Loading...
HomeMy WebLinkAbout20120206Affidavit on Remand.pdfDONOVAN E. WALKER (ISB No. 5921) JASON B. WILLIAMS (ISB No. 8718) Idaho Power Company 1221 West Idaho Street (83702) P.O. Box 70 Boise, Idaho 83707 Telephone: (208) 388-5317 Facsimile: (208) 388-6936 dwalkertæidahopower.com jwilliamsß!idahopower.com Attorneys for Idaho Power Company RECEIVED 1012 FEB -6 PH 4: 35 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF THE APPLICATION OF IDAHO POWER COMPANY FOR A DETERMINATION REGARDING A FIRM ENERGY SALES AGREEMENT BETWEEN IDAHO POWER AND GROUSE CREEK WIND PARK, LLC IN THE MATTER OF THE APPLICATION OF IDAHO POWER COMPANY FOR A DETERMINATION REGARDING A FIRM ENERGY SALES AGREEMENT BETWEEN IDAHO POWER AND GROUSE CREEK WIND PARK II, LLC STATE OF IDAHO) ) ss.County of Ada ) ) ) CASE NO. IPC-E-10-61 ) ) AFFIDAVIT OF RANDY ALLPHIN ) IN SUPPORT OF IDAHO POWER ) COMPANY'S MEMORANDUM ON ) REMAND ) ) ) CASE NO. IPC-E-10-62 ) ) AFFIDAVIT OF RANDY ALLPHIN ) IN SUPPORT OF IDAHO POWER ) COMPANY'S MEMORANDUM ON ) REMAND ) I, Randy Allphin, do declare the following and if called to testify, would and could competently testify thereto: AFFIDAVIT OF RANDY ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MEMORANDUM ON REMAND - 1 1. I am over the age of eighteen and I am the Senior Energy Contract Coordinator at Idaho Power Company ("Idaho Powet' or "Company"). I have been employed by Idaho Power for approximately 30 years, and dealing with Public Utilty Regulatory Policies Act of 1978 ("PURPA") power purchases for 26 of those years. 2. My primary responsibilties include daily administration of existing and the negotiation of new PURPA and other renewable energy contracts. 3. I negotiated the Power Purchase Agreements with Grouse Creek Wind Park, LLC, and Grouse Creek Wind Park II, LLC ("Grouse Creek" or "Project") with the project developer, Wasatch Wind, for its proposed PURPA qualifying facilities ("QF"). 4. Attached hereto as Attachment NO.1 is a listing of many of the e-mail communications and some letters that were exchanged between Idaho Power and representatives of Wasatch Wind. This list does not include the phone calls and other conversations that took place with regard to Wasatch Wind and its proposed PURPA projects. 5. Wasatch Wind first contacted Idaho Power inquiring as to a potential PURPA project ranging from 10 average megawatts ("aMW") to 80 megawatts ("MW") on February 26, 2010, by Christine MikelL. Attached hereto as Attachment NO.2 are several of the initial e-mail exchanges between myself and Ms. Mikell from February 26 through March 3, 2010, regarding this initial inquiry and Idaho Powets initial response. The Project was informed at this time that, among other things, because it was an off- system QF, sufficient information regarding delivery of its output to Idaho Powets system would need to be provided. AFFIDAVIT OF RANDY ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MEMORANDUM ON REMAND - 2 6. Attached hereto as Attachment No. 3 are several communications from April and May 2010, again between myself and Ms. MikelL. These communications show that the Project continued to change its configuration, inquiring as to a 60 MW project. As the proposed project was over 10 aMW, pricing was to be calculated pursuant to the Integrated Resource Plan ("IRP") methodology. As such, Idaho Power needed one yeats worth of hourly generation data from the Project in order to calculate pricing in the IRP modeL. Some of these communications concerned the data to be submitted by the Project, and notification that the data from the Project appeared to contain errors. 7. Attached hereto as Attachment NO.4 are several communications from the month of June 2010. Many of these communications relate to the letter of understanding and transmission questionnaire that is required to enable Idaho Powets merchant business unit to make a transmission service request ("TSR") to the Company's transmission business unit to establish sufficient transmission capacity on Idaho Powets system to designate the Project's output as a network resource to serve load on Idaho Powets system. Also included is a June 2 communication where Idaho Power forwarded initial indicative pricing to the Project based upon the run of the IRP avoided cost methodology. On June 24, the Project provided a Bonnevile Power Administration ("BPA") feasibilty study for a 150 MW project, and advised that it was having complications with golden eagle nests near the Project site, and wished to now change configurations and discuss a single 10 aMW project, and possibly another at a later date. There are some follow-up communications from Idaho Power providing information on the published rate process. AFFIDAVIT OF RANDY ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MEMORANDUM ON REMAND - 3 8. Attached hereto as Attachment No. 5 are several communications between Idaho and the Project from the month of July 2010. The Project submitted information regarding various configurations, turbines, and transmission arrangements. Idaho Power continued to try and clarify information from the Project with respect to the TSR. 9. Attached hereto as Attachment NO.6 are communications from the month of August showing further dialogue regarding clarification as to the project configuration, the number of proposed projects, accuracy of the data, and the requirements of 10 aMW and one-mile separation. 10. Attached hereto as Attachment No. 7 are two letters from Peter Richardson, counsel for the Project, dated October 1, 2010, for Grouse Creek Wind and Grouse Creek Wind II, respectively. These letters request PPAs, provides information, objects to the posting of security required by the contracts, changes the project from 30 MW to 21 MW, and requests revision of the TSR from 30 MW to 21 MW, among other things. 11. Attached hereto as Attachment No. 8 are November 1 letters from Idaho Power to Mr. Richardson, responding to his October 1 letter and pointing out several of the open items remaining with the various proposed projects. Also forwarded with these letters were copies of: Network Resource Integration Study Agreements, Transmission Capacity Application Questionnaires, and Draft Firm Energy Sales Agreements. 12. Attached hereto as Attachment NO.9 is a November 4 e-mail from myself to Mr. Richardson advising that the submitted TSRs were rejected because the information provided by the Project did not sync up with the Project's transmission AFFIDAVIT OF RANDY ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MEMORANDUM ON REMAND - 4 requests on BPA's system. The communication asks for updated transmission information from the Project that was needed to proceed with the TSRs, and advised of the need for ancilary services. Also included in Attachment No. 9 is a November 24 letter from Donovan Walker to Mr. Richardson confirming a prior letter and meeting between the Project and Idaho Power, and summarizing the current status of negotiations as to some of the previously contested terms and conditions. Also attached in Attachment No. 9 is a November 29 e-mail from Mr. Richardson to Kris Sasser, counsel for the Idaho Public Utilties Commission ("Commission") Staff regarding Grouse Creek's Complaints. 13. Attached hereto as Attachment No. 10 is a December 2 letter from Mr. Richardson forwarding Draft Firm Energy Sales Agreements ("FESA") containing the Projects' mark-up and provision of Project information into the Draft FESA. 14. On December 6, Idaho Power received a revised Transmission Questionnaire from the Projects containing corrected information for re-submission of the TSRs, which was forwarded to Idaho Power transmission on the same day. 15. Attached hereto as Attachment No. 11 is a December 7, 1 :50 p.m. e-mail and letter from me to Mr. Richardson acknowledging receipt of the December 2 mark-up of the Draft FESA from the Project, the December 6 updated transmission information, and reviewing/confirming the negotiations and status of moving the Projects towards final agreements. 16. Attached hereto as Attachment No. 12 is a December 7, 7:49 p.m. e-mail communication to Mr. Richardson forwarding updated Draft FESAs for the Projects, incorporating the information provided by the Projects, and working toward executable AFFIDAVIT OF RANDY ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MEMORANDUM ON REMAND - 5 versions of the FESAs. This communication also notifies the Projects of missing information from the Projects necessary to confirm the required one-mile separation between the Projects and necessary to complete the Draft FESAs. Also on December 7, Idaho Power began the internal review process on the Draft FESAs, even though they were not yet complete, nor accepted by the Projects, so as not to unduly impede the ultimate execution of the FESAs once accepted by the Projects, since the December 14, 2010, date previously set by the Commission as the effective date for the reduction in the published rate eligibilty cap to 100 kilowatts was drawing near. Also attached in Attachment No. 12 is a December 9 e-mail from Mr. Richardson confirming the Projects' agreement to the security provisions of the contract and requesting a change in the Scheduled First Energy Dates as well as the Scheduled Operation Dates. 17. Attached hereto as Attachment No. 13 is a December 14 e-mail from Idaho Power to Mr. Richardson requesting that the Projects provide missing necessary information required for completion of the Draft FESAs. This information included naming the proper transmission entity, as previous communication had indicated at different times both BPA and PacifiCorp, and requested again that the Project provide a complete location designation, which is necessary to establish the proper one-mile separation and legal description of the Projects' location. 18. Attached hereto as Attachment No. 14 is a December 15 e-mail from Idaho Power to Mr. Richardson confirming Idaho Powets receipt and acceptance of the Projects' revised First Energy and Scheduled Operation dates, and indicating the same would be incorporated into the final Draft FESAs. This communication also reiterates Idaho Power's December 14 request from the previous day for additional required AFFIDAVIT OF RANDY ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MEMORANDUM ON REMAND - 6 information regarding the Transmitting Entity and completion of the location description for the Projects. The Projects were informed that this information was required to continue processing the proposed agreements. Also attached in Attachment No. 14 is a December 15 response from Mr. Richardson's office responding to Idaho Powets requests for completed information. 19. Attached hereto as Attachment No. 15 is an e-mail communication between Idaho Power and Greg Adams from Mr. Richardson's offce. This communication contains a December 15 request from Idaho Power to confirm that the Schedule First Energy and Scheduled Operation Dates, as well as the location description for the Projects, were correct. This information was confirmed on December 16, at 8:19 a.m. by Mr. Adams. Also included in Attachment No. 15 is a December 16, 9:53 a.m. communication from Idaho Power that final Draft FESAs are completed, and ready for the Projects' review. The e-mail asks if they prefer to pick up the hard copies at Idaho Power, or if they wish for the Draft FESAs to be placed in the maiL. Mr. Adams responded that he would pick up the Agreements. 20. After the Projects picked up final Draft FESAs for their review on December 16, 2010, the Projects signed the FESAs on December 21, thereby committing the Projects to sell their output to Idaho Power pursuant -to.t~e negotiated terms and conditions contained in those Agreements. The Projects sigMdthe:~ESAs -~ on December 21, 2010, and sent them back to Idaho Power .vi8\Ov~rñighf"del~ery.,t . G.~. ".ii ì";i' Idaho Power completed its final review, approval, and required sarbli~~~YJeview ..,"';¡ .,.,.,.,-,- ----~/' process and signed the Agreements on December 28, 201 O. OnDecemÐè(~, Idaho è''''' Power filed the executed FESAs with the Commission for its review. AFFIDAVIT OF RANDY ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MEMORANDUM ON REMAND - 7 21. Idaho Power negotiated in good faith with Grouse Creek, dilgently responded to the Projects' requests, and made every effort to work in good faith with the Projects through several different iterations of the Projects' own development and configurations. Idaho Power not only did not delay the Projects but actually went to extra efforts seeking necessary information from the Projects in an attempt to move the draft agreements forward prior to December 14, 2010. It was the Projects' own failure to provide complete and accurate information that delayed their own review of the Agreements unti after the December 14,2010, date had passed. Grouse Creek did not commit itself to sell its output to Idaho Power until December 21, 2010, after it reviewed the final draft Agreements and executed them. I declare under penalty of perjury of the laws of the state of Idaho that the foregoing is true and correct. DATED this 6th day of February 2012. ~t~.RÄ Y C. ALLr\ SUBSCRIBED AND SWORN to before me this 6th day of February 2012. ß\:'~~çl~Notary Public for ~ Residing at: :feii Siç. :Lctú'r D My commission expires: 02/ 0tt 7 Q I 5 AFFIDAVIT OF RANDY ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MEMORANDUM ON REMAND - 8 CERTIFICATE OF SERVICE I HEREBY CERTIFY that on the 6th day of February 2012 I served a true and correct copy of the AFFIDAVIT OF RANDY ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MEMORANDUM ON REMAND upon the following named parties by the method indicated below, and addressed to the following: Commission Staff Kristine Sasser Deputy Attorney General Idaho Public Utilties Commission 472 West Washington (83702) P.O. Box 83720 Boise, Idaho 83720-0074 Grouse Creek Wind Park, LLCs Brett Woodard Wasatch Wind Intermountain, LLC 2700 Homestead Road, Suite 210 Park City, Utah 84098 Peter J. Richardson Gregory M. Adams RICHARDSON & O'LEARY, PLLC 515 North 27th Street (83702) P.O. Box 7218 Boise, Idaho 83707 -- Hand Delivered U.S. Mail _ Overnight Mail FAX -- Email Kris.Sasser(gpuc.idaho.gov Hand Delivered -- U.S. Mail _ Overnight Mail FAX -- Email bwoodard(gwasatchwind.com Hand Delivered -- U.S. Mail _ Overnight Mail FAX -- Email peter(grichardsonandoleary.com greg(grichardsonandoleary.com ¿;yd(¿ Donovan E. Walker ~.. AFFIDAVIT OF RANDY ALLPHIN IN SUPPORT OF IDAHO POWER COMPANY'S MEMORANDUM ON REMAND - 9 BEFORE THE IDAHO PUBLIC UTiliTIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO.1 e- m a i l Tu e M a r 2 . 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l e- m a i l We d M a r 3 . 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l e- m a i l We d M a r 3 . 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n e- m a i l We d M a r 3 . 2 0 1 0 Ra n d y A l l p h i n Ch r s t i n e M i k e l l e- m a i l We d M a r 3 . 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n e- m a i l We d M a r 3 . 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l e- m a i l Th u A p r 2 2 . 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n e- m a i l Th u A p r 2 2 . 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l e- m a i l We d M a y 5 . 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n e- m a i l Th u M a y 1 3 , 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l e- m a i l Fr i Ma y 14 . 20 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n e- m a i l We d M a y 1 9 . 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n e- m a i l We d M a y 1 9 . 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l e- m a i l Tu e J u n 1 . 2 0 1 0 Ch r i s t i n e M l k e i l Ra n d y A l l p h i n Id a h o P o w e r r e s p o n s e a s k i n g f o r c l a r i f i c a i o n a n d w e n t t h r o u g h t i s s u e s w i t h o f s y s t e m p r o j e c t ( r a f t r i v e r i n t e r c o n n e c i o n . b p a tr a n s m i s i s o n . I d a h o P o w r t r a n s m i s s i o n . o n l y b e a b l e t o e x e c u t e a P P A o n c e t h e s e I n t e r c o n n e c t i o n I s s u e s r e s o l v e d ) . No t i f i e d p r o j e c o f I d a h o P o w e r t r a n s m i s s i o n p r o c e s s i n g t i m e l l n e Pr o j e a s k e d q u e s i o n s a b o u t p r i c i n g f o r a 6 0 M W p r o j e c t . Id a h o P o w r p r o v d e d Q F p r s r e q u i r e m e n t s Pr o j e q u e s t i o n s o n a v o i d e d c o s t s f o r 1 0 a M W p r o j e c t Cl a r i f i e d w l n d I n t e g r t i o n c h a r g . a l s o d i r e c t e d t h e p r o j e c t t o I P U C w e b s i t e t o s e e c o p i e s o f f i l e d c o n t r a c t s Pr o j e c t p r o v i d e d g e n e r a t i o n p r o f i l e f o r a 2 . 5 M W c l i p p e r t u r b i n e Ad i t i o n a l e - m a i l s t r y i n g t o g e t d a t a i n p r o p e r f o m . Pr o j e c r e u e s t e d u p d a t e o n I d a h o P o w e r p r i c i n g m o d e l s Id a h o P o w e r n o t i f i e d p r o j e c t t h a t d a t a p r o v i d e d w a s n o t g o o d . i t s h o w e d g e n e r a t i o n i n e v e r y h o u r . Pr o j e c t r e s p o n d e d w i t h f u l l o u t p u t d a t a f o r e n t i r e w i n d f a r m . s t i l g e n e r a t i o n i n e v e r y d a y . P r o p o s e d p r o j e c t n o w 6 5 M W Pr o j e s t i l w o r k i n g o n g e t t i n g e s t i m a t e d o n l i n e d a t e , a l s o a s k e d a b o u t a n o t h e r p r o j e c t n e a r J i m B r i d g e r . Re s p o n d e d t o C h r s t i n e e m a i l - J i m b r i d g r q u e s t i o n . R F P s e t c Ch r i s t i n e l o o k i n g f o r I n d i c a t i v e p r i c i n g . . J : : ' ~ ;. r- m a l l We d J u n 2 . 2 0 1 0 Ra n d v A l l p h i n Ch r i s t i n e M i k e l l Ra n d y p r o v i d e d i n d i c a t i v e p r i c i n g . a l s o r e m i n d e d p r o j e c t h e y m u s t c o m p l e t e l e t t e r o f u n d e r s t a n d i n g f o r u s t o b e i n g T S R p r o c e s s . .~ ~ n z Pr o j e c t s t i l f i l l n g i n i n f o r m a t i o n o n f o r m I d a h o P o w e r s e o n J u n e 2 n d '5 ~ m a i l We d J u n 1 6 . 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n = h . . () ; ; ~ -0~CD So~ si =¡~..~ e- m a i l e- m a i l e- m a i l e- m a i l e- m a i l e- m a i l e- m a i l Th u J u n 1 7 , 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n We d J u n 2 3 , 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l Th u J u n 2 4 , 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n Fr i Ju n 2 5 , 2 0 1 0 Ra n d y All p h i n Ch r i s t i n e M i k e l l Mo n J u n 2 8 , 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n Tu e J u n 2 9 , 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l We d J u l 1 4 , 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n We d J u l 2 1 , 2 0 1 0 Ra n d y A l l p h i n Ch r i s t I n e M i k e l l We d J u l 2 1 , 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n e- m a i l e- m a i l e- m a i l Mo n A u g 2 , 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l le t t e r o f u n d e r s t a n d i n g s i g n e d b y p r o j e c t a n d r e t u r n e d ( l e t t e r s e n t t o t h e P r o j e c t o n M a r c h 1 2 , 2 0 1 0 1 , i n f o r m a t i o n i n d i c a t e s a 6 9 M W pr o j e c t , o n l i n e D e c 2 0 1 1 . ad v i s e d p r o j e c t t h a t w e n e e d e d c o n f i r m e d B P A t r a n s m i s s i o n a g r e m e n t o r a t t h e m i n i m u m a d d i t i o n a i i n f o r m a t i o n o n t h e B P A tr a n s m i s s i o n a v a i l a b l i t y . Pr o j e c t p r o v i d e d c o p y o f B P A f e a s i b l i t y s t u d y f o r a 1 5 0 M W p r o j e c t , a p p e a r s t o b e f o r i n t e r c o n n e c t i o n . A l s o a d v i s e d w o u l d n e e d t o ch a n g e f r o m o n e l a r g e p r o j e c t t o a s i n g l e 2 1 M W p r o j e c t a n d w o u l d m a y b e r e q u e s t a s e c o n d p r o j e c t l a t e r . ad v i s e d p r o j e o f 1 0 a M W p r i c i n g a n d m o r e i n f o r m a t i o n f o r t r a n s m i s s i o n i s s u e s Lo k i n g f o r a s a m p i e 1 0 a M W c o n t r a c t Ad v i s e d n e e d m o r e i n f o r m a t i o n f o r d r a f t s . Re q u e s t f r o m p r o j e c t f o r tw o 1 0 a M W p r o j e c t s , G r o u s e C r e e k i n a m e p l a t e o f 3 0 M W , I I n a m e p l a t e o f 2 1 M W . se n t p r o j e c t i n f o r m a t i o n o n T S R p r o c e s s , i s s u e w i t h n e e d i n g B P A t r a n s m i s s i o n c o n f i r m a t i o n n o w a t d i f f r e n t p r o j e c s i z e s t h e n a l l pr e v o u s r e q u e s t s . co n f i r m a t i o n a n d q u e s t i o n s a b o u t t i m e l i n e s f o r s t u d i e s . ak s i n g f o r c l a r i f i c a t i o n i f p r o j e i s 2 1 M W o r 3 0 M W e- m a i l Mo n A u g 2 , 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l Ra n d y a s k i n g q u e s t i o n s a b o u t q u a l i f c a t l o n s - p r e v i o u s d a t a i n d i c a t e d a 4 0 c a p a c i t y f a c t o r , t h e r e f o r e m a y n o t b e e l i g i b l e f o r a 1 0 a M W co n t r a c t , s e p a r a t e Q F ' s ( 1 m i l e ) , o t h e r i n f o r m a t i o n p r o v i d e d i n d i c a t e s a s i n g l e 5 1 M W p r o j e c t ( s a m e p r o j e c t l o c a t i o n , s a m e in t e r c o n n e c t i o n , s a m e B P A t r a n s m i s s i o n r e q u e s t , e t c ) Ch r i s t i n e a d v i s e d t h e y h a d 1 m i l e s e p a r a t i o n . e- m a i l Mo n A u g 2 , 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n e- m a i l Mo n A u g 2 , 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l Id a h o P o w e r a d v i s e d , b a s e d o n p r e v i o u s i n f o 3 0 M W n a m e p l a t e a t 4 0 c a p a c i t y f a c t o r w o u l d n o t q u a l i f f o r a l D a M W c o n t r a c t . I s d a t a co r r e c ? W h i c h p r o j e d o y o u f i l e d i n t h e T S R p r o c e s s f i r s t ? tr i e d t o s c h e d u l e p h o n e c a l l w i t h t h e p r o j e ;g ~ Q ~ - m a i l (Q " C C I I l CD õ 2 C D g . 