HomeMy WebLinkAbout20250623Final.Order.No.36643.pdf Office of the Secretary
Service Date
June 23,2025
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF IDAHO POWER ) CASE NO. IPC-E-25-19
COMPANY'S APPLICATION FOR )
APPROVAL OF A FIRST AMENDMENT OF )
THE ENERGY SALES AGREEMENT FOR ) ORDER NO. 36643
THE SALE AND PURCHASE OF ELECTRIC )
ENERGY FROM THE BIRCH CREEK )
HYDRO PROJECT )
On April 8,2025,Idaho Power Company("Company")applied to the Idaho Public Utilities
Commission ("Commission") requesting approval of the First Amendment to the Energy Sales
Agreement, executed on March 14, 2025 ("Amended ESA"), for the sale and purchase of electric
energy generated by the Birch Creek Hydro Project ("Project").
On April 29, 2025,the Commission issued a Notice of Application and Notice of Modified
Procedure. Order No. 36583. Commission Staff ("Staff') filed comments. No other comments
were received.
Based on our review of the record,the Commission now issues this Final Order approving
the Company's proposed Amended ESA as filed.
BACKGROUND
The Company and Birch Creek Trout, Inc. ("Birch Creek Trout") entered into an Energy
Sales Agreement ("ESA") on July 3, 2019, for the sale and purchase of electric energy generated
by the Project located near Hagerman, Idaho. Case No. IPC-E-19-23. The ESA was approved by
the Commission in Order No. 34456, issued on October 4, 2019.Id.
THE APPLICATION
The Company stated that it entered into a Consent, Assignment, and Assumption
Agreement, effective as of January 23, 2025 ("Agreement"), with Birch Creek Trout to transfer
Birch Creek Trout's interest in the Project to Birch Creek Land and Water, LLC ("Birch Creek
Land and Water"). Application at 2. The Company represented that pursuant to the terms of the
Agreement, Birch Creek Trout has assigned, and Birch Creek Land and Water has assumed the
ESA and the rights and obligations of the Seller. Id.
ORDER NO. 36643 1
The Company represented that the Amended ESA would correctly identify the Seller as
Birch Creek Land and Water and would revise "Article XXIII Modification" to conform with
language previously approved by the Commission.Id. at 2-3.
STAFF COMMENTS
Staff reviewed the proposed Amended ESA, and Staff recommended the Commission
approve the proposed Amended ESA. Staff Comments at 2.
Staff believed the proposed Amended ESA accurately reflected that Birch Creek Trout's
interest in the facility had transferred to Birch Creek Land and Water and had thus correctly
identified the new Seller. Id.
Staff reviewed the proposed "Article XXIII Modification" in the Amended ESA, which
addressed potential modifications to the facility. Id. Staff believed the language complied with
Order No. 35705. Id. Staff also recommended that if the facility is modified, the Company only
include the net power supply expense that reflects the proper authorized rate of the facility as
actually modified for all energy delivered as of the first operation date of the modified facility in
the Company's Power Cost Adjustment,regardless of the compensation paid to the Seller.Id. Staff
believed this would place the ownership for monitoring the contract and any modifications made
to the facility on the Company to ensure the proper rate is paid to the Seller if and when
modifications are made to the facility. Id. Staff believed that this treatment would be consistent
with the Commission direction in Order No. 35705. Id.
COMMISSION FINDINGS AND DECISION
The Commission has jurisdiction over the Company's Application and the issues in this
case under Title 61 of the Idaho Code including Idaho Code §§ 61-501, 502, and 503. The
Commission is empowered to investigate rates, charges,rules,regulations,practices, and contracts
of all public utilities and to determine whether they are just, reasonable, preferential,
discriminatory, or in violation of any provisions of law, and to fix the same by order. Idaho Code
§§ 61-501, 502, and 503.
Having reviewed the record, the Commission finds it fair,just, and reasonable to approve
the Amended ESA between the Company and Birch Creek Land and Water for the sale and
purchase of electric energy by the Project.
ORDER
IT IS HEREBY ORDERED that the Company's Amended ESA is approved, as filed.
ORDER NO. 36643 2
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one(21) days of the service date of this Order regarding any matter
decided in this Order. Within seven (7) days after any person has petitioned for reconsideration,
any other person may cross-petition for reconsideration. See Idaho Code § 61-626.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 23rd day of
June 2025.
G
EDWARD LODGE, PRE, T ENT
R. HAMMOND JR., COMMISSIONER
/A
(7
DAYN HA IE, COMMISSIONER
ATTEST:
M(Smca'Barribs- chez
Commission Secretary
I:\Legal\ELECTRIC\IPC-E-25-19_ESA Birch Creek\orders\IPCE2519_final_em.docx
ORDER NO. 36643 3