20150717AVU to Clearwater 1-7.pdf

Avista Corp.
1411 East Mission P.O. Box 3727
Spokane. Washington 99220{500
Telephone [phone]
TollFree 8OO-727-917O
July 16,2015
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Z{lli JUL li AH l0: I I
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Richardson & O'Leary, PLLC
Mr. Peter Richardson
515 N.27tr Steet
Boise,ID 83702
Re: Production Request of Clearwater Paper Corporation in Case Nos. AVU-E-15-05 and
AVU,G-15-01
Dear Mr. Richardson,
Enclosed are an original of Avista's responses to Clearwater Paper Corporation's production
requests in the above referenced docket. Included in the mailing are Avista's responses to
production requests 001 - 007. The electronic versions of the responses were emailed on
07lt6lr5
If there are any questions regarding the enclosed information, please contact me at (509) 495-
4584 or via e-mail at [e-mail]
Regulatory Analyst
Enclosures
CC (Email): all parties electronic
W
AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION
ruRISDICTION: IDAHO DATE PREPARED: 0710812015
CASE NO.: AW-E-15-05 / AVU-G-15-01 WITNESS: Tara Knox
REQUESTER: IPUC RESPONDER: Paul KimballTYPE: Production Request DEPARTMENT: State & Federal Regulation
REQUEST NO.: Clearwater-0l TELEPHONE: [phone]
REQUEST:
Please provide a working electronic copy of ExhibitNo. 13, Schedule 3 (the Electric
Cost-of-Service Study) with the formulas intact that is attached to Tara Knox's testimony.
RESPONSE:
Provided electronically is ExhibitNo. 13, Schedule 3 as Clearwater_PR_Ol Attachment A. This is
the same information that was provided on the CD's delivered with the original case filing.
Sumcost
Scenario: AVU-E-15-05 Company Case
Load Factor Peak Credit
Transmission By Demand 12 CP(b) (c) (d) (e)
Description
Plant ln SeMce1 Production Plant2 Transmission Plant3 Distribution Plant4 lntangible Plant5 General Plant6 Total Plant ln Service
Accum Depreciation7 Production Plant8 Transmission Plant9 Distribution Plant10 lntangible Plant11 General Plant12 Total Accumulated Depreciation
13 Net Plant
14 Accumulated Defened FIT
15 Miscellaneous Rate Base16 Total Rate Base
Revenue From Retail Rates
Other Operating Revenues
Total Revenues
Operating Expenses
Production Expenses
Transmission Expenses
Distribution Expenses
Customer Accounting Expenses
Customer lnformation Expenses
Sales Expenses
Admin & General Expenses
Total O&M Expenses
AVISTA UTILITIES
Cost of Service Basic Summary
For the Twelve Months Ended December 31, 2014
(0 (s)
ResidentialSystem ServiceTotal Sch 1
462,520,000 185,60'1,024
228,650,000 101,336,136
518,091,000 268,384,769
81,039,000 39,578,104
(h)
General
Service
Sch 1 1-12
56,795,187
29,553,862
74,768,105
10,794,232
(i)
Large Gen
Service
Sch21-22
104,760,947
51,177,090
I 16,239,045
15,483,668
(k)
Extra Large
Service CP
Sch 25P
61,798,348
23,591,167
2,904,536
7,324,154
64,320,521
(12,178,639)
ldaho Jurisdiction
Electic Utility
(i)
Extra Large
Gen Service
Sch 25
44,014,350
1 9,435,547
13,824,308
5,618,743
06/01/15
(l) (m)
Pumping Street &
Service Area Lights
Sch 3'l-32 Sch 4149
7,964,545 1,585,598
3,154,266 401,933
17,395,138 24,575,100
1,478,734 761,365
20,642,129
(3,778,1271
1 5,902,51 5
(3,356,534)
,504
(1e5,006,000) (78,252,4291 (23,945,780) (44,168,929) (18,557,170) (26,055,195) (3,357,983) (668,514)
(70,554,000) (31,269,056) (9,119,367) (15,791,596) (5,997,182) (7,27s,472) (973,305) (124,023)
(184,500,000) (95,e38,435) (26,215,650) (39,999,659) (4,181,922) (714,960) (6,040,197) (11,409,177)
(17,698,000) (9,350,629) (2,438,313) (3,067,175) (1,024,217) (1,276,958) (331,155) (209,552)
(38,026,000) (21,2s0,108) (5,378,880) (6,073,687) (1,846,597) (2,173,39e) (72e,385) (533,943)
(505,784,000) (236,100,657) (67,097,e91) (10e,101,046) (31,607,088) (37,4ee,983) (11,432,024) (12,545,210)
893,032,000 419,555,631
(165,948,000) (17,937,157\
100,829,000 40,460,879
10,691,000 4,738,179
1'1,953,000 6,014,349
