20080624IPC to Staff 1, 2, 4.pdf

esIDA~POR~
An IDACORP Company
BARTON L. KLINE
Senior Attorney
June 24, 2008
VIA HAND DELIVERY
Jean D. Jewell, Secretary
Idaho Public Utilities Commission
472 West Washington Street
P.O. Box 83720
Boise, Idaho 83720-0074
Re: Case No. IPC-E-08-13
In the Matter of Idaho Power Company's Application for an Accounting Order
Authorizing the Inclusion of Power Supply Expenses Associated with the
Purchase of Capacity and Energy From PPL EnergyPlus, LLC, in the Power
Cost Adjustment
Dear Ms. Jewell:
Enclosed for filing please find an original and three (3) copies of Idaho Power
Company's Response to the First Production Request of the Commission Staff. Please
note that some of Idaho Power's responses are confidential and therefore have been
printed on yellow paper, marked as confidential, and placed in a separate envelope.
In addition, also enclosed are three (3) CDs regarding Idaho Power's response to
Request No.1. Please note, this response is confidential and, therefore, the CDs have
been marked confidentiaL.
Upon receipt of this filing, I would appreciate it if you would return a stamped copy of
this letter for my file in the enclosed stamped, self-addressed envelope.
Very truly yours,
~J¿Q
Barton L. Kline
,-
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Enclosures
P.O. Box 70 (83707)
1221 W. Idaho St.
Boise. ID 83702
BARTON L. KLINE (ISB No. 1526)
DONOVAN E. WALKER (ISB No. 5921)
Idaho Power Company
P.O. Box 70
Boise, Idaho 83707
Telephone: [phone]
Facsimile: 208-338-6936
bkline(áidahopower.com
dwalker(áidahopower.com
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Attorneys 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 IDAHO POWER )
COMPANY'S APPLICATION FOR AN ) CASE NO. IPC-E-08-13
ACCOUNTING ORDER AUTHORIZING )
THE INCLUSION OF POWER SUPPLY ) IDAHO POWER COMPANY'S
EXPENSES ASSOCIATED WITH THE ) RESPONSE TO THE FIRST
PURCHASE OF CAPACITY AND ENERGY ) PRODUCTION REQUEST OF THE
FROM PPL ENERGYPLUS, LLC, IN THE ) COMMISSION STAFF
POWER COST ADJUSTMENT. )
)
COMES NOW, Idaho Power Company ("Idaho Power" or "the Company"), and in
response to the First Production Request of the Commission Staff to Idaho Power
Company dated March 24, 2008, herewith submits the following non-confidential
information:
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REQUEST OF THE COMMISSION STAFF - 1
REQUEST NO.2: Please provide a copy of the RFP issued in the spring of
2008 to consider offers for a contract to specifically replace the PPL Montana contract
that expires at the end of summer 2009.
RESPONSE TO REQUEST NO.2: The requested information is enclosed.
This response to this Request was prepared by Karl Bokenkamp, General
Manager, Power Supply Operations and Planning, Idaho Power Company, in
consultation with Barton L. Kline, Senior Attorney, and/or Donovan Walker, Attorney II,
Idaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REQUEST OF THE COMMISSION STAFF - 2
BEFORE THE
IDAHO PUBLIC UTiliTIES COMMISSION
CASE NO. IPC-E-08-13
IDAHO POWER COMPANY
RESPONSE TO REQUEST NO.2
eeIDA~PO~
An IDACORP Company
Request for Proposal
April 4, 2008
This Request for Proposal (RFP) is for delivery of physical firm capacity and energy to
be included in Idaho Power's supply portfolio to serve its firm load obligations.
Term
June 1, 2010 and continuing through August 31,2015. Shorter-term contracts wil be
considered however; preference wil be given to those proposals with a term of 5 years.
Product
Up to 83 MW/hour for all Heavy Load Hours (6X16), hour ending 0700 through hour
ending 2300 Pacific Time, Monday through Saturday, excluding NERC holidays, during
the months of June, July, and August for each contract year. Idaho Power requires
physical firm deliveries consistent with Western Systems Power Pool (WSPP) firm
power requirements including liquidated damages. Any resulting contract entered into
as a result of this RFP will be in accordance with the terms and conditions of the WSPP
Agreement and Service Schedule C, Firm Energy and Capacity.
Price Structure
Idaho Power prefers a fixed price structure, but will consider alternative price structures.
Pointls of Delivery (POD)
Bidders shall be responsible for acquiring and paying for transmission service to the
Points of Delivery. The Points of Delivery include:
. Borah/Brady 345kv substation located in southern Idaho.
· Mona 345kv substation located in central Utah.
· Red Butte 345kv substation located in southern Utah
· Or any other point of integration within Idaho Power's control area that
lies east of Idaho Power's Brownlee 230kv substation.
