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HomeMy WebLinkAbout20220503IPC to Staff 1-7.pdf.-, r -.-t-j STffi ' nlr ,a- . i1-,i i', , .1; ri tJ Lisa D. Nordstrom a An[T COAPComp.ny P.O. Bor 70 (83707) lZll W. ld.ho 5t. Boise, lD 83702 LISA D. NORDSTROiI Lead Counsel lnordstrom@idahopower.com May 3,2022 Jan Noriyuki, Secretary ldaho Public Utilities Commission 11331 W. Chinden Boulevard Building 8, Suite 201-A Boise, ldaho 83714 Re Case No. !PC-E-22-11 Application of ldaho Power Company for Authority to Implement Power Cost Adjustment CPCA') Rates for Electric Service from June 1,z022,through May 31,2023 Dear Ms. Noriyuki: Attached for electronic filing is ldaho Power Company's Response to the First Production Request of the Commission Staff in the above-entitled matter. The confidential attachments will be provided under separate cover to the parties who sign the Protective Agreement in this matter. lf you have any questions about the attached documents, please do not hesitate to contact me. Sincerely, X*!.("*+r,-*, LDN:sg Enclosures LISA D. NORDSTROM (lSB No.5733) ldaho Power Company 1221 West ldaho Street (83702) P.O. Box 70 Boise, ldaho 83707 Telephone: (208) 388-5825 Facsimile: (208) 388-6935 ln o rd strom@ ida h opower. com Attorney for ldaho Power Company BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF THE APPLICATION OF IDAHO POWER COMPANY FOR AUTHORITY TO IMPLEMENT POWER cosT ADJUSTMENT ("PCA') RATES FOR ELECTRIC SERVICE FROM JUNE 1,2022, THROUGH MAY 31 ,2023. CASE NO. IPC-E-22-11 IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF ) ) ) ) ) ) ) ) ) COMES NOW ldaho Power Company ("ldaho Powef or "Company"), and in response to the First Production Request of the Commission Staff dated April22,2022, herewith submits the following information: IDAHO PO\A'ER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 1 REQUEST FOR PRODUGTION NO. 1: Please provide a list of all ldaho Power customers who purchased Company-owned Renewable Energy Credits ('RECs") that are being passed through the Power Cost Adjustment ('PCA") Schedule 55. Please include in the response the fuel type for the RECs, purchase price, quantity of RECs, and date purchased. RESPONSE TO REQUEST FOR PRODUGTION NO. 1: Please see Confidential Attachment 1 for all Idaho Power customers who purchased Company-owned Renewable Energy Credits ('RECs") that are being passed through the Power Cost Adjustment. The response to this Request is sponsored by Suzanne Smith, Senior Program Specialist, ldaho Power Company. IDAHO POVVER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 2 REQUEST FOR PRODUCTION NO. 2: Please provide all workpapers used to derive the finalfigures included in the exhibits in electronic formatwith allformulas intact. RESPONSE TO REQUEST FOR PRODUCTION NO. 2: Please see Excel Attachments 1 - 4. Excel Attachment 1 was used in preparation of Exhibit No.1 (2022-2023 PCA Forecast) as well as the tables found in the direct testimony of Jessica G. Brady. Excel Attachment 2 contains the calculations for the PCA rate components. ExcelAttachments 3 and 4 were used in preparation of Exhibit No. 3 (2022 ROE Determination Revenue Sharing Benefits). The response to this Request is sponsored by Jessi Brady, Regulatory Analyst, ldaho Power Company. IDAHO POIA/ER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF.3 REQUEST FOR PRODUCTION NO. 3: Please provide the monthly number of megawatt-hours ('MWh') associated with the system base and actual net power costs for all Net Power Supply Expense ("NPSE") Accounts including Federal Energy Regulatory Commission ('FERC") accounts 501 (Coal), account 536 (Water for power), account 547 (Gas), account 555 (Non-PURPA), account 565 (3rd party transmission), account 447 (Surplus Sales), account 555, (PURPA), and account 555 (Demand Response lncentives). RESPONSE TO REQUEST FOR PRODUGTION NO. 3: Please see Confidential Aftachment 1 for monthly PURPA generation in megawatt-hours ('MWh") associated with the system base net power costs. Please see Excel Attachment2lor monthly generation associated with system base net power costs for all non-PURPA Federal Energy Regulatory Commission ("FERC") accounts. Docket No. IPC-E-13-201 contains additional detail regarding the Company's base net power supply costs. Please see ExcelAttachment 3 for monthly generation associated with actual net power supply costs for April 2021 - March 2022. There are no MWhs associated with FERC accounts 536 (Water for Power), 565 (3rd Pafi Transmission) and 555 (Demand Response lncentives). The response to this Request is sponsored by Jessi Brady, Regulatory Analyst, ldaho Power Company. IDAHO PO\'\'ER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 4 REQUEST FOR PRODUCTION NO.4: Did the Company re-distribute or smooth base NPSE in