20150401IPC to Staff 34-40.pdf

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JULIA A. HILTON
Corporate Counsel
ih i [e-mail]
April 1 ,2015
VIA HAND DELIVERY
Jean D. Jewell, Secretary
ldaho Public Utilities Commission
472 West Washington Street
Boise, ldaho 83702
Re: Case Nos. IPC-E-14-41and PAC-E-14-11
Exchange of Certain Transmission Assets - ldaho Power Company's
Response to the Second Production Request of the Commission Staff to
ldaho Power Company
Dear Ms. Jewell:
Enclosed for filing in the above matters please find an origina! and three (3)
copies of ldaho Power Company's Response to the Second Production Request of the
Commission Staff to ldaho Power Company.
Also enclosed are four (4) copies each of non-confidential and confidential disks
containing information responsive to the Staff's production requests. Please handle the
confidential information in accordance with the Protective Agreement executed in this
matter.
Very truly yours,WJulia A. Hilton
JAH:csb
Enclosures
An IDACORP Company
'1221 W. ldaho st. (83702)
PO. Box 70
Boise. lD 83707
JULIA A. HILTON (lSB No. 7740)
ldaho Power Company
1221 West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
Telephone: [phone]
Facsimile: [phone]
ih ilton @idahopower. com
Attorney for ldaho Power Company
DANIEL E. SOLANDER (lSB No. 8931)
Rocky Mountain Power
201 South Main Street, Suite 24OO
Salt Lake City, Utah 84111
Telephone: (801 | 220-4014
Facsimile: (801 ) 220-3299
dan iel. solander@pacifico rp. com
Attomey for PacifiCorp
!N THE MATTER OF THE APPLICATION
OF PACIFICORP DBA ROCKY
MOUNTAIN POWER AND IDAHO POWER
COMPANY FOR AN ORDER
AUTHORIZING THE EXCHANGE OF
CERTAIN TRANSMISSION ASSETS
ills,1,i'P - | Pii
CASE NOS. IPC-E-14-41
PAC-E-14-11
IDAHO POWER COMPANY'S
RESPONSE TO THE SECOND
PRODUCTION REQUEST OF THE
COMMISSION STAFF TO IDAHO
POWER COMPANY
37
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
COMES NOW, ldaho Power Company ("ldaho Powed' or "Compo[y"), and in
response to the Second Production Request of the Commission Staff to ldaho Power
Company dated March 18,2015, herewith submits the following information:
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY - 1
REQUEST NO. 34: Please provide supporting data for past, current, and
projected transmission uses by retail, wholesale, and generation customers served by
ldaho Power via the following asset transfers (See Application, JPSA, Exhibit A, p. A-2):
o ldaho to Northwest Transmission on the Hemingway - Summer Lake 500 kV line
. ldaho to Northwest Transmission on the Walla Walla - Hunicane 230 kV line
o Midpoint - Hemingway Transmission on the Midpoint - Hemingway 500 kV line
RESPONSE TO REQUEST NO. 34: Please see the Excel workbooks provided
on the non-confidential and confidential CDs.
The "Summer Lake Historic" reservations workbook (Attachment 1) details ldaho
Power's network customer historic usage of the Hemingway - Summer Lake 500
kilovolt ("kV") line. The report reflects that since June 2012,ldaho Power has reserved
213,876 megawatt-hours ('MWh") for ldaho Powe/s load service obligations.
The "Enterprise Historic" reservations workbook (Attachment 2) details ldaho
Powe/s network customer historic usage of the Walla Walla - Hurricane 230 kV line.
The report reflects that since June 2012, ldaho Power has reserved 54,613 MWh for
ldaho Powe/s load service obligations.
The "ldaho to Northwest Set-Asides" confidential workbook (Attachment 3)
details ldaho Powe/s projected future usage of the ldaho to Northwest transmission
path for importing energy for ldaho Poweds native and network load service obligations.
The confidential Excel workbook will only be provided to those parties that have
executed the Protective Agreement in this matter.
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY - 2
ldaho Power does not schedule on the transmission system between Midpoint
and Hemingway; therefore, there is no data associated with the Midpoint - Hemingway
500 kV line.
The response to this Request is sponsored by Tess Park, Load Serving
Operations Director, Idaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY - 3
REQUEST NO. 35: Please explain changes to the projected first-year
transmission capacity deficit as a result of the asset exchange. Please explain why
there are, or are not, changes to the first-year transmission capacity deficit and provide
a copy of the current transmission capacity deficit projections.
RESPONSE TO REQUEST NO. 35: The asset exchange does not add any
additional transmission capacity to the ldaho to Northwest transmission path. Currently,
the ldaho to Northwest path transmission capacity is fully subscribed. A major benefit of
the asset swap is reduced transmission wheeling costs to utilize this ldaho to Northwest
capacity. Because the asset exchange does not change the level of transmission
capacity, the asset exchange has no impact to the timing of any future capacity deficits,
as defined by the lntegrated Resource Plan ("lRP") planning process.
The response to this Request is sponsored by Dave Angell, Customer
Operations Planning Manager, Idaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY - 4
REQUEST NO. 36: ln response to Staffs Production Request No. 33, the
Gompany states there are "no anticipated changes to the cost and benefits of the
proposed Boardman to Hemingway project." Please explain how the asset exchanges
and upgrades will have absolutely no impact on the costs and benefits of the proposed
Boardman to Hemingway (B2H) project.
RESPONSE TO REQUEST NO. 36: The costs of B2H are made up of the sum
of permitting costs; right-of-way costs; materials, Iabor, and installation costs; and other
miscellaneous costs. These costs will not change with the asset exchange.