1\ : : z 3 o , . 0 C D -: l ! " : : ~' i : ¡ ~ m a i l ã: n ~ -ü ~ l () ~ ll ~~ 8/ 3 / 2 0 1 0 - 8/ 1 1 / 2 0 1 0 Ra n d y A l l p h i n Ch r i s t i n e M i k e l l Tu e A u g 1 7 , 2 0 1 0 Ch r i s t i n e M i k e l l Ra n d y A l l p h i n fo r m a l r e q u e s t f o r t w o p r o j e c t s , g e n e r a t i o n l i m i t e r s w i l l b e i n s t a l l e d t o l i m i t p r o d u c t i o n t o 1 0 a M W p e r m o n t h , o n l i n e d a t e e s t i m a t e d t o be d e c 2 0 1 2 . N e w t S R a p p l c a i t o n s s e n t i n G r o u s e c r e e k 1 - 3 0 M W , i i - 2 1 M W Fr o m G r e g A d a m s E- m a i l a n d l e t t e r Fr i Oc t 1 , 2 0 1 0 sig n e d b y P e t e r Ra n d y A l l p h i n Ri c h a r d s o n Fr o m G r e g A d a m s E- m a i l a n d l e t e r Fr i Oc t 1 , 2 0 1 0 sig n e d b y P e t e r Ra n d y A l l p h i n Ri c h a r d s o n Le t t e r Mo n N o v 1 , 2 0 1 0 Ra n d y A l l p h i n Pe t e r R i c h a r d s o n Gr o u s e C r e e k I le t t e r - 2 1 M W p r o j e c t , r e f e r e n c e s G r o u s e C r e e k I I . O b j e c t o t h e $ 4 5 s e c u r i t y N o t e s t h a t t h e o r g i n a l r e q u e s t w a s f o r 30 M W , t h i s l e t t e r r e v i s e s t o 2 1 M W . A l s o r e q u e s t e d r e v i s i o n o f t h e p r e v i o u s l y p r o v i d e d T S R f r m 3 0 t o 2 1 M W Sa m e l e t e r o n l y f o r G r o u s e C r e e k I I Le t t e r f o r G r o u s e I , I I a n d t h e t w o S w e n y p r o j e c t s . I d a h o p o w e r d i s a g r e e s w i t h t h e i r c l a i m s . A g e e t o s t a n d a r d t e r m s o f t h e S a w t o o t h wi n d c o n t r a c t , t h i s c o n t r a c t s u b s t a n i c a l l y d i f f e r e n t ( o n s y s t e m e t c ) a l s o c o n t a i n s d e l a y d a m a g e s t h a t G r o u s e C r e e k o b j e c t s t o . D i s c u s s i o n ab o u t c o n f u s i o n o n p r o j e c t s i z e s , S w e e n y r a n c h s t i l i n p l a y , e t c . E- m a i l Ra n d y A l l p h i n Pe t e r R i c h a r d s o n Th u N o v 4 , 2 0 1 0 ad s e d P e t e r o f t h e i s s u e s o f t h e t r a n s m i s s i o n r e q u e s t - T S R a p p l i c a t i o n w a s r e j e c t e d a s p r o j e c t i n f o r m a t i o n w a s 1 2 / 1 / 2 0 1 2 o n l i n e d a t e , BP A t r a n s m i s s i o n i s s e t f o r J u n e 2 0 1 3 , B P A t r a n s m i s s i o n i n d i c a t e s a 2 1 M W a n d a 3 0 M W P o r j e c t , l a s t i n f o r m a t i o n t o I d a h o p o w e r w a s fo r t w o 2 1 M W p r o j e c t s . A d v i s e d t h e p r o j e c t t o p r o v i d e n e w t r a n s m i s s i o n I n f o r m a t i o n t h a t i s c o n s i s t e n t w i t h t h e B P A I n f o r m a t i o n a n d I wo u l d w a i t t o f i l e a n e w T S R u n t i l I h a d r e c l e v e d t h a t r e i s e d i n f o r m a t i o n . A l s o a d v i s e d t h a t t h e p r o j e c t w o u l d n e e d t o ac q u i r e a n c i l a r y se r v c e s f r o m s o m e o n e o t h e r t h e n I d a h o P o w e r a s t h e s e p r o j e c t a r e n o t i n I d a h o P o w e r s e r v i c e t e r r i t o r y . Le t e r We d N o v 2 4 , 2 0 1 0 Do n o v a n W a l k e r Pe t e r R i c h a r d s o n To K r i s s S a s s e r , E- m a i l Mo n N o v 2 9 , 2 0 1 0 Pe t e r R i c h a r d s o n Id a h o Po w e r co p i e d Fr o m G r e g A d a m s E- m a i l a n d l e t t e r Th u D e c 2 , 2 0 1 0 si g n e d b y P e t e r Do n o v n W a l k e r Ri c h a r d s o n Mo n D e c 6 , 2 0 1 0 Mi c h a e l Da r r i n g t o n E- m a i l Tu e D e c 7 , 2 0 1 0 Ra n d y A l l p h i n Pe t e r R i c h a r d s o n le t e r p u t t i n g p r o j e c t s o n n o t i c e t h a t t h e y w e r e r e q u e s t i n g t o m o v e f o r w a r d w i t h a t P P A p r i o r t o t h e I n t e r c o n n e c t i o n I t r a n s m i s s i o n Is s u e s a n d c o s t s b e i n g k n o w n Re q u e s t e d I P U C s t a f f to n o t i s s u e s u m m o n s t o I d a h o p o w e r a s t h e y " t e n t a t i v e l y r e a c h e d a s e l e m e n t w i t h I d a h o P o w e r " a n d f i n a l se t t l e m e n t s h o u l d b e I n t w o o r t h r e e w e e k s . Ac k n o w l e d g e d D o n o v a n s l e t t e r o f N o v 2 4 , a s k d e d f o r T S R c o n f i r m a t i o n f o r t w o 2 1 M W p r o j e c t s , f i r s t e n e r g d a t e s o f d e c 2 0 1 2 . T h e y a r e re a d y t o s i g n , b u t u n d e r s t a n d o u r n e e d f o r a d d i t i o n a l r e v i e w , t h e y e n c l o s e d t h e i r c o p i e s o f t h e c o n t r a c t s ( n o t e t h e c o n t r a c t c o p i e s n o w sh o w P a c l f i C o r p a s t h e t r a n s m i s s i o n p r o v i d e r ? ) Re c e i v e d r e v i s e d T r a n s m i s s i o n Q u e s t i o n a l r e Dr a f t c o n t r a c t s s e n t t o P e t e r , a d v i s e d t h e m t h a t t h e d r a f t a g r e e m e n t s p r o v i d e d b y t h e p r o j e c t h a d a l o t o f f o r m a t i n g , f o n t a n d o t h e r is s u e s , r e q u i r e d t h a t w e c r e a t e n e w d r a f t a g r e e m e n t s . A d v l s e d w e s t i l n e e d e d a c c u r a t e l o c a t i o n i n f o r m a t i o n a s t h e p r o j e c t p r o v i d e d dr a f t s h a d i d e n t i c a l lo c a t i o n s f o r b o t h p r o j e c t s . ~; i Q 'ä ~ ~ CÑ : i Z g, ~ ~ l . m a i l .. c . _ , . II " t z~- :: ~ . . () ~ E - m a i l Tu e D e c 7 , 2 0 1 0 Ra n d y A l l p h i n Id a h o P o w e r i n t e r n a l r e v i e w o f d r a f t c o n t r a c t b e g u n Th u D e c 9 , 2 0 1 0 Pe t e r R i c h a r d s o n Ra n d y an d Do n o v a n Mi c h a e l Da r r i n g t o n Pe t e r R i c h a r d s o n re q u e s t e d a d d i t i o n a l i n f o r m a t i o n t o c o m p l e t e t h e c o n t r a c t s , t r a n s m i s s i o n e n t i t y , lo c a t i o n d e s c r i p t i o n s Tu e D e c 1 4 , 2 0 1 0 ~T ~ Gr o u s e C r e e k a g r e e s t o t h e d e l a y p r o v i s i o n s , b u t a s k i n g t o c h a n g e t h e f i r s t e n e r g y a n d o p e r a i o n d a t e s . F r o m 1 2 / 1 2 a n d 6 / 1 3 t o 6 / 1 3 an d 1 2 / 1 3 E- m a i l We d D e l ; , 2 0 1 0 Ra n d A I p / n Pe I ' R . l d l a r d s o E, m a i l We d D e 1 5 , 2 0 1 0 Gre g Ad m s Ri d y , M i d l an d Oo o v a n E- m a i l Th u D e 1 6 , 2 0 1 0 Ml d i a e l G. . A d a m s f! n E. m a l Th u D e 1 6 , 2 0 1 0 Ra n d v A l 1 p t i l ' G. . A d m s Ra i : t h e d i n p i n d i e s r e q ~ b y P e r In 12 1 9 e - m a i l a n d a s . t o p t d e ~ e ! n r m l o n M i d i h a d t e q U è t è d . S. . p r o v l d e l o t l d e s p t O l S a n d t r n s m Î $ n p l ' r n a m e b e l l ' B P A . Ml d i r e q u e v e i 1 1 o o f t h e d a - G r e h a n o P f d è t l l l u a l d a y I n h l s p t e r e . / 4 d e d a m a g e a r e bi s è o n a c t a l d a y s , t h e d a v i n f o I s v e i m p o D e 1 v s D e 3 1 c a n m l k f 1 v e b l i d l f n æ . NÐ t e d , t h e p r j l ~ W l r e l ' f o r $ i g n r e a s l f : t w a e d t i s w , m a t h e m o r If t h e w o u l d p 1 k t l è l u p . E. - m a i l Th u D e i 6 , 2 0 0 Gì 1 A d m s fl n d a l ' d M i d e a l G r e s a d t h w o u l d p ! d t h ! l m u p i l l ' n . T\ D e 2 ! , 2 0 Co í t r , s l J l b y th p r j é Tu e D e 2 ! , 2 0 0 Cø r a e t s e t b i i ø l d à o P O v l a o v l g h d e l i v r y Tu e Q e 2 8 , 2 0 1 0 Qi i : s l p b y l d l 1 o P O We d D e 2 9 , 2 0 1 0 CO i : f l l e d a t I P U C ;' ~ Q ì 1 lQ " O c i 1 l CD 2 : C D 9 - "" : J Z 3 a ~ l i C D ~ i s : " a II " U z ~n ? :- m . . "U . : (" ~ ii ~~~ BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO.2 &hin, Randy From: sent: To: Subject: Allphin. Randy Wednesday,'NIãf~ oa. 201. 12:24 PM 'Christine Mikell RE: sample PPA. interconnectin and transmission capacit press Yes, there is a deduction from the avoided cost for wind projects as well as the price in seasonalized and adjusted for Heavy load and light load hours. If you follow this link to the Idaho Public Utilty Commission website" it Isa wind contract that was flied and approved in 2009. This wil provide you the general concepts that would be In a potential cOntract for your project. The prices, wil need to be adjusted to prices approved by the IPUC at the time an agreemerit is e)(ecuted as well as any other current rules and regulations wil need to be included in any agreement we were to enter irito. htiø:J/ww.puc.idaho.gO'/intetnet/cases/elec/IPC/IPCE0925/20011APPUCATION.POF Randy From: i(;lit!~~Mjk'etl (manto:christine(gwasatehwind.comJ set: Wednesday¡;tl~r(thQat?OlQl1:49 AM To: Allphin, Randy SLlbje: RE: sample PPA, interconnecn and transmission capaci prces i hate to do this, but i have another, hopefuiiy last question. Is there a balancing charge on all QF's or Just the 10 A MW projects? We are having an internal debate and clearly subtracting out the $5 !MW from the PPA rate is Significant. Thanks. From: A1lphUî,Ranciy Imalfto:RAllphin(gkJahopower.comJ sent: Wedney,Mard:OI,2010 LO:52 AM To:, Christine Mikell Subjec: sample PPA, interconnecin and trnsmission capacity proces Christine - copied below Is the generic language that I put in letters to potential PURPA projects that are wanting contracts with Idaho Power. As your project is off of the Idaho Power system~ added steps to deal with the interconnection and transmission provider(s) arrangements would need to be added to this letter for your specific project. In thinking through the process, I envision that at the point you provide confirmation of the IA and BPA transmission l would put an official letter together for you with this information, requests and requirements. This e-mail isfergenericil1formation purposes only, it is not 21 commitment by IdahO' Power to purchase energy from this project, or is it to be con$idered to be offcial notification of a specifie process. 1 Attachment NO.2 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of 10 Randy xxxxxxx, Summarized below is a brief outline of the purchase power agreement, interconnection procéSS and transmission capacity requirements for your proposed generation project. Purchase Power Agreement The project you have described appears to be eligible for a purchase power agreement under the guidelines for a Qualifying Facilty as defined by the Public Utilties Regulatory Policies Act of 1978 (PURPA). At the time you are ready to proceed with a purchase power agreement for this project, Idaho Power wil prepare a purchase power agreement that complies with the current rules and regulations that govern these PURPA agreements, any draft purchase pOwer agreements previously provided to you for review must be updated to include current rules arld regulations. PrIor to Idaho POWer executing a purchase power agreement it wil be required thatyo,- have; 1.) Provided documentation thatsubstantiates that the project has fied for interconnection and IS in compliance with any payments and/orother requirements specified in the Interconnection process for this project and; 2 Attachment No. 2 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 of 10 2.) Receivedaild accepted an interconnection feasibilty study for this project and; 3.) Returned a signed copy of this letter Of understanding and all of the required infOrmation to enable Idaho Power to file an application requesting transmission capacity for this project. Co.mpletion of the enclosed Transmìssion Capatity Application Questionnaire wil provide the majority of thìs information and; 4.) Confirmation that the results of the initial transmission capacity application are known and the project accepts these results and intends tlJ continue with the development of t~e prlJject inc:luding. if applicable, execution of a Network Resource integration StudY Agreement in the formendosed herein. Interconnection and Transmission Capacity Your project wil be responsible for all costs of physically interconnecting the project to the Idaho Power electrical system and any costs associated withacquìring adeqUate firm transmission capacity on the Idaho Power transmision system to enable the project's energy to be delivered to Idaho Power c:ustomers. Interconnection Your project wil be required to complete the interconnection process and execute a Generation Interconnection Agreement (tiGIAN). TransmissIon Qipacity To sell your projects energy to Idaho Power, your project must be designated as a Netwrk ResourCe ("DNRN). In order for this project to achieve DNR status, Idaho POWer is required to make a request (complete and file an appUcation) and be granted firm transmission capacity from the Idaho Power delivery business unit (tiDelivery") to move your projects energy from the physical interc:onnection point to Idaho Power customers. In accordance with various rules and regulations, the project must be granted DNR status no later than 60 days prior to the project delivering any energy to Idaho Power. IdahO Power wil begin this firm transmission capacity application process only after the project has returned a signed copy of this letter of understanding and aU of the information reqUired for Idaho Power to file this application (see attached Transmission Capacity Application Questi.onnaire). After filng a complete firm transmission capacity application with Delivery, Idaho Power wil receive notification back from Delivery Within 30 days that: (a) ade.quate transmissìoneapacity is available for this project without the need to construct upgrades; or (b) a transmission capacity system impact study is required to determine the available transmission capacity and/or required upgrades; .or (c) a statement of the required transmission upgrades and the associated costs. Idaho Power wil notify the project of this response to the transmissi.on c!'pacity application in a timely manner after the response is received from Delivery. If the response from Delivery is as specified in item (a) (transmission capacity is avatlable), the project wil be required to execute a purchase power agreement with Idaho POwer Within 30 days in order to retain this transmission capacity reservation. If the response from Delivery is, as specified in items (b) or (c) (stUdies reqUired and/or Upgrades required), the project wil be required to execute a Network Resurce Integration Study Agreement (sample copy attached for your information) and submit all required deposit or fees within 15 days after receiving notification of this requirement in order for Idaho Power to continue the transmission capacity request. This Network Resource integration Study Agreement wil specify that the project wil Attachment No. 2 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affidavit, IPC Page 3 of 10 3 be responsible for costs incurred by Idaho Power to perform any required studies. If, after the studies are concluded the project wishes to continue the pursuit of transmission capacit, the project wil also be responsible for all transmission system upgrade costs identified within the studies. The fees and costs will be in the form of both initial deposits as well as actual costs. If at any time after executing the Network Resource Integration Study Agreement the project does not pay any required fees, or elects to stop the transmission study or upgrade process, the project shall be responsible for all costs incurred by Idaho Power in performing the studies or upgrades up to the point of termination of the Network Resource Integration Study Agreement. Upon successful completion of the above described transmission capacitY upgrade process, a transmission capacity reservation wil exist for this project. However, in order to. finalize this transmission caPacitY reservation, a purchase power agreement with Idaho Power must be executed no later than30 days after the transmission capacity upgrades are completed. If the purchase poWer agreement is not executed by this deadline, the transmission capacitY reservation wil be released aM this process wil have to be repeated jfthe projed later requests transmission capacitY. As noted earlier, this tran.smission capacitY acquisitioriand assoc.lated Network Resource designation must be comp.leted, at the minimumi 60 days prior to the project delivering any energy to Idaho Power. In addition, the project must provide routine updates to Idaho Power of the expected online date of the generation project to ensure Idaho Power is capable of accepting the energy from the project on the actual date the project comes online. From:i€hristine;Mikèll rmailto:chriStine~wasatchwind.com) s.nt: Wedneday, MarClti ,Qs,20i09:19 AM To: Aiiphin, Randy Subjec: RE: QF contract reuest Hi Randy, Thanks for your quick response. As a follow-up (I also left you a VM), if we were to pursue a 60 MW OJ project, how is the pricing determined? I~ it based on n.atural gas or coal avoided cost? Is there a range that you have been dealing with I,ately. The CFO and I have been going back and forth about this-l think that the Q,F pricing would be north of $71/MW and he thinks it is significan.tly less. Also, the pricing, is it leveUzed and is there a component of time of day pricing? Thanks, Christine From: Allphil'i Randy (mailto:RAllphin(§idhopower,comJ sent: Wednesay, MardJ 03, lQl0 8:42 AM To: Christine Mikell Subjec: RE: QF Clontract request Christine, I received word back from the transmission group on timelines in regards to notification to transmIssion capacitY application filngs. They advised that they are required to provide an inftial response to an application within 30 days of r'Eèeivng the "complete" application (if information is missing, etc the 30 days does not start until all required information is subriitted). This initial response wil be in the form that transmission capacity is available or that it is not available and additional studies are required. The applicant then has 15 days to act on the response received from the transmission 4 Attachment No. 2Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affidavit, IPC Page 4 of 10 group in order to retain the statues (que position) of the Initial request. l,am not sure hOw many days they have to complete any required studies. Randy From: AfJphin, 'Randy Sent: Wednesday; Ma.rch 03, 1010 7:03 AM To: 'Christine Mikell' Subjec: RE: QF contract request Christine, i am around all day today (Wednesday). Idaho Power transmission - we can get the application flied within a couple weeks of when you supply all of the required information and confirmation of the IA and BPA transmission. As far as how long i,t takes to get a response back from our transmission group, they have some strict FERC guidelines they must adhere to and I believe they have 60 days to respond to the application. There response to the application may very well be that they must perform system impact studies to determine if there is transmission. If this is the case, then more time is needed to get transmission answers. I wil double check on these time lines and get bacho you this morning. Project size - if it is determined that you are simply splitting up a single larger project into two smaller projects to take advantage of the 10 average MW pricing, Idaho Power wil most likely not agree to sign these agreements as We believe this is truly not the intent of this 10 average MW designation and is actually "gaming" the process. You wil be weltome to take your case to the commission and we would then both abide by their ruling. Randy From: .