this year's filing? lf so, please provide workpapers that reflect the calculations/method used to derive the revenue-smoothed (redistributed) base NPSE included in Exhibit No. 2 from the Aurora generated NPSE thatwas last authorized by the Commission for the deferral period for all NPSE accounts. Please include all workpapers in electronic format with calculations intact. RESPONSE TO REQUEST FOR PRODUCTION NO. 4: Base NPSE in this filing are shaped according to base rate revenues from the Company's last general rate case, in accordance with Commission Order No. 33307 issued in Case No. IPC-E-15-15. The shaping of base NPSE has remained consistent with each PCA filed since the conclusion of that case. Please see Excel Attachment 1, which details the shaping of base NPSE by retail revenues, The response to this Request is sponsored by Jessi Brady, Regulatory Analyst, ldaho Power Company. ]DAHO POVVER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF.5 REQUEST FOR PRODUCTION NO. 5: Please provide supporting data on the reservoir levels for the Upper Snake River Basin for both current and 2023 forecasted amounts. RESPONSE TO REQUEST FOR PRODUCTION NO. 5: Following drought conditions in2021, reservoirs upstream of Brownlee had lowerthan normal storage at the end of the irrigation season to carryover into the following year. On November 1, 2021, which is the end of the irrigation year, storage in the major reservoirs above Brownlee (which ldaho Power defines as the cumulative storage in Jackson Lake, Palisades, lsland Park, American Falls, Anderson Ranch, Arrowrock, Lucky Peak, Lake Lowell, Cascade, Deadwood, and Owyhee Reservoir) was 53% of normal, or only 22o/o oi the total capacity of these reservoirs. The winter of 202112022 began with storm cycles and snowpack building at an above average rate in most of the basins above Brownlee. However, beginning in early January, the Snake River Basin experienced dry conditions through approximately March, which led to below norma! snowpack conditions across all basins upstream of Brownlee Reservoir. ln the April 1, 2022 ldaho Water Supply Outlook Report (https://www.wcc.nrcs.usda.gov/ftpref/supporUstates/lD/wy2022lwsorlborid422.pdf), the Natural Resources Conservation Service listed snowpack in key basins above Brownlee Reservoir as follows: . Upper Snake Basins: 66 to 70% of median . Wood and Lost Basins: 61 to 760/o of median . Southern Snake Basins: 50 to 78% of median . West Central Basins: 60 to 70% of median IDAHO PO\'\'ER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 6 The low snowpack, coupled with the low carryover conditions from the prior irrigation year, resulted in below normal water supply forecasts in the basins above Brownlee, and subsequently in ldaho Power's streamflow forecast at its hydropower projects. At the March Water Supply Committee meeting, hosted by the ldaho Department of Water Resources, regional water managers provided forecasts for water supplies and reservoir operations. Materials from the U.S. Bureau of Reclamation provide supporting data for the following paragraphs and can be found at the following link (https://idwr. idaho-gov/water-data/water-supply/committee/). ln the Upper Snake, above Milner Dam, storage on March 8,2022 was 72o/o ol normal, which corresponds to the 7th lowest storage amount in the last 46 years. Forecasts for runoff in the Upper Snake ranged from 63 to 75o/o of normal. Reservoir storage projections showed that the total system storage was likely to end the irrigation season at less than 20o/o of capacity. ln the Boise Basin, storage on March 9, 2022 was 85% of average. Forecasts called for runoff to be approximately 80% of average. The lower storage and runoff projections resulted in forecasts that did not predict refill of the Boise system, yielding little to no excess flow exiting the Boise Basin beyond minimum stream flows. Projections showed Boise Basin reservoir content at approximately 40o/o of normal at the end of the irrigation season. ln the Payette Basin, storage on March 9,2022 was 88% of average. Forecasts called for runoff to be approximately 81% of average. The lower storage and runoff projections resulted in forecasts that predicted marginal refill of the Payette system, IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 7 yielding little to no excess flow exiting the Payette Basin due to reservoir releases for flood risk management. Projections showed Payette Basin reservoir content at approximately 60% of normal at the end of the irrigation season. ln the Owyhee Basin, storage on March 9, 2022 was 51o/o of average. Forecasts called for runoff to be approximately 81% of average. Since the Owyhee Reservoir is a multiyear system, this amount of runoff is insufficient to fill the system or lead to any increases in