20161003_5082.pdf

DECISION MEMORANDUM 1
DECISION MEMORANDUM
TO: COMMISSIONER KJELLANDER
COMMISSIONER RAPER
COMMISSIONER ANDERSON
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM: DAPHNE HUANG
DEPUTY ATTORNEY GENERAL
DATE: SEPTEMBER 29, 2016
SUBJECT: AGREED MOTION TO SET COMMENT PERIOD FOR SETTLEMENT
STIPULATION IN IDAHO POWER’S PROPOSED COMMUNITY
SOLAR, CASE NO. IPC-E-16-14
On September 26, 2016, Idaho Power filed a Settlement Stipulation and Agreed
Motion to Approve Settlement Stipulation (attached) signed by the parties to this matter: Idaho
Power, Commission Staff, Idaho Conservation League (ICL), Industrial Customers of Idaho
Power (ICIP), Idaho Irrigation Pumpers Association (IIPA), Snake River Alliance (SRA), Idaho
Sierra Club, and City of Boise. With the Motion, the Company filed supporting documents (also
attached), including the revised proposed Schedule 63.
SETTLEMENT STIPULATION AND AGREED MOTION
The Settlement Stipulation sets forth terms to which the parties agreed, addressing
various parties’ concerns about the Company’s proposed Community Solar Pilot Program.
Provisions in the Stipulation address calculation of the solar energy credit, the subscription fee, a
Company-facilitated monthly fee option, and the Company’s cost recovery, among other issues.
The Agreed Motion requests that the Settlement Stipulation be processed by Modified Procedure
with an expedited 14-day comment period. Motion at 11. The Agreed Motion also requests that,
on expiration of the comment period, the Commission approve the Settlement Stipulation
without material change or condition. Id.
Although the proposed 14-day comment period is shorter than the standard 21-day
period, the Commission already set a 21-day comment period (which passed September 6), as to
the Company’s initial Application. Order No. 33569. The Commission received comments from
DECISION MEMORANDUM 2
Staff, SRA, ICIP, and ICL, but no comments from members of the public. Further, in its
Application, the Company had requested an expeditious Commission decision,1 to allow it
sufficient time to solicit program participants for a proposed June 2017 commercial operation
date. Application at 2. The 14-day comment period on the parties’ Settlement Stipulation helps
to accommodate that request.
COMMISSION DECISION
Does the Commission wish to issue a Notice of Settlement Stipulation and Notice of
Modified Procedure with a 14-day comment period, as requested in the Agreed Motion?
M:IPC-E-16-14_djh
1 The Company initially requested a September 15, 2016 effective date. Application at 2. Since then, the Company
has agreed to delay the proposed effective date to engage in settlement discussions with the parties. See Order No.
33598.
LISA D. NORDSTROM (lSB No. 5733)
ldaho Power Company
1221West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
Telephone: [phone]
Facsimile: [phone]
lno rd strom @ idahopower. com
Attorney for ldaho Power Company
IN THE MATTER OF IDAHO POWER
COMPANY'S APPLICATION TO APPROVE
NEW TARIFF SCHEDULE 63, A
COMMUNITY SOLAR PILOT PROGMM
;.)
1- '"
CASE NO. IPC-E-16-14
SETTLEMENT STIPULATION AND
MOTION TO APPROVE
SETTLEMENT STI PULATION
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
ldaho Power Company ("ldaho Powe/' or "Company") requests that the ldaho
Public Utilities Commission ("Commission") approve the settlement ("Settlement
Stipulation") related to the Company's Application for a new tariff Schedule 63, A
Community Solar Pilot Program, contained in this filing. The Settlement Stipulation
provides for: (1) a solar energy credit that reflects the embedded cost of energy as
reflected in the Company's base rates, (2) a subscription fee that reflects the cost of the
project, less a 15 percent shareholder contribution, a reduction reflecting the present
value of the incremental difference between the Demand Side Management ("DSM")
Altemate Costs identified in the 2015 lntegrated Resource Plan and projected
embedded energy costs, a reduction reflecting the present value of the projected
deferral of transmission and distribution ("T&D") investments for the 25 year life of the
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION - 1
project, and other reductions as detailed below, and (3) a Company-facilitated monthly
fee option.
