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HomeMy WebLinkAbout19910712IPC to Independent Energy 1-13.pdf4ro7ss fifcE[-'Iu Er-iL[D il '91 JUL L2 Pn I 1g riAH0 f-UILl0 UTi LITIES CC h{ MIS S ION BARTON L. KLINE LARRY D. RIPLEY c/o Idaho Power ComPanY P. 0. Box 70 Boise, ID 83707 (208) 383-2674 Attorneys for Idaho Power ComPanY Street Address for Express I'lai I : 1220 West Idaho Street Boise, Idaho 83702 FAX'Telephone No. (208) 383-2336 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF THE APPLICATION OF IDAHO POWER COMPANY FOR APPROVAL OF AN INTERCONNECTION TARIFF FOR NON-UTI LITY GENERATION cAsE N0. IPC-E-90-20 IDAHO POI^JER COMPANY RESPONSE T0 FIRST PRoDUCTIoN REQUEST OF THE INDEPENDENT ENERGY PRODUCERS OF IDAHO IDAH0 P0WER C0MPANY hereby responds to the fi rst request for production of the Independent Energy Producers as follows: RE0UEST FOR PR0DUCTION N0. 1: Please provide all calculations, formulas, work papers, documents and data that are used to derjve the 0.7% operat'ion and maintenance factors charged to independent power producers per month for the j ri nterconnect equ i pment . RESP0NSE T0 RE0UEST N0. 1: Idaho Power does not purchase power from "independent power producers". A11 purchases Idaho Power makes from non-utifity ) ) ) ) ) IDAHo PoWER RESPoNSE T0 FIRST PRoDUCTIoN REQUEST - I ,li generators are from cogenerators and small power producers (CSPP's) that are qual ifying facilities under PURPA. Idaho Power obiects to request number I on the grounds that the request asks for historical data not relevant to this proceeding. The request asks for historjcal data used to derive the amounts "charged to independent power producers per month for thei rinterconnect equi pment. " The operati on and mai ntenance ('0&M') charges for exi st'ing CSPP purchases are establ 'ished by contract between Idaho Power and indjvjdual CSPP's. Those charges are not at 'issue 'in this proceeding. This proceed'ing is I imited to reconsideration of a portion of a tarjff wh'ich will have prospective applicat'ion only. The foregoing objections notwithstanding, in an effort to exped'ite thi s proceedi ng and to cooperati vely address the i ssues actual 1y on reconsideration, Idaho Power will assume that the 'informatjon actually desired by the IEPI is that jnformat'ion that supports the computatjon of the 0.7% per month 0&M charge proposed in Schedule 72. t,'ith that assumption, the requested information is attached and 'identified as Attachments I and 2. This response was prepared by Phil A. 0benchain in consultation wjth 'legal counsel . lvlr. Obenchain will be the wjtness at hearing that w'i11 be able to respond to quest'ions regarding the material prov'ided in Attachments l and 2. REOUEST FOR PR0DUCTI0N N0. 2: Please describe the operation and maintenance activities that are performed on an independent power producer's jnterconnect equipment in a typical year. Please do the same for a five year peri od. IDAHo PoWER RESPoNSE T0 FIRST PRoDUCTI0N REQUEST - 2 { RESP0NSE T0 RE0UEST N0. 2: Idaho Power objects to this request on the grounds that it is a hypothetical question and requires Idaho Power to speculate as to what are "typical" 0&M activitjes on both a s'ing1e year and five year bas j s. If the IEPI des j res to obtain spec'if ic 'information on actual operation and majntenance act'ivit'ies for CSPP jnterconnect'ions with Idaho Power, it would be better for the IEPI to depose Idaho Power wjtness Monty Mericle. The foregoing objections notwithstanding, in an effort to expedite this proceeding and to cooperative'ly address the jssues actua'l 1y on reconsideration, Idaho Power hereby responds that CSPP interconnections consist of a wide variety of electrjcal and other components that are also used to jnterconnect customer equipment with the Idaho Power's d'istributjon and transm'ission system. These components are subject to an extremely broad range of 0&M functions, including inspections, repa'ir, repl acement, ca1 ibration, testjng, etc. Procedures and equipment which are unique to CSPP interconnectjons include, but are not limited to, a provisjon to test the meterjng and a CSPP jnterconnection/protection package. The interconnect'ion/protection package requires add jtional , special'ized 0&l'1, incl uding annual cal ibration and testing, target interpretatjon and troubleshooting. 0&M is an ongoing activ'ity wh'ich 'is determined by the condit'ion and operation of the equipment. 