HomeMy WebLinkAbout20230410Decision Memo.pdfDECISION MEMORANDUM 1
DECISION MEMORANDUM
TO: COMMISSIONER ANDERSON
COMMISSIONER HAMMOND
COMMISSIONER LODGE
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM: CLAIRE SHARP
DEPUTY ATTORNEY GENERAL
DATE: APRIL 10, 2023
SUBJECT: IN THE MATTER OF AVISTA CORPORATION’S APPLICATION FOR
AN ACCOUNTING ORDER TO MODIFY ITS POWER COST
ADJUSTMENT MECHANISM TOACCOUNT FOR COSTS ASSOCIATED
WITH WASHINGTON’S CLIMATE COMMITMENT ACT
ALLOWANCES; CASE NO. AVU-E-23-04.
On March 31, 2023, Avista Corporation, d/b/a Avista Utilities (“Avista” or “Company”)
applied for authority to modify its power cost adjustment (“PCA”) mechanism to account for
costs associated with Washington’s Climate Commitment Act (“CCA”) Allowances. Application
at 1. The Company would like to include (1) “the costs of purchasing carbon allowances
pursuant to the . . . CCA to cover Idaho’s share of the Company’s Boulder Park natural gas
generation plant dedicated to serving its Idaho customers,” and (2) “the costs of purchasing
carbon allowances for Idaho’s share of surplus sales delivered to Mid-Columbia (“Mid-C”)
trading hub that require an associated carbon allowance” in its PCA mechanism Federal Energy
Regulatory Commission (“FERC”) Account 509. Id. The Company requested its Application be
processed by Modified Procedure with an effective date of June 1, 2023.
Staff conferred with the Company regarding its requested effective date in the
Application, and the Company agreed to a proposed effective date of September 1, 2023.
STAFF RECOMMENDATION
Staff recommends the Commission issue a Notice of Application, Notice of Intervention
setting a 21-day intervention deadline, and Notice of Suspension suspending the Company’s
proposed effective date until September 1, 2023, pursuant to its authority under Idaho Code §
61-622(4).
DECISION MEMORANDUM 2
COMMISSION DECISION
Does the Commission wish to issue a Notice of Application, Notice of Intervention
setting a 21-day intervention deadline, and Notice of Suspension suspending the Company’s
proposed effective date until September 1, 2023?
_____________________________
Claire Sharp
Deputy Attorney General
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