20091125notice_of_application_order_no_30948.pdf

Office of the Secretary
Service Date
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
November 25 2009
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR
AUTHORITY TO CONVERT SCHEDULE 54
- FIXED COST ADJUSTMENT - FROM A
PILOT SCHEDULE TO AN ONGOING
PERMANENT SCHEDULE
CASE NO. IPC-09-
NOTICE OF APPLICATION
NOTICE OF
INTERVENTION DEADLINE
ORDER NO. 30948
YOU ARE HEREBY NOTIFIED that on October 1, 2009, Idaho Power Company
filed an Application requesting an Order authorizing the Company to convert its current
Schedule 54 - Fixed Cost Adjustment (FCA) - from a pilot schedule to an ongoing, permanent
schedule. In Order No. 30267 issued March 12, 2007 , the Commission approved
implementation of a three-year FCA pilot program applicable to residential service and small
general service customers. The FCA mechanism allows Idaho Power to separate collection of
fixed costs from volumetric energy sales. A surcharge or customer credit is applied when fixed-
cost recovery per customer varies from a Commission-established base. During the first two
years of the pilot program, the FCA true-up resulted in a refund in one year and a surcharge in
the next.
YOU ARE FURTHER NOTIFIED that because utilities recover a large portion of
their fixed costs through sales of kilowatt-hours of energy, the Company contends that traditional
rate design discourages utilities from reducing their sales volume by investing in energy
efficiency programs. Idaho Power alleges the purpose of the FCA pilot program "was to test the
FCA mechanism to determine its efficacy in removing the unintended rate design disincentive
for the Company to aggressively pursue DSM programs." Application, p. 4. Idaho Power
asserts that so far during the three-year pilot program the Company has made "strong progress in
improving and enhancing its efforts to promote energy efficiency and demand-side management
activities." Application, p. 3. The Company credits this effort "in no small part to removal of
the disincentive provided by the FCA mechanism during the term of the FCA pilot." Id.
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 30948
YOU ARE FURTHER NOTIFIED that the Company s Application requests that the
FCA continue to be applicable only to residential and small general service customer classes.
During the first two years of the pilot program, the FCA balances for both classes were
combined and the same FCA rate adjustment applied to both classes. Idaho Power requests, if
the FCA is made permanent, that the FCA balances and annual rate adjustment amounts for each
class remain separate so that each class is assigned its own fixed-cost adjustment rate.
YOU ARE FURTHER NOTIFIED that the Application together with supporting
testimonies and exhibits have been filed with the Commission and are available for public
inspection during regular business hours at the Commission offices. The Application and
testimonies and exhibits are also available on the Commission s web site at www.puc.idaho.gov
by clicking on "File Room" and then "Electric Cases.
DEADLINE FOR INTERVENTION
YOU ARE FURTHER NOTIFIED that persons desiring to intervene in this matter
for the purpose of presenting evidence or cross-examining witnesses at hearing must file a
Petition to Intervene with the Commission pursuant to the Commission s Rules of Procedure 72
and 73 , IDAPA 31.01.01.072 and .073. Persons intending to participate at hearing must file a
Petition to Intervene no later than twenty-one (21) days from the service date of this Order.
Persons seeking intervenor status shall also provide the Commission Secretary with their
electronic mail address to facilitate further communications in this matter.
YOU ARE FURTHER NOTIFIED that persons desiring to present their VIews
without parties' rights of participation and cross-examination are not required to intervene and
may present their comments without prior notification to the Commission or to other parties.
YOU ARE FURTHER NOTIFIED that once the deadline for intervention has
passed, the Commission Secretary shall issue a Notice of Parties. The Notice of Parties shall
assign exhibit numbers to each party in this proceeding.
YOU ARE FURTHER NOTIFIED that after the Notice of Parties is issued, the
Commission anticipates that the parties will informally convene to devise a recommended
schedule to process this case. In addition to the schedule, the parties may discuss discovery
logistics, electronic service, and other scheduling matters.
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 30948
YOU ARE FURTHER NOTIFIED that the Commission has jurisdiction over this
matter pursuantto Title 61 of the Idaho Code and specifically Idaho Code ~~ 61-124, 61-125
61-307 61-502 61-503 , and 61-507. 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, IDAP A 31.01.01.000 et seq.
ORDER
IT IS HEREBY ORDERED that persons desiring to intervene in this case for the
purpose of presenting evidence or cross-examination at hearing shall file a Petition to Intervene
with the Commission no later than twenty-one (21) days from the service date of this Order.
IT IS FURTHER ORDERED that after the Notice of Parties is issued, the Staff shall
informally convene a prehearing conference with the parties to discuss the processing of this
case.
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 30948
DONE by Order ofthe Idaho Public Utilities Commission at Boise, Idaho this ;2L/ri'
day of November 2009.
JI . KEMPToN, P IDENT
lL~
MARSHA H. SMITH, COMMISSIONER
~--s'-A
MACK A. REDFORD, COMMISSIONER
ATTEST:~lJ.~
D. Jewell
Commission Secretary
bls/O:IPC-09-28 ws
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 30948