HomeMy WebLinkAbout20250818Notice_of_Application_Order_No_36721.pdf Office of the Secretary
Service Date
August 18,2025
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF AVISTA ) CASE NO. AVU-G-25-07
CORPORATIONS'S APPLICATION FOR AN )
ORDER APPROVING A CHANGE IN RATES ) NOTICE OF APPLICATION
FOR PURCHASED GAS COSTS AND )
AMORTIZATION OF GAS-RELATED ) NOTICE OF MODIFIED
DEFERRAL BALANCES ) PROCEDURE
ORDER NO. 36721
On July 31, 2025, Avista Corporation ("Company") applied to the Idaho Public Utilities
Commission ("Commission") for an Order approving a revised schedule of rates and charges for
natural gas service in the state of Idaho. If the Company's Application is approved as filed, the
monthly bill of an average residential or small commercial customer using 66 therms per month
would decrease $4.13, or approximately 6.4%. The Company has requested the proposed rates in
this Purchased Gas Cost Adjustment("PGA") filing be made effective on November 1, 2025.
With this Order we issue notice of the Company's Application and set public comment and
Company reply deadlines.
BACKGROUND
The Company's rates include a base-rate component and a gas-related cost—PGA—
component. The base-rate component is intended to cover the Company's fixed costs to serve its
customers—for example, the Company's costs for equipment and facilities to provide service
and rarely change. The Company's PGA is a Commission-approved mechanism that adjusts rates
up or down to reflect actual changes in the Company's costs to buy natural gas from suppliers
(compared to the same cost assumptions embedded in rates) including changes in transportation,
storage, and other related costs. The Company defers these costs into its PGA account and then
passes them on to customers through an increase or decrease in rates.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that the Company states that, if approved as filed, the
Company's annual revenue will decrease by approximately $6.5 million or about 7.5%.
Application at 1.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 36721 1
YOU ARE FURTHER NOTIFIED that the Company represents that its proposed PGA
will: (1)pass through changes in the estimated cost of natural gas for the period of November 2025
through October 2026, and (2) revise the amortization rate(s) to refund or collect the balance of
deferred natural gas costs. Id. at 2.
YOU ARE FURTHER NOTIFIED that the proposed weighted average cost of gas
("WACOG") in the Company's Application would change from the $0.23850 per therm currently
included in rates to $0.21148 per therm—a decrease in natural gas costs compared to those
currently included in rates. Id. at 3.
YOU ARE FURTHER NOTIFIED that the Company states the demand costs are expected
to increase for residential customers by approximately $0.00985 per therm. Id. at 4.
YOU ARE FURTHER NOTIFIED that the Company's proposed amortization rate change
for Schedules 101 and I I I is a decrease in revenue of$0.04544 per therm. Id.
YOU ARE FURTHER NOTIFIED that the Company's Application includes descriptions
of all components that make up the PGA along with exhibits that show the summaries of all price
changes by customer class and proposed tariffs.
YOU ARE FURTHER NOTIFIED that the Application is 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"GAS"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.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 36721 2
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 October 9, 2025. 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 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 Company:
Commission:
Commission Secretary Patrick D. Ehrbar
Idaho Public Utilities Commission David J. Meyer
P.O. Box 83720 Avista Utilities
Boise, ID 83720-0074 1411 E. Mission Avenue
secretary(apuc.idaho.gov Spokane, WA 99220-3727
pat.ehrbargavi stacorp.c om
Street Address for Express Mail: davidmeer(c avistacorp.com
dockets&avistacorp.com
11331 W. Chinden Blvd.
Building 8, Suite 201-A
Boise, ID 83714
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 36721 3
YOU ARE FURTHER NOTIFIED that the Company must file any reply comments by
October 16, 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
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 this Application be processed under Modified Procedure.
Persons interested in submitting written comments must do so by October 9,2025. The Company
must file any reply comments by October 16, 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.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 36721 4
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 18ffi day of
August, 2025.
A41r,
EDWARD LODGE, PR IDENT
J R. HAMMOND JR., COMMISSIONER
D HA IE, COMMISSIONER
ATTEST:
M nica Ba 'os- chez
Commission Secretary
I:\Legal\GAS\AVUG2507_PGA\orders\ntc_app_mod_em.docx
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 36721 5