The Settlement Stipulation is entered into among ldaho Power, Commission Staff
("Staff'), the ldaho Conservation League ("lCL"), the Industrial Customers of ldaho
Power (.lClP"), the Idaho lrrigation Pumpers Association, lnc. ("!lPA'), the Snake River
Alliance ("SRq'1, the Idaho Sierra Club ("Sierra Club"), and the City of Boise ("Boise
City"), hereafter referred to individually as a "Party" or jointly as "Parties."
t. MoTtoN
1. The terms and conditions of this Settlement Stipulation are set forth
herein. The Parties agree that this Settlement Stipulation represents a fair, just, and
reasonable compromise of the dispute(s) between the Parties, and that this Settlement
Stipulation is in the public interest. The Parties maintain that the Settlement Stipulation
as a whole and its acceptance by the Commission represent a reasonable resolution of
al! issues between the Parties identified herein. Therefore, the Parties hereby
respectfully move the Commission, in accordance with RP 56 and RP 274-76, for an
order approving the Settlement Stipulation executed between the Parties and all of its
terms and conditions without material change or condition, and closing the current
proceeding.
II. BACKGROUND
2. On June 22, 2016, ldaho Power filed an application requesting that the
Commission approve a new tariff Schedule 63, A Community Solar Pilot Program
("Program"). The Company proposed to build a 500 kilowatt single-axis tracking
community solar array in southeast Boise that will exist to allow a limited number of
ldaho Power's ldaho customers the opportunity to voluntarily subscribe to the
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT ST]PULATION - 2
generation output. ldaho Power proposed that participating customers pay a one-time
upfront Subscription Fee ("Subscription Fee") and in retum receive a monthly bill credit
("Solar Energy Credit") for their designated portion of the energy produced from the
affay.
3. On July 7,2016, the Commission issued a Notice of lntervention Deadline
in Order No. 33552, setting forth a deadline for intervention 14 days from its issuance.
Petitions to lntervene were filed by lCL, lClP, llPA, SRA, Sierra Club, and Boise City, al!
of which were granted in Order Nos. 33552, 33557 ,33560, and 33562, respectively.
4. On August 16, 2016, the Commission issued a Notice of Modified
Procedure in Order No. 33569. Comments were filed by ICL on August 31, 2016, and
by Commission Staff, lClP, SRA, and Siena Club on September 1,2016.
5. The Parties engaged in settlement discussions on Augusl23, 2016, and
September 9, 2016, that led to the following settlement of issues related to the
Company's application in this docket.
III. SETTLEMENT STIPULATION
6. As a compromise of the respective positions of the Parties, and for other
considerations as set forth below, the Parties agree to support the Company's proposed
Program as modified by the following terms:
7. Solar Enerqv Credit. The Program will use the on-bill Solar Energy Credit
reflecting the embedded cost of energy, as well as the proposed application of each
participant's portion of monthly generation as an offset to billed kilowatt-hours subject to
the Power Cost Adjustment ('PCA'). The Solar Energy Credit rate is subject to change
as the average embedded energy cost reflected in retai! rates changes or is otherwise
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION . 3
approved by Commission order. Parties agree that the Solar Energy Credit will appear
on participating-customer bills as a "per kwh" line item.
The Parties agree that the initially-proposed Program will be modified to provide
the present value of the incremental difference between the DSM Alternate Costs
identified in the 2015 lntegrated Resource Plan, Appendix C - Technical Report, pp. 75-
77 and projected embedded energy costs as a reduction to the Subscription Fee as
detailed in Paragraph 8. ldaho Power will provide the upfront investment necessary to
facilitate the reduction to the participant Subscription Fee and should be authorized to
recover the return on and return of that investment at the Company's then-current
authorized rate of return through the annual PCA until the Company's next general rate
case when such amounts will be included in base rates.
8. Subscription Fee. Originally proposed to be $740, the Subscription Fee
will be lowered to $562 to reflect three modifications, collectively referred to as the "Rate
Base Amounts": (1) a reduction reflecting the net present value of the incremental
difference between the DSM Alternate Costs and the forecasted embedded cost of
energy, as applied to the projected output of the project over the 25-year Iife of the
Program, (2) removal of the cost of the smart inverters from the total project cost, and
(3) a reduction reflecting the present value of the projected deferral of T&D investments
for the 25-year life of the project, as determined by the Company's recently completed
study that was presented to the Energy Efficiency Advisory Group on August 30, 2016.
Although Parties agree that the resulting T&D deferral value represents a reasonable
compromise of the issues addressed in this case, endorsement of this Settlement
Stipulation does not necessarily indicate a Party's endorsement of the underlying
methodology or study utilized to calculate this value. The calculation of each of the
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION - 4
three adjustments, as well as the determination of the resulting Subscription Fee, is
detailed in Attachment 1 to this Settlement Stipulation.
