20050323Press Release.pdf

IDAHO PUBLIC UTILITIES COMMISSION
Case No. IPC-05-, Order No. 29737
March 23, 2005
Contact: Gene Fadness [phone]
Website: www.puc.idaho.2ov
Commission approves Idaho Power pilot programs
Boise - The Idaho Public Utilities Commission has approved two voluntary pilot programs
proposed by Idaho Power Co. in the Emmett area. The programs offers financial incentives for
customers who, through the use of automated meter readers, shift their electrical use away from
those times when peak use is at its highest and electricity is more expensive.
Automated meter readers (AMR) have been installed by the company in the Emmett and Letha
areas. Some AMR systems have the ability to inform customers of current electric prices
potentially allowing them to manage their electrical use and reduce their bills. AMR allows
customers to receive real-time pricing and use information, thereby helping them to shift their
use to non-peak times.
Idaho Power will take up to 150 volunteers each for the Energy Watch Pilot Program and the
Time-of-Day Pilot Program.
Under the Energy Watch Pilot Program, Idaho Power will allow all volunteer participants to pay
the less expensive non-summer rate (5.08 cents per kWh) instead of the summer rate (5.72 cents
per kWh for use of300 kWh or more) except during the company s selected Energy Watch
periods, when the rate would be 20 cents per kWh. The company would notify volunteer
customers either by telephone or bye-mail by 4 p.m. a day before the Energy Watch period.
Energy Watch periods can occur on any weekday from June 15 through August 15 for four hours
between 5 and 9 p.m. The company proposes that Energy Watch periods will occur on no more
than 10 days from June 15 to August 15 for a total of 40 hours.
The Time-of-Day Pilot Program allows volunteers to receive electricity for only 4.97 cents per
kWh for all the electrical use they can shift to the off-peak times of9 p.m. to 7 a.m. on weekdays
and during all hours on Saturday, Sunday and July 4. Mid-peak times, during which customers
would pay 5.8 cents per kWh, would be from 7 a.m. to 1 p., Monday through Friday. On-peak
periods, during which customers would pay 6.48 cents per kWh, would be from 1 to 9 p.
Monday through Friday. This program would be in effect for the summer season of June
through Aug. 31.
When customers shift to non-peak times, the electricity the company must generate or buy on the
market is less expensive. Reduced power cost expenses for the company benefits all Idaho Power
customers.
As Idaho Power s peak load continues to increase relative to its average load, it is becoming
increasingly important to reduce energy use during peak periods by providing proper price
signals or by directly controlling load " the commissioners said. It is likely that the majority of
customers will lower their bills under the pilot programs, but a few participants may generate
higher bills, the commission said.
The commission ordered the company to file a status report and preliminary findings by the end
of this year and submit a final report upon completion of the program in 2006.
Idaho Power is phasing in automated meter reader technology and should soon be able to offer
programs like these to a wider segment of its customer base.
A full text of the commission s order, along with other documents related to this case, are
available on the commission s Web site at www.puc.idaho.gov. Click on "File Room" and then
on "Electric Cases" and scroll down to Case No. IPC-05-