20070918PAC to IIPA 5-4.pdf

~~::OUNTAIN
RECE \JE
201 South Main. Suite 2300
Salt Lake City. Utah 84111
2mn SF-? \ 8 AI'I 9: \ 9
September 17, 2007 "rr \t4r ~~tP 2d1,~\~\~SjOl
d I, ,.
.....-
Eric Olsen
Idaho Irrigation Pumpers Assoc
Racine, Olsen, Nye, Budge & Bailey
201 East Center
Pocatello, ID 83204
RE:P AC-07-
IIPA Set S (1-
Please find enclosed Rocky Mountain Power s Response to lIP A Sth Set Data Requests
S.4. Provided on the enclosed CD are Attachments IIPA S.4 (a, b-1 - b-4).
If you have any questions, please feel free to call me at (801) 220-497S.
Sincerely,o/~/
Brian Dickman, Manager
Regulation
Enclosures
Cc:Tony Y ankel/IIP A
Jean JewelllIPUC
Randall C. Budge/Monsanto
James R. Smith/Monsanto
Maurice BrubakerIMonsanto
Richard AndersonlEnergy Strategies
Conley Ward/Agrium
Dennis Peseau/ Agrium
Brad Purdy/CAP AI
Timothy Shurtz
PAC-07-05/Rocky Mountain Power
September 17, 2007
IIPA 5th Set Data Request 5.4
lIP A Data Request 5.4
Regarding the Company s response to Monsanto request 2.50 please answer
the following:
a. The data for June 19 2006 at 1600 indicates under attachment C-2 that the
highest price of short-term purchase on the eastern system was $95 per MWH
while under attachment C-1 the highest price of short-term purchase on the
entire system was only $72.25 per MWH. Why is the highest priced purchase
on the "system , less than the highest price purchase in the "east system
b. How many MW's were purchased at each of the "highest" prices listed for
each hour in the data contained in attachments C-, C-, D-, and D-2 of
response to Monsanto request 2.50?
c. Regarding attachment C-, what was the name of the entity selling energy at
the maximum price during each ofthe hours listed?
d. In the Company s response to Monsanto request 1.17-2 there is listed times
and dates of curtailments as well as the amount of replacement power
purchased and at what cost. For the afternoon of June 19 2006 there was 67
MW's for 6 hours at a cost of$21 921 , which translates into $54.53 per
MWH. Please explain how the rate charged for replacement power is
determined/developed and how it relates to the "highest" priced energy listed
in the Company s response to Monsanto 2.50?
Response to lIP A Data Request 5.
a. The attachment for Monsanto request 2.50 c-2 was provided in error -in the
original response. Sales data was provided instead of the purchase data due to
a file naming error. Please find the revised version of the Monsanto s request
50 c-2 in the attachment for 5.4 a (Attach IIPA 5.4 a.xls).
b. Please refer to the following attachments for part b:
Attach IIPA 5.4 b-1.xls (Monsanto 2.50 c-
Attach lIP A 5.4 b-xls (Monsanto 2.50 c-
Attach IIPA 5.4 b-xls (Monsanto 2.50 d-
Attach lIP A 5.4 b-xls (Monsanto 2.50 d-
Notes on Attachment b-3 and b-
This includes all short-term transactions with the maximum price for the hour.
The previous response included only the transaction with maximum dollar
value when there is more than one transaction present with highest price for
the hour, so revenues (MWH * Price) for some hours may be different in the
new files.
c. Counter-party information is extremely confidential , transaction sensitive, and
commercially proprietary. Disclosure of this information may give an undue
advantage to competitors and therefore requires the highest level of
P AC- E-07 -05/Rocky Mountain Power
September 17, 2007
lIP A 5th Set Data Request 5.4
confidential treatment. Please contact Brian Dickman at 801-220-4975 or
Barry Bell at 801-220-4985 to make arrangements for review.
d. The $21 921 was calculated from Dow Jones off-peak Index, shaping factor
and MWh of replacement:
Dow Jones Off-Peak Index of June 19 2006 = 43.28 $/MWh
Shaping factor from exhibit B-1 = ,1.26
Adjusted Index = 43.28$/MWh x 1.26 = 54.53 $/MWh
MWh = 67 MW x 6 hours = 402MWh
Replacement power cost = MWh * Adjusted Index = 402MWh * 54.
$/MWh = $21 921.
The "highest" priced energy listed in the Company s response to Monsanto
50 is calculated from the maximum purchase and sale price for all short-
term firm deals at the hourly level. The "highest" priced energy is not-related
to calculation of the rate charged for replacement power' because the
replacement power cost calculation is not a function of the "highest" priced
energy but a function of the published Dow Jones index.
(Ray M. Zacharia (a-d), John A. Apperson (a-d), and Sang Baum Kang Cd)
prepared this response and are the recordholders. Mark T. Widmer is
expected to sponsor this response at hearing. Please contact Brian Dickman at
801-220-4975 to discuss this response.
IDAHO
P AC-O7-
ROCKY MOUNTAIN POWER
lIP A DATA REQUEST SET 5 (1-
ATTACHMENT lIP A 5.4 (a, b-- b-
ON THE ENCLOSED CD