4,427,000 3,268,783606,000 494,40800
23,830,000 13,017,034
12,38'r,307 22,837,805
1,381,851 2,392,890
1,748,809 2,646,810704,988 219,81798,625 5,53100
3,352,708 3.995,545
120,163,276
(22,214,442)
195,892,376
(35,994,813)
56,555,551
(10,488,286)
17
18
19
22,14 9.980,398 204 704 1 938
244,977,000 104,939,000 36,296,000 54,364,000 17,152,500 23,458,500 5,277,000 3,490,000
32,379,000 13,468,504 4,056,599 7,314,573 2,882,234 3,890,874 572,708 193,508
277,356,000 118,407,504 40,352,599 61,678,573 20,034,734 27,349,374 5,849,708 3,683,508
20
21
22
23
24
25
26
27
9,595,094 13,471,992 t,736,265 345,659
908,749 1,103,053 147,484 18,793371,538 78,334 399,468 693,69377,293 82,842 57,483 15,79443 5 6,684 7040000
1,211,819 1,436,177 467,570 349,147
28 Taxes Other Than lncome Taxes29 Other lncome Related ltems
Depreciation Expense30 Production Plant Depreciation31 TransmissionPlantDepreciation32 DistributionPlantDepreciation33 General Plant Depreciation34 AmortizationExpense35 Total Depreciation Expense
36 lncome Tax37 Total Operating Expenses
Net lncome
Rate of Retum
Retum Ratio
lnterest Expense
Revenue Related Operating Expenses
152,336,000
1 1,233,000
1,223,000
9,929,000
4,135,000
'15,729,000
12,432,000
3,143,000
67,993,632 19,668,289 32,098,398
4,964,057 1,460,903 2,532,003701,548 174,974 188,265
3,984,331 1,219,233 2,248,922
1,832,604 534,464 925,507
8,304,311 2,406,094 3,409,076
6,960,465 1,758,540 1,985,696
1,273,999 388,011 710.797
12,164,536 16,172,402
830,736 1,032,1M54,451 61,797
944,864 1,326,63635'r,480 426,632374,078 50,083603,716 710,559
294.220 409.179
2,814,954 1,423,790
238,350 174,80823,667 18,298
170,976 34,03857,043 7,269
533,362 651,995
238,401 174,56454,311 12,483
45,368,000
1 8,236,000
228,396,000
48,960,000
6.53%
1.00
20,004,000
1,435,000
22,355,709
5,025,415
'101,040,362
17,367,142
4.94Yo
0.76
9,387,546
614,700
6,306,342 9,279,999
3,882,988 5,091,106
31,493,495 49,189,770
8,859,104 12,488,803
8.780/o 7.570/o1.34 1.16
2,693,509 4,404,899
212,611 318,448
2,923,089 1,054,153 880,349
2,211,545 484,684 323,892
22,400,977 4,615,808 2,821,137
2,568,358
1,216,371
16,834,451
38
39
40
41
42
3,200,282 4,948,397 1,233,901 862,371
6.730/o 9.20Yo 7.10Yo 6.61%1.03 1.41 1.09 1.01
1,268,870 1,436,799 464,296 348,080100,474 137,413 30,911 20.443
Exhibit No. 13
Case No. AVU-E-15-05
T. Knox, Avista
Schedule 3, p. 1 of4CleaMater_PR_o1 Attachment A.xlsm
Sumcost
Scenario: AVU-E-15-05 Company Case
Load Factor Peak Credit
Transmission By Demand 12 CP(b) (c)
Description
AVISTA UTILITIES
Revenue to Cost by Functional Component Summary
For the Twelve Months Ended December 31, 2014
ldaho Jurisdiction
Eleclric Utility 06/01/15
(d) (e) (0
System
Total
(s) 0) (D 0 ft) (r) (m)
Residential General Large Gen Extra Large Exha Large Pumping Street &Service Service Sewice Gen SeMce Selice CP Service Area Lights
Sch 1 &h 11-12 Sdt21-22 Sch 25 Sch 25P Sch 31-32 Sch 4149
Functional Cost Components at Cunent Reium by Schedule1 Production2 Transmission3 Distribution4 Common5 Total Cunent Rate Revenue
119,247,384 44,960,305 15,595,938 27,698,214 1'1,327,318 17,185,169 2,073,970 406,470
24,438,553 9,153,271 3,769,059 5,926,188 2,093,280 3,103,158 350,770 42,826
58,402,753 28,3't3,907 10,308,388 13,393,271 1,583,557 393,699 1,995,088 2,414,843
42,888,310 22,511,517 6,622,614 7,346,327 2,148,346 2,776,474 857,172 625,861
244,977,000 104,939,000 36,296,000 54,364,000 17,,l52,500 23,458,500 5,277,000 3,490,000
$0.03881 $0.03918 $0.04296 $0.03964 $0.03583 $0.03618 $0,03516 $0.02991
$0.00795 $0.00798 $0.01038 $0.00848 $0.00662 $0.00653 $0.00595 $0.00315
$0.01901 $0.02468 $0.02840 $0.01917 $0.00501 $0.00083 $0.03382 $0.17772
$0.01396 $0.01962 $0.01824 $0.01051 $0.00679 $0.00584 $0.01453 $0.04606
$0.07972 $0.09146 $0.09999 $0,07780 $0.05425 $0.04938 $0.08946 $0.25684
6
7
8I
10
11
12
13
14
15
16
17
18
19
20
21
Expressed as $/kWh
Production
Transmission
Distribution
Common
Total Current Melded Rates
