20160815_5032.pdf

DECISION MEMORANDUM
TO: COMMISSIONER KJELLANDER
COMMISSIONER RAPER
COMMISSIONER ANDERSON
COMMISSION SECRETARY
COMMISSION STAFF
FROM: BRANDON KARPEN
DEPUTY ATTORNEY GENERAL
DATE: AUGUST 10, 2016
SUBJECT: AVISTA CORPORATION’S ANNUAL POWER COST ADJUSTMENT (PCA)
APPLICATION, CASE NO. AVU-E-16-05
On August 1, 2016, Avista Corporation filed its annual Power Cost Adjustment (PCA)
Application. The PCA is an annual adjustment mechanism that tracks changes in the Company’s
hydroelectric generation, secondary prices, thermal fuel costs, and changes in power contract
revenue and expenses.
This year, the Company asks the Commission to approve a PCA rebate of 0.017¢ per
kWh to be effective October 1, 2016. Under the Company’s proposal, the PCA rate for all
customers, including residential customers, would increase from the current rebate of 0.032¢ per
kWh (a 0.015¢ per kWh increase in customer billing). The overall increase is 0.2%. Residential
customers using an average of 918 kWh per month would see their monthly bills increase from
$84.72 to $84.86. The Company requests that its Application be processed under Modified
Procedure.
STAFF RECOMMENDATION
Staff recommends that the case be processed by Modified Procedure, with comments
due by September 15, 2016.
COMMISSION DECISION
Does the Commission wish to process this case by Modified Procedure with a comment
deadline of September 15, 2016?
M:AVU-E-16-05_bk