20020329Application.pdf

BARTON L.KLINE ISB #1526
Idaho Power Company
P.O.Box 70
Boise,Idaho 83707
Telephone:[phone]
FAX Telephone:[phone]
Attorney for Idaho Power Company
Street Address for Express Mail:
1221 West Idaho Street
Boise,Idaho 83702
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )
OF IDAHO POWER COMPANY FOR )CASE NO.IPC-E-02-Û
AMENDMENTS TO SCHEDULE 84 --)NET METERING.)APPLICATION
COMES NOW,Idaho Power Company("ldaho Power"or the "Company"),
and in accordance with RP 52 hereby applies for a Commission order authorizing
amendments to its current Schedule 84 --Net Meterinq.This Application is based on
the following:
I.
BACKGROUND
On November 9,2001,Idaho Power filed an Application for approvalof a
new Schedule 84 --Net Meterinq.Idaho Power's Applicationwas docketed as Case
No.IPC-E-01-39.The Commission placed Case No.IPC-E-01-39 on modified
procedure and received comments from interested parties.Following the receipt of
APPLICATION,Page 1
comments,on February 13,2002,the Commission issued Order No.28951 in which the
Commission approved Schedule 84 --Net Meterinq,in substantiallythe same form as
requested by the Company.However,in Order No.28951,the Commission directed
the Company to make a new application providing a net metering proposal for the
Company's tariff schedule classes in addition to the Schedule 1 and Schedule 7 classes
that were covered in the Schedule 84 approvedin Order No.28951.The Commission
also directed that the Company's new Application include provisions to allow larger
generating facilities,between 100 kW and 125 kW,to offset their load and energy
requirements under a net metering arrangement.Order No.28951 also directed the
Company in its new Application to propose solutions to any safety,service quality and
grid reliability concerns created by the expansionof the net metering option required by
Order No.28951.The Company was also directed to make specific proposalsfor
monitoring program cost,cost recovery and related issues of subsidization.
IL
DESCRIPTION OF PROPOSAL
In response to the Commission's directions,the Company is requesting
approvalof amendments to its existing Schedule 84 that:
(a)Allow customers receiving retail service under schedules other than
Schedule 1 or Schedule 7 to connect a generating resource they own or operate to the
Company'ssystem to offset all or part their electric consumption by means of a financial
credit on their retail billing;
APPLICATION,Page 2
(b)Allow the Company to continue to charge the net-metering
customer with a demand componentin its retail rates for the electrical demand its load
places on Idaho Power's system;
(c)Does not impose any monthlycharges other than those provided
for in the Company'sstandard service schedule applicableto the net-metering
customer;
(d)Credits all energy provided in excess of the customer's
consumptionat a price that does not result in a subsidy from other customers;
(e)Permits generating projects with a capacity up to 100 kW to
interconnect to the Company's system in a safe and reliable manner;
(f)Provides for broad-based access to customers to participate in net
metering.
By proposing these amendments to Schedule 84,Idaho Power will make
the net metering option available to customers taking service under all service
schedules who own and/or operate a generationfacility that is fueled by solar,wind,
biomass or hydropower,or represents fuel cell technology,is rated at 100 kW of
nameplatecapacity or less,and is interconnected to the Company'ssystem at the same
interconnection point where the customer's retail load is connected.
For customers taking service under schedules other than Schedule 1 and
7,under the proposed revisions to Schedule 84,the customer will continue to utilize a
standard utility meter that measures the customer's demand and energy and a second
meter will be installed to measure the energy provided by the customer's generating
facility.The Company will read both meters on a monthlybasis and credit the energy
APPLICATION,Page 3
generatedby the customer's generationfacility against the customer's energy
consumptionfor retail billing purposes.In other words,a customer will pay its normal
demand and customer charges each month but all of the customer's retail energy
consumptioncould be offset by the customer's generation.
If the customer's energy generation exceeds its consumption,Idaho
Power will pay the customer for such excess generation an amount per kWh equal to
eighty-five percent (85%)of the market price for non-firm energy in the Pacific
Northwest.By purchasing excess energy at market prices,Idaho Power reduces the
subsidy that might otherwise be paid under Schedule 84 if excess energy was
purchased at full retail rate prices.
Idaho Power is proposing to make net metering service available under
the amended Schedule 84 on a first-come,first-served basis until the cumulative
generation nameplatecapacity of net metering systems for all customer classes
connected to the Company's system equals 2.9 megawatts.Idaho Power is also
proposing that no single customer be permittedto connect generation in excess of
580 kW (twenty percent (20%)of the 2.9 MW cumulative nameplatecapacity limit),and
no more than 100 kW nameplatecapacity can be installed at each meter point.This
will ensure that the net metering option will be available to a wider spectrum of potential
customers.If demand for net metering service exceeds the 2.9 MW limit,Idaho Power
will advise the Commission and the Commission can take such steps as it deems
reasonable and in the public interest.
APPLICATION,Page 4
III.
TARIFFS
Attached to this Applicationas Attachment 1 are Third Revised
Sheet 84-1,Second Revised Sheet 84-2,Second Revised Sheet 84-3,First Revised
Sheet 84-4,and Seventh Revised Sheet iii.Also accompanying this Application is the
direct testimonyof Theresa Drake in support of the above-referenced proposed
changes to Schedule 84.
IV.
COMMUNICATIONS
Communications with reference to this Applicationshould be sent to the
following:
Barton L.Kline Maggie Brilz
Senior Attorney Director of Pricing
Idaho Power Company Idaho Power Company
P.O.Box 70 P.O.Box 70
Boise,ID 83707 Boise,ID 83707
V.
RELATED APPLICATIONS
Idaho Power currently has pending Applicationsrequesting the
Commission to approve amendments to rate Schedule 86 --Coqeneration and Small
Power Production --Non-Firm Enerqy (Case No.IPC-E-01-40),and Schedule 72 --
Interconnection To Non-UtilityGeneration (Case No.IPC-E-01-38).Many of the
changes pending in those cases are related to implementationof the net metering
approvedin Order No.28951.Depending on the outcome of this case,additional
APPLICATION,Page 5
changes to those schedules may be required to make those schedules compatiblewith
the final Schedule 84.
WHEREFORE,Idaho Power respectfully requests that the Commission
issue its Order approving the amendments to the Company'sSchedule 84 as proposed
in Attachment 1.Idaho Power requests that this application be processed under
modified procedure.
Respectfully submitted this 29th day of March,2002.
BARTON L.KLINE
Attorney for Idaho Power Company
APPLICATION,Page 6
ATTACHMENT 1
IDAHO POWER COMPANY THIRD REVISED SHEET 84-1
CANCELS
l.P.U.C.NO.26,TARIFF NO.101 SECOND REVISED SHEET NO.84-1
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
AVAILABILITY
Service under this schedule is available throughout the Company's service territory within the State
of Idaho for Customers intending to operate as Sellers under this schedule to generate electricity to reduce
all or part of their monthly energy usage.
Service under this schedule is available on a first-come,first-served basis until the cumulative
generation nameplate capacity of net metering systems equals 2.9 MW,which represents one-tenth of
one percent of the Company's retail peak demand during 2000.No single Seller may connect more than
20%of the cumulative generationnameplate capacity connected under this schedule.
APPUCABILITY
Service under this schedule is applicable to any Seller that:
1.Owns and/or operates a Generation Facility fueled by solar,wind,biomass,orhydropower,or represents fuel cell technology:and
2.Maintains its retail electric service account for the loads served at the Point of DeliveryadjacenttotheGenerationInterconnectionPointasactiveandingoodstanding;and
3.Meets all applicable requirements of the Company's Schedule 72 and Generation
Interconnection Process;and
4.Takes retail electric service under:
a.Schedule 1 or Schedule 7;and
Owns and/or operates a Generation Facility with a total nameplate capacity
rating of 25 kW or smaller that is interconnected to the Seller's individual electric system
on the Seller's side of the Point of Delivery,thus all energy received and delivered by theCompanyisthroughtheexistingwatt-hour retail meter.
b.Schedules other than Schedule 1 or Schedule 7;and
Owns and/or operates a Generation Facility with a total nameplate capacity
rating of 100 kW or smaller that is interconnected at a Generation Interconnection Point
that is adjacent to the Sellers Point of Delivery and is metered at the same voltage
through a meter that is separate from the retail load metering at the Sellers Point of
Delivery.
