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HomeMy WebLinkAbout20251021Decision Memo.pdf DECISION MEMORANDUM TO: COMMISSIONER LODGE COMMISSIONER HAMMOND COMMISSIONER HARDIE COMMISSION SECRETARY COMMISSION STAFF LEGAL FROM: ADAM TRIPLETT DEPUTY ATTORNEY GENERAL DATE: OCTOBER 21, 2025 SUBJECT: IN THE MATTER OF IDAHO POWER COMPANY'S APPLICATION FOR APPROVAL OR REJECTION OF AN ENERGY SALES AGREEMENT WITH FOSSIL GULCH WIND PARK, LLC FOR THE SALE AND PURCHASE OF ELECTRIC ENERGY FROM THE FOSSIL GULCH WIND PARK; CASE NO. IPC-E-25-31. On September 30, 2025, Idaho Power Company ("Company"), applied for approval of an energy sales agreement ("Proposed ESA") with Fossil Gulch Wind Park, LLC ("Seller") for energy generated by the Fossil Gulch Wind Park ("Facility") in Twin Falls County, Idaho. The Facility currently delivers energy to the Company under an ESA dated September 9, 2004 ("2004 Agreement"). According to the Company, it was unable to form a new ESA with the Seller before the 2004 Agreement expired on September 25, 2025, due to the Seller's unresponsiveness. The Company and Seller executed the Proposed ESA on September 30, 2025 to replace the 2004 Agreement. Recognizing that the proposed ESA could not be approved before expiration of the 2004 Agreement, the Company and Seller formed an Interim Agreement. Under this agreement, the Company will purchase the Facility's generation at the Surplus Energy Price under Article 7.3 of the proposed ESA from expiration of the 2004 Agreement until approval or denial of the proposed ESA, subject to any Commission revision or rejection. The Company requests processing of this matter via Modified Procedure. DECISION MEMORANDUM I STAFF RECOMMENDATION Staff recommends the Commission issue a Notice of Application and Notice of Modified Procedure establishing a December 11, 2025, public comment deadline, and a December 18, 2025, Company reply deadline. COMMISSION DECISION Does the Commission wish to issue a Notice of Application and Notice of Modified Procedure establishing a December 11, 2025, public comment deadline, and a December 18, 2025, Company reply deadline? Adam Triplett Deputy Attorney General L\LegahELECTRIC\IPC-E-25-31_Fossi1Gu1chESA\memos\IPCE2531_dec_at.doc DECISION MEMORANDUM 2