9. Monthlv Fee Ootion. While customerc may pay the entire Subscription
Fee upfront by check as initially proposed by Idaho Power, the Company will also offer
a "Bill Me" option through which customers will receive a bill for the entire Subscription
Fee that must be paid within 30 days, allowing customers to utilize a crediUdebit card or
their bank's bill pay option plus any nominal convenience fees. The Company will also
offer a monthly fee option to Residential Service Customers (Schedule 1 and Schedule
5) that will provide for recovery of the Subscription Fee over 24 equal monthly payments
of $26.31. A determination of the monthly fee amount of $26.31 is provided as
Attachment 2 to this Settlement Stipulation. The monthly fee amount covers the
revenue requirement of the subscription using an inclining depreciation schedule over
24 months and a carrying charge set at the Company's current Allowance for Funds
Used During Construction (AFUDC) rate as we!! as an administration charge of $1.00
per month to reflect the costs of administering this monthly option, such as billing and
other required customer service functions. Participants who choose the 24-month fee
option may transfer their subscription(s) to eligible customers within the 24-month time
period, subject to the same rules, fees, and restrictions included in the Company's initial
filing related to subscription transfers.
10. If eligible participants elect to utilize the 24-month fee option and fail to
complete all24 payments or request an eligible subscription transfer, ldaho Power will
utilize a waitlist if customer interest has exceeded the amount of available subscriptions.
The waitlist will be prioritized on a first-come, first-served basis, and will provide
customers with the option to purchase any unpaid subscriptions through a one-time
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION - 5
payment at the amount of the unpaid balance. lf the waitlist is exhausted and
outstanding subscriptions still exist, an as-yet to be identified third-party institution will
cover the unpaid amounts to ldaho Power in exchange for the conesponding
subscription(s). ldaho Power will work to secure an agreement with the as-yet to be
identified third party during the Program's enrollment period. lf the Company's waitlist is
exhausted and no institution agrees to indemnify ldaho Power, the Parties agree that
ldaho Power should be authorized to recover 100 percent of the unpaid subscription
amounts in the next year's PCA. Ownership of the associated subscriptions will remain
with ldaho Power and the net power cost benefits will automatically flow through the
PCA to the benefit of all customers.
11. Cost Recoverv. The Parties agree that ldaho Power should be allowed to
collect 100 percent of the revenue requirement associated with the Rate Base Amounts
detailed in Paragraph 8 through the Company's annual PCA mechanism, beginning with
the first PCA following the project in-service date. These annual revenue requirement
amounts, as detailed in Attachment 3, will be included as part of the Company's PCA
filing in April of each year, until the Company resets its base rates in a future general
rate case proceeding. Once the rate base amounts associated with the Program have
been incorporated into the Company's overal! rate base through a general rate
proceeding, the Company wi!! remove associated amounts from its PCA rates and no
longer include the related revenue requirement in subsequent PCA filings.
The parties agree that any Operation and Maintenance expenses in excess of
those included in the determination of subscription fees or specifically identified for
recovery as part of this Settlement Stipulation must be reviewed for prudence by the
Commission prior to recovery through customer rates.
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION . 6
12. Requlatorv Accountino Treatment. The Parties agree ldaho Power may
collect the revenue requirement associated with the Rate Base Amounts through the PCA
until ldaho Power files its next general rate case; therefore, the Company requests that the
Commission approve the collection of the revenue requirements associated with the Rate
Base Amounts. The revenue requirement associated with the Rate Base Amounts for
each year will be recorded to Federal Energy Regulatory Commission Account 182.3 on
June 1 and applied to PCA balances on a monthly basis. At the end of the first PCA year,
the Rate Base Amount for year 1 will be zero, and the Rate Base Amount for year 2 will be
added to the account and so on until the Company files its next general rate case.
13. Rate lmpacts to All Customers. As detailed in Paragraph 11 , under the
terms of the Settlement Stipulation, a portion of the initial project plant investment will be
funded by ldaho Power and eligible for rate base treatment. Because this Company-
funded amount reflects anticipated Program net power cost savings, the deferral of T&D
investment, and the customer benefits associated with the Company's ability to
communicate and control the smart inverter technology, all customers wil! pay for these
amounts through the agreed upon accounting treatment and cost recovery detailed in
Paragraphs 11 and 12, respectively.
14. With respect to the monthly fee option, all ldaho customers will act as
surety in the event that participants do not pay the full subscription amount and no third
party or other waitlisted customer is identified to assume the obligations/benefits of that
subscription. However, because this initial Program is being offered as a pilot, Parties
agree that the risk exposure to all Idaho customers is sufficiently mitigated by the size of
the Program and the potential for third party and/or waitlist indemnification.
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION . 7
15. Reportino. ldaho Power agrees to submit an annual report updating the
Commission and stakeholders with regard to the following items:
. The rate and timing of acquisition of subscriptions;
. Total subscriptions by rate class;
. The number of participants choosing each payment option;
o Default rate on the monthly fee option;
. Number of participant transfers to other eligible customers;
. Number of participant move-outs without subscription transfer;
o Marketing expenditures;
. Construction costs;
. System output and allocation to subscribers;
. Participant satisfaction survey results (when available);
. Operations and maintenance expense; and
. Warranty items.