DEFINITIONS
Avoided Enerqv Cost is the monthly weighted average of the daily on-peak and off-peak Dow
Jones Mid-Columbia Electricity Price Index (Dow Jones Mid-C Index)prices for non-firm energy published in
the Wall Street Journal.This rate is calculated based upon the previous calendar month's data.If the Dow
IDAHO Issued by IDAHO POWER COMPANY
Issued -March 29,2002 John R.Gale,Vice President,Regulatory Affairs
Effective -April 29,2002 1221 West Idaho Street,Boise,Idaho
IDAHO POWER COMPANY SECOND REVISED SHEET 84-2
CANCELS
l.P.U.C.NO.26,TARIFF NO.101 FIRST REVISED SHEET NO.84-2
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
(Continued)
DEFINITIONS (Continued)
Jones Mid-C Index prices are not reported for a particular day or days,the average of the immediately
preceding and following reporting periods or days will be used.
Generation Facility means all equipment used to generate electric energy where the resulting
energy is either delivered to the Company via a single meter at the Point of Delivery or Generation
Interconnection Point,or is consumed by the customer.
Generation Interconnection Process is the Company's generation interconnection application
and engineering review process developed to ensure a safe and reliable generationinterconnection.
Interconnection Facilities are all facilities reasonably required by Prudent Electrical Practices and
the applicable electric and safety codes to interconnect and safely deliver energy from the Generation
Facility to the Point of Delivery or Generation Interconnection Point.
Generation Interconnection Point is the point where the conductors installed to allow receipt of
Sellers generation connect to the Company's facilities adjacent to the Sellers Point of Delivery.
Point of Delivery is the retail metering point where the Company's and the Seller's electrical
facilities are interconnected to allow Seller to take retail electric service from the Company.
Prudent Electrical Practices are those practices,methods and equipment that are commonly used
in prudent electrical engineering and operations to operate electric equipment lawfully and with safety,
dependability,efficiency and economy.
Schedule 72 is the Company's service schedule which provides for interconnection to non-utility
generationor its successor schedule(s)as approved by the Commission.
Seller is any Customer that owns and/or operates a Generation Facility and desires to interconnect
the Generation Facility to the Company's system to potentiallysell net surplus energy to the Company.
MONTHLY BILLING
The Seller shall be billed in accordance with the Seller's applicable standard service schedule,
including appropriate monthly charges.
CONDITIONSOF PURCHASE AND SALE
The conditions listed below shall apply to all transactions under this schedule.
1.Balances of generation and usage by the Seller:
IDAHO Issued by IDAHO POWER COMPANY
Issued -March 29,2002 John R.Gale,Vice President,Regulatory Affairs
Effective -April 29,2002 1221 West Idaho Street,Boise,Idaho
IDAHO POWER COMPANY SECOND REVISED SHEET NO.84-3
CANCELS
I.P.U.C.NO.26,TARIFF NO.101 FIRST REV§E.D SHEET NO.84-3
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
(Continued)
CONDITIONSOF PURCHASE AND SALE (Continued)
a.If electricity supplied by the Company during the Billing Period exceeds the
electricity generated by the Seller and delivered to the Company during the Billing Period,
the Seller shall be billed for the net electricity supplied by the Company at the Seller's
standard schedule retail rate,in accordance with normal metering practices.
b.If electricity generated by the Seller during the Billing Period exceeds the electricity
supplied by the Company during the Billing Period,the Seller:
i.Shall be billed for the applicable Demand and other non-energy charges
for the Billing Period under the Seller's standard service schedule,and
ii.Shall be financially credited for the net energy delivered to the Company
during the Billing Period at the Seller's standard service schedule retail rate
for Schedule 1 or Schedule 7 service.Sellers taking service under schedules
other than Schedule 1 or Schedule 7 will be credited an amount per kWh
equal to 85%of the most recently calculated monthly per kWh Avoided
Energy Cost for the kWh of net energy delivered to the Company.
iii.Shall,if taking service under a schedule other than Schedule 1 or Schedule
7,be billed the applicable retail rate for any net usage delivered by the
Company and recorded on the Seller's generation meter.
2.As a condition of interconnection with the Company,the Seller shall:
a.Complete and maintain all requirements of interconnection in accordance with
the applicable portions of Schedule 72.
b.Complete and maintain all requirements of the Company's Generation
InterconnectionProcess.
c.Obtain written confirmation from the Company that all conditions to
interconnection have been fulfilled prior to operation of the Generation Facility.Such
confirmation shall not be unreasonably withheld by the Company.
3.The Seller shall never deliver or attempt to deliver energy to the Company's system when
the Company's system serving the Seller's Generation Facility is de-energized for any reason.
4.The Company shall not be liable directly or indirectly for permitting or continuing to allow
an attachment of a net metering facility to the Company's system,or for the acts or omissions of the Seller
that cause loss or injury,including death,to any third party.
IDAHO Issued by IDAHO POWER COMPANY
issued -March 29,2002 John R.Gale,Vice President,Regulatory Affairs
Effective -April 29,2002 1221 West Idaho Street,Boise,Idaho
IDAHO POWER COMPANY FIRST REVISED SHEET NO.84-4
CANCELS
l.P.U.C.NO.26,TARIFF NO.101 ORIGINALSHEET NO.84-4
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
(Continued)
CONDITIONSOF PURCHASE AND SALE (Continued)
5.The Seller is responsible for all costs associated with the Generation Facility and
Interconnection Facilities.The Seller is also responsible for all costs associated with any Company
additions,modifications,or upgrades to any Company facilities that the Company determines are
necessary as a result of the installation of the Generation Facility in order to maintain a safe,reliable
electrical system.
6.The Company shall not be obligated to accept,and the Company may require the Seller
to curtail,interrupt or reduce deliveries of Energy if the Company,consistent with Prudent Electrical
Practices,determines that curtailment,interruption or reduction is necessary because of line construction
or maintenance requirements,emergencies,or other critical operatingconditions on its system.
7.If the Company is required by the Commission to institute curtailment of deliveries of
electricity to its customers,the Company may require the Seller to curtail its consumption of electricity in
the same manner and to the same degree as other Customerswithin the same customer class who do not
own Generation Facilities.
8.The Seller shall grant to the Company all access to all Company equipment and facilities
including adequate and continuing access rights to the property of the Seller for the purpose of
installation,operation,maintenance,replacement or any other service required of said equipment as well
as all necessary access for inspection,switching and any other operational requirements of the Seller's
Interconnections Facilities.
IDAHO Issued by IDAHO POWER COMPANY
Issued -March 29,2002 John R.Gale,Vice President,Regulatory Affairs
Effective -April 29,2002 1221 West Idaho Street,Boise,Idaho
IDAHO POWER COMPANY SEVENTH REVISED SHEET NO.iii
CANCELS
I.P.U.C.NO.26,TARIFF NO.101 SIXTH REVISED SHEET NO.iii
SCHEDULE INDEX
SHEET
SCHEDULE NUMBER
1 Residential Service ..................................................1-1 --1-2
3 Master Meter Mobile Home Park Residential Service ......................................................3-1 --3-2
7 Small General Service .................................................7-1 --7-2
9 Large General Service ...................................................9-1 --9-4
15 Dusk to Dawn Customer Lighting....................................................15-1 --15-2
19 Large Power Service..................................................19-1 --19-6
22 Energy Buy Back Temporary Program (Optional)...................................................22-1 -22-3
24 Irrigation Service...................................................24-1 --24-6
25 Irrigation Service -Time-of-Use Pilot Program (Optional).................................................25-1 -25-7
40 Unmetered General Service...................................................40-1 --40-2
41 Municipal Street Lighting Service.....................................................41-1 --41-5
42 Traffic Control Signal Lighting Service ...................................................42-1 -42-2
45 Standby Service.....................................................45-1 --45-4
46 Alternate Distribution Service...................................................46-1 -46-2
55 Power Cost Adjustment...................................................55-1
60 Solar Photovoltaic Service Pilot Program ..................................................60-1 --60-5
61 Payment for Home Wiring Audit for Power Quality ..................................................61-1
62 Green Energy Purchase Program Rider (Optional)................................................62-1
66 Miscellaneous Charges...............................................66-1 --66-4
72 Interconnections to Non-Utility Generation ................................................72-1 --72-5
84 Customer Energy Production Net Metering..............................................84-1 -84-4
86 Cogeneration and Small Power Production Standard Rates ...............................................86-1 --86-8
89 Unit Avoided Energy Cost for Cogeneration and .................................................89--1
Small Power Production
95 Adjustment for Municipal Franchise Fees.................................................95-1 -95-2
98 Residential and Small Farm Energy Credit ...................................................98-1
IDAHO Issued by IDAHO POWER COMPANY
issued --March 29,2002 John R.Gale,Vice President,Regulatory Affairs
Effective -April 29,2002 1221 West idaho Street,Boise,Idaho
IDAHO POWER COMPANY SECOND REVISED SHEET84-1
CANCELS
l.P.U.C.NO.26,TARIFF NO.101 FIRSTREVISED SHEET NO.84-1
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
AVAILABILITY
Service under this schedule is available throughout the Company's service territory within the State
of Idaho for Customersintending to operate as Sellers under this schedule to generate electricity to reduce
all or part of their monthly energy usage.
