200402174th Response of ID Power to Staff.pdf

BARTON L. KLINE ISB #1526
MONICA B. MOEN ISB #5734
Idaho Power Company
P. O. Box 70
Boise , Idaho 83707
Telephone: [phone]
FAX Telephone: [phone]
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Attorney for Idaho Power Company
Street Address for Express Mail
1221 West Idaho Street
Boise , Idaho 83702
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR
AUTHORITY TO INCREASE ITS INTERIM)
AND BASE RATES AND CHARGES FORELECTRIC SERVICE.
CASE NO. IPC-03-
IDAHO POWER COMPANY'
RESPONSE TO FOURTH
PRODUCTION REQUEST OF
COMMISSION STAFF
COMES NOW, Idaho Power Company ("Idaho Power" or "the Company
and in response to the Fourth Production Request of the Commission Staff to Idaho Power
Company dated January 28 , 2004, herewith submits the following information:
REQUEST NO. 87: In Case No. IPC-01-, Order NO. 28773, the
order authorizing Idaho Power to proceed with the construction of the Danskin plant, the
Commission stated that the information provided by Idaho Power was insufficient to
determine the reasonableness of the costs for Danskin. Please provide any information
that the Company believes can permit the Commission to judge the reasonableness of
Danskin costs.
IDAHO POWER COMPANY'S RESPONSE TO FOURTH
PRODUCTION REQUEST OF COMMISSION STAFF Page
RESPONSE TO REQUEST NO. 87: In the Commission Findings section
of Commission Order No. 28773, the Commission states "We are convinced that the
volatility of the electric spot market created a situation that justified a deviation from the
Company s 2000 IRP and its actions in developing plans for the Mountain Home
Station." At the time the Commission issued Order No. 28773, the Commission had
previously acknowledged the 2000 IRP that identified a least-cost resource plan
consisting of three elements. First, the Company planned to continue making seasonal
market purchases. Second , the Company planned to acquire a resource equivalent to a
250 MW SCCT beginning in 2004. Third , the Company planned to address the
remaining deficiencies in its 2002 IRP. Because of the electric spot market volatility, the
Commission found that a deviation from the 2000 IRP was justified. The deviation that
the Company pursued was the acceleration of acquiring a SCCT resource.
The combustion turbine acquisition investigation ultimately resulted in
construction of the Danskin Power Plant. During Idaho Power s investigation of the
turbine market, which was extremely tight during the energy crisis , at least 8 potential
turbine providers were contacted and prices were obtained for 16 turbines. The
Siemens Westinghouse (S/W) 251 B12', which Idaho Power ultimately purchased for
Danskin , were selected based upon low cost on a $/kW basis and superior h~at rate.
The turbine prices Idaho Power obtained are summarized in the attachments to this
response.
The S/W 251B12's were next compared to (1) a 10 year tolling agreement
with Black Hills Energy Capital for 80 MW of generation in Glenns Ferry, and (2) the
installation of General Electric LM6000 units. In both instances the present value of the
IDAHO POWER COMPANY'S RESPONSE TO FOURTH
PRODUCTION REQUEST OF COMMISSION STAFF Page 2
fixed costs and the total costs were compared. This analysis is included in the
attachments to this response. The results are summarized as follows:
Option PV Fixed Costs PV Total Costs
S/W 251 B12
LM6000
Contract
$21.4M
$25.
$99.
$137.
$108.
$265.4M
In addition , several other alternatives proposed by Power Development
Associates for a project they were proposing the in the Mountain Home area were also
investigated. Details of that analysis are also included in the attachments to this
response.
The response to this request was prepared by Gregory W. Said, Director
of Revenue Requirement, Idaho Power Company, in consultation with Barton L. Kline
Senior Attorney, Idaho Power Company.
REQUEST NO. 88: In Order No. 28773, the Commission also stated that
Idaho Power provided no comparison of alternatives to Danskin and that there is no
record as to whether other alternatives were also considered and rejected. Please list
the costs of each alternative considered and provide copies of any analysis performed
to compare the costs. Please demonstrate that Danskin was the least cost alternative.
RESPONSE TO REQUEST NO. 88: In its response to Request No. 87
the Company addresses the decision to proceed with a combustion turbine acquisition
rather than pursue the other resource alternatives described in the 2000 IRP. The
Response to Request No. 87 also explains the evaluation process the Company
followed to confirm that the Danskin Project was the most cost effective SCCT choice.