The Parties agree that the Company will report actual costs over the life of the Program;
however, the Company does not intend to true-up any differences between estimated
costs embedded in the Subscription Fee and actual costs incurred throughout the life of
the Program. The report will be filed concurrently with the Company's annual net
metering status update report, due by the end of April each year, beginning in Apri!
2018 and ending with the final year of the Program.
16. Tariff Schedule 63. The Settlement Stipulation terms described in the
foregoing paragraphs are set forth in tariff Schedule 63, Community Solar Pilot
Program, in Attachment 4.
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION - 8
17. The Parties submit this Settlement Stipulation to the Commission and
recommend approval in its entirety pursuant to RP 274-76. The Parties shall support
this Settlement Stipulation before the Commission and shall not appeal a Commission
order approving the Settlement Stipulation or an issue resolved by the Settlement
Stipulation. lf this Settlement Stipulation is challenged by anyone who is not a party,
then each Party reserves the right to file testimony, cross-examine witnesses, and put
on such case as they deem appropriate to respond fully to the issues presented,
including the right to raise issues that are incorporated in the settlements embodied in
this Settlement Stipulation. Notwithstanding this reservation of rights, the Parties agree
that they will continue to support the Commission's adoption of the terms of this
Settlement Stipu lation.
18. lf the Commission or any reviewing body on appeal rejects any part or all
of this Settlement Stipulation or imposes any additional material conditions on approval
of this Settlement Stipulation, then each Party reserves the right, upon written notice to
the Commission and the other Parties to this proceeding within 14 days of the date of
such action by the Commission, to withdraw from this Settlement Stipulation. In such
case, no Party shall be bound or prejudiced by the terms of this Settlement Stipulation
and each Party shall be entitled to seek reconsideration of the Commission's order, file
testimony as it chooses, cross-examine witnesses, and do all other things necessary to
put on such case as it deems appropriate. ln such case, the Parties immediately will
request the prompt reconvening of a prehearing conference for purposes of establishing
a procedural schedule for the completion of Case No. IPC-E-16-14, and the Parties
agree to cooperate in development of a schedule that concludes the proceeding on the
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION . 9
earliest possible date, taking into account the needs of the Parties in participating in
hearings and preparing briefs.
19. The Parties agree that this Settlement Stipulation is in the public interest
and that all of its terms and conditions are fair, just, and reasonable.
20. No Party shall be bound, benefited, or prejudiced by any position asserted
in the negotiation of this Settlement Stipulation, except to the extent expressly stated
herein, nor shall this Settlement Stipulation be construed as a waiver of rights unless
such rights are expressly waived herein. Except as otherwise expressly provided for
herein, execution of this Settlement Stipulation shall not be deemed to constitute an
acknowledgment by any Party of the validity or invalidity of any particular method,
theory, or principle of regulation or cost recovery. No Party shall be deemed to have
agreed that any method, theory, or principle of regulation or cost recovery employed in
arriving at this Settlement Stipulation is appropriate for resolving any issues in any other
proceeding in the future. No findings of fact or conclusions of law other than those
stated herein shall be deemed to be implicit in this Settlement Stipulation. This
Settlement Stipulation sets forth the complete understanding of the Parties, and this
Settlement Stipulation includes no other promises, understandings, representations,
arrangements or agreements pertaining to the subject matter of this Settlement
Stipulation, or any other subject matter, not expressly contained herein.
21. The obligations of the Parties are subject to the Commission's approval of
this Settlement Stipulation in accordance with its terms and conditions and upon such
approval being upheld on appeal, if any, by a court of competent jurisdiction. All terms
and conditions of this Settlement Stipulation are subject to approval by the Commission,
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION - 1O
and only after such approval, without material change or modification, has been
received shall the Settlement Stipulation be valid.
22. This Settlement Stipulation may be executed in counterparts and each
signed counterpart shall constitute an original document.
IV. PROGEDURE
23. Pursuant to RP 274, the Commission has discretion to determine the
manner with which it considers a proposed settlement. ln this matter, the Parties have
reached agreement on a final resolution to this case. This Settlement Stipulation is
reasonable and in the public interest. Pursuant to RP 201, the Parties believe the public
interest does not require a hearing to consider the issues presented by this Motion and
request it be processed as expeditiously as possible by Modified Procedure with a 14-
day comment deadline, without waiving the right to a hearing on the previously disputed
matters in this proceeding should the Commission reject the settlement.
