20201103PAC to Staff 12-15.pdf

ROCKY MOUNTAIN
POWER
A OIVISION OF PACITGORP
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Salt Lake City, Utah 84116
November 3,2020
Jan Noriyuki
Dayn Hardie
Idaho Public Utilities Commission
472W. Washington
Boise, ID 83702-5918
ian.norivuki@f uc. idaho. eov (C)
da),n.hard ie @pu c. idaho. sov
RE: ID PAC-E-20-03
IPUC 3d Set Data Request (12-15)
Please find enclosed Rocky Mountain Power's Responses to IPUC Data Requests 12-15.
Provided via encryption are Confidential Attachments IPUC 12<14) and 15. Confidential
information is provided subject to protected under IDAPA 31.01.01.067 and 31.01 .01.233,the
Idaho Public Utilities Commission's Rules of Procedure No. 67 - Information Exempt from
Public Review, and further subject to any subsequent Non-Disclosure Agreement (NDA)
executed in this proceeding.
If you have any questions, please feel free to call me at (801) 220-29G3.
Sincerely,
-Jsl-J. Ted Weston
Manager, Regulation
Enclosures
C.c.: Eric L. Olsen/IIPA [e-mail]
Anthony Yankel/IIPA tony@yankel. net
PAC-E-20-03 / Rocky Mountain Power
November 3,2020
IPUC DataRequest 12
IPUC Data Request L2
Please provide the baseline resource portfolios without incremental wind
generation used in the PVRR(d) analysis for the I wind projects provided in
Response to Staff Production Request Nos. I and 2. Please include the following
in the response.
(a) The source of the baseline portfolios. Specifically, were the portfolios
identified inthe 2017 IRP, the 2019 IRP, or were the portfolios created
outside of the IRP process?
(b) Were any resources removed or modified in the baseline portfolios when the
incremental wind generation was added? If so, please explain why.
Response to IPUC Data Request 12
(a) Please refer to Confidential Attachment IPUC l2-l and Confidential
Attachment IPUC l2-2whichprovides the System Optimizer model (SO
model) base portfolio for the Pryor Mountain wind project. Please refer to
Confidential Attachment IPUC l2-3 andConfidential Attachment IPUC 124
which provides the SO model base portfolio for the Foote Creek I wind
project.
Note: The Foote Creek I study was run during PacifiCorp's 20l9Integrated
Resource Plan (IRP). The Pryor Mountain study was run after the 2019 IRP
had been completed.
(b) Resource selections are a model output, not an input. Please refer to the
Company's response to subpart (a) above to see the changes in the resource
portfolios.
Confidential information is provided subject to protection under IDAPA
31.01.01.067 and 31.01 .01.233,the Idaho Public Utilities Commission's Rules of
Procedure No. 67 - Information Exempt from Public Review, and further subject
to any subsequent Non-Disclosure Agreement (NDA) executed in this proceeding
Recordholder:Dan Swan
Sponsor:To Be Determined
PAC-E-20-03 / Rocky Mountain Power
November 3,2020
IPUC Data Request 13
IPUC Data Request 13
Please provide the source and/or explain the derivation of the inflation rate used
in extrapolating the system values for the Pryor Mountain and Foote Creek I wind
projects in the Responses to StaffProduction Request Nos. I and2.
Response to IPUC Data Request 13
The inflation rate is from Pacificorp's 20lg lntegrated Resource Plan (IRP) and
reflects PacifiCorp's corporate inflation rate schedule. A single annual escalation
rate value of 2.28 percent is assumed. The annual escalation rate reflects the
average of annual inflation rate projections for the period 2019 through2038,
using PacifiCorp's September 2018 inflation curve. PacifiCorp's inflation curve is
a staight average of forecasts for the Gross Domestic Product (GDP) deflator and
the Consumer Price Index (CPI).
Recordholder:Dan Swan
Sponsor:To Be Determined
PAC-E-20-03 / Rocky Mountain Power
November 3,2020
IPUC DataRequest 14
IPUC Data Request 14
Please provide the work papers showing the System PVRR (with and without
Foote Creek I) and the calculation for exhapolating the system values for the
Foote Creek I project similar to the analysis provided in the "System Value" tab
of the ooAttach IPUC 2-l CONF" file provided for Pryor Mountain in Response to
StaffProduction Request No. 2.
Response to IPUC Data Request 14
Please refer to Confidential Attachment IPUC 14, specifically file "Foote Creek I
Results 20190502 Extap.xlsx". This file contains the work papers showing the
system present value of revenue requirements (PVRR), with and without Foote
Creek I, and the calculation for extrapolating the system values for the Foote
Creek I project. Calculations for the medium natural gas / medium carbon dioxide
(COz) scenario ("MM"), and the low medium gas / no COz scenario ("LN') are
on tabs "PaR MM" and "PaR LN", respectively. The 2019 through 2038 dollars
per megawatt-hour ($AdWh) net (benefit)/cost for the ('MM" scenario is
calculated on row 88. Calculation of the exfiapolated values through 2050 is
shown on rows 128 through 134. The final result for each scenario is entered into
the file provided with the Company's response to IPUC Data Request 1,
specifically Confidential Attachment IPUC l-2,tab "Repower", rows 174 and
175.
Confidential information is provided subject to protection under IDAPA
31.01.01.067 and 31.01 .01.233, the Idaho Public Utilities Commission's Rules of
Procedure No. 67 - Information Exempt from Public Review, and further subject
to any subsequent Non-Disclosure Agreement (NDA) executed in this proceeding.
Recordholder:Mark Paul
Sponsor:To Be Determined
PAC-E-20-03 / Rocky Mountain Power
November 3,2020
IPUC Data Request l5
IPUC Data Rquest 15
Please explain the cause of the large increase in net benefits in year 2037 for the
Pryor Mountain wind project in the Medium Gas/IVledium co2 case that was
provided in Response to Staff Production Request No. 2.
Response to IPUC Data Request 15
The cause of the increase in net benefits in year 2037 is related to the one-year
defenal of a22l megawatt Mw) west simple cycle combustion turbine (sccr)
from2037 to 2038 in the system optimizer model (So model) reliability study
due to the addition of Pryor Mountain wind project versus the base study. The
deferral from2037 to 2038 avoided the fixed costs of the sccr in2037 and
lowered emissions, but was offset by higher operating costs from reduced system
balancing net sales.
Recordholder:Dan Swan
Sponsor:To Be Determined