(brl~neMlkell Cmailto:christne(gwasatchwind.com) Sent: TuesdY,llarc~ .02, .201.0 4:a6 PM To: Allphin, Randy Subjec: RE: QFcontract reques AnsWèrs below in black. So" if we can get the Transmission secured and the IA signed by the end of the week, do you think that Idaho Power could confirm tran.smÎsslon in the next two weeks. In the meantime, Would you be able to supply us with the PPA so we can work with our investor to post the project development security? Thanks. From: AIIPJ'ir, ~I'd¥ (manto:AAllphintQldhopower.com) Sent: Tuesay, Marc 02/2010 7:44 AM To: Christine Mikell Cc: John Aubrecht Subject: RE: QF contract request Christine, Thanks for thIs information, some details (clarification) i need before I can start sorting out where we go from here- No question, the fact that your project is not in the Idaho Power serviçe territory creates a lot of complications, 5 Attachment No. 2 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affidavit, IPC Page 5 of 10 1. Raft River interconnection - you do have a completed interconnection ,agreement with Raft RiVer or with SPA? No. bUt it is something we cán get in the next two weeks. If so what Is the nameplate rating contained within that liiterconnectionagreement? We are grappling between one 10 Average MW project or two 20 MW project with a mile separation What is the estimated construction schedule etc of the interconnection? Online date would be 1st quarter 2011 2. BPA transmission - you have not yet actually filed a transmission request with BPA? No Does the BPA process require a non refundable deposit right from the start? I am verifying 3. Project size - utilmately, Idaho Power Power supply will need to request transmission capacitY for your project from the Idaho Power transmission group (If you wish to sell your energ to Idaho P'Ower). To do this we wil need to know the exact nameplate capacity of your planned project. a. Back tQ' the chicken and egg. I know from past experience thi:t the Idaho Power transmlssion group (FERC requìrements) wil require in the application for transmission cclpacity on the Idaho Power system informcltion that the project has secured interconnection from the hQst utility (Raft river) and that the project has verified with the transmitting entity(s) (BPA) that firm transmission for the full nameplate rating is available to the Idaho Power interconnection point before they wil even accept an applicøtion requesting review of available transmissfon capacity on the Idaho Power system, 4. PPA -Idaho Power wil not execute a PPA until the project is able to demonstrate that all three of the atrve issues are resolved. That is the project does have an interconnection agreement and firm transmission capacity is available and reserved on both the BPA and Idaho Power transmission sYstem to get the energy from the project to Idaho POwer customer I.oads. a. One of the key items in any PPA Idaho Power wil sign wil be thc1t the project is required to post security of approximately $4$ per KW (nameplate -10 IVW nameplate would equal $450,000) at the time the contract is signed and if the project does not begin deliveries of .energy to Idaho Power within 90 days of the estimated online date, the project will forfeit dami:ges tQ Idaho Power equal to the $45 per KW, Delays in interconnection. unavailabilty of finn transmission,. etc are not relief from performance within the agreement, Therefore as you can see, even if Idaho Power were able to sign a PPA prior to having the interconnection and transmission capae:ity seciired, there is tremendous fil'ancial risk your project would be e)(posed to ifthe interconnection and transmission capacity is nOt resolved prior to signing a PPA, b. Energy price and potential chi:nges -I haVe also heard rumors thc1t the cQmmission may possibly be changing the PURPA published c1voided cost rates. Idaho PQwer wil have no choiceb.ut to adhere to any new orders issueci by the commission at the time the orders become effective. No black and white answers. and I realize the answers to my questions may be in your letter. but I want to be absolutely sure of the answers to these questions before I continue working these issues over with the appropriate experts. Randy From: Christine Mikell (mailt:christine(gwasachind.comJ sent: Friday, Febru~ry 26, 20105.30 PM To: Allphin, Randy Cc: John Aubrecht Subject: QF contract request Randy Allphin 6 Attachment NO.2 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affidavit, IPC Page 6 of 10 Senior Planning Administrator 1221 W Idaho Street Boise, 10 83702 Tel: (208) 388-i614 raUphin t!idahopower.com Dear Mr. Allphin, Wasatch Wind Int.ermountain would like to request that Idaho Power commence Power Purchase Agreement negotiations with oUr subsidiary, Grouse Creek Wind Park, LLC for .elther a 10 Average MW or something less than 80 MW Qualifying Facilty under PURPA. We believe we have completed the necessary due dilgence to move forward with Idaho Power. The project, in Northwestern Utah on private land, is unique in that we interconnect to a Raft River Electric line that is leased to Bonnevile Power Adminlstration. We recently signed the faciltY study agreement with BPA and expect to have an executed interconnection agreement with Raft River Electric by June. We (Jre currently working with Idaho Power to determine its requirements because they are the balancing authority. Due to the project's location on private land, there is no requirement for a NEPA analysis. However.. WWI has conducted two years of wildlife surveys. We have had two met towers up for about two years. We hold the land lease with the private landowner where the wind farm is located and we are in final negotiations with the landowner where the transmission line wil be routed. The miltary has supported the project as long as the intertie line is under 100 feet. Having said all this, we understand that in order for you to view our project as serious and tender the Power Purchase Agreement and to make the necessary Network Service request for this Qualifying Facility, Idaho Power needs to be sure that we have the necessary transmission rights secured. BPA has maintained we wm be able to make that transmission service request sometime next week. However, as you probably know, when a deposit is made to secure firm point to point transmission and the request is approved, the transmission is binding to WWI through the take or pay contract provision. Per your suggestion, WWI went ahead and confirmed on OASIS to the best of our abilty that there is capacity from Minidoka Substation to Treasure. Valley for Idaho Power to obtain the Network Service on behalf of our Qualifying Facilty. If there truly is available ATC between these two points, we wil make our transmission service request. We find ourselves in a chicken and egg dilemma by which, if we are wrong and there is no available ATt, we have firm stranded transmission with no buyer. Here we sit, knowing that the pricing will change downwardly by the end of March and we are desperate to know about the available ATC. We must act quickly, but at the same time we must be prudent. Has this situation occurred during your time In this position? Do you see that Idaho Power would move forward on a network service request on our behalf? Or is the only solution that we make a TSR to Idaho Power between these two points and then if there is capacity, somehow withdraw our request before it Is binding? Any thoughts that you may have would be greatly appreciated. Kind regards, 7 Attachment No. 2 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 7 of 10 Chrne Watn Mlkensenior Pt oewlomeMaàgOirêt .4353-14 MØb.lø:ao1~104 GleanMeY. Clönait..cleárt èBl.WW~i:,eøi. Wasach Wind Tkistinmøy __ ìnrQmiotba æprvill ~lImi im~lI~claw.It~~..l~..~ ~.~ øofi,ii any tr*~~ll disiriMi:U$oflh ibtò~lM (îllwri~ tleo) IdTlUCTLYPaJlBIT. ftyon:vetli:lg~Ùl ibem,~ im.iIeMll, il,Si aM ~lhin ibitteitlre. wl~ba ib"~~ haKl. _ tØl TkIl~ .Attachment NO.2 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 8 of 10 Wasatch Wind R~ndy Allphin Senior Planning Administrator 1221 W Idaho Street Boise, /083702 Tel: (208) 388-2614 rallphin(§idahopower .com Dear Mr. Allphin, Wasatch Wind IntermOuntain would like to request that Idaho Power comme.nce Power Purchase Agreement negotiations With our subsidiary, Grouse Creek Wind Park, LlC for either Cl 10 Average MW or something less than 80 MW Qualifying Facility under PUR;PA. We believe we have completed the necessary due diligence to move forward with Idaho Power. The project, in Northwestern Utah on private land, is unique in that we interconnect to a Raft River Electri,c line that is leased to Bonnevile Power Administration. We recently signed the facilty study agreement with BPA and expect to have an executed interconnection agreement with Raft River Electric by June. We are currently working with Idaho Power to determine its requirements beCause they are the balancing authority. Due to the project's location on private land, there is no requirement for a NEPA analysis. However, WWI has conducted two years of wildlife surveys. We have had two met towers up for about two years. We hold the land lease with the private landowner where the wind farm is located and we are in final negotiations with the landown,er where the transmission line wil be routed. The miltary has supported the project as long as the intertie line is under 100 feet. Having said all this, we understand that in order for you to view our project as serious and tender the Power Purchase Agreement and to make the necessary Network Service request for this Qualifying Fa,cility, Idaho Power needs to be sure that we have the necessary transmission rights secured. SPA has maintained we wil be able to make that transmission service reque,st sometime next week. However, as you probably know, when a deposit is made to secure firm point to point transmission and the request is approved, the transmission is binding to WWI through the take or pay contract provision. Per your suggestion, WWI Went ahe.ad and confirmed on OASIS to the best of our abilty that there is capacity from Minidoka Substation to Treasure Valley for Idaho Power to obtain the Network Servce on behalf of OUr Qualifying 2700 Homestead Road. Suite 210. Park, C, it, . Utah ., &40ge. Offce: 435-657,2550. ww.wasatèhwind.com. Attachment NO.2clean energy. Clean atr. clean earth. Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 9 of 10 ~Wasach Wind Facilìty. If there truly is available ATC beteen these two points, we wil make our transmission service request. We find ourselves in a chicken and egg dilemma by which, if we are wrong and there is no available ATC, we have firm stranded transmiSsion with no buyer. Here vr sit, knowing that the pricing wil change downwardly by the end of Marchand we are desperate to know about the available ATC. We must act quickly, but at the same time we must be prudent. Has this situation occurred during your time in this position? 00 you see that Idaho Power woliid move forward on a network service request on our behalf? Any thoughts that you may have would be greatly appreciated. Kind regards, Christine Watson Mik.ell 435-503-8814 2700 Homestead Road. Suite 210. Park City. Utah,. 84098 . Offce: 435-657~2550. ww.wasatchwind.oom. .' Attachment No. 2clean enegy. clean air. clean earth. Case Nos. IPC~E~10~61 & IPC~E~10-62 Allphin Affidavit, IPC Page 10 of 10 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO.3 ~hin!Randy From: Sent: To: Subject: Attchments: G/lristine Mikell (christine~wasatchwind.coml Thursday. April 22,2010 11:54 AM Allphin, Randy 12X24 for Grouse Creek OF request Grouse Creek 12X24201 0_ 4_22. pdf Hi Randy, Attached you wil find the 12 X 24 for your pricing model. Let me know if you need an excel version of it. Thanks, Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air, clean earth. ww.wasatchwind.com Wasatch Wind :-i; This message and any attachments contain information that iS propnetary, confidentlal and privileged They are intended for the pnvate and exclusive use of the addressee arid are covered by the Elecronic Communications Privacy Act, 18 U$ C §§ 2510~2521 Unless you are the addressee (or authorize to receive for the addressee) you may eot use, copy, print or disclose to anyone this message or any information contained in the message and anyatlachmenls If you have receiveå this communication in eror. please advise the sender by reply and delete this message From: Allphin, Randy (ma11t:RAlph1n(Qldahopor.col sent: Wednesday, April 21, 2010 2:27 PM To: Christine Mikell Subject: RE: sample PPA, lnterconnecin and transmission capacity process Thanks for the information, I wil get a letter turned around to you. Last we spoke you were not sure of the project size, if you are settling in on the 57 - 65 mW project I wil need to develop energy prices for this project. The published prices apply to only projects that are 10 average MW or smaller. To enable me to start running the pricing models we wil need at minimum estimated monthly energy shape from your project (daily or hourly is even better). Randy 1 Attachment NO.3 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of6 ~hin! Randy From: Sent: To: Subject: Christine Mikell (christine~asatchwind.comi Wednesday, May 05. 2010 3:53 PM Allphin, Randy RE: Grouse Creek OF request Hi Randy, I wanted to check in to see where we are at with our Grouse Creek QF request. I assume you have all that you need. If you can give me an update, that would be helpful! Thanks, Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth, WW.wasatchwind.com Wasatch Wind This message and any attachments contain Information that is proprietary, confidential and priviege They are intended fo the private and ""clusive use of the addresee and are covere by !he Beclron,c Communications Privacy Act, 18 USC, §§ 2510-2521 Unless you are !he addressee (or authonze to reeive for the addressee) you may not use, copy. prini or disclose to anyone lhis mesage or any information contained in the message and any attachments If you have received this comunication in error, please advise the sender by reply and delete this message From: Allphin, Randy fmajlt:RAlghioClldhopor.col sent: Wednesday, April 21, 2010 2:27 PM To: Christne Mikell Subjec: RE: sample PPA, interconnecin and transmission capacity process Thanks for the information, I wil get a letter turned around to you. Last we spoke you were not sure of the project size. if you are settling in on the 57 - 65 mW project I wil need to develop energy prices for this project. The published prices apply to only projects that are 10 average MW or smaller. To enable me to start running the pricing models we wíl need at minimum estimated monthly energy shape from your project (daily or hourly is even better). Randy 1 Attachment NO.3 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 of6 .chin, Randy From: Sent: To: Cc: Subject: Attachments: Christine Mikell (christine~asatchwind.comJ Friday, May 14,20109:21 AM Allphin, Randy Pagoaga, Richard; John Aubrecht RE: Wind generation data Grouse Creek 12X242010.-..4_22IDPCO 2010..ß_13.xlsx Hi Randy, Attached is the 12X24 matrix with the total for all turbines. i am not sure how to address your concern about having hours of the days with no winds. We simply took the data from our met towers, correlated it to historical wind data and that 12X24 matrix came out. You wil see that in the summer months in some ofthe hours there is significantly little winds, but at no time over the course of those hours in a month are they zero. I would be happy to walk you through this should you have any questions. Thanks, Christine From: Allphin, Randy rmârt:RAIPhiriOldahopøeørnl Sent: Thursay, May 13, 2010 3:05 PM ' To: Christine Mikell Cc: Pagoaga, Richard Subjec: Wind generation data Christine, As we work through the model to create pricing for your project we have found that the data you previously supplied does not get us the information we need to be able to run the pricing modeL. In order to run our model, we need estimated hourly energy deliveries to Idaho Power for each day of at least on full year and for the entire facilty. The data you previously supplied appears to be just data for one turbine and also it indicates that the turbine wil generate every hour of every day. This does not seem realistic as I assume there wil be hours when the wind is not blowing. If you could please Itreply to all" to this e-mail your response and data wil also be routed to our team members that are running the model so they can get working on things as soon as it is received Thanks Randy BEt.M~æp~ 1 Attachment NO.3 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 3 of6 Thli uwiniø! iny cOnllrt infullÎon that l$pn..i~ eollfitialai(l exei ii di~ ii lJlkall (aw.lfyó at il ih ii reyoiuiie iinotified tl any dÎløCopii dii;nbuill or us of ih inRili()litai he (inlllng any reliçe 1l1!) idTRICT Y PROHIBIT. rfyc revell iiiniS$101l in Q',plæs imrrately conlad the se an des the inteîal in it en, wbeineleìc lltliii c: lb. Thk yo 1,Attachment No.3 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 4 of6 ~hin, Randy From: Sent: To: Subject: Christine Mikell (christine~wasatchwind.comJ Wednesday, May 19,20103:23 PM Allphin, Randy update Hi Randy, It may take us another week to get you the signed document for Grouse Creek, we need to hone in on a better COD date and get with our consultants to help fill in the paperwork. I hope that is okay. When do you anticipate having the pricing given the fact that we just got you, hopefully, the right data. On another note, we are preparing to submit an interconnection application to ipea at a Wyoming wind project of ours to the Jim Bridger Power Plant. I would assume we could work with you on a QF project in Wyoming that interconnects directly into your system and save some of the hassles we have had with our Grouse Creek project? Also, do you believe that ID Power wil be putting out any RFP's any time soon for wind? Here is a crazy question, I imagine that you won't be backing down the Jim Bridger plant anytime soon! Look forward to your answers. Thanks. Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth. W\,wasatchwind,com Wasatch Wind This message and any attachents contain information lhat is proprietary, confidentiai and priviteged They are intended for the pnvate and exclusive use of the addressee and are covered by the Eleclronic Communications Pnvacy Act. 18 USC §§ 2510-2521 Unless you are the eddressee (or aulhonzed 10 receive for the addressee) you may nol use, copy, pont or disclos to anyone thismessage or any information contained in the message and any attachments If you have reeived this comunication in error, please advise the sender by reply and delete this mesage, 1 Attachment NO.3 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 5 ot6 ~hin,RandY From: Sent: To: Subject: Allphin, Randy Wednesday, May 19, 2010 3:29 PM 'Christine Mikell RE: update Numbers are crunching on the pricing, hope to have something early next week. Wyoming - yes we own a share of Jim Bridger and the Bridger transmission lines. However, delivery of energy to Jim Bridger is not considered delivery to our system. Mayor may not be easier, but we can work our way through things. I am not aware of any immediate RFPs. Does not make a lot of sense to back down a clean, base load, inexpensive coal plant. No question we have to consider long term carbon issues, but at least no plans for immediate back downs. Randy From: Christine Mikell (mailto:christloet§wawfnd.ÇQml Sent: Wednesday, May 19, 2010 3:23 PM To: Allphin, Randy Subjec: update Hi Randy, It may take us another week to get you the signed document for Grouse Creek, we need to hone in on a better COD date and get with our consultants to help fil in the paperwork. I hope that is okay. When do you anticipate having the pricing given the fact that we just got you, hopefully, the right data. On another note, we are preparing to submit an interconnection application to IPCO at a Wyoming wind project of ours to the Jim Bridger Power Plant. I would assume we could work with you on a QF project in Wyoming that interconnects directly into your system and save some of the hassles we have had with our Grouse Creek project? Also, do you believe that ID Power wil be putting out any RFP's any time soon for wind? Here is a crazy question, I imagine that you won't be backing down the Jim Bridger plant anytime soon! Look forward to your answers. Thanks. Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth. IN. wasatchwind.com Wasatch Wind 1 Attachment NO.3 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 6 of6 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO.4 ~hln,RandY From: sent: To: Subjec: Chrti Mikell (c:ristinetmsathwind.comI Tuesay, June 01, 2010. 11 :56 AMAllphin, Rand . aliynéW'? Hey Randy, Junchecklng to see when you thought the model would be ready for Indicative pricing? Thanks. Chritine Watn Mikell Senior Proje Development Manager Direct: 43503-814 Mobile: 801-45-1045 clesn energy. c/98n air. clean earh. ww.wasawind.com Wasatch Wind i li 1 Attachment No.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of38 ~hinr Randy From: Sent: To: Subject: Attchments: Allphin, Randy Wednesday, June 02, 2010 9:21 AM 'Christine Mikell' RE: any new? Wasatch wind Grouse creek porposed project.PDF Christine, Attached is a letter with the potential pricing. I am sending the original via US mail. Randy From: Christine Mikell (iilt:chrfwøtid.lcoJ Sent: Tuesay, June 01, 2010 11:56 AM To: Allphin, Randy Subjec: any news? Hey Randy, Just checking to see when you thought the model would be ready for indicative pricing? Thanks. Christine Watson Mikell Senior Project Development Manager Direct: 435-503.8814 Mobile: 801-455-1045 clean energy. clean air. clean earth. ww.wasatchwind.com Wasatch Wind This message and any attachments contain information that is proprietary. COnfidettlal and privilegad Thay ara intended for tha private and exclusive use of the addressee and are coverd by the Electrc Commullcatlons Privacy Act. 18 U,S.C §§ 2510-2521" Unless you are th addressee (or authonzed to recive for the addressee) you may nol use, coy, prinl or dIsclose 10 anyoe this message or any informtion cotained m the massage and snyattachments. ff you have receIved thIs communicalion in error, please advise the aender by reply and delete thIs meage. 