0&M, during a five year period, wou'ld cons'ist of normal annual 0&M p'lus any add'itional 0&M needed to keep the equipment operat'ional . The foregoing response was prepared by Monty Mericle jn consultation wjth legal counse'l . Mr. Mericle will be the w'itness at hearjng who will be able IDAHo PoWER RESPoNSE T0 FIRST PRoDUCTIoN REQUEST - 3 { to respond to quest'ions regarding the 0&M act'ivities relatjng to jnterconnect'ions governed by Schedule 72. REOUEST FOR PRODUCTI0N N0. 3: Are there any econom'ies of scale 1n the operatjon and maintenance costs for interconnect equipment? That is, does it cost more or less to ma'intain the interconnect equipment as the amount of generation (both on a kl^I and kt,Ih basis) increases? Please explain your answer and provide any documentatjon to support your answer that you may have, including studies and reports. RESP0NSE T0 RE0UEST N0. 3: Idaho Power objects to this request number 3 on the same basis as its objection to Request No. 2. Idaho Power would again urge that if the IEPI desires specific information with respect to actual 0&M activities and costs, these inquiries would be better pursued by deposition of Idaho Power witnesses. The foregoing objections notwjthstanding, jn an effort to expedite thi s proceedi ng and to cooperati vely address the i ssues actua'l'ly on recons'ideratjon, Idaho Power responds that the 0&M charges under Schedule No. 72 are based on of system average costs of Idaho Power's distribution and transmission facilitjes. The CSPP pays 0&M charges based on its prorata share of the cost of operating and maintaining Idaho Power's distrjbution and transm'ission system. Idaho Power's system average costs of operating and majntaining its djstribution and transmission system are not allocated back to the source of generation. As a resu'lt, Idaho Power has performed no studjes or analys'is of whether or not there are any economies of scale in the operation and maintenance of CSPP interconnection costs. rDAHo pot.lER RESP0NSE T0 FIRST PRoDUCTIoN REQUEST - 4 I This response was provided by Monty Mericle in consultatjon with 1ega1 counsel. REOUEST FOR PRODUCTI0N N0. 4: Does the 0.7% per month charge to independent power producers for operat'ion and maintenance of interconnect equipment include depreciat'ion? If so, please prov'ide the depreciation schedule or schedul es. RESPONSE T0 RE0UEST N0. 4: No. This response was provided by Phil Obenchain jn consultatjon wjth lega1 counsel. REOUEST FOR PRODUCTI0N N0. 5: Please list each independent power producer and/or qualifying facility from which Idaho Power is purchasing power and energy in the state of Idaho. Do not include purchases from other electric ut'il'ities. RESP0NSE T0 REOUEST N0. 5: Idaho Power objects to th'is request on the same grounds as stated jn Response to Request No. 1. The operation and ma'intenance charges under existing contracts between Idaho Power and CSPP's are establjshed by the individual contracts and are not at issue in this proceeding. This proceeding is limited to reconsideration of a portion of a taniff that will have prospect'ive appl jcation on1y. The forgoing objections notwithstanding, 'in order to expedite this proceed'ing and to cooperatively address the 'issues actual'ly on reconsideration, Idaho Power has attached a l'ist identifying the existing contracts between Idaho Power and CSPP's selling power to Idaho Power in the State of Idaho. That ljst is identified as Attachment No. 3. IDAHo PoWER RESPoNSE T0 FIRST PRoDUCTIoN REQUEST - s I i This response is provided by Monty Merjcle in consultat'ion with 1ega1 counsel . REOUEST FOR PRODUCTI0N N0. 5: For each independent power producer identified in response to question 5, p'lease identjfy the average amount of power and energy purchased by Idaho Power. RESPONSE T0 RE0UEST N0.6: Idaho Power objects to this request on the grounds stated in Idaho Power's Response to Request No. 5. Furthermore, Idaho Power does not purchase power from jndependent power producers. FinaIly, Idaho Power further objects on the grounds that the information sought by this request is deemed to be confjdent'ial and in the nature of a trade secret by the CSPP's with which Idaho Power has contracted. In cons'ideration of that pos'ition by the CSPP's, it is Idaho Power's po'licy not to release thjs informatjon without the prior written approval of the respective CSPP's or pursuant to a va'ljd subpoena. The forego'i ng objecti