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HomeMy WebLinkAbout20220124IPC to IIPA 1-10.pdfLISA D. NORDSTROM Lead Counsel lnordstrom@idahopower.com January 24, 2022 VIA ELECTRONIC FILING Jan Noriyuki, Secretary Idaho Public Utilities Commission 11331 West Chinden Blvd., Building 8 Suite 201-A Boise, Idaho 83714 Re: Case No. IPC-E-21-32 In the Matter of Idaho Power Company’s Application for Approval to Modify Its Demand Response Programs Dear Ms. Noriyuki: Attached for electronic filing, pursuant to Order No. 35058, is Idaho Power Company’s Response to Idaho Irrigation Pumpers Association, Inc.’s First Set of Data Requests to Idaho Power in the above entitled matter. Due to the voluminous nature of information provided in response to data requests in this case, the Company is posting the attachments to these requests to the secure FTP site to allow parties to view the requested information remotely. The login information for the non-confidential portion of the FTP site was provided to all parties on December 2, 2021. If you have any questions about the attached documents, please do not hesitate to contact me. Very truly yours, Lisa D. Nordstrom LDN:sg Attachments RECEIVED 2022 JAN 24 PM 4:41 IDAHO PUBLIC UTILITIES COMMISSION IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 1 LISA D. NORDSTROM (ISB No. 5733) Idaho Power Company 1221 West Idaho Street (83702) P.O. Box 70 Boise, Idaho 83707 Telephone: (208) 388-5825 Facsimile: (208) 388-6936 lnordstrom@idahopower.com Attorney for Idaho Power Company BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF IDAHO POWER COMPANY’S APPLICATION FOR APPROVAL TO MODIFY ITS DEMAND RESPONSE PROGRAMS. ) ) ) ) ) ) ) CASE NO. IPC-E-21-32 IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIIRST SET OF DATA REQUESTS COMES NOW, Idaho Power Company (“Idaho Power” or “Company”), and in response to Idaho Irrigation Pumpers Association, Inc.’s (“IIPA”) First Set of Data Requests to Idaho Power dated January 3, 2022, herewith submits the following information: IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 2 REQUEST FOR PRODUCTION NO. 1: Please refer to the Direct Testimony of Jared L. Ellsworth, page 12. a. Please provide the planned and unplanned outage rates assumed for a simple cycle combustion turban. b. Please provide the ELCC of a simple cycle combustion turban. c. Please explain how the ELCC calculations for a simple cycle combustion turban account for planned and unplanned outages. d. Please provide the loss of load probability by hour under PG1 and PG2. Please provide such data for both the ELCC calculations for the DR programs supporting a 55 percent ELCC and the ELCC calculations for the SCCT. RESPONSE TO REQUEST FOR PRODUCTION NO. 1: a) The Equivalent Forced Outage Rate (“EFOR”) of the Simple Cycle Combustion Turbine (“SCCT”) used in this analysis was 6 percent. An EFOR of 6 percent represents a generator that is forced off, or incurs an unplanned outage, 6 percent of its running time. Planned outages are not a component of the Effective Load Carrying Capability (“ELCC”) methodology. b) The ELCC was not computed for dispatchable resources (such as an SCCT); ELCC values were only calculated for non-controllable and energy-limited resources such as Demand Response (“DR”), solar, and wind. The contribution to peak of dispatchable resources is modeled using monthly capacities and corresponding EFOR values. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 3 c) As previously stated, the ELCC was not computed for dispatchable resources such as an SCCT. The ELCC analysis calculates the perfect generation displaced by the selected resource. When determining the ELCC of the DR portfolio for the cost effectiveness equation, Idaho Power chose to replace the perfect generator in the ELCC calculations with the resource identified in the Settlement Agreement, an SCCT whose EFOR was greater than zero. The SCCT has an assumed EFOR value of 6 percent. This SCCT with an EFOR of 6 percent was applied instead of a perfect generator, and the ELCCSCCT of the 492 MW DR portfolio was then calculated to be 55 percent. d) Please see the attachment provided for this response which contains the hourly Loss of Load Probability data for the 55 percent ELCCSCCT of the DR portfolio calculation for all four test years. The ELCC calculations utilize four test years of historical hourly output data to provide realistic weather shapes. The response to this Request is sponsored by Jared Ellsworth, Transmission, Distribution & Resource Planning Director, Idaho Power Company. