20230424AVU to Staff 16 Supplemental 2.pdf

AVISTA CORPORATION RESPONSE TO REQUEST FOR INFORMATION

JURISDICTION: IDAHO DATE PREPARED: 04/24/2023 CASE NO: AVU-E-23-01 / AVU-G-23-01 WITNESS: Tia Benjamin REQUESTER: IPUC RESPONDER: T. Benjamin/K. Schultz TYPE: Production Request DEPARTMENT: Regulatory Affairs
REQUEST NO.: Staff-016 Supplemental 2 TELEPHONE: [phone] REQUEST:
Please prepare a schedule for plant in service that includes project name and description, and the dollar amount of each project closed to plant in service in excess of $2 million from 2021 through 2023 to date.
RESPONSE: As shown in Staff_PR_016 Attachment A, Avista has identified 20 business cases for which the transfers to plant in service, allocated or directly assigned to Idaho electric or Idaho natural gas, exceeded $2 million annually in 2021 through January 2023. Please see Staff_PR_016 Attachment
A for capital business case (project) names, and dollar values associated with each. See also
Avista’s response to Staff_PR_017 for descriptions and additional requested information for the 20 business cases identified. SUPPLEMENTAL RESPONSE 04.04.2023:
Per discussions with IPUC Staff, the Company is providing actual calendar 2022 monthly transfers-to-plant data, by Business Case and BI detail for the following Business Cases: 1. Electric Storm
2. Cabinet Gorge Dam Fishway
3. New Revenue Growth 4. GFRP Aldyl A Pipe Replacement 5. Gas Replacement Street and Highway Program 6. Transmission Major Rebuild- Asset Condition
7. Saddle Mountain 230/115kV Station (New) Integration Project Phase 2 8. CS2 Single Phase Transformer 9. Substation-Station Rebuilds Program 10. Fleet Services Capital Plan 11. Wood Pole Management
12. KF_Fuel Yard Equipment Replacement SUPPLEMENTAL RESPONSE REVISED 04.05.2023: The Company provided actual calendar 2022 monthly transfers-to-plant data, by Business Case and Budget Item (BI) detail, for the list of Business Cases above in Staff_PR_016 Supplemental
Attachment A. The Company inadvertently included approximately -$2.3 million in 2022 on a system basis ($188,000 Idaho electric) of Plant Held for Future Use (PHFFU) related to the Substation-Station Rebuilds Program Business Case within the Staff_PR_016 Supplemental Attachment A. Please refer to Staff_PR_016 Supplement Attachment A Revised, where
transfers-to-plant associated with PHFFU FERC accounts 360105 and 350105 have been
removed.
RECEIVED
Monday, April 24, 2023 4:25:07 PM
IDAHO PUBLIC
UTILITIES COMMISSION
SUPPLEMENTAL 2 RESPONSE 04.24.2023:
Please see Staff_PR_016 Supplemental 2 Attachment A for the updated capital additions
workpapers (referred to in the Company’s original filing as Ms. Benjamin’s workpapers titled ‘3.08-3.11 – 24.01-24.02 PF – CAPITAL ADDITIONS’). Within this attachment, the Company has updated transfers-to-plant (TTP) with actuals for July 1, 2022 through February 28, 2023 and a revised TTP forecast for all pro forma capital additions for March 1, 2023 through December 31,
2023. Pro forma capital additions (TTP) from January 1, 2024 through August 31, 2025 remain
unchanged from the Company’s direct filed case. This attachment also provides the Revised Pro Forma Capital Additions Adjustments 3.08 through 3.11 in RY1, and Pro Forma Capital Additions Adjustments 24.01 and 24.02 in RY2 reflecting the impact of the updated TTP. Please note, while the TTP for 2024 and 2025 do not change, there is a flow through impact to RY2 from the impact
of updating TTP in RY1 (2022 and 2023), as noted in adjustments 24.01 and 24.02.
For Idaho electric, the impact of updating the capital additions workpapers related to Pro Forma Capital Additions Adjustments 3.08 through 3.11 in RY1, result in an overall reduction to net rate base of approximately $2.1 million, reduction to expense of $1.1 million, and reduction in overall
RY1 revenue requirement of $1.3 million. For RY2, updated electric Pro Forma Capital Additions Adjustments 24.01 and 24.02, result in an overall reduction to net rate base of $1.2 million, reduction to expense of $0.7 million, and reduction in RY1 revenue requirement of $0.8 million. For the Two-Year Rate Plan, the total reduction to net rate base is $3.3 million, reduction to expense is $1.8 million, and reduction to total revenue requirement is $2.1 million. (See tab “ID-E
As-Filed vs Update”) For Idaho natural gas, the impact of updating the capital additions workpapers related to Pro Forma Capital Additions Adjustments 3.08 through 3.11 in RY1, result in an overall increase to
net rate base of approximately $1.7 million, reduction to expense of $87,000, and an increase in
overall RY1 revenue requirement of $64,000. For RY2, updated electric Pro Forma Capital Additions Adjustments 24.01 and 24.02, result in an overall increase to net rate base of $33,000, increase to expense of $73,000, and increase in RY2 revenue requirement of $76,000. For the Two-Year Rate Plan, the total increase to net rate base is $1.7 million, reduction to expense is
14,000, and increase to total revenue requirement is $140,000. (See tab “ID-G As-Filed vs
Update”)