The benefit of B2H is additional transmission capacity between the Northwest
and ldaho. The asset exchange does not increase the capacity of the ldaho to
Northwest transmission path and therefore does not impact Idaho Powe/s need for
additiona! ldaho to Northwest transmission capacity.
The response to this Request is sponsored by Dave Angell, Customer
Operations Planning Manager, ldaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY - 5
REQUEST NO. 37: The 2013lRP found the B2H portfolio to be the lowest cost
portfolio (See 2013 ldaho Power lntegrated Resource Plan, Table 9.2, p. 98). Please
provide the most cunent and up-to-date economic analysis of B2H that includes a!!
costs and all benefits.
RESPONSE TO REQUEST NO. 37: The most cunent and up-to-date economic
analysis of B2H that includes all costs and benefits can be found in ldaho Powe/s 2013
lRP. ldaho Power is working to update this economic analysis as a part of the ongoing
2015lRP process.
The response to this Request is sponsored by Dave Angell, Customer
Operations Planning Manager, ldaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY - 6
REQUEST NO. 38: Please explain whether the current and most up-to-date
B2H economic analysis considers cost savings from the acquisition of the additional
Hemingway - Midpoint eastbound capacity (See Application, Dave Angell Direct
Testimony, p. 15; and JPSA, Exhibit A, p. A-2). lf it does not, please explain.
RESPONSE TO REQUEST NO. 38: The B2H economic analysis studies did
not, and will not, consider savings from the acquisition of the additional Hemingway -
Midpoint eastbound capacity. The economic analysis of B2H in the 2013 IRP process,
through modeling using the AURORA tool, only considered the addition of the B2H
project and facilities necessary to integrate B2H into the Treasure Valley load pocket.
The Hemingway - Midpoint eastbound capacity alleviates what is considered an ldaho
Power intemal transmission constraint. lntema! constraints are not modeled in the
AURORA tool Idaho Power utilizes to perform economic analysis studies.
The response to this Request is sponsored by Dave Angell, Customer
Operations Planning Manager, ldaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY - 7
REQUEST NO. 39: Regarding the Company's response to Staff Production
Request No. 23, please provide a specific list of planned improvements to the ldaho to
Northwest Path, including a description of the transmission capacity impact. As part of
the response, please provide the transmission capacity prior to and following the asset
exchange and improvements.
RESPONSE TO REQUEST NO. 39: The ldaho to Northwest path is currently
rated at 1200 megawatts ("MW") west-to-east (imports to ldaho) and 2400 MW east-to-
west (exports out of ldaho). The asset exchange will not alter the path's cunent rating,
nor will it alter the path's rating following any upgrades. Below is a list of planned
improvements to the ldaho to Northwest path:
1. The B2H project has been identified as a planned improvement to
the ldaho to Northwest path. The addltion of B2H will increase the ldaho to Northwest
path rating to 2250 MW west-to-east. The addition of B2H alone wil! not affect the
ldaho to Northwest path east-to-west rating. The addition of B2H and Gateway West
will increase the ldaho to Northwest path rating to 3400 MW east-to-west.
2. ldaho Power is in the process of evaluating the feasibility of a new
substation west of Hells Canyon dam called Pallette Junction. This substation would
loop the Lolo - Oxbow 230 kV line, the Hurricane - Hells Canyon 230 kV line, and the
Hells Canyon - Brownlee 230 kV line in-and-out of the substation. This project is in the
early stages of scoping, and ldaho Power has not yet determined the transmission
capacity impacts.
The response to this Request is sponsored by Dave Angell, Customer
Operations Planning Manager, ldaho Power Company.
]DAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY - 8
REQUEST NO. 40: Regarding the Company's response to Staff Production
Request No. 26, please provide a comparison of the transmission capacity prior to and
following the asset exchange for the three improvements listed.
RESPONSE TO REQUEST NO. 40: Replacing the Borah (BORA) series
capacitor will increase the total rating of the line from 1017 MW to 1229 MW.
Replacing the Kinport (KPRT) series capacitor will increase the total rating of the
line from 892 MW to 1235 MW.
There are three segments of transmission between Goshen and Stateline: (1)
Goshen to Jefferson, (2) Jefferson to Big Grassy, and (3) Big Grassy to Stateline. The
asset swap does not change the capacity associated with any of these segments.
Following improvements to be made to the segments, the capacity of the segments will
be as follows:
1. The Goshen to Jefferson segment will increase from 143 MW to
254 MW bidirectional.
2. The Jefferson to Big Grassy segment will remain unchanged at 143
MW bidirectional.
3. The Big Grassy to Stateline segment will remain unchanged at 87
MW north-to-south and 72 MW south-to-north.
The response to this Request is sponsored by Dave Angel!, Customer
Operations Planning Manager, ldaho Power Company.
DATED at Boise, ldaho, this 1"t day of April 2015.
Attorney for ldaho Power Company
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REOUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY - 9
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on this 1"tday of April 2015 I served a true and conect
copy of IDAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY upon the
following named parties by the method indicated below, and addressed to the following:
Commission Staff
Daphne Huang
Deputy Attomey General
ldaho Public Utilities Commission
472 W est Washington (83702)
P.O. Box 83720
Boise, Idaho 83720-007 4
PacifiCorp
Daniel E. Solander
Rocky Mountain Power
201 South Main Street, Suite 24OO
Salt Lake City, Utah 84111
lndustrial Customers of ldaho Power
Peter J. Richardson
RICHARDSON ADAMS, PLLC
515 North 27h Street (83702)
P.O. Box 7218
Boise, ldaho 83707
Dr. Don Reading
6070 Hill Road
Boise, ldaho 83703
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IDAHO POWER COMPANY'S RESPONSE TO THE SECOND PRODUCTION
REQUEST OF THE COMMISSION STAFF TO IDAHO POWER COMPANY - 1O
Christa Bearry, Legal