In addition to combustion turbines, in 2001 Idaho Power also considered (and
IDAHO POWER COMPANY'S RESPONSE TO FOURTH
PRODUCTION REQUEST OF COMMISSION STAFF Page 3
implemented) a number of other supply-side and demand-side actions. The items
considered included:
Distributed Generation
Early PCA filing
Thermal maintenance
Hydro Flexibility
Astaris Contract
Irrigation Load Reduction Program
Demand Exchange Program
The Commission is familiar with the costs and benefits associated with the
Astaris contract , the Irrigation Load Reduction Program , the Demand Exchange
Program, and the early PCA filing that intended to stimulate a demand reduction
because each of these programs was the subject of individual proceedings at the
Commission. The Company also moved quickly to initiate discussions with the joint
owners of the Company s thermal plants to modify, and in some cases defer, planned
outages to reduce the impact of those outages on thermal plant availability. An outline
of the strategy the Company pursued with the joint owners to reduce 2001 thermal plant
outages is attached to this response. In addition, the Company initiated an intense
review of the limited options available to reshape reservoir operation so as to most
effectively manage its hydro resources to meet loads. The Company also considered a
number of distributed generation schemes , including the installation of temporary diesel
generation at critical locations on the Company s distribution system.
In summary, given high market prices for power and the extremely high
demand for turbines at the time , the sooner a combustion turbine project could be
constructed, the greater its value. While the Commission s Order No. 28773 tended to
minimize high current market prices as a justification for constructing the Danskin
IDAHO POWER COMPANY'S RESPONSE TO FOURTH
PRODUCTION REQUEST OF COMMISSION STAFF Page 4
Project, it must be remembered that at the time no one was sure what market prices
would be in the future. At the time, FERC was continuing to refuse to impose hard
market caps in the West and its public pronouncements repeated that the market would
be permitted to operate to take care of the energy supply problem. At the time , the
prospect for continuing high market prices was very real. Considering the market prices
experienced at the time of the decision to proceed with Danskin, potential customer cost
savings from a project like Danskin were on the order of $10 to $20 million per month.
With this in mind , Idaho Power felt that it needed to act quickly to secure turbines, and
to proceed with a self build project, expediting construction to get the project on-line as
soon as possible to offset rising power supply costs.
The response to this request was prepared by Gregory W. Said , Director
of Revenue Requirement , in consultation with Barton L. Kline , Senior Attorney, Idaho
Power Company.
DATED at Boise , Idaho, this 13th day of February, 2004.
~d(j BART N L. KLINE
Attorney for Idaho Power Company
IDAHO POWER COMPANY'S RESPONSE TO FOURTH
PRODUCTION REQUEST OF COMMISSION STAFF Page 5
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on this 13th day of February, 2004, I served a
true and correct copy of the within and foregoing IDAHO POWER COMPANY'
RESPONSE TO FOURTH PRODUCTION REQUEST OF COMMISSION STAFF upon
the following named parties by the method indicated below, and addressed to the
following:
Lisa D. Nordstrom
Weldon B. Stutzman
Deputy Attorneys General
Idaho Public Utilities Commission
472 W. Washington Street
O. Box 83720
Boise, Idaho 83720-0074
Hand Delivered
S. Mail
Overnight Mail
FAX [phone]
Randall C. Budge
Eric L. Olsen
Racine , Olson, Nye, Budge & Bailey
O. Box 1391; 201 E. Center
Pocatello , ID 83204-1391
Hand Delivered
S. Mail
Overnight Mail
FAX [phone]
Anthony Yankel
29814 Lake Road
Bay Village, OH 44140
Hand Delivered
S. Mail
Overnight Mail
FAX [phone]
Peter J. Richardson
Richardson & O'Leary
99 East State Street, Suite 200
O. Box 1849
Eagle , ID 83616
Hand Delivered
x U.S. Mail
Overnight Mail
FAX [phone]
Don Reading
Ben Johnson Associates
6070 Hill Road
Boise, ID 83703
Hand Delivered
x U.S. Mail
Overnight Mail
FAX [phone]
Lawrence A. Gollomp
Assistant General Counsel
U. S. Department of Energy
1000 Independence Avenue , SW
Washington , D.C. 20585
Hand Delivered
S. Mail
Overnight Mail
FAX [phone]
CERTIFICATE OF SERVICE , Page
Dennis Goins
Potomac Management Group
5801 Westchester Street
Alexandria, VA 22310-1149
Hand Delivered
S. Mail
Overnight Mail
FAX
Conley E. Ward
Givens , Pursley LLP
601 W. Bannock Street
O. Box 2720
Boise, ID 83701-2720
Hand Delivered
x U.S. Mail
Overnight Mail
FAX [phone]
Dennis E. Peseau , Ph.