Functional Cost Components at Uniform Current Return
Production
Transmission
Distribution
Common
Total Uniform Cunent Cost
Expressed as $/kWh
Production
Transmission
Distribution
Common
Total Cunent Uniform Melded Rates
Revenue to Cost Ratio at Cunent Rates
$0.03848 $0.04136
$0.00787 $0.00934
$0.01931 $0.02789$0.01406 $0.02088
118,255,620 47,453,871 14,521,210 26,784,941 11,253,M7 15,800,402 2,036,349 405,401
24,185,192 10,718,714 3,126,026 5,413,198 2,055,773 2,495,329 333,63S 42,514
59,345,208 31,998,921 8,841,153 12,325,248 1,557,206 312,341 1,909,088 2,401,251
43,190,979 23,962,769 6,091,594 7,040,927 2,130,8'10 2,503,131 838,031 623,7'18
244,977,000 114,134,274 32,579,983 51,564,314 16,997,236 21,111,202 5,117,107 3,472,884
$0.04000 $0.03833 $0.03559 $0.03326 $0.03452 $0.02984
$0.00861 $0.00775 $0.00650 $0.00525 $0.00566 $0.003'13
$0.02436 $0.01764 $0.00493 $0.00066 $0.03237 $0.17672
$0.01678 $0.01008 $0.00674 $0.00s27 $0.01421 $0.04590
$0.07972
1.00
$0.09947
0.92
$0.08975
1.11
$0.07379
1.05
$0.05376 $0.04444 $0.08675 $0.25558
'1.001.1 1
Functional Cost Components at Proposed Return by Schedule
27
28
29
30
3'l
32
33
34
35
36
37
38
39
40
41
42
43
M
Production
Transmission
Distribution
Common
Total Proposed Rate Revenue
Expressed as $/kWh
Production
Transmission
Distribution
Common
Total Proposed Melded Rates
22
23
24
25
26
122,451,134 49,137,451 15,036,277 27,735,343 11,652,732 16,361,002 2,108,552 419,777
26,570,274 11,775,764 3,434,234 5,947,100 2,258,524 2,741,424 366,522 46,705
64,171,429 34,487,154 9,544,395 13,436,803 1,699,649 345,281 2,074,158 2,s83,990
45,014,163 24,942,631 6,346,094 7,358,754 2,225,594 2,613,793 874,769 652,528
258,207,000 120,343,000 34,361,000 54,478,000 17,836,500 22,061,500 5,424,000 3,703,000
$0.03985
$0.00865
$0.02088
$0.01465
$0.04283
$0.01026
$0.03006
$0.02174
$0.04142
$0.00946
$0 02629
$0.01748
$0.03969
$0.00851
$0.01923
$0.010s3
$0.03686
$0.00714
$0.00s38
$0.00704
$0.03444 $0.03575 $0.03089
$0.00577 $0.00621 $0.00344
$0.00073 $0.03516 $0.19017
$0.00550 $0.01483 $0.04802
$0.08402 $0.10488 $0 09466 $0.07796 $0.05641 $0.04644 $0.09195 $0.27252
Func{ional Cost Components at Uniform Requested Retum
Production
Transmission
Distribution
Common
Total Uniform Cost
Expressed as $/kWh
Produclion
Transmission
Distribution
Common
Total Uniform Melded Rates
Revenue to Cost RaUo at Proposed Rates
Cunent Revenue to Proposed Cost Ratio
Target Revenue lncrease
0,95 0.87 1.06
't3,230,000 15,404,000 (1,935,000)
122,451,054 49,137,423 15,036,389 27,735,208 11,652,693 16,360,963 2,108,594 419,783
26,570,232 11,775,747 3,434,301 5,947,024 2,258,504 2,741,407 366,541 46,706
64,171,541 34,487,113 9,544,547 13,436,645 '1,699,635 345,279 2,074,255 2,584,067
45,014,174 24,942,615 6,346,149 7,358,709 2,225,585 2,613,785 874,790 652,541
258,207,000 120,342,899 34,361,385 54,477,586 17,836,417 22,06'1,435 5,424,180 3,703,098
$0.03985 $0.04283 $0.04142 $0.03969 $0.03685 $0.03444 $0.03575 $0.03089
$0.00865 $0.01026 $0.00946 $0.00851 $0.00714 $0.00577 $0.00621 $0.00344
$0.02088 $0.03006 $0.02629 $0.01923 $0.00538 $0.00073 $0.03517 $0.19017
$0.01465 $0.02174 $0.01748 $0.01053 $0.00704 $0.00550 $0.01483 $0.04802
1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00
1.00
114,000
0.96 1.06
684,000 (1,397,000)
0.97 0,94
,47,000 213,000
Exhibit No. 13
Case No. AVU-E-15-05
T. Knox, Avista
Schedule 3, p.2 ol 4Clearwater PR 01 AftachmentA.xlsm
Sumcrst
Scenario: AVU-E-15-05 Company Case
Load Factor Peak Credit
Transmission By Demand 12 CP(b) (c) (d) (e) (f)
SYstemDescription Total
Cost Classifications at Current Return by Schedule
AVISTA UTILITIES
Revenue to Cost By Classifcation Summary
For the Twelve Months Ended December 31, 2014
83,297,726
133,789,480
27.889,754
(s)
Residential
Service
Sch 1
29,272,301
55,814,981
'19,851,718
(h) (i)
General LargeGenService SeMce
Sch 11-12 Sch2l-22
10,529,372 19,443,695
20,457,257 34,415,079
5,309,371 50s,227
