20210407Letter to Avista.pdf

'Idaho Public Utilities Commission BradLittle,Govemor
PO Box 83720,Boise,ID 83720-0074 Paul Kjellander,commissionerKristineRaper,Commissioner
Eric Anderson,Commissioner
April 7,2021
Michael Andrea
Clint Kalich
Avista Utilities
1411 E.Mission
PO Box 3727
Spokane,WA 99220-3727
RE:UPDATES TO CAPACITY DEFICIENCY USED IN DETERMINING
AVOIDED COST RATES;ORDER NO.34981 IN CASE NO.AVU-E-20-11.
Dear Mr.Andrea and Mr.Kalich:
In compliance with Order No.34981 in Case No.AVU-E-20-l l,Staff updated the
Surrogate Avoided Resource (SAR)model and re-calculatedavoided cost rates,using the first
capacity deficiency date of November 2026 approved in the Order.
The capacity deficiency information is updated in the "Input -Avista IRP"tab and the
"Input -Load and Resource"tab.As a result,the avoided cost of capacity will reflect the
capacity deficiency date approved in the Order.For example,as shown in Column AG in the
"AVOID NEW"tab,the capacity payment will start in 2026.
11331 W.Chinden Blvd.,Building 8 Suite 201-A,Boise ID
83714 Telephone:[phone] Facsimile:[phone]
Michael Andrea
Clint Kalich
April 7,2021
Page 2
Included is an updated copy of the SAR model.Attachment A shows the updated
published avoided cost rates for new contracts.Attachment B shows the updated published
avoided cost rates for replacement contracts.Please review the tabs in the SAR model that
pertain to Avista and file a response with the Commission by April 21,2021,stating whether the
updates to the SAR model and the calculations were made correctly.
Thank you for your cooperation.Please contact Yao Yin ([e-mail])if you
have any questions.
Sincerely,
Dayn ardie
Deputy Attorney General
Enclosures
E-Mail:[e-mail]
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