Loading...
HomeMy WebLinkAbout20220224Comments.pdf;i:;i'l:DTAYLOR R. BROOKS DEPUTY ATTORNEY GENERAL IDAHO PUBLIC UTILITIES COMMISSION PO BOX 83720 BOISE, IDAHO 83720-0074 (208) 334-0320 IDAHO BAR NO. 11542 ., .II:: :; Fl.; L: 3l iClj Street Address for Express Mail: I 1331 W CHINDEN BLVD, BLDG 8, SUITE 2OI.A BOISE, ID 83714 Attorney for the Commission Staff BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN TIIE MATTER OF AVISTA UTILITIES PETITION FOR AI\i EXTENSION TO FILE ITS 2023 ELECTRIC INTEGRATEI) RESOURCE PLAII CASE NO. AYT]-E.-Z2-OI COMMENTS OT THE COMMISSION STAFF COMES NOW the Staffof the Idaho Public Utilities Commission, ("StafP') by and through its Attorney of record Taylor R. Brooks, Deputy Attomey General, and submits the following comments: BACKGROUNI) On January 4,2022, Avista Corporation dlb/aAvista Utilities ("Company") petitioned the Idaho Public Utilities Commission ("Commission") for a two-month extension to file its 2023 elecfrc integrated resource plan ("IRP"F-+uch that it would be filed June l, 2023, rather than April 1,2023. The IRP is a public process to identiff and evaluate various energy resource options to meet future customer load requirements and indicate potential shortfalls. Company's Petition at 2. The Company submits its electric IRP to the Commission every two years pursuant to Order ) ) ) ) ) ) ) STAFF COMMENTS FEBRUARY 24,2022 No.22299.hd. As such, the Company's next IRP is required to be filed with the Commission on or before April 1,2023.ld. The Company uses All-Source Request for Proposals ("RFP") to comply with Purchase of Resource (PoR) rules in Washinglon See WAC 480-107.t The Company's November l, 2021, RFP draft is scheduled to be released in the first quarter of 2022 and is scheduled to be completed in the fourth quarter of 2022. Petition at2-3. Because of this schedule, the Company is requesting a two-month extension to file its IRP with the Commission o'in order to provide enough time for the conclusion of its 2022 [RFPs]. . . [which] enables any changes in resource acquisitions that may impact IRP modeling . . .." Id. The Company states that without the completed RFP, the IRP modeling results would be premature and incomplete. Id. at3. STAFF RE\rIEW Staffrecommends that the Commission allow the two-month extension requested by the Company to file its 2023 IRP for three reasons: ( I ) the inclusion of the RFP results will result in a more accurate resource plan; (2) it will allow Technical Advisory Committee (*TAC") members additional time to provide input; and (3) there will be limited impact to upcoming filings that are dependent upon the IRP. Therefore, Staff recommends that the Commission grant the Company's request for filing the2023IRP to no later than the first business day of June 2023. Inclusion of RFP Results Delaying the frling of the 2023 IRP to allow for the included results of the RFP will result in a more complete plan and will also eliminate uncertainty of the selected resources and their costs which otherwise might require the Company to speculate in its IRP models. With uncertainty mitigated, the result likely involves less overall risk and a more accurate basis for other future resource evaluations examined in the IRP. I https://www.mvavista.comiabout-us/integrated-resource-plannine/2022-all-source-rfp 2STAFF COMMENTS FEBRUARY 24,2022 IRP TAC Staffsupports a thorough development and analysis of a resource plan with the lowest cost and most risk averse analysis. The TAC membership consists of major industrial customers, irrigation representatives, elected officials, members of the environmental community, public utility commission representatives, and other interested parties. A series of public meetings have been and are scheduled to be held throughoutZA22 and2023. Accordingly, the Company cannot take full advantage of TAC's input and expertise prior to filing in April of 2023 and believes its customers are best served by an IRP that includes the results of the RFP and allows ample time for stakeholder input. Staffsupports the Company's willingness to continue holding public meetings in order to collect stakeholder input. The Company should continue to hold TAC meetings on the scheduled dates to keep the filing on time. Staffbelieves it is appropriate to permit the IRP extension to allow the Company time to resolve issues and concerns that are discussed in TAC meetings. Related IRP Cases Staff recognizes that the IRP delay may lead to a delayed update of the First Capacity Deficiency Date ("Deficiency Date") used for avoided cost pricing under both the Strrogate Avoided Resource Method and the IRP Method, since the Deficiency Date case is filed after acknowledgement of each IRP. See Order Nos. 33917 and34649. A delay in the filing of this case may result in extending the curently authorized Deficiency Date for a longer period; the timing of which will depend on whether the new Deficiency Date is earlier or later than the Deficiency Date currently authorized. However, Staffbelieves that delaying the authorization of a new Deficiency Date by two months is not unreasonable, given the benefits of including the RFP results in the IRP as discussed above. STAFF RECOMMENDATIONS Staffrecommends the Commission grant an extension for filing the 2023IRP from the first business day of April 2023 to no later than the f,rrst business day of June 2023. aJSTAFF COMMENTS FEBRUARY 24,2022 t+ nospwtfulfy srftmifideis rT @ ofFebrury 2022. Gwral Tehical Staff: Mi&aol Eldred Thvis Culber6on imir,bomcurrvrZlllD@c mem 4STAFF COI\{IVIENTS FEBRUARY 24,2022 CERTIFICATE OF SERYICE I TIEREBY CERT-IFY TI{AT I HAVE THIS 24TH DAY OF FEBRUARY 2022, SERVED TI{E FOREGOING COMMENTS OT TIIE COMMISSION STAFF, IN CASE NO. AVU-E-22.01, BY E.MAILING A COPY THEREOF, TO TIIE FOLLOWING: SHAWN BONFIELD SR MGR REGULATORY POLICY AVISTA CORPORATION POBO]{3727 SPOKANE WA99220-3727 E-MAIL: shawn.bonfield@avistacom.com dockets@avi stacorp. com DAVID J MEYER VP & CHIEF COI.]NSEL AVISTA CORPORATION POBOX3727 sPoKAl.IE W A 99220-37 27 E-mail: david.mever@avistacom.com SECRETARY CERTIFICATE OF SERVICE