Service under this schedule is available on a first-come,first-served basis until the cumulative
generation nameplate capacity of net metering systems equals 2.9 MW,which represents one-tenth of
one percent of the Company's retail peak demand during 2000.No sinole Cu:+omorSeller mav
roproton*Connect more than 20%of the cumulative Generation nameolate capacity connected under
this schedule.
APPUCABlUTY
Service under this schedule is applicable to any Seller that:
1.Conorotos clocMoityOwns and/or operates a Generation Facility fueled by solar,wind,biomass,
or hydropower,or represents fuel cell technoloav;and
2.Maintains Cur*Coor's its retail electric service account for the loads served at the Point of
Delivery adiacent to the Generation Interconnection Poin*og:Çjotod op;Un*sor"!;ien cod o*
*ho cpocmo location as active and in good standing;and
3.Meets all applicable requirements of the Company's Schedule 72 and Generation
Interconnection Process;and
4.Takes retail electric service under:
a.Schedule 1 or Schedule 7;and
Owns and/or operates a Generation Facility with a total nameplate capacity ratina of 25
kW or smaller that is interconnected to the Seller's individual electric system on the Seller's
side of the Company'T rotoi!motorino coirtPoint of Delivery,thus all enerav received and
delivered by the Company is through the existina watt-hour retail meter.
b.Schedules other than Schedule 1 or Schedule 7:and
horo the total conoration nomocloto ococoëy rating is 100 kW or:maler;and
Owns and/or operates a Generation Facility with a total nameplate capacity rating of 100
kW or smaller that is interconnected at a Generation Interconnection Point to the como
Comcony M*croonocotion oint that is adiacent to the Point of Sellers Delivery and is
metered-at the same voltage throuah a meter that is separate from the retail load oc th o
cor,ioo to the Customer's accociotod lood and through a-focorot-s meter from any other
meterinq at the Sellers Point of Dolivoryof the Sci!ct's load of tho Cuctornor's accociotod
1.Toko:rotoil olootrio lor io:on Schodulo l or Schodulo ¯';
coi *ochnology;
DEFINITIONS
Avoided Enerav Cost is the monthlv weiahted averaae of the daiiv on-peak and off-peak Dow
Jones Mid-Columbio Electricity Price index (Dow Jones Mid-C Index)prices for non-firm enerav published in
the Wall Street Journal.This rate is calculated based upon the previous calendar month's data.If the Dow
Jones Mid-C Index prices are not reported for a particular day or days,the average of the immediatelvprecedinqandfollowinareportinqperiodsordayswillbeused.
Generation Facility means all equipment used to generate electric energy where the resulting
energy is either delivered to the Company via a single meter at the Point of Delivery or Generation
interconnection Point,oto ng pod Dris consumed by the customer.
Generation Interconnection Process is the Company's generation interconnection application
and engineering review process developed to ensure a safe and reliable generationinterconnection.
Interconnection Facilities are all facilities reasonably required by Prudent Electrical Proctices and
the applicable electric and safety codes to interconnect and safely deliver energy from the Generation
Facility to the Point of Delivery or Generation Interconnection Point.
Generation Interconnection Point is the ooint where the conductors installed to provido lor ico to
the Solorallow receipt of Sellers aeneration connect to the Company's facilities adiacent to the Sellers
Point of Delivery.
IDAHO POWER COMPANY FIRST REVISED SHEET 84-2
CANCELS
I.P.U.C.NO.26,TARIFF NO.101 ORIGINALSHEET NO.84-2
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
(Continued)
DEFINITIONS (Continued)
Point of Delivery is the retail metering point where the Company's and the Seller's electrical
facilities are interconnected to allow Seller to take retail electric service form the Company.-
Prudent Electrical Practices are those practices,methods and equipment that are commonly used
in prudent electrical engineering and operations to operate electric equipment lawfully and with safety,dependability,efficiency and economy.
Schedule 72 is the Company's service schedule which provides for interconnection to non-utility
generation or its successor schedule(s)as approved by the Commission.
Seller is any :y Customer that owns and/or operates a Generation Facility and desires to
interconnect ord oporote othe Generation Facility ond to the Company's system to potentially sell net
surplus energy to the Company.
MONTHLY BILLING
The Seller shall be billed in accordance with the Seller's applicable standard service sSchedule-lor
Schedulo ¯',including appropriate monthly charges.
CONDITIONSOF PURCHASE AND SALE
The conditions listed below shall apply to all transactions under this schedule.
1.Balances of generation and usage by the Seller:
a.If electricity supplied by the Company during the Billing Period exceeds the
electricity generated by the Seller and delivered to the Company during the Billing Period,
the Seller shall be billed for the net electricity supplied by the Company at the Seller's
standard schedule retail rate,in accordance with normal metering practices.
b.If electricity generated by the Seller during the Billing Periodexceeds the electricity
supplied by the Company during the Billing Period,the Seller:
i.Shall be billed for the applicable Demand and other non-energy charges
for the Billing Period under the Seller's standard service schedule,and
ii.Shall be financially credited for the genergy delivered to the Company
during the Billing Period at the Seller's standard service schedule retail rate-
for Schedule 1 or Schedule 7 serviceCustomers.Seller:Cultomers takinq
service under schedules other than Schedule 1 or Schedule 7 will be
credited an amount per kWh ecual to 85%of the most recentiv calculated
monthly per kWh Avoided Energy Cost for the kWh of net energy delivered
to the Company.
iii.Shall,if takina service under a schedule other than Schedule 1 or Schedule
7,be billed the acolicable retail rate for any net usage delivered by the
Company and recorded on the Seller's aeneration meter.
2.As a condition of interconnection with the Company,the Seller shall:
a.Complete and maintain all requirements of interconnection in accordance with
the applicable portions of Schedule 72.
IDAHO POWER COMPANY SIXTH REVISED SHEET NO.iii
CANCELS
I.P.U.C.NO.26,TARIFF NO.101 FIFTH REVISED SHEET NO.iii
SCHEDULE INDEX
SHEET
SCHEDULE TIL.E NUMBER
1 Residential Service ...................................................1-1 --1-2
3 Master Meter Mobile Home Park Residential Service ....................................................3-1 --3-2
7 Small General Service ....................................................7-1 --7-2
9 Large General Service ..................................................9-1 --9-4
15 Dusk to Dawn Customer Lighting....................................................15-1 --15-2
19 Large Power Service.....................................................19-1 --19-6
22 Energy Buy Back Temporary Program (Optional)........................................................22-1 -22-3
24 Irrigation Service......................................................24-1 --24-6
25 Irrigation Service -Time-of-Use Pilot Program (Optional).....................................................25-1 -25-7
40 Unmetered General Service.....................................................40-1 --40-2
41 Municipal Street Lighting Service........................................................41-1 --41-5
42 Traffic Control Signal Lighting Service ...................................................42-1 -42-2
45 Standby Service.......................................................45-1 --45-4
46 Alternate Distribution Service........................................................46-1 --46-2
55 Power Cost Adjustment......................................................55-1
60 Solar Photovoltaic Service Pilot Program ......................................................60-1 --60-5
61 Payment for Home Wiring Audit for Power Quality ......................................................61-1
62 Green Energy Purchase Program Rider (Optional)....................................................62-1
66 Miscellaneous Charges.......................................................66-1 --66-4
72 Interconnections to Non-Utility Generation.....................................................72-1 --72-5
84 Customer Enerav Production Net Metering.......................................84-1 -84-4
86 Cogeneration and Small Power Production Standard Rates ..................................................86-1 --86-8
89 Unit Avoided Energy Cost for Cogenerationand .....................................................89--1
Small Power Production
95 Adjustment for Municipal Franchise Fees..................................................95-1 -95-2
98 Residential and Small Farm Energy Credit .....................................................98-1
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )
OF IDAHO POWER COMPANY FOR )CASE NO.IPC-E-02-
AMENDMENTS TO SCHEDULE 84 --)
NET METERING.)