ldaho Jurisdiction
Electric Utility
t)
Extra Large
Gen Service
Sch 25
8,404,276
8,713,778
34,446
06/01/1 5
(t) (m)
Pumping Sheet&
Service Area Lights
Sch 31-32 Sch 4'l-49
1,620,539 367,365
3,243,502 1,350,962
412.958 1.771.673
(k)
Extra Large
Service CP
Sch 25P
13,660,177
9,793,921
4.401
I Energy2 Demand3 Customer4 Total Cunent Rate Revenue
Expressed as Unit Cost5 Energy6 Demand7 Customer
244,977,000 104,939,000
$0.027'11 $0.02s51$9.92 $7.01$18.42 $16.07
$/k\tvh
$/kWmo
$/CusVmo
36,296,000 54,364,000 17,152,500 23,458,500 5,277,000 3,490,000
$0.02901 $0.02782 $0.02658 $0.02876 90.02747 $0.02704$12.47 $18.18 $13.64 $10.71 $8.23 $32.29$21.55 $36.57 $318.95 $366.78 $24.73 $1,007.20
8I
10
11
12
13
14
Cost Classifications at Uniform Current Return
Energy
Demand
Customer
Total Uniform Cunent Cost
Expressed as Unit Cost
Energy
Demand
Customer
$/rwh
$/kWmo
$/CusVmo
82,352,327 30,937,377 9,787,437 18,787 ,576 8,348,148 12,534,968 1,590,445 366,376
133,928,115 62,056,769 17,923,752 32,294,490 8,614,767 8,572,069 3,123,364 1,342,905
28,696,558 21,140,128 4,868,794 482,248 34,321 4,165 403,298 1,763,603
244,977,000 114,134,274 32,579,983 51,564,314 16,997,236 21,111,202 5,117,107 3,472,884
$0.02680 $0.02696 $0.02696 $0.02689 $0.02640 $0.02639 $0.02696 $0.02696$9.93 $7.79 $10.93 $17.06 $13.48 $9.37 $7.93 $32.10$18.96 $17.12 $19.76 $34.91 $317.78 $347.11 $24.1s $1,002.62
1.11 1.0315 Revenue to Cost Ratio at Current Rates 1.001.011.050.921.00
Cost Classifications at Proposed Return by Schedule
16
17
18
19
20
21
22
23
24
25
ZO
27
28
29
Energy
Demand
Customer
Total Proposed Rate Revenue
Expressed as Unit CostEnergy $/kVVt'Demand $/kWmoCustomer $/CusVmo
$/kwh
$/kWmo
$/CusUmo
$0.02777 $0.02794 $0.02794 $0.02786 $0.02736$10.60 $8.32 $11.67 $18.23 $14.32$19.77 $17.82 $20.62 $36.64 $324.05
$0.02735 $0.02794 $0.02794$9.91 $8.51 $34.69$s55.07 $25.26 $1,064.2S
8,651,501 12,990,461 1,648,238 379,689
9,149,919 9,066,713 3,354,092 1,451,273
7
$0.02736 $0.02735 $0.02794 $0.02794$14.32 $9.91 $8.51 $34.69
$324.05 $355.07 $25.27 $1,064.32
1.00
85,344,885 32,061,590 10,143,013 19,470,372 8,65'1,530 12,990,492 1,648,204 379,683
142,932,773 66,271,366 19,138,038 34,501,466 9,149,972 9,066,747 3,353,957 1,451,227
29,929,342 22,010,044 5,079,949 506,162 34,998 4,261 421,839 1,872,090
258,207,000 120,343,000 34,361,000 54,478,000 17,836,500 22,061,500 5,424,000 3,703,000
Cost Classifications at Uniform Requested Re{um
Energy
Demand
Customer
Total Uniform Cost
Expressed as Unit Cost
Energy
Demand
Customer
Reyenue to Cost Ratio at Proposed Rates
Cunent Revenue to Proposed Cost Ratlo
8s,344,825 32,061,572
142,932,748 66,271,297
$0,02777 $0.02794$10.60 $8.32$19.77 $17.82
0.87
10,143,090 19,470,275
19,138,301 34,501,153
$0.02794 $0.02786$11.67 $18.23$20.62 $36.64
136998994
1.00
0.94
1.00
0.971,06
1.00
0.96
1.00
't.00
1.00
{.06
1.001.00
0,9531
Annual Consumption (mWh's)
Estimated Annual Billing Demand (kW)
Monthly Average Number of Customers
32
33
34
3,072,989
'13,489,000
126,154
1,147,395 362,993 698,804
7,966,469 1,640,1 10 1,892,799102,923 20,531 1,151
316,177
639,000
I
475,047
914,862
1
58,986 13,588393,923 41,8371,391 147
Exhibit No. 13
Case No. AVU-E-15-05
T. Knox, Avista
Schedule 3, p.3 of4Clearwater PR 01 Attachment A.xlsm
Sumcost AVISTA UTILITIES
Scenario:AVU-E-1545CompanyCase CustomerCostAnalysis
Load Factor Peak Credit For the Twelve Months Ended December 31, 20 14
Transmission By Demand'12 CP(b) (c) (d) (e) (f) (s) (h) (i) 0) (k) (l) (m)
Residential General Large Gen Exira Large Extra Large Pumping Street &System Service Service Service Gen Service Service CP Service Area LightsDescription Total Sch 'l Sch 11-12 Sch2l-22 Sch 25 Sch 25P Sch 31-32 Sch 4149
Meter, Services, Meter Reading & Billing Gosts by Schedule at Requested Rate of Return
ldaho Jurisdiction
Electric Utility
1
2
3
4
5
6
7
I
o
10
11
Rate Base
Services
Services Accum. Depr.
Total Services
Meters
Meters Accum. Depr.
