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Home My WebLink About20110112notice_of_application_order_no_32158.pdfOffice ofthe Secretary Service Date January 12 2011 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF THE APPLICATION OF IDAHO POWER COMPANY FOR APPROVAL OF REVISIONS TO THE IRRIGATION PEAK REWARDS PROGRAM, SCHEDULE 23 CASE NO. IPC-I0- NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 32158 YOU ARE HEREBY NOTIFIED that on December 10 2010, Idaho Power Company filed an Application requesting approval of changes to its Irrigation Peak Rewards Program (Schedule 23). The program is a voluntary load control program available to agricultural irrigation customers and is used to decrease the Company s system summer peak by turning off specified irrigation pumps during June 15 through August 15. Under the program, the Company turns off specified irrigation pumps any Monday through Saturday between the hours of 1 :00 m. and 8:00 p.m. The Company uses either dispatchable or timer-based load control devices to turn off selected pumps for a limited number of hours. In exchange for allowing the Company interrupt electric service, participating customers receive a monthly monetary payment in the form of a bill credit for usage that occurs during June, July and August. YOU ARE FURTHER NOTIFIED that based on a Company review conducted during 2010, Idaho Power is proposing a number of changes to the Irrigation Peak Rewards Program. First, the Company proposes to extend the interruptible period from 8:00 p.m. to 9:00 m. on a voluntary basis. Customers who accept an extended interruption period will receive a higher payment for interruptions. Second, the Company proposes to change the incentive payment structure from a fixed incentive payment to a combination of a fixed and variable incentive payment. The proposed structure pays participants a portion simply for participating, and an incentive portion based on how much the Company uses the program. For dispatchable options 1 , 2 and 3, participating customers would be paid a fixed demand credit of $5.00 per kilowatt and an energy credit of $0.0038 per billed kilowatt hour. The standard variable energy NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 32158 credit would be $.035 per kWh, and would increase to $0.40 during the 8:00 to 9:00 p.m. hour for participants willing to reduce demand in that hour. YOU ARE FURTHER NOTIFIED that third, the Company proposes to allow one program test event per irrigation season that is not subject to a variable payment. Fourth, Idaho Power proposes to change a participant's fixed incentive payment under dispatchable option 3 which currently bases load reduction on the maximum demand in the 24 hours prior to an event. Idaho Power proposes to calculate the program load reduction based on an average demand between 10:00 p.m. and 11 :00 a.m. prior to an event, as measured in kW over the load profile metering intervals during each load control event initiated during a billing period. Finally, Idaho Power proposes a $1.00 per k W opt out penalty for all dispatchable interruption options. Currently, the program includes an opt out penalty of $0.005 per monthly billed kWh per opt out occurrence for customers selecting the dispatchable interruption options 1 and 2. YOU ARE FURTHER NOTIFIED that the Application states that the proposed program modifications reflect a collaborative process between Idaho Power and the Idaho Irrigation Pumpers Association, the Commission Staff, the Energy Efficiency Advisory Group, and the Integrated Resource Plan Advisory Council. The Company states that the program as revised would more closely align the program incentives with the Company s need for demand response. 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 31.01.01.201-204. 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 in opposition with the Commission within 28 days from the service date of this Notice. The comment must contain a statement of reasons supporting the comment. YOU ARE FURTHER NOTIFIED that the Company and other interested parties have seven days after the initial comment period to file reply comments. NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 32158 YOU ARE FURTHER NOTIFIED that persons desiring a hearing must specifically request a hearing in their written comments. Written comments concerning this Application may be mailed to the Commission and Idaho Power at the addresses reflected below: Commission Secretary Idaho Public Utilities Commission PO Box 83720 Boise, Idaho 83720-0074 Street Address for Express Mail: Lisa D. Nordstrom Donovan E. Walker Idaho Power Company PO Box 70 Boise, ID 83707-0070 E- Mail: lnordstrom(~jdahopower .com walker(fYidahopower. com 472 W. Washington Street Boise, ID 83702-5918 Greg W. Said Scott Sparks Idaho Power Company PO Box 70 Boise , ID 83707-0070 E-mail: gsaid(fYidahopower.com ssparks(fYi dahopower. 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 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 supporting workpapers have been filed with the Commission and are available for public inspection during regular business hours at the Commission offices or on the Commission s web site at www.puc.idaho.gov by clicking on "File Room" and then "Electric Cases. NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 32158 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 that 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, IDAPA 31.01.01.000 et seq. ORDER IT IS HEREBY ORDERED that Idaho Power Company s Application for approval of revisions to the Irrigation Peak Rewards Program, Schedule 23, be processed by Modified Procedure, IDAPA 31.01.01.201-204. Persons interested in submitting written comments in this matter must do so within 28 days from the service date of this Notice, and may file reply comments within 7 days after the initial comment period. DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this j ::l...-fJ.. day of January 2011. ~/. JI . KEMPTON, P SIDENT MARSHA H. SMITH, COMMISSIONER ~A~ MACK A. REDFO ATTEST:~0~ D. Jewel C mmission Secretary bls/O:IPC-IO-- ws NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 32158