ModProc_app.doc

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF THE APPLICATION OF IDAHO POWER COMPANY FOR AMENDMENTS TO SCHEDULE 84—NET METERING. )
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) CASE NO. IPC-E-02-04

NOTICE OF application

NOTICE OF MODIFIED PROCEDURE

NOTICE OF COMMENT/PROTEST DEADLINE

YOU ARE HEREBY NOTIFIED that on February 13, 2002 in Order No. 28951 in Case No. IPC-E-01-39, the Commission approved a Schedule 84 net metering tariff for the Company’s Schedule 1—Residential and Schedule 7—Small Commercial Customers. The Commission in its Order directed the Company to 1) file a net metering proposal for the Company’s remaining customers; 2) 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; 3) propose solutions to any safety, service quality and grid reliability concerns created by the required expansion of the net metering option; and 4) make specific proposals for monitoring program cost, cost recovery and related issues of subsidization.
On March 29, 2002, Idaho Power, by way of compliance with Commission Order No. 28951, filed an Application in Case No. IPC-E-02-04 that presents a net metering proposal for the Company’s other customer classes. Under the Company’s proposed amendments, the Schedule 84 net metering tariff will:
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’s system to offset all or part of their electric consumption by means of a financial credit on their retail billing;
Allow the Company to continue to charge the net-metering customer with a demand component in its retail rates for the electrical demand its load places on Idaho Power‘s system;
Impose only those monthly charges provided for in the Company’s standard service schedule applicable to the net-metering customer;
Credit all energy provided in excess of the customer’s consumption at a price that does not result in a subsidy from other customers;
Permit generating projects with a capacity up to 100 kW to interconnect to the Company’s system in a safe and reliable manner;
Provide for broad-based access to customers to participate in net metering.

By proposing the above amendments to Schedule 84, Idaho Power states that it is making the net metering option available to customers taking service under all service schedules who own and/or operate a generation facility that is fueled by solar, wind, biomass or hydropower, or represents fuel cell technology, is rated at 100 kW of nameplate capacity or less, and is interconnected to the Company’s system at the same interconnection point where the customer’s retail load is connected.
Under the proposed revisions to Schedule 84, customers taking service under schedules other than Schedule 1 and 7 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 monthly basis and credit the energy generated by the customer’s generation facility against the customer’s energy consumption for retail billing purposes. In other words, the Company states, a customer will pay its normal demand and customer charges each month but all of the customer’s retail energy consumption could 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 states that it reduces the subsidy that otherwise might 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-serve basis until the cumulative generation nameplate capacity of net metering systems for all customer classes connected to the Company’s system equals 2.9 MW. The Company is also proposing that no single customer be permitted to connect generation in excess of 580 kW (20% of the 2.9 MW cumulative nameplate capacity limit), and no more than 100 kW nameplate capacity can be installed at each meter point. This, the Company states, 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 states that it will advise the Commission and the Commission can take such steps as it deems reasonable and in the public interest.
The Company’s Application is supported by direct testimony.
Idaho Power requests that its Application be processed under Modified Procedure, i.e., by written submission rather than by hearing. Reference Commission Rules of Procedure, IDAPA 31.01.01.201-204..
YOU ARE FURTHER NOTIFIED that the Commission has reviewed the filings of record in Case No. IPC-E-02-04. The Commission has preliminarily determined that the public interest regarding the Company’s proposal to extend net metering to its remaining customers may not require a hearing to consider the issues presented and that issues raised by the Application may be processed under Modified Procedure, i.e., by written submission rather than by hearing. Reference Commission Rules of Procedure, IDAPA 31.01.01.201-204.
YOU ARE FURTHER NOTIFIED that the Commission may not hold a hearing in this proceeding unless it receives written protests or comments opposing the use of Modified Procedure and stating why Modified Procedure should not be used. Reference IDAPA 31.01.01.203.
YOU ARE FURTHER NOTIFIED that the deadline for filing written comments or protests with respect to the Application and the Commission’s use of Modified Procedure in Case No. IPC-E-02-02 is Friday, May 10, 2002. Persons desiring a hearing must specifically request a hearing in their written protests or comments.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are received within the deadline, the Commission will consider the matter on its merits and enter its Order without a formal hearing. If comments or protests are filed within the deadline, the Commission will consider them and in its discretion may set the matter for hearing or may decide the matter and issue its Order based on the written positions before it. Reference IDAPA 31.01.01.204.
YOU ARE FURTHER NOTIFIED that written comments concerning Case No. IPCE-02-04 should be mailed to the Commission and to Idaho Power Company at the addresse(s) reflected below.

COMMISSION SECRETARY
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE, IDAHO 83720-0074

Street Address for Express Mail:

472 W WASHINGTON ST
BOISE, ID 83702-5983 BARTON L KLINE
SENIOR ATTORNEY
IDAHO POWER COMPANY
PO BOX 70
BOISE ID 83707-0070
E-mail: [e-mail]

MAGGIE BRILZ
DIRECTOR OF PRICING
IDAHO POWER COMPANY
PO BOX 70
BOISE ID 83707-0070
E-mail: [e-mail]
All comments should contain the case caption and case number shown on the first page of this document. Persons desiring to submit comments via e-mail may do so by accessing the Commission’s homepage located at www.puc.state.id.us under the heading “Contact Us.” Once at the “Contact Us” page, select “Email Case Comments or Questions,” fill in the case number as it appears on the front of this document, and enter your comments. These comments must also be sent to the Applicant at the e-mail addresses listed above.
YOU ARE FURTHER NOTIFIED that the Application in Case No. IPC-E-02-4 can be reviewed during regular business hours at the Idaho Public Utilities Commission, 472 West Washington Street, Boise, Idaho and at the principal office of Idaho Power Company located at 1221 West Idaho Street, Boise, Idaho (208-388-2323). In addition, the Application may be viewed by accessing the Commission's Website at www.puc.state.id.us under the "File Room" icon and selecting the appropriate topic heading.
DATED at Boise, Idaho this _________ day of April 2002.

Jean D. Jewell
Commission Secretary

Vld/N:IPCE0204_sw

NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT/PROTEST
DEADELINE 1

Office of the Secretary
Service Date
April 18, 2002