20120423Application.pdf

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_____ 93702
Application for Certificate of Public Convenience and Necessity
15 kW Solar Generating Resource
IPUC Case No. AVU-E-12-.04
Dear Ms. Jewell:
Please find enclosed for filing an original and seven copies of Avista Corporation's
application for a certificate of public convenience and necessity for 15 kW solar resource. Please
let me know if you have any questions regarding this filing.
Sincerely,
Michael G. Andrea
Senior Counsel
Enclosures
Michael G. Andrea (ISB No. 8308)
Senior Counsel
Avista Corporation
1411 East Mission, MSC-23
Spokane, WA 99202
Phone: [phone]
Facsimile: [phone]
michael.andreaavistacorp.com
Attorney for Avista Corporation
RECEIVED
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NEW CASE
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )
OF AVISTA CORPORATION FOR A )
CERTIFICATE OF PUBLIC CONVENIENCE) NO. AVU-E-12-J4
AND NECESSITY FOR 15 kW SOLAR )
GENERATING RESOURCE ) APPLICATION
Pursuant to Idaho Code sections 61-526, 61-527, 61-528 and the Idaho Public
Utilities Commission's ("Commission") Rules of Procedure 52 and 112, Avista
Corporation ("Avista") respectfully requests that, to the extent necessary, the
Commission issue an order granting Avista a Certificate of Public Convenience and
Necessity ("Certificate") for a 15 kW solar generating resource that is located at Avista's
generation testing facility in Kootenai County near Rathdrum, Idaho.
I. Corporate Status
Avista is a corporation created and organized under the laws of the State of
Washington with its principal office in Spokane, Washington. Avista is an investor-
owned utility engaged in the business of generating, transmitting, and distributing electric
Page -1 APPLICATION OF AVISTA CORPORATION
power to wholesale and retail customers and transmitting electric power on behalf of
third parties.
II. Certificate of Public Convenience and Necessity
Section 6 1-526 of the Idaho Code requires, among other things, that electrical
corporations obtain from the Commission a Certificate for an extension of its plant or
system. A Certificate is not required for an extension of plant or system within any city
or county within which it is already lawfully operating. Idaho Code § 6 1-526.
Avista is extending its current generation test facility located in Kootenai County
near Rathdrum, Idaho, by adding a 15 kW solar generating facility to such test facility.
Although the 15 kW solar generating facility is a new generating facility, Avista' s test
facility is a pre-existing facility. Avista is already lawfully operating in Kootenai
County. To the extent that the 15 kW solar generating facility is merely expanding
Avista' s existing plant (that is, Avista is expanding its existing generation testing
facility), a Certificate is not required for the 15 kW solar generating facility.
Nevertheless, Avista respectfully requests a Certificate for its 15 kW solar generating
facility out of an abundance of caution. Accordingly, pursuant to IPUC Rule of
Procedure 112, Avista provides the following information.
A. The 15 kW Solar Generating Facility is in the Public Convenience and
Necessity.
Avista' s 15 kW solar generating facility was developed as an additional resource
for Avista's Buck-a-Block program. See Schedule 95 of Avista's Idaho Tariff. The
facility will provide renewable energy from a solar resource. The addition of a solar
resource for Avista's Buck-a-Block program will provide program participants and
customers a comparison of costs associated with different renewable energy generation
Page -2 APPLICATION OF AVISTA CORPORATION
technologies. The 15 kW solar generating facility is in the public convenience and
necessity. See IPUC Rule of Procedure 112.01.
B.Description of the 15 kW Solar Generating Facility.
The solar installation consists of sixty 250 watt poly crystalline solar panels,
mounted in fixed arrays. Each array utilizes an inverter to connect the solar panels to the
utility grid through a standard distribution panel and transformer. See IPUC Rule of
Procedure 112.02.
C.Map of Location of the 15 kW Solar Generating Facility.
Attached as Attachment A is Avista drawing E36634 which describes the location
of the facility. The solar array is located on test site "C" on the drawing. See IPUC Rule
of Procedure 112.03.
D.Financial Statement and Construction Timelines.
The 15 kW solar generating facility is installed at Avista' s existing generation
testing facility in Kootenai County near Rathdrum, Idaho. The total cost of the facility,
including installation, is less than $80,000. All costs of the 15 kW solar facility above
the market value of energy will be funded through voluntary contributions in Avista' s
Buck-a-Block program in accordance with Avista's Schedule 95. The 15 kW solar
facility is installed at Avista' s testing facility and no further construction is necessary.
See IPUC Rule of Procedure 112.04.
E.Cost Estimates and Revenue Requirements.
As indicated in Section II.D above, the total cost of the 15 kW solar generating
facility is less than $80,000 The primary purpose of the facility is meet demand for solar
resources by Buck-a-Block customers. The facility will also provide useful information
Page -3 APPLICATION OF AVISTA CORPORATION
regarding the cost and benefits of solar technology. Avista anticipates that it will include
the investment in this facility in rate base in future rate proceedings and any costs beyond
the market value of the energy will be credited back to customers by Buck-a-Block
customers. The effect of the facility on Avista' s revenue requirements will be zero.
III.Communications
The following persons should be included on the official service list in this
proceeding, and should be served with all communications concerning this Application:
Robert J. Lafferty
Director, Power Supply
Avista Corporation
1411 E. Mission Ave., MSC-7
Spokane, WA 99202
Phone: [phone]
Email: bob.laffertyavistacorp.com
Michael G. Andrea
Senior Counsel
Avista Corporation
1411 E. Mission Ave., MSC-23
Spokane, WA 99202
Phone: [phone]
Email: michael.andreaavistacorp.com
IV.Request
Unless the Commission expressly finds that Avista is not required to obtain a
Certificate for its 15 kW solar generating facility under Section 61-526 of the Idaho
Code, Avista respectfully requests that the Commission issue an order granting Avista a
Certificate of Public Convenience and Necessity for a 15 kW solar generating resource
that is located at Avista's generation testing facility in Kootenai County near Rathdrum,
Idaho.
Respectfully submitted this 20th day of April 2012.
AVISTA CORPORATION
Michael G. Andrea
Senior Counsel
Page -4 APPLICATION OF AVISTA CORPORATION
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