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HomeMy WebLinkAbout20120312Motion for Temporary Stay.pdfesIDA~POR~ An IDACORP Company DONOVAN E. WALKER Lead Counsel dwalkercmidahopower.com March 12,2012 VIA HAND DELIVERY EXPEDITED REVIEW REQUESTED Jean D. Jewell, Secretary Idaho Public Utilties Commission 472 West Washington Street Boise, Idaho 83702 Re: Case No. GNR-E-11-03 IN THE MATTER OF THE COMMISSION'S REVIEW OF PURPA QF CONTRACT PROVISIONS INCLUDING THE SURROGATE AVOIDED RESOURCE (SAR) AND INTEGRATED RESOURCE PLANNING (IRP) METHODOLOGIES FOR CALCULA T1NG PUBLISHED AVOIDED COST RATES Dear Ms. Jewell: Enclosed for filing are an original and seven (7) copies each of Idaho Power Company's Motion for a Temporary Stay of Its Obligation to Enter into New Power Purchase Agreements with Qualifying Facilities, Memorandum in Support of Idaho Power Company's Motion for a Temporary Stay of Its Obligation to Enter into New Power Purchase Agreements with Qualifying Facilities, Affidavit of Randy C. Allphin In Support of Idaho Power Company's Motion for a Temporary Stay of Its Obligation to Enter into New , Power Purchase Agreements with Qualifying Facilties in the above matter. y yours, Donovan E. ~f:f:~ DEW:csb Enclosures 1221 W. Idaho St. (83702) P.O. Box 70 Boise, ID 83707 DONOVAN E. WALKER (ISB No. 5921) JASON B. WILLIAMS (ISB No. 8718) Idaho Power Company 1221 West Idaho Street (83702) P.O. Box 70 Boise, Idaho 83707 Telephone: (208) 388-5317 Facsimile: (208) 388-6936 dwalker(âidahopower.com jwilliams(âidahopower.com Attorneys for Idaho Power Company RECEIVED 2UI2 MAR 12 PH 4: 49 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF THE ) COMMISSION'S REVIEW OF PURPA QF ) CONTRACT PROVISIONS INCLUDING ) THE SURROGATE AVOIDED ) RESOURCE (SAR) AND INTEGRATED ) RESOURCE PLANNING (IRP) ) METHODOLOGIES FOR CALCULATING ) PUBLISHED AVOIDED COST RATES. ) ) ) ) ) i. MOTION CASE NO. GNR-E-11-03 IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES EXPEDITED REVIEW REQUESTED Pursuant to Idaho Public Utilties Commission ("Commission") Rules of Procedure ("RP") 56 and 256, Idaho Power Company ("Idaho Powet') hereby respectfully moves the Commission for an order placing a temporary stay on Idaho Powets obligation under Sections 201 and 210 of the Public Utilty Regulatory Policies Act of 1978 ("PURPA") and various Commission Orders to enter into fixed-price PURPA contracts with Qualifying Facilties ("QF"), other than pursuant to Schedule 86. Idaho IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES - 1 Power moves the Commission to find that: (1) the evidence set forth in GNR-E-11-03 (in previous filngs and in those accompanying this Motion) establishes prima facie proof that Idaho Powets current avoided cost rates are not accurate; (2) that without adequate interim relief from its duty to purchase output from QFs at those inaccurate avoided cost rates, Idaho Powets customers are likely to suffer substantial harm; (3) that the balance of harms favors granting interim relief compared to not granting such relief; and (4) that good cause exists to grant immediate relief on an interim basis. Idaho Power further respectfully moves that the Commission act to prevent the likelihood of substantial harm by ordering a temporary stay, effective March 15, 2012, of the requirement that Idaho Power enter into any new power purchases (other than pursuant to Schedule 86) with QFs during the Commission's remaining investigation of avoided cost rates in this proceeding. Should the Commission deny this requested relief, Idaho Power requests, in the alternative, that the Commission provide alternative interim relief in the form of: (1) an order declaring that rates contained in QF purchase agreements entered into by Idaho Power after the date of this Motion be subject to the Commission's final rate determination in this matter; or (2) an order setting interim rates for Idaho Power at the applicable modified rates set forth in Table 2 of Idaho Powets Memorandum accompanying this Motion; or (3) an order limiting to one year