20250923Final_Order_No_36763.pdf

Office of the Secretary
Service Date
September 23,2025
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF ROCKY MOUNTAIN ) CASE NO. PAC-E-25-17
POWER'S APPLICATION TO INCREASE )
THE BPA REP CREDIT EFFECTIVE )
OCTOBER 2025 THROUGH SEPTEMBER ) ORDER NO. 36763
2028 )
On August 27, 2025, Rocky Mountain Power, a division of PacifiCorp ("Company")
applied to the Idaho Public Utilities Commission ("Commission") requesting to increase the
Bonneville Power Administration's ("BPA") residential and small farm credit. The Company
requested an October 1, 2025, effective date.
On September 3, 2025, the Commission issued a Notice of Application and Notice of
Modified Procedure, establishing public comment and Company reply comment deadlines. Order
No. 36748. No public comments were received.
Based on our review of the record,the Commission now issues this Final Order approving
the update to Electric Service Schedule No. 34 — Pacific Northwest Electric Power Planning and
Conservation Act Residential and Farm Kilowatt-Hour Credit ("Schedule 34") of$0.012545 per
kilowatt-hour ("kWh") for rate schedules 1, 6A, 7A, 10, 23A, 35A, and 36 effective October 1,
2025, through September 30, 2028.
BACKGROUND
The Residential Exchange Program ("REP") was established by Section 5(c) of the
Northwest Electric Power Planning and Conservation Act ("Northwest Power Act"). 16 U.S.C. §
839c(c). Section 5(c) makes low-cost power from the federal Columbia River power system
available to investor-owned utilities in the Northwest. See Assoc. of Pub. Agency Customers v.
Bonneville Power Admin. (APAC v. BPA), 733 F.3d 939, 945 (9th Cir. 2013). The REP is
administered by the BPA. The Northwest Power Act permits utilities to "exchange power they
have purchased or generated for lower-cost power generated by BPA." Portland General Elec.
Co. v. Bonneville Power Admin. (PGE v. BPA), 501 F.3d 1009, 1015 (9th Cir. 2007). A utility may
offer to sell power to BPA at the utility's average system cost("ASC")for producing power,which
BPA compares to a Priority Firm ("PF") Exchange Rate that BPA calculates for purposes of the
ORDER NO. 36763 1

exchange. See id., APAC v. BPA, 733 F.3d at 945-46. If BPA's PF Exchange Rate is lower than
the utility's ASC,then the utility is entitled to a benefit from BPA.APAC v. BPA, 733 F.3d at 946.
Generally, the utility benefit is the difference between BPA's PF Exchange Rate and the utility's
ASC, multiplied by the utility's residential load.Id. at 945. The utility must pass the benefit on to
its qualifying (residential and small farm) customers. See id. (citing 16 U.S.C. § 839c(c)(3)).
THE APPLICATION
The Company requested the Commission approve an update to increase the Schedule 34
credit rate. Application at 6. The proposed credit would increase from $0.007376 per kWh to
$0.012545 per kWh for rate schedules 1, 6A, 7A, 10,23A, 35A, and 36, effective October 1,2025,
through September 30, 2028. Id. at 3-6.
The Company stated that the net average of the Company's fiscal year 2026 through 2028
allocation of the BPA REP credit with current balance adjustments increased approximately$39.7
million, from the current annual level of$72.5 million to $112.2 million, from October 1, 2025,
through September 30, 2028. Id. at 4. The Company further stated that Idaho's share of the
Company's REP allocation increased from 10.94% to 11.65%, and that the annual average BPA
REP credit available to qualifying Idaho customers from October 1, 2025, through September 30,
2028, was $13.1 million per year. Id.
STAFF COMMENTS
Staff recommended that the Commission approve the proposed Schedule 34, as filed,with
an effective date of October 1, 2025. Staff Comments at 3.
Staff reviewed the methodology and calculation of the proposed REP credit rate and
believed that the approach aligned with the terms and conditions of Schedule 34. Id. at 2. Staff
verified the initial inputs and independently recalculated the credit rate represnting that the
Company had correctly calculated the proposed rate of$0.012545 per kWh. Id.
Staff verified that the Company's current credit rate of$0.007379 per kWh would increase
to$0.012545 per kWh,which would reflect a rise in the total BPA REP allocation for the Company
from$72.5 million to$112.2 million for fiscal years 2026 through 2028,resulting in$13.1 million
in REP credits available to qualifying Idaho customers during the same period.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 §§ 61-301 through 303. The
ORDER NO. 36763 2

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 through 503.
Having reviewed the record in this case, the Commission finds it fair,just, and reasonable
to approve the Application as filed.
ORDER
IT IS HEREBY ORDERED that the Application is approved as filed, effective October 1,
2025.
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
September, 2025.
G
4 ,
EDWARD LODGE, RES NT
N R. HAMMOND JR., COMMISSIONER
DAYN HARDIE, eOMMISSIONER
ATTEST
La Calderon Robles
Interim Commission Secretary
I:\LegahELECTRIC\PAC-E-25-17_IlMordersTACE2517_final_em.docx
ORDER NO. 36763 3