V. REQUESTED RELIEF
NOW, THEREFORE, the Parties respectfully request that the Commission
process this Settlement Stipulation using Modified Procedure with a 14-day comment
period and then enter its order approving the Settlement Stipulation without material
change or condition.
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION . 11
ldaho Power Company
JL
DATED nis :{aay of September, 2016.
ldaho Conservation League
By
Benjamin J. Otto
Aftomey for ldaho Conservation League
ldaho lnigation Pumpers Association, lnc.
By
Eric L. Olsen
Attomey forthe ldaho lrigation Pumpers
Association, lnc.
ldaho Siena Club
Commission Staff
Daphne Huang
Attomey for IPUC Staff
lndustria! Customers of ldaho Power
Peter J. Richardson
Attomey for the lndustrial Customers of
ldaho Power
Snake River Alliance
By
Ken Miller
Clean Energy Program Director
of Boise City
Elizabeth A. Koeckeritz
Attorney for City of Boise
By
By
City
By_By
Zach Waterman
Director of ldaho Siena Club
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION . 12
ldaho Power Company
By
Lisa D. Nordstrom
Attorney for ldaho Power Company
ldaho Conservation League
By
Benjamin J. Otto
Attorney for ldaho Conservation League
ldaho lrrigation Pumpers Association, lnc.
By
Eric L. Olsen
Attorney for the ldaho lrrigation Pumpers
Association, lnc.
ldaho Sierra Club
Commission Staff
lndustrial Customers of ldaho Power
Peter J, Richardson
Attorney for the lndustrial Customers of
ldaho Power
Snake River Alliance
Ken Miller
Clean Energy Program Director
City of Boise City
T
DATED Uis ffiay of September, 2016.
By
By
By
Zach Waterman
Director of ldaho Sierra Club
SETTLEMENT STIPUI.ATION AND MOTION
TO APPROVE SETTLEMENT STIPUIATION .
Elizabeth A. Koeckeritz
Attorney for City of Boise
By
12
.-'7 ?
DATED UrSs ;'-,:.? day of Sepgnber, 2016.
ldaho Pmer Conpany
By
Lisa D. Nordstrom
Atiomey br ldaho PqrerCompany
ldaho Conservation League
Attomey fur ldaho Conservation League
Idaho lnigation Pumpers Association, lnc.
By
Eric L. Olsen
Attomey forthe ldaho lnigation Pumpers
Association, lnc.
ldaho Siena Club
Zach Waterman
Director of ldaho Sierra Club
SETTLEMENT STIPUTATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION - 12
Commission Sffi
Daphne Hu,ang
Atbmey tor IPUC Statr
lndustsial Customers of ldaho Pqrer
Peter J. Richardson
Attomey fur the lndusbial Custoners of
ldaho Power
Snake River Alliance
Ken Miller
Clean Energy Program Director
of Boise City
Elizabeth A. KoeckeriE
Attomey br Ci$ of Boise
City
By_
ByBy
By
DATED this _ day of September, 2016.
ldaho Power Company
Lisa D. Nordstrom
Attorney for ldaho Power Company
ldaho Conservation League
Benjamin J. Otto
Attorney for ldaho Conservation League
ldaho lrrigation Pumpers Association, lnc.
Commission Staff
Daphne Huang
Aftorneyfor IPUC Staff
lndustrial Customers of ldaho Power
By
Attorney for the lndustrial Customers of
ldaho Power
Snake River Alliance
By
Eric L. Olsen
Attorney for the ldaho lrrigation Pumpers
Association, lnc.
ldaho Sierra Club
By
Ken Miller
Clean Energy Program Director
City of Boise City
By By
Zach Waterman
Director of ldaho Sierra Club
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION . 12
Elizabeth A. Koeckeritz
Attorney for City of Boise
DATED this day of September,2016.
ldaho Power Company
By By
Lisa D. Nordstrom
Attorney for ldaho Power Company
ldaho Conservation League
By
Commission Staff
Daphne Huang
Attorney for IPUC Staff
lndustrial Customers of ldaho Power
Peter J. Richardson
Attorney for the lndustrial Customers of
ldaho Power
Snake River Alliance
Ken Miller
Clean Energy Program Director
of Boise City
Elizabeth A. Koeckeritz
Attorney for City of Boise
By
Benjamin J. Otto
Attorney for ldaho Conservation League
By
Attorney for the ldaho lrrigation Pumpers
Association, Inc.
ldaho Sierra Club
By
Zach Waterman
Director of ldaho Sierra Club
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION . 12
City
By_
By
DATED thtsAL day of Septembe r,2A16.