IDAHO POWER COMPANY
DIRECT TESTIMONY
OF
THERESA DRAKE
1 Q.Please state your name and business address.
2 A.My name is Theresa Drake.My business
3 address is 1221 West Idaho Street,Boise,Idaho.
4 Q.By whom are you employed and in what
5 capacity?
6 A.I am employed by Idaho Power Company as a
7 Senior Pricing Analyst.
8 Q.Please describe your educational background.
9 A.In 1990,I received Bachelor of Science
10 Degrees in Marketing and Finance from Jacksonville State
11 University in Jacksonville,Alabama.I have attended the
12 Practical Skills course hosted by the Center for Public
13 Utilities,NARUC,and New Mexico State University.I have
14 also attended numerous seminars and conferences regarding
15 rate design,deregulation,and alternative customer
16 programs.
17 Q.Please describe your business experience with
18 Idaho Power Company.
19 A.I started employment with Idaho Power Company
20 in January,1997 as an analyst in the Pricing and Regulatory
21 Services Department.My responsibilities as an analyst
22 include rate design analysis,tariff management,alternative
23 customer program development,and the preparation of cost of
24 service and unbundling studies.
25 Q.what is the purpose of your testimony in this
DRAKE,DI 1
Idaho Power Company
1 proceeding?
2 A.In Order No.28951 the Commission approved a
3 new net metering tariff,schedule 84,for Idaho Power
4 customers taking electric service under Schedules 1 and 7.
5 However,in that Order the Commission directed the Company
6 to file a new application proposing a net metering
7 arrangement for customers taking service under the rest of
8 Idaho Power's retail rate schedules.The purpose of my
9 testimony in this proceeding is to describe Idaho Power's
10 proposal to provide the net metering options for schedules
11 other than Schedules 1 and 7 as prescribed by Order No.
12 28951.My testimony also addresses the issues of
13 subsidization and cost recovery identified by the Commission
14 in order No.28951.
15 Q.Are you sponsoring any exhibits to your
16 testimony.
17 A.Yes.Exhibit 1 to my testimony is a revised
18 Schedule 84 that I believe complies with the requirements
19 the commission identified in Order No.28951.
20 Q.Please explain how Exhibit 1 responds to the
21 issues identified by the Commission in Order No.28951?
22 A.Exhibit 1 provides proposed revisions to
23 Schedule 84 that:
24 1.Extend the option of net metering to all
25 customer classes;
DRAKE,DI 2
Idaho Power Company
1 2.For net metering under all Schedules
2 except 1 and 7,the revised tariff values any excess
3 generation at avoided cost;
4 3.Provide a means for broad-based customer
5 participation within Schedule 84;
6 4.Limit the nameplate generation size to
7 100 kW per metered service point for customers taking
8 service under schedules other than Schedule 1 or Schedule 7;
9 5.Maintain grid safety,reliability,and
10 service quality standards.
11 Q.Please describe the concept of net metering.
12 A.As the Commission noted in Order No.28951,
13 the primary purpose of net metering is the offsetting of a
14 customer's electrical usage by their own generation through
15 a single meter register to immediately reduce their metered
16 consumption via netting.
17 Q.What options are presently available for
18 customers desiring to interconnect their own generation to
19 Idaho Power's system?
20 A.As previously discussed,the recently
21 approved Schedule 84 allows for interconnection of
22 generating facilities for schedule 1 and Schedule 7
23 customers with a generation capacity of less than 25 kW who
24 desire to make sales of non-firm energy to Idaho Power by
25 net metering.Non-net metering options include the
DRAKE,DI 3
Idaho Power Company
1 Company's existing Schedule 86 and the proposed revised
2 schedule 86 currently pending before the Commission in Case
3 IPC-E-01-40.Schedule 86 provides a simplified means for
4 customers to sell non-firm generation to the Company.In
5 Case No.IPC-E-01-40 Idaho Power is proposing that smaller
6 generating facilities be covered by Schedule 86 and larger
7 non-firm generators negotiate individual sales contracts
8 with Idaho Power.
9 If a customer has firm generation capability,
10 the Company offers additional contract options for those
11 customers.
12 In addition to energy sales to the Company,
13 all generators are allowed equal access to the electrical
14 grid and may interconnect and enter into wheeling agreements
15 with the Company to enable them to deliver their generation
16 to an off-system wholesale or retail customer.
17 Q.How are customers compensated for their
18 energy generation under Schedule 86?
19 A.Schedule 86 pays customers for their non-firm
20 generation based on the wholesale market price for non-firm
21 energy in the Pacific Northwest.In Schedule 86 this
22 wholesale market price is defined as the Avoided Energy Cost
23 and is deemed to be equal to the weighted average of the
24 daily on-peak and off-peak Dow Jones Mid-Columbia
25 Electricity Price Index (Dow Jones Mid-C Index)prices for
DRAKE,DI 4
Idaho Power Company
1 non-firm energy published in the Wall Street Journal.In
2 Case No.IPC-E-01-40,Idaho Power has proposed that the per
3 kilowatt-hour purchase price under Schedule 86 would be
4 equal to 85%of the Avoided Energy Cost denominated in cents
5 per kilowatt-hour.
6 Q.In the Company's original filing of
7 schedule 84,the point was made that customers taking
8 service on schedules other than Schedule 1 or Schedule 7
9 would have different metering requirements to provide for
10 net metering.Please describe the differences.
11 A.Customers taking service under Schedule 1 or
12 schedule 7 do not have a demand component and typically use
13 a simple watt-hour meter.Because these customers'
14 generation is connected on the customer's side of the meter,
15 the watt-hour meter can "run backwards"and therefore can
16 "net"the kilowatt-hours generated against the kilowatt-
17 hours delivered by the Company.The Company's meter readers
18 capture one kilowatt-hour reading,which reflects the net of
19 usage and generation.This one reading is input into the
20 billing system and the customer is either charged or
21 credited depending on the value of the reading.
22 For customers whose service includes a demand
23 component,the company must continue to bill that demand
24 component.Therefore,a separate meter is required to
25 record the output of the customer's generation.Netting
DRAKE,DI 5
Idaho Power Company
1 takes place in the billing system.This requires two
2 kilowatt-hour readings to be captured.
3 Q.Why is it important to continue to bill for
4 the customer's demand?
5 A.The Company is obligated to establish and
6 maintain the infrastructure to reliably serve customer
7 electrical loads.Customers with a measured demand may have
8 significant fluctuations in their electricity load at any
9 given time.The company must plan to have facilities in
10 place to accommodate those demand fluctuations in order to
11 ensure reliable service to the customer.The demand charge
12 is designed to recover the demand-related costs associated
13 with the generation,transmission and distribution
14 facilities required to provide reliable service to meet
15 customer electricity demands.A net metering customer who
16 has a demand component is no different that a non-net
17 metering customer requiring demand;the Company must be able
18 to serve the customer's peak demand.Therefore,it is
19 important that those customers with a demand component pay
20 for the full peak demand utilized.Absent recovery of the
21 full demand related costs from net metering customers,the
22 burden of the facility expense not recovered from net
23 metering customers would fall on other ratepayers.
24 Q.Is this one of the subsidies the Commission
25 asked the Company to address in Order No.28951?
DRAKE,DI 6
Idaho Power Company
1 A.Yes.
2 Q.How can accurate billing for demand be
3 accomplished in a net-metered environment?
4 A.A dual-meter installation can accomplish this
5 goal.The customer's existing demand meter will measure
6 both the kilowatt-hours of energy delivered by the Company
7 and the demand required by the customer.A second meter
8 will be installed at the Generation Interconnection Point to
9 measure the kilowatt-hours of energy delivered by the
10 customer's generation.
11 Q.Why not just use one bi-directional meter to
12 capture the energy delivered by the Company and the energy
13 delivered by the customer?