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 4 REQUEST FOR PRODUCTION NO. 2: Please refer to the Direct Testimony of Jared L. Ellsworth, pages 22 and 23. a. Please identify which of the existing Idaho Power DR programs are considered to have “similar program parameters such as seasonal restrictions, hours per year, etc.” b. For each DR program not identified in part a above, please indicate what the estimated ELCC of the program is expected to be. c. Please explain how the company calculates the “effective equivalent SCCT’s nameplate”. d. Please provide Idaho Power’s LOLE calculator created in MATLAB referred to in Request No. 9 – Attachment 2 – DR_SCCT_Capacity_Contribution_Results.xlsx. e. Please provide the effective equivalent SCCT’s nameplate for each level of DR MW included in ICIP Response attachment “Request No. 1 – Attachment 3 – ELCC Workpaper”. If Idaho Power does not have such data please provide data necessary to calculate the effective equivalent SCCT’s nameplate for each level of DR. RESPONSE TO REQUEST FOR PRODUCTION NO. 2: a) The “similar program parameters such as seasonal restriction, hours per year, etc.” refers to the DR programs in the Northwest Power and Conservation Council assessment. The assessment showed 584 megawatts (“MW”) of total DR potential for the Company’s service area and using similar parameters to Idaho Power’s current DR programs, that IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 5 potential was further refined to 492 MW. Programs such as Critical Peak Pricing and Conservation Voltage Reduction were removed to provide a more accurate potential value on what the current programs could achieve. b) As stated in part a), all three of the Company’s DR programs have similar program parameters used to identify the 492 MW of DR potential used in the analysis. c) Idaho Power determined the size of an effective-equivalent SCCT by implementing the ELCC methodology, utilizing an SCCT with an assumed Effective Forced Outage Rate of 6 percent, instead of a perfect generator. Utilizing the DR portfolio nameplate of 492 MW, the 2023 load and resource balance, and averaging over the four test years used in the analysis produces the effective-equivalent SCCT nameplate, as shown in the table below produced by Idaho Power’s internally developed Loss of Load Expectation (“LOLE”) MATLAB® algorithm. Effective-Equivalent SCCT Nameplate ELCCSCCT for DR Portfolio Nameplate of 492 MW Test Year 1 323 MW 66% Test Year 2 272 MW 55% Test Year 3 266 MW 54% Test Year 4 225 MW 46% Avera e 272 MW 55% d) Please see the attachment provided for this response. The Company’s internally developed LOLE MATLAB® algorithm is comprised of a multitude of interplaying scripts which apply the methods and equations IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 6 described in the Reliability Evaluation of Power Systems (Billinton & Allan, 1984) textbook.  Billinton, Roy, and Ronald N. Allan. Reliability Evaluation of Power Systems. Pitman Books Limited, 1984. e) Please see the attachments provided for this response which contain the data necessary to determine the effective-equivalent SCCT nameplate for each level of DR MW. The response to this Request is sponsored by Jared Ellsworth, Transmission, Distribution & Resource Planning Director, Idaho Power Company. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 7 REQUEST FOR PRODUCTION NO. 3: Please refer to the Direct Testimony of Jared L. Ellsworth page 21. a. Please explain how DR dispatchability is modeled in AURORA. b. Are DR resources AURORA dispatch parameters equivalent to the proposed DR program parameters? If no, why not? c. Please provide the dispatch costs assumed in AURORA for the DR resources. RESPONSE TO REQUEST FOR PRODUCTION NO. 3: a. The AURORA model is fed an 8,760 DR shape for each of the years in the Integrated Resource Plan (“IRP”) planning horizon, meaning DR dispatchability is based upon the supplied 20-year, hourly shape. The DR shape is constructed by applying the DR MW nameplate incrementally to the predetermined hours of highest risk; the dispatchability of DR in the AURORA model is constrained to the DR portfolio parameters. b. Yes. c. Dispatch costs are not applied to the DR portfolio in the AURORA model. Incrementally selectable DR is modeled with the following levelized fixed costs ($/MW-week) during the Long-Term Expansion Modeling runs:  First 100 MW (in 20 MW increments): - $986 per MW-week (for non-leap years) - $983 per MW-week (for leap years)  Next 180 MW (in 20 MW increments): - $1,572 per MW-week (for non-leap years) IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 8 - $1,568 per MW-week (for leap years) The response to this Request is sponsored by Jared Hansen, Resource Planning Leader, Idaho Power Company. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 9 REQUEST FOR PRODUCTION NO. 4: Please provide the expected enrollment in MW, by year, from 2022 to 2026 for each DR program under the proposed parameters. RESPONSE TO REQUEST FOR PRODUCTION NO. 4: For input into the 2021 IRP, the Company assumed 300 MWs of DR capacity would be available each year from 2022 through 2026. This estimate assumes approximately 22 MW from Residential Air Conditioner Cycling, 30 MW from Commercial & Industrial Flex Peak, and 248 MW from Irrigation Peak Rewards. The response to this Request is sponsored by Quentin Nesbitt, Customer Research & Analysis Leader, Idaho Power Company. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 10 REQUEST FOR PRODUCTION NO. 5: Please provide the expected enrollment in MW, by year, from 2022 to 2026 for each DR program under the current program parameters. RESPONSE TO REQUEST FOR PRODUCTION NO. 5: With the current program parameters, the Company estimates the DR portfolio capacity to stay around 380 MW starting in 2022, which is a similar level to the 2021 DR capacity. The 380 MW assumes approximately 28 MW from Residential Air Conditioner Cycling, 35 MW from C&I Flex Peak, and 315 MW from Irrigation Peak Rewards. The response to this Request is sponsored by Quentin Nesbitt, Customer Research & Analysis Leader, Idaho Power Company. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 11 REQUEST FOR PRODUCTION NO. 6: Please refer to ICIP Response attachment “Request No. 1 – Attachment 3 – ELCC Workpaper”. a. Please refer to cells D14, G14, J14, and M14:O14. These numbers are hard coded while adjacent cells use formulae. When formulae are applied to these cells the ELCC changes from 55.9 percent to 56.8 percent. Please explain which ELCC value is correct. b. Are the ELCC values calculated in this workpaper calculated based on Idaho Power’s existing system, or do they assume resources and load? If the values include incremental resources and load, identify each assumed resource (including resource type and nameplate capacity) and incremental load not presently part of Idaho Power’s system. c. For each test year and DR size, please provide the total MWh of curtailment, by hour of day for the DR resource. RESPONSE TO REQUEST FOR PRODUCTION NO. 6: a) Please see Attachment 1 provided for this response. The previously provided Attachment 3 to ICIP’s Request No. 1 combined two separate analyses where different DR portfolio capacities were used. There was the 380 MW case with the current DR program capacity and the 492 MW of potential DR capacity identified in the Northwest Power and Conservation Council assessment. The last 50 MW for each scenario was available from 10:00pm – 11:00pm. Therefore, the tables are the same up to 330 MW and diverge from that point. When combining the tables, the formulae IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 12 was removed to keep the correct values and show the ELCC of 380 MW and 492 MW. b) The calculated ELCC values were based on Idaho Power’s expected 2023 load and resource balance. This includes the Company’s