20220929Final_Order_No_35545.pdf

ORDER NO. 35545 1
Office of the Secretary
Service Date
September 29, 2022
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

AVISTA CORPORATION’S REQUEST TO
DECREASE ITS ENERGY EFFICIENCY
RIDER ADJUSTMENT SCHEDULE 91
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CASE NO. AVU-E-22-09

ORDER NO. 35545

On July 29, 2022, Avista Corporation dba Avista Utilities (“Company”) applied to the
Commission for authorization to decrease its electric Schedule 91 “Energy Efficiency Rider
Adjustment” (“Schedule 91”) rates. The Company asks that its Application be processed under
Modified Procedure and requests an effective date of October 1, 2022.
On August 11, 2022, the Commission issued a Notice of Application and Notice of
Modified Procedure establishing a public comment period and Company reply deadline. Order No.
35497. The Commission Staff (“Staff”) filed the only comments to which the Company did not
reply. No other comments were received.
Having reviewed the record in this case, we now issue this Order approving the
Company’s Application.
BACKGROUND
The Company’s Schedule 91 is used to collect funds that are allocated through
Schedule 90 to fund energy efficiency services to customers. The Company’s programs are built
to provide financial incentives—rebates—to help customers cover the cost of energy efficiency
measures.
As of June 30, 2022, the Company’s Schedule 91 was approximately $4.9 million
overfunded—meaning Schedule 91 has been collecting more than is being used to fund Schedule
90. The Company describes two main factors that contributed to the overfunded balance. First, the
Company had set rates to recover a large, underfunded balance after customers in 2016 and 2017
achieved far more energy efficiency savings than contemplated in the Company’s Integrated
Resource Plan (“IRP”).1 This forced the Company to adjust its Schedule 91 collection, which has
contributed to the overfunding. Second, Covid-19 altered the participation in the programs offered

1 During 2016 and 2017 customers achieved 88,319 megawatt-hours of energy savings, which was 394% of the IRP
target. Application at 3. This caused Schedule 91 to be underfunded by about $9.6 million. Id.

ORDER NO. 35545 2
in Schedule 90. The Company is unsure if customer interest and participation will increase to levels
it saw prior to Covid-19.
THE APPLICATION
The Company proposes to decrease the rates and charges collected through Schedule
91 by $3.6 million annually, or 1.4%. If approved, a residential customer using 892 kilowatt-hours
per month would see their monthly bill decrease from $86.00 to $84.82, or $1.17 per month.
The Company believes this adjustment will bring the overfunded balance of Schedule
91 to $0 by September 30, 2025.
STAFF COMMENTS
Staff reviewed the Company’s Application and workpapers and supports the
Company’s Application. Staff’s comments discussed the current overfunded balance of the
Company’s Schedule 91 and the factors that are leading to the overfunded balance. Staff indicated
its continued support for the Company’s cost-effective demand-side management programs.
Staff also included a summary of the Company’s four concurrent electric filings that,
if approved as filed, would reduce customers’ electric rates by 4.7% effective October 1, 2022. In
addition to this filing which would reduce rates by -1.4%, the Power Cost Adjustment (Case No.
AVU-E-22-11) would reduce rates by -1.2%, the BPA Residential Exchange Program (Case No.
AVU-E-22-10) would reduce rates by -0.1%, and the Fixed Cost Adjustment (Case No. AVU-E-
22-04) would reduce rates by -2.0%.
COMMISSION DECISION AND FINDINGS
The Company is an electrical corporation under Idaho Code § 61-119 and a public
utility under Idaho Code § 61-129. The Commission has jurisdiction over this matter under Idaho
Code §§ 61-502 and 61-503. The Commission is empowered to investigate rates, charges, rules,
regulations, practices, and contracts of public utilities and to determine whether they are just,
reasonable, preferential, discriminatory, or in violation of any provision of law, and may fix the
same by order. Idaho Code §§ 61-502 and 61-503.
We appreciate the Company applying to adjust its Schedule 91 rates to account for and
reduce the current overfunded balance. This adjustment will help all customers who are
consistently facing higher utility costs while continuing to fund the important energy efficiency
programs the Company offers. We encourage the Company to continue to monitor the appetite of

ORDER NO. 35545 3
customers to participate in energy efficiency programs and to seek adjustments to its Schedule 91
rate as necessary to ensure it is collecting the proper amount to fund the demand of these programs.
O R D E R
IT IS HEREBY ORDERED that the Company’s Application is approved, as filed,
effective October 1, 2022.
IT IS FURTHER ORDERED that the Company’s proposed Schedule 91-Energy
Efficiency Rider Adjustment - Idaho is approved as filed.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date of this Order regarding any matter
decided in this Order. Within seven (7) days after any person has petitioned for reconsideration,
any other person may cross-petition for reconsideration. Idaho Code § 61-626.
DONE by order of the Idaho Public Utilities Commission at Boise, Idaho this 29th day
of September 2022.

__________________________________________
ERIC ANDERSON, PRESIDENT

__________________________________________
JOHN CHATBURN, COMMISSIONER

__________________________________________
JOHN R HAMMOND JR., COMMISSIONER

ATTEST:

_____________________________
Jan Noriyuki
Commission Secretary

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