20210323_tt1rq.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER RAPER
COMMISSIONER ANDERSON
COMMISSION SECRETARY
LEGAL
WORKING FILE
FROM:TAYLOR THOMAS
DATE:MARCH 18,2021
RE:IN THE MATTER OF INTERMOUNTAIN GAS COMPANY’S
APPLICATION TO IMPLEMENT A COMMERCIAL ENERGY
EFFICIENCY PROGRAM;CASE NO.INT-G-20-04.
BACKGROUND
On August 3,2020,Intermountain Gas Company,a subsidiary of MDU Resources
Group,Inc.(“Company”)filed case INT-G-20-04 with the Commission proposing to implement
a Commercial Energy Efficiency Program (“Commercial EE Program”)and an associated
funding mechanism.Under the Company’s proposed Schedule EE-GS,General Service (GS-l)
customers would be eligible to receive rebates for installing energy efficient equipment.The
program would be funded under the Company’s proposed Rate Schedule EEC-GS,which would
assess a $O.00320 per therm charge on the Company’s GS-1 customers.
The Company also proposed renaming the Residential EE Program tariffs from Rate
Schedules EE and EEC to Rate Schedules EE-RS and EEC-RS to help avoid confusion.
Application at 9.Additionally,the Company proposed to update references made to the
Commercial and Residential Energy Efficiency tariffs to reflect the proposed name changes.Id.
at 9.
On March 8,2021,the Commission issued Final Order No.34941,approving the
Company’s Application,effective April 1,2021.In its final order,the Commission found all of
the Company’s proposed energy efficiency measures,except the Energy Savings Kit (“ESK”)to
be fair,just,and reasonable and directed that they could be implemented without modification.
The Commission further directed that the ESK measure be operated as a pilot program until its
DECISION MEMORANDUM -I -MARCH 18,2021
cost effectiveness could be determined.In order to avoid customer confusion,the Company did
not list the ESK pilot in Rate Schedule EE-GS but will highlight it on its website.
STAFF ANALYSIS AND RECOMMENDATION
On August 14,2020,after the Company had flied the Application in this case,the
Company filed an Application for rate changes in the 2020 Purchased Gas Cost Adjustment
(“PGA”)case INT-G-20-05.On October 1,2020,the Commission issued Final Order No.
34797,approving the Company’s Application and the proposed tariffs for the PGA,effective
October 1,2020.Staff verified that tariff changes submitted by the Company in this Compliance
Filing used the most recent versions approved in Final Order No.34797.
Staff reviewed proposed Rate Schedule EEC-OS,as well as associated changes to Rate
Schedules RS.GS-l.EE-RS,EEC-RS,and EE-GS,and found the new schedule and associated
changes to be consistent with Commission Final Order No.34941.Therefore,Staff recommends
that the Company’s proposed Rate Schedule EEC-OS and changes to Rate Schedules RS,OS-I,
EE-RS.EEC-RS.and EE-GS be approved with an effective date of April 1,2021.
COMMISSION DECISION
Does the Commission wish to approve the Company’s proposed Rate Schedules EE-GS
and EEC-OS and changes to Rate Schedules RS,OS-I,EE-RS,and EEC-RS,with an effective
date of April 1,2021?
k&
Taylatlhomas
Udmemcs/LNT-G-20-04 Tariff Filing
DECISION MEMORANDUM -2-MARCH 18,2021