14 A.A bi-directional meter will not only net the
15 kilowatt-hours,but will also net the demand the customer is
16 requiring from the Company.To avoid a subsidy on the
17 demand recovery,it is important that the true demand of the
18 customer be measured and billed appropriately.
19 Q.How will the kilowatt-hour "netting"take
20 place for these customers with dual meters?
21 A.Since the generation and consumption are
22 measured separately,the offsetting or netting will be
23 financial rather than physical as it is for Schedules 1 and
24 7 customers.The netting will take place in the Company's
25 billing system.Customer's kilowatt-hours of generation
DRAKE,DI 7
Idaho Power Company
1 will be subtracted from the kilowatt-hours of consumption
2 during the billing cycle.In essence,the customer will be
3 credited at the appropriate service schedule retail rate for
4 their generation up to the amount of their consumption.If
5 the customer generates a surplus,that is more energy is
6 generated than is consumed during the billing period,the
7 customer will be credited an amount per kilowatt-hour equal
8 to 85%of the monthly per kilowatt-hour Avoided Energy Cost
9 for the kilowatt-hours of net excess energy generated.
10 Q.Doesn't crediting the customer-generator for
11 their energy usage offset at the retail rate result in a
12 subsidy for the net-metering customers?
13 A.Yes.If standard service rates clearly
14 separated variable energy related costs from fixed costs
15 such as transmission and distribution plant investment,net
16 metering could easily be configured to avoid subsidies.
17 However,the current retail rate design recovers almost all
18 costs by means of energy and demand consumption charges.As
19 a result,there will be some subsidy implicit in net
20 metering.Net metered customers will not be charged the
21 full amount needed to recover their share of non-energy
22 related costs such as transmission and distribution facility
23 costs.
24 Q.what is required to set up a dual metered
25 configuration?
DRAKE,DI 8
Idaho Power Company
1 A.To separately meter the customer's
2 generation,a simple three-phase electromechanical meter is
3 required.In addition,a new meter base located at the
4 customer's premises will be needed to accommodate the meter
5 and wiring.
6 Q.Besides metering,are there interconnection
7 and protection issues for different size generators for net
8 metering consideration?
9 A.The technical interconnection requirements
10 for equipment certification and operation have been under
11 review by many state jurisdictions,IEEE Standards
12 committees,and FERC.There are many technical concerns,as
13 identified through the IEEE process and various state and
14 utility reviews.The company,after review of available
15 information,has adopted a set of interconnection guidelines
16 to ensure the safe and reliable operation of the system to
17 the benefit of the customers.Natural segmentation of
18 equipment classifications has provided specifications for 0-
19 25 kVA,25-100 kVA,100-1,000 kvA,and above 1,000 kVA class
20 projects.While these break points may appear somewhat
21 arbitrary,they have been reviewed for consistency and
22 applicability.Therefore,a generating nameplate capacity
23 limit of 100 kilowatts is crucial for maintaining system
24 performance with minimum interconnection costs.
25 Q.How will the Company recover these metering
DRAKE,DI 9
Idaho Power Company
1 and interconnection costs?
2 A.Each interconnection will have its own unique
3 problems.Therefore,as currently stated in the Company's
4 schedule 84 and Schedule 72,the Customer will be
5 responsible for any costs related to metering equipment and
6 the facilities required to safely and reliably interconnect
7 their generation to the Company's system.This will avoid
8 any subsidy to net-metering customers as a result of less
9 than full recovery of interconnection costs.
10 Q.Under the Company's proposal,can a net
11 metering customer interconnect their generation to Idaho
12 Power's system at a location that is remote from the point
13 where the customers take retail service?
14 A.No.In order for a customer to utilize net
15 metering,the generation resource must be interconnected at
16 a point that is adjacent to the location where the customer
17 receives standard retail service.
18 Q.why is that requirement included?
19 A.The concept of net metering is to allow the
20 customer the opportunity to reduce its purchases from the
21 utility by,in essence,consuming its own generation.Net
22 metering for schedules 1 and 7 under Schedule 84 complies
23 with that concept by making the interconnection on the
24 customer's side of the meter.Idaho Power believes that
25 allowing customers to offset load using generation that is
DRAKE,DI 10
Idaho Power Company
1 not located close to the customer's load is fictional net
2 metering.Generation remote from load should be purchased
3 under Schedule 86 or other PURPA type arrangement.Allowing
4 net metering where the generation is remote from the load
5 would be one more subsidy provided to net-metering customers
6 by the rest of Idaho Power's customers.In addition,
7 locating the generation meter away from the load meter will
8 increase meter read costs and reduce simplicity.
9 Q.Would customers wishing to interconnect a
10 generation source at a location away from the service point
11 for their standard service be able to do so?
12 A.Yes.Customers desiring to have their
13 generation interconnected at a location away from the load
14 site may meet the standard criteria for Cogeneration and
15 Small Power Production under the Company's Schedule 86 or
16 other power purchase arrangement.Schedule 86 is already
17 designed to address such situations.
18 Q.What are the revised availability
19 requirements proposed for Schedule 84?
20 A.In order to ensure broad-based access to
21 schedule 84,Idaho Power proposes that no single customer be
22 allowed to connect more than 20%of the cumulative nameplate
23 capacity rating under Schedule 84 and no more than 100
24 kilowatt nameplate capacity can be installed per each meter
25 point.
DRAKE,DI 11
Idaho Power Company
1 Q.Why limit the amount of generation a single
2 customer can install under Schedule 84?
3 A.The limit of no more than 20%of the approved
4 schedule 84 enrollment is a method to ensure as many small
5 generation customers who wish to participate in the schedule
6 can do so without one single customer capturing the bulk of
7 the program limit.
8 Q.Please explain the reasons for the 100
9 kilowatt nameplate capacity limit?
10 A.To ensure subsidy minimization,the Company
11 proposes that for customers on schedules other than Schedule
12 1 or schedule 7 the availability of Schedule 84 would be
13 limited to generation with a nameplate capacity of up to 100
14 kilowatts.This limitation should also minimize the need to
15 upgrade facilities to handle the interconnection as the
16 facilities in place today meet the load size of the
17 customers.This should result in less upfront expense to
18 the customer.
19 Q.How will the actual billing process work for
20 a net-metered customer taking service on a schedule other
21 than Schedule 1 or Schedule 7?
22 A.All customers taking service under Schedule
23 84 will be billed for the applicable non-energy charges
24 associated with their schedule of service.Customers who
25 generate energy will be credited the value of the retail
DRAKE,DI 12
Idaho Power Company
1 rate applicable to their schedule for energy generated
2 during the billing month up to the amount of their
3 consumption.For customers taking service under schedules
4 other than Schedules 1 and 7,if at the end of the billing
5 period,a net amount of energy has been delivered to the
6 company,each kilowatt-hour of net energy will be credited
7 at a price equal to 85%of the most recently calculated
8 monthly per kilowatt-hour Avoided Energy Cost.
9 Q.Please describe how the monthly Avoided
10 Energy Cost in Schedule 84 will be calculated.
11 A.The Avoided Energy Cost is the weighted
12 average of the daily on-peak and off-peak Dow Jones Mid-
13 Columbia Electricity Price Index (Dow Jones Mid-C Index)
14 prices for non-firm energy published in the Wall Street
15 Journal.If the Dow Jones Mid-C Index prices are not
16 reported for a particular day or days,the average of the
17 immediately preceding and following reporting periods or
18 days will be used.This is the same methodology utilized in
19 Idaho Power's proposed Schedule 86.
20 Q.Please provide an example of how the bill
21 crediting process will work.
22 A.The monthly Avoided Energy Cost for a
23 calendar month's period of time will be calculated by the
24 third business day of the following month.The price per
25 kilowatt-hour to be credited for net energy deliveries will
DRAKE,DI 13
Idaho Power Company
1 be equal to 85%of the per kilowatt-hour Avoided Energy
2 cost.The price per kilowatt-hour credit will be applied to
3 net energy delivered by Schedule 84 customers other than
4 schedule 1 or Schedule 7 after one month's worth of net
5 generation is reported during the customer's billing period.
6 For example,if a customer's billing cycle is from April 15
7 through May 15,and the customer generates more than his
8 electric usage for that billing period,the net energy
9 delivered will be credited by multiplying the net generation
10 in kilowatt-hours times the credit price calculated by the
11 third business day in May and shown on the customer's next
12 monthly bill.
