20140731Press Release and Customer Notice.pdf

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Media:Casey Fielder [phone] casey.fieIderavistacorn.com
Investors:Jason Lang [phone] iason.Ianqtavistacorp.com
Avista 24/7 Media Access [phone] -.
Avista Makes Annual Price Adjustment Filings in Idaho
Changes would increase electric prices effective Oct.1,2014
SPOKANE,Wash.—July 30,2013,2:30 p.m.PDT:Avista (NYSE:AVA)customer’Woulc1
see an increase in their electric rates on Oct.1,2014,if the Idaho Public Utilities Commission
(IPUC or Commission)approves two rate adjustment requests filed today by the company.
These filings are separate from a general rate request and the settlement agreement reached in
July 2014 regarding base retail rates in Idaho.
Power Cost Adjustment (PCA)
The first adjustment is the company’s annual Power Cost Adjustment (PCA).The PCA is an
annual rate adjustment made to reflect the differences between Avista’s actual cost of
generating and purchasing electric power to serve customers and the cost currently included in
customer rates.It is a true-up to reflect the actual cost of power to serve customers.
Part of the proposed PCA rate adjustment is related to the expiration of a rebate to customers.
Beginning in October 2013,Avista began passing through to customers a one-year rebate of
approximately $4.6 million related to last year’s PCA.That rebate will end Sept.30,2014.
In addition,power supply costs in the most recent 12 months were higher than those included in
base retail rates,due primarily to increased fuel costs and power purchase expense,some of
which was to replace the energy lost due to an outage at the Colstrip Generating Plant Unit #4.
The proposed PCA surcharge would pass through to customers approximately $7.8 million in
increased power supply costs that occurred during the twelve-month period that ended June 30,
2014.As a result of the expiration of the rebate and the increased costs for the last 12 months,
the proposed increase to rates is approximately 5.0 percent,or $12.4 million.
Residential Exchange Program
The second electric rate adjustment is related to the Bonneville Power Administration (BPA)
Residential Exchange Program.The Residential Exchange Program provides a share of the
benefits of the federal Columbia River power system to the residential and small farm customers
of the investor-owned utilities in the Pacific Northwest,including Avista.Avista applies the
benefits it receives,which typically fluctuate from year to year,to customers as a credit on their
monthly electric bill.
The benefit Avista will receive from BPA starting in October 2014 will be higher than the current
level of benefits currently being passed through to these customers.As a result of the increased
level of benefits,the proposed revenue decrease is approximately $0.4 million,or an overall
decrease of approximately 0.2 percent.
Impacts
If approved by the Commission,the two proposed electric rate changes would result in a
revenue increase of approximately 4.8 percent or $12.0 million,effective Oct.1,2014.
Residential electric customers in Idaho using an average of 930 kilowatt hours per month would
see their monthly bills increase from $81 .88 to $85.33,an increase of $3.45 per month,or 4.2
percent.
The electric increases by rate schedule are:
Residential Service -Schedule 1 4.1%
General Service -Schedules 11 &12 3.9%
Large General Service -Schedules 21 &22 5.0%
Extra Large General Service -Schedule 25 7.4%
Schedule 25P 8.0%
Pumping Service -Schedules 31 &32 4.3%
Street &Area Lights -Schedules 4 1-48 1.7%
Rate Application Procedure
Avista’s rate applications are proposals,subject to public review and a decision by the
Commission.Copies of the applications are available for public review at the offices of both the
IPUC and Avista,as well as on the IPUC’s homepage at www.puc.idaho.qov.The IPUC will
begin a review of Avista’s applications and will seek public input on the company’s request.
Energy Efficiency and Energy Assistance Programs
To help customers proactively manage their energy use,Avista offers a number of energy
efficiency programs.Information on available energy efficiency rebates and incentives from
Avista for residential,commercial and low-income customers is available at
www.avistautilities.com,along with other energy-saving information.
Information on energy assistance programs and payment options offered by Avista to help
qualifying customers is available at www.avistautilities.com.
