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HomeMy WebLinkAbout20200731Application.pdfRECEIVED 2020 July 31, PM 3:04 IDAIIO PUBLIC UTILITIES COMMISSION Avista Corp. 141 1 East Mission P.O.Box3727 Spokane. Washington 99220-37 27 Telephone 509-489-0500 Toll Free 800-727 -9170 #rusra Corp. Re July 31, 2020 State of Idaho ldaho Public Utilities Commission I l33l W. Chinden Blvd Bldg 8 Suite 201-A Boise, ID 83714 Attention: Ms. Jan Noriyuki, Secretary Case No. AVU-E-20-08 Residential Exchange Annual Rate Adjustment Filing of Avista Corporation Dear Commission Secretary In accordance with Case No. GNR-U-20-01, Order No. 34602, which suspends the requirement to file physical copies, the Company has attached for electronic filing with the Commission the following revised tanff sheet: Twentieth Revisiotr Sheet 59 canceling Nineteenth Revision Sheet 59 Enclosed for filing with the Commission is Avista Corporation's dba Avista Utilities ("Avista or the Company") Application requesting approval of changes to the Company's Residential and Small Farm Tariff Schedule 59. Electronic versions of the Company's filing were emailed to the Commission, and the Service List, on July 3 1, 2020. Please direct any questions regarding this filing to Joe Miller at (509) 495-4546. Sincerely, /s/ Potrick Ehrbar Patrick Ehrbar Director of Regulatory Affairs Enclosures RECEIVED 2020 July 31, PM 3:04 IDAHO PUBLIC UTILITIES COMMISSION1 DAVID J. MEYER2 VICE PRESIDENT AND CHIEF COUNSEL FOR3 RECULATORY AND COVERNMENTAL AFFAIRS4 AVISTA CORPORATION5 14I I E. MISSION AVENUE6 P. O.B'OX372',77 SPOKANE, WASHINCTON 992208 PHONE: (509)49s-4316, FAx: (s09)495-8851 10 11 9 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION 12 13 14 15 16 t7 18 t9 IN THE MATTER OF THE RESIDENTIAL ) AND SMALLFARMANNUALRATE ) ADruSTMENT FILINC OF ) AVISTA CORPORATION ) CASENO. AVU-E-2O-oi APPLICATION OF AVISTA CORPORATION 20 2t 22 23 24 25 26 27 28 I. INTRODUCTION In accordance with Idaho Code $61-502 and RP 052, Avista Corporation, doing business as Avista Utilities (hereinafter "Avista" or "Company"), at 141I East Mission Avenue, Spokane, Washington, respectfully makes application to the Idaho Public Utilities Commission ("Commission") for an order authorizing Avista to implement Residential and Small Farm Energy rates for electric service from October l, 2020 through September 30, 2021. The proposed Residential and Small Farm Energy Rate Adjustment credit rate for rate schedules 1, 12,22, 32, and 48 is 0.336p per kilowatt-hour. The credit rate represents a $0.6 million increase to qualifoing customers. The Company has requested an October 1,2020 effective date. AVISTA'S ELECTRIC RESIDENTIAL AND SMALL FARM ANNUAL RATE ADJUSTMENT FILING PAGE 1 1 The Company requests that this filing be processed under the Commission's 2 Modified Procedure Rules (RP 201-204). Communications in reference to this Application 3 should be addressed to: 4 5 6 7 8 9 l0ll t2 l3 t4 l5 l6 t7 l8 l9 20 2t 22 23 24 David J. Meyer, Esq. Vice President and Chief Counsel for Regulatory & Govemmental Affairs Avista Corporation P.O. Box 3727 MSC-IO 1411 E. Mission Ave Spokane, WA 99220-3727 Phone: (509)495-4316 David.Meyer@avistacorp.com Patrick Ehrbar Director of Regulatory Affairs Avista Utilities P.O.Box3727 MSC.27 1411 E. Mission Ave Spokane, W A 99220 -37 2'1 Phone: (509) 495-8620 Pat. ehrbar@avistacorp. com II. BACKGROUND The electric Residential and Farm Energy Rate Adjustment results from an Agreement between the Company and Bonneville Power Administration (BPA). The Residential Exchange Program provides a share of the benefits of the federal Columbia River power system to the residential and small-fann customers of the six investor-owned utilities of the Pacific Northwest, including Avista. AVISTA'S ELECTRIC RESIDENTIAL AND SMALL FARM ANNUAL RATE ADruSTMENTFILING 26 25 27 28 29 30 3l PAGE 2 I III. DRIVERS OF TIIE RESIDENT AND SMAI,I, F'ARM ENERGY RATE 2 AI}JUSTMENT CREDIT 3 Under the current Residential Exchange rate adjustment, approximately $4.8 4 million annually is being passed tluough to applicable Idaho customers tluough a uniform 5 0 .387 g per kilowatt-hour rate credit. This rate was approved by the Idaho Public Utilities 6 Commission effective October l, 2019 in Order No.34449. 