ldaho Power Company Commission Staff
By
Lisa D. Nordstrom Daphne Huang
Aftorney for ldaho Power Company Attorney for IPUC Staff
ldaho Conservation League lndustrial Customers of ldaho Power
Benjamin J. Otto Peter J. Richardson
Attorney for ldaho Conservation League Attorney for the lndustrial Customers of
ldaho Power
ldaho lrrigation Pumpers Association, lnc. Snake RiverAlliance
Bv rrfu -Eric L. Olsen Ken Miller
Attorney for the ldaho lrrigation Pumpers Clean Energy Program Director
Association, lnc.
ldaho Sierra Club City of Boise City
By By
ByBy
Zach Waterman
Director of ldaho Sierra Club
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION - 12
Elizabeth A. Koeckeritz
Attorney for City of Boise
DATED this l) day of September, 2016.
ldaho Power Gompany Commission Staff
By By
Lisa D. Nordstrom Daphne Huang
Attorney for ldaho Power Company Attorney for IPUC Staff
ldaho Conservation League lndustrial Customers of ldaho Power
By By
Benjamin J. Otto Peter J. Richardson
Attorney for ldaho Conservation League Attorney for the lndustrial Customers of
ldaho Power
ldaho lrrigation Pumpers Association, lnc. Snake River Alliance
Eric L. Olsen Ken Miller
Attorney for the ldaho lrrigation Pumpers Clean Energy Program Director
Association, lnc.
ldaho Sierra Club City of Boise Cig
ByBy
, t LU--Bv 'tlr.Lwa>*
Zrch Waterman
By
Director of ldaho Sierra Club
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SET'TLEMENT STIPULATION - 12
Elizabeth A. Koeckeritz
Attorney for City of Boise
DATED tnis L?* oay of September, 2016.
ldaho Power Company
Lisa D. Nordstrom
Attorney for ldaho Power Company
ldaho Conservation League
Benjamin J. Otto
Attorney for ldaho Conservation League
ldaho lrrigation Pumpers Association, lnc.
Eric L. Olsen
Attorney for the tdaho lrrigation Pumpers
Association, lnc.
ldaho Sierra Club
By.By
ByBy
ByBy
Commission Staff
Daphne Huang
Attorney for IPUC Staff
lndustrial Customers of ldaho Power
Peter J. Richardson
Attorney for the lndustrial Customers of
Idaho Power
Snake River Alliance
Ken Miller
Clean Energy Program Director
City of Boise City
By
Zach Waterman
Director of ldaho Sierra Club
SETTLEMENT STIPULATION AND MOTION
TO APPROVE SETTLEMENT STIPULATION - 12
City of Boise Public Works Director
BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
cAsE NO. IPC-E -16-14
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CASE NO. IPC-E-16-14
IDAHO POWER COMPANY
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IDAHO PUBLIG UTILITIES COMMISSION
cAsE NO. IPC-E-16-14
IDAHO POWER COMPANY
ATTACHMENT 3
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BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
GASE NO. IPC-E-16-14
IDAHO POWER COMPANY
ATTACHMENT 4
ldaho Power Company
!.P.U.C. No. 29. Tariff No. 101 Oriqinal Sheet No. 63-1
SCHEDULE 63
COMMUNITY SOLAR PILOT PROGRAM
(oPTroNAL)
PROGRAM DESCRIPTION
The Community Solar Pilot Program ("Program") is an optional program that will provide a
limited number of ldaho Power's ldaho Customers the opportunity to voluntarily subscribe to the
generation output of a 500 kW single-axis tracking community solar array.
AVAILAB!LITY
The Program is available to Eligible Customers that hold evidence of a Subscription or an
entitlement to the electric generation output of a portion of the community solar array. Participation in
the Program is available on a first-come, first-served basis to all Eligible Customers who complete a
Participant Agreement. Approximately 1,563 Subscriptions will be available. lf ldaho Power does not
receive what it deems to be a sufficient number of Subscriptions for the Program, ldaho Power may
terminate the Program and refund the Subscription Fees as set forth under "Refund of Subscription
Fee" in the Participant Agreement.
DEFINIT!ONS
Elioible Customers. Residential Service (Schedules 1 and 5), Small General Service (Schedule
7), Large General Service (Schedule 9), Large Power Service (Schedule 19), Agricultura! lrrigation
Service (Schedule 24), Micron Special Contract (Schedule 26), Simplot Special Contract (Schedule 29),
and the Department of Energy Special Contract (Schedule 30) Customers. Non-metered and lighting
accounts may not participate in the Program. Customers must be in Good Standing with metered
electric service accounts with service addresses located in ldaho within ldaho Power's service area.
Participants must be 18 years of age or older and have full power and authority to execute the
Participation Agreement. Participant must be the customer of record on the ldaho Power account for
the service agreement to which the Subscriptions apply.
