20100507final_order_no_31075.pdf

Office ofthe Secretary
Service Date
May 6 2010
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR
APPROVAL OF AN AGREEMENT FOR
CONTINUATION OF ELECTRIC SERVICE
BETWEEN IDAHO POWER COMPANY
AND THE UNITED STATES DEPARTMENT
OF ENERGY
ORDER NO. 31075
CASE NO. IPC-10-
On April 16, 2010, Idaho Power Company filed an Application for an Order
approving another one-year extension to the special contract for electric service between Idaho
Power and the US. Department of Energy (DOE) at the Idaho National Laboratory (INL) site.
More specifically, Idaho Power seeks approval for a fourth, one-year extension of its special
contract (Schedule 30) with DOE. The current extension expires on May 14, 2010. The
Company requests that the Commission process this Application on an expedited basis and
approve this extension without further public comment. Application at 3.
BACKGROUND
The current special contract between Idaho Power and DOE was initially approved by
the Commission in May 2006 in Order No. 30030. Id. The 2006 contract grants DOE the option
of requesting up to four, one-year extensions. The 2006 contract has previously been extended
three times (in 2007 2008, and 2009). See Order Nos. 30314, 30536, and 30816. In the three
prior contract extensions, the Commission approved the extension without public comment or
hearing.
Idaho Power notes that there was one change to the contract extension.DOE
indicated in its negotiations with Idaho Power that its load might exceed the 45 000 kW
Estimated Demand" cap shown in the previous extensions. Consequently, the parties have
changed the Estimated Demand shown in this extension from a range of 27 000 kW to 45 000
kW to a range of 27 000 kW to 54 000 kW. The Application notes that this increase "is within
the requirements limit that Idaho Power is obligated to provide under the 2006 Agreement."
Application at 2.
ORDER NO. 31075
ST AFF RECOMMENDATION
Staff has reviewed the Application and confinned that the Estimated Demand range
has changed. Under this extension ("the 20 I 0 Extension ), electric service to INL will continue
to be provided under the 2006 special contract contained in tariff Schedule 30. The tariff rates
and charges for providing service under the 2010 Extension are subject to change in any
subsequent ratemaking proceeding. Staff concurs with the Company s request that the 2010
Extension be approved without further public notice or comment.
COMMISSION FINDINGS
The Commission has reviewed the Application and the underlying 2006 special
contract between Idaho Power and DOE for electric service at the INL. See Order No. 30030
Case No. IPC-06-12. The rates and charges under the 2006 special contract and the 2010
Extension are subject to subsequent change in an appropriate rate proceeding before the
Commission. Because there are no substantive changes to the special contract (except the
increase in Estimated Demand), or the rates contained therein, we find that it is reasonable to
approve the 20 I 0 Extension without further public notice or comment. Idaho Code 9 61-307.
The 2010 Extension shall become effective on May 15 2010, and shall run through May 14
2011 , pursuant to Exhibit A of the Application.
CONCLUSIONS OF LAW
The Idaho Public Utilities Commission has jurisdiction over Idaho Power Company
and the special contract (Schedule 30) for electric service between the utility and the U.
Department of Energy pursuant to Idaho Code 99 61-129, 61-502 and Section 12 of the
addendum to the Special Contract No. GS-00P-99-BSD-0124.
ORDER
IT IS HEREBY ORDERED that Idaho Power Company s Application for a one-year
extension (the 2010 Extension) to the underlying April 20, 2006, special contract between Idaho
Power Company and the U.S. Department of Energy for electric service at the Idaho National
Laboratory is approved. The 2010 Extension to the special contract contained in tariff Schedule
30 shall become effective on May 15 2010, and shall run through May 14 2011.
THIS IS A FINAL ORDER. Any person interested in this Order (or in issues finally
decided by this Order) or in interlocutory Orders previously issued in this Case No. IPC-I0-
may petition for reconsideration within twenty-one (21) days of the service date of this Order
ORDER NO. 31075
with regard to any matter decided in this Order or in interlocutory Orders previously issued in
this case. Within seven (7) days after any person has petitioned for reconsideration, any other
person may cross-petition for reconsideration. See Idaho Code 9 61-626.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this
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day of May 2010.
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JI . KEMPTON, P SIDENT
MARSHA H. SMITH, COMMISSIONER
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MACK A. REDFORD, COMMISSIONER
ATTEST:~fJ~Je D. Jewel1
Commission Secretary
bls/O:lPC-10-
ORDER NO. 31075