1 Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 of 38 a_. An IDAC comrinv June 2,2010 Wasatch Wind Attn: Chrstine Watson Mikell 2700 Homestead Road. Suite 210 Park City, tI 84098 Randy C. AIphiD Senor Energy Contrct Coordinator Tel: (208) 388-2614 rallphiniaidahopow,com Originl: US Mail E-mail Copy:ChristineMikell-chrtine§wasatchwind.com RE: Proposed Grouse Creek Win Project Ms. Mikll, As we have been discussing, there ar stil some key transmission and interconnection issues that your project wil nee to work through prior to Idaho Power being able to accept energy from your proposed PURA project. i have provided you with a Letter of Understanding and associated infonntion that must be completed to enable us to begin the transmission capacity request process. In addition, a purchase power agreement wil nee to be agreed to, executed and approved by the Idaho Public Utilities Commssion prior to Idaho Power purchasing any energy frm your proposed project. Proposed Energy pricing - The Idaho Public Utilities Comnssion has established a ver specific process tht Idaho Power is required to use to devlop a potential energy price to be paid to PUR A proj ects that are larger than 10 average MW, Ths process requir that we input the estimated hourly energy from your proposed projec into our economic system model (AURORA) to deterne the energy pricing that can be offered to your specific project. In reviewing the generation data you have provided we are fmding tht the capacity factor appears to be much higher than what we have typically seen for this area. However at ths point we Page 1 of2 POBox 70 Boise Idaho 83707 1221 W Idaho Sl Boise, Idaho 83702 Attchment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 3 of 38 have input the data you have provided into our economic dispatch model (AURORA) and calculated energy prices that would be available for your proposd wind project based on the generation data you provided. Prior to formulizing these energy prices, we wil need to do additional review of the estimated generation data you have provided. The proposed energy pricing is contained in the attached pricing schedule. Examples of how to read this schedule: Energy delivered to Idaho Power in March of 2011 - The price paid for energy delivered during Heavy load hours would be $34.21 per MWh The price paid for energy delivered duing light load hours would be $28.86 per MWh. Ener delivered to Idaho Power in July of2011 - The price paid for energy deliverd during Heavy load hours would be $55.85 per MW The price paid for energy delivered during light load hour would be $47.11 per MWh. Ths letter is not a binding commtment from Idaho Power to purchase energy from your project, only after aU interconnection an transmission capacity processes have been completed, a purhase power agreeent has been executed by both parties and the agrent has been approved by the Idaho Public Utilties Commssion wil an effective and binding commtment exist. After your review of this data" if you wish to continue to pursue a PUR A purchase power agrent with Idaho Power, please retu the previously provided Letter ofUndertimding and the infonnation reuired so that we can bein the trnsmssion capacity review proes. It wil be requir that prior to additional work being done on a potential purchase power agreement the trnsmission capacity availabilty and/or required network upgrades be identifed and widerstood. Please contact me at your convenience with any questions you may have. Sincerely, Ae~' Randy C Allphi Idaho Power Compay POBox 70 Boise, Idabo 83707 1221 W 1dahoSt. Boise, Idaho 83702 Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 4 of 38 ;; ; g & ' ~ lC i : l i D l (1 = . ( 1 g . O! : : Z 3 0) : 0 ( 1 - 3 l ! ' : : (. Q . _ _ () D l 1 J Z ~ Ç l ? __ m . . 1J ~ () ~ ..Qo =ö()im~~ Se a s o n a l i z a t i n F a c t o r s Se a s n 1 73 . 5 0 % ( A p p l i e d t o M a r h . A p r a n d M a y ) Se a s o 2 12 0 . 0 0 % ( A p p l i e d t o J u l y , A u g u s t . N o v e m b e r a n d D e c m b e ) Se a s o n 3 10 0 . 0 0 % ( A p p l i e d t o J u n e , S e p t e m b e r , O c t o b e r , J a n u a r y a n d F e b r u a r y ) Co n t r a c t P r i c e En e r g P r i c i n g Se a s o n 1 P r i c i n g ( 7 3 . 5 0 % ) Se a s o n 2 P r i c i n g ( 1 2 0 . 0 0 % ) Se a s o n 3 P r i c i n g ( 1 0 0 . 0 0 % ) He a v y $7 . 2 8 Ma r ç h . A p r i a n d M a y Ju l y , A u g u s t , N o v e m b e r a n d Ju n e , S e p t e m b e r , O c t b e , J a n u a i an d U g h t De c e m b e r an d F e b r u a r y Lo a d Ho u r $3 . 2 ($ 4 . 0 4 ) He a v y Li g h t Fl a t Lo a d Lo a d Fl a t He a v y Lo a d Lig h t Lo a d Fl a t He a v y Lo a d Lig h t Lo a d Fl a t He a v y Lo a d Lig h t Lo d Ye a r Ho u r Ho u r Pr i c i n g Ho u r Pr i c e Ho u r P r i c e Pr i c i n g Ho u r Pri c e Ho u r P r i c c Pr i n g Ho u Pri c e Ho u r Prc e 20 1 1 43 . 3 0 46 . 5 4 39 . 2 6 31 . 8 3 34 . 2 1 28 . 8 6 51 . 9 6 55 . 8 5 47 . 1 1 43 . 3 0 46 . 5 4 39 . 2 6 20 1 2 44 . 0 8 47 . 3 2 40 . 0 4 32 . 4 0 34 . 7 8 29 . 4 3 52 . 9 0 56 . 7 8 48 . 0 5 44 . 0 8 47 . 3 2 40 . 0 4 20 1 3 45 . 3 0 48 . 5 4 41 . 2 6 33 . 3 0 35 . 6 8 30 . 3 3 54 . 3 6 58 . 2 5 49 . 5 1 45 . 3 0 48 . 5 4 41 . 2 6 20 1 4 46 . 5 4 49 . 7 8 42 . 5 0 34 . 2 1 36 . 5 9 31 . 2 4 55 . 8 5 59 . 7 4 51 . 0 0 46 . 5 4 49 . 7 8 42 . 5 0 20 1 5 47 . 8 3 51 . 0 7 43 . 7 9 35 . 1 6 37 . 5 4 32 . 1 9 57 . 4 0 61 . 2 8 52 . 5 5 47 . 8 3 51 . 0 7 43 . 7 9 20 1 6 49 . 1 4 52 . 3 8 45 . 1 0 36 . 1 2 38 . 5 0 33 . 1 5 58 . 9 7 62 . 8 6 54 . 1 2 49 . 1 4 52 , 3 6 45 . 1 0 20 1 7 50 . 4 9 53 . 7 3 46 . 4 5 37 . 1 1 39 . 4 9 34 . 1 4 60 . 5 9 64 . 4 8 55 . 7 4 50 . 4 9 53 . 7 3 46 . 4 5 20 1 8 51 . 8 8 55 . 1 2 47 . 8 4 38 . 1 3 40 . 5 1 35 . 1 6 62 . 2 6 66 . 1 4 57 . 4 1 51 . 8 55 . 1 2 47 . 8 4 20 1 9 53 . 3 1 56 . 5 5 49 . 2 7 39 . 1 8 41 . 5 6 36 . 2 1 63 . 9 7 67 . 8 6 59 . 1 2 53 . 3 1 56 . 5 5 49 2 7 20 2 0 54 . 7 8 58 . 0 2 50 . 7 4 40 . 2 6 42 . 6 4 37 . 2 9 65 . 7 4 69 . 2 60 . 8 9 54 . 7 8 58 . 2 50 . 7 4 20 2 1 56 . 2 9 59 . 5 3 52 . 2 5 41 . 3 7 43 . 7 5 38 . 4 0 67 . 5 5 71 . 4 4 62 . 7 0 56 . 2 9 59 . 5 3 52 . 2 5 20 2 2 57 . 8 4 61 . 0 8 . 5 3 . 8 0 42 . 5 1 44 . 8 9 39 . 5 4 69 . 4 1 73 . 3 0 64 . 5 6 57 . 8 4 61 . 0 8 53 . 8 0 20 2 3 59 . 4 3 62 . 6 7 55 . 3 9 43 . 6 8 46 . 0 6 40 . 7 1 71 . 3 2 75 . 2 0 66 . 4 7 59 . 4 3 62 . 6 7 55 . 3 9 20 2 4 61 . 0 6 64 . 3 0 57 . 0 2 44 . 8 8 47 . 2 6 41 . 9 1 73 . 2 7 n. 1 6 68 . 2 61 . 0 6 64 . 3 0 57 . 0 2 20 2 5 62 . 7 4 65 . 9 8 68 . 7 0 46 . 1 1 48 . 5 0 43 . 1 4 75 . 2 9 79 . 1 8 70 . 4 4 62 . 7 4 65 . 9 8 58 . 7 0 20 2 6 64 . 4 7 67 . 7 1 60 . 4 3 47 . 3 9 49 . 7 7 44 . 4 2 77 3 6 81 . 5 72 . 5 2 64 . 4 7 67 . 7 1 60 . 4 3 20 2 7 66 . 2 4 69 . 4 8 62 . 2 0 48 . 6 9 51 . 0 7 45 . 7 2 79 . 4 9 83 . 3 8 74 . 6 4 66 . 2 4 69 . 4 8 62 2 0 20 2 8 68 . 0 7 71 . 3 1 64 . 0 3 50 . 0 3 52 . 4 1 47 . 0 6 81 . 8 85 . 5 7 76 . 8 4 68 . 0 7 71 . 3 1 64 . 0 3 20 2 9 69 . 9 4 73 . 1 8 65 . 9 0 51 . 4 1 53 . 7 9 48 . 4 4 83 . 9 3 87 . 8 2 79 . 0 8 69 . 9 4 73 . 1 8 65 . 9 0 20 3 0 71 . 8 7 75 . 1 1 67 . 8 3 52 . 8 2 55 . 2 1 49 . 8 5 86 . 2 4 90 . 1 3 81 . 4 0 71 . 8 7 75 . 1 1 67 . 8 3 20 3 1 20 3 2 20 3 3 20 3 4 20 3 20 3 20 3 7 .chin, Randy From: Sent: To: Subjec: Chrstine Mikell (christine(Cwasatchwind.com) Wednesday, June 16,20105:36 PM Allphin, Randy Grouse Creek wind projec Hey Randy, I am just filling in the last of the information on the form you send June 2nd and anticipate scanning it tomorrow and sending it to you with a hard copy to follow on Friday. Are you around to chat tomorrow? Also, i wonder if it would make sense to meet you in person sometime. Are you around in a couple of weeks? Thanks! Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth. YM.wasa1chwind.com Wasatch Wind This message and any attachments contain Information thai is proprietary. confdential and privileged, They are intended for the pnvate and exclusive use of the addresee and are covered by the EleClronic Communicatlons Pnvacy Ac!. 18 U ,8 C §§ 2510-2521 Unless you are the addressee (or authorized 10 receive for the addressee) yo may not use, cop, pnnl or disdose to anyone Ihis mesaga or any infomahon contained in the message and any attachments If you have received this comunication in err, plaase edv,se the sender by reply and delete this message, 1 Attachment No, 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 6 of 38 .2hin, Randy From: Sent: To: Subject: Attchments: Chrst,ine Mikell (christinecæwasatchwind.com) Thursday, Ji;ne 17,20101:22 PM Allphin, Randy Proposed Grouse Creek Wind Project 0197 _OO01.pdf Hi Randy, Attached you wil find out letter of understanding. Please let me know if you would like the hardcopy too. Kind regards, Christine Watson Mikell Senior Project Development Manager Direct: 435-53-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth. ww.wasatchwind.com Wasatch Wind This message and any allachments conlain infrmalion that is proprietary. confidenllal and privileged They are intended fo Ihe private and exclusive us of the addreee and are coered by the Electronic Commuoicallons Pnvacy Act, 18 U.S.C. §§ 2510-2521, Unless you are the addressee (or authOOzed to receive for the addresse) you may nol use, copy, print or disdose 10 anyone this message or any Information contained in the message and anyaUachmanls If you have receive Ihis communication in error. please advise the sender by reply and delete this message i Attchment NO.4 Case Nos. IPC-E-1Q-1 & IPC-E-10-62 Allphin Affdavit, IPC Page 7 of 38 BBi. An IDACOIlP Company .. "Marh 12, 2010 Randy C. Allpbin Sr. Energy Contract Coordinator Tel: (208) 388.2614 ralløhin((idabopower.co Wastc Win Att: Christine Watson Mikell 2700 Homestead Rod. Suite 210 Park City, UT 84098 Original: U SMail E-mail Copy:ChrstieMikell-christin~wasatcliwínd.com RE: Letter of Undertanding Proposed Grouse Creek Wind Project Chrsti, In our conversations and e.mals we have bee discussing your proposed Gruse Cree Wind projec an the process to sell energy to Idaho Power under a PURA agrent. The latest discusions have been around the BPA trasmission requireients. as it appears we now have a pretty good unerstanding of the interconnection status and potential BP A solutions we need to put into motion the process of documting the various reuirments, detemning Idaho Power transssion system capacity and ultimately begin negotiations of a PURA purchse power agrmet. Much of the process identified in this letter we have already discussed and/or has bee provided to you via e- mail. P 0 Boii 70 Boise, Idaho 83707 1221 W Idaho Sl. Bois Idaho 83702 Attachment No.4 Case Nos. IPC-E-10-61 & IPC-Ej.-62 Allphin Affdavit, IPC Page 8 of 38 A$ your proposed Grouse Creek Wind Project is: a) not within the Idaho Power service terrtory an b) it wil be physically internnecting to a utility other than Idaho Power ("host utilty") and c) wil need to arrange for transmission of the project's energy to Idaho Power across the other utiities syste and the BPA trnsmission system ("transmitting entities" creates additiona steps and complexities in orde for the project to sell ener to Idaho Power under a PUR A agrement. Summrized below is a brief outline of the purhase power agreement, inteconnection process and transmission capacity requirements that are applicable to your proposed generation project. This summary is intended to provide geeral infurntion and steps required to enable this pi"Oject to potentially be able to deliver energy to Idaho Power under a potential PURA agreement. Prior to Idaho Power accepting any energy from tms project a PUR A agreement must be agreed to and executed by both parties and also the Idalio Public Utilities Commission (IPUC) must approve any PURA agreemet executed betwee U1e parties prior to it being binding and effective. Purchase Power Agreement The projec you have described appers to be eligible for a purchase power agremnt under the gudelines for a QualifYing Facilty as defned by the Public Utilities Reguatory Policies Act of 1978 (PURA). At the time you ar ready 10 preed WiU1 a purcha power agent for ths project, an U1e prject has completed the requiemets specified below Idaho Power wil prepare a drft purchase power agreement that complies with U1e current rules and reglations that gover these PURA agreeents, any draft purhase power agreements previously provided to you for review must be update to include cUlTent rules and regulations. As we have discused, as your propoed project is greater than 10 iiverage MW. the published avoided cost energy pricing is not applicable to your project. Instead. there are specific IPUC rules and order that specify that Idao Power must calculate a specific energy price for your proposed project by usin an economic system dispatch model (AURORA) that Idaho Power uses in its resur plann proces. You have preiously provided th basic energy shape from your project and we are populatig the model with this energy sha and runnng U1e model to determie U1e approriate energy price. Prior to Idaho Power executing a purchase power agrement it wil be reuired that you have: 1.) Provided documentation that substantiates that the project has filed for intetconnection wiU1 the bost utilty and is in compliace wiU1 any payments and/or other requiremnts speified in the internnection proces for this project and; 2.) Received and accepted an interonnection feasibilty study for tl projec an; 3.) Retrned a signed copy of this letter of understanding and all of tbe reuire informtion to enable Idaho Power to tie an application requesting trnsmission capacity on the Idaho Power electrical system for this project. Completion of the enclosed Transnussion Capacity Application Questionnaire wil provide the majority of this infonnation and; 4.) Confintion that tlie results of the initial trasmission capacity application are known and the projec accepts these reslts and intes to contiue with the deveJopment of the project including. if applicable, execution of a Network Resour Inegration Study Agrement in the fonn enclosed herein. Page i of 5 POBox 70 Boise, Idaho 83707 1221 W Idaho Si. Bois,ldaho83702 Attachment No.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 9 of 38 Intercnnon and Transs§ion CapacitY Your project wil be responsible for all costs of physically intercolUiecting the projec to the host utilty and the Idaho Power electrical syste and any costs associated with acquirin adequate fin traiiion capacty on the Idaho Power trai:misson system to enble the projects energy to be delive to Idaho Power customes. Inte~sciion Your project will be reuir to complete the interconnecion proces and execute an appropriate interconntion agreeent with the host utilty. This interconnectioii agreement wil nee to be in substantially the same foim as Idaho Power's Generation Internnection Ageement ("GIN'). Tragsion Capacit)( To sell your prjec's enrgy to Idaho Power, your project must be designated as a Netork Resource (CCDNR"). In order for tls project to achieve DNR status, a.) The project must acquire fiim trnsmission frm aU transmitting entities required to deliver the projects maximum capacity rating to a specifc physical point of delivery on the Idaho Power electrical system for the full ten of the purchase power agrement an; b.) Idaho Power is required to make a request (complete and fie an application) and be grnted finn transmission capacity on the Idaho Power transmission system &on1 the Idaho Power delivery business unt ("Delivery") to move your project's ener from the physical point of delive to Idaho Power customers an; c.) In accordance with various 111es and regulations, the projec must be grnted DNR stas no later thn 60 days prior to the project delivering any energy to Idaho Power. Idah Power wil begin ths Idaho Power fiim trnsmission capacity application process only after the project ha return a sign copy of this letter of undertanding and all of the information require for Idaho Power to fie this application requesting fiim transssion capacity on the Idaho Power electrcal system (see attached Trasmission Capacity Application Questionnair). Afer fiing a complete fir transmission capacity application wit Deliver, Idaho Power wil reeive notification back from Delivery within 30 days tht: (a) adequat transmission capacity is available for ths project without the nee to constrct upgrdes; or (b) a trnsmission capacity system impact study is requir to determine the available Ida Power transmission capacity and/or required upgrades; or (0) a statemnt of the Page 3 of5 POBox 10 Boise. Idaho 83707 1221 W Idal0 St. Boise Idao 83702 Attachment No, 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 10 of 38 Plea muall re inormtion to: Id Power Comy Attn: R.y C. Allp POBo:i10 Bois ID 83107 B--: raUpn(dahoer.co Sincely, ß eru' Ray C Allphi Ida Power Compy Prit Nam J~.2010 Sipti Title ~~ P OBal' 70 BalsØ¡ Idaho 83707 1221 W Idio St. Baliildlho l:l702 Attachment NO.4 Case Nos. IPC-E-1Q-1 & IPC-E-10-62 Allphin Affdavit, IPC Page 11 of 38 6~i. M lOilico_ Transmission Capacity Application Questionnaire This list is the known informauon requirements 88 of the date of the letter trnsmring this request. If additional infomation is required. Idaho Power wilf promptly notif the projt developer of the additional infomation requirements. A. Project Name C3~ GV-t-G-\c \hi \\ "?çx:\LJ:(. B. Project Location C.Project Developer Name Address City I State I Zip Phone Number E-mail \N4\NAti\i \oi\'c,clri3:u \:)\Ilsk~ lw"-. C \ h. t v~l ~\~~çQs-:)xi; l t. C\tV'.-cs;h~(? lNg,'ø b;bk-1x;. ''''n tLJ. . ç; \k i \rÁ 1 .1 \i öiuj t D. Interconnection "Que" reference number (if not known, please contact the host utilty Interconnection group) G1C 3',- t, E. Evidence of the Project's good standing status in the host utility's interconnection process fA ti \\ÌY ShM'1 (,So daH. ~ \iIIASßtt Vi b" ,viQf :j \AVl.! " ' F. Copy of the Interconnection feasibility study and a statement from the project that the project has accepted the results of the interconnection feasibilty study and is continuing the process of interconnecting and developing the generation project. G.Maximum Capacity (MW)~ti Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 12 of 38 H. Beinning day and time of energy deliveries Day (mm/ddfyyyy) I 1- . .~ \ # ~ 0 \ \ Time I 0 (.\.W' i. Ending day and time of energy deliveries Day (mmtd!l t'~ . 3il ..~ Time K. "P t"N\W tf::6.~.iVAR capabilty (both leading and iaggin¡) of all generators lor Iivt ~ ~.~ ,... t\ffP-'-è-r fO\ ls) -= t~ch'f ;9.r-~ i.(.~l M,vJ, o.YùÍ\o ('5*"'2.-l~'X2)(S) Identification of the control area( s) from which the energy will originate ~,~ 1. ~ \i Y,', -; l5L.O y.\i lA \ A (A\Ú s\ 'Pn'-I\~L( J. L.List any periods of restricted operations throughout the year M.Maintenance schedule Minimum loading level of each generation unit Ì",Ä Vl"S'\b~W -. 11, 1. k.\N IJ rv \V~)( L tW~1A VVV'n fI" );1- k.W O. Normal operating level of each generation unit. SfL, 1L.:i V:' N. P. Any must-run generation unit designations required for system reliabilty or contractual reason N.olh OlA,v Ïdo;Cw \.u Sf . . Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 13 of 38 Q. Approximate variable generation cost ($/MWh) Note - this will be estimatd energ prng from 8 pontiel purchse power agreement tha this prjet may be eligible for. l: eCn - tl 9i I flM,.;Vi \. Ó-;tjIJ R. If the generation resource is to be located in the Idaho Power Balancing Authority Area and if only a portion of the resource output is to be designated as a Network Resource, then explain arrangements governing sale and delivery of additional output to third parties. S. If the project is not directly interconnected to the Idaho Power transmission system. provide the transmission provider(s) name, physical Point of Receipt, Point of Delivery and the transmission reservation number for all of the transmission providers required to deliver the project's energy to Idaho Power. Transmission Provider(s) Name Buvw\L \J " \ LL l VY,Kf Ad li i'J \ ) \v"Çvb ~b Point of Receipt ex hvu..V\ \i\t¿\t'- Ov"(" :ç B r\ k.. s\.\. \.