Good Standino. At the time of Subscription a Customer is in "Good Standing" if the Customer
does not have a past-due balance of $100 or more that is 60 days or more past due.
Participant. The Customer specified as the Participant in the Participant Agreement is the
Eligible Customer that has received notification of acceptance into the Program, or a successor
Participant designated in accordance with the Participant Agreement.
Participant Aoreement. Eligible Customers will be required to sign the Participant Agreement
prior to participating in the Program. Participants will be subject to the terms and conditions of the
Participant Agreement.
Subscription. A "Subscription" is the Participant's applicable portion of the electricity output
generated by the community solar array developed in connection with the 500 kW project.
IDAHO
lssued per Order No.
Effective -
lssued by IDAHO POWER COMPANY
Timothy E. Tatum, Vice President, Regulatory Affairs
1221\Nest ldaho Street, Boise, ldaho2016
ldaho Power Company
|.P.U.C. No. 29. Tariff No. 101 Oriqinal Sheet No. 63-2
SCHEDULE 63
COMMUNITY SOLAR PILOT PROGRAM
(oPTroNAL)
(Continued)
TERM
The Program term will extend 25 years after the date of first production of solar energy on a
non-test basis (Operation Date).
Service on this rate schedule ("Enrollment") will commence with the first billing cycle following
the later of (i) the approval of the Eligible Customer's Participant Agreement by the Company, and (ii)
the Operation Date.
SUBSCRIPTION FEE
$562.00 per Subscription.
PAYMENT OF SUBSCRIPTION FEE
Customers have the following payment options:
1. A single upfront payment by check.
2. A single upfront payment made by debiUcredit card, mail-in check or money order,
paystation check or money order, or personal on-line bank transfer ("Bill Me"). A Customer who
requests the "Bill Me" option on the Participant Agreement will receive an ldaho Power Company
generated bill, separate from their monthly electric service bill, which must be paid within 30 days. A
convenience fee will be applied to debiUcredit card payments.
3. Monthly fee for 2 years (24 months). Residential Service Customers (Schedules 1 and
5) may choose the monthly fee option and will receive 24 monthly bills, separate from their monthly
electric service bill, which must be paid within 30 days of the monthly invoice date. Payments may be
made by debiUcredit card, mail-in check or money order, paystation check or money order, or personal
on-line bank transfer. A convenience fee will be applied to debiUcredit card payments. The monthly
Subscription Fee of $26.31 will cover the cost of the Subscription Fee, carrying charges, and an
administration charge of $1.00 per month to reflect the costs of administering this monthly option.
lnvoicing of the monthly Subscription Fee will begin with Enrollment.
lf the monthly Subscription Fee is not paid within 60 days from the monthly invoice date, the
Customer will be considered in default and the entire Subscription wil! be transferred to ldaho Power.
PARTICIPATION
To participate in the Program, a Customer must sign and return the Participant Agreement and
elect its method of payment for the Subscription Fee.
IDAHO
lssued per Order No.
lssued by IDAHO POWER COMPANY
Timothy E. Tatum, Vice President, Regulatory Affairs
1221West ldaho Street, Boise, ldahoEffective ,2016
ldaho Power Company
I.P.U.C. No. 29. Tariff No. 101 OrioinalSheet No. 63-3
SCHEDULE 63
COMMUNITY SOLAR PILOT PROGRAM
(oPTroNAL)
(Continued)
PARTICIPATION (Continued)
Should a prospective participant have more than one service agreement, the participant must
designate which service agreement and account the Subscription should apply to.
Customers may apply for multiple Subscriptions; however, the estimated total energy output of
the Subscriptions may not exceed 100 percent of the customer's usage for the prior 12-month period
(on a kWh basis) per service agreement.
lf 12 months of usage data is not available, a prospective Participant may estimate its annual
usage, using a method that includes, but is not limited to, usage by similarly sized properties or builder
or architect estimates. All estimates are subject to review and approval by ldaho Power at its sole
discretion.
Customers that ldaho Power at its sole discretion determines are ineligible will be notified
promptly, which ldaho Power expects to occur within 10 business days after such Participant
Agreement is deemed ineligible. ln the event a Customer is ineligible to participate, the Subscription
Fee payments received by ldaho Power from ineligible Customers will be returned without interest.
For 60 days following the receipt of a Commission order, nonresidential Customers are limited
to 50 Subscriptions each and 30 percent of total capacity in aggregate. After 60 days following the
receipt of a Commission order, all available capacity may be made available to all eligible customer
classes at the Company's sole discretion.
