20060629notice_of_application_order_no_30082.pdf

Office of the Secretary
Service Date
June 29, 2006
BEFORE THE IDAHO PURLI C UTILITIES CO MMISSI ON
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR AN
ACCOUNTING ORDER ADDRESSING THE
DEFERRAL OF COSTS RELATED TO THE
DEVELOPMENT OF GRID WEST
NOTICE OF APPLICATION
CASE NO. IPC-06-
NOTICE OF
MODIFIED PROCEDURE
ORDER NO. 30082
YOU ARE HEREBY NOTIFIED that on April 4, 2006, Idaho Power Company filed
an Application requesting an accounting order from the Commission authorizing the deferral of
costs the Company incurred relating to the development of a regional transmission organization
(RTO). Idaho Power alleges it participated in efforts to develop an RTO, now called Grid West
pursuant to orders issued by the Federal Energy Regulatory Commission (FERC). The
Application states that Pacific Northwest electric utilities have been involved in the RTO
development process since 2000, and that the costs incurred by the utilities were to be repaid
through surcharges on customers after the R TO became operational. It now appears the
development of Grid West is unlikely, and Idaho Power requests authorization to defer the
amounts it loaned to Grid West, with interest, in the development process. An accounting order
authorizing deferral of costs does not establish reasonableness or the amount of the costs to be
recovered in rates.
Idaho Power states its expenditures relating to the development of Grid West fall into
two categories. The first category is costs incurred in the form of loans to Grid West under a
series of funding agreements. The second category of Idaho Power s development costs are
internal incremental costs, which consist of the disbursement of cash and payment of costs in
addition to amounts loaned to Grid West. Idaho Power states it has loaned a total of$1 274 158
to Grid West and expended a total of $2 594 318 in incremental internal costs. Idaho Power
states the Idaho jurisdiction ofthe total amount loaned and expended is $3 350 874.
YOU ARE FURTHER NOTIFIED that the Commission has determined that the
public interest may not require a formal hearing in this matter and will proceed under Modified
Procedure pursuant to Rules 201 through 204 of the Idaho Public Utilities Commission s Rules
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30082
of Procedure, IDAPA 31.01.01.201-204. The Commission notes that Modified Procedure and
written comments have proven to be an effective means for obtaining public input and
participation.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position on this
Application may file a written comment in support or opposition with the Commission within
forty- five (45) days from the service date of this Notice. The comment must contain a statement
of reasons supporting the comment. Persons desiring a hearing must specifically request a
hearing in their written comments. Written comments concerning this Application may be
mailed to the Commission and the Applicant at the addresses reflected below:
Commission Secretary
Idaho Public Utilities Commission
PO Box 83720
Boise, Idaho 83720-0074
Street Address for Express Mail:
Barton L. Kline
Senior Attorney
Idaho Power Company
PO Box 70
Boise, Idaho 83707-0070
E-mail: bklineCfYidahopower.com
472 W. Washington Sreet
Boise, ID 83702-5983
John R. Gale
Regulatory Affairs
Idaho Power Company
PO Box 70
Boise, Idaho 83707
E-mail: rgaleCfYidahopower .com
These 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 home page located at www.puc.idaho.gov. Click the "Comments and Questions
icon, and complete the comment form, using the case number as it appears on the front of this
document. These comments must also be sent to Idaho Power at the e-mail addresses listed
above.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are
received within the time limit set, the Commission will consider this matter on its merits and
enter its Order without a formal hearing. If written comments are received within the time limit
set, the Commission will consider them and, in its discretion, may set the same for formal
hearing.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30082
YOU ARE FURTHER NOTIFIED that the Application and supporting workpapers
testimonies and exhibits have been filed with the Commission and are available for public
inspection during regular business hours at the Commission offices or on the Commission
Web site at www.puc.idaho.gov under the "File Room" icon.
YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held
pursuant to the Commission s jurisdiction under Title 61 of the Idaho Code and that the
Commission may enter any final order consistent with its authority under Title 61.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be
conducted pursuant to the Commission s Rules of Procedure, IDAPA 31.01.01.000 et seq.
ORDER
IT IS HEREBY ORDERED that the Application of Idaho Power to defer the costs
related to the development of Grid West be processed by Modified Procedure IDAPA
31.01.01.201-.204. Persons interested in submitting written comments in this matter must do so
no later than 45 days from the service date of this Order.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this :2/1 fA
day of June 2006.
DER, PRESIDENT
K1J1~ Ii
MARSHA H. SMITH, COMMISSIONER
ATTEST:
ie D. Jeweli
Commission Secretary
bls/O:IPC-06-06 ws
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30082