
northbound capacity of SWIP-North. Id. The Company represents that it will make a future filing
to address the cost recovery associated with the Company's ownership interest. Id. The Company
intends to finance its 11.4 percent ownership interest in SWIP-North through available credit
facilities,borrowing and debt issuances, available case and operating cash flow, and future equity
infusions from IDACORP (the Company's parent).
YOU ARE FURTHER NOTIFIED that upon energization of SWIP-North, due to transfer
capability gains, the transmission capacity allocations across SWIP-South will change. Ellsworth
Direct at 10-11. GBT will receive a portion of the new capacity across SWIP-South through the
additional transfer capability gains.Id. at 10.Under the TUA,the use of some of GBT's additional
capacity entitlements on SWIP-South will provide the Company 500 MWs of south-to-north
capacity entitlements over Total SWIP. Id. at 11-12. This will give the Company access to 500
MWs of energy from the DSW.
YOU ARE FURTHER NOTIFIED that the Application and testimony have been filed with
the Commission and is available for public inspection during regular business hours at the
Commission's office. These documents are also available on the Commission's website at
' Under the Definitive Agreements, the Company represents it will secure a capacity entitlement in SWIP-North to
utilize 500 MW of south-to-north capacity,representing 46.62 percent of GBT's 1,072 MW of south-to-north capacity,
and 22.83 percent of GBT's 2,190 MW of Total SWIP capacity. Ellsworth Direct at p. 14. The Company represents
that 100 percent Company ownership of the 500 MW south-to-north transmission capacity on SWIP-North was not
an option.Id. at 17.
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 36541 3
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 INTERVENTION DEADLINE
YOU ARE FURTHER NOTIFIED that persons desiring to intervene in this matter to
obtain parties' rights of participation must file a Petition to Intervene with the Commission
pursuant to this Commission's Rules of Procedure 71-73, IDAPA 31.01.01.072-073. Persons who
wish to intervene as a party must file a Petition to Intervene no later than 21 days after the
date of service of this Order. Persons desiring to present their views without parties' rights of
participation do not have to intervene and may present their comments without prior notification
to the Commission or the parties.
YOU ARE FURTHER NOTIFIED that the Commission Secretary shall issue a Notice of
Parties after the deadline for intervention has passed. The Notice of Parties shall assign exhibit
numbers to each party in this proceeding.
YOU ARE FURTHER NOTIFIED that once the Notice of Parties is issued, Commission
Staff("Staff')will informally confer with the parties to discuss a schedule to process this case and
other issues as may be raised by the parties.
YOU ARE FURTHER NOTIFIED that the following persons are designated as the
Company's representatives in this matter:
Donovan E. Walker Tim Tatum
Idaho Power Company Vice President, Regulatory Affairs
P.O. Box 70 Idaho Power Company
Boise, Idaho 83707 P.O. Box 70
dwalkergidahopower.com Boise, Idaho 83707
dockets(a,idahopower.com ttatum(aidahopower.com
ORDER
IT IS HEREBY ORDERED that persons desiring to intervene in this case for the purpose
of obtaining parties' rights of participation must file a Petition to Intervene with the Commission,
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 36541 4
under Rules 71-73, IDAPA 31.01.01.071-073, no later than 21 days after the service date of this
Order.
IT IS FURTHER ORDERED that, after the Secretary issues a Notice of Parties, Staff will
informally confer with the parties to discuss the appropriate scheduling of this case.
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 151h day of
April 2025.
G
EDWARD LODGE, PIES' NT
4HN . HAMMOND JR., COMMISSIONER
YN H DI , COMMISSIONER
ATTEST:
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IALega1\ELECTRIC\IPC-E-25-08_S WIP\orders\IPCE2508_Ntc_App_hit_cb.docx
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
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