Utility Resources, Inc.
1500 Liberty Street S., Suite 250
Salem , OR 97302
Hand Delivered
S. Mail
Overnight Mail
FAX [phone]
Dean J. Miller
McDevitt & Miller LLP
O. Box 2564
Boise , ID 83701
Hand Delivered
x U.S. Mail
Overnight Mail
FAX [phone]
Jeremiah Healy
United Water Idaho, Inc.
O. Box 190420
Boise , ID 83719-0420
Hand Delivered
x U.S. Mail
Overnight Mail
FAX [phone]
William M. Eddie
Advocates for the West
O. Box 1 612
Boise , ID 83701
Hand Delivered
x U.S. Mail
Overnight Mail
FAX [phone]
Nancy Hirsh
NW Energy Coalition
219 First Ave. South, Suite 100
Seattle , WA 98104
Hand Delivered
S. Mail
Overnight Mail
FAX [phone]
Brad M. Purdy
Attorney at Law
2019 N. 17th Street
Boise, I D 83702
Hand Delivered
x U.S. Mail
Overnight Mail
FAX [phone]
Michael Karp
147 Appaloosa Lane
Bellingham , W A 98229
Hand Delivered
S. Mail
Overnight Mail
FAX [phone]
CERTIFICATE OF SERVICE, Page 2
Michael L. Kurtz, Esq.
Kurt J. Boehm , Esq.
Boehm , Kurtz & Lowry
36 East Seventh Street, Suite 2110
Cincinnati , OH 45202
Kevin Higgins
39 Market Street , Suite 200
Salt Lake City, UT 84101
Thomas M. Power
Economics Department, LA 407
University of Montana
32 Campus Drive
Missoula, MT 59812
CERTIFICATE OF SERVICE, Page 3
Hand Delivered
S. Mail-L Overnight Mail
FAX [phone]
Hand Delivered
S. Mail-L Overnight Mail
FAX
Hand Delivered
S. Mail-L Overnight Mail
FAX
n;t:i
BARTON L. KLINE
IDAHO POWER COMPANY
CASE NO. IPC- E-O3-
FOURTH PRODUCTION REQUEST
OF COMMISSION STAFF
ATTACHMENT TO
RESPONSE TO
REQUEST NO.
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Capacity Fixed Variable Delivered Capacity ChallJe Rate Estimated Capacity Variable Total
ChallJa O&M O&M Capacity Factor Estimaled Capacity FIXed & Fixed Variab1e Blu1KWh GasPrice + Fixed O&M Fuel Total Cost
Vear $IkW-mo S/kW.mo $IMWh MWI1 ChallJe O&M O&M O&M (HHV)$/MMBlU $IMWh $IMWh $IMWh $IMWh SlYaar
2001 14.80.000 80%560.640 352.000 432.000 14,764,000 102,400 200 28.61.91.51,186 355
2002 14.000 80%560640 352.000 432,000 784,000 2.102 400 200 28,43.73.386.368
2003 14.80.000 80%560640 352 000 432,000 784.000 102,400 200 26,36.66,37,517.952
2004 14.80.000 80%560.640 14.352.000 432.000 784,000 102.400 200 26.36,66.37.517.952
2005 14.000 80%560 640 352.000 432,000 784.000 102400 200 26,34.65,36.486.374
2006 14.80.000 80%560.640 352.000 432.000 784000 102.400 200 28.34.65.36.488,374
2007 14.80.000 80%560 640 14.352.000 432,000 784,000 102,400 200 26,34.85,36.486,374
2008 000 80%560 640 352.000 432.000 14.784 000 102.400 200 26.35.65.36.878 374
2009 14.0.45 000 80%560.640 352.000 432,000 784 000 102.400 200 26.38.66,278 213
2010 14.80.000 80%560 640 352.000 432.000 784.000 102400 200 26.37.87.686 050
,...,...."..
