20150218PAC to IPC 5.pdf

ROCKY MOUNTAIN
PO\AIER
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mis rtB l8 At,{ B, 20
201 South Main, Suite 2300
Salt Lake City, Utah 841 I I
February 17,2015
Jean Jewell
Idaho Public Utilities Commission
472W. Washington
Boise,ID 83702-5918
j eanjewell@puc. idaho. gov (C)
Neil Price
[e-mail]. gov (C)
RE: ID PAC-E-14-10
IPUC Data Request (l-16)
Please find enclosed Rocky Mountain Power's Response to IPUC Data Request 5. Provided on
the enclosed Confidential CD is Confidential Attachment IPUC 5. Confidential information is
provided subject to the terms and conditions of the protective agreement in this proceeding.
If you have any questions, please feel free to call me at [phone].
Sincerely,
qT>rL [u/Aru'->.^-/ lno*,,
J. Ted Weston
Manager, Regulation
Enclosures
PAC-E- 1 4- I 0/Rocky Mountain Power
February 17,2015
IPUC Data Request 5
IPUC Data Request 5
Please provide an analysis of the overall revenue requirement and rate impact
comparing o'all-in" costs associated with the implementation of the Deer Creek
"Transaction" against current revenue requirement and rates. Please include all
worksheets with formulas intact.
Response to IPUC Data Request 5
Please refer to Confidential Attachment IPUC 5.
Since the Company's proposal is to continue amortizing the regulatory assets
associated with unrecovered investment in the Deer Creek mine and other mining
assets at the current rate ofdepreciation, the Transaction does not give rise to an
immediate revenue requirement impact related to rate base changes until the next
general rate case. Between the effective date of the Transaction and the time base
rates are next reset, the primary impacts of the transaction on customer rates are
incremental fuel costs and benefits, which include amortization of unrecovered
plant in fuel costs. These are proposed to be deferred and subsequently recovered
in the ECAM without application of sharing bands until the time of the next
general rate change. Confidential Attachment IPUC 5 illustrates these impacts of
the transaction.
Confidential information is provided subject to the terms and conditions of the
protective agreement in this proceeding.
Recordholder: Steve McDougal
Sponsor: Doug Stuver