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Home My WebLink About20200709Avista IRP Workshop Slides.pdfPublic Workshop Avista Corp. Integrated Resource Plan Case No. AVU-E-19-01 Idaho Public Utilities Commission Staff July 9, 2020 Introductions Rachelle Farnsworth –Utility Analyst Michael Eldred –Utility Analyst Mike Morrison –Engineer Ed Jewell –Deputy Attorney General Adam Rush –Public Information Officer 2 Workshop Participation Online: To open chat in WebEx, please select the icon Type questions and comments in the chat box Please use the “all panelists” option when using chat to ensure your message will be seen To speak, click the hand in the lower right corner by your name On the phone: *3 is the command to raise and lower your hand You will hear two beeps when you are unmuted *This workshop is being recorded* 3 Avista IRP Workshop Slides Slides are available to participants: www.puc.Idaho.gov, News Updates Labeled ‘Avista IRP Workshop Slides’ The Avista 2020 Electric IRP Document www.puc.Idaho.gov Select ‘Electric’ Under ‘Cases’ Select ‘Open Cases’ Under CaseNo Select ‘AVU-E-19-01’ 4 Avista IRP Workshop Purpose and Flow Explain case timeline Explain how to submit comments for the case record Integrated Resource Plan (IRP) overview Present IRP highlights Staff will present slides first Staff will answer questions and solicit feedback and concerns 5 The Idaho Public Utilities Commission Established in 1913. The Idaho Public Utilities Commission regulates Idaho’s investor-owned utilities, ensuring adequate service and reasonable rates. The Utility Commission is made up of three appointed commissioners. They make the decisions. Commission Staff reviews cases filed at the Commission. We are one of the parties that present evidence and comments to the commissioners to help establish the case record. 6 Avista IRP Case Timeline Avista 2019 IRP, started in 2018. Early 2019: IRP delayed Extended 6 months Used a 25 year planning period February 28: Avista filed the IRP Renamed the 2020 Electric IRP August 19, 2020 comment deadline Staff, interested parties, and customers file comments September 2: Avista files reply comments Fall/Winter 2020 The Commission will issue an order acknowledging or not acknowledging, the Avista IRP 7 Important Note This workshop is not part of the case record. To have comments included in the official record: Submit written comments on the Commission home page: www.puc.idaho.gov Under “Consumers,” click “Case Comment Form Use Case No. AVU-E-19-01. Mail written comments to: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 Email comments to secretary@puc.idaho.gov 8 Integrated Resource Plan Goal Identify the least cost resource plan balancing risk to meet customer load over the next 25 years. 9 Step 1: Determine Load and Resource Balance Load Forecast Forecast how much energy and capacity customers will need over the next 25 years. Current Resources Determine how much energy and capacity power plants and energy efficiency can provide over the next 25 years. Deficits Determine when forecasted load will exceed existing resources →need to buy/build a future resource 10 Avista 2019/2020 IRP Load and Resource Balance 11 Step 2: Identify Future Resource Options Supply-side resources Natural gas plants, hydro plants, solar farms, wind farms, energy storage, biomass, etc. Coal plant retirements Demand-side resources Energy efficiency, demand response, roof-top solar, etc. Transmission resources Large power lines to move energy from generation sites to load centers 12 Step 3: Resource Selection Optimization model selects least cost resources while considering risk Model quantifies risk by varying: Natural gas prices, forced outages, load, hydro and wind conditions Model was also run over 15 alternative scenarios Preferred Resource Strategy (PRS) selected from results 25 year plan for resources to meet load 13 Step 4: Create Preferred Resource Strategy and Action Plan The Preferred Resource Strategy (25 year plan) Wind resources selected by the model over solar 300 MW of Northwest and Montana wind in 2022-2023 175 MW long duration Pumped Hydro in 2026 Colstrip Units 3 and 4 retire in 2025 Two-Year Action Plan Renewable energy Request for Proposal (RFP) in 2020 May release a capacity RFP in 2021 Continue Colstrip analysis 14 Avista IRP Chapters 1.Executive Summary 2.Intro and Stakeholder Involvement 3.Economic and Load Forecast 4.Existing Supply Resources 5.Energy Efficiency 6.Demand Response 7.Long Term Position 8.Transmission and Distribution Planning 9.Supply Side Resources 10.Market Analysis 11.Preferred Resource Strategy 12.Portfolio Scenarios 13.Action Items 15 Avista 2019/2020 IRP Highlights Lower energy demand forecast than 2017 IRP Added more solar and wind since 2017 IRP Solar and wind make up the majority of future generation resources Renewable energy provides 55% winter peak Capacity deficit appears in 2026 Energy efficiency meets 71% of new load growth Natural gas price remains low 16 EIA,CETA, and Avista Clean Energy Goals Washington State Requirements EIA –Energy Independence Act CETA -Clean Energy Transformation Act Idaho customers are assigned 1/3 of Avista costs Subject to approval by the Idaho Commission Avista Clean Energy Goals Carbon Neutral by 2027 100% clean electricity by 2045 The Company says about 55% of their portfolio is already renewable energy 17 Staff Consideration of Colstrip (1) 2017 IRP, Avista will include more Colstrip detail in the 2019 IRP 2020 Avista Colstrip Analysis 2 Colstrip retirement scenarios for 2025 and 2035 Preliminary Company position was ‘in’ for Idaho, ‘out’ for Washington, after 2025 Staff concern about passing costs on to Idaho customers 18 Staff Consideration of Colstrip (2) Filed results in February of 2020 Colstrip was ‘out’ for Idaho and Washington after 2025 Staff requested additional economic analysis Will continue to work with Avista for further evaluation Economic retirement dates don’t reflect Company obligations Washington, and Idaho customers continue to have economic obligations Communication of the Avista plan for Colstrip is required 19 What Do You Think? Comments and Questions? Do you have a position to share with Staff? Do you support or oppose acknowledgement of the Avista 2020 IRP? 20 Workshop Participation Online: To open chat in WebEx, please select the icon Type questions and comments in the chat box Please use the “all panelists” option when using chat to ensure your message will be seen To speak, click the hand in the lower right corner by your name On the phone: *3 is the command to raise and lower your hand You will hear two beeps when you are unmuted *This workshop is being recorded*21 Avista 2021 IRP Participation The IRP process is open to the public and participation is encouraged Technical Advisory Committee meetings: Meeting #2 August 6 Interested participants contact: John Lyons (509) 495-8515 john.lyons@avistacorp.com Avista IRP website https://www.myavista.com/about-us/integrated-resource-planning 22 Thank You Idaho Public Utilities Commission www.puc.idaho.gov (208) 334-0300 (800) 432-0369 Comments for the Official Record Written comments must be filed by August 19, 2020. Submit written comments on the Commission home page at www.puc.idaho.gov. Under “Consumers,” click “Case Comment Form,” & use Case No. AVU-E-19-01. Mail written comments to: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 Or email comments to secretary@puc.idaho.gov We will now mute the mic and continue to monitor comments, questions, and participant feedback. 24