SOLAR ENERGY CREDIT
Participants will receive a credit on their monthly bill for retail electric service. The amount of
the Solar Energy Credit will depend on the type of retail metered electric service of the designated
service agreement. The Solar Energy Credit will commence on the first billing cycle after the Operation
Date, and will appear as a "per kWh" line item on each Participant's bill. The monthly bill credit will be
limited to the Participant's monthly billed kWh. Any excess production will be carried forward on a kWh
basis. Under no circumstances will any excess production that is unused be converted to monetary
compensation or have value beyond the term of the Program, and upon termination of the Program,
any unused excess production will be forfeited.
The monthly Solar Energy Credit will be equal to the product of (a) the Solar Energy Credit rate
as set forth below and (b) the proportional share measured in kWh of the monthly generation from the
array for that month (as determined by the number of Subscriptions and monthly generation). The
month to which the Solar Energy Credit is applicable may not match the billing period for the retail
electric service billing to which the Solar Energy Credit is applied.
lDAHO
lssued per Order No.
lssued by IDAHO POWER COMPANY
Timothy E. Tatum, Vice President, Regulatory Affairs
1221West ldaho Street, Boise, ldahoEffective ,2016
ldaho Power Company
LP.U.C. No. 29. Tariff No. 101 OrioinalSheet No. 63-4
SCHEDULE 63
COMMUNITY SOLAR PILOT PROGRAM
(oPTroNAL)
(Continued)
SOLAR ENERGY CREDIT (Continued)
Solar Enersv CreditSchedule Description d per kWh
1 and 5 Residential Service 3.02467 Small General Service 3.0209
95 Large General Service 2.9936
9P and 9T Large General Service 2.7352
19 Large Power Service 2.7735
24 lrrigation Service 2.6559
26 Micron Special Contract 2.5167
29 Simplot Special Contract 2.5371
30 DOE Special Contract 2.4915
The Power Cost Adjustment rate set forth in Schedule 55 will be applied to the net of the
Participant's total energy use measured as the Participant's monthly billed kWh less their proportional
share of the monthly generation measured in kWh from the anay for that month.
The Solar Energy Credit rate is subject to change as the average embedded energy cost
reflected in retail rates changes or as otherwise approved by Commission order.
CANCELLATION
The Participant is not eligible to receive a refund of any portion of the Subscription Fee upon
cancellation of the Subscription. The Participant may elect to transfer the Subscription within 60 days
of the Participant terminating service with ldaho Power. lf no transfer is requested within such 60-day
period, the Subscription and all benefits of the Subscription will revert to ldaho Power. The
Subscription transfer terms are discussed below.
SUBSCRIPTION TRANSFER
A Participant may elect to transfer the remaining life of the Participant's Subscription to a new
service agreement or service location for the same Participant that meets the eligibility requirements.
Such transfers are not subject to additiona! fees.
Upon termination of a Participant's service, Participants may transfer the remaining life of their
entire Subscription to another Eligible Customer's service agreement, including an eligible non-profit,
for a $25 fee. Participants with more than one Subscription may transfer their Subscriptions in whole
subscription increments to one or more Eligible Customers for a $25 fee per transfer. A single
Subscription cannot be split for multiple transfers.
!DAHO
lssued per Order No.
lssued by IDAHO POWER COMPANY
Timothy E. Tatum, Vice President, Regulatory Affairs
1221West ldaho Street, Boise, ldahoEffective ,2016
ldaho Power Company
|.P.U.C. No. 29. Tariff No. 101 OriqinalSheet No. 63-5
SCHEDULE 63
COMMUNITY SOLAR PILOT PROGRAM
(oPTroNAL)
(Continued)
SUBSCRIPTION TRANSFER (Continued )
Participants that have requested to pay for their Subscription over 24 months, and have
remaining monthly fees at the time of termination of Service, may request to transfer the remaining life
of their Subscription to another Eligible Customer's service agreement, for the remaining plant balance
(the remaining balance of which is to be assumed in full by the transferee) and a $25 fee.
Participants must notify ldaho Power in writing of their intent to transfer any Subscription(s).
Transfers will only be effective if the recipient satisfies the terms and conditions applicable to the
Subscription and signs the Participant Agreement and assumes all responsibilities associated
therewith.
ENVI RONMENTAL ATTRI BUTES
ldaho Power will retain ownership of the Renewable Energy Certificates and all other
environmental attributes including but not limited to carbon emission reduction credits. The Renewable
Energy Certificates will be retired by ldaho Power on behalf of Participants.
RULES AND REGULATIONS
Service under this Schedule will be in accordance with the standard Rules and Regulations of
the Company as on file with the ldaho Public Utilities Commission.
IDAHO
lssued per Order No.
Effective
lssued by IDAHO POWER COMPANY
Timothy E. Tatum, Vice President, Regulatory Affairs
1221 West ldaho Street, Boise, ldaho2016