~ \--"/'lh ~y) Point of DeHvery N\ '\ l\ Jií. 0\ u lL v. ') "Aib -:" \-0. \1 i: 6 Transmission Reservation Numbes) 1- d\ T. If the project is directy interconnected to the Idaho Power transmission system. provide the Point of Receipt, physical/acation and voltage. Point of Receipt Physical Voltage U. Is the project committed to execute a purchase power agreement with Idaho Power upon a favorable resolution of the identified interconnection and transmission costs? YesR No 0 V. Is any portion of the maximum capacity identified for this project committed to any other party? Yes 0 NO'~ Signature Date ~(¡-(O Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 14 of 38 ~hin, Randy From: Sent: To: Subject: Allphin, .Randy Wednesday, June 23,2010 8:07 AM 'Christine Mikell' RE: Proposed Grouse Creek Wind Project Christine, Thanks for this information, I have been looking it over and making our preparations to make the transmission capacity request on the Idaho Power system. I expect that the transmission group will not accept our request without more detail and/or assurance that the BPA transmission is available from your project to the point of delivery on the Idaho Power system. I know we have discussed this quite a bit - but could you send me a write up in regards to the availabilty of the BPA transmission capacity. If possible, include as much reference to your actual filngs in the BPA process and status. Clearly the best solution would be to be able to state that BPA transmission capacity is available and the project has rights to it. Another note - on the interconnection section you state that the Facility study is due the end of June. i would assume then that a Feasibilty study is already complete and you have accepted the results of that study - could you send me your answer to this also in written form (basically an answer to item F of on the transmission questionnaire) Thanks Randy From: Christine Mikell (maJIt;ch~asw!nd.comJ sent: Thursay, June 17, 2010 1:22 PM To: Allphin, Randy Subjec: Proposed Grouse Creek Wind Projec Hi Randy, Attached you wil find out letter of understanding. Please let me know if you would like the hardcopy too. Kind regards, Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth. ww.wasatchwind.com Wasatch Wind r ,\ This message and any allaGhments COleln informalion that Is proprietary, confienlial and privilaged, They are intended for the pnveie and exclusive use of the addressee an are covered by the Electronic Commurlications Privacy Act, 18 u.,s C §§ 2510-2521 Uniess you are the addressee (or authorized to rec",ve tor Ihe addreee) you may not use, copy, pnni or disclose 10 anyone this message or any informahon contained In the message and any attachments, If you have received this communication in error, plesse advise the sender by reply and delete !his message 1 Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 15 of 38 Allphin, Randy From: Sent: To: Subject: Attachments: Chrstine Mikell (chnstine~wasatchwind.comi Thursday, June 24,20102:16 PM Allphin, Randy RE: Proposed Grouse Creek Wind Project BPA Feasibility study. pdf Hi Randyi I just left you a message. In short, we have three golden eagle nests within about .5 miles from some of our turbines. After meeting with USFW service recently, it looks like to mitigate impacts to golden eagle populations we wil have to have greater setbacks between golden eagles and the turbines, Le. drop turbines because the land is constrained. Based on this, it appears that we wil need to discuss with you changing our initial request to a 10 MWA request. Is this something that is easy for you to rerun, or do you anticipate that it wil result in the same answer? I know that when we spoke some time ago that you suggested that the new natural gas pricing would mean the 10 MWA and less than 80 MW PPA prices would be about the same. I think you had guessed that the pricing would be about $70/MWh. Since the pricing is at $55/MWh for the larger QF, I thought perhaps there was stil that price disparity. We would like to discuss with you the option to build one 10 MWA QF and possibly another 21 MW's at a later date. We plan to make a transmission service request to BPA for 30 MW's and possibly another 21 MW's. Based on our interconnect studies and conversations that we have had with BPA (not to mention the analysis that we presented to you that BPA gave us), there are 93 MW's available on that line to the Minnidoka substation. The feasibilty study is completed and attached and yes we acknowledged/accepted the results of that study. Let me know a good time to talk. i am out after about 3:30, but back again tomorrow. Love to catch up so we know how to make the proper TSA with BPA~ by Wednesday. Thanks, Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth. ww.W5satchwiod.com Wasatch Wind This message and any attachments contain information that is propnetary, confidential and pnvileged They are intended for the pnvate and exclusive use of the addressee and are covered by the Electronic Communlcatiol1s Pnvacy Act, 18 U,S.C §§ 2510-2521 Unless you are the addresee (or authonzed 10 receve for the addresse) yo may not use. copy, pnnt or disdose to anyone this mesage or any informalJOi contained In the message and any attachments lfyou have recve this communication ir error, please advise the serief by reply and delete this message~ From: Allphin, Randy (mailt:RAllphinC9idahopower.com) sent: Wednesay, June 23, 2010 8:07 AM To: Christine Mikell Subject: RE: Propose Grouse Creek Wind Project 1 Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 16 of 38 Christine, Thanks for this information, I have been looking it over and making our preparations to make the transmission capacity request on the Idaho Power system. I expect that the transmission group wil not accept our request without more detail and/or assurance that the SPA transmission is available from your project to the point of delivery on the Idaho Power system. I know we have discussed this quite a bit - but could you send me a write up in regards to the availabilty of the BPA transmission capacity. If possible, include as much reference to your actual filngs in the SPA process and status. Clearly the best solution would be to be able to state that BPA transmission capacity is available and the project has rights to it. Another note - on the interconnection section you state that the Facilty study is due the end of June. I would assume then that a Feasibilty study is already complete and you have accepted the results of that study - could you send me your answer to this also in written form (basically an answer to item F of on the transmission questionnaire) Thanks Randy From: Christine Mikell (mailto:christine(§wasatchwind.comJ sent: Thursay, June 17, 2010 1:22 PM To: Allphin, Randy Subjec: Proposed Grouse Creek Wind Proje Hi Randy, Attached you wil find out letter of understanding. Please let me know if you would like the hardcopy too. Kind regards, Christine Watson Mikell Senior Projec Development Manager DIrect: 435-503-814 Mobile: 801-455-1045 clean energy, clean air, clean earth. ww,wasatchwind.cgm Wasatch Wind This message and any allactmients eolain mfomialion lhat ,s propnetary, confidenbal and pr,vileged They are irierded for tt pnvale and e~clusive use of Ihe addrsee and are COrad by the Electronic Communicalions Pnvacy Act, 18 U SC §§ 2510-2521 Unless you are lhe addressee (or aulhonze 10 receive for the addresee) you may not use, copy, pnnl or disclose to anyone its message or any informalion conlamea In Ihe mesage and any allachmenls It you have received this conmunicalion In "iror, please advise lhe sender by repiy and delele !his message. HR.../_.~ 2 Attchment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 17 of 38 Th ti, ma co iiomkm li is pr1lCOØdlICl It dilo imap ii, ir~ If ii it lw Rl)'1I liootl -lI dllo ~ ~ll_iillilkm ~ll (li~lI~~) Is snicv PROHIT.lf,on:vc thUlit in il, pi ~ i:ia it Bdll Ør it mi li il eiÆt)'. wl li el or bI co l'. 1l yo 3 Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 18 of 38 Department of Energy Ofíkinl rile CI'P~ Bonneville Power Administration P.O. Box 491 Vancouver, Washington 98666-0491 TRANSMISSION SERVICES November 12.2008 In reply refer to: TPP/DITT-2 Ms. Christine Watson - Mikell Wasatch Wind, Inc. 357 W 910 South Suite A Herber. UT 84032 Dear Ms. Watson ~ MikeIJ: Enclosed is the Final Generation Interconnection Feasibility Study (IFES) report addressing local interconnection requirements for the Grouse Creek Wind Project (Project). This project is being developed by Wasatch Wind, LLC. The Project is listed as queue request number G0326 in the Bonnevile Power Administration Transmission Service's (BPA-TS) for interconnection queue. The study was performed under Study Agreement No. 08TX- I 3540. This Final report includes non-binding good faith cost estimates. Please handle this Omi~hil tsc Only document with appropriate discretion. If you have any questions or comments, please contact Matl Ingold at 360-418-2339 or myself at 360-418-8414, Sincerely, Charles E. Matthews Process Manager. Generation Integration Planning Transmission Planning Enclosure: Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 19 of 38 IntercOlUiection Feasibiltv E\'aluation Studv (. . Intel'~onnection of: \Vasutch \\'ind - -ISO I USE ONLY Information !)ISTRIlHm. PPllUSH AL;l l-O~IZEi) BY BPA OFfiCIAL USE ONLY Mdy Ii-. rNm pal'liuu.. mc'~ of lnr~ Ai: (5 I..lU:. :'si). .i_t11illl nllfllhr mid ."iicii11ly. .. ....A~:1'1''1I.i:~iiOlWI OFCIA ONLY Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 20 of 38 BONNEYILLlh::"d l A..llUUIIJl Ue" Report Prepare by: Matt Ingold, TPP Petr J. PongczBart TPM OFfCIAL USE ONLYThis nipol1 ~tlll1 BoiJle Pow Adinilioo CtltiCllnl1~ lìl~ (CD).Distrilmilo of thÎ$ ,. im be lìnte to pm UW.ll . _ to !m M'hiv fifirfe noo..iiilR t1ulnits wih th Boneille Pøw Adinislon. Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 21 of 38 . , TABLE OF CONTENTS l. i. 3, :ti 3,2 ,D ..... Ni:work R.esouce 4. Trip Relaying artd 5. Comrm,inications, Contrøl 6. TQÇhnical 6.1 6,2 63 lntroouction................,...............................................,...............".........................,................ 2. Conclusíous and ... ......................................................................_......... :1IntertOl'QÇtÌOIl i Intdc,onnectio at ...."",.."'''''"....''''..."".".....''......:''*"...........''..."...,."........"."....~l....."'''''.."...,.."..."..."..;~;.....?"".'".;¡,..'".. 8 Intennnei:íôJ hi~rcQfnei:iQf at New 6.6 Fàult Studies 7. Cost 11 Attaebment A: Preliminary Sketh witb Interconn~on.t Bri."138-kV Substaton. o .../\s:.d~,, d d"'''::'c'' . ,Attachment B: Prelimiary Sketcb M.th "tlronn~ .'óng tbe BridgeWest Wendover 138-kV Transmission Line.t&", ",'4,:..\ OFFICIA USE ONLYThis report Critíel Infrtrre Disbuilon ofttis repot1inus tk,limited to paies that have a nee ttl1mw and reirefSwIlh tteBolllw,vile Power Admiuilllioo. Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 22 of 38 i. Introduction This report is the Generation Interconnection FeasibiliLy Study (IFES) addressing local interconnection requirements for the GroU$ Creek Wind Project (Project). This project is being developed by Wasatch Wind LLC. The Projce is listed as requcst No. G0326 in the Bonncvi1c Power Administration Transmission Services' (BPA-TS) OASIS queue for interconnection of generation. The Project as proposed is alSO MW wind genertion facilty. whìth wiUbc built in twophase. The first phase wìH consist of 100 MW with an enc . tion datp.~llc 20 to, an the seeond phase wil consist of 50 MW with an encrgi of ~ir 20 i O. This Feasibilty Study is performed to address the follo~ìdg ,': 'p" "~, "t- a) IdentHy facilities reqiiiièd O:lliitlie'nPA system for the proposed interconnection; i. ",. b) Provide non-bi!?,!iri'gi'gÓ~d-faith estimated cost ofBPA required facilities; and c) Provide a non-binding good- fàith estimated schedule for implementation of BPA required facilities. The Points Of Interconnection (POI) addressed in this study include BPA-TS's Bridge I 38-kV Substation and a new switch station looped into the Bridge-West Wendover I 38-kV transmission line, just south oflynn, Utah. The tecbnical study results includ ~ tli~tl~a~l\ie for interconnection only. Technical studies for trans niee .fOl deH'very of output beyond the point of interconnection are not includ ~~ísñiission servce for delivery beyond the point of iutercounection mnst be requ~ 1índ arrnged for separately. ',\,f; These studies were C6fiâ'bèted using the best available information at the time of the study. Findings and recommendations are based on assumptions, which could cbange. Bonnevile reserves the right to modify the conteiit in this report as necessary with pertinent justification. 2. Conclusions and Recommendations The JFES study supports the interconnection of up to 33 MW of generation, with a protective remedial action scheme, into the Bridge 138 kV Substation as indicated on the Preliminary Sketch in Attachment A. This capacity is based 011 existing and planned facilities in the arca. including generation interconnection requests preceding the Grouse Creek Wind Project in BPA- TS's OASIS interconnection queue. The generation that can be supported by the system in the area is limited by the potential for overloads during all lines in-service conditions on the Minidoka PH-Bridge 138 kV, which serves as the only transmission path for generation south of Minidoka. Single line outages in the area could potentially reduce the available capacity further OFFICIAL USE ONLY 2 This report contains BonncviJli; Power Administration Critìcallntr.structure Information (eii), Distribution of this report must be limited to parties that have a need to know and have fulfilled non-disclosure requirements with the Bonneville Power Administration, Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit. IPC Page 23 of 38 ~;.i.. ~"l : I:J . t i:; . .. ".\\ \. ''', ~'. I. t to 3 MW. This limitation can be mitigated by installng a Remedial Action Scheme to trip Grouse Creek Wind. The capacity ofthc system is subject to Generation Interconnection requests 00245, G0246, G0247, and 00248, and could increase if these projects were withdrawn from the interconnection queue. In this scenario, up to 93 MW of generation could be interconnected. The study also supports the proposed interconnection of up to 33 MW onto the Bridge-West Wendover 18.kV transmission line. The system capacity for this interconnection option wil be subject to summertime limitations and generation resources preceding the Wasatch Wind Project in BPA-TS's Interconnection Queue in the samc way as the Bridge 138-kV interconnection. Thc BPA-TS recommendcd plan of service is to build a p.ew 3-brcakcr l38-kV substation as indicated on the Preliminary Sketch in Attaehinentß. '." ,,;", \'1. ...$;~Y' The Minidoka PH-Bridge 138 k are owned by the Raft River arrangement is to assume a 5 to usc. as the Brídge- Tecoma 139 kV lines by BPA-TS. BPA-TS's policy for such an for the line, unless the owner supplies different ratings .tto ". ~::',The Minidoka PH S\bStation is owned by the Bureau of Reclamatioii. It is assumed that Wasatch Wind will coordinate wíth the Bureau of Reclamation to ensure that the breakers and other statìon equipment at Minidoka are adequate to support the new generation on the Minidoka PH-Bridge line. Non-binding good faith estimated costs have been developed for fqF different interconnection options. These costs are based on similar projccls, ;4~d include high voltage equipment, controls, meter. and comml,i:l / rhead costs. The cost for interconnection at the Bridgc i ¥,SU requests 00245, G0246. G0247. and 00248 interconnect into the 'M'p inc is $3.3M. If these projects are withdrawn the cost for interconnection at th i¡t38 kY substation is $4M. The cost for interconnection 011 the Bri Wendover 138 kV line assuming requests G0245. G0246. G0247, and G0248 into the Minidoka PH-Bridge lìne is $13.2M. Ifthese projects arc withdrawn the interconnection on the Bridge-West Wendover line is $14.6M. The estimated ti11clinc for completion of this project is 18-24 months following NEPA clearance. 3. Interconnection General This feasibilty study report addresses two possible points of interconnection. The first is at Bridge 138- kV Substation, the second is a new substation along thc Bridge-West Wendover I 38-kV transmission linc. Existing and planned facilties as well as interconnection requcsts preceding this project in BPA-TS's OASIS queue were included in the study. Two projects that have an impact on this project are U.S Geothem1al, and Generation Request numbers 00245, G0246, 00247, and G0248 (G0245-G0248). u.s, Geothennal is an existing 36 MW resource interconnected to BPA-TS's Bridge Substatl0n. G0245.G0248 arc for four 20 MW wind resources (for a total of 80 MW) that have requested interconnection at the Idahome Substation, OFFICIAL USE ONLY 3 This report contains Bonneville Power Admini51ration Critical Infrastnictufc Information (eii). Distribution of this rcport must be limited to parties that have a need to know and ha\'c fiiltìlled non-disclosllc rcquirements with the Bonneville Power Administration. Attachment No, 4 Case Nos, IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 24 of 38 This project lies within the Idaho Power Company Control Area. As such it is the responsibilty of thc developer to make agreements with Idaho Power regarding thcir network and AGe (Automatic Generation Control) requirement... Additional hardware and communications functions may be required over and above those requirements stated in this study. 3.1 Interconnection at the Bridge Substation The first alternative interconnection. Option IA. to the aPA~rS system ìs at Bridge 138 kV Substation. The pOint of intercoMectioii wiJinclude a new i 38-kV temlJntl at Bridge Substation, The work at the terminal includes a cireuit breker. three switches and asiat~ relaying and controls. A more detailed analysis of the substation work wil be çoinlete in the hitercoMectÎOn Facilty Study. At this time, the MinidokaPH-Bridgc 138 leV ininsmisliotl line wil overload during summer time light load holl with U.s. Getherml and Gl 24S~248 at peaklevels ¡fthe Grouse Creek Wind Project gènertion exceeds 33 MW. The overload is exacerbate by any contingency which trps radial load. A Remedial ActÎon Sceme (RAS) wil be necessar to trip generation at the Project during sUPlmcr time. lo,.,load hours in the event of such a I.08S ofload. In addition Bridge has aìiection,to.imdoka PH vias 40 mile long transmission Une. A RAS is also ' tptate Line Los Logic (LLL) at the Minidoka PH Substation tt) trip,ge et in the event oia eontingency of the Minidoka PH-Bridge i 38~kV liiitl.i '\ i, A varation on the iniereonn~rhridge Substation. Option i a, occurs in the event that 00245-00248 do not" , ot at ldaome Substation. In tbis scenario the maximum peak level of generation at se Creek Wind Projeot would be limited to 93 MW, wbich is less than the requested 150 MW. and subject to the sae remedial action sche as desçrbed fOr the Option lA MW peak generation leveL. In addition to requirements for Option I A, Option i B requires placement of addítional BPA control equipment at Grouse Cre Wind Collector Substation and 36 miles of fiber optic cable instaled betwen the CoUcctor Substation and Bridge Substation. (n the last 10 years. the Minidoka PH-Bridge~i1Í.llåsba ~tb''àf11 non..momentary outages with un average length of 56 mimitçsJorèàcho MÎiiidokaPowerhous Substation. owned by the Bureau of Reclamájìò~ (Burea;L); old subståtion imd it is likely that breakers and other station equipment may Jiced tø'Wtipgradcd to support the new generation. '"''v''''' v., It is assumed that Was¿itcñWiiid wil be responsible for securing the right of way and construction ofthc 13~4('V transmission line from the Grouse Creek Wind Collector Substation to Brìdge Substation (BPA-TS) and development of facilities at the Grouse Creek Wind Project. Wasatch Wind wil be responsible for installing a 36 fiber, fiber-optic cable between the 138 kV generation project step-up substation (Collector Substation) and Bridge Substation. BPA-TS requires the exclusive use of 12 fibers. The Collector Substation shall include space in the control building for all BPA-TS equipment, for options that require it. in addition to Wasatch Winds needs. OFFICIAL USE ONLY 4 This report contains Bonneville Power Administration Ciìtìcal Infrdstructure Information (elli, Distribution of this rl.-port must he limited to i,arties thaI have a need to know and have fulfilled non-disclosure requirements with the Bonneville Power AdininísiralÌon, Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 25 of 38 : ,.11.... \'í ..3 Please notc: For both options I A and 1 B Wasatch Wind needs to contact thc Idaho Power Company (IPe) since the generation is located in IPC's load control area and they are one of the affected transmission systems. 3.2 Interconnection on Bridge-West Wendover 138.kV Line The second alternative, Option 2A, point of interconnection is along the Bridge-West Wendover i 38-kV Line. The point ofinterCOllnectÍon would be approximately 36 miles Oiit from the Bridge Substation towards West Wendover. The work at the New POI Substation (ncar Lynn, Utah) includes a 3-breaker ring bus. associated relaying and controls, control house. and communications equipment. A more detailed analysis of the substation work will be completed in the Interconnection Facilty Study. It is assumea klh . 'Wil be responsible for all transmissionlìne Right-or-Way acquisition, of the 138 kV line tì'om its Collector Substation to the New POl ~!J~aiil 8" opmcnt oftàciltics at Grouse Creek Wind Project. Option 2A i~fW~ lùnte~Jpjl peak level of generation with similar remedial action schemes proposed rorO~*fA, except that the generation trip wil occur at the New POl Substation. CommunicaliaPs\vìI be extended from Bridge Substation via new fiber optic cable to the New POl,s"UpStûHon over the Raft River owned. BPA-TS leased transmissionline. '~\¡'i,;~' A variation on the interconnection at the New POI Substation, Option 2B, occurs in the event that the G0245-G0248 do not interconnect into Idahome Substation. The maximum peak level of generation at Grouse Creek Wind Project in this scenario would be limited to 93 MW. which is less than the requested iso MW, and subject to the same remedial aq~on schemes as described for the Option 2A 33 MW peak generation leveL. Iit. ,rHon to ,\i~lirements for Option 2A, Option 2B wm reuire generation trp equip~: Wind Collector Substation and extension of comunieaiionsviaJlbß"df,úc Cll the new POI Substation. '\,++î*'~' ,,,' \ Wasatch Wind wil be responsible fO~)llSt'¡:Mlrlg a 36 fiber, tiber optic cable between the Grouse Creek Wind Collector SubstatiQi:ai&tlic New POl substation. BPA-TS requires the exclusive use of 12 fibers, Wasatcp,,'l'¡Ôdshall include space in the control building at Grouse Creek Wind Collector Substatid'ìl for all BPA- TS equipment in Option 2B, in addition to Wasatch Wind's needs. Also as mentioned in section 3,1 above, the Minidoka Powerhouse Substati()!,, owned by the Bureau, is an old substation and it is likely that breakers and other station equipment may need to be upgraded to support uic new generation. For Options 2A and 2B, Wasatch Wind needs to contact ipe sinee the gciicration is located in IPe's load control area and they are one of the affected transmission systems. 