Total Meters
Total Rate Base
Retum on Rate Base @ 7.62%
Tax Benefit of lnterest
Revenue Conversion Factor
Rate Base Revenue Requirement
Expenses12 Services Depr Exp13 Meters Depr Exp14 Services Operations Exp15 Meters Operating Exp16 Meten Maintenance Exp17 MeterReading18 Billing
19 Total Expenses20 Revenue Conversion Fac{or21 Expense Revenue Requirement
Total Meter, Service, Meter Reading, andtt Billing cost
23 Total Customer Bills
24 Average Unit Cost per Month
16,430,000 10,559,621 4,339,278 963,887
44,261,000 33,298,776 8,875,311 1,212,289
50,011,000 40,861,193 8,151,038 446,368 0 0 552,401 0
(22,180,000) (18,122,038) (3,615,005) (197,965) 0 0 (244,e91) 0
27,83'1,000 22,735,154 4,536,033 248,402 0 0 307,410 0
21,523,000 13,832,911 5,684,375 1,262,674 24,386 4,289 714,366 0
(5,0e3,000) (3,273,290) (1,345,0e7) (2e8,787) (5,770) (1,015) (169,041) 0
06/01/15
3,274 545,325 0
3,274 852,735 0
11,972,052
1,513,846
$7.91
1,235,079
$7.36
676,299
(82,939)
0.61459
965,453
246,375
39.49
s2,377
(1 1,32e)
0.61459
131,872
12,040
96,2 13
2,713
25,285
176
2,812
27,945
167,184
0.994222
168,156
300,028
13,816
$21.72
0
327
0
86
1
1,622
331
2,366
0.994222
2,380
2,736
12
$228.03
4,261
$355.07
417,326
$34,777.14
$3s,132.21
3,372,691 2,537,369
(413,613) (311,17210.61459 0.61459
4,814,696 3,622,229
18,615
18,6'15
't,418
(174)
0.61459
2,025
0
1,858
0
488
3
14,602
2,977
19,929
0.994222
20,045
22,070
108
$204.3s
34,998
$324.05
2,024,135
$18,741.99
$19,066.04
249 64,978(31) (7,e6e)
0.61459 0.61459356 92,760
0
0
0.61459
0
1,349,000 1j02,192 219,867
1,640,000 r,054,034 433,135304,000 248,381 49,547431,000 277,005 113,8303,000 1,928 792
324,000 251,412 50,152
3,065,000 2,498,095 498,323
7,116,000 5,433,049 1,365,647
0.s94222 0.994222 0.594222
7,157,355 5,464,624 1,373,584
14,901
54,433
3,358
14,305
't00
3,399
33,772
0
0
0
0
0
3,558
9,086,853 2,339,037
124,267 3,558
0.994222 0.994222124,989 3,578
217,749 3,578
16,697 1,759
$13.04 $2.03
421,850 1,872,136
$25.27 $1,064.32
2,197,623 1,303,910
$131.62 9741.28
$1s6.88 $1,805.60
Distribution Fixed Gosts per Customer
Total Customer Related Cost
Customer Related Unit Cost per Month
Total Distribution Demand Related Cost
Dist Demand Related Unit Cost per Month
Total Distribution Unit Cost per Month
29,929,427 22,010,030 5,079,994
$19.77 $17.82 $20.62
55J01,272 29,117,754 8,302,771$39.04 $23.58 $33.70
$58.81 $41.40 $54.32
25
26
27
28
29
506,159
$36.64
15,737,755
$1,139.10
$1,175.73
Exhibit No. 13
Case No. AVU-E-15-05
T. Knox, Avista
Schedule 3, p.4 ol 4Clearwater PR 01 Attachment A.xlsm
AVISTA CORPORATION
RESPONSE TO REQUEST f,'OR INF',ORMATION
ruRISDICTION: IDAHO
CASE NO.: AW-E-15-05 / AVU-G-15-01
REQUESTER: IPUCTYPE: Production Request
REQUESTNO.: Clearwater-02
DATE PREPARED:
WITNESS:
RESPONDER:
DEPARTMENT:
TELEPHONE:
07108t2015
N/A
Paul Kimball
State & Federal Regulation
(s09) 4es-4s84
REQUEST:
Please provide all discovery responses along with the workpapers and attachments provided to all
other parties.
RESPONSE:
Avista has not responded to any production requests at this time, but Avista will provide copies of
production requests, along with corresponding production responses, from all parties to this
proceeding as they are completed.
AVISTA CORPORATION
RESPONSE TO REQITEST X'OR INFORMATION
ruRISDICTION: IDAHO
CASE NO.: AW-E-15-05/AVU-G-15-01
REQUESTER: ClearwaterTYPE: Production Request
REQUESTNO.: Clearwater - 03
DATE PREPARED: 0712012015
WTNESS:
RESPONDER:
DEPARTMENT:
TELEPHONE:
Elizabeth Andrews
Paul Kimball
State & Federal Regulation
(soe) 4es-4s84
REQUEST:
Please provide copies of all material provided to the PUC Staffregarding the Company's application
that were provided other than through formal discovery.
RESPONSE:
No additional material has been provided to PUC Staff other than through the formal discovery
process.
AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION
ruRISDICTION: IDAHO DATE PREPARED: 0710212015
CASE NO.: AVU-E-15-05 / AVU-G-15-01 WITNESS: Patrick Ehrbar
REQUESTER: IPUC RESPONDER: Patrick Ehrbar
TYPE: Production Request DEPARTMENT: State & Federal Regulation
REQUEST NO.: Clearwater-04 TELEPHONE: [phone]
REQUEST:
On page l0 of Patrick Ehrbar's testimony he states "The spread of the proposed increase generally
results in the rates of return for the various electric service schedules moving approximately
one-quarter closer to the overall rate of return (unity)." Please provide an explanation along with
any workpapers and spreadsheets about how the one-quarter moving to unity was calculated.
RESPONSE:
The calculation of one-quarter movement is based on the difference between 1.00 and the
calculated present relative rate of return from the cost of service study, multiplied by 25%.
Forexample,thepresentrateofreturnforSchedule 1is 0.76as shownonpage2of ExhibitNo. 15,
Schedule 3. The difference between 0.76 and 1.00 is 0.24. To calculate the one-quarter
movement, you can multiply 0.24by 25o/o,with the result being 0.06. Adding 0.06 to the present
rate of retum0.76 is the proposed relative rate of return of 0.82.
Please see Clearwater PR 04 Attachment A for the calculation by rate schedule.
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AYISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATTON
JURISDICTION: IDAHO DATE PREPARED: 0710812015
CASE NO.: AVU-E-15-05 / AW-G-15-01 WITNESS: Patrick Ehrbar
REQUESTER: IPUC RESPONDER: Paul KimballTYPE: Production Request DEPARTMENT: State & Federal Regulation
REQUESTNO.: Clearwater-05 TELEPHONE: [phone]
REQUEST:
Please provide a working electronic copy of Exhibit No. 15, Schedule 3, pages I through 4 with the
formulas intact that is attached to Patrick Ehrbar's testimony.
RESPONSE:
Provided electronically is Exhibit No. 15, Schedule 3 as Clearwater_PR_0s Attachment A (pages
l -3) and B (page 4). This is the same information that was provided on the CD's delivered with the
original case filing.
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AVISTA UTILITIES
IDAHO ELECTRIC, CASE NO. AVU.E.15{5
PRESENT & PROPOSED RATES OF RETURN BY RATE SCHEDULE
12 TIONTHS ENDED DECEilTBER 31,2014
Line
No.
Type of
Service
(a)
1 Residential
2 General Service
3 Large General Service
4 Extra Large General Svc.
5 Clearwater
6 Pumping Service
7 Street & Area Lights
8 Total
Prcsent Rates
Present Present
Rate of RelativeRetum ROR(c) (d)
4.94o/o 0.76
8.78o/o l.U
7 .57o/o 1 .16
6.730/o 1.03
9.20o/o 1A1
7 .10o/o 1.09
6.61% 1.01
6.530lo 1.00
Prooosed Rates
Proposed Proposed
Rate of RelativeRetum ROR
6.220/o 0.82
9.60% 1.26
8.53% 1.12
7.79o/o 1.02
9.95% 1.31
8.1'lo/o 1.06
7.690/o 1.01
7.620/o 1.00
Sch.
Number
(b)
1
11,12
21,22
25
25P
31,32
4149
Base
Tariff
Proposed
lncrease
(e)
7.00/o
3.7o/o
4.70/o
4.8o/o
2.80/o
5.40/o
6.5%
5.4o/o
(s)(0
Exhibit No. 15
Case No. AVU-E-15-05
P. Ehrbar, Avista
Schedule 3, p.2 ot 4Cleanrvater_PR_05 Attachment A.xlsm
AVISTA UTILITIES
]DAHO ELECTRIC, CASE NO. AVU.E.I5.O5
PRESENT AND PROPOSED RATE COMPONENTS BY SCHEDULE
Effective January 1, 2016
Residential Service - Schedule 1
Basic Charge
Energy Charge:
First 600 kWhs
All over 600 kWhs
General Services - Schedule 1l
Basic Charge
Energy Charge:
First 3,650 kWhs
All over 3,650 kWhs
Demand Charge:
20 kW or less
Over 20 kW
$s.25
$0.00128 $0.08274
$0.00128 $0.09224
$10.00
$0.00432 $0.10066
$0.00432 $0.07610
no charge
$5.2slkw
$0.00370 $0.06667
$0.00370 $0.05743
$350.00
$4.75/kW
$0.2o/kw
$0.00303 $0.05515
$0.00303 $0.04717
$12,500
$4.50/kva
$0.2olkw
$683,420
$0.00292 $0.04546
$12,500
$4.50/kva
$2.00/kva
$0.2o/kw
$617,940
$8.00
$0.00401 $0.09700
$0.00401 $0.08328
General ProposedRate Billinglnc/(Decr) Rate(e) (0
$3.25 $8.50
$0.00276 $0.08550
$0.00308 $0.09532
$3.00 $13.00
$0.00203 $0.r0269
$0.00000 $0.07610
no charge
$o.2slkw $5.50/kw
$0.00176 $0.06843$0.00151 $0.05894
$2s.00 $375.00
$0.75/kw $5.50/kw
$0.2o/kw
$0.00124 $0.0s639
$0.00105 $0.04822
$1,250 $13,750
$1.00/kva $5.50/kva
$0.20/kw
g7l I,110
$0.00003 $0.04s49
$l,250 $13,750
$1.00/kva $5.50/kva
$2.00/kva
$0.2olkw
$633,270
