20110203Avista to NIPPC 55-66.pdf

Avista Corp.
1411 East Mission P.O. Box 3727
Spokane. Washington 99220-0500
Telephone [phone]
Toll Free 800-727-9170
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Corp.
in, \ FEB -3 pJ"\ 10: l 5
Januar 25, 2011
Richardson & O'Lear, PLLC
515 N. 27th St.
Boise, il. 83702
Re: Production Request of the Northwest and Intermountain Power Producers Coalition
(NIPPC) in Case No. GNR-E-1O-04
Dear Mr. Richardson and Mr. Adams,
Enclosed are an original of Avista's responses to NIPPC production requests in the above
referenced docket. Included in this mailing are Avista's responses to production requests 55
through 66.
If there are any questions regarding the enclosed information, please contact Michael Andrea at
[phone] or via e-mail at michaeL. andreaêavistacorp. com
Sincerely,
Paul Kimball
Regulatory Analyst
Enclosures
JUSDICTION:
CASE NO:
REQUESTER:
TYPE:
REQUEST NO.:
RESPONSE:
AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION
IDAHO
GNR-E-I0-04
NIPPC
Production Request
NIPPC-55-62 and 63-66
DATE PREPARD:
WITSS:
RESPONDER:
DEPARTMENT:
TELEPHONE:
01/25/2011
Clint Kalich
Clint Kalich ,
Energy Resources
[phone]
These requests were not directed at A vista; therefore A vista cannot respond.
AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMTION
JUSDICTION:
CASE NO:
REQUESTER:
TYE:
REQUEST NO.:
IDAHO
GNR- E-l 0-04
NIPPC
Production Request
NIPPC-64
DATE PREPARD:
WITSS:
RESPONDER:
DEPARTMENT:
TELEPHONE:
01/25/2011
Clint Kalich
Clint Kalich
Energy Resources
[phone]
REQUEST:
Reference Reply Comments ofIdaho Power, p. 13, stating "in reseaching the AURORA
modelingcapabìlties, the softare provider has advise that there maybe some iSSles with the
softare producing dependable results for projects that are less that 2 MW." And "If the project
is small enough that it does not trgger changes in the base model operations. i.e." itis lost in the
rounding to MWs or MWs,then the base model results could be identical to the modeled results
that include theoroiect. This would resultinan AURORA oricim of zero,"
(a) Did Avista know about the "issues" reference above?
(b) If the anwer to (a) above is yes, please explain the circumstces sUtouuding its
leang of the identied issues. Please. provide copies of all communications 'regarding the
"issues" beween the softare provider (or other entity) and Avista and pleas explain the
circumstaces by which the softe provider (or other entity) made A.vista awar of the ~~issues"
referenced in Idaho Power Reply Comments quote above. Include date(s)and please identify
the individuas who. were made aware of the "issues."
(e) if the answer to (a) above is yes, please explai why Avista did not inforn the
Commission of the referenced "issues."
(d) If the anwer to (a) above is no, then in light ofIdaho Power's admission that AURORA
is incapable of estimating avoided cost rates for projects 2 MW and smaller, please explain
whether Avista now believes the AURORA model is areliable estimate of Avist's avoided cost
rates for projects greater th 2 MW and please document how Avista came to that belief.
(e) Please provide all communcations between AURORA and any èritityrelated to
AURORAard Avist dealing with AURORA's capabilties in setting avoided cost rates.
RESPONSE:
a) No. Moreover, Avista does not agree with the suggestion in Idaho Power's reply
comments that there may be issues with AURORA producing dependable results for
projects that are smaller than 2 MW.
b) N/A.
c) N/A.
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d) Avista does not read Idaho Power's reply comments as an "admission that AURORA is
incapable of estimating avoided cost rates for projects 2 MW and smaller." Idaho Power
only suggested that, in its opinion, there "may" be some issues for projects that are less
than 2 MW. Idaho Power's suggestion that there may be some issues for projects smaller
than 2 MW runs counter to Avista's actual experience modeling small projects in
AURORA.
In Avista's experience, AURORA is capable of valuing projects as small as 1 kW.
Therefore A vista disagrees with any suggestion that AURORA cannot model small
projects. In its past two Integrated Resource Plans (IRs), Avista has represented each
potential futue generation option as a 100 kW resource with valid results.
AURORA properly values resources as small as 1 kW, and Avista has verified this result
with its own modeling, much of it reviewed in Avista's biennial IR process.
e) Avista has not discussed avoided cost rates with the makers of AURORA. As explained in
d) above, A vista has found AURORA capable of modeling small resources through its IR
methodology. Therefore, there has been no need for A vista to contaet the AURORA
vendor on this topic.
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