13 Q.why is Idaho Power not proposing to pay the
14 full retail rate for the generation that exceeds the
15 customer's retail load?
16 A.As the Commission noted on page 11 of Order
17 No.28951,the intent of net metering is to provide a means
18 whereby customers can generate their own electricity to
19 offset all or part of their energy usage.Net metering is
20 not intended to be a vehicle to circumvent the purchase of
21 energy at avoided cost as provided by other Commission
22 orders and by PURPA.The appropriate value for the excess
23 generation produced is the established wholesale value for
24 non-firm energy at the time it was generated and delivered
25 to Idaho Power.
DRAKE,DI 14
Idaho Power Company
1 Q.If a customer-generator taking service under
2 the proposed Schedule 84 receives a net credit for their
3 monthly billing period,can that credit be used to offset
4 future electricity charges?
5 A.Yes.If a customer generated more than they
6 consumed during the billing period,the customer will
7 receive financial credit on their retail account.This
8 credit can be used to offset future electric charges or,at
9 the customer's request,be issued in the form of a check.
10 Q.Will the Company's proposal allow customers
11 to "bank"excess kilowatt-hours?
12 A.No.Some utilities with a net metering
13 program prefer to bank kilowatt-hours.However,those
14 utilities require that if a customer generated more than
15 they consumed during the year,the utility would keep the
16 excess kilowatt-hours.The Company's proposal essentially
17 compensates customer-generators for their generation
18 deliveries equal to their loads at the retail rates.Any
19 excess generation is purchased at the wholesale price and
20 funds are dispersed monthly for customers to use at their
21 discretion.The customer-generator receives value for all
22 their generation including net excess.
23 Q.Why is it proposed to use a monthly
24 calculation to value excess energy rather than an annual
25 mechanism such as "banking"kilowatt-hours?
DRAKE,DI 15
Idaho Power Company
1 A.The Company believes that the value of net
2 generation is closely related to when it is received by the
3 company.Crediting the value of the customer energy
4 produced monthly is a fair representation of the worth of
5 that energy at that point in time.Conversely,if the net
6 kilowatt-hours were "banked"until the customer utilized the
7 generation,the actual value of that generation is more than
8 likely not the same.Other utilities that bank the excess
9 kilowatt-hours keep the unused kilowatt-hours at the end of
10 the annual period,thus the customer-generator does not
11 receive any value for those excess kilowatt-hours.In
12 addition,changes in the Company's rates could cause a
13 significant true-up issue.Modifications to the Company's
14 billing system would also be required to "bank"kilowatt-
15 hours and this would cause the Company to incur substantial
16 programming costs.
17 Q.Are there any other issues associated with
18 net metering that need to be addressed?
19 A.Yes.So far the discussions of net metering
20 have not addressed the costs imposed on Idaho Power's system
21 for reserves and stand-by facilities.Regional reliability
22 organizations require that the Company have reserves at the
23 ready to cover generation loss contingencies.For larger
24 customers such as Amalgamated Sugar that use their own
25 generation to offset their load,the Company assesses a
DRAKE,DI 16
Idaho Power Company
1 standby charge.The Company recognizes that charging for
2 reserves provided and other standby charges would most
3 likely be regarded as impediments to net metering for
4 smaller customers.As a result,so long as the net metering
5 program retains the 100 kilowatts maximum size for
6 generators and retains the established 2.9 megawatt program
7 cap,these reserve and standby costs can be absorbed.
8 However,in the future,if either of these limits are
9 increased,the Commission will need to address the
10 desirability of requiring net metered customers to pay their
11 share of these standby costs.
12 Q.Can net metering adversely impact system
13 reliability?
14 A.Yes.Net metering applications hide the
15 total amount of load the system is required to serve.If
16 the generation suddenly trips off,this total load becomes
17 apparent to the system,which may cause equipment overloads.
18 In a worst case,with significant amounts of "masked"load,
19 the system reserves or margins may be insufficient causing
20 load curtailments.However,at a maximum net metering
21 program enrollment of 2.9 megawatt,any impact should be
22 manageable.
23 Q.Do any of the revisions to Schedule 84 the
24 Company is proposing in this case affect how Schedule 84 is
25 applied to Schedule 1 or Schedule 7 customers?
DRAKE,DI 17
Idaho Power Company
1 A.No.
2 Q.In order No.28951 the Commission directed
3 the Company to make proposals to address the monitoring of
4 program costs,cost recovery and related issues of
5 subsidization.Could you please describe how the Company
6 intends to address those issues?
7 A.In my testimony I have tried to identify
8 those areas where subsidization is likely to occur.With
9 respect to monitoring and recovery of program costs,
10 including subsidies,it is Idaho Power's belief that as long
11 as the 2.9 megawatt cap remains in place,excess costs and
12 subsidies associated with net metering should not be so
13 substantial as to justify special ratemaking treatment.
14 Idaho Power will track payments made for power delivered in
15 excess of consumption and those costs should be treated as
16 purchased power expenses subject to recovery in the PCA.
17 The Company intends to monitor the net metering program so
18 that if in the future the commission desires to make changes
19 to the program,the Company will be able to provide the
20 commission with sufficient cost data to assist the
21 Commission in its decision making process at that time.
22 Q.Does this conclude your testimony?
23 A.Yes,it does.
DRAKE,DI 18
Idaho Power Company
BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
CASE NO.IPC-E-02-
IDAHO POWER COMPANY
EXHIBIT NO.1
THERESA DRAKE
IDAHO POWER COMPANY THIRD REVISED SHEET 84-1
CANCELS
I.P.U.C.NO.26,TARIFF NO.101 SECOND REVISED SHEET NO.84-1
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
AVAILABILITY
Service under this schedule is available throughout the Company's service territory within the State
of Idaho for Customersintending to operate as Sellers under this schedule to generate electricity to reduce
all or part of their month\y energy usage.
Service under this schedule is availab\e on a first-come,first-served basis until the cumulative
generation nameplate capacity of net metering systems equals 2.9 MW,which represents one-tenth of
one percent of the Company's retail peak demand during 2000.No single Se\\er may connect more than
20%of the cumulative generation nameplate capacity connected under this schedule.
APPLICABILITY
Service under this schedule is applicable to any Seller that:
1.Owns and/or operates a Generation Facility fueled by solar,wind,biomass,or
hydropower,or represents fuel cell technology;and
2.Maintains its retail electric service account for the loads served at the Point of Delivery
adjacent to the Generation Interconnection Point as active and in good standing;and
3.Meets all applicable requirements of the Company's Schedule 72 and Generation
Interconnection Process;and
4.Takes retail electric service under:
a.Schedule 1 or Schedule 7;and
Owns and/or operates a Generation Facility with a total nameplate capacity
rating of 25 kW or smaller that is interconnected to the Seller's individual electric system
on the Seller's side of the Point of Delivery,thus all energy received and delivered by the
Company is through the existing watt-hour retail meter.
b.Schedules other than Schedule 1 or Schedule 7;and
Owns and/or operates a Generation Facility with a total nameplate capacity
rating of 100 kW or smaller that is interconnected at a Generation Interconnection Point
that is adjacent to the Sellers Point of Delivery and is metered at the same voltage
through a meter that is separate from the retail load metering at the Sellers Point of
Delivery.
DEFINITIONS
Avoided Enerav Cost is the monthly weighted average of the daily on-peak and off-peak Dow
Jones Mid-Columbia Electricity Price Index (Dow Jones Mid-C Index)prices for non-firm energy published in
the Wall Street Journal.This rate is calculated based upon the previous calendar month's data.If the Dow
IDAHO Issued by ^°'
Issued -March 29,2002 John R.Gale,Vice F Exhibit No.1Effective-April 29,2002 1221 Wes Case No.IPC-E-02-
T.Drake,IPCo-Dir
Page 1 of 10
IDAHO POWER COMPANY SECOND REVISED SHEET 84-2
CANCELS
I.P.U.C.NO.26,TARIFF NO.101 FIRST REVISED SHEET NO.84-2
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
(Continued)
DEFINITIONS (Continued)
Jones Mid-C Index prices are not reported for a particular day or days,the average of the immediately
preceding and following reporting periods or days will be used.
Generation Facility means all equipment used to generate electric energy where the resulting
energy is either delivered to the Company via a single meter at the Point of Delivery or Generation
Interconnection Point,or is consumed by the customer.
