20040209Holmes Exhibits.pdf

DA VID J. MEYER
SENIOR VICE PRESIDENT AND GENERAL COUNSEL
A VISTA CORPORATION
O. BOX 3727
1411 EAST MISSION AVENUE
SPOKANE, W ASlllNGTON 99220-3727
TELEPHONE: [phone]
FACSIMTI...E: [phone]
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPUCA TION
OF A VISTA CORPORATION FOR THE
AUTHORITY TO INCREASE ITS RATES
AND CHARGES FOR ELECTRIC AND
NATURAL GAS SERVICE TO ELECTRIC AND
NATURAL GAS CUSTOMERS IN THE STATE OF IDAHO
CASE NO. A VU-04-
CASE NO. A VU-Q4-
EXHIBIT NO. 13
DAVID D. HOLMES
FOR A VISTA CORPORATION
(ELECTRIC AND NATURAL GAS)
Historical Meter Reading (x902.xx) Costs
Washington Idaho
Cost Cust $/mtr Cost Cust $/mtr
661 190 293 138 $5.$879,447 132,368 $6.
819,206 300,268 $6.$927,554 138,495 $6.
894 833 307,682 $6.$1,000,371 143,919 $6.
$2,001,076 315,675 $6.036,070 150,009 $6.
$1,898,692 322 862 $5.$946,753 154,992 $6.
$2,132,285 328,163 $6.$1,093,684 159,269 $6.
175,057 346,535 $6.$1,120,487 162,436 $6.
$2,459 379 348,000 $7.207 072 165,304 $7.
$2,668,689 350 571 $7.283,042 172 745 $7.
1995
1996
1997
1998
1999
2000
2001
2002
2003
000,000
500,000
000,000
$1 ,500,000
000,000
$500,000
California
Cust $/mtr
$66,866 233 $3.
$69,291 582 $3.
$73,587 742 $4.
$76,843 107 $4.
$59,188 18,002 $3.
$72,852 941 $4.
$74 243 18,571 $4.
$80,761 600 $4.
$93,515 762 $4.
Oregon
Cost Cust $/mtr
$447,346 61,513 $7.
$476,603 65,290 $7.
$451 448 68,623 $6.
$471,254 72,850 $6.
$426,819 74,878 $5.
$481,281 77,689 $6.
$424 039 84,981 $4.
$467 047 86,000 $5.
$449,604 89,587 $5.
A verage annual
growth
Meter Reading Expense
Aio.
1995 1996 1997 1998 1999 2000 2001 2002 2003
--Washington Idaho -+- Oregon --.k- California
Exhibit No. 13
D. Holmes
A vista Corporation
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Estimated AMR Installation Cost (nominal 2003 dollars)
Estimated Unit Costs (2003 dollars)
Type Total Prior To Convert Unit Cost Meter Cost
Electric Non Demand 79,962 920 79,042 $62.$4,920,394
Electric Demand 332 332 $263.$877 088
PLC Non Demand 26,654 169 26,485 $138.$3,661 573
PLC Demand 111 111 $263.$292,363
Total Electric 111 059 109,970 $88.$9,751 419
Total Gas 61,686 601 61,085 $67.$4,138,509
Total Electric & Gas 172 745 690 171 ,055 $81.$13,889,928
Meter per point $81
Network meters 144 980
Collector cost $2,320 Gas Electric Network
CusVCollector 140 $857,892 544 638 402,530
Communication/mo $20
Network per point $17
Estimated Project Costs (2003 dollars)
Units Units Cost Cost Network Network Total Total Project
Year Gas Electric Gas Electric Gas Electric Gas Electric Total
2004 601 089
2005 18,326 32,991 $1,241 553 $2,925,426 $1,241,553 $2,925,426 $4,166,978
2006 18,326 991 $1,241 553 $2,925,426 241 553 $2,925,426 $4,166 978
2007 12,217 21,994 $827 702 $1,950,284 $514 756 $926,762 $1,342,457 $2,877,046 $4,219,503
2008 12,217 21,994 $827 702 $1,950,284 $343 170 $617,841 $1,170,872 $2,568,125 $3,738,997
2009
2010
2011
2012
61,686 111,059 $4 138,509 $9,751,419 $857 926 $1,544 604 $4,996,435 $11 296 023 $16,292,458
Exhibit No. 13
D. Holmes
A vista Corporation
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AMR Estimated Savings (nominal 2003 dollars)
Annual Savings
Meter Reading PLC - Reduction in Meter reading staff
Meter Reading MAMR" - Reduction in Meter reading staff