ons notwi thstandi ng, pursuant to pri or Commission request, Idaho Power fi'les a quarterly report with the Commission entitled "Report of Cogeneration/Small Power Product'ion for Idaho Power Company Projects Located in Idaho." The report provides the data from which IEPI could compute the requested jnformat'ion. If the Commiss'ion deems this information to be avajlable for public inspection, the materjal'is available to IEPI at the Commission. In add'ition, if the Commiss'ion advjses Idaho Power that 'it deems the data to be public information, Idaho Power will supply copies to the parties. This response was prepared by Monty Mericle in consultation with 'lega1 counsel . rDAH0 PoWER RESPoNSE T0 FIRST PRoDUCTI0N REQUEST - 5 REOUEST FOR PR0DUCTI0N N0. 7: Please provide the amount jnitially charged each independent power producer jdentjfied in question 5 for their jnterconnect equipment. Please jndicate the year jn wh'ich the charge was assessed. RESP0NSE T0 RE0UEST N0. 7: See the Response to Request No. 6. RE0UEST FOR PR0DUCTION N0. 8: Please provide the annual amount charged each independent power producer identified in question 5 for the operation and maintenance of their interconnect equipment. RESP0NSE T0 REOUEST N0. 8: See the Response to Request No. 6. RE0UEST FOR PR0DUCTION N0. 9: If the amount identjfied in response to question 7 for any of the listed'independent power producers varies from the following formu'li, please explain the reason for the variance: .7 multiplied by the cost of the interconnect equipment multipfied by 12 (the number ofmonths jn a year). RESPONSE T0 RE0UEST N0. 9: Idaho Power objects to this request on the same grounds specified jn Response to Request No. 5. The foregoing objections notwjthstanding, in order to expedite th'is proceeding and to cooperatively address the issues actually on reconsideratjon, Idaho Power states that the application of the formula described in request number 9 is cons'istent with exjsting CSPP contracts and the computation of the annual 0&M charges for distribution voltage equipment under Schedule No. 72. RE0UEST FOR PR0DUCTI0N N0. 10: How often does Idaho Power expect to replace the interconnect equipment for an independent power producer, that'is, what js the expected life of the interconnect equipment that Idaho Power has IDAHO P0tr,ER RESP0NSE T0 FIRST PRODUCTI0N REQUEST - 7 I installed for each independent power producer jdentified in response to quest'i on 5? RESP0NSE T0 RE0UEST N0. 10: Idaho Power obiects to this request on the same grounds spec'ified in Idaho Power's Response to Request N0.2. If the IEPI desires spec'ific'information regarding actual operation and majntenance activities and costs, that informatjon should be obtained by deposition of Idaho Power witnesses. The foregoing obiections notw'ithstanding, in an effort to expedite this proceeding and to cooperatively address the issues on reconsideratjon in this proceed'ing, Idaho Power would refer the parties to Idaho Power's Response to Request No. 4. Depreciatjon is not'included in the 0&M charge. As such, there js no depreciatjon or expected l'ife allocated to specific equipment. This response l.ras prepared by Monty Merjcle in consuitation with l ega'l counsel . RE0UEST FOR PR0DUCTION N0. 11: If the contract period for power recei ved from an i ndependent produceri s l ess than the expected 'l i fe of the interconnect equipment, how does Idaho Power propose to charge for interconnect equipment in the next contract, assuming the 'independent power producer seeks a contract for an addit'ional term? Please exp'lain your answer. RESP0NSE T0 RE0UEST N0.11: See the Response to Request N0.10 above. REOUEST FOR PRODUCTION N0. 12: Please prov'ide typical or standard one-line d'iagrams for interconnection and protection equipment for the following types of independent power producers: IDAHo PoWER RESPoNSE T0 FIRST PRoDUCTIoN REQUEST - I (I Small (less than one Ml,l) independent power producers: a. HYdro facil itY b. Thermal facjlity (not a cogenerator) c. Thermal cogeneration fac'i1ity with independent electric load on Idaho Power's system Larger (between one and ten Mt,l) independent power producers a. Hydro Fac'i 'l i ty b. Thermal facjlity (not cogenerator) c. Thermal cogeneratjon facility with independent electric load on Idaho Power's system RESP0NSE T0 RE0UEST N0. 