$2.00 $10.00
$0.00460 $0.r0160
$0.00392 $0.08720
Proposed
Base Tariff
Rate
(s)
$8.50
$0.08422
$0.09404
$13.00
$0.09837
$0.07178
no charge
$5.50/kw
$0.06473
$0.05524
$375.00
$5.50/kw
$0.2o/kw
$0.0s336
$0.04519
$13,750
$5.50/kva
$0.2o/kw
$0.04257
$13,750
$5.50/kva
$2.00/kva
$0.2olkw
$10.00
$0.09759
$0.08319
Exhibit No. 15
Case No. AVU-E-15-05
P. Ehrbar, Avista
Schedule 3, Page 3 of4
Base Tariff Present Present
Sch. Rate OtherAdj.(1) Billing Rate(a) (b) (c) (d)
Larqe General Service - Schedule 21
Energy Charge:
First 250,000 kWhs
All over ! (2) lncludes all preser
Demand Charge:
50 kW or less
Over 50 kW
Primary Voltage Discount
$5.25
$0.08146
$0.09096
$10.00
$0.09634
$0.07178
no charge
$5.25lkW
$0.06297
$0.05373
$350.00
$4.75lkw
$0.2o/kw
$0.05212
$0.04414
$12,s00
$4.50/kva
$0.2o/kw
Present:
$0.04254
$12,500
$4.50/kva
$2.00/kva
$0.2olkw
Present:
$8.00
$0.09299
$0.07927
Extra Larqe General Service - Schedule 25
Energy Charge:
Flrst 500,000 kWhs
All over 500,000 kWhs
Demand Charge:
3,000 kva or less
Over 3,000 kva
Primary Volt. Discount
Annual Minimum
Clearwater - Schedule 25P
Energy Charge:
all kWhs
Demand Charge:
3,000 kva or less
3,000 - 55,000 kva
Over 55,000 kva
Primary Volt. Discount
Annual Minimum
Pumpinq Service - Schedule 31
Basic Charge
Energy Charge:
First 165 kWkwh
All additional kWhs
(l) lncludes all present rate adjustments: Schedule 59 - Residential & Farm Energy Rate Adjustment, Schedule 66 -
Temporary Power Cost Adjustment, Schedule 9'l - Energy Efficiency Rider Adjustment, and Schedule 97 - Earnings
Test Rebate.
AVISTA UTILITIES
IDAHO ELECTRIC, CASE NO. AVU.E.15.O5
PRESENT AND PROPOSED RATE COMPONENTS BY SCHEDULE
Effective January 1, 2017 General Proposed Proposed
Base Tariff Present Present Rate Billing Base Tariff
Sch. Rate OtherAdj.(1) Billino Rate lnc/(Decr) Rate Rate(a) (b) (c) (d) (e) (f) (s)
Residential Service - Schedule 1
Basic Charge $8.50 $8.50 $0.00 $8.50 $8.50
Energy Charge:
First 600 kWhs $0.08422 $0.00128 $0.08550 $0.00630 $0.09180 $0.09052
All over 600 kWhs $0.09404 $0.00128 $0.09532 $0.00704 $0.{0236 $0.10108
General Services - Schedule ll
Basic Charge $13.00 $13.00 $3.00 $16.00 $16.00
Energy Charge:
First 3,650 kWhs $0.09837 $0.00432 $0.10269 $0.00199 $0.10468 $0.10036
All over 3,650 kWhs $0.07178 $0.00432 $0.07610 $0.00000 $0.07610 $0.07178
Demand Charge:
20 kW or less no charge no charge no charge no charge
Over20 kW $5.50/kW $5.50/kW $0.50/kW $6.00/kW $6.00/kW
Larqe General Service - Schedule 2l
Energy Charge:
First 250,000 kWhs $0.06473 $0.00370 $0.06843 $0.00239 $0.07082 $0.06712
All over I (2) lncludes all preser $0.05524 $0.00370 $0.05894 $0.00204 $0.06098 $0.05728
Demand Charge:
50 kW or less $375.00 $375.00 $25.00 $400.00 $400.00
Over 50 kW $5.50/kW $5.50/kW $0.50/kW $6.00/kW $6.00/kW
Primary Voltage Discount $0.20/kW $0.20lkw $0.20/kW $0.20/kW
Extra Laroe General Service - Schedule 25
Energy Charge:
First 500,000 kWhs $0.05336 $0.00303 $0.05639 $0.00197 $0.05836 $0.05533
All over 500,000 kWhs $0.04519 $0.00303 $0.04822 $0.00167 $0.04989 $0.04686
Demand Charge:
3,000 kva or less $13,750 $13,750 $1,250 $15,000 $15,000
Over 3,000 kva $5.50/kva $5.50/kva $0.50/kva $6.00/kva $6.00/kva
Primary Volt. Discount $0.20lkw $0.20/kW $0.20/kW $0.20lkw
Annual Minimum Present: $71 1,110 $746,280
Clearwater - Schedule 25P
Energy Charge:allkWhs $0.04257 $0.00292 $0.04549 $0.00074 $0.04623 $0.04331
Demand Charge:
3,000 kva or less $13,750 $13,750 $1,250 $15,000 $15,000
3,000 - 55,000 kva $5.50/kva $5.50/kva $0.50/kva $6.00/kva $6.00/kva
Over 55,000 kva $2.00/kva $2.00/kva $2.00/kva $2.00/kva
Primary Volt. Discount $0.20/kW $0.20lkw $0.20lkw $0.20/kW
Annual Minimum Present: $633,270 $656,410
Pumrinq Service - Schedule 31
Basic Charge $10.00 $10.00 $2.00 $12.00 $12.00
Energy Charge:
First 165 kwkwh $0.097s9 $0.00401 $0.10160 $0.00478 $0.10638 $0.10237AlladditionalkWhs $0.08319 $0.00401 $0.08720 $0.00408 $0.09128 $0.08727
(1) lncludes all present rate adjustments: Schedule 59 - Residential & Farm Energy Rate Adjustment, Schedule 66 -
Temporary Power Cost Adjustment, Schedule 91 - Energy Efficiency Rider Adjustment, and Schedule 97 - Earnings
Test Rebate.