Customer Service
Meter Shop
Diversion
- Call Center, Rebills
- Meter refurbishment reduction & testing
- Tamper reduction
Annual savings from MAMR & PLC system
Additional Meter Reading Savings from Network
Network operation (communication to collectors)
Network - Additional net savings from network
Annual AMR savings with fixed network (full implementation)
AMR Savings
Meter Reading
MAMR
61%Customer
Service
Meter Shop
Meter Reading
PLC
20%Network
11%
* Mobile Advanced Meter Reading (MAMR)
Savings
$195,908
$613,789
$37 000
$20,000
$18,000
$884,697
$358,044
-$248,538
$109,506
$994,203
Exhibit No. 13
D. Holmes
A vista Corporation
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AMR Estimated Rate Impact
AMR
Levelized Revenue
Requirement
2002 Pro Jorma Idaho Electric
Capital Investment
Idaho No AMR Incremental
Levelized Revenue Levelized Revenue
Requirement Requirement
11,296 023
Revenue
AMR $ Impact
AMR%
146 000 000 $
486,567
33%
146 000 000 $
$297 864 $
20%
146,000,000
188 703
13%
2002 Pro forma Idaho Gas
Capital Investment 996,435
Revenue
AMR $ Impact
AMR%
000 000 $
105,077 $
21%
51,000 000 $
168,136 $
33%
000,000
(63,059)
12%
Notes:
1. Assumes 15yr book life of AMR
Exhibit No. 13
D. Holmes
A vista Corporation
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Electric AMR Costs and Savings by year versus No AMR Costs
Year Elec AMR Elec AMR Net Elec AMR No AMR
Costs Savings
2005 $449,613 $160,055 $289,558 $36,260
2006 $942 644 $362,215 $580,430 $74 260
2007 387 170 $587 921 $799,250 $114 084
2008 754 795 $774,288 $980,506 $155,820
2009 699,746 $836,899 $862,848 $199,559
2010 $1,587 180 $877 070 $710,111 $245,398
2011 493,217 $919,169 $574 048 $293,437
2012 409 992 $963,289 $446,703 $343,782
2013 333,395 009,527 $323,868 $396,543
2014 263,143 057 985 $205,159 $451 837
2015 195,945 $1,108,768 $87,177 $509,785
2016 $1,128,746 161,989 ($33,243)$570,514
2017 $1,061,547 217,764 ($156,217)$634 158
2018 $994 349 276,217 ($281,868)$700,858
2019 $927 150 $1,337,475 ($410,325)$770,759
IElectrlc AMR va. No Electric AMR Rev Reql
$1,200,000
$1,000,000
-+-Net Elec AMR RR--NoAMR
S8OO,OOO
S8OO,OOO
S4OO,OOO
$200 000
($200 000)
(5400.000)
($600,000)
Exhibit No. 13
D. Holmes
A vista Corporation
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Gas AMR Costs and Savings by year versus No AMR Costs
Year Gas AMR Gas AMR Net Gas AMR No AMR
Costs Savings
2005 $188 284 $85,843 $102 441 $20,330
2006 $395,904 $197 990 $197 914 $41 ,635
2007 $601,763 $335,587 $266,176 $63 963
2008 $771 236 $442,458 $328,778 $87 363
2009 $749,071 $480,274 $268,797 $111 886
2010 $699 986 $503,328 $196,658 $137 587
2011 $659,137 $527,487 $131 649 $164 521
2012 $622 859 $552 807 $70,053 $192 747
2013 $589,461 $579 341 $10 120 $222 329
2014 $558,926 $607 150 ($48,224)$253,330
2015 $529,750 $636,293 ($106,543)$285,820
2016 $500,575 $666,835 ($166,260)$319 869
2017 $471 399 $698,843 ($227,444)$355,552
2018 $442 224 $732 388 ($290 164)$392 948
2019 $413,048 $767 542 ($354,494)$432 140
IGas AMR VI. No Gas AMR Rev Req!
ssoo,ooo
~Net Gas AMR RR
--NoAMR RR
$400,000
S3D0,ooo
$200,000
8100,000
(8100,000)
($200,000)
(S3DO,ooo)
($400,000)
Exhibit No. 13
D. Holmes
A vista Corporation
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