streamflow downstream of Lake Owyhee. Given current water supply and reservoir storage conditions, carryover in all major reservoirs above Brownlee is expected to be below normalatthe end of the 2O22irrigation season and into the start of the 2023 waler year. This reduces the Iikelihood of any significant winter season or early flood risk management water releases through the end of the PCA analysis period. ldaho Power reviewed the available forecasts, along with internal hydrologic modeling and reservoir operations models, and concurred that current and forecast drought conditions coupled with low reservoir storage made it unlikely that any of the regulated portions of the Snake River Basin upstream of Brownlee Reservoir would significantly contribute to stream flows, and therefore hydropower generation, through most of ldaho Power's hydro system during the upcoming PCA year. The response to this Request is sponsored by Frank Gariglio, Engineering Leader, ldaho Power Company. IDAHO PO\A'ER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 8 REQUEST FOR PRODUCTION NO. 6: Please provide the length of time and amount of production in MWhs lost for forced downtime (unscheduled) that Company- owned generation facilities/units experienced each month during the deferral period. For each forced downtime, please explain the cause and resolution of the downtime RESPONSE TO REQUEST FOR PRODUCTION NO. 6: Please see Excel Attachment 1. The response to this Request is sponsored by Jessi Brady, Regulatory Analyst, ldaho Power Company. IDAHO POWER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 9 REQUEST FOR PRODUCTION NO. 7: Please provide all Company-owned facility/unit unforced downtime (scheduled) including the date range, length of time, and reason that occurred during the deferral period. RESPONSE TO REQUEST FOR PRODUGTION NO. 7: Please see Excel Aftachment 1. The response to this Request is sponsored by Jessi Brady, Regulatory Analyst, ldaho Power Company. IDAHO POVVER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF.lO DATED at Boise, ldaho, this 3rd day of May2022. &; P.zf"t t.-*, LISA D. NORDSTROM Attomey for ldaho Power Oompany IDAHO POVI'ER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF.11 CERTIFICATE OF SERVICE I HEREBY CERTIFY that on the 3rd day of May 2022,1 served a true and correct copy of ldaho Power Company's Response to the First Production Request of the Commission Staff to ldaho Power Company upon the following named parties by the method indicated below, and addressed to the following: \kle,lh &,4t. Stacy Gust, Regulatory Administrative Assistant IDAHO PO\A'ER COMPANY'S RESPONSE TO THE FIRST PRODUCTION REQUEST OF THE COMMISSION STAFF - 12 Commission Staff Dayn Hardie Deputy Attorney General ldaho Public Utilities Commission 11331 W. Chinden Blvd., BIdg No. 8, Suite 201-A (83714) PO Box 83720 Boise, lD 83720-0074 Hand Delivered _U.S. Mai! Overnight Mail _FAX FTP SiteX Email: Dayn.Hardie@puc.idaho.qov lndustria! Customers of ldaho Power Peter J. Richardson 515 N. 27th Street Boise, ldaho 83702 Hand Delivered _U.S. Mail Overnight Mail _FAX FTP SiteX Email: peter@richardsonadams.com Dr. Don Reading 6070 Hill Road Boise, ldaho 83703 Hand Delivered _U.S. Mai! Overnight Mail _FAX FTP SiteX Email:dreadinq@mindsprinq.com BEFORE THE IDAHO PUBL]C UTILITIES COMMISSION cAsE NO. IPC-E-22-11 IDAHO POWER COMPANY CONFIDENTIAL REQUEST NO. 1 ATTACHMENTNO. 1 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION GASE NO. IPC-E,22-11 IDAHO POWER COMPANY REQUEST NO.2 ATTACHMENTNO. 1 SEE ATTACH ED SPREADSH EET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION GASE NO. IPC-E-22-11 IDAHO POWER COMPANY REQUEST NO.2 ATTACHMENTNO.2 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION GASE NO. IPC.E.22.11 IDAHO POWER COMPANY REQUEST NO.2 ATTACHMENTNO.3 SEE ATTACH ED SPREADSH EET BEFORE THE I DAHO PU BLIC UTI LITIES COMTUIESION GASE NO, IPC.E.22.11 IDAHOPOWER COMPANY REQUEST NO.2 ATTAGHMENTNO.4 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION GASE NO. IPC-E-22-11 IDAHO POWER COMPANY CONFIDENTIAL REQUEST NO.3 ATTACHMENTNO. 1 BEFORE THE IDAHO PU BLIC UTILITIES COMMISSION CASE NO. IPC-E-22-11 IDAHO POWER GOMPANY REQUEST NO.3 ATTACHMENTNO.2 SEE ATTACH ED SPREADSHEET BEFORE THE IDAHO PUBLIG UTILITIES COMMISS]ON GASE NO. IPC-E-22-11 IDAHO POWER COMPANY REQUEST NO.3 ATTACHMENTNO.3 SEE ATTACH ED SPREADSH EET BEFORE THE IDAHO PUBLIC UTILIT]ES COMMISSION GASE NO. IPC-E-22-11 IDAHO POWER COMPANY REQUEST NO.4 ATTACHMENTNO. 1 SEE ATTACHED SPREADSHEET BEFORE THE IDAHO PUBLIG UTILITIES COMMISSION CASE NO. IPG.E.22.11 IDAHO POWER COMPANY REQUEST NO.6 ATTACHMENT NO. 1 SEE ATTACH ED SPREADSHEET BEFORE THE IDAHO PUBLIG UTILITIES COMMISS]ON CASE NO. IPC-E-22-11 IDAHO POWER COMPANY REQUEST NO.7 ATTACHMENTNO. 1 SEE ATTAGHED SPREADSHEET