3.3 Network Resource Interconnection Service The LGIP defines Network Resource Interconnection Service as Interconnection Service that allows the lnterconnection Customer to integrate its large Gcnerating Facility with the Transmission Provider's transmission system in a manner comparble to that in which the Transmission Provider would integrate new generating facilities to serve nntive load customers.OFFICIAL USE ONLY .) This report contains Bonnevílc Power AdmiiiislTiltion Critical Infrastructure Infol1iation (eii). Distribution ofthis report must be limited 10 parties thai have a need to know and have fulfiled non-disclosure reuirements with the Bonneville Power Administration, Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-1Q-62 Allphin Affdavit, IPC Page 26 of 38 FERC has stated that the Interconnection Customer may designate their large Generating Facility as a Network Resource any time before the Commercial Operation Date (COD). Further. the LGIP states that Network Resource In,terconncction Servic~ does not convey in iud of itslf transmission service. A new or existing Network Customer of the TransmissIon Provider must fie a Transmission Service Request to designate the Large Generating facilty as a Network Resource. Once the interconnection Customer has obtained Network Reurce Interconntion Service, requests for network Integration Transmission Service from the Generating Facility to points inside the Transmission Provider's transmission system will not require additional interconnection studies or additional upgrades. However. requests for delivery service inside the Transmission Provider's transmission system may require additional studies and upgrades if they are necessary to reduce congestion to acccptablt¡ levels. , . l'\..;,!~'1(t.'i~.~ '/,,' ", .£,",:.;/~::,. ~;Assuming tlúsprojeçt wouldsc . ~A\:TS~oti(loads in the Southern Idaho area, llétwork addit,ions would ootbe re . c eho1lè\iuired for interconnection. Service to BPA- TS's network loads beond the theqil4ò ara would require transmission additions from Souther Idaho to those lOllQ,$S; Ìice BPA-TS does not own a continuous transmission path from Southern Idahq,t!?'9t,et parts of the BPA-TS system in the Northwest. $ ";.¡ i¡ .'ft"" 4. Transfer Trip Relaying and Remedial Action Scheme (RAS) BPA-lS wil not require trnsfe triprelaying for the project line tcminal at either Bridge Substation or the new POi Substaüon along the Bridge-West Wendover 138-k V Line. Wasatch Wind wil be responsible for the line. fiber cable on the line and tenniiial at the 138 kV Grouse Creek WindCoUectorSubstation. Agreeinents ~tween Brtt1.s. Raft River. and Wastch Win wUl need to be completed to acommodl\.7t\~ttqu!Il~~htlesatthe interconnection sites. ft" ef; '"'" t.:~" "\ *,.A local RAS with redund ~ ir(mics.~ ilrcd ,to trip Grouse Creek Wii\d genetion for (I) Bridge-MinidOka PH ( ine~)~aäing çonditions and (2) opening of the I :l8K V PCB to the power grd at Minidoka", \:,'~. t:T',\ ~, 'For Option IA.li~tlêtient sensing (requires addition ofCT's) at the Minidoka PH end ofthc Bridge Substation line and LLL for the PCB at the Minidoka PH end of this same line are used to trip generation at Bridge Substation. For Option 2A, the same conditions arc sensed at Minidoka PH and used to trip project generation of 33 MW at the new POl Substation (two PCB's), For Options 1B and 2B. an additional condition is added requiring sensing ofline current at the Bridge Substation end of the line to Minidoka PH (requires addition of CT' s) to trip generation at Grouse Creek Wind Collector Substation. The LLL input from Minidoka PH is used to trip the entire Grouse Creek Wind Project generation output at Bridge Substation (Option i B) 01' at the Grouse Creek Wind Collector Substation (Option 2B) Whcnever the entire generation is tripped for any reason. Wasatch Wind will need to get pennission from ipe to begin generating again.OFFICIAL USE ONLY 6 This report cont¡¡in~ Boonevile Power Administration Criticallnfmstrcture Information (Cll. Distribution oftliis report must be limited to parties that have li need 10 know and have fulfilled non-disclosure requirements with the Bonnevile Power Administration, Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 27 of 38 1.1-." ¡'d ¡., ," 5. Communications, Control and Metering BPA-TS will install. own and operate the Fiber Optic (FO) and Communication and Control (C&C) equipment at either Bridge Substation or the new POI Substation along the Bridge-West Wendover 13l: kV line and the I 3H kY Grouse Creek Wind Project step-up collector substation. For Options I A and 2A, BPA-TS wil install 138 kV PCB B-switcl indication and of Voltage, Kilowatts and Kilovars at the Grouse Creek Wind Collector Substation line to Bridge Substation. Wasatch Wind shall provide the leased line for BPA..TS's usc. (Public Switched Telephone Network) connectivity. .. be Wastch Wind to enable BPA-TS'g MV-90 (Revenue Meteri the ¡PC Meters at the Grouse Creek Wind C:qBtllttdr asatch Wind wUlbc required to i.tall 36 tiber, fiber optic cable for Op1~ rB ll!1tl$ n Wind Colteetor Substation and the new POl Substti~9A~åttynn, Utah. ~~ .,; ." BPA- TS will upgrade J.%~~is(ihg analog radio link between Bridge Substation and Albion Butte Radio Station to digitaf:tìdio, Options lA, i B. 2A and 2B. The radio link from Albion Butte to Minidoka Radio Station is being upgraded 10 digital radio under another project and its cost is not included here. BPA-TS wìl install new SONET (Synchronized Optical Network) equipment on BPA-TS installed fiber optic cable from Bridge Substation to the new POi Substation (Options 2A and 2B), and Wasatch Wind installed fiber optic cabl.c (Option 2B). BPA-lS wil add thc required circuits over the new facilties and itscxistil1g cqtl~nication facilities for BPA- TS implementation of all the control CirC\lit:r~iÌ'mcnts'fifihìs pr~ject as dictated by Options I A, i B, 2A and 2B.' \ ~ \5 ",;o;_+;"'tBPA-TS's C&C requirements indlutfe: ",~: ",,4; . Voice: Dial Party circujH~i'ilùiccCSS to the OATS (Dial Automatic Telephone System) for maiiltelliinbè purposes at the new POI Substation and at the Collector Substation rprÒ¡11íons I Band 2B. . Data: ~ a A PSTN (Public Switched Telephone Network) phone line for remote access of the ipe generation meterS at the Grouse Creek Wind Collector Substation by BPA-TS's MV-90 system, a Since this project is within the ldaho Power Company's control area they wil need data from the project for their network operation, AGC (Automatic Gcneration Control), Generation Metering and Biling functions. The requirements for this infomiation niust be provided by Idalio Power Company and is not a part of this study ~ a BPA-TS will collect PCB and relay status and alarm information from transducers, relays, RAS and communication equipment via a SCADA RTO. SER (Sequential Events Recorders), FfN (Field lnformation Network) at Bridge Substation (Options lA, lB, 2A and 2B), Minidoka PH (Options lA, lB, 2/\ and 2B), the new POI Substation along the Bridge-West Wendover 138 kV lineOFFICIAL USE ONLY 7 This rep~)rt contain, Bonnevile Power Administration Crittcallnlhistructurc Information (('I), Distribution oftJiis repan must be limited to parties that have u need to know and have fulfillcd non-disclosure requirements with the Bonnevillc Power Administration. Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 28 of 38 (Options 2A and 2B) and at the Grouse Creek Wind Collector Substation (Options 1B and 2B), o For Options IA and 2A, BPA will add 138 kV breaker status indication (8- switch) and telcmetcrillg ofVo1tagc, kW and KVar at Grouse Creek Wind Collector Substation via leased line (provided by Wasatch Wind) to Bridge Substation and integratcd into the SCADA RTlJ at Bridge Substation. .BPA-TS wíl add SCADA control, at Bridge Substation (Options IA and 2A) and at the new POI Substation along the Bridge-West Wendover I 38-kV Line (Opti011s i B and 2B). Protection relaying is required on the ncwCl~~ßkY liPts~\ît:is anticipated that TT (Transfer Trip) to provide high sfleéd clearing, lil(pÒwer system faults wil not beneccssaiy. \:~ '1 ',' . .RAS (Remedial Action Scl)ølné)0~~e paragraph 5.0: RAS requirements have been identifled and the ei~cîróÜtês are redundant for maintainability. Generator dropping schemes wíI needfó"bc incorporated, .For Options 1 Band 2B, some of BPA-TS's C&C equipment wil operate from the Grouse Creek Wind Collector Substation '8 129VDC station batteries. (Load to be defined later.). Also, BPA-TS will add a 48VDC Battery and Charger System for its communications equipmcnt at the Grouse Creek Wjnd Collector Stbstntion" '.. ",. .The BPA- TS C&C equipment must bc:intlb~~ (a~a~;,ftòri./ilirt!mOisturc) in a climate controlled tàcility between 60,~Ð,d 8ll.DCgrecs~f.\ ' . l~t4. '"" For cyber security reasons, somc'QNÌi~'BPA-TS equipment wil be housed in a locked cabinet.,,,. ' ", . The estimates in Seclioh 7.0 assume that the control house at Bridge Substation has adequate space to house all new equipment for communication and control associated with this project. A morc detailed analysis of the control house capacity and more accurate estimates wil be completed in the Interconnection Facility Study along with a dctaílcd communications plan and estimates. 6. Technical Analysis Steady State Powcrflow, reactive margin Q-V curve analysis, and thermal analysis have been conducted for this project. Assumptions, models and results arc described below. OFFICIAL USE ONLY 8 This report contains Bonneville Power Administration Criticallnfrastructure Information (cIl. Distribution of this report must be limited to partic.~ that have a need to know and have fulfilled non.disclosure requirements with the Bonnevile Power AdiuiniMration. Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 29 of 38 ',' ; .,',. ~t..~ ,:".., . .. ~, , f !:t.1 .. Ì' ; ~ : 6.1 Analytical Approach Two types of computer based contingency simulations were performed and analyzed for this IFES: (In addition, short circuit studies were performed. which arc given on the Draft PRD) . Powertlow studies to evaluate thermal loading and post-transient voltage levels. . Q-V curve power margin studies to eval~~e rela,!i~e'êifihge in the transmission system capability with additìonpf oJect. " '~\' .",J..'~ t ,~A,'t '.;. '\Powerflow, thermal and rçâclVC ll~l: Q"V curve study work for the IFS were performed using PowerWorld,Sjjifa'tor Version 12.0 OPF, ATC, SimAuto integrated transmission analysis softWe'~ ",.,~t-". . ' 6.2 -if 1',"'1:Powerf1ow Model" The approach used was to model the most severe conditions that have occurred in the past that could impact the generation interconnection capacity. The most severe condition appears to be light loadings on the radial 138 kV line from Minidoka P.H. to Wendover. Nevada. Multiple generation patterns were modeled to investigate the limiting conditiol~~ that inay detcimine system expansion requirements. ','\ ", .. . 6.3 Study Scenarios ';~:;f't; '0,_ ''' In order to assess the impact ofintérconi;er;tihg'Wasatch Wind into the BPA-TS's transmission system, BPA-TS perfonl1ed Pow~rtiòw;šiudies using BPA-TS suminer and winter 2010-Uz, ~. "Ypowertlow base cases.'~ The shidics include gcncratìon resources that precede the Wasatch Wind Projects in BPA's Interconnection Queue as well as resources scheduled to be in-service prior to the Wasatch Wind Projects and integrating into other transmission provider's systems. These faci1ilÌcs include; the U.S, Geothermal integrated into BPA's Bridge J 3R-kV Substation with a net nominal output of approximately 36 MW. Also included as in this study were requests numbers G0245, G0246. G0247, and 00248, totaling 80 MW. which have requested interconnection onto the Minidoka PH-Bridge 138 kV line. . Seasonal cases during peak load and light load (30% of peak) hours, . Seasonal cases with and without summer and winter peak generation at Minidoka, . Seasonal simulations with and without local capacitors available, . Seasonal cases with and without reactive support at proposed Wasatch Wind projects. . Seasonal simulations with and without generation at U.S. GeothermaL. . Seasonal cases with Wasatch Wind Generation modeled at Bridge and with Wasatch Wind Generation modeled along the Bridge-West Wendover 138-kV Transmission Line.OFFICIAL USE ONLY 9 This report contains Bonncvílc Power Administration Critical Infrastructure Information (ell, Distribution of this report must be limited to parties that have II need to know lind have fulfilled non-disclosure requirements with the Bonnevile Power Administration, Attachment No.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 30 of 38 6.4 Interconnection at Bridge With all other generation sources operating at peak Icvel including requests covered by 00245. 00246.00247. and 00248, dlling summertime low load hours, the introduction of more than 33 MW (Option lA) of generation interconnected at the Bridge I 38-kV Substation causes overloading on the Minidoka Powerhouse-Bridge 138-kV transmission line. This ovcrload is exacerbated by the loss of either the Brídge-Curlew or Bridge-Wendover I 38-kV lines. However. even during the worst coiitingency, the line would be able to SUppoit up to 3 MW interconnected at Bridge. In order to safely interconnect 33 MW of generation. a remcdial action scheme (RAS) will need to be implemented to drop excess generation in case the line overloads. In the event that the requests in the queue, 00245, 00246, 00247, and 00248, ahead of Wasatch Wind's request were withdrawn for some reason, tlewerconl1 ø;cßould accommodate up to 93 MW of generation composed of two incrc~Wtrt MW (Option 1 B). During summertime low load hours, the inir()d,~cti9n \1 nio~~ MW of generation interconnected at the Bridge J 38-kV Substation,~~esÔvc hitn the Minidoka Powerhouse-Bridge 138- kV transmission line. This overldád is .~, d by the loss of either the Bridge-Curlew or Bridge-Wendover i 38-kV lines. ~Wevcr, even during the worst contingency, the line would be able to support up to 63 I'vl,¥.iriærconnected at Bridge. In order to sa.fèly interconnect 93 MW of generation, a remcdiahnêtióri scheme (RAS) will need to be implemented to drop excess generation in case the line overloads. 6.5 Interconnection at New Substation Along Bridge-West Wendover 138-kV Line with an other generation sources operating at peak level including requests eovered by 00245, 00246, 47, and ~S, (Option 2A) during summertime low load bOUT, the system capac~t " nnection is also limited by the potential (or overloads on the M,!iiíqpk.' rfl-Bf kV line. The generation is limited to MW, with a remedial aciiotl,s~cih to ratioii in the $iime way as thc interconnection at Bridge Substaikln: :¡,,"""t) In the event that the requcsts..i~Jt1ëqucuc, G0245, G0246, G0247, and 00248, ahcad of Wasatch Winds request did interètifii1ect on the Minidoka PH-Bridge 138 kV line. the interconnection could accommodate up to 93 MW of generation composed of two increments, 33 MW and 60 MW (Option 2B). During summertime low load hours. the system capacity for this point of interconnection is also limited by the potential for overloads on the Minidoka PH-Bridge i 38 kV line. The generation would bc limitcd to 93 MW, with a remedial action scheme to drop 33 MW. in the same way as the interconnection at Bridge Substation. 6.6 Fault Studies Preliminary short circuit CUlTcnt values shown on the sketches are present values. System fault studies will be conducted in the Interconnection Impact Study incorporatÍng proposcd system additÍons and gencrators, Although, prcliminary brcaker screening analysis indicates that noOFFICIAL USE ONLY to This report contains Bonnevile Power Administration Critical fnfrastnicture Information (CII), Distribution of this report must be limited to parties that have a need to know and have fulfiled non-disclosure requirements with the Bonnevile Power Administration. Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 31 of 38 ~". . ~., lltJ' d,.,t . \ ',. breakers will need to be replaced due to increased fàult duty requirements, there remains a possibility Breakers may need to be replaced. Customer equipment should be sized to accommodate system growth. 7. Cost Estimates Good faith non-binding Estimates of customer costi for ¡DrereaDD tion options I A, lB, 2A, and 28 arc given in Table I. These estimatc~\~~d on for similar projects. These costs are only for the Bonneville supplipd (sQBes k~'tlt is time. Existing equipment in the substation and nearby substatin&,p eplaced at additional cost iffault duties require it. There may be additii co Vll'g one or more transmission lines associated with options 2A and 2B. I . Wasatch Wind wil be responsible for aU equipment, facilities deve site development including land acquisitions, and permitting, includi~t impact assessment. "i,' BPA wil make thc decision 10 proceed WiÙl this interconnection based on an environmental evaluation as required by the National Environmental Policy Act (NEPA). Onee the decision is made to proceed. the typical schedule for completion is i 8-24 months. Table i - Cost Estimates OFFICIAL USE ONLY I i This rcport contains Bonneville rower Administration Criticalliifrastructure lntonnation (ell, Distribution of this report must be limited to 11arlics that havc a need to know iind have fulfilled non-disclosure requireinents with the Bonnevile Power Administration. Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 32 of 38 ~hin, Randy From: Sent: To: Subjec: Allphin, Randy Friday,. June 25. 2010 7:48 AM 'Christine Mikell' RE: Proposed Grouse Creek Wind Project Christine, I am buried today and traveling Monday. Lets break this down into two parts- PPA - if you are less then 10 average MW, the project wil qualify for the published avoided cost rates contained in IPUC order 31025. No pricing runs on my part required. There are some seasonality and HL and LL factors that are applied to the prices within that order. In addition, the contract is pretty standard, very little negotiation by either part as the contract is pretty well established by numerous commission orders. Transmission - my process to file for the transmission capacity request is no different whether you are 10 MW or 69 MW. However, the application we file wil contain a single maximum capacity number. Currently the information you provided me was for 69 MW, please send me a new information page with your new size. The feasibilty information is exactly what I needed for that piece. BPA capacity - sorry if I overlooked the previous information you sent, but could you resend the information with a summary cover letter. Future projects - we could not agree to anything today, have to deal with future projects at the time you propose them. Thanks Randy From: Christine Mikell (mailto:christine(Çwasatchwind.com) Set: Thursay, June 24, 20102:16 PM To: Allphin, Randy Subject: RE: Propo Grouse Creek Wind Projec Hi Randy, i just left you a message. In short, we have three golden eagle nests within about .5 miles from some of our turbines. After meeting with USFW service recently, it looks like to mitigate impacts to golden eagle populations we wil have to have greater setbacks between golden eagles and the turbines, i.e. drop turbines because the land is constrained. Based on this, it appears that we wil need to discuss with you changing our initial request to a 10 MWA request. Is this something that is easy for you to rerun, or do you anticipate that it wil result in the same answer? i know that when we spoke some time ago that you suggested that the new natural gas pricing would mean the 10 MWA and less than 80 MW PPA prices would be about the same. I think you had guessed that the pricing would be about $70!MWh. Since the pricing is at $55!MWh for the larger QF, i thought perhaps there was stil that price disparity. We would like to discuss with you the option to build one 10 MWA QF and possibly another 21 MW's at a later date. We plan to make a transmission service request to BPA for 30 MW's and possibly another 21 MW's. Based on our interconnect studies and conversations that we have had with BPA (not to mention the analysis that we presented to you that BPA gave us), there are 93 MW's available on that line to the Minnidoka substation.1 ~~~~~4Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 33 of 38 The feasibilty study is completed and attached and yes we acknowledged/accepted the results of that study. Let me know a good time to talk. I am out after about 3:30, but back again tomorrow. love to catch up so we know how to make the proper TSA with BPA:: by Wednesday. Thanks, Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth, ww.wasatchwind.com Wasatch Wind This message and any aUachment. contain 'nformalion thal is proprietary, conridenbal and pnviteged, They are inlended lor the privale and exclusive use of the addressee and are covered by tie Electronic Communications Privacy Act, 18 U,S.C §§ 2510.2521 Unless you are the addressee (or authanzed to receive for the addressee) you may not use, copy, pnnt or disclos to anyone thl. message Of any informatian c:ined in ihe message and any attachments If yo have rece've this communication 'n error, please advise the sender by reply and delete this message From: Allphin, Randy (mailto:RAllphin(gidahopower.com) sent: Wednesay, June 23, 2010 8:07 AM To: Christine Mikell Subject: RE: Proposed Grouse Creek Wind Projec Christine, Thanks for this information, I have been looking it over and making our preparations to make the transmission capacity request on the Idaho Power system. I expect that the transmission group wil not accept our request without more detail and/or assurance that the BPA transmission is available from your project to the point of delivery on the Idaho Power system. I know we have discussed this quite a bit- but could you send me a write up in regards to the availability of the BPA transmission capacity. If possible, include as much reference to your actual filngs in the BPA process and status. Clearly the best solution would be to be able to state that BPA transmission capacity is available and the project has rights to it. Another note - on the interconnection section you state that the Facilty study is due the end of June. I would assume then that a Feasibilty study is already complete and you have accepted the results of that study - could you send me your answer to this also in written form (basically an answer to item F of on the transmission questionnaire) Thanks Randy From: Christine Mikell (mallto:christine(gwasatchwind.com) sent: Thursay, June 17, 2010 1:22 PM To: Allphin, Randy Subjec: Propos Grouse Creek Wind Project 2 Attachment NO.