the term of any QF contract entered into after the date of this Motion and prior to completion of the Commission's investigation; or (4) an Order establishing Tariff Schedule 86 as Idaho Powets sole avoided cost for the remainder of the Commission's investigation, subject to revision to conform with the Commission's ultimate determinations regarding avoided costs in this matter; or (5) such other relief as the Commission deems 'appropriate. IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES - 2 Idaho Power is entitled to the requested relief under the Idaho Supreme Court's reasoning, in Empire Lumber Co. v. Washington Water Power Co., 114 Idaho 191,233 (1988), that the Commission has implicit authority to grant immediate interim rate relief when a utilty makes a prima facie showing that rates are inaccurate.1 Idaho Powets Memorandum in Support of Idaho Power Company's Motion for a Temporary Stay of its Obligation to Enter Into New Power Purchase Agreements with QFs ("Memorandum"), inclusive of the Affidavit of Randy C. Allphin, and the direct testimony previously submitted by Idaho Power in this Case No. GNR-E-11-03, inarguably makes a prima facie showing. To the extent Idaho Code § 61-307 applies to relief granted by the Commission, for "good cause shown," the Commission may waive the notice requirement in that statute.2 Such good cause clearly exists. In addition, QFs that would be affected by a suspension do not have a due process right to current avoided cost rates.3 QFs wil not be irreparably harmed by an immediate stay. If, weeks from now, the Commission's careful consideration of this Motion and opposing arguments causes the Commission to lift the interim stay, QFs can be kept whole. The opposite is not true. If the Commission delays for weeks granting a stay, in the interim Idaho Power wil most likely be met by a flood QFs locking in 20-year contracts. 1 Empire Lumber Co. v. Washington Water Power Co., 114 Idaho 191, 233 (1988) (citing Grindstone Butte Mut. Canal Co. v. Idaho Power Co., 98 Idaho 860,862 (1978) ("All Commission orders as to rates are subject to change, given the mandate of I.C. § 61-502 that the Commission continue to evaluate the rates charged and make changes as necessary. It is true that no statute gives explicit authority to the Commission to enter "interim" or "temporary" orders; however, implied in the directive of on-going investigation is the power to make orders effecting rates that are temporary in nature." Id.) 2 Supra, n. 76. 3 In the Matter of the Adjustment of Avoided Cost Rates for New PURPA Contracts, IPUC Case No. GNR-E-10-01, Order No. 31092,12 (2010) (QFs without a legally enforceable obligation do not have a property interest in prior rates) (citing Rosebud Enters. v. Idaho PUC, 131 Idaho 1,7 (1997)). IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES - 3 II. PREREQUISITES FOR EXPEDITIOUS SUBSTANTIVE RELIEF This Motion is brought pursuant to RP 56 and RP 256. In satisfaction of RP 256.02, Idaho Power hereby declares that: 1 . The facts supporting Idaho Powets request to act on fewer than 14 days notice are set forth in the direct testimony of Idaho Power's witnesses filed in GNR-E-11-03 on January 31, 2012, and in the Affidavit of Randy C. Allphin filed contemporaneously with this Motion. Those facts are summarized in Idaho Powets accompanying Memorandum, which also provides legal argument and basis why Idaho Power is entitled to the requested relief. " 2. Idaho Power served all of the parties on the GNR-E-11-03 service list with a copy of this Motion, the Affidavit of Randy C. Allphin, and the Memorandum by U.S. Mail and electronic mail on March 12,2012. At least one representative of each party (as indicated on the Certificate of Service) was also contacted and informed of this Motion and the procedure set forth in RP 256.02 by telephone on March 12, 2012. II. REQUESTED PROCEDURE Idaho Power hereby respectfully requests that the Commission grant the requested relief effective March 15,2012, after parties to this proceeding have had two