20250625Final_Order_No_36657.pdf

Office of the Secretary
Service Date
June 25,2025
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION ) CASE NO. PAC-E-25-01
OF ROCKY MOUNTAIN POWER FOR )
APPROVAL OF THE DECOMMISSIONING )
AND SALE OF THE PARIS ) ORDER NO. 36657
HYDROELECTRIC PROJECT )
GENERATING FACILITIES )
On February 6, 2025, Rocky Mountain Power, a division of PacifiCorp ("Company")
applied for an order approving the decommissioning of the Paris Hydroelectric Project generating
facilities ("Paris Project") and determining that the decommissioning and property disposition is
in the public interest.
On April 1, 2025, the Commission issued a Notice of Application, Notice of Modified
Procedure, and Notice of Telephonic Customer Hearing. Order No. 36528. The Commission held
a telephonic customer hearing on May 13, 2025. No members of the public testified. 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 decommissioning of the Paris Project and determines that the decommissioning and property
disposition is in the public interest.
THE APPLICATION
The Company proposed to decommission the 715-kilowatt Paris Project, remove the
infrastructure, and restore Paris Creek to its natural flow in Bear Lake County, Idaho. Application
at 1-3. The decommissioning was initiated by the Paris Creek Restoration Agreement
("Agreement")between the Company and stakeholders. Id. at 1.
The Company represented the decommissioning activities for the Paris Project would
include: 1)removing the concrete forebay inlet structure and the slide gate; 2) grading the earthen
forebay embankments to resemble natural landforms; 3) removing the concrete outlet structure,
gates, and trash racks; 4)removing the steel penstock and support piers; 5)removing the concrete
elements of the spillway and flume; 6) decommissioning the power house by removing and
disposing of its contents and disconnecting the power house from the Company's distribution
ORDER NO. 36657 1

system to leave the structure secure and empty on-site; 7) removing the discharge pipe sections
across the road from the power house; 8) removing the concrete tailrace basin and slide gates; 9)
leaving the Paris Relief Flume (an iron pipe and trestle structure) in-place; and 10) demolishing
the employee house and disposing of the material off-site. Id. The Company represented that all
disturbed areas would be graded and seeded after decommissioning activities have been
completed. Id.
The Company represented the total cost of decommissioning the Paris Project would be
approximately $1.6 million. Id. The Company stated that at the conclusion of decommissioning,
the Company would sell approximately 31.7 acres of land, an empty stone powerhouse, a domestic
well, and a garage. Id. at 9. The Company also stated that a request for proposal process would be
used to solicit bids to salvage the generation equipment, and an additional 4.3 acres would be
donated to a public entity for public access to Paris Creek as part of the Agreement. Id.
The Company stated that it believed the decommissioning of the Paris Project would be in
public interest because it would return senior irrigation water rights to 3.5 miles of the substantially
dewatered Paris Creek for the benefit of native fish. Id. at 10. Additionally, water for stock would
not be impacted, and 4.3 acres would be donated to a public entity for public access to Paris Creek.
Id. at 10-11.
The Company stated that its decision to decommission the Paris Project was based on an
economic analysis comparing two alternatives, continued operation or decommissioning of the
Paris Project. Id. at 12. The Company stated that the economic analysis showed that the
decommissioning resulted in a present value revenue requirement ("PVRR") of approximately
$1.4 million and PVRR of the continued operation of the Paris Project for another 30 years was
approximately $1.7 million.Id.
The Company believed that the decommissioning of the Paris Project would have no effect
on the quality of service provided to the Company's customers and would not impact current rates.
Id.
STAFF COMMENTS
Staff reviewed the Application and based its recommendation on the requirements of Idaho
Code §61-328. Id. at 2. Idaho Code §61-328 states that before authorizing the transaction, the
Commission shall find that:
a) The transaction is consistent with the public interest;
ORDER NO. 36657 2

b) The cost of and rates for supplying service will not be increased by reason of such
transaction; and
c)The applicant for such acquisition or transfer has the bona fide intent and financial ability
to operate and maintain said property in the public service.
Idaho Code §§ 61-328(3)(a)-(c).
Staff believed: 1)the decommissioning of the Paris Project would be in the public interest;
2) customers would not see a rate increase as a result of decommissioning; and 3) the
decommissioning was initiated from an agreement between the Company and stakeholders and
that the stakeholders would have sufficient funding and a bona fide intent to maintain the property
in service to the public.Id.
Staff believed the decommissioning would be in the public interest because senior
irrigation water rights would be returned to Paris Creek as a benefit for native fish,water for stock
would not be impacted, and 4.3 acres would be donated to a public entity for public access to Paris
Creek. Id. Based on Staff s review of the financial analysis, Staff believed the decommissioning
would not impact customer rates because the analysis resulted in a PVRR of$1.7 million for the
continued operation of the Paris Project, and a PVRR of$1.4 million for the decommissioning,
representing a net benefit of$287,000. Id. at 3-4. Staff explained that the costs would be further
offset by the sale of any assets, which would leave the Company's customers indifferent to the
decommissioning. Id. at 4. Finally, Staff believed the intent of the agreement between the
Company, stakeholders, and the Bear River Hydroelectric Project Environmental Coordination
Committee ("ECC") had the bona fide intent and financial ability to operate and maintain said
property in the public service because ECC was formed to provide oversite to improve water
quality in the Bear River watershed, and efforts by ECC have maintained annual funding of
approximately $750,000over the last 20 years. Id.
COMMISSION FINDINGS AND DISCUSSION
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 §§ 61-301, 302, and 303. 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,
ORDER NO. 36657 3

discriminatory, or in violation of any provisions of law, and to fix the same by order. Idaho Code
§§ 61-501, 502, and 503.
Idaho Code requires that before any regulated electric utility may assign or transfer
property in Idaho the utility must receive authorization from the Commission. Idaho Code further
states that "before authorizing the transaction, the public utilities commission shall find: (a) That
the transaction is consistent with the public interest; (b) That the cost of and rates for supplying
service will not be increased by reason of such transaction; and (c) That the applicant for such
acquisition or transfer has the bona fide intent and financial ability to operate and maintain said
property in the public service."Idaho Code §§ 61-328(3)(a)-(c).
Based on our review of the Company's Application and Staff s Comments,we approve the
decommissioning of the Paris Project. We find that the decommissioning meets the requirements
of Idaho Code § 61-328. We find the decommissioning of the Paris Project serves the public
interest and that it will not cause any increase in rates. We further find that while ECC is not the
buyer of the Paris Project, ECC has the bona fide intent and financial ability to ensure the intent
of the agreement between the Company and ECC is carried out to restore Paris Creek watershed
and stream flows to its natural state without impact to the Company and its customers.
ORDER
IT IS HEREBY ORDERED that the Company's Application to decommission the Paris
Project is approved.
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.Idaho Code § 61-626.
ORDER NO. 36657 4

DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 25�h day of
June 2025.
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EDWARD LODGE, ffkE I ENT
-IN R. HAMMOND JR., COMMISSIONER
YN H A-PkIE, OOMMISSIONER
ATTEST:
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Commission Secretary
I:\LegahELECTRIC\PAC-E-25-01_ParisHydro\orders\PACE2501_final_em.docx
ORDER NO. 36657 5