20120820Notice of Settlement; Order No.32617.pdf

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Office of the Secretary
Service Date
August 15, 2012
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE COMMISSION'S )
REVIEW OF PURPA QF CONTRACT ) CASE NO. GNR-E-11-03
PROVISIONS INCLUDING THE )
SURROGATE AVOIDED RESOURCE (SAR) ) NOTICE OF
AND INTEGRATED RESOURCE PLANNING ) SETTLEMENT CONFERENCE
(IRP) METHODOLOGIES FOR )
CALCULATING PUBLISHED AVOIDED ) ORDER NO. 32617
COST RATES. )
In September 2011, the Commission initiated this generic investigation to review the
terms of PURPA power purchase agreements (PPAs). The Commission convened a technical
hearing last week (August 7-9, 2012), where parties presented evidence that addressed among
other things curtailment of QF generation during light load periods and terms of delayed
security/liquidated damages in PPAs. During the hearing, several parties lamented that they did
not have an opportunity to informally discuss curtailment issues embodied in Idaho Power
Company's curtailment Schedule No. 74. In addition, several parties proposed various solutions
to the issue of delay security or liquidated damages in PPAs.
The Commission finds that it is reasonable to convene a settlement conference to
allow the parties to determine whether settlement is possible for some or all of the issues related
to: (1) light load curtailment as proposed in Idaho Power's Schedule No. 74 or an alternative
process; and (2) PPA terms of delay security or liquidated damages. To provide an opportunity
for the parties to informally discuss and possibly settle these issues, the Commission is
scheduling a settlement conference on August 23, 2012. Pursuant to our Procedural Rule 273,
the Commission invites the parties to settle or partially settle issues related to the two areas
identified above.
NOTICE OF SETTLEMENT CONFERENCE
YOU ARE HEREBY NOTIFIED that a settlement conference will be convened in
this matter to discuss the issues of light load curtailment and delay security/liquidated damages
to begin on THURSDAY, AUGUST 23, 2012, COMMENCING AT 9:00 A.M. IN THE
COMMISSION'S HEARING ROOM, 472 W. WASHINGTON STREET, BOISE, IDAHO.
NOTICE OF SETTLEMENT CONFERENCE
ORDER NO. 32617
Parties should come prepared to discuss the merits of these two issues and the possibility of
settlement.
YOU ARE FURTHER NOTIFIED that parties will advise the Commission no later
than September 12, 2012, on the results of their settlement negotiations.
YOU ARE FURTHER NOTIFIED that pursuant to Rule 272, settlement negotiations
are confidential unless all parties to the negotiations agree to the contrary. IDAPA 31.01.01.272.
YOU ARE FURTHER NOTIFIED that a telephone bridge will be available for those
parties unable to attend in person. Contact our Deputy Attorney General Donald Howell, at
[phone] for details.
YOU ARE FURTHER NOTIFIED that the settlement conference will be conducted
pursuant to the Commission's Rules of Procedure, IDAPA 31.01.01.000 et seq.
ORDER
IT IS HEREBY ORDERED that a settlement conference shall commence in this
matter on Thursday, August 23, 2012, at 9:00 a.m. in the Commission Hearing Room. The
purpose of the settlement conference will be for the parties to discuss and negotiate settlement of
issues pertaining to light load curtailment as proposed in Idaho Power's Schedule No. 74 or an
alternative process and delay security/liquidated damages provisions in PPAs.
NOTICE OF SETTLEMENT CONFERENCE
ORDER NO. 32617 2
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this /b rh
day of August 2012.
C A em cAt
Pk"L &~g
MARSHA H. SMITH, COMMISSIONER
ATTEST:
Jeanv.jeweu (-
Commission Secretary
O:GNR-E-1 1-03-8—Settlement
NOTICE OF SETTLEMENT CONFERENCE
ORDER NO. 32617