20200901Avista to Staff 1-5.pdf

ruRISDICTION
CASE NO:
REQUESTER:
TYPE:
REQUEST NO.:
RECEIVEDAVISTA CORPORATION 2020 Septemberll AM t0:0s
RESPONSE TO REQIJEST FOR INFORwTA*TION IDAHo PaBLIC
ATILITIES COMMISSION
IDAHO DATE PREPARED: 0813112020
AVU-E-20-07 WTINESS: Annette Brandon
IPUC RESPONDER: Annette Brandon
Production Request DEPARTMENT: Power Supply
Staff- 001 TELEPHONE: (s09) 495-4324
REQUEST:
Please provide all electronic workpapers with formulas intact and documents supporting the
Application, testimonies, and exhibits.
RESPONSE:
All electronic workpapers were sent overnight to Staff with original filing. Subsequently, in
response to this request an additional set was sent, as well as an ernail of Brandon workpapers.
AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION
JURISDICTION: IDAHO
CASE NO: AVU-E-20-07
REQUESTER: IPUCTYPE: Production Request
REQUEST NO.: Staff - 002
DATE PREPARED:
WITNESS:
RESPONDER:
DEPARTMENT:
TELEPHONE:
08t3U2020
Annette Brandon
Annette Brandon
Power Supply
(s09) 4es-4324
REQUEST:
Please provide the following in Excel format with all formula intact
a. Actual monthly mega-waff hours (MWhs) and costs for Avista's generation resources
and purchases from July 2019 through June 2020.
b. Authorized monthly MWhs and costs for Avista's generation resources and purchases
from July 2019 through June 2020.
c. Actual monthly MWhs and revenues for Avista's sale transactions from July 2019
through June 2020.
d. Authorized monthly MWhs and revenues for Avista's sale transactions from July 2019
through June2020.
RESPONSE:
Actual and authorized monthly MWHs and revenues were provided in the "Variance Analysis"
included in the non-confidential workpapers. Additionally, email files have been sent to staff via
informal requests including Power Transaction Registers, and Aurora output files.
Avista intends to work collaborate with Staff in a similar manner as in previous years when on-site
visits were done. As such, several email exchanges have gone on between Avista and Staff in
order to provide additional analysis and/or discussion regarding parts (a) - (d) above.
AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION
JURISDICTION:
CASE NO:
REQUESTER:
TYPE:
REQUEST NO.:
IDAHO
AVU-E-20-07
IPUC
Production Request
Staff- 002
DATE PREPARED: 0813112020WITNESS: Annette Brandon
RESPONDER: Annette Brandon
DEPARTMENT: Power Supply
TELEPHONE: [phone]
REQUEST:
Please provide the following in Excel format with all formula intact
a. Actual monthly mega-watt hours (MWhs) and costs for Avista's generation resources
and purchases from July 2019 through Jvne2020.
b. Authorized monthly MWhs and costs for Avista's generation resources and purchases
from July 2019 through June 2020.
c. Actual monthly MWhs and revenues for Avista's sale transactions from July 2019
through June2020.
d. Authorized monthly MWhs and revenues for Avista's sale transactions from July 2019
through June 2020.
RESPONSE:
Actual and authorized monthly MWHs and revenues were provided in the "Variance Analysis"
included in the non-confidential workpapers. Additionally, ernail files have been sent to staff via
informal requests including Power Transaction Registers, and Aurora output files.
Avista intends to work collaborate with Staffin a similar manner as in previous years when on-site
visits were done. As such, several email exchanges have gone on between Avista and Staff in
order to provide additional analysis and/or discussion regarding parts (a) - (d) above.
AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION
JURISDICTION:
CASE NO:
REQUESTER:
TYPE:
REQUEST NO.:
IDAHO
AW-E-20-07
IPUC
Production Request
Staff - 003
DATE PREPARED: 0813012020WITNESS: Annette Brandon
RESPONDER: Annette Brandon
DEPARTMENT: Power Supply
TELEPHONE: [phone]
REQUEST:
Please provide the amount of monthly sales and purchases between the Company and Clearwater
in dollars and MWhs from July 2019 through Jwe2020.
RESPONSE:
Please see the table below for net sales and purchases between the Company and Clearwater paper:
S Volumes :
201907 5 L,438,922 29,648,650
201908 $ L,629,672 32,657,540
201909 s 1,886,148 39,269,540
201910 s 1,592,340 31,549,500
2OL91L s 1,620,950 29,938,810
zotgt2 s 1,537,865 29,702,540
2O20OL $ L,645,9L7 31,900,980
202002 5 1,509,765 29,545,320
202003 5 L,523,84L 29,955,380
202OO4 s 1,618,893 30,960,950
202005 5 L,662,082 31,395,190
202006 5 L,764,3O9 32,464,L2O
Please note that in addition to those numbers provided above, the Company also charges
Clearwater for a portion of Transmission $165,040 and credits for a portion of REC revenue
($410,960), in accordance with Contract Terms. These numbers can be found in Brandon
Workpapers, tab Actual-Authorized-Proposed line 57 and 58.
AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION
JURISDICTION: IDAHO
CASE NO: AW-E-20-07
REQUESTER: IPUCTYPE: Production Request
REQUEST NO.: Staff - 004
DATE PREPARED: 0813012020WITNESS: Annette Brandon
RESPONDER: Thomas Dempsey
DEPARTMENT: GPSS
TELEPHONE: [phone]
REQUEST:
Please provide a list including the date and duration of all forced outages for all generation
facilities from July 2019 through June2020 for the following facilities: Colstrip, Coyote Springs
II, Rathdrum, Noxon Rapids, Cabinet Gorge, and Lancaster. For all forced outages longer than24
hours in duration, please provide an explanation for each forced outage. In the explanation, please
estimate incremental power supply expense to Idaho customers as a result of the outage.
RESPONSE:
The Company experienced forced outages exceeding 24 hours at Colstrip, Coyote Springs II, and
Cabinet Gorge during the PCA review period of July 2019 through June 2020. Please see the
following attachments for firther explanation:
Staff PR_004 Attachment A contains the Owner Summary Event log for July 2019 - June 2020
for Colstrip. The attachment provides a brief summary for the reason for the various outages. The
total outage hours represent approximately 4.5%o of the total period hours.
Staff PR_004 Attachment B contains a sunmary table of outages for all of the named facilities
except Lancaster and Colstrip. The first tab of this sheet gives all the facilities and the associated
forced outages. The second tab is filtered to illustrate those outages longer than 24 hours in
duration. (i.e. Cabinet Gorge Facility and Coyote Springs 2). Although Lancaster did not have any
forced outages greater than24 hours, the detail is provided on a third tab labeled "Lancaster".
Staff DR_004 Attachment C contains an estimate of the incrementall replacement power costs
associated with these outages. It is not possible to definitively determine the replacement power
cost given how the market adjusts to varying resource mixes day to day, and even hour to hour.
However, in order to be responsive to this production request, the Company has provided an
estimated cost.
I In this context "incremental" is meant to represent the difference between the amount embedded in Customer's rates
as part of overall Authorized Power Supply Cost compared to the actual replacement cost (MWh x price).
AYISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION
JURISDICTION: IDAHO
CASE NO: AW-E-20-07
REQUESTER: IPUCTYPE: Production Request
REQUEST NO.: Staff - 005
DATE PREPARED: 0813012020WITNESS: Scott Reid
RESPONDER: Thomas Dempsey
DEPARTMENT: GPSS
TELEPHONE: [phone]
REQUEST:
Please provide an update on the Comprehensive Report the Company mentioned in Reply
Comments in the z0lgPcAAnnual Rate Adjustment Filing (AVU-E-19-09). Reply Comments at
2,line 5. Also please provide an update on the Company's future operating plans for Coyote
Springs II.
RESPONSE:
InAvista's Reply Comments inthe 20lgPc[Annual Rate Adjustment Filing (AVU-E-19-09) the
"Comprehensive Report" was referring to a "root cause" analysis and report being conducted for
failure of the Transformer 3 (T#3) outage. This investigation report, conducted by ABB Industrial
Solutions in Ontario, Canada, is attached as Staf{_PR_O05 Attachment A (Incoming Inspection
and Test Avista.pdf). Additional forensic investigation and disassernbly will be performed in the
near future. Should there be any significant findings from this additional investigation, the
Company will provide an update at that time
With regards to the future operating plans for Coyote Springs 2, the company has elected to
replace Transformer 4 (T4), which is a dual wound three phase transformer, with three dual wound
single phase transformers plus an additional unit that serves as a spare (T5). The Company
considered a number of options before selecting the three dual wound single phase transformer
option. Please see Staff PR_004 Attachment B (20191224 CS2 Single Phase Transformer Final
Note to File.pdf) for the initial information utilized to make this decision including the Business
Case, Engineering Studies, Financial Analysis, and Decision Tree.
Once the project began, additional information/requirements resulted in the identification of
additional project costs. At this point, Avista updated the financial analysis to include these
additional costs. The resulting analysis confirmed that the chosen option (Option V) to replace the
3-phase transformers with a new single phase installation was still the best course of action. The
cost increases were associated with a ntrmber of factors:
o One of the factors contributing to the increase in cost was our decision to split the outage
into two separate outages to minimize power expense. Had we proceeded with only a
single outage, it would have taken 6-8 months to complete which would have meant the
unit not being available during one or both of the summer and winter peak seasons.
Splitting the outage into two parts increased the total cost but avoided much higher power
supply cost impacts.
o Another factor confributing to increased costs was the installation of the new fire wall.
NewNFPArequirements dictated thatasignificantlymore substantial firewall was needed
for equipment and personnel safety.
Please see the following additional documents for additional detail regarding our most current
project estimates and additional background:
Sta[PR_004 AttachmerfiC (20200513 New Financial Analysis of T5 Project.docx), and
Staff PR 004 Attachment D (White Paper Coyote Budget 5.7.20.docx)