existing resources, plus those known at the time of the analysis, which included the addition of the 120 MW nameplate Jackpot Solar Project. As for load, the four historical test years were used for weather shaping and scaled to have the same peak load as the forecasted 2023 system peak load. c) Please see Attachment 2 provided for this response which contains the DR MWh portfolio curtailment by hour for each of the four test years for the following DR portfolio scenarios. Idaho Power’s internally developed LOLE MATLAB® algorithm was coded to dispatch the maximum capability of the DR portfolio. DR Portfolio Nameplate DR Portfolio Parameters Scenario 1 300 MW Proposed DR Portfolio Parameters Scenario 2 492 MW Proposed DR Portfolio Parameters The response to this Request is sponsored by Jared Ellsworth, Transmission, Distribution & Resource Planning Director, Idaho Power Company. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 13 REQUEST FOR PRODUCTION NO. 7: Please refer to the Direct Testimony of Quentin Nesbitt page 5 table 1. Please provide the following data for each curtailment event, separately for each demand response program from 2016 to 2020: a. Date and time of curtailment. b. MW of enrollment called for curtailment, by hour. c. MW of achieved curtailment, by hour. d. Variable cost of event. RESPONSE TO REQUEST FOR PRODUCTION NO. 7: a-c. Please see the attachment provided for this response. d. The variable cost of each event was zero, because the Flex Peak and Irrigation Peak Rewards programs did not meet the four-event threshold for either program to receive variable incentive payments from 2016 to 2020. The Residential Air Conditioner Cycling program does not have a variable incentive payment. The response to this Request is sponsored by Quentin Nesbitt, Customer Research & Analysis Leader, Idaho Power Company. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 14 REQUEST FOR PRODUCTION NO. 8: Please refer to the Direct Testimony of Quentin Nesbitt page 5 table 1. Please provide the data in this table separately for each demand response program from 2016 to 2020. RESPONSE TO REQUEST FOR PRODUCTION NO. 8: Please see the attachment provided for this response. The response to this Request is sponsored by Quentin Nesbitt, Customer Research & Analysis Leader, Idaho Power Company. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 15 REQUEST FOR PRODUCTION NO. 9: Please refer to the Direct Testimony of Quentin Nesbitt page 32. Please provide the forecasted cost per kW per year for each DR program under the proposed DR parameters. RESPONSE TO REQUEST FOR PRODUCTION NO. 9: Please see the attachments provided for this response. The Company has estimated the cost for Residential Air Conditioner Cycling, Commercial & Industrial Flex Peak, and Irrigation Peak Rewards to be $44, $44, and $47 per Kilowatt (“kW”) of capacity per year respectively with the proposed program parameters. Because the Flex Peak and Irrigation Peak Rewards program offerings include a variable incentive payment, the estimates assume the maximum dispatch of 60 hours for both those programs. The response to this Request is sponsored by Quentin Nesbitt, Customer Research & Analysis Leader, Idaho Power Company. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 16 REQUEST FOR PRODUCTION NO. 10: Please refer to the Direct Testimony of Quentin Nesbitt page 16. a. Please explain why the incentive for the Flex Peak program is larger than the incentive for the Irrigation Peak Rewards Program. b. Please explain why the incentive payment for the Irrigation Peak Rewards Program is less than half the avoided cost estimate of $51.42 per kW per year. RESPONSE TO REQUEST FOR PRODUCTION NO. 10: a. On a total cost per kW basis, the Flex Peak program is lower than the Irrigation Peak Rewards program, which provides room for a larger incentive. This is due to the Irrigation Peak Rewards program having higher administrative costs. Further, based on Idaho Power’s experience managing the programs, the Company believes it takes a larger incentive to generate participation with most Flex Peak customers than it does with many Irrigation