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 34 of 38 Hi Randy, Attached you wil find out letter of understanding. Please let me know if you would like the hardcopy too. Kind regards, Christine Watson Mikell Senior Project Development Manager Direct 435-503-8814 Mobile: 801-455-1045 clean energy, clean air. clean earth. ww.wasatchwind.com Wasatch Wind This message and any attachments contain ,nformabon thaI is propnelary. confidential and priviegd, They are íntended fo th priate and exusive use of the addreee an ere coved by the Electronic Communicabona Prvacy Acl. 18 US,C §§ 2510-2521 Unles yo are li addressee (or authorzed 10 reve for the addressee) you may no use, coy, prim or disclos to anyone ths mege or any informtion contained in the message and any allchments ø you have reíva this comunicalíon In eror, please advíse the sender by rely and delete ths meage B_~ This transmission may contain inforion that is privileged, confidential and/or exempt from disclosure under applicable law. If yo are not the inten reipient, yo are hereby notified that any disclosure, coying, distribution or use of the informtion containe hern (including any reliance ther) is STRICTLY PROHIBITD. If you reeived thistrsmission in err, pleas immedately contact the sede and deroy the material in iti entirety. whether in elecroc or ba coy formt. Thank you. 3 Attachment NO.4 Case Nos. IPC-E-10-1 & IPC-E-10-2 Allphin Affdavit, IPC Page 35 of 38 Allphin, Randy From: Sent To: Subjec: ~hti$titi NW £christinetmsatchwlnd.coml Monday, June.2. 201tl S;05 PM Allphin; Randy 10 MW PPA Hey Randy, Is the PPA contract online for the 10 MW QF? Thanks! Christine Watson Mikell Senio Projec Devement Manaer Direct: 435--03-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth. ww.wasatchwlnd.com Wasatch Wind 1 Attachment No.4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 36 of 38 .chin, Randy From: Sent: To: Subject: Allphin, Randy TGesdRV, June 29, 2010.6:48 AM 'Christine Mikell' RE: 10 MW PPA My routine process is to not develop a draft agreement for a specific project until the transmission and interconnection is pinned down - however, I am currently working up a draft agreement for another project, I am thinking I should be able to duplicate that draft contract for your project. It wil be a week or two before I have it ready to go. Randy From: Christine Mikell (rnllt:øhl1riWlDØ.col Sent: Monday, June 28, 2010 9:51 PM To: Allphin, Randy Subject: RE: 10 MW PPA Can we get a copy or do we need to wiat? From: Allphin, Randy rmailt:RAllphinOld~col sent: Monday, June 28, 2010 7:48 PM To: Christine Mikell Subjec: RE: 10 MW PPA No From: Christine Mikell rma1lt:øhl1neC9watttind.coJ sent: Monday, June 28, 2010 5:05 PM To: Allphin, Randy Subjec: 10 MW PPA Hey Randy, Is the PPA contract online for the 10 MW QF? Thanks! Christine Watson Mikell Senior Project Development Manager Direct: 435.503-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth. ww.wasatc:hwind.com Wasatch Wind This message and any attachmets contain information that is ptopnetary. confidential and p'IlIlegad, Thay ara Intende for th prvate and exclusive usa of the adâlssee and a'e covere by theEIeclronlc CommunlcatLons Pnvacy ACI, 18 USC §§ 2510-2521., Unless you are th addressee (or authorzed to ,eceive for the addresee) you may not use, copy. pnnt or disclose 10 anyoe this message or any informalion conLalned in Ihe message and any attachments. If you have received this comunicalion in error, pLease advise the sende, by reply and deLete this message 1 Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 37 of 38 i Attachment No. 4 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 38 of 38 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION\ CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO.5 ~hini Randy From: Sent: To: Subject: Attachments: Christine Mikell (christine(§wasatchwind.com) Wednesday, July 14,20103:52 PM Allphin. Randy RE: 10 MW PPA GrouseCreekCLlPC02010J _14.pdf; GrouseCreekQF1 indicpric_201 OJ _14.pdf; GrouseCreekQF2indicpric_2010 J _14. pdf; GrouseCreek- Timeseries Vestas201 OJ _14.xlsx; V112 Gen Spec. pdf Hi Randy, As we discussed on the phone earlier, here a cover letter, two 10 AMW QF requests, the time series for a Vestas machine and the specifications for the Vestas V112. You should be receiving the Fedex package tomorrow. Look forward to hearing your feedback. Also, if you have made any headway in the draft agreement for the other project, would love to see that! Thanks, Christine Watson Mikell Senior Project Development Manager Direct: 435.503-8814 Mobile: 801-455-1045 www.wasatchwind.com Wasatch Wind clean energy. clean air. clean earth, This message and any attachments contain information that IS proprietary, confidential and privileged They are intended for the pnvate and exclusive use of the addressee and 8re covered by the Eleetronie Communications Privacy Act. 18 U.S,C § 2510-2521 Unless you are the addressee (or authorized to receive for the addressee) you may not use, copy, pnnt or disdose to anyone this message or any Informa1ion contained in the message and any aUachmenls If you have received this communication In error, please advise the sender by reply and delete this message" From: Allphin, Randy rmaJlto:RAlIphiI10ldho.coml Sent: Tuesday, June 29, 2010 6:48 AM To: Christine Mikell Subject: RE: 10 MW PPA My routine process is to not develop a draft agreement for a specific project until the transmission and interconnection is pinned down - however, I am currently working up a draft agreement for another project, I am thinking I should be able to duplicate that draft contract for your project. It wil be a week or two before i have it ready to go. Randy From: Christine Mikell (pillt:chrfnetmastcwind,co) Sent: Monday, June 28, 2010 9:51 PM To: Allphin, Randy , Subjec: RE: 10 MW PPA Can we get a copy or do we need to wiat? i Attachment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of22 From: Allphin, Randy (mallto:RAlphin(cldahogger.c;ml sent: Monday, June 28, 2010 7:48 PM To: Christine Mikell Subject: RE: 10 MW PPA No From: Christine Mikell (mallto:chrlsnesatcblnd,col Sent: Monday, June 28, 2010 5:05 PM To: Allphin, Randy Subject: 10 MW PPA Hey Randy, Is the PPA contract online for the 10 MW QF? Thanks! Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air. clean earth. ww.wasatchwind.com Wasatch Wind This message and any allachments cotain in/ormalion Ihaiis propnetary. conldenl,al and pnvileged They are intded for the pnvele and exclusive use of the addressee and are covered by the Eleclronic Communicalions Povacy Act. 18 U S,C §§ 2510-2521 Unless you are the addresee (or autonzed to receive for Ihe addressee) you may not use. copy, print or discose to anyone this message or any inforation conlained in Ihe mesage and any attchments If you have receive this communication in error, please advise the sender by reply and delete this messege This trnsmission may contain information that is privileged, confidential and/or exempt from dil09ureunder applicable law, If you are not the intened reipient, you are hereby notified tht any disclosure, copying, dislribulion, or use of the infonntion contained herin (including any reliance Ihern) is STRICTLY PROHffITED. If you reeived this transmission in errr. please immediately contact the sender and destroy the mateal in ils entiret, whether in electronic or ha copy format. Thank you. 2 Attachment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 Of 22 .BI Transmission Capacity Appicatlon Questionnaire Al IO ce Ths list is the kno Infomatk reme as of the ds of the lett trnsmng ths request. If adlnmati Is required, Idaho Po wUt pry noif th project devlor of the addtional infoti requirement. A. Project Name (3VOLAs,G Cvt"ck.W\Y\d PørL. i B. Projec location :3 Mi \ 'Sa Go.\ heaSt- 0 f- I.Vln lAiM=r 14 h' R \7 \, c.Project Developer Name Addre City I Stte I Zip Phone Number E-mail Wg,sa h. \U.lluQ :Ix\=\r:rn:tA\o, Lt...L 1.100 l+m.nJ,(' £'alf $14 fß.'2Î 0 ~yt ~ì ~i i~r ~~o'8à öC =ç;; I u; t- j == 5- 503-ß~I:q c:.hr: i 511 he.. (2\I\ß\l.h" Y\I ,,,øl .(oVV D. Internnedon "Q" rerence number (if not knon. please coct th host utlity Intrcnnection group) GO" 3U E. Evidence of the Projet's good standing status in the host utlftys Intrcnncton process V dc, uta Sh(Q~:k d F. Coy of the Internnectn feasibilit stuy and a sttement from th prect that the project has accpted the reults of th Intrcnecton fesibilty study and Is cotiuing the proces of Interonnecting and developing the genertion project. G.Maxium Caacit (MW)jo MWls Pilei oU Attachment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 3 of 22 H. Beginning day and time of energy derivries Day (øi) t 1.11 J 2.ti. Time 00' 120Pd'C'ìb c ìlvv t Ending day and time of energy delivrie De (mmll I J.l I /2.02 7- Time 00 ." Qi) Fe. c16, , til" J. VAR capability (both leading and lagging) of all genertors :)c' ( Co, 't h: (() ¡ i~ t~ K. Identifican of the contrl araa(s) from which the energy wlll onginate '-r cia he Poy'c~-- L. List any periods of restrcted optio throou the year M. Maintenanc schedule- N. Minimum loading level of eac generation unit (Vh v ( ", I f'b I Sf ( llRtí c1wi: ::;¿. S' l"eel J'L .~ o.Norml operating level of each generation unit. S C -t .IU2.4 P. Any must-rn generation unit designations reuire for system reiabilty or contrctal reson ~o: ~ w: ~~o~kaß:: Pii2 of3 Attchment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 4 of 22 Q. Apprximate vanable generation cost ($IMWh) Noe-lhwfbeeBlenpdfteponl pu po agem thet th Ptct may be øI ti. R. If the genertion reour is to be locte In th Idaho Power Bancing Authrity Ar and if only a portion of th reurce outut Is to be designate as a Netwrk Resur, the explain arrngements governing sale and deliv of additional output to third partes. S. If the prjec is no direly interconed to the Idaho Pow trmission system, proe th trnsmission prvlder(s) name, physical Pont of Receipt, Point of Deliv and the trnsmission resetion number fo all of die tramissin prvider reuired to deliver the projec's energy to Idaho Po. trals Priilcli) Nae BfA.f'ointotRe ß1rlw("Y' We.V\4OVC'" d ßvJi¿ SlA~~ PointofDelve MinidokA. S\Ak£;.lØhAo Tranllisn Rell Nmbes) B: ß,££ - 7 'j y , i. "3 S T. if the proct Is dirly IntDne to th Idaho Po trnsmission sysm, prode th Point of Recept, physical location and voltae. flOint or Hept Pl\ i. Volae U. Is the project committ to exete a purcase power agreement with Idaho Pow upon a favorable relution of the identied Intennecton and trnsmission cots? Yes)f No 0 V. Is any poron of th maximum capacity Identied for this prjec committ to any other part Y81 0 No Jl Signatu Date 7-( ~~ ;)(0 Pa3of3 Attachment No. 5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit. IPC Page 5 of 22 Exhibit A: Ansr tv Qun J VAR cabilty (both Jeadl,. and Jagng) of aU generators) î 0,0-0° ...1 0,5 0 01 02 03 04 05 06 07 08 09 10 ¡ OA8pu O,48W 0.4 0.3 0.2 0.1 ..øv-e~~CacJl .. Un..xile~t¡lludle. -0,2 -0,3 .(1. -0.5 P(pu) Attachment No. 5 Case Nos. IPC-E-10-61 & IPC-E-1Q-62 Allphin Affdavit, IPC Page 6 of 22 Exhibit B-Documentation of Transmission Service Request This customer wil be part of the 2010 Network Open Season. No notification to opt out submitted in comments section of TSRs received 3.5 Reæipt of TSR Deposit 3.5.1 The TSR Deposit must be deposited with BPA, or into an Escrow Account, by Close of Business 10 Business Days after the TSR status is changed to RECEIVED in OASIS or the TSR status wil be changed to DECLINED. If the custmer wishes to pay the TSR Deposit via Escrow, please contact the bank directly. To allow for timely processing and to ensure the TSR deposit deadline of 7/15/10 is met, BPA reuires the Escrow Agrement, with customer signature, from the bank within 5 business days aftr the Reæived date of 6/30/10 (by 7/8/10). 4 Non-Refundable Proessing Fee 4.1 In addition to a TSR Deposit, when making a L TF PTP or NT TSR, the Customer must submit a separate $2500 non-refundable Processing Fee to BPA. 4.3.1 SPA Transmission Services must receive the TSR Processing Fee by Close of Business 10 Business Days after the TSR is RECEIVED on OASiS or the TSR wil be DECLINED and receive no further consideration. 4.4.1 The TSR Processing Fee must be paid direcly to BPA Transmission Services and cannot be placed into an Escrow Account T . . S . R laæ' RECEIVED Sransmission ervice (ØQUEll$ Dl,in taus Non. Refundable Rec'd TSRDeposit Processing 10 Day AREF Related Ref Name Date Rate MW Due Fee Due Due Dat Wasatch Wind 74412433 Development 6/30/10 PTP 1.298 30 $38.940.00 $2500 7/15/10 Wasatch Wind 74412442 Development 6/30/10 PTP 1.298 21 $27.258.00 $2500 7/15/10 $0.00 $0 $0.00 $0 Subtotal:$66.198.00 $5.000 7/15/10 Total Due:$71.198 A New Long Term Reservation (TSR 74412433 ) has been RECEIVED for Wasatch Wind Development LLC Click here to. se Transmission Request in CBSA A New Long Ter Reservation (TSR 74412442 ) ha been RECEIVED for Wasatch Wind Attachment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 7 of 22 "' ~ ( , ~ 1l " Õ I I I I ~: r ( 1 g . oo : : Z 3 o ) : 0 ( 1 - 3 1 ~ : : 1\ 0 . _ . . I\ I I " ' Z ~ Ç ' 9 :. m o i "' . : (' ~ si ~m,..~ he P O F C a l c . l l a t o r I s a t o o l d e s i g n e d f o r u s e i n C f h e L o n g - T e r m F i r m ( i . T i = r m - ã r k e l a n i î l r i l K e N e l W ò - r i r S e r v i c e ( N T r m a r k e f . l f e m p l o y s 'E v a l u a t e d " P O R s a n d P O D s a n d t h e i r a s s o c i a t e d P a t h U t i l z a t i o n F a c t o r s ( P U F s ) t o d e t e r m i n e t h e i m p a c t o f a g i v e n r e q u e s t t o i n t e r n a l ,o w g a t e s ( r e f e r t o t h e p o s t e d A T C I m p a c t s o f L o n g - T e r m F i r m R e q u e s t s f o r m o r e I n f o r m a t i o n ) . he P U F C a l c u l a t o r ca n b e u s e d t o c e l c u l a t e t h e i m p a c t of a n O r i g i n a l L T F r e q u e s t a n d t h e I m p a c t o f a N T r e q u e s t t o t h e In t e r n a l f 1 0 w g a t e s nd c o n t a I n s t h r e e f i e l d s t h a t r e q i . i r e d a t a e n t r y : E v a l u a t e d P O R , E v a l L J a t e d P O D , a n d R e q u e s t e d De m l i n d ( M W . ) . T h e s e , l i r e t h e w h i t e te x t ie l d s t o t h e f a r l e f t b e n e a t h t h e t o o l t i t l e , w h i c h a p p e a r s i n r e d . T o f i l l t h e P O R a n d P O D fi e l d s , h i g h l i g h t t h e w h i t e t e x t f i e , l d t o b e f i l l ø d a n d he n t h e p u l l - d o w n m e n u a r r w a p p e a r s t o t h e r i g h t , h i g h l l g h t t h e a r r o w a n d c h o o s e a p o i n t f r o m t h e se l e c t i o n . T o f i l l t h e R e q u e s t e d em an d ( M W ) f i e l d . s i m p l y h i g h l i g h U h e w h i t e t e x t f i e l d a n d ty p e I n t h e n u m e r i c v a l u e t o be a n a l y z e d . i n m e g a w a t t s . W h e n al l t h r e e w h i t e :e x t f i e l d s a r e f i l l e d , t h e c a l c u l a t e d i m p a c U o t h e l t t e r n a l f l o w g a t e s ( i n M W s ) w i l l a p p e a r b e n e a t h t h e " E v a l u a t e d I m p a c t o f R e q u e s t " f i e l d . hi s c a l c u l a t o r w i l n o t I n d i c a t e w h e t h e r t h e i m p a c t m a y b e c o n s i d e r e d d e m i n i m i s (r e f e r t o th e p o s t e d A T e M e t h o d o l o g y M a r g i n ( A M M l a n d 'e M i n i m i s Im p a c t D e a d . . B s n d f o r m o r e i n f o r m a t i o n ) . NT r e q u e s t s w i t h t h e F e d e r a l C o l u m b i a R i v e r P o w e r S y s t e m ( F C R P S ) a s t h e P O R o r P O D m a y e n t e r " F C R P S " i n t h e E v a l u a t e d P O R o r va l u a t e d P O D f i e l d . T h e a s s u m p t i o n s a b o u t t h e F C R P S u s e d b y t h e P U F C a l c u l a t o r m a y ' b e d i f f e r e n t t h a n t h e a s s u m p t i o n s a b o u t t h e FC R P S i n d i c a t e d i n t h e c u s t o m e r ' s c o n t r a c t . T h e r e f o r e . t h e a c t u a l i m p a c t s o f a n e q u i v a l e n t N T r e q u e s t m a y b e d i f f e r e n t t h a n t h e i m p a c t s Ic u l a t e d b y t h e P U F C a l c u l a t o r . C u s t o m e r s w i l l c o n t i n u e t o b e u n a b l e t o u s e F C R P S a s t h e E v a l u a t e d P O R o r E v a l u a t e d P O D f o r L T F 'r e q u e s t s . IP l e a s e n o t e t h a t t h i s t o o l c a n n o t b e u s e d t o a c c u r a t e l y d e t e r m i n e t h e c a l c u l a t e d i m p a c t o f S h o r t - T e r m F i r m ( S T F ) r e q u e s t s . R e f e r t o t h e Ip o s t e d S h o r t - T e r m F i r m A T C M e t h o d o l o g y f o r m o r e i n f o r m a t i o n . Di s c l a i m e r : T h e i n f o r m a t i o n c o n t a i n e d h e r e i n i s c o m p i l e d f o r i n f o r m a t i o n a l p u r p o s e s a n d i s f u r n i s h e d w i t h o u t a s s u r a n c e o f o r ir e s p o n s i b i l i t y f o r i t s a c c u r a c y . T h e a c t u a l i m p a c t s v a r y d e p e n d i n g u p o n s y s t e m c o n d i t i o n s . T h e i n f o r m a t i o n i s , t h e r e f o r e , s u b j e c t t o c h a n g e it h o u t n o t i c e a n d m a y n o t b e u s e d t o m a k e p r o j e c t i o n s . T h e i n f o r m a t i o n i s a v a i l a b l e t o t h e s i t e v i s i t o r o n t h e c o n d i t i o n t h a t e r r o r s , mi s s i o n s a n d / o r c h a n g e s s h a l l n o t b e m a d e t h e b a s i s f o r a n y c l a i m , d e m a n d o r c a u s e f o r a c t i o n . D e c i s i o n s b a s e d u p o n t h e i n f o r m a t i o n nt l i i n e d i n t h e s e p a g e s a r e t h e s o l e r e s p o n s i b i l i t y o f t h e v i s i t o r . Q u e s t i o n s a n d c o m m e n t s s h o u l d b e d i r e c t e d t o y o u r A c c o u n t E x e c u t i v e o r BL R e s e r v a t i o n s D e s k a t t b l r e s d e s k SO U T H OF AL L S T O N O. O M W CA S C A D E S NO R T H O. O M \ \ MO N R O E - EC H O LA K E O. O M W NO R T H OF JO H N DA Y O. O M W PA U L TO AL L S T O N -O. O M W WE S T OF SL A T T O. O M W RA V E R TO PA U L O. O M W WE S T OF MC N A R Y O. O M W CA S C A D E S SO U T H õ. NO R T H OF HA N F O R D O. O M W L T P U F C a l c u l a t o r Re v i s e d : S e p t e m b e r 2 9 , 2 0 0 9 .B& Transmission Capacity Application Questionnaire Al lIllCOIi Ths 8st Js the knwn Infor reirment as of the date of th ler tr this reue Jf adtial fnlan Is required, Idaho Powe wil promy no ih pro develope of /he addltlollnftlon reuirments. A Project Name Gæ\ò~(. CV-cc'L W)V\c\ 'ltÃ~Jr B. Prject Locaon 3 \M\ \t~ V\~~Ø:t Ot l.'jlA \A ìa L;i=r Ii N ß. 11 w~ c.Projec Developer Name Address City J State I Zip Phone Number EamalJ WpYteh ~l ::Y1\cVV!9~lA LLL ';3P l-yv Xc "-1 ß.A $1A i -k z \ ~ ~rL u~. ~ r e,'J~~ \ ~ ; S-~ -=o~S-= 4- sC: ~)3a- it) '"J G\v, Ç,D Y\(, Q; \bu~.$økh,lc(\Yi"'., Lo~ O. Intercnnecton -Que" rerece numbe (if not knwn. plase contct th host utility Intercnnecon group) 6 0 ~ ::'l\. E. Evience of the Project's good standing status in the hot utlity's Intercnnection procs Ea,Cl htJ smtA'1 (ovy?\LlLcÎ F. Copy of th Interconnectn fesibilit study and a sttent fr the prec that the proec has accpted the result of the Intercnnon feslbty study and is contnung the proc of Inteconnecting and developing the generation proje G. Maximum Capacity (MW) J L M W Pap 1 or3 Attchment No. 5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 9 of 22 H. Beinning day and time of ener deveries Da (irl- 1.1 , /1. 0 l i.TIe tlt;; 00 'Ð:icìfxc. h 'i i. Ending day and time of energy deliveri Da (mm/ddL- 'L'! I 1.t' 3 '2-Time ((o: D Q lh.f ì 4 r -\1 '" J. VAR capabilit (both leading and lagging) of all generators See ¡2;Ch: ~ it .13 K. Identification of the control area(s) from which the energy wil origInate :Jda.\ro 'Rwec L. List any periods of restricted operations throgho the year M. Maintenanc schedule'- N. Minimum loading levl of each generation unit o,c.h v L ~ . \ 12\ I ')\ ( 'j n'dJ" b V'\ ~-,) , S"l',,l';X,C O. Normal operating level of each generation unit. Soc -L lix 2. LI P. Any must-4n generion unit designations reuire for system reialit Of contctal rean NC)~ l: O\lr kMQ&l(ol'~ PageZof3 Attachment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 10 of 22 Q. Approximate variab generation oost ($IMWh) No -th wI b& es eM pt ir. po "ur_ par agHm tha th ptet may be eI fo. R. ff the generation reource is to be locate in the Idaho Powr Balancing Authorty Ara and If only a portion of the resur outut Is to be designated as a Netwrk Resurc, then explan arrngements governing sale and delivery of addltonal output to third partes. S. If the project is not dire Intenecd to th Idaho Power trnsmission system, provie th trnsmission provider(s) name, phyl Pont of Recpt, Point of Deivery and th trnsission rervtion number fo all of the trnsmission prvider reuire to deliver th projecs energy to Idaho Power. Tninsll Pides) Nae B 1: I\ Poin afRecpt l3nNt:tA W('Movtr 1f.t1J",,$.!61-. Point afOeliV4 J. in iøc\L&' $. y.