20101208notice_of_application_order_no_32134.pdf

Office of the Secretary
Service Date
December 8, 2010
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR
APPROVAL OF A FIRM ENERGY SALES
AGREEMENT WITH J.M. MILLER
ENTERPRISES, INc., FOR THE SALE AND
PURCHASE OF ELECTRIC ENERGY.
CASE NO. IPC-IO-
NOTICE OF APPLICATION
NOTICE OF
MODIFIED PROCEDURE
ORDER NO. 32134
On November 15 , 2010, Idaho Power Company filed an Application with the
Commission requesting approval of a 10-year Firm Energy Sales Agreement ( "Agreement"
between Idaho Power and J.M. Miller Enterprises, Inc. (J.M. Miller) dated November 1 , 2010.
The Application states that J.M. Miller would sell and Idaho Power would purchase electric
energy generated by the Sahko Hydro Project ("Facility ) located near Filer, Idaho. Idaho Power
requests that its Application be processed by Modified Procedure.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that the Application states J.M. Miller is currently
selling energy from this Facility to Idaho Power under a Schedule 86 non-firm agreement dated
September 7, 2005, approved by the Commission in September 2005.Order No. 29874
Application at 2. The existing agreement shall be terminated at the time the Facility achieves its
Operation Date as specified within the presently submitted Agreement. Idaho Power warrants
that the Agreement comports with the terms and conditions of the various Commission Orders
applicable to PURPA agreements (Order Nos. 30415, 30488, 30738, and 30744).
A. The Agreement
YOU ARE FURTHER NOTIFIED that the Agreement is for a term of 10 years and
contains the current non-levelized published avoided cost rates established by the Commission in
Order No. 31025 for energy deliveries of less than 10 average megawatts ("aMW"). The
nameplate rating of the Facility is 0.5 MW.
I Although Idaho Power filed a Joint Petition with the Commission on November 5, 2010, seeking a reduction in the
published avoided cost rate eligibility cap from 10 aMW to 100 kW, Idaho Power does not believe that this
Agreement should be impacted by that filing. !d. at 2.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 32134
- -
YOU ARE FURTHER NOTIFIED that interconnection for this Facility was
completed in association with the existing Schedule 86. Jd. at 4. Therefore, all applicable
interconnection charges and monthly operation and maintenance charges have already been
assessed and collected from lM. Miller regarding this Facility.
YOU ARE FURTHER NOTIFIED that, as this Facility is already providing energy to
Idaho Power under an existing Schedule 86 agreement, lM. Miller selected a Scheduled
Operation Date of 30 days past the date this Agreement is approved by the Commission. By its
own terms, the Agreement will not become effective until the Commission has approved all of
the Agreement's terms and conditions and declares that all payments made by Idaho Power to
lM. Miller for purchases of energy will be allowed as prudently incurred expenses for
ratemaking purposes. Agreement ~ 21.
NOTICE OF MODIFIED PROCEDURE
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
of Procedure IDAPA 31.01.01.201 through .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 no later
than twenty-one (21) days from the service date of this Order. 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
shall be mailed to the Commission and Idaho Power at the addresses reflected below:
Street Address for Express Mail:
Donovan E, Walker
Lisa Nordstrom
Idaho Power Company
1221 West Idaho Street
PO Box 70
Boise, ID 83707-0070
Mail: dwalker~idahopower.com
lnordstrom~i dahopower. com
Commission Secretary
Idaho Public Utilities Commission
PO Box 83720
Boise, ID 83720-0074
472 W. Washington Street
Boise, ID 83702-5918
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 32134
Randy C. Allphin
Energy Contract Administrator
Idaho Power Company
1221 West Idaho Street
PO Box 70
Boise, ID 83707-0070
Mail: rallphin~idahopower.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 the 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.
YOU ARE FURTHER NOTIFIED that the Application and Agreement have been
filed with the Commission and are available for public inspection during regular business hours
at the Commission offices. The Application and Agreement are also available on the
Commission s web site at www.puc.idaho.gov by clicking on "File Room" and then "Electric
Cases. "
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 the Public Utility
Regulatory Policies Act of 1978 (PURP A). The Commission has authority under PURP A and
the implementing regulations of the Federal Energy Regulatory Commission (FERC) to set
avoided costs, to order electric utilities to enter into fixed-term obligations for the purchase of
energy from qualified facilities and to implement FERC rules.
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.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 32134
ORDER
IT IS HEREBY ORDERED that this case be processed under Modified Procedure.
Interested persons and the parties may file written comments no later than 21 days from the
service date of this Order.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this
fA.
day of December 2010.
~/.
/L.
D. K PTON, P ENT
MARSHA H. SMITH, COMMISSIONER
ATTEST:
~AJ
J n D. Jewe
Commission Secretary
O:IPC-10-37 ks
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 32134