12: Idaho Power objects to this request on the same grounds stated'in Idaho Power's response to Request No. 2. The foregoing objectjons not wjthstanding, in order to expedite thjs proceed'ing and to cooperat'ive1y address the issues actually on reconsideration, Idaho Power responds that 'it does not cl ass'ify interconnection/protection equ'ipment by hydro, thermal or cogeneration, or less than I Mt,l or between I Mhl and 10 Ml,l. Idaho Power does not have d'ifferent equjpment for urban or rural locatjons. Idaho Power's interconnect'ion and protection equipment requirements are applicable to all CSPP interconnections based on the capacity of the interconnection equipment and the interconnection voltage level. For small projects up to several hundred kilowatts, the interconnection/protection packages utjlize low voltage contactors. For small to 'intermedjate sjze projects, low vo'ltage circu'it breaker equipped interconnection/di sconnectjon packages are used. For intermed'iate projects up to several megawatts, hjgh voltage oi1 swjtched 'interconnection/protectjon packages are used. For large projects connected at IDAHO P0WER RESPONSE T0 FIRST PRoDUCTIoN REQUEST - 9 t I transmissjon vo'ltage, circu'it switcher equipment protect'ion packages are used. Schematic or single Iine drawings showing typical configurations for the above- described general categories of equipment s'ize are attached and idehtjfied as Attachment No. 4. This response was provided by Monty Mericle in consultation wjth legal counsel. RE0UEST FOR PRODUCTI0N N0. 13: If any of the one-l jne diagrams would be altered because the facjlity is located in a rural or isolated part of Idaho Power's system rather than a more developed urban part of Idaho Power's system, please provide a set of urban and a set of rural one-line diagrams for each type of faci I i ty I 'i sted i n questi on 13 . RESPONSE T0 RE0UEST N0. 13: See Response to Request No. 12. DATED This l2th day of July, 1991. IDAHo PoI.JER RESPoNSE T0 FIRST PRoDUCTIoN REQUEST - l0 { CERTIFICATE OF MAILING I hereby certify that on this 12th day of July, 1991, I handdeljvered and mailed, as noted below, a true and correct copy of tfre witfrin and foregoi ng IDAHO POWER C0I,'IPANY RESP0NSE T0 FIRST PR0DUCTI0N REQUEST 0F THE INDEPENDENT ENERGY PRODUCERS 0F IDAH0, postage prepaid and addressed as follows: Peter J. Richardson DAVIS I.'RIGHT TREI4AIN 350 North 9th Street Suite 400 Bojse, ID 83702 ( E hand de'l . ) Scott Woodbury (hand del . )Idaho Public Utilities Commission Statehouse Boise, ID 83720 A. [,. Brown Company, Inc. 3416 Via Lido, Su'ite F Newport Beach, CA 92663 Gary A. Dahl ke R. Blair Strong Paine, Hamblen, Coffjn, Brook & Miller 1200 l,lashi ngton Trust F j nanci al Center Spokane, 1,lA 99204 John M. Ericksson Utah Power & Light Company 201 S. Ma'in StreetSalt Lake City, UT 84140 James Fell, Esq.Stoel, Rives, Boley, Jones & Gray 900 St,l F'ifth Ave., Suite 2300 Portl and, 0R 97?04 C. Tom Arkoosh (hand de1.) Roden & Arkoosh P.0. Box 2110 Bo i se,ID 701-2110 Tom Dukich Rates & Tariff Administration Washington l,later Power P.0. Box 37?7 Spokane, llA 99220 tJ. F. Merri I IMerrill & MerrillP.0. Box 991 Pocatel 'l o, ID 8320I -0091 Gregory N. 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Emmett Barber Darn Birch creek Black Canyon #3 Blind Canyon Box Canyon Briggs Creek Bypass Canyon Springs Cedar Draw Clear Springs Trout Crystal Springs Curry Cattle Co Dietrich Drop Elk Creek Faulkner Ranch Fisheries Dev Co Geo-Bon #2 H.E.E.D. Co Hailey CSPP Hazelton A Hazelton B Jim Knight Kasel & Witherspoon Koyle Ranch Lateral #10 LeMoyne Little Wood Rvr Res Little wood/Arkoosh IDAHO POWER COMPANY Signed CSPP ldaho Contracts 31 32 33 34 35 36 37 38 39 40 41 42 43M 45 46 48 49 50 51 52 53 54 55 56 57 58 59 60 Lowline Canal Lowline #2 Magic Reservoir Marco Ranches Mud CreeUS&S Mud CreekAffhite North Side Canal^f-8 Pigeon Cove Pocatello Wastewater Ravenscroft Reynolds lrrigation Rock Creek #1 Rock Creek #2 Sagebrush Schaffner Shingle Creek Shoshone CSPP Simplot Pocatello Snake River Pottery Snedigar Stevenson #1 Stevenson #2 Sunshine Power #2 Tamarack CSPP Trout Co Twin Eagle Victory Solar W Boise Wastewater White Water Ranch Wilson Lake 47 JF 7t12t91 ArIAGIMEMT 3 (( I :FEtI-o--o-= -zF-zo= E=3,I3o6c,< F0 E ; EEEEr-!eAilE e'I; EI A: 5aE HEE6E= E! ai.z tru!E r5"'{tl-= Eet9 .- EgE HHfi I Io, a 2EOEE.c@i--86OUEU I =bh8lO>-U< - * !:ta ?E TE:: 83 '-I ,,L, ,+, "E 33 E .E E! E a E t, o?i l-: :t OUIO- ) <. -Fo>o- --OO! 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