About Avista
Avista Corp.is an energy company involved in the production,transmission and distribution of
energy as well as other energy-related businesses.Avista Utilities is our operating division that
provides electric service to 367,000 customers and natural gas to 326,000 customers.Our
service territory covers 30,000 square miles in eastern Washington,northern Idaho and parts of
southern and eastern Oregon,with a population of 1.5 million.Alaska Energy and Resources
Company is an Avista subsidiary that provides retail electric service in the city and borough of
Juneau,Alaska,through its subsidiary Alaska Electric Light and Power Company.Our stock is
traded under the ticker symbol “AVA.”For more information about Avista,please visit
www.avistacorr.com.
This news release contains forward-looking statements regarding the company’s current
expectations.Forward-looking statements ate all statements other than historical facts.Such
statements speak only as of the date of the news release and are subject to a variety of risks
and uncertainties,many of which are beyond the company’s control,which could cause actual
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results to differ materially from the expectations.These risks and uncertainties include,in
addition to those discussed herein,all of the factors discussed in the company’s Annual Report
on Form 10-K for the year ended Dec.31,2013 and the Quarterly Report on Form I 0-Q for the
quarter ended March 31,2014.
SOURCE:Avista Corporation
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.rWISTA
Important Notice for A-t”i’t E —/t4_
Idaho Electric Customers
August —September2014 R C
Proposed Electric Rate Adjustments Filed to be Effective October 1,2014 ?p,jut 30 MI •57
Avista has filed two rate requests with the Idaho Public Utilities Commission (Commission),with a requested
effective date of October 1 2014 The rate request is for the approval of a proposed Powerc4,}lijtn)ent —
(PCA)surcharge.The PCA is an annual rate adjustment made to reflect the differences between A.’itä S áétuãI àoW’
of generating and purchasing electric power to serve customers and the cost currently included in customer rates.It
is a true-up to reflect the actual cost of power to serve customers.
Part of the proposed PCA rate adjustment is related to the expiration of a rebate to customers.Beginning in October
2013,Avista began passing through to customers a one-year rebate of approximately $4.6 million related to last
year’s PCA.That rebate will end Sept.30,2014.In addition,power supply costs in the most recent 12 months were
higher than those included in base retail rates,due primarily to increased fuel costs and power purchase expense,
some of which was to replace the energy lost due to an outage at the Colstrip Generating Plant Unit #4.The
proposed PCA surcharge would pass through to customers approximately $7.8 million in increased power supply
costs that occurred during the twelve-month period that ended June 30,2014.As a result of the expiration of the
rebate and the increased costs for the last 12 months,the proposed increase to rates is approximately 5.0 percent,or
$12.4 million.
The second electric rate adjustment is related to the Bonneville Power Administration (BPA)Residential Exchange
Program.The Residential Exchange Program provides a share of the benefits of the federal Columbia River power
system to the residential and small farm customers ofthe investor-owned utilities in the Pacific Northwest,including
Avista.Avista applies the benefits it receives,which typically fluctuate from year to year,to customers as a credit on
their monthly electric bill.The benefit Avista will receive from BPA starting in October 2014 will be higher than
the current level of benefits currently being passed through to these customers.As a result of the increased level of
benefits,the proposed revenue decrease is approximately $0.4 million,or an overall decrease of approximately 0.2
percent.
Impact -If approved by the Commission,the two proposed electric rate changes would result in a revenue increase
of approximately 4.8 percent or $12.0 million,effective Oct.1,2014.Residential electric customers in Idaho using
an average of 930 kilowatt hours per month would see their monthly bills increase from $81.88 to $85.33,an
increase of $3.45 per month,or 4.2 percent.
The electric increases by rate schedule are:
Residential Service -Schedule 1 4.1%
General Service -Schedules 11 &12 3.9%
Large General Service -Schedules 21 &22 5.0%
Extra Large General Service -Schedule 25 7.4%
Clearwater Paper -Schedule 25?8.0%
Pumping Service -Schedules 31 &32 4.3%
Street &Area Lights -Schedules 4 1-48 1.7%
The Company’s request is a proposal,subject to public review and a Commission decision.A copy of the
application is available for public review at the Company and Commission offices,as well as the Commission’s
homepage (www.puc.idaho.gov).Copies of rate filings are also available on our website at www.avistautilities.com
under “Energy Prices,”“Rates and Tariff.”
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.
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