20090619notice_of_public_hearing_order_no_30848.pdf

Office of the Secretary
Service Date
June 19 2009
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF IDAHO POWER
COMPANY'S APPLICATION FOR A
CERTIFICATE OF PUBLIC CONVENIENCE
AND NECESSITY FOR THE LANGLEY GULCH POWER PLANT
CASE NO. IPC-09-
NOTICE OF
FURTHER SCHEDULING
NOTICE OF PUBLIC HEARING
ORDER NO. 30848
(Motion to Stay)
On March 6, 2009, Idaho Power Company (Idaho Power; Company) filed an
Application with the Idaho Public Utilities Commission (Commission) in Case No. IPC-09-
for a Certificate of Public Convenience and Necessity (Certificate) authorizing construction of
the Langley Gulch Power Plant (Langley Gulch; Project) and inclusion of the Project in the
Company s rate base. Idaho Code ~~ 61-526
, -
528; RP 112; Idaho Code ~ 61-541 (7/1/2009).
Pursuant to Notice issued April 20, 2009, the following scheduling remains:
June 19 2009 Staff/Intervenor Direct Testimony - Pre file Deadline
July 2, 2009 Rebuttal Testimony - Prefile Deadline
July 31 , 2009 Post-Hearing Brief - File Deadline
A technical hearing in Case No. IPC-09-03 is scheduled to commence on July 14, 2009.
On May 29 2009, a Joint Motion to Stay Proceedings in Case No. IPC-09-03 for at
least 10 months was filed by the Industrial Customers of Idaho Power, Idaho Irrigation Pumpers
Association, Snake River Alliance, Idaho Conservation League, and Northwest & Intermountain
Power Producers Coalition (collectively Movants).
JOINT MOTION FOR STAY
The Movants contend that significant and unforeseen events have taken place since
Idaho Power initially filed its Application. Any single one of these events, they contend, would
be sufficient to cause reasonable persons to seek to slow down the Company s forced march to
seek Commission action on its request for a Certificate. They further contend that when taken in
NOTICE OF FURTHER SCHEDULING
NOTICE OF PUBLIC HEARING
ORDER NO. 30848
concert, the cumulative effect of the following events makes a stay of this proceeding critical.
The events cited by the Movants are the following:
Pursuant to a shareholder resolution at a recent meeting of Idaho Power
stockholders, Company management has committed to develop a
greenhouse gas reduction strategy report by September 30 2009.
Pursuant to Idaho Power Petition, the file date for the Company s 2009
Integrated Resource Plan was extended from June 2009 to December 31
2009. Case No. IPC-09-, Order No. 30815.
Authorized recovery of project costs under new Idaho legislation (Idaho
Code ~ 61-541) makes the Commission s decision in this case one of the
most far-reaching in Idaho PUC history.
. A softening of the market for wind turbines should enable the Company to
renegotiate contract penalty provisions for delay.
Idaho Power has already delayed the plant's online date beyond the time
necessary to meet the summer load of2012, i., until December 2012.
The continued unprecedented recession will have direct impact on
immediacy of need for new power plants.
Other regional utilities (e., PacifiCorp) are mothballing planned
expanSIOns.
The impacts of recent changes in Idaho Power s demand response
programs have yet to be ascertained.