."" '0' ..,Sum 143.520 000
NPV !!!I8% 96 303.088
147,840000
99,201.843
Sum
NPV !!!I8%
388.910,387
265,379314
Build Option ~ 80% Capacity Factor
Heat rate
Quantity Capacity Btu/kWh Equipment Installation Total Equip,Total
Manutacturer Model Available (MW)(HHV)Price Cost Cost SIkW SlkW
Siemens Weslinghouse W251B12 600 13.100 000 550,000 19,650.000 291 437
General Electric LM6000 200 16,100 000 050.000 150.000 403 604
Installallon cosl eslimate ' installalion cosl ~ eslimaled to be:~ollu"'inecost
Leveiized Fixed ChallJe Rale:","",WOo,.." I 'M'M " ,1..
" "
,,"gr. n',," ,i. """Ii
Th~ ~ used 10 calculale Ihe CapBchy ChallJe '~ted below.
~1iW
Siemens Westinghouse Units
Annuai Es"maled Capacity Heal
Capacity Fixed Variable Delivered Capachy ChallJe Rale Eslimaled Capecity Variable Tolal
ChallJe O&M O&M Capacity Factor Eslimaled Capacity Fixed & Fixed Variable BiulkWh Gas Price + Fixed O&M Fuel Totel Cost
Veer $IkW.mo SIkW.mo SIMWI1 MWI1 Charge O&M O&M O&M (HHV)$IMMBlu SIMWh $IMWh SIMWh SIMWh SlYear
2001 000 60%315 360 947 500 243 000 190500 162600 600 10.77.14 91.01 28.699970
2002 000 80%315.380 947 500 243 000 190.500 182,600 600 10.55.68.749,438
2003 45.000 80%315.380 947 500 243.000 190 500 182.600 600 10.48.60.27 005 804
2004 5.46 0.45 000 80%315 380 947 500 243.000 190 500 182 600 600 10.46.80.19,005,804
2005 45.000 80%315,360 947 500 243.000 190.500 182.600 600 10.44.57.18,274 189
2006 0.45 000 80%315360 947 500 243.000 190,500 182.600 600 10.44.57,18,274 169
2007 45.000 80%315,360 947,500 243 000 190 500 182.600 600 10,44.57.274 169
2008 000 80%315.360 947 500 243 000 190500 182600 11.600 10.44.58.18,552.190
2009 000 80%315,360 947,500 243 000 190.500 182.600 600 10.45.59,18.835,
2010 000 80%315.380 947 500 243.000 190.500 182.600 600 10.46.60,125,025.oM'.""
"..-
'M"", 'MSum 29 475 000
NPV !!!I8% 19 777 965
905.000
408.515
Sum
NPV 1!!18%
199796 508
137 197 990
General Electric LM6000
Annual Estimaled Capacity Heal
Capachy Fixed Variable Delivered Capacity Charge Rale Eslimaled Capacity Variable Total
ChallJe O&M O&M CapBchy Factor Eslimaled Capacity Fixed & Fixed Variable BlulkWh Gas Price + Fixed O&M Fuel Tolal Cost
Vear SlkW,mo SIkW,mo $IMWh MWI1 Charge O&M O&M O&M (HHV)$IMMBtu $IMWh SIMWh $IMWh SIMWh SlYear
2001 000 80%280.320 622.500 216.000 838 500 051 200 200 13.61.18 78.62 22.039,678
2002 000 80%280.320 622 500 216 000 838,500 051 200 200 13.43.81.17,139684
2003 000 80%280.320 622.500 216.000 838,500 051 200 200 13.36,54.205,476
2004 40.000 80%280 320 622500 216,000 838.500 051 200 200 13.36.54.15.205,476
2005 000 80%280 320 622.500 216 000 838.500 051 200 200 13.52.689 687
2006 40.000 80%280.320 622,500 216 000 838 500 051 200 200 13.34,52,689,687
2007 000 80%280 320 622.500 216000 838 500 051 200 200 13.34.52.689.687
2008 000 80%280 320 622 500 216.000 838.500 051 200 200 13,35.53.885,887
2009 0.45 40.000 80%280.320 622.500 216 000 838.500 051 200 200 13.38,53.15.085.607
2010 40,000 80%280 320 622.500 216.000 838.500 051 200 200 13.37.54.15.289 525
.. .., ---..---....