full days following notice of the Motion to inform the Commission Secretary whether they support or oppose the Motion. Idaho Power submits that the facts supporting its request justify the Commission's issuing its order for temporary relief by no later than March 15, 2012, after being informed of the parties support or opposition, and whether they wish to be heard, pursuant to RP 256.02 and without further briefing. If the IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES - 4 Commission concludes that it wil consider further written responses of the parties, then Idaho Power respectfully proposes the following schedule: · The Commission grant Idaho Power interim relief effective no later than March 15, 2012, subject to modification upon conclusion of briefing and oral argument. · Any party seeking similar substantive or procedural relief must join in the Motion or file its own motion by March 19, 2012, (within 7 days after receiving the original Motion). RP 256.04. · All responses to the Motion(s) shall be filed by April 2, 2012, (the party answering to or responding to the Motion(s) wil have 14 days from the time of filing of the last motion or joinder in which to respond). Id. · Idaho Power, and any party that has joined in the Motion or filed its own motion, shall file its reply no later than April 9, 2012, (7 days after receipt of responses to the Motion). · Oral argument shall be scheduled for April 17, 2012, or such date as soon as practicable thereafter as shall be acceptable to the Commission and its docket. IV. CONCLUSION For the reasons above, Idaho Power respectfully requests that the Commission grant Idaho Powets Motion and grant the relief requested herein. DATED this 12th day of March 2012. ~., IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES - 5 CERTIFICATE OF SERVICE I HEREBY CERTIFY that on the 12th day of March 2012, pursuant to RP 256.02, that Idaho Power Company contacted one representative from each party listed below by telephone, as indicated below, and informed said party of the filng of IDAHO POWER COMPANY'S MOTION FOR, MEMORANDUM IN SUPPORT OF, AND AFFIDAVIT OF RANDY C. ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES. Each part's representative, as indicated below, was informed by telephone of the filng requesting expedited, immediate relief, and of the procedure set forth in RP 256.02 to inform the Commission Secretary, either in writing personally delivered to the Secretary or by telephone, within the next two business days, whether they support or oppose the Motion and whether they desire to be heard on the Motion in person, in writing, or by telephone. Additionally, I HEREBY CERTIFY that on the 1ih day of March 2012 I served a true and correct copy of: 1. Idaho Power Company's Motion for a Temporary Stay of its Obligation to Enter Into New Power Purchase Agreements with Qualifying Facilties; 2. Memorandum in Support of Idaho Power Company's Motion for a Temporary Stay of its Obligation to Enter Into New Power Purchase Agreements with Qualifying Facilities; and 3. Affidavit of Randy C. Allphin in Support of Idaho Power Company's Motion for a Temporary Stay of its Obligation to Enter Into New Power Purchase Agreements with Qualifying Facilities. upon the following named parties by the method indicated below, and addressed to the following: Commission Staff Donald L. Howell, II Kristine A. Sasser Deputy Attorneys General Idaho Public Utilities Commission 472 West Washington (83702) P.O. Box 83720 Boise, Idaho 83720-0074 -2 Hand Delivered U.S. Mail _ Overnight Mail FAX -2 Email don.howell(Qpuc.idaho.gov kris.sasser(Qpuc. idaho.gov -2 Telephonic Notice to Kristine A. Sasser at (208) 334-0357, at 11 :25 a.m. IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES - 6 Avista Corporation Michael G. Andrea Avista Corporation 1411 East Mission Avenue, MSC-23 P.O. Box 3727 Spokane, Washington 99220-3727 PacifiCorp d/b/a Rocky Mountain Power Daniel E. Solander PacifiCorp d/b/a Rocky Mountain Power 201 South Main Street, Suite 2300 Salt Lake City, Utah 84111 