Response Date
Proposals are due no later than close of business on the May 5, 2008. RFP responses
may be sent via U.S. mail or Gourier, fax or emaiL. Please follow up any sent proposals
with a phone call to insure that Idaho Power received the proposaL.
P.O. Box 70 (83707)
1221 W.ldaho St.
Boise. ID 83702
Page 2 of3
Contact
All communications and proposals should be directed to:
Idaho Power Company
Attention: Steve Watanabe
P.O. Box 70 (83707)
1221 W. Idaho St.
Boise, Idaho 83702
voice: 208-388-5352
cell: 208-830-4000
fax: [phone]
email: stevewatanabe~idahopower.com
Selection Process
All offers received by the specified date wil be evaluated in a consistent manner. Idaho
Power intends to pursue definitive agreements with entities that provide, in Idaho
Power's sole judgment, the best combination of power supply characteristics and costs.
It is Idaho Power's intent to finalize a definitive agreement as soon a possible with
successful bidders. Idaho Power recognizes it may be necessary for bidders to refresh
their bid price for final consideration. During the process Idaho Power wil notify
successful bidders when the deadline is for any refreshed bids. Idaho Power in its sole
discretion may discontinue negotiations with a bidder at any time.
Confidentiality
Idaho Power will use reasonable efforts to protect any proprietary and confidential
information contained in a proposal, provided that such information is clearly identified
by the bidder as "Proprietary and Confidential" on the page on which proprietary and
confidential information appears. Such information may, however, be made available
under applicable state or federal law to regulatory commissions and their staffs. Under
no circumstance wil Idaho Power, or its agents or contractors, be liable for any
damages resulting from any disclosure after the solicitation process.
Credit
Idaho Power reserves the right to require, in Idaho Power's sole opinion, adequate
credit assurances which may include, but not limited to, a corporate parental guaranty
and/or a letter of credit in a form, amount, and from a financial institution acceptable to
Idaho Power.
Page 3 of3
Rejection or Selection of Proposals
Idaho Power reserves the right to reject any or all proposals, or re-solicit for proposals,
or modify this proposal, based upon Idaho Power's sole judgment.
In addition, this RFP shall not be construed as preventing Idaho Power from entering
into any agreement that Idaho Power deems prudent, in Idaho Power's sole opinion, at
any time before, during, or after this RFP process is complete.
In the event a definitive contract agreement cannot be reached with a bidder, Idaho
Power reserves the right to accept the proposal of any other bidder or to seek additional
proposals.
Limitation of Liabilty
Idaho Power shall not be liable for any expenses bidder incurs in connection with
providing a response to this RFP, or for any costs, fees, or lost or foregone profits of
unsuccessful proposals.
Regulatory Provisions
Any contract entered into as a result of this RFP wil be conditioned upon approval and
acceptance without substantial change by appropriate jurisdictional regulatory
authorities, including, the Idaho Public Utilities Commission and the Federal Energy
Regulatory Commission.
REQUEST NO.4: Please provide energy and capacity load-resource balances
for each year 2010-2011. The load-resource balances should show forecasted loads by
month, along with hydro, thermal, contractual, PURPA, market purchases, and other
resources (including DSM and demand response programs not accounted for in the
load forecast). Individual hydro and PURPA resources may be lumped together into the
two categories, but please list thermal and contractual resources individually (including
the PPL EnergyPlus contract).
RESPONSE TO REQUEST NO.4: The requested information is enclosed. The
enclosed information does not differentiate between individual coal-fired power plants.
The Company only has one non-PURPA long-term power purchase agreement, the
PPL Montana agreement. The break-out for individual coal-fired resources wil be
provided as soon as possible.
This response to this Request was prepared by Karl Bokenkamp, General
Manager, Power Supply Operations and Planning, Idaho Power Company, in
consultation with Barton L. Kline, Senior Attorney, and/or Donovan Walker, Attorney II,
Idaho Power Company.
J(,
DATED at Boise, Idaho, this è q day of June 2008.
~kß'::
BARTON L. KLINE
Attorney for Idaho Power Company
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REQUEST OF THE COMMISSION STAFF - 3
BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
CASE NO. IPC-E-08-13
IDAHO POWER COMPANY
RESPONSE TO REQUEST NO.4
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~
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~
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on this 24th day of June, 2008, I served a true and
correct copy of the within and foregoing document upon the following named parties by
the method indicated below, and addressed to the following:
Commission Staff -tHand Delivered
U.S. Mail
_ Overnight Mail
FAX
-Å Email Scott.woodbury(ãpuc.idaho.gov
Scott Woodbury
Deputy Attomey General
Idaho Public Utilties Commission
472 West Washington (83702)
P.O. Box 83720
Boise, Idaho 83720-0074
OJ~
Barton L. Kline
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REQUEST OF THE COMMISSION STAFF - 4