Sum' 36.225000
NPV !!!I8% 24,307 270
385000
25.756.647
Sum
NPVI!!I8%
158 920,194
108,845 383
Recommendations:
Purchase and inslall two LM6000's and two W251B12's. Top she appean; to be Glenns Ferry, however. Twin FaUs
and Payene are also oplions. Inhially, our plan ~ 10 install all 4 unhs at the Glenns Ferry localion ,Ihls will minimize
inlrastructure costs and hopefully simplify mainlenance. By doing Ih~ oun;e~ (as a 3D-year regulated utilhy project) as
compared 10 purchasing via a pun-nose power agreement from a project developed by othen;. we can secure over
twice the capachy for less Ihan Ihe NPV 01 fIXed cosls of Ihe conlract. 90 MW worth of Iree hedge tor less money.
Addilionally, these machines can be installed 10 allow building-oul to a combined-cycle at a later date. Th~ provides
IPCo addhional oplions and flex;bilhy as we assess fulure resource needs. Economics will change when restructured
as an operating lease. however. th~ should give us a preny good idea of overall comparison.
NPV of capac;ty and fixed costs (over 10 years)
NPVConlract 99,201,843W251B12 21,408,515LM6000 25,758.647
twoW251B12'
two LM6000'
Total for 4 tu"'ines
SlkW
80.000 240
45.000 478
40'00 644
90,000
80.000
170,000 555
42.817.029
51,513.295
Possible Contract ~ 80% Capacity Factor
Annual Eslimal""CapacIty Heat
Capad1y Fix""Variable Delivered CapacIty Charge Rale Estlmal""CapacIty Variable Tolal
Charge OeM OeM Capacrty Fador Estlmat""CapacIty Fix""e Fix""Variable BtulkWh GasPrice + Fix""OeM Fuel Total COSI
Vear S/kW,mo S/kW.mo $lMWh MWI1 Charge OeM OeM OeM (HHV)$lMMBlu ~MWI1 $/MWh $IMWI1 $IMWI1 SlYear
2001 14.000 80%560.540 352.000 432,000 784.000 102.400 200 26.61.18 91.186.355
2002 14.80.000 80%560.540 352000 432 000 784.000 102.400 200 26.43,73.386,368
2003 14.80.000 80%560.540 352.000 432.000 784.000 102,400 200 28.36,66.517.952
2004 14.000 80%560,640 352.000 432.000 784 000 102 400 200 28.38.66,37.517.952
2005 14.000 80%560.540 352.000 432.000 784 000 102400 200 28.34.65.486.374
2006 14.80.000 80%560.540 352.000 432.000 14,784 000 102.400 200 26.34.85.38.486.374
2007 14.80.000 80%560540 352 000 432 000 784.000 102.400 9200 26,34.85.36.486.374
2008 14.000 80%560.540 352.000 432.000 784 000 102 400 200 28.35,65.878.374
2009 14.80.000 80%560.640 352.000 432.000 784.000 102.400 200 26.36,66,37,278.213
2010 14.000 80%560.540 352.000 432.000 78'000 102.400 200 26.37.87.686 050
Sum "3,520.000
NPV ~8% 96.303.088
8'0 000
201 843
Sum
NPV ~8%
388.910,387
265 379.314
Build Option ~ 80% Capacity Factor
Heat rate
Quantity Capacity 8tulkWh Equipment Installation Total Equip,Total
Manufacturer Model Available IMWI IHHV)Price Cost Cost SIkW SIkW
Siemens Westinghouse W251812 11.600 13.100000 550,000 19.650,000 29,437
General Electric LM6000 200 16.100.000 050.000 150.000 403 604
Installation cost estlmale ' Inslallatlon cost ~ estlmal"" to be:~50'!(;'of lurbine cost
Levelized Fixed Charge Rale:Th~ was laken from IRP analys~ for a simple cycle al 80'.. CF. Th~ tum"" oul 10 be:
Th~ ~ us"" to calculale the Capad1y Charge list"" below.