Exergy Development, Grand View Solar II, J.R. Simplot, Northwest and Intermountain Power Producers Coalition, Board of Commissioners of Adams County, Idaho, and Clearwater Paper Corporation Peter J. Richardson Gregory M. Adams RICHARDSON & O'LEARY, PLLC 515 North 27th Street (83702) P.O. Box 7218 Boise, Idaho 83707 Exergy Development Group James Carkulis, Managing Member Exergy Development Group of Idaho, LLC 802 West Bannock Street, Suite 1200 Boise, Idaho 83702 Grand View Solar II Robert A. Paul Grand View Solar II 15690 Vista Circle Desert Hot Springs, California 92241 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email michael.andrea(Qavistacorp.com -2 Telephonic Notice to Michael G. Andrea at (509) 495-2564, at 12:24 p.m. Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email daniel.solander(Qpacificorp.com -2 Telephonic Notice to Daniel E. Solander at (801) 220-4014, at 11: 15 p.m. Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email peter(Qrichardsonandoleary.com greg(Qrichardsonandoleary.com -2 Telephonic Notice to Peter J. Richardson at (208) 938-7901, at 2:58 p.m. Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email jcarkulis(Qexergydevelopment.com -2 Telephonic Notice to Peter J. Richardson at (208) 938-7901, at 2:58 p.m. Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email robertapaul08(Qgmail.com -2 Telephonic Notice to Peter J. Richardson at (208) 938-7901, at 2:58 p.m. IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES - 7 J.R. Simplot Company Don Sturtevant, Energy Director J.R. Simplot Company One Capital Center 999 Main Street P.O. Box 27 Boise, Idaho 83707-0027 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email don. stu rteva nt(Qsi mplot. com -2 Telephonic Notice to Peter J. Richardson at (208) 938-7901, at 2:58 p.m. Northwest and Intermountain Power Producers Coalition Robert D. Kahn, Executive Director Northwest and Intermountain Power Producers Coalition 1117 Minor Avenue, Suite 300 Seattle, Washington 98101 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email rkahn(Qnippc.org -2 Telephonic Notice to Peter J. Richardson at (208) 938-7901, at 2:58 p.m. Board of Commissioners of Adams County, Idaho Bil Brown, Chair Board of Commissioners of Adams County, Idaho P.O. Box 48 Council, Idaho 83612 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email bdbrown(Qfrontiernet.net -2 Telephonic Notice to Peter J. Richardson at (208) 938-7901, at 2:58 p.m. Clearwater Paper Corporation Marv Lewallen Clearwater Paper Corporation 601 West Riverside Avenue, Suite 1100 Spokane, Washington 99201 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email marv.lewallen(Qclearwaterpaper.com -2 Telephonic Notice to Peter J. Richardson at (208) 938-7901, at 2:58 p.m. Renewable Energy Coalition and Dynamis Energy, LLC Ronald L. Wiliams WILLIAMS BRADBURY, P.C. 1015 West Hays Street Boise, Idaho 83702 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email ron(Qwillamsbradbury.com -2 Telephonic Notice to Ronald L. Wiliams at (208) 344-6633, at 1 :46 p.m. IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES - 8 Renewable Energy Coalition Thomas H. Nelson, Attorney P.O. Box 1211 Welches, Oregon 97067-1211 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email nelson(Qthneslon.com -2 Telephonic Notice to Ronald L. Wiliams at (208) 344-6633, at 1 :46 p.m. John R. Lowe, Consultant Renewable Energy Coalition 12050 SW Tremont Street Portland, Oregon 97225 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email jravenesanmarcos(Qyahoo.com -2 Telephonic Notice to Ronald L. Willams at (208) 344-6633, at 1 :46 p.m. Dynamis Energy, LLC Wade Thomas, General Counsel Dynamis Energy, LLC 776 East Riverside Drive, Suite 150 Eagle, Idaho 83616 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email wthomas(Qdynamisenergy.com -2 Telephonic Notice to Ronald L. Wiliams at (208) 344-6633, at 1 :46 p.m. Interconnect Solar Development, LLC R. Greg Ferney MIMURA LAW OFFICES, PLLC 2176 East Franklin Road, Suite 120 Meridian, Idaho 83642 