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HomeMy WebLinkAbout20220628PAC to Staff 1-3.pdfx ROCKY POI'YER MOt.lNTAIN Fi [e * lV** :I:? i';lit 2S PFtr 3 l$ 'i l1-l liaii,''1-'--" irj:-51-tv i iL; irlS tr.l,\thtl'510H AUVlAOilOFffiP 1407 W North Temple, Suite 330 Salt Lake City, Utah 84116 hxre 28,2422 JanNorffii Idaho Public Utilitles Comrnission 472W. Washington Boiss ID 83702-5918 ian.noriyuki@t uc. idatro. gov (C) RE:ID PAC-E.22.08 IPUC Set I (1-3) Plmse find enolosed Roclcy Momtain Power's Responses to IPUC ls Set Data Requests l-3. Also provided is Attrachment IPUC l. If you have any questiong pleaso feel freā‚¬ to call me at (80D22AA9$. Sinoerc$, -Jil-J. TedWe$on Manager, Regulation Enclosures PAC-E-22-08 / Rocky Mountain Power Jtne28,2022 IPUC Data Request I IPUC Data Request I Order No. 35262 conditionally approved the Amendment to extend the original 1985 contract between the Company and Amy Family Holdings. However, the Company has never filed an updated Amendment with the Commission. Please respond to the following. (a) Have the parties executed an updated Amendment to comply with OrderNo. 35262? (b) If yes, please provide a copy of the updated Amendment and explain why the Company has not submitted the updated Amendment to the Commission. If no, please explain why not. (c) Page 4 ofthe Application states "[d]uring the extension period PacifiCorp and the Seller agreed to updated pricing for energy sales." Please describe the form of the agreement and provide evidence to support the answer. (d) The order requires the parties to use bifurcated rates for payments during the extension period. Have the parties complied with this requirement during the extension period? Please provide evidence supporting the answer. Response to IPUC Data Request 1 (a) Yes, the Amendment to the power purchase agreement (PPA) between Amy Family Holdings, LLC and PacifiCorp, to comply with Order 35262, was fully executed on December 27, 2021. (b) Please refer to Attachment IPUC I which provides a copy of the Amendment to the PPA. A search of regulation filing records indicates that the executed amendment was not filed as intended with the Idaho Public Utilities Commission (IPUC) in January 2022.To correct this oversight, as well as providing as an attachment to this data request response, on June 14,2022, PacifiCorp also filed the Amendment in Case No. PAC-E-20-18. (c) The statement on page 4 of the Application that states "[d]uring the extension period PacifiCorp and the Seller agreed to updated pricing for energy sales" is in reference to the Amendment that was ordered by the IPUC in Order 35262. Please refer to Attachment IPUC l. (d) Yes, please refer to Attachment IPUC l. Recordholder:Irene Heng Craig EllerSponsor: PAC-E-22-08 / Rocky Mountain Power Jtne28,2022 IPUC Data Request 2 IPUC Data Request 2 The originally proposed Amendment in Case No. PAC-E-2O-18 states that Article I of the original 1985 contract is amended and restated to read as follows: "Unless terminated earlier pursuant to the terms of this Agreement, this Agreement shall expire upon the earlier of (i) the effective date of a new power purchase agreement between PacifiCorp and Seller pertaining to the Facility; or (ii) December 31,2022". Please respond to the following. (a) If the parties have executed an updated Amendment to comply with OrderNo. 35262, is the paragraph in italics included in the updated Amendment? (b) If the parties have not executed an updated Amendment to comply with Order No. 35262, but have entered some form of agreement after the order was issued, does the agreement include the paragraph in italics or the meaning of it? (c) Do both parties agree to the paragraph in italics? Please explain Response to IPUC Data Request 2 (a) Yes. Please refer to the Company's response to IPUC Data Request l, specifically Attachment IPUC l, page 2, section 2. (b) Not applicable. Please refer to the Company's response to IPUC Data Request I subpart (a). (c) Yes. The paragraph was agreed upon to provide for the event that a power purchase agreement (PPA) renewal could be reached and approved by the Idaho Public Utilities Commission (IPUC) prior to the expiration the extension agreement. Recordholder:Irene Heng Craig EllerSponsor: PAC-E-22-08 / Rocky Mountain Power June28,2022 IPUC Data Request 3 IPUC Data Request 3 The proposed renewal Power Purchase Agreement (PPA) states: (l) Scheduled Initial Delivery Date is January 1,2022; (2) allNet Output produced by the Facility prior to the Initial Delivery Date is Non{onforming Energy; and (3) the bifurcated rates for Conforming Energy contained in Exhibit K will be applied starting from January 1,2022. Please respond to the following. (a) Between January 1,2022, and Commission approval of the PPA, is the Facility operating (i) within the original 1985 extension period using the bifurcated rates determined in Order No. 35262, or (ii) during the lapsed contract period using the Non-Conforming Energy rates contained in Exhibit K of the PPA that apply to all Net Output produced prior to the Initial Delivery Date, or (iii) within the contract term using the Conforming Energy rates contained in Exhibit K? Please explain. (b) If it is (ii) or (iii), please explain why Table I in Exhibit K does not contain avoided cost rates for Year 2022. Response to IPUC Data Request 3 (a) Please refer to the Company's responses to subparts (i) through (iii) below: (i) Yes. (ii) No. Exhibit K of the proposed renewal power purchase agreement (PPA) is not in effect. Exhibit A of the Amendment to the existing PPA applies. Please refer to the Company's response to IPUC Data Request l, specifically Confidential Attachment IPUC l. (iii) No. Please refer to the Company's response to subpart (aXii) above (b) Not applicable as facility is operating within the original 1985 extension period using the bifurcated rates determined in Order 35262. Recordholder:Irene Heng Craig EllerSponsor: AMENDMENT to POWER PURCHASE AGREEMENT between Amy Family Holdings, LLC and PacifiCorp This AMENDMENT (the "Amendment"), dated December 15, 2021, amends that certain POWER PURCHASE AGREEMENT between PacifiCorp, an Oregon corporation ("PacifiCorp"), and Amy Family Holdings, LLC as successor to Jake Amy ("Seller" and together with PacifiCorp, the "Parties'o), dated January 3, 1985 (as amended, supplemented and modified from time to time, the "PPA"). Capitalized terms used but not defined in this Amendment shall have the meaning set forth in the PPA. RECITALS A. PacifiCorp and Seller entered into the PPA prior to PacifiCorp's separation of its energy supply and transmission functions as required by federal law and regulations. For this reason, the PPA includes provisions that address both energy sales and interconnection requirements. B. The PPA is scheduled to expire by its terms on December 31,2021, and Seller has expressed a desire to continue to make sales from Seller's facility to PacifiCorp consistent with the requirements of the federal Public Utility Regulatory Policies Act ("PURPA"), as implemented in the State of Idaho. C. PacifiCorp and Seller entered into that certain Amendment to the PPA dated November 18,2020, in order to extend the PPA through December 31,2022 ("November 2020 Amendment"), to allow Seller to continue to make sales from the Facility while interconnection upgrades are completed under Seller's new interconnection agreement and pending the effectiveness of Seller's replacement power purchase agreement. D. The November 2020 Amendment was submitted for approval to the Idaho Public Utilities Commission ("Commission"), and, in response to the request for approval, Commission Staffissued comments on November22,202l ("StaffComments"). In the StaffComments, Commission Staffrecommend Commission approval of an extension subject to the Parties making certain revisions to the November 2020 Amendment. E. The Parties enter into this Amendment for the purpose of making the changes suggested by Commission Staffin the StaffComments. AGREEMENT PacifiCorp and Seller agree as follows. I The November 2020 Amendment hereby is null, void and superseded in its entirety by this Amendment. 2. Article I of the PPA is amended and restated to read as follows: "Unless terminated earlier pursuant to the terms of this Agreement, this Agreement shall expire upon the earlier of (i) the effective date of a new power purchase agreement between PacifiCorp and Seller pertaining to the Facility; or (ii) December 3/,, 2022." All references in the PPA to the nameplate capacity of the Facility (as defined in the PPA) hereby are amended to reflect the installed nameplate capacity of 650 kilowatts (*kw"). Notwithstanding any provision in the PPA to the contrary, for the period beginning January l,z\22,through the end ofthe term of the PPA, PacifiCorp shall pay Seller as provided in Exhibit A to this Amendment forthe energy output ofthe Facility delivered to the Point of Delivery as adjusted for Losses. Notwithstanding any provision in the PPA to the contrary, PacifiCorp shall not be responsible to purchase the output of the Facility during periods that the Facility is curtailed due to construction and completion of the dishibution system upgrades called for in the final, new stand-alone interconnection agreement between Seller and Pacifi Corp's transmission function. Seller's contact information in Article 5 of the PPA is amended and replaced with the fol lowing information : 'oAmy Family Holdings, LLC c/oLorctta S. Amy 3244 S Laurelhurst Place Boise,ID 83705 Cell Phone: 208-949 -527 8" This Amendment shall be effective once signed and delivered by both PacifiCorp and Seller and approved by the Idaho Public Utilities Commission. All other terms and provisions of the PPA shall remain unchanged. Each party hereby ratifies and confirms that except as expressly amended hereby, all of the terms, conditions, covenants, representations, warranties and all other provisions of the PPA remain in full force and effect. This Amendment shall be governed by and construed in accordance with the laws of the State of Idaho (without reference to its choice of law doctrine). This Amendment may be executed in multiple counterparts, each of which when so executed and delivered shall be deemed to be an original and all of which taken together shall constitute but one and the same instrument. Delivery of an executed counterpart J. 4. 5 6 7 8 9 l0 of this Amendment by electronic transmission (in .pdf form) shall be equally as effective as delivery of a manually executed counterpart. [s i gnature p age fo I low sJ IN Wm{EtlS WHEREOF, thc puti66 bohw hsvo oascd this Affi to be omtod in lhcir rcryocti\ren#rtcf- ncmCorp By:Rona I d Schei rer ffili$,%Hff Itue: Iftlo: Anyfmily Eothg1 IJ.C By:,Mg/"rhd EXHIBIT A EnerKv Rate Energy Purchase Price: Energy Annual Rate * Monthly Peak Multiplier Table 1: Energy Annual Rates Year Energy Annual Rate for hourly generation of 600 kWhs or less ($/MWh) Energy Annual Rate for hourly generation of more than 600 kWhs ($/lvrwh) 2022 $51.s8 23.90 Table 2: Monthly On-Peak/Off-Peak Multipliers Month On-Peak Hours Off-Peak Hours Januarv 103%94o/o February 105%97% March 95%80% April 95%76% May 92%630/o June 94o/o 65o/o July t2t%92% August l2lo/o lO60/o Seotember l09o/o 99% October tt5%105% November ll0Yo 96Yo December 129%l20o/o Where: "Off-Peak Hours" means all hours that are not On-Peak Hours. "On-Peak Hours" means all hours ending 07:00:00 through 22:00:00 MPT, Monday through Saturday, excluding NERC designated holidays.