Siemens Westinghouse Units
Annual Estimat""CapacIty Heat
Capac~y Fix""Variable Delivered Capad1y Charge Rate Estimat""Capad1y Variable Total
Charge OeM oeM Capad1y Fador Estima"'"Capac~y Fix""e Fix""Variable BtulkWh GasPrice + Fix""OeM Fuel Total Cost
Vear S/kW,mo SlkW,mo $IMWI1 MWI1 Charge OeM OeM OeM (HHV)$lMMBlu ~MWh ~MWh $IMWI1 $IMWI1 SlYear
2001 45 '45.000 80%315.360 200.800 243.000 443.800 182,600 600 77.14 88,953.270
2002 45.000 80%315.360 200 800 243.000 443 800 182 600 600 55.66.002.736
2003 000 80%315.360 200 800 243.000 443.800 182.600 600 46.57.18.259.104
2004 45,000 80%315.360 200.800 243.000 443 800 182.600 11.600 46.57.259.104
2005 0.45 45.000 60%315.360 200800 243.000 443 800 162 600 11.800 55.527469
2006 000 80%315 360 200.800 243 000 443 800 182,600 600 7.75 55.17.527 469
2007 45.000 80%315.360 200.800 243000 443.600 182.600 600 55,527.469
2008 45.000 80%315.360 200 800 243.000 "3.800 182.600 600 $6.805.490
2009 000 80%315.360 200 800 243 000 443.800 182.600 800 45,57.089.
2010 0.45 45.000 80%315.360 200 800 243.000 443.800 182.600 600 7.75 46,58.18.378.325Sum 22.008 000
NPV 1!!18'110 "767.547
438.000
16.398.097
Sum
NPV 1!!18%
192.329 508
132,187 572
General Electric LM6000
Annual Estlmal""Capad1y Heat
Capad1y Fix""Variable Delivered Capad1y Charge Rate Estlmaled Capac~y Variable Tolal
Charge OeM OeM Capad1y Fador Estimal""Capac~y Fixed e Fixed Variable BlulkWh GasPrice + Fixed OeM Fuel Total Cost
Vear SlkW.mo S/kW.mo ~MWI1 MWh Charge OeM OeM OeM (HHV)$lMMBlu S/MWh ~MWh $IMWI1 ~MWI1 SlYear
2001 '0.000 80%280.320 704 800 216 000 920.800 051 200 200 10.42 61.75.121.978
2002 0.45 000 80%280.320 704 800 216.000 920.800 051 200 200 10.43.57.221 984
2003 40.000 80%280.320 704 800 216,000 920 800 051 200 200 10.38.50.287,776
2004 40.000 80%280 320 704 800 216.000 920.800 051 200 200 10.42 36.50.287.776
2005 000 80%280.320 704 800 216,000 920 800 051200 200 10.34.49,13.771.987
2006 000 80%280.320 704 800 216 000 920.800 051 200 200 10.34.49.771.987
2007 0.45 000 80%280 320 704 800 216.000 920.800 051.200 200 10.34.49,13.771 987
2008 000 80%280 320 704 800 216000 920800 051.200 200 10.42 35,49.13.967,987
2009 000 80%280.320 704 800 216.000 920.800 051 200 200 10.38.50.167 907
2010 000 80%280.320 704 800 216.000 920 800 051 200 200 10.37.51.371.825Sum 27 048.000
NPV 1!!18% 18 149428
208.000
19.598,8OB
Sum
NPV 1!!18%
149,743.194
102.687 541
commendations:
Purchase and install two LM6000's and two W251812's. Top s~e appears to be Glenns Ferry. however. Twin Fal~
and Payelle are a~o oplions. In~ially. our plan ~ 10 Install all 4 un~s al the Glenns Ferry location, th~ will minimize
infrastrudure costs and hopefully simplify mainlenance. By doing th~ ou"eK (as a 30-year regulaled util~y projed) as
compared to purchasing via a purchase power agreement from a projec: de',eloped by olhe". we can secure over
twice the capacity for less Ihan 75% of the NPV 01 fixed cosls. 90 worth 01 free hedge for less money.
Additionally. Ihese machines can be inslalled 10 allow building-oul to a combin"".cycle at a laler dale. Th~ provides
IPCo add~lonal options and nexiblt~y as we assess future resource needs. Economics will change when restrudured
as an operating lease, however. Ih~ should give us a prelly good idea of overall comparison.
NPV of capacity and fi.ed cos.. (over 10 years)
NPVContract 99.201.843W251B12 16 398,097LM6000 19 598.8OB
80.000
45,000
40.000
SIkW
240
364
490
two W251BI2'
two LM6000'
Tolal lor 4 lurbines
32,796,194
39.197.612
71.993.805
90.000
000
170.000 423
IDAHO POWER COMPANY
CASE NO. IPC-O3-
FOURTH PRODUCTION REQUEST
OF COMMISSION STAFF
TT A CHMENT TO
RESPO NSE TO
REQUEST NO. 88
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