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HomeMy WebLinkAbout20200714PAC to Staff 1-7.pdf 1407 W North Temple, Suite 330 Salt Lake City, Utah 84116 July 14, 2020 Diane Hanian Idaho Public Utilities Commission 472 W. Washington Boise, ID 83702-5918 diane.holt@puc.idaho.gov (C) RE: ID PAC-E-20-10 IPUC 1st Set Data Request (1-7) Please find enclosed Rocky Mountain Power’s Responses to IPUC Data Requests 1-7. IPUC 5 will arrive under separate cover. Also provided are Attachments IPUC 1 and IPUC 6. If you have any questions, please feel free to call me at (801) 220-2963. Sincerely, ____/s/____ J. Ted Weston Manager, Regulation Enclosures RECEIVED 2020 July 14, PM 4:46 IDAHO PUBLIC UTILITIES COMMISSION PAC-E-20-10 / Rocky Mountain Power July 14, 2020 IPUC Data Request 1 IPUC Data Request 1 Please provide a copy of the approved agreement the parties are currently operating under with all amendments. Response to IPUC Data Request 1 Please refer to Attachment IPUC 1 which provides (1) a copy of the original power purchase agreement (PPA) between Bonneville Pacific Corporation and Utah Power and Light Company (UP&L) dated December 4, 1984, (2) a copy of the Amendment to PPA between CDM Hydroelectric Company Limited Partnership (successor to Bonneville Pacific Corporation) and UP&L dated February 5, 1992, and (3) a copy of the Assignment and Assumption to PPA between CDM Hydroelectric Company Limited Partnership and Fall River Rural Electric Cooperative, Inc., effective August 31, 2017. Recordholder: Kyle Moore Sponsor: To Be Determined PAC-E-20-10 / Rocky Mountain Power July 14, 2020 IPUC Data Request 2 IPUC Data Request 2 Please provide the full schedule of Fixed Energy Rates, if they are used in the agreement the parties are currently operating under. Response to IPUC Data Request 2 Please refer to the Company’s response to IPUC Data Request 1 which provides a copy of the current power purchase agreement (PPA) between Bonneville Pacific Corporation and Utah Power and Light Company (UP&L) dated December 4, 1984. Specifically, Appendix B (Schedule of Energy Purchased Rates) contains the full schedule of Fixed Energy Rates, as listed in the first table of the appendix. The years between those years listed (example: 4, 6, 10 …) use the same rate as the previously stated rate until a new rate is stated (for example, Year 6 rate is stated as “$115/kW-Yr” plus “18 Mill/kWh”, Year 7 through Year 9 use that same rate until the schedule states new rates beginning in Year 10). Recordholder: Kyle Moore Sponsor: To Be Determined PAC-E-20-10 / Rocky Mountain Power July 14, 2020 IPUC Data Request 3 IPUC Data Request 3 Please provide the order number and case number that approved the schedule mentioned above. Response to IPUC Data Request 3 The Company assumes that the referenced to “mentioned above” is intended to be a reference to IPUC Data Request 2. Based on the foregoing assumption, the Company responds as follows: To date, the Company has been unable to locate records providing an Idaho Public Utilities Commission (IPUC) case number and / or order number approving the Amendment to Power Purchase Agreement (PPA), dated February 5, 1992, between CDM Hydroelectric Company Limited Partnership (successor to Bonneville Pacific Corporation) and Utah Power and Light Company (UP&L). Nor has the Company located records providing an IPUC case number and / or order number approving the original PPA dated December 4, 1984. Recordholder: Kyle Moore Sponsor: To Be Determined PAC-E-20-10 / Rocky Mountain Power July 14, 2020 IPUC Data Request 4 IPUC Data Request 4 When was the current nameplate capacity of 7.45 MW installed? Has the current nameplate capacity been approved by the Commission in previous orders? Response to IPUC Data Request 4 Please refer to the Company’s response to IPUC Data Request 3. Note: (1) the original power purchase agreement (PPA) between Bonneville Pacific Corporation and Utah Power and Light Company (UP&L) dated December 4, 1984 stated a nameplate capacity of 6,000 kilowatts (kW). The current nameplate capacity of 7.45 megawatts (MW) has not been previously approved by the Idaho Public Utilities Commission (IPUC). Recordholder: Kyle Moore Sponsor: To Be Determined PAC-E-20-10 / Rocky Mountain Power July 14, 2020 IPUC Data Request 6 IPUC Data Request 6 Please provide an example of how the Firm Market Price Index is calculated as described on page 4 of the proposed Power Purchase Agreement included in the Application. Response to IPUC Data Request 6 Please refer to Attachment IPUC 6 which provides an example of the calculation. Recordholder: Kyle Moore / Dan MacNeil Sponsor: To Be Determined PAC-E-20-10 / Rocky Mountain Power July 14, 2020 IPUC Data Request 7 IPUC Data Request 7 Please explain why the Firm Market Price is calculated differently than in prior PURPA contracts, including Case Nos. PAC-E-17-08 and PAC-E-17-14. Response to IPUC Data Request 7 The value of energy varies significantly over the course of the broad heavy load hour (HLH) and light load hour (LLH) periods of each day, in large part as a result of the increasing penetration of solar resources across the west, which tends to depress prices in daylight hours, most of which are in HLH periods. The highest prices in the day also tend to occur in HLH periods, either in the morning or in the evening when load is relatively high, but solar generation is low or zero. As a result the, hourly scalars in the Firm Market Price Index provide a more accurate representation of the avoided cost of energy based on the time of delivery relative to the broad HLH and LLH periods used previously, while retaining the same total value. Recordholder: Kyle Moore / Dan MacNeil Sponsor: To Be Determined