20120731Customer Notice.pdf

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Important Notice for Idaho Electric Customers
August 2012
On July 31, 2012, Avista tiled two rate requests with the
Idaho Public Utilities Commission (Commission), with
a requested effective date of October 1, 2012. The first
rate request is for the approval of a proposed Power
Cost Adjustment (PCA) rebate. The proposed revenue
decrease that will result from the Company's proposal is
approximately $5.6 million, or an overall decrease of
approximately 2.2%.
The PCA is an annual rate adjustment to reflect
differences between Avista's actual cost of generating
and purchasing electric power to serve customers and
the cost currently included in customer rates. The
proposed PCA rebate is designed to pass through
reduced power costs that the Company experienced
during the twelve-month period ended June 30, 2012.
The proposed rebate is 0.0900 per kilowatt-hour
applicable to all of the Company's electric rate
schedules. The proposed rebate will replace the
existing surcharge of 0.0720 per kilowatt-hour.
The second rate request filed with the Commission is
to reduce the electric Energy EfficiencyTariff Rider
Adjustment (Tariff Rider). TheTariff Rider is the rate paid
by customers which funds the Company's electric
energy efficiency programs. Avista projects that it can
meet its regulatory obligations with a lower level of
funding. The proposed revenue decrease that will result
from the Company's proposal is approximately $3.4
million, or an overall decrease of approximately 1.3%.
The two proposed rate decreases will be offset
partially by the expiration of an existing refund rate.
For the period of October 1, 2011 through September
30, 2012, Avista is returning to customers approximately
$3.8 million of deferred Idaho state income taxes from
prior years. As a result of the expiration of that rebate,
customers will see an increase of approximately 1.5%
effective October 1, 2012.
(see over)
The PCA is an annual rate adjustment to reflect
differences between Avista's actual cost of generating
and purchasing electric power to serve customers and
the cost currently included in customer rates. The
proposed PCA rebate is designed to pass through
reduced power costs that the Company experienced
during the twelve-month period ended June 30, 2012.
The proposed rebate is 0.0900 per kilowatt-hour
applicable to all of the Company's electric rate
schedules. The proposed rebate will replace the
existing surcharge of 0.072 per kilowatt-hour.
The second rate request filed with the Commission is
to reduce the electric Energy Efficiencylariff Rider
Adjustment (Tariff Rider). TheTariff Rider is the rate paid
by customers which funds the Company's electric
energy efficiency programs. Avista projects that it can
meet its regulatory obligations with a lower level of
funding. The proposed revenue decrease that will result
from the Company's proposal is approximately $3.4
million, or an overall decrease of approximately 1.3%.
The two proposed rate decreases will be offset
partially by the expiration of an existing refund rate.
For the period of October 1, 2011 through September
30, 2012, Avista is returning to customers approximately
$3.8 million of deferred Idaho state income taxes from
prior years. As a result of the expiration of that rebate,
customers will see an increase of approximately 1.5%
effective October 1, 2012.
(see over)
The PCA is an annual rate adjustment to reflect
differences between Avista's actual cost of generating
and purchasing electric power to serve customers and
the cost currently included in customer rates. The
proposed PCA rebate is designed to pass through
reduced power costs that the Company experienced
during the twelve-month period ended June 30, 2012.
The proposed rebate is 0.0900 per kilowatt-hour
applicable to all of the Company's electric rate
schedules. The proposed rebate will replace the
existing surcharge of 0.0720 per kilowatt-hour.
The second rate request filed with the Commission is
to reduce the electric Energy Efficiencylariff Rider
Adjustment (Tariff Rider). TheTariff Rider is the rate paid
by customers which funds the Company's electric
energy efficiency programs. Avista projects that it c
meet its regulatory obligations with a lower level of
funding. The proposed revenue decrease that will result
from the Company's proposal is approximately $3.4
million, or an overall decrease of approximately 1.3%.
The two proposed rate decreases will be offset
partially by the expiration of an existing refund rate.
For the period of October 1, 2011 through September
30, 2012, Avista is returning to customers approximately
$3.8 million of deferred Idaho state income taxes from
prior years. As a result of the expiration of that rebate,
customers will see an increase of approximately 1.5%
effective October 1, 2012.
(see over)
Important Notice for Idaho Electric Customers Important Notice for Idaho Electric Customers
August 2&2 JUL 3! f0:54 August 2012
IDAHO rLIt.-
JTL I
On July 31, 2012, Avista filed two rate requests with the On July 31, 2012, Avista filed two rate requests with the
Idaho Public Utilities Commission (Commission), with Idaho Public Utilities Commission (Commission), with
a requested effective date of October 1, 2012. The fltt . a requested effective date of October 1, 2012. The ffiL
rate request is for the approval of a proposed Power rate request is for the approval of a proposed Power
Cost Adjustment (PCA) rebate. The proposed revenue Cost Adjustment (PCA) rebate. The proposed revenue
decrease that will result from the Company's proposal is decrease that will result from the Company's propos
approximately $5.6 million, or an overall decrease of approximately $5.6 million, or an overall decrease o
approximately 2.2%. approximately 2.2%.
