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HomeMy WebLinkAbout990426_sw.docDECISION MEMORANDUM TO: FROM: DATE: RE: COMMISSIONER HANSEN COMMISSIONER SMITH COMMISSIONER KJELLANDER MYRNA WALTERS DON HOWELL STEPHANIE MILLER TONYA CLARK RICK STERLING DAVID SCOTT WORKING FILE SCOTT WOODBURY April 26, 1999 CASE NO. AVU-E-99-2 (AVISTA) SCHEDULE 62—NET METERING On March 1, 1999, Avista Corporation dba Avista UtilitiesWashington Water Power Division (Avista; Company) in Case No. AVU-E-99-2 filed an Application with the Idaho Public Utilities Commission (Commission) proposing a revision to the Companys Electric Tariff Schedule 62Cogeneration and Small Power Production ScheduleIdaho. Avista proposes adding a net metering option to its Electric Tariff Schedule 62. Net metering as defined by the Company means measuring the difference between the electricity supplied by an electric utility and the electricity generated by a customergenerator that is fed back to the electric utility over the applicable billing period. The Companys proposed tariff sheets 62F and 62G establish the terms and conditions under which the net metering option is available. These terms and conditions include: 1. customer eligibility 2. cost to customergenerator of metering and interconnection 3. standards 4. balances of generation and usage by the customergenerator 5. remaining unused kwh credits 6. reversion to previous service The proposed tariff language is attached. The Company contends that the revenue impact associated with its filing is minimal. The Company estimates that less than three existing customers will initially take service under these tariff provisions. The Company requests that the Commission approve the proposed tariff changes for an effective date of May 1, 1999. Commission Notices of Application and Modified Procedure issued March 29, 1999. The deadline for filing written comments was April 20, 1999. The following parties submitted written comments: PacifiCorp dba Utah Power & Light Company, State of Idaho Department of Water Resources, Aurora Power & Design, and Commission Staff. (Comments attached). All commenting parties recommend approval of the Company’s net metering proposal. PacifiCorp, stressing the difference between utilities, suggests that the Commission qualify its approval in such a manner that its Order would not be interpreted as having precedential or policy implications for other utilities. The Department of Water Resources states that it has spoken with an Avista representative regarding some suggested minor modifications that would expand customer eligibility to include biomass and requesting some clarification as to whether net metering will be available to irrigation customers. Water Resources indicates that it does not wish to delay the proposed effective date and is fully convinced that Avista will work with affected parties to make appropriate modifications as the needs arise. Water Resources responds that net metering is available to irrigation customers and that biomass generation will be eligible if viability can be demonstrated (letter to follow). Commission Decision Should Avista’s proposed net metering option (incl. availability to irrigation customers) be approved for effective date May 1, 1999? Scott Woodbury vld/M:AVU-E-99-2_sw DECISION MEMORANDUM 2