20061219notice_of_application_ipc.pdf

Office of the Secretary
Service Date
December 19 2006
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR CASE NO. IPC-O6-
APPROVAL OF THE AGREEMENT FOR
SALE AND PURCHASE OF SURPLUS NOTICE OF APPLICATION
ENERGY BETWEEN IDAHO POWER
COMPANY AND AMALGAMATED NOTICE OF
SUGAR COMPANY, LLC - TWIN FALLS MODIFIED PROCEDURE
FA CILITY
NOTICE OF
COMMENT/PROTEST DEADLINE
YOU ARE HEREBY NOTIFIED that on November 21 , 2006, Idaho Power
Company (Idaho Power; Company) filed an Application with the Idaho Public Utilities
Commission (Commission) requesting approval of an Agreement for Sale and Purchase of
Surplus Energy (Agreement) between Idaho Power and Amalgamated Sugar Company LLC
(T ASCO) under which Idaho Power agrees to purchase surplus electric energy up to 3 MW from
TASCO's refined sugar production facility in Twin Falls at prices that are less than market-based
non-firm energy prices.
The submitted Agreement dated November 20, 2006 replaces a prior Agreement
dated August 11 , 2001. The prior surplus energy agreement was approved by the Commission in
Order No. 28910 dated December 6, 2001. The prior agreement was for a five-year term that
expired in August 2006. The initial term of the new Agreement is for one contract year. The
Agreement renews automatically from year to year unless terminated pursuant to contractual
notice requirements.
As reflected in the Application, Idaho Power states that negotiation of the Agreement
and execution of the Agreement by TASCO predated Order No. 30179 issued by the
Commission in Case No. IPC-06-, the Company s Application for authority to institute a
uniform Schedule 72 interconnection agreement. Therefore, the Agreement, the Company states
does not include the modifications approved in that Order.
Idaho Power under the Agreement will purchase up to 3 MW of surplus electric
energy generated by the electric generating equipment located at T ASCO Twin Falls plant. The
energy purchased will be surplus energy not otherwise consumed by T ASCO at the Twin Falls
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT/PROTEST DEADLINE
plant. Electric energy to be sold under the Agreement is non-firm energy and will only be
available if T ASCO does not consume the electric energy in the Twin Falls plant. The surplus
energy to be purchased from TASCO is priced at 85% of the monthly weighted average non-firm
Dow Jones Mid-Columbia Index Price. Setting the purchase price at a discount from market
price, Idaho Power contends, assures that when the Company needs the energy, the price will
always be more attractive than buying from the market. When it does not need the power, Idaho
Power should be able to resell the energy at the higher wholesale market price.
Idaho Power requests that the Agreement be approved without change or condition
and requests a Commission determination that all payments for purchases of energy incurred
under the Agreement be allowed as prudently incurred expenses for ratemaking purposes.
Should the Commission approve the Agreement, Idaho Power intends to consider the effective
date of the Agreement to be November 20 2006.
YOU ARE FURTHER NOTIFIED that the Commission has reviewed the filings of
record in Case No. IPC-06-29. The Commission has preliminarily found that the public
interest in this matter may not require a hearing to consider the issues presented and that issues
raised by the Company s filing may be processed under Modified Procedure , by written
submission rather than by hearing.
31.01.01.201-204.
Reference Commission s Rules of Procedure, IDAPA
YOU ARE FURTHER NOTIFIED that the deadline for filing written comments or
protests with respect to Idaho Power s Application and the use of Modified Procedure in Case
No. IPC-06-29 is Wednesday, January 10,2007.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are
received within the deadline, the Commission may consider the matter on its merits and may
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 IDAP
31.01.01.204.
YOU ARE FURTHER NOTIFIED that written comments concerning Case
No. IPC-06-29 should be mailed to the Commission and the Company at the addresses
reflected below.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT/PROTEST DEADLINE
Commission Secretary
Idaho Public Utilities Commission
PO Box 83720
Boise, ID 83720-0074
Street Address for Express Mail:
Monica B. Moen
Attorney II
Barton L. Kline
Senior Attorney
Idaho Power Company
PO Box 70
Boise, ID 83707-0070
E- Mail: mmoen~idahopower.com
bkline~idahopower.com
472 W. Washington Street
Boise, ID 83702-5983
Randy C. Allphin
Contract Administrator
Idaho Power Company
PO Box 70
Boise, ID 83707-0070
E-mail: rallphin~idahopower.com
Street Address for Express Mail:
1221 W. Idaho Street
Boise, ID 83702
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 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 the set the same for formal
hearing.
YOU ARE FURTHER NOTIFIED that the Application in Case No. IPC-06-
may be viewed at www.puc.idaho.gov by clicking on "File Room" and "Electric Cases " or can
be viewed during regular business hours at the Idaho Public Utilities Commission, 472 W.
Washington Street, Boise, Idaho and at the general business office of Idaho Power Company,
1221 West Idaho Street, Boise, Idaho.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT/PROTEST DEADLINE
DA TED at Boise, Idaho this Cf
-r'--
day of December 2006.
Commission Secretary
bls!N:IPC-O6-29 sw
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT/PROTEST DEADLINE