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If approved by the Commission, the resulting revenue If approved by the Commission, the resulting revenue If approved by the Commission, the resulting revenue
decrease effective October 1, 2012 from the three rate decrease effective October 1, 2012 from the three rate decrease effective October 1, 2012 from the three rate
changes is a overall decrease of $5.2 million, or 2.0%. changes is a overall decrease of $5.2 million, or 2.0%. changes is a overall decrease of $5.2 million, or 2.0%.
The table below summarizes the three rate changes: The table below summarizes the three rate changes: The table below summarizes the three rate changes:
PCA ($5.6 million) (2.2%) PCA ($5.6 million) (2.2%) PCA ($5.6 million) (2.2%)
Tariff Rider ($3.4 million) (1.3%) Tariff Rider ($3.4 million) (1.3%) Tariff Rider ($3.4 million) (1.3%)
Tax Refund Expiration $3.8 million 1.5% Tax Refund Expiration $3.8 million 1.5% Tax Refund Expiration $3.8 million 1.5%
Total ($5.2 million) (2.0%) Total ($5.2 million) (2.0%) Total ($5.2 million) (2.0%)
The percentage decreases resulting from the three rate The percentage decreases resulting from the three rate The percentage decreases resulting from the three rate
changes will vary by rate schedule as shown below: changes will vary by rate schedule as shown below: changes will vary by rate schedule as shown below:
Residential Schedule 1 (1.3%) Residential Schedule 1 (1.3%) Residential Schedule 1 (1.3%)
General Service Schedules 11 & 12 (2.0%) General Service Schedules 11 & 12 (2.0%) General Service Schedules 11 & 12 (2.0%)
Large Ge,, Service Schedules 21 & 22 (2.1%) Large Gen Service Schedules 21 & 22 (2.1%) Large Gen Service Schedules 21 & 22 (2.1 0
Extra Large Gen Service Schedule 25 (3.1%) Extra Large Gen Service Schedule 25 (3.1%) Extra Large Gen Service Schedule 25 (3.1
Extra Large Gen Service Schedule 25P (3.4%) Extra Large Gen Service Schedule 25P (3.4%) Extra Large Gen Service Schedule 25P (3.4%)
Pumping Service Schedules 31 & 32 (1.2%) Pumping Service Schedules 31 & 32 (1.2%) Pumping Service Schedules 31 & 32 (1.2%)
Street and Area Lights Schedules 41-49 (1.0%) Street and Area Lights Schedules 41-49 (1.0%) Street and Area Lights Schedules 41-49 (1.0%)
The variations in the overall percentage decrease by
rate schedule results primarily from the PCA rate
adjustment which is spread on a uniform cents per
kilowatt-hour basis. Residential customers using an
average of 939 kilowatt-hours per month would see
their monthly bills decrease from $80.55 to $79.46, a
decrease of $1.09 per month, or 1.4% as a result of the
three rate adjustments.
The Company's application is a proposal, subject to
public review and a Commission decision. A copy of
the application is available for public review at the
offices of both the Commission and the Company as
well as their respective websites. If you would like to
submit comments on this proposed decrease, or review
the application, you can do so by going to the
Commission website at www.puc.idaho.gov.
Avista offers a number of programs and services to
help customers manage their energy use and costs.
Visit us at www.avistautilities.com for information on
these programs which include Comfort Level Billing, bill
payment options, automated payment service,
assistance programs, conservation tips and energy
efficiency rebates and incentives.
The variations in the overall percentage decrease by
rate schedule results primarily from the PCA rate
adjustment which is spread on a uniform cents per
kilowatt-hour basis. Residential customers using an
average of 939 kilowatt-hours per month would see
their monthly bills decrease from $80.55 to $79.46, a
decrease of $1.09 per month, or 1.4% as a result of the
three rate adjustments.
The Company's application is a proposal, subject to
public review and a Commission decision. A copy of
the application is available for public review at the
offices of both the Commission and the Company as
well as their respective websites. If you would like to
submit comments on this proposed decrease, or review
the application, you can do so by going to the
Commission website at www.puc.idaho.gov.
Avista offers a number of programs and services to
help customers manage their energy use and costs.
Visit us at www.avistautilities.com for information on
these programs which include Comfort Level Billing, bill
payment options, automated payment service,
assistance programs, conservation tips and energy
efficiency rebates and incentives.
The variations in the overall percentage decrease by
rate schedule results primarily from the PCA rate
adjustment which is spread on a uniform cents per
kilowatt-hour basis. Residential customers using an
average of 939 kilowatt-hours per month would see
their monthly bills decrease from $80.55 to $79.46, a
decrease of $1.09 per month, or 1.4% as a result of the
three rate adjustments.
The Company's application is a proposal, subject to
public review and a Commission decision. A copy of
the application is available for public review at the
offices of both the Commission and the Company as
well as their respective websites. If you would like to
submit comments on this proposed decrease, or revi
the application, you can do so by going to the
Commission website at www.puc.idaho.gov .
Avista offers a number of programs and services to
help customers manage their energy use and costs.
Visit us at www.avistautilities.com for information on
these programs which include Comfort Level Billing, bill
payment options, automated payment service,
assistance programs, conservation tips and energy
efficiency rebates and incentives.