20191029_mh1jo.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER RAPER
COMMISSIONER ANDERSON
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:MATT HUNTER
DEPUTY ATTORNEY GENERAL
DATE:OCTOBER 24,2019
SUBJECT:IN THE MATTER OF IDAHO POWER COMPANY'S APPLICATIONFORAPPROVALOFANENERGYSALESAGREEMENTWITHDAVIDSNEDIGARFORTHESALEANDPURCHASEOFELECTRICENERGYFROMTHESNEDIGARHYDROPROJECT;CASE NO.IPC-E-19-30.
On October 4,2019,Idaho Power Company ("Idaho Power"or "Company")filed an
Application requesting consideration of an Energy Sales Agreement ("ESA"or "Agreement")
with David Snedigar for energy generated by the Snedigar Hydro project ("Facility").The
Facility is a 495 kW nameplate capacity hydro facility near Bliss,Idaho.The Facility is a
qualifyingfacility ("QF")under the Public Utility Regulatory Policies Act of 1978.The Facility
has a scheduled First Energy Date under the ESA of January 1,2020.
THE APPLICATION
The Facility has been delivering energy to Idaho Power in accordance with a firm
energy sales agreement dated February 24,1984,which expires December 31,2019.The
Company states that the Agreement contains published non-seasonal,non-levelized avoided cost
rates for a 20-year term.The Company requests the Commission declare all payments for
purchase of energy under the ESA be allowed as prudently incurred expenses for ratemaking
purposes.
STAFF RECOMMENDATION
Staff recommends the Commission issue a Notice of Application and Notice of
Modified Procedure and set a December 5,2019 comment deadline,and a December 12,2019
reply comment deadline.
DECISION MEMORANDUM l
COMMISSION DECISION
Does the Commission wish to issue a Notice of Application and Notice of Modified
Procedure and set a December 5,2019 comment deadline,and a December 12,2019 reply
comment deadline?
O Matt Hunter
Deputy AttorneyGeneral
I:\Legal\ELECTRIC\IPC-E-19-24\IPCE1930_deememo mh.doc
DECISION MEMORANDUM 2