Clearwater_PR_05 Attachment B.xlsm
Exhibit No. 't5
Case No. AVU-E-15-05
P. Ehrbar, Avista
Schedule 3, Page 4 of 4
AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION
JURISDICTION: IDAHO DATE PREPARED: 0711012015
CASE NO.: AVU-E-15-05 / AVU-G-15-01 WITNESS: Bill Johnson
REQUESTER: IPUC RESPONDER: Liz AndrewsTYPE: Production Request DEPARTMENT: State & Federal Regulation
REQUEST NO.: Clearwater-06 TELEPHONE: [phone]
REQUEST:
According to the Multiparty Settlement Stipulation filed with the Washington Utilities and
Transportation Commission in Dockets No. UE-150204 and UG-l50205 (consolidated) at page2,5.b
(i), in the original filing by Avista there was a coding error contained in the AURORA model. Please
confirm that the error was corrected in the development of modeled energy prices in the Idaho rate case
filing.
RESPONSE:
The coding error correction referred to in the Multiparty Settlement Stipulation filed with the
Washington Utilities and Transportation Commission in Dockets No. UE-l50204 and UG-150205 was
discovered and corrected in April 2015,prior to the Company's filing in this IPUC Docket. Therefore,
yes the coding error was corrected prior to filing.
AVISTA CORPORATION
RESPONSE TO REQUEST FOR INFORMATION
JURISDICTION: IDAHO DATE PREPARED: 0711012015
CASE NO.: AVU-E-15-05 / AVU-G-15-01 WITNESS: Elizabeth Andrews
REQUESTER: IPUC RESPONDER: Liz AndrewsTYPE: Production Request DEPARTMENT: State & Federal Regulation
REQUEST NO.: Clearwater-O7 TELEPHONE: [phone]
REQUEST:
The Multiparty Settlement Stipulation filed by Avista with the Washington Utilities and Transportation
Commission indicates the AURORA coding error along with others agreed to adjustments has cut the
Company's original request for a $33.2 million rate increase in Washington in about half. This would
mean the two year proposed increase in Idaho is significantly higher than the stipulated Washington
request. Please explain, given Idaho comprises only about one-third of the Company's total system,
why the Idaho proposed revenue requirement is so much higher than in Washington.
RESPONSE:
A reconciliation between the two 2015 WA and ID general rate case (GRC) filings has not been
prepared. However, in general there are many variables between each of the two respective states
causing differences between the requested electric increases related to changes in capital and expenses.
Current approved WA rates, effective January 1,2015, based on the Company's 2014 GRC (Docket
No. UE-140188), utilized a 2013 historical test period. The current WA GRC (Docket No.
UE-150204), utilizing a September 2014 test period, reflects an approximate one-year change in costs.
ID rates, last adjusted October 1,2013, utilized a June 30,20t2 historical test period, adjusted for
known costs expected in 2013. As a part of the settlement agreement in Case No. AVU-E-12-08, the
Parties agreed to a "Rate FreezelStay Out" in which new base rates could not become effective until
January 1,2015. An extension of the "Rate FreezelStay Out" to January 1,2016 was agreed to and
approved by the IPUC in Case No. AVU-E-14-05, with no change in base rates during2015. The
current ID GRC, therefore, reflects an approximate three-year change in costs.
Specific examples (but not all inclusive) of changes in costs impacting Avista's WA and ID
j urisdictions differently include :
Power Supply - Although there are a number of differences between base power supply costs
established within the WA and ID jurisdictions, certain costs have been included in base rates at
different time periods in WA versus ID. For example, in case No. AVU-E-I2-08, the Parties
agreed to recover costs related to the Palouse Wind Power Purchase Agreement ("PPA")
through the Company's Power Cost Adjustment (PCA) mechanism, subject to the current
sharing (90% customer, 10% Company) until these costs were included in base rates as a part of
the implementation of new rates from the Company's next GRC. These PPA related expenses
are included in the Company's requested base revenue in this proceeding. These costs,
however, are already included in current WA base rates. Power Supply base rates were reset in
WA as of January 1,2015, whereas ID power supply base rates (as well as the PCA) were last
authorized October l, 2013.
Net Rate Base Additions - Due to the difference in timing of base rate increases between the
WA and ID jurisdictions, the incremental rate base additions and related costs included in each
state's GRC request, compared to curent base rates, is significantly different between the two
states. For example, the incremental net rate base requested in the WA GRC above that included
in current base rates is approximately $54 million, reflecting a one year change. However, the
incremental 2016 net rate base requested in the ID GRC above that included in current base
rates is approximately $90 million, reflecting an approximate three-year change. The net rate
base in WA reflects a 4Yo increase over the one-year period, whereas the net ID rate base
increase reflects a ll .3Yo increase over the approximate three-year period (or 3 .8% annually).