Peak Rewards customers. b. While the proposed Irrigation Peak Rewards incentive payment is less than half the avoided cost estimate, the overall Irrigation Peak Rewards cost, including administrative costs, is estimated to be around 90 percent of the avoided cost estimate. The primary driver of the administrative costs comes from installing and maintaining load control devices on customer equipment. The response to this Request is sponsored by Quentin Nesbitt, Customer Research & Analysis Leader, Idaho Power Company. IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS- 17 DATED at Boise, Idaho, this 24th day of January 2022. LISA D. NORDSTROM Attorney for Idaho Power Company IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS -18 CERTIFICATE OF SERVICE I HEREBY CERTIFY that on the 24th day of January 2022, I served a true and correct copy of Idaho Power Company’s Response to Idaho Irrigation Pumpers Association, Inc.’s First Set of Data Requests upon the following named parties by the method indicated below, and addressed to the following: Commission Staff Riley Newton Deputy Attorney General Idaho Public Utilities Commission 11331 W. Chinden Blvd., Bldg No. 8, Suite 201-A (83714) PO Box 83720 Boise, ID 83720-0074 Hand Delivered U.S. Mail Overnight Mail FAX ____ FTP Site X Email: Riley.Newton@puc.idaho.gov Idaho Irrigation Pumpers Association, Inc. Eric L. Olsen Echo Hawk & Olsen, PLLC 505 Pershing Ave., Ste. 100 P.O. Box 6119 Pocatello, Idaho 83205 Hand Delivered U.S. Mail Overnight Mail FAX FTP Site X Email elo@echohawk.com Lance Kaufman Aegis Insight 4801 W. Yale Ave. Denver, CO 80219 Hand Delivered U.S. Mail Overnight Mail FAX FTP Site X EMAIL lance@aegisinsight.com Idaho Conservation League Benjamin J. Otto Emma E. Sperry Idaho Conservation League 710 N. 6th Street Boise, Idaho 83702 Hand Delivered U.S. Mail Overnight Mail FAX _ FTP Site X EMAIL botto@idahoconservation.org esperry@idahoconservation.org Industrial Customers of Idaho Power Peter J. Richardson Richardson Adams, PLLC 515 N. 27th Street P.O. Box 7218 Boise, Idaho 83702 Hand Delivered U.S. Mail Overnight Mail FAX _ FTP Site X EMAIL peter@richardsonadams.com IDAHO POWER COMPANY’S RESPONSE TO IDAHO IRRIGATION PUMPERS ASSOCIATION, INC.’S FIRST SET OF DATA REQUESTS -19 Dr. Don Reading 6070 Hill Road Boise, Idaho 83703 Hand Delivered U.S. Mail Overnight Mail FAX FTP Site X EMAIL dreading@mindspring.com Micron Technology, Inc. Austin Rueschhoff Thorvald A. Nelson Austin W. Jensen Holland & Hart LLP 555 17th Street, Suite 3200 Denver, CO 80202 Hand Delivered U.S. Mail Overnight Mail FAX _ FTP Site X EMAIL darueschhoff@hollandhart.com tnelson@hollandhart.com awjensen@hollandhart.com aclee@hollandhart.com glgarganoamari@hollandhart.com Jim Swier Micron Technology, Inc. 8000 South Federal Way Boise, ID 83707 Hand Delivered U.S. Mail Overnight Mail FAX _ FTP Site X EMAIL jswier@micron.com Boise City Ed Jewell Deputy City Attorney Boise City Attorney’s Office 150 N. Capitol Blvd. P.O. Box 500 Boise, ID 83701-0500 Hand Delivered U.S. Mail Overnight Mail FAX _ FTP Site X EMAIL ejewell@cityofboise.org boisecityattorney@cityofboise.org ________________________________ Stacy Gust, Regulatory Administrative Assistant BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 1 ATTACHMENT NO. 1 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 2 ATTACHMENT NO. 1 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 2 ATTACHMENT NO. 2 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 2 ATTACHMENT NO. 3 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 2 ATTACHMENT NO. 4 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 6 ATTACHMENT NO. 1 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 6 ATTACHMENT NO. 2 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 7 ATTACHMENT NO. 1 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 8 ATTACHMENT NO. 1 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 9 ATTACHMENT NO. 1 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 9 ATTACHMENT NO. 2 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-21-32 IDAHO POWER COMPANY REQUEST NO. 9 ATTACHMENT NO. 3 SEE ATTACHED SPREADSHEET