Generation Interconnection Process is the Company's generation interconnection application
and engineering review process developed to ensure a safe and reliable generation interconnection.
Interconnection Facilities are all facilities reasonably required by Prudent Electrical Practices and
the applicable electric and safety codes to interconnect and safely deliver energy from the Generation
Facility to the Point of Delivery or Generation Interconnection Point.
Generation Interconnection Point is the point where the conductors installed to allow receipt of
Sellers generation connect to the Company's facilities adjacent to the Sellers Point of Delivery.
Point of Delivery is the retail metering point where the Company's and the Seller's electrical
facilities are interconnected to allow Seller to take retail electric service from the Company.
Prudent Electrical Practices are those practices,methods and equipmentthat are commonly used
in prudent electrical engineering and operations to operate electric equipment lawfully and with safety,
dependability,efficiency and economy.
Schedule 72 is the Company's service schedule which provides for interconnection to non-utility
generationor its successor schedule(s)as approved by the Commission.
Seller is any Customer that owns and/or operates a Generation Facility and desires to interconnect
the Generation Facility to the Company's system to potentially sell net surplus energy to the Company.
MONTHLY BILLING
The Seller shall be billed in accordance with the Seller's applicable standard service schedule,
including appropriate monthly charges.
CONDITIONSOF PURCHASE AND SALE
The conditions listed below shall apply to all transactions under this schedule.
1.Balances of generationand usage by the Seller:
IDAHO Issued by ·
Issued -March 29,2002 John R.Gale,Vice P Exhibit No.1Effective-April 29,2002 1221 Wesi Case No.IPC-E-02-
T.Drake,IPCo-Dir
Page 2 of 10
IDAHOPOWER COMPANY SECOND REVISED SHEET NO.84-3
CANCELS
1.P.U.C.NO.26,TARIFF NO.101 FIRST REVISED SHEET NO.84-3
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
(Continued)
CONDITIONS OF PURCHASE AND SALE (Continued)
a.If electricity supplied by the Company during the Billing Period exceeds the
electricity generated by the Seller and delivered to the Company during the Billing Period,
the Sel\er shall be billed for the net electricity supplied by the Company at the Seller's
standard schedule retail rate,in accordance with normal metering practices.
b.If electricity generated by the Seller during the Billing Period exceeds the electricity
supplied by the Company during the Billing Period,the Seller:
i.Shall be billed for the applicable Demand and other non-energy charges
for the Billing Period under the Seller's standard service schedule,and
ii.Shall be financially credited for the net energy delivered to the Company
during the Billing Period at the Seller's standard service schedule retail rate
for Schedule 1 or Schedule 7 service.Sellers taking service under schedules
other than Schedule 1 or Schedule 7 will be credited an amount per kWh
equal to 85%of the most recently calculated monthly per kWh Avoided
Energy Cost for the kWh of net energy delivered to the Company.
iii.Shall,if taking service under a schedule other than Schedule 1 or Schedule
7,be billed the applicable retail rate for any net usage delivered by the
Company and recorded on the Seller's generationmeter.
2.As a condition of interconnection with the Company,the Seller shall:
a.Complete and maintain all requirements of interconnection in accordance with
the applicable portions of Schedule 72.
b.Complete and maintain all requirements of the Company's Generation
InterconnectionProcess.
c.Obtain written confirmation from the Company that all conditions to
interconnection have been fulfilled prior to operation of the Generation Facility.Such
confirmation shall not be unreasonably withheld by the Company.
3.The Seller shall never deliver or attempt to deliver energy to the Company's system when
the Company's system serving the Seller's Generation Facility is de-energized for any reason.
4.The Company shall not be liable directly or indirectly for permitting or continuing to allow
an attachment of a net metering facility to the Company's system,or for the acts or omissions of the Seller
that cause loss or injury,including death,to any third party.
IDAHO Issued by '""""""¯"
Issued -March 29,2002 John R.Gale,Vice l Exhibit No.1Effective--April 29,2002 1221 Wes Case No.IPC-E-02-
T.Drake,IPCo-Dir
Page 3 of 10
IDAHO POWER COMPANY FIRST REVISED SHEET NO.84-4
CANCELS
1.P.U.C.NO.26,TARIFF NO.101 ORIGINALSHEET NO.84-4
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
(Continued)
CONDITIONS OF PURCHASE AND SALE (Continued)
5.The Seller is responsible for all costs associated with the Generation Facility and
Interconnection Facilities.The Seller is also responsible for all costs associated with any Company
additions,modifications,or upgrades to any Company facilities that the Company determines are
necessary as a result of the installation of the Generation Facility in order to maintain a safe,reliable
electrical system.
6.The Company shall not be obligated to accept,and the Company may require the Seller
to curtail,interrupt or reduce deliveries of Energy if the Company,consistent with Prudent Electrical
Practices,determines that curtailment,interruption or reduction is necessary because of line construction
or maintenance requirements,emergencies,or other critical operating conditions on its system.
7.If the Company is required by the Commission to institute curtailment of deliveries of
electricity to its customers,the Company may require the Seller to curtail its consumption of electricity in
the same manner and to the same degree as other Customers within the same customer class who do not
own Generation Facilities.
8.The Seller shall grant to the Company all access to all Company equipment and facilities
including adequate and continuing access rights to the property of the Seller for the purpose of
installation,operation,maintenance,replacement or any other service required of said equipment as well
as all necessary access for inspection,switching and any other operational requirements of the Seller's
Interconnections Facilities.
IDAHO Issued by ^¯^¯^¯
Issued -March 29,2002 John R.Gale,Vice F Exhibit No.1
Effective --April 29,2002 1221 Wes Case No.IPC-E-02-
T.Drake,IPCo-Dir
Page 4 of 10
IDAHO POWER COMPANY SEVENTH REVISED SHEET NO.iii
CANCELS
l.P.U.C.NO.26,TARIFF NO.101 SIXTH REVISED SHEET NO.iii
SCHEDULE INDEX
SHEET
SCHEDULE ¶U NUMBER
1 Residential Service................................................1-1 --1-2
3 Master Meter Mobile Home Park Residential Service ..................................................3-1 --3-2
7 Smal\General Service ...................................................7-1 --7-2
9 Large General Service ..................................................9-1 --9-4
15 Dusk to Down Customer Lighting...................................................15-1 --15-2
19 Large Power Service..................................................19-1 --19-6
22 Energy Buy Back Temporary Program (Optional)....................................................22-1 -22-3
24 Irrigation Service......................................................24-1 --24-6
25 Irrigation Service -Time-of-UsePilot Program (Optional).......................................................25-1 -25-7
40 Unmetered General Service...................................................40-1 --40-2
41 Municipal Street Lighting Service....................................................41-1 --41-5
42 Traffic Control Signal Lighting Service....................................................42-1 -42-2
45 Standby Service.....................................................45-1 --45-4
46 Alternate Distribution Service...................................................46-1 --46-2
55 Power Cost Adjustment....................................................55-1
60 Solar Photovo\taic Service Pilot Program ....................................................60-1 --60-5
61 Payment for Home Wiring Audit for Power Quality ..................................................61-1
62 Green Energy Purchase Program Rider (Optional)................................................62-1
66 Miscellaneous Charges...................................................66-1 --66-4
72 Interconnections to Non-Utility Generation....................................................72-1 --72-5
84 Customer Energy Production Net Metering..................................................84-1 -84-4
86 Cogeneration and Small Power Production Standard Rates ...............................................86-1 -86-8
89 Unit Avoided Energy Cost for Cogeneration and ......................................................89--l
Small Power Production
95 Adjustment for Municipal Franchise Fees....................................................95-1 -95-2
98 Residential and Small Farm Energy Credit ........................................................98-1
IDAHO issued b
issued -March 29,2002 John R.Gale,Vice Exhibit No.1
Effective --April 29,2002 1221 W6 Case No.IPC-E-02-
T.Drake,IPCo-Dir
Page 5 of 10
IDAHO POWER COMPANY SECOND REVISED SHEET 84-1
CANCELS
I.P.U.C.NO.26,TARIFF NO.101 FIRST REVISED SHEET NO.84-1
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
AVAILABlUTY
Service under this schedule is available throughoutthe Company's service territory within the State
of Idaho for Customersintending to operate as Sellers under this schedule to generate electricity to reduce
all or part of their monthly energy usage.