7 The proposed rate credit of0.3361 per kilowatt-hour is designed to pass through 8 approximately $4.2 million which represents the Idaho portion of the annual level ofBPA 9 benefits, offset by the over-refunded balance from the prior year, starting in October 2020. l0 The level of BPA benefits is consistent with what is currently being passed back to ll customers in rates today. That amount, however, is offset by an over-refunded balance 12 from the prior year ofapproximately $0.6 million, which is due to actual usage being higher 13 than what was projected in the Company's 2019 filing. The table below details the year 14 over year differances between the benefit included in current rates and the proposed benefit l5 included in this filing. l6 Idaho portbn ofbeneft arnorrrt Estirnated or.er(urder) refi:nded bahrrce Revenue Conversbn fictor Re\€ntE RequirenEnt 2020 Proposed $(4,740,287\ $ 574,500 $ (22,832) 2019 Present $ (4,740,287) $ (1,228) $ (27,844) Change $ (0) $ 575,728 $ s,012 17 18 l9 20 $ (4,188,620) $ (4,769,359) $ s80,739 The Company is therefore proposing an overall increase of $0.6 million or 0.3% for qualifuing customers. The change in rate credit has no effect on Avista's net income. 2l AVISTA'S ELECTRIC RESIDENTIAL AND SMAIL FARM ANNUAL RATE ADruSTMENTFILING PAGE 3 1 IV. PROPOSED RATES TO BE EFFECTI}IE OCTOBER 1.2020 2 The Company is proposing a per kilowatt-hour Residential and Small Farm Energy 3 Rate Adjustment credit rate of0.336p for rate schedules 1,12,22,32, and 48 to become 4 effective October 1 , 2020 . Attachment A to this Application provides the Residential and 5 Small Farm Energy Rate Calculation. Attached as Exhibit "A" is a copy of the proposed 6 taritr, Schedule 59, which contains the proposed Residential and Small Farm Energy rates 7 discussed earlier in this Application. Exhibit *A" also includes the proposed changes to 8 Schedule 59 in strike-ouVunderline format. Residential customers using afl average of 898 9 kilowatt-hours per month would see their monttrJy bills increase from $86.27 to $86.73, an l0 increase of $0.46 per month, or 0.5%. ll t2 V. COMMIINICATIONS AND SERVICE OF APPLICATION l3 In conformance with RP 125, this Application will be brought to the attention of the Company's customers. Included in this filing is the form of Press Release which will be issued on July 31,2020, as well as the form of Customer Notice which will be included in customer's bills beginning in early August 2020 and run for a full billing cycle. t4 t7 l8 VI. REOUESTFORRELIEP l9 The Company requests that the Commission issue an order approving a per kilowatt-hour Residential and Small Farm Energy credit rate of0.3361 for rate schedules l,12,22,32, and 48 to become effective October 1, 2020. The Residential and Small Farm Energy credit represents a $0.6 million, or 0.3%, increase to qualifl,ing customers. The 20 l5 l6 21 22 AVISTA'S ELECTRIC RESIDENTIAL AND SMALL FARM ANNUAL RATE ADruSTMENTFILING PAGE 4 2 3 4 5 6 7 8I 0 Company requests that the matter be processed under the Commission's Modified Procedure rules through the use of written comments. Dated at Spokane, Washinglon this 3l't day of July 2020. AVISTA CORPORATION BY /s/ David J. Meyer David J. Meyer Vice President and ChiefCounsel for Regulatory and Govemmental Affairs Avista Corporation AVISTA'S ELECTRIC RESIDENTIAL AND SMALL FARM ANNUAL RATE ADruSTMENTFILING PAGE 5 AVISTA CORPORATION dba Avista Utilities l.P.U.C. No. 28 Twentieth Revision Sheet 59 Canceling Nineteenth Revision Sheet 59 SCHEDULE 59 RESIDENTIAL AND FARM ENERGY RATE ADJUSTMENT - IDAHO APPLICABLE: To Residential Customers in the State of ldaho where Company has electric service available. This rate adjustment results from an Agreement between the Company and Bonneville Power Administration (BPA) covering Residential Exchange Program benefits. The rate adjustment in this schedule shall be applicable to customers served under Schedules 1 , 12, 22,32 and 48. MONTHLY RATE: The energy charges for all blocks of electric Schedules 1 , 12, 22 and 32 and the charges for area lights based on the energy usages of the lights on Schedule 48 are to be reduced by 0.336f per kWh. SPECIAL TERMS AND CONDITIONS: The rate adjustment under this schedule is subject to revision to reflect the true up from