On June 12, 2009, Idaho Power Company filed its Answer to the Joint Motion for
Stay. The Company characterizes the points raised within the Motion for Stay as a "collection of
speculation, conjecture, and unfounded assumptions.Delay in a decision, the Company
contends, puts the viability of the Langley Gulch project at risk. All concerns raised by the
Intervenors, the Company states , fall within the umbrella of issues identified by the Commission
in its April 20, 2009, Notice of Issue Identification and can be presented to the Commission in
testimony and exhibits under the procedural schedule and timeline adopted for hearing and
decision in this case. The Company in its Answer continues to maintain that Langley Gulch is a
needed resource to provide adequate and reliable electric service to its customers. Its
commitment to shareholders to provide a report on its greenhouse reduction strategy, it states
does not affect its greater obligation to provide service. Its decision to defer the filing of its 2009
NOTICE OF FURTHER SCHEDULING
NOTICE OF PUBLIC HEARING
ORDER NO. 30848
IRP, it states, does not reflect uncertainty as to the need for Langley Gulch. Even with enhanced
DSM program participation, the Company still forecasts substantial demand and energy
shortfalls. To stay proceedings and push the decision date beyond September 2009, the
Company states, will result in very real monetary consequences placing the Company at risk for
cancellation fees and lost deposits totaling $25.5 million.
COMMISSION FINDINGS
The Commission has reviewed and considered the filings of record in Case No. IPC-
09-03 including the Joint Motion to Stay Proceedings, the Company s Answer, and the
adopted case scheduling. The Motion to Stay Proceedings was an agenda item on the
Commission s June 15, 2009, Decision Meeting. Present at that meeting and participating in
discussion was Peter Richardson, representing the Movants, and Lisa Nordstrom, representing
Idaho Power. Clearly, there is some information that would inform the Commission s decision
in this case that will not be available until after the scheduled hearing date and the September 1
2009, proposed date for the Commission Order; however, we cannot allow that uncertainty to
paralyze us. There are very real consequences to the requested stay. What we know must be
balanced by what we don t know. For this reason, the Commission finds it reasonable to
continue with the established scheduling and to build an informed record for decision.
Accordingly, the Commission finds it reasonable to continue with the previously established
testimony prefiling and scheduling. We invite the Movants at their discretion to renew their
Motion for Stay as a preliminary matter at the beginning of hearing.
At this time, the Commission finds it reasonable to adopt the following additional
scheduling in Case No. IPC-09-03.
The Commission will conduct a public hearing in Case No. IPC-09-03 for the
purpose of taking public comment and testimony on the first day of technical hearing,
TUESDAY. JULY 14. 2009 COMMENCING AT 7:00 P.M. AT 472 WEST
WASHINGTON STREET. BOISE. IDAHO
The deadline for filing written comments in Case No. IPC-09-03 will be Friday,
July 24, 2009. Written comments concerning this Application should be mailed to the
Commission and the Applicant at the addresses reflected below:
NOTICE OF FURTHER SCHEDULING
NOTICE OF PUBLIC HEARING
ORDER NO. 30848
Commission Secretary
Idaho Public Utilities Commission
PO Box 83720
Boise, ID 83720-0074
Street Address for Express Mail:
Barton L. Kline
Lisa D. Nordstrom
Idaho Power Company
PO Box 70
Boise, ID 83707-0070
E-mail: bkline~idahopower.com
lnordstrom~idahopower. com
472 W. Washington Street
Boise, ID 83702-5918
Persons desiring to submit comments via e-mail may do so by accessing the Commission s ho~e
page located at www.puc.idaho.gov. Click on 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.
ORDER
In consideration of the foregoing and as more particularly described above, IT IS
HEREBY ORDERED that the procedural scheduling previously established in Case No. IPC-
09-03 remains unchanged and the additional scheduling set forth above is adopted.
IT IS FURTHER ORDERED that the Joint Motion for Stay filed in Case No. IPC-
09-03 can be renewed by the Movants as a preliminary matter at the time set for technical
hearing.
NOTICE OF FURTHER SCHEDULING
NOTICE OF PUBLIC HEARING
ORDER NO. 30848
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this /11-(..
day of June 2009.
JI . KEMPTON, PRE -ENT
MARSHA H. SMITH, COMMISSIONER
ATTEST:~D~Je D. Jewel
mission Secretary
bls/O:1PC-09-03 sw4
NOTICE OF FURTHER SCHEDULING
NOTICE OF PUBLIC HEARING
ORDER NO. 30848