Service under this schedule is available on a first-come,first-served basis until the cumulative
generation nomeplate capacity of net metering systems equals 2.9 MW,which represents one-tenth of
one percent of the Company's retail peak demand during 2000.No single Culto-crSeller may
rocroccMconnect more than 20%of the cumulative aeneration nameplate capacity connected under
this schedule.
APPLICABILITY
Service under this schedule is applicable to any Seller that:
1.Conorator o!co+ricityOwns and/or ooerates a Generation Facility fueled by solar,wind,biomass,
or hydropower,or represents fuel cell technoloqv;and
2.Maintaint CUE*Coor's its retail electric service account for the loads served at the Point of
Delivery adiacent to the Generation Interconnection Poirt ,,*,"",7+en ici,Q lead p*
*Bo spooWo locc+io,as active and in good standinq;and
3.Meets all applicable requirements of the Company's Schedule 72 and Generation
Interconnection Process;and
4.Takes retail electric service under:
a.Schedule 1 or Schedule 7;and
Owns and/or operates a Generation Facility with a total nameplate capacity ratino of 25
kW or smaller that is interconnected to the Seller's individual electric system on the Seller's
side of the Ccocany':retou motori"O coirt oint of Delivery,thus all eneroy received and
delivered by the Company is through the existing watt-hour retail meter.
b.Schedules other than Schedule 1 or Schedule 7;and
Whoro tho *etal ponoratior rom,opicto occoo'*y rating i:100 kW or:rrol!ct;cod
Owns and/or operates a Generation Facility with a total nameplate capacity ratinq of 100
kW or smaller that is interconnected at a Generation Interconnection Point *o *ho corno
Company M*orcornoction Point that is adiacent to the Point of Sellers Delivery and is
metered-at the same voltage through a meter that is secarate from the retail load oc the
meterina at the Sellers Point of Deliveryof the Solor's lood C+*ho Cultornor's also:o*]d
Exhibit No.1
Case No.IPC-E-02-
T.Drake,IPCo-Dir
Page 6 of 10
l.Tokor rotoil cloctric tor'ico on Schodulo lor Schedulo 7;
2.O tr:ond/or oporo*c:o Comoration Ecclity thot:
DEFINITIONS
Avoided Eneroy Cost is the monthly weighted average of the daily on-peak and off-peak Dow
Jones Mid-Columbia Electricity Price Index (Dow Jones Mid-C Index)prices for non-firm enerav published in
the Wall Street Journa\.This rate is calculated based upon the previous calendar month's data.If the Dow
Jones Mid-C Index prices are not reported for a particular day or days,the average of the immediateiv
precedina and followina reportina periods or days will be used.
Generation Facility means all equipment used to generate electric energy where the resulting
energy is either delivered to the Company via o single meter at the Point of Delivery or Generation
Interconnection Point,o+odr g poir+or is consumed by the customer.
Generation Interconnection Process is the Company's generation interconnection application
and engineering review process developed to ensure a safe and reliable generationinterconnection.
Interconnection Facilities are all facilities reasonably required by Prudent Electrical Practices and
the applicable electric and safety codes to interconnect and safely deliver energy from the Generation
Facility to the Point of Delivery or Generation Interconnection Point.
Generation Interconnection Point is the point where the conductors installed to croado ec~io:+c
ti,o Solorallow receipt of Sellers generation connect to the Company's facilities adiacent to the Sellers
Point of Deliverv.
Exhibit No.1
Case No.IPC-E-02-
T.Drake,IPCo-Dir
Page 7 of 10
IDAHO POWER COMPANY FIRST REVISED SHEET 84-2
CANCELS
I.P.U.C.NO.26,TARIFF NO.101 ORIGINALSHEET NO.84-2
SCHEDULE 84
CUSTOMER ENERGY PRODUCTION
NET METERING
(Continued)
DEFINITIONS (Continued)
Point of Delivery is the retail metering point where the Company's and the Seller's electrical
facilities are interconnected to allow Seller to take retail electric service form the Company.-
Prudent Electrical Practices are those practices,methods and equipment that are commonly used
in prudent electrical engineering and operations to operate e\ectric equipment lawfully and with safety,
dependability,efficiency and economy.
Schedule 72 is the Company's service schedule which provides for interconnection to non-utility
generation or its successor schedule(s)as approved by the Commission.
Seller is any ortity Customer that owns and/or operates a Generation Facility and desires to
interconnect oed oporato oge Generation Facility and-to the Company's system to potentiallysell net
surplus energy to the Company.
MONTHLY BILLING
The Seller shall be billed in accordance with the Seller's applicable standard service sSchedule-Ter
Schedulo 7,including appropriate monthly charges.
CONDITIONS OF PURCHASE AND SALE
The conditions listed below shall apply to all transactions under this schedule.
1.Balances of generation and usage by the Seller:
a.If electricity supplied by the Company during the Billing Period exceeds the
electricity generated by the Seller and delivered to the Company during the Billing Period,
the Seller shall be billed for the net electricity supplied by the Company at the Seller's
standard schedule retail rate,in accordance with normal metering practices.
b.If electricity generated by the Seller during the Billing Period exceeds the electricity
supplied by the Company during the Billing Period,the Seller:
i.Shall be billed for the applicable Demand and other non-energy charges
for the Billing Period under the Seller's standard service schedule,and
ii.Shall be financially credited for the n_et energy delivered to the Company
during the Billing Period at the Seller's standard service schedule retail rate-
for Schedule 1 or Schedule 7 serviceCustomorc.Seller:CU:+ooom takinq
service under schedules other than Schedule 1 or Schedule 7 will be
credited an amount Der kWh eaual to 85%of the most recently calculated
monthly per kWh Avoided Eneray Cost for the kWh of net enerav delivered
to the Company.
Exhibit No.1
Case No.IPC-E-02-
T.Drake,IPCo-Dir
Page 8 of 10
iii.Shall,if taking service under a schedule other than Schedule 1 or Schedule
7,be billed the applicable retail rate for any net usaae delivered_by_the
Company and recorded on the Seller's Generation meter.
2.As a condition of interconnection with the Company,the Seller shall:
a.Complete and maintain all requirements of interconnection in accordance with
the applicable portions of Schedule 72.
Exhibit No.1
Case No.IPC-E-02-
T.Drake,IPCo-Dir
Page 9 of 10
IDAHO POWER COMPANY SIXTH REVISED SHEET NO.iii
CANCELS
I.P.U.C.NO.26,TARIFF NO.101 FIFTH REVISED SHEET NO.iii
SCHEDULE INDEX
SHEET
SCHEDULE TLTLE NUMBER
1 Residential Service...................................................1-1 --1-2
3 Master Meter Mobi\e Home Park Residential Service ...................................................3-1 --3-2
7 Small General Service ....................................................7-1 --7-2
9 Large General Service ..................................................9-1 --9-4
15 Dusk to Dawn Customer Lighting..................................................15-1 --15-2
19 Large Power Service.................................................19-1 --19-6
22 Energy Buy Back Temporary Program (Optional)...................................................22-1 --22-3
24 Irrigation Service....................................................24-1 --24-6
25 Irrigation Service -Time-of-Use Pilot Program (Optional).....................................................25-1 -25-7
40 Unmetered General Service ......................................................40-1 --40-2
41 MunicipalStreet Lighting Service....................................................41-1 --41-5
42 Traffic Control Signal Lighting Service .......................................................42-1 -42-2
45 Standby Service.......................................................45-1 --45-4
46 Alternate Distribution Service....................................................46-1 --46-2
55 Power Cost Adjustment.....................................................55-1
60 Solar Photovoltaic Service Pilot Program ....................................................60-1 --60-5
61 Payment for Home Wiring Audit for Power Quality .................................................61-1
62 Green Energy Purchase Program Rider (Optional)..................................................62-1
66 Miscellaneous Charges..................................................66-1 --66-4
72 Interconnections to Non-Utility Generation...................................................72-1 --72-5
84 Customer Energy Production Net Meterina.........................................84-1 -84-4
86 Cogenerationand Small Power Production Standard Rates ...............................................86-1 --86-8
89 Unit Avoided Energy Cost for Cogeneration and ....................................................89--1
Small Power Production
95 Adjustment for Municipal Franchise Fees......................................................95-1 -95-2
98 Residential and Small Farm Energy Credit ....................................................98-1
Exhibit No.1
Case No.IPC-E-02-
T.Drake,IPCo-Dir
Page 10 of 10