\:~ Tren Re_lion Numbes) .At e. - 7 Y: 'j i Z, 4 4' T. If the projec Is djr Intecone to th Idaho Power trnsmission sysem, proide the Point of Receipt, physica loction and voltage. Paint of Rø Phycal Loti Vcitøe U. Is the project committ to execute a purce por agreement wih Idaho Powr upon a favorable reoluti of the idened Intercnecton and trnsmission costs? Vee ê( No 0 V. Is any poron of the maxmum capaci Ident for this project commited to any other part Yes 0 NO~ Signatur oate '2 ,. ( 3." '2 i () Pa3of3 Attachment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 11 of22 exhibit A: Answer to Questio J VAR capability (both leadIng and laglng) of all générators) i 0,0..a 0 .0,1 0,5 ----r-- . .0 (11 02 03-04 05 06 07 08 09 1 O,48pu o .. Onr..xcledUlnøCapi:e ..urier~lalIInuêlve 0;4 0.3 0,2 0.1 ...,2 -0.3 -0,4 .0.5 p (pu) 0,48 pu Attachment No. 5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 12 of 22 Exhibit B-Documentation of Transmission Service Request This customer wil be part of the 2010 Network Open season. No notification to opt out submitted In comments section of TSRs received 3.5 Recipt of TSR Deposit 3.5.1 The TSR Deposit must be deposited with BPA, or into an Escrow Account, by Close of Business 10 Business Days after the TSR status is changed to RECEIVED in OASIS or the TSR sttus wil be changed to DECLINED. If the customer wishes to pay the TSR Deposit via Escrow, please contact the bank directy. To allow for timely procssing and to ensure the TSR deposit deadline of 7/15/10 is met, BPA requires the Escrow Agrement, with customer signature, from the bank within 5 business days aftr the Recived date of 6/30/10 (by 7/8/10). 4 Non-Refundable Processing Fee 4.1 In additn to a TSR Deposit when making a L TF PT or NT TSR, the Customer must submit a separate $2500 non-refundable Processing Fee to BPA. 4.3.1 BPA Transmission Services must receive the TSR Processing Fee by Close of Business 10 Busines Days after the TSR Is RECEID on OASiS or the TSR wil be DECLINED and receive no further consideration. 4.4.1 The TSR Processing Fee must be paid directly to BPA Transmission Services and cannot be placed into an Escrow Account Transmission Service Reauass D1aced in RECEIVED Status Non- Refndable Rec'd TSR Deposit Processing 10Day AREF Related Ref Name Dite Rate MW Due Fee Due DueDite Wasatch Wind 74412433 Development 6/30/10 PTP 1.298 30 $38940.00 $2500 7/15/10 Wasatch Wind 74412442 Development 6/30/10 PTP 1.298 21 $27258.00 $2500 7/15/10 $0.00 $0 $0.00 $0 Subtotal:$66198.00 $5,000 7/15/10 Total Due:$71198 A New Long Ter Reservation (TSR 74412433 ) has been RECENED for Wasatch Wind Development LLC Click here to See Tramision Request in CBSA A New Long Term Reservation (TSR 74412442) has been RECEIVED for Wasatch Wind Attachment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 13 of 22 "t ) : ( ) ~ Q) = m , . CC " ' ( I I l CD ~ C D g . .. : : Z 3 ~) : ° C D o 3 1 !I : : -" 0 . _ ' - "' I l " t z "' : : . ( ) 0 .. I . __ m ( J "t ~ () : £ .. fi e P U F C i : l c u l a t o r i s a t o o l d e s i g n e d f o r u s e i n t h e L o n g - T e r m F i r m ( L T F ) m a r k e t a n - d ¡ n T n e R e l . o - r 1 S e r v i c e ( N T ) m a m e : t - n e m p l o y s Ev a l u a t e d " P O R s a n d P O D s a n d t h e i r a s s o c i a t e d P a t h U t i l z a t i o n F a c t o r s ( P U F s ) t o d e t e r m i n e t h e i m p a c t o f a g i v e n r e q u e s t t o i n t e r n a l ow g a t e s ( r e f e r t o t h e p o s t e d A T C I m p a c t s o f L o n g - T e r m F i r m R e q u e s t s f o r m o r e in f o r m a t i o n ) . he P U F C a l c u l a t o r c a n b e u s e d t o c a l c u l a t e t h e i m p a c t o f a n O r i g i n a l L T F r e q u e s t a n d t h e i m p a c t o f a N T r e q u e s t t o t h e I n t e r n a l f l o w g a t e s nd c o n t a i n s t h r e e f i e l d s t h a t r e q u i r e d a t a e n t r y : E v a l u a t e d P O R , E v a l u a t e d P O D , a n d R e q u e s t e d D e m a n d ( M W ) . T h e s e a r e t h e w h i t e t e x t Id s t o t h e f a r l e f t b e n e a t h t h e t o o l t i t l e , w h i c h a p p e a r s i n r e d . T o f i l t h e P O R a n d P O D f i e l d s , h i g h l i g h t t h e w h i t e t e x t f i e l d t o b e f i l l e d a n d he n t h e p u l l - d o w n m e n u a r r o w a p p e a r s t o t h e r i g h t , h i g h l i g h t t h e a r r o w a n d c h o o s e a p o i n t f r o m t h e s e l e c t i o n . T o f i l t h e R e q u e s t e d De m a n d ( M W ) f í e l d , s i m p l y h i g h l i g h t t h e w h i t e t e x t f i e l d a n d t y p e i n t h e n u m e r i c v a l u e t o b e a n a l y z e d , i n m e g a w a t t s . W h e n a l l t h r e e w h i t e :e x t f i e l d s a r e f i l l e d , t h e c a l c u l a t e d i m p a c t t o t h e i n t e r n a l f l o w g a t e s ( i n M W s ) w i l l a p p e a r b e n e a t h t h e " E v a l u a t e d I m p a c t o f R e q u e s t " f i e l d . hi s c a l c u l a t o r w H l n o t i n d i c a t e w h e t h e r t h e I m p a c t m a y b e c o n s i d e r e d d e m i n i m i s ( r e f e r t o t h e p o s t e d A T C M e t h o d o l o g y M a r g i n ( A M M ) a n d in i m i s I m p a c t D e a d - B a n d f o r m o r e i n f o r m a t i o n ) , NT r e q u e s t s w i t h t h e F e d e r a l C o l u m b i a R i v e r P o w e r S y s t e m ( F C R P S ) a s t h e p a R o r P O D m a y e n t e r " F C R P S " i n t h e E v a l u a t e d p a R o r Ev a l u a t e d P O D f i e l d . T h e a s s u m p t i o n s a b o u t t h e F C R P S u s e d b y t h e P U F C a l c u l a t o r m a y b e d i f f e r e n t t h a n t h e a s s u m p t i o n s a b o u t t h e FC R P S i n d i c a t e d i n t h e c u s t o m e r ' s c o n t r a c t . T h e r e f o r e , t h e a c t u a l i m p a c t s o f a n e q u i v a l e n t N T r e q u e s t m a y b e d i f f e r e n t t h a n t h e i m p a c t s it e u l a t e d b y t h e P U F C a l c u l a t o r . C u s t o m e r s w i l l c o n t i n u e t o b e u n a b l e t o u s e F C R P S a s t h e E v a l u a t e d P O R o r E v a l u a t e d P O D f o r L T F ¡r e q u e s t s . ¡l p l e a S e n o t e t h a t t h i s t o o l c a n n o t b e u s e d t o a c c u r a t e l y d e t e r m i n e t h e c a l c u l a t e d i m p a c t o f S h o r t - T e r m F i r m ( S T F ) r e q u e s t s . R e f e r t o t h e po s t e d S h o r t - T e r m F i r m A T C M e t h o d o l o g y f o r m o r e i n f o r m a t i o n . Di s c l a i m e r : T h e i n f o r m a t i o n c o n t a i n e d h e r e i n i s c o m p i l e d f o r i n f o r m a t i o n a l p u r p o s e s a n d i s f u r n i s h e d w i t h o u t a s s u r a n c e o f o r 'e s p o n s i b i l t y f o r i t s a c c u r a c y . T h e a c t u a l i m p a c t s v a r y d e p e n d i n g u p o n s y s t e m c o n d i t i o n s . T h e i n f o r m a t i o n i s , t h e r e f o r e , s u b j e c t t o c h a n g e it h o u t n o t i c e a n d m a y n o t b e u s e d t o m a k e p r o j e c t i o n s . T h e i n f o r m a t i o n i s a v a i l a b l e t o t h e s i t e v i s i t o r o n t h e c o n d i t i o n t h a t e r r o r s , mi s s i o n s a n d / o r c h a n g e s s h a l l n o t b e m a d e t h e b a s i s f o r a n y c l a i m , d e m a n d o r c a u s e f o r a c t i o n . D e c i s i o n s b a s e d u p o n t h e i n f o r m a t i o n .n t a i n e d i n t h e s e p a g e s ar e t h e s o l e r e s p o n s i b i l i t y o f t h e v i s i t o r . Q u e s t i o n s a n d c o m m e n t s s h o u l d b e d i r e c t e d t o y o u r A c c o u n t E x e c u t i v e o r BL R e s e r v a t i o n s , D e s k at t b l r e s d e s k l A b P a . a o v . SO U T H OF AL L S T O N O. O M W CA S C A D E S NO R T H O. O M W NO R T H OF HA N F O R D O. O M W PA U L TO AL L S T O N O. O M W CA S C A D E S SO U T H 'õ MO N R O E - EC H O LA K E O. O M W NO R T H OF JO H N DA Y õ. RA V E R TO PA U L-O. O M W WE S T OF MC N A R Y O. O M W WE S T OF SL A T T O. O M W Qo =öom~~ L T P U F C a l c u l a t o r Re v i s e d : S e p t e m b e r 2 9 , 2 0 0 9 .chin, Randy From: Sent: To: Subject: Allphin, Randy Wednesday, July 21,20102:46 PM 'Christine Mikell' RE: 10 MW PPA--update Christine, no I have not yet been able to submit the TSR. Been getting buy in from various people, looks like I wil probably be filng the TSR sometime next week. I am not sure what process you are referencing in your e-mail. This is transmission capacity we are asking for not interconnection. The way it wil work we file the Transmission service request (TSR) if there is transmission capacity available, we will get a response back saying so and any associated costs. If there is not transmission capacity available we wil get a response back saying so and if we want to move forward they wil begin a transmission study that requires a $10,000 deposit to start. Then once this study is started, I assume they have various meetings etc to work in the right direction. As a PURPA project you wil be responsible for all of the costs ($10,000 deposit etc). So at least to start with, once I get approval to file the TSR, it is paperwork we have to fil out with your information and then wait for the transmission groups response. Hope this helps Randy From: Christne Mikell rmallt:chlstlnewasalnQ,comJ sent: Wednesday, July 21, 2010 2:32 PM To: Allphin, Randy Cc: Sam Uchenstein SUbject: RE: 10 MW PPA--update Hi Randy, i just wanted to check to see if you had gotten the approval to make the TSR for our Grouse Creek projects? If memory serves, once you make that request, 10 days from then we must have a scoping meeting? If this correct? We have started some expensive eagle studies and we would hate to get too far into it and find out there isn't any transmission available! Thanks! Christine From: Allphin, Randy (majlt;RAlphlnt§ldahower.coJ Sent: Tuesay, June 29, 2010 6:48 AM To: Christine Mikell Subject: RE: 10 MW PPA My routine process is to not develop a draft agreement for a specific project until the transmission and interconnection is pinned down - however, i am currently working up a draft agreement for another project, I am thinking I should be able to duplicate that draft contract for your project. It wil be a week or two before i have It ready to go. Attachment No. 5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 15 of 22 1 Randy From: Christine Mikell únilt;chrlneilwasaIri,coml sent: Monday, June 28, 2010 9:51 PM To: Allphin, Randy Subject: RE: 10 MW PPA Can we get a copy or do we need to wiat? From: Allphin, Randy (ma!t:BAJI:iblnillQhor.col sent: Monday, June 28, 2010 7:48 PM To: Christine Mikell Subject: BE: 10 MW PPA No From: Christine Mikell (mai!t:chrineOwastchwind.çoml Sent: Monday, June 28, 2010 5:05 PM To: Allphin, Randy Subjec: 10 MW PPA Hey Randy, Is the PPA contract online for the 10 MW QF? Thanks! Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air, clean earth. ww.wasatchwind.com Wasatch Wind This mesage and any aUachmenls conlain information thai is propretary, conßdenlial and privileged They are intended for the private and exclusive use oIlhe addressee and are covered by the Elecronic Communicahons Pnvacy Acl, 18 USC §§ 2510-2521, Unless you are the addressee (or authonzed 10 receive for the addressee) you may nol use, copy, print or disclose to anyone this message or any information contained in the message and any attachments, If you have received this comunicalion in eror, please advise the sender by reply and delele this mesage 2 Attachment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 16 of 22 BlI---- This ~is!iiin ~ ciotiiin loftiiìl' that Î!lîiivile, èOtidentil\laiÖI~enpt ih di¡1ol\l undr ap~ Iàw. If)'u ar noll iiiêl Î'lp¡ei~YO!l ii ~ noifed thllY dIscloure ~fI diSlrll:io, anise oflbe ioÌÌtii: coiiioed hein (Including iiyreli; ~n)li STRICTY P'R.OHlBJT.lf~~ Ibis tlllon In em.l'leimiiidy i;olllii the scder and deoy the I'tcrii in Its entiry. wl: in clecroíe or hà ooy Ibt. Tl yo 3 Attchment No. 5 Case Nos. IPC-E-1Q-61 & IPC-E-10-62 Allphin Affdavit. IPC Page 17 of 22 ~hin,Randy From: Sent: To: Cc: Subject: Christine Mikell rchristine~wasatchwind.comJ Wednesday, July 21, 2010 2:32 PM Allphin, Randy Sam Lichenstein RE: 10 MW PPA--update Hi Randy, I just wanted to check to see if you had gotten the approval to make the TSR for our Grouse Creek projects? If memory serves, once you make that request, 10 days from then we must have a scoping meeting? If this correct? We have started some expensive eagle studies and we would hate to get too far into it and find out there isn't any transmission available! Thanks! Christine From: Allphin, Randy rooålltjRAllphlncaldêlwer.com) Sent: Tuesday, June 29, 2010 6:48 AM To: Christine Mikell Subjec: RE: 10 MW PPA My routine process is to not develop a draft agreement for a specific project unti the transmission and interconnection is pinned down - however, J am currently working up a draft agreement for another project, I am thinking i should be able to duplicate that draft contract for your project. It wil be a week or two before I have it ready to go. Randy From: Christine Mikell rmailt:çhistneßWimhwlnd.aJ) Sent: Monday, June 28, 2010 9:51 PM To: Allphin, Randy Subject: RE: 10 MW PPA Can we get a copy or do we need to wiat? From: Allphin, Randy rmallt:BAlphlntAklhQr.c:m) Sent: Monday, June 28, 2010 7:48 PM To: Christine Mikell Subject: RE: 10 MW PPA No From: Christine Mikell (malfto:did~tcnd.aJ) Sent: Monday, June 28, 2010 5:05 PM To: Allphin, Randy Subject: 10 MW PPA Hey Randy, 1 Attachment No.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 18 of 22 Is the PPA contract online for the 10 MW QF? Thanksl Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy. clean air. clean earlh. ww.wasatchwind.com Wasatch Wind This message and any attachmets cotain information that is propnetary, confidential and pnvileged They are intended fOf the pnvale and exclusive use of the addressee and are covered by the Electronic Communications Pnvacy Act, 18 U,S.C §§ 2510-2521 Unless you are the addresee (or authonzed to receive fer the addressee) you may not use. copy, print or disclose to anyone this message or any information contaIned in the message and any attachments, If you have received this communication in error, please advise the sender by reply and delete this message øM1. This transisson may contain information that is privileged, confidential anor exempt from disclosue unde applicable law. If you are not the intended reipient, you are herby notified tht any disclosur, coping, distributon, or use otthe information containe herein (including any reliance thereon) is STRICTLY PROHffIT. If you received th transmission in err, please immediately contact the seder and desroy the material in its entirey, whether in electrnic or hard copy format. Thank you, 2 Attachment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 19 of 22 ~hinlRandy From: Sent: To: Cc: Subject: Christine Mikell (christine~wasatchwind.comi Wednesday, July 21,20104:33 PM' Allphin, Randy Sam Lichenstein RE: 10 MW PPA--update Hi Randy, Great news that you wil be able to file something maybe next week. Based on your response below, is it 30 days from when you submit the TSR before you get your answer regarding transmission capacity and whether you need a feasibility study? Thanks, Christine From: Allphin, Randy rmallt:RAllphio~iøbopor¡CQmJ sent: Wednesday, July 21, 2010 2:46 PM To: Christine Mikell Subject: RE: 10 MW PPA--update Christine, no I have not yet been able to submit the TSR. Been getting buy in from various people, looks like i wil probably be filng the TSR sometime next week. I am not sure what process you are referencing in your e-mail. This is transmission capacity we are asking for not interconnection. The way it wil work we file the Transmission service request (TSR) ifthere is transmission capacity available, we will get a response back saying so and any associated costs. If there is not transmission capacity available we wil get a response back saying so and if we want to move forward they wil begin a transmission study that requires a $10,000 deposit to start. Then once this study is started, I assume they have various meetings etc to work in the right direction. As a PURPA project you wil be responsible for all of the costs ($10,000 deposit etc). 50 at least to start with, once i get approval to file the T5R, it is paperwork we have to fill out with your information and then wait for the transmission groups response. Hope this helps Randy From: Christine Mikell (mallt;ctr!neOwaøtc.CQml sent: Wednesday, July 21, 2010 2:32 PM To: Allphin, Randy cc: Sam Lichenstein Subject: RE: 10 MW PPA--update Hi Randy, i just wanted to check to see if you had gotten the approval to make the TSR for our Grouse Creek projects? If memory serves, once you make that request, 10 days from then we must have a scoping meeting? 1ft his correct? 1 Attachment No.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 20 of 22 We have started some expensive eagle studies and we would hate to get too far into it and find out there Isn't any transmission available! Thanks! Christine From: Allphin, Randy (mallt:RAlphln(9!dhagower,comJ sent: Tuesday, June 29, 2010 6:48 AM To: Christine Mikell Subject: RE: 10 MW PPA My routine process is to not develop a draft agreement for a specific project until the transmission and interconnection is pinned down - however, I am currently working up a draft agreement for another project, i am thinking i should be able to duplicate that draft contract for your project. It wil be a week or two before I have it ready to go. Randy From: Christne Mikell (mailto;çbtbtinei,asteind,col Sent: Monday, June 28, 2010 9:51 PM To: Allphin, Randy Subject: RE: 10 MW PPA Can we get a copy or do we need to wiat? From: Allphin, Randy (mllt:RAløhlntmldahopoerml sent: Monday, June 28, 2010 7:48 PM To: Christine Mikell Subject: RE: 10 MW PPA No From: Christine Mikell rmallto:ChrlstneC9asab:bwlnd.coJ sent: Monday, June 28, 2010 5:05 PM To: Allphin, Randy Subject: 10 MW PPA Hey Randy, Is the PPA contract online for the 10 MW QF? Thanksl Christine Watson Mikell Senior Project Development Manager Direct: 435-503-8814 Mobile: 801-455-1045 clean energy, clean air. clean earth, ww.wasatchwind.com Wasatch Wind 2 Attchment NO.5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 21 of22 This ~!liilillllY "lllcii_ WItll inI"l/Uøn Ihai " prOPNOlll. Ç(lidlÍii and pnWt Thoy me intol' lor ¡he iinvi:ll an 8KWl_of th ad_ ii m~~!l~ tl~ BoorooisCiiiliow,;11O l'\/~yh:I, 18 U.S C §§ 2510251 Unl vo _ tllilldiiiiiSOO lot ouLe io'ecw lo th1lns) ýOU mani,\4, coy, ptllöl diili~ llii~ Qt lly ¡llölllllliìÍ ~n!li".d .n lhu mllIUand &taltlmonts H VO have ",co,vi iÌls OOM""catr II ""Ot. ii OOIl" tl SOOdll by ,e¡:y ii dtl..ll lls ll~. This ~Sl¡il' mI'co11l ìnrorllioo ili 1$ prvileg, i:iifideiiafaior lIeitm d"1li-un,~ Iá ir)'uvel'llin reiple, yw-li iilili ilti anydise~ i:ng, rIlslbli or U$ ¡ifll ìnrl'l'n¡liii COlllaed ller (im:lìig liy ~~) is STRICT Y PIlHlSlTD. If)1~¥elliinll Ílllr. pl_ Îlltl,y OOtaclllsadllW desy lImaerl inlll enlÍrey. wlillllÍl elOl!ll,or lleo Ilnnlil. TI yo. 3 Attachment No. 5 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 22 of 22 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO.6 ~phinr Randy From: Sent: To: Subjec: l\lphin. ,Randy Monday, August 02, 20103:02 PM 'Christine Mikell' 21 or 30 MW? Christine, I am making some progress on the transmission requests, however the first questions I encountered was if the project would be 21 or 30 MW. As you included both applications in your package I had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are stil unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. Randy 1 Attachment No. 6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of27 ~hin,Randy From: Sent: To: Subject: Allphin, Randy Mònday, August 02, 2010 3:21 PM 'Christine Mikell' RE:210r30MW? Christine -I guess I read things wrong - this information is now suggesting is two separate projects (20 MW and a 31 MW) for a total of 51 MW? You are suggesting they are two separate 10 average MW projects. In prior information you have suggested a capacity factor over 40%, if this is the case the 30 MW would not qualify for a 10 MW average project and even the 21 MW project would be questionable, based on the previous data you provided. Do the projects qualify as separate facilties? Individual QF certificates from FERC? At least physically a mile apart? Unfortunately this size and number of projects continues to cause delays and complications in the transmission capacity request- If they are truly separate projects - which one do you want me to file for first? (there may be room for one but not the other) If we get approval for one and/or both as separate projects, but then find out they must be combined into one project we will have to re file for transmission as the two filings cannot be combined into one at a later time. To do this right the first time, we need to determine if they are separate projects. Even if they are separate projects do they qualify for the 10 average MW contract? Based on the information