20101220Request to Keep Methodology.pdf

B:ih. PO""e:r Conipany IV
Id~~~~l~~~d~~ i;~~4 20m OEC 20 PM 3: 45,
Tel [phone]
fax [phone]
emaü: ted&orenson.net
December 15,2010
Jean Jewell
Commission Secretar
Idaho Public utilities Commission
P.o. Box 83720
Boise ID 83720-0074
RE: Case No. GNR-E-10-04 Joint Petition to Reduce the Available Avoided Cost from 10,000
Kilowatt to 1,000 Kilowatts
Dear Commssioners:
This letter is wrtten to request that the curent methodology for avoided costs and the
curent eligibilty up to 10,000 Kilowatts be contiued for QF hydro in the state ofIdao.
The rates available for small hydropower have been in place since 1981-1982 and have
resulted in a moderate amount of small hydro being developed in the State ofIdao. The
hydros are distrbuted priarly thoughout southern Idao associated with irgation
facilties. This distrbuted generation has resulted in clean renewable resource being
developed utilzing irgation water and providing an economic retu to the agrcultual
base of southern Idaho. While many of the small hydro plants have been developed, thère
are more that could be developed. I know of several in the process of being developed
and are anticipatig having a market though the avoided costs rates set fort by the Idaho
Public Utilities Commssion. These plans generally range from 500 kiowatts up to 3 or 4
megawatts. In addition, many of the. small hydropower plants that were built in the early
to mid 80's will have contracts expiring in another 5 to 10 yeas. It is importt to have a
continued market for our power. Whle we recognze the problems associated with wind,
we do not believe that they should be placed at the feet of small hydro. We believe that
small hydro should be allowed to contiue. Therefore, we respectfuly request of the
COmmission the following:
Page 2
Board of Public Utilities Commission
12/14/10
1. That the maximum eligible rates for small hydro be contiued at 10,000 kilowatts
2. The avoided cost model of the natural gas-fired plant is a non-renewable energy resource.
We strongly believe that ownership of any environmental attbutes or Renewable
Energy credits "REC's" be associated with power sales by small hydro be owned by the
developer of the project. We request PUC concurence.
Than your taking this information into account when considering ths case.
Very truy yours,ß/¿~
Ted S. Sorenson, P.E.
TSS/ptj
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