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email greg(Qmimuralaw.com -2 Telephonic Voice Mail to R. Greg Ferney at (208) 639-4592, at 2:52 p.m. Bil Piske, Manager Interconnect Solar Development, LLC 1303 East Carter Boise, Idaho 83706 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email bilpiske(Qcableone.net -2 Telephonic Voice Mail to R. Greg Ferney at (208) 639-4592, at 2:52 p.m. IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES - 9 Renewable Northwest Project and Idaho Windfarms, LLC Dean J. Miler Chas. F. McDevitt McDEVITT & MILLER LLP 420 West Bannock Street (83702) P.O. Box 2564 Boise, Idaho 83701 Megan Walseth Decker Senior Staff Counsel Renewable Northwest Project 917 SW Oak Street, Suite 303 Portland, Oregon 97205 Idaho Windfarms, LLC Glenn Ikemoto Margaret Rueger Idaho Windfarms, LLC 672 Blair Avenue Piedmont, California 94611 Twin Falls Canal Company and North Side Canal Company C. Thomas Arkoosh CAPITOL LAW GROUP, PLLC 205 North 10th Street, 4th Floor P.O. Box 2598 Boise, Idaho 83701-2598 Twin Falls Canal Company Brian Olmstead, General Manager Twin Falls Canal Company P.O. Box 326 Twin Falls, Idaho 83303 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email joe(Qmcdevitt-miler.com chas(Qmcdevitt-miller.com -2 Telephonic Notice to Dean J. Miler at (208) 343-7500, at 1 :03 p.m. Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -Å Email megan(Qrnp.org -2 Telephonic Notice to Dean J. Miler at (208) 343-7500, at 1 :03 p.m. Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email glenni(Qenvisionwind.com margaret(Qenvisionwind .com -2 Telephonic Notice to Dean J. Miler at (208) 343-7500, at 1 :03 p.m. Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email glenni(Qenvisionwind.com margaret(Qenvisionwind .com -2 Telephonic Voice Mail to C. Thomas Arkoosh at (208) 424-8872, at 2:55 p.m. Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email olmstead(Qtfcanal.com -2 Telephonic Voice Mail to C. Thomas Arkoosh at (208) 424-8872, at 2:55 p.m. IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES -10 North Side Canal Company Ted Diehl, General Manager North Side Canal Company 921 North Lincoln Street Jerome, Idaho 83338 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email nscanal(Qcableone.net -2 Telephonic Voice Mail to C. Thomas Arkoosh at (208) 424-8872, at 2:55 p.m. Birch Power Company Ted S. Sorenson, P.E. Birch Power Company 5203 South 11 th East Idaho Falls, Idaho 83404 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email ted(Qtsorenson.net -2 Telephonic Notice to Ted S. Sorenson at (208) 522-8069, at 3:04 p.m. Blue Ribbon Energy LLC M.J. Humphries Blue Ribbon Energy LLC 4515 South Ammon Road Ammon, Idaho 83406 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email blueribbonenergy(Qgmail.com -2 Telephonic Notice to M.J. Humphries at (208) 524-2414, at 1 :34 p.m. Arron F. Jepson Blue Ribbon Energy LLC 10660 South 540 East Sandy, Utah 84070 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -2 Email arronesq(Qaol.com -2 Telephonic Notice to M.J. Humphries at (208) 524-2414, at 1 :34 p.m. Idaho Conservation League Benjamin J. Otto Idaho Conservation League 710 North Sixth Street (83702) P.O. Box 844 Boise, Idaho 83701 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -Å Email botto(Qidahoconservation.org -2 Telephonic Notice to Benjamin J. Oto at (208) 345-6933 ext. 12, at 1:12 p.m. IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES - 11 Snake River Allance Ken Miller, Clean Energy Program Director Liz Woodruff, Executive Director Lisa Young, Clean Energy Organizer Snake River Allance 350 North 9th Street #B610 P.O. Box 1731 Boise, Idaho 83701 Hand Delivered -2 U.S. Mail _ Overnight Mail FAX -Å Email kmiller(Qsnakeriverallance.org Iwoodruff(Qsnakeriveralliance.org lyoung(Qsnakeriveralliance.org -2 Telephonic Notice to Lisa Young at (208) 344-9161, at 2:03 p.m. onovan E. Walker Attorney for Idaho Power Company IDAHO POWER COMPANY'S MOTION FOR A TEMPORARY STAY OF ITS OBLIGATION TO ENTER INTO NEW POWER PURCHASE AGREEMENTS WITH QUALIFYING FACILITIES -12