estimated to aclual benefits and to reflect projected future benefits. ln the event the credits applied under this schedule exceed the benefits, the Company will adjust the rate on this schedule to recover that difference. The energy credit applied to Schedule 32 for farm irrigation and pumping load, for each billing period, shall not exceed the amount of energy determined by the following formula: 400 x 0.746 x days in the billing period x 24 ln no instance shall any qualifying irrigation and pumping load for any month exceed 222,000 kWh. Service under this schedule is subject to the Rules and Regulations contained in this tariff. The above rate is subject to the provisions of Tax Adjustment Schedule 58. lssued by Avista Utitities By Effective: October 1, 2020lssued: July 31, 2020 Patrick Ehrbar - Director of Regulatory Affairs AVISTA CORPORATION dba Avista Utilities Nineteenth Revision Sheet 59 l.P.u.C. No.28 Ei Canceling nth Revision Sheet 59 SCHEDULE 59 RESIDENTIAL AND FARM ENERGY RATE ADJUSTMENT - IDAHO APPLICABLE: To Residential Customers in the State of ldaho where Company has electric service available. This rate adjustment results from an Agreement between the Company and Bonneville Power Administration (BPA) covering Residential Exchange Program benefits. The rate adjustment in this schedule shall be applicable to customers served under Schedules 1 , 12, 22,32 and 48. MONTHLY RATE: The energy charges for all blocks of electric Schedules 1,12,22 and 32 and the charges for area lights based on the energy usages of the lights on Schedule 48 are to be reduced by 0387d per kWh. SPECIAL TERMS AND CONDITIONS: The rate adjustment under this schedule is subject to revision to reflect the true up from estimated to actual benefits and to reflect projected future benefits. ln the event the credits applied under this schedule exceed the benefits, the Company will adjust the rate on this schedule to recover that difference. The energy credit applied to Schedule 32 for farm irrigation and pumping load, for each billing period, shall not exceed the amount of energy determined by the following formula: 400 x 0.746 x days in the billing period x 24 ln no instance shall any qualifying irrigation and pumping load for any month exceed 222,000 kwh. Service under this schedule is subject to the Rules and Regulations contained in this tariff. The above rate is subject to the provisions of Tax Adjustment Schedule 58. lssued by Avista Utilities By lssued: July 30,2019 Effective: October1,2019 Patrick Ehrbar - Director of Regulatory Affairs AVISTA CORPORATION dba Avista Utilities l.P.u.C. No. 28 Twentieth Revision Sheet 59 Canceling Nineteenth Revision Sheet 59 SCHEDULE 5S RESIDENTIAL AND FARM ENERGY RATE ADJUSTMENT - IDAHO APPLICABLE: To Residential Customers in the State of ldaho where Company has electric service available. This rate adjustment results from an Agreement between the Company and Bonneville Power Administration (BPA) covering Residential Exchange Program benefits. The rate adjustment in this schedule shall be applicable to customers served under Schedules 1 , 12,22,32 and 48. MONTHLY RATE: The energy charges for all blocks of electric Schedules 1,12,22 and 32 and the charges for area lights based on the energy usages of the lights on Schedule 48 are to be reduced by 0.336$ per kWh. SPECIAL TERMS AND CONDITIONS: The rate adjustment under this schedule is subject to revision to reflect the true up from estimated to actual benefits and to reflect projected future benefits. ln the event the credits applied under this schedule exceed the benefits, the Company will adjust the rate on this schedule to recover that difference. The energy credit applied to Schedule 321or larm irrigation and pumping load, for each billing period, shall not exceed the amount of energy determined by the following formula: 400 x 0.746 x days in the billing period x 24 ln no instance shall any qualifying irrigation and pumping load for any month exceed 222,000 kWh. Service under this schedule is subject to the Rules and Regulations contained in this tariff. The above rate is subject to the provisions of Tax Adjustment Schedule 58. lssued by Avista Utilities By Effective: October 1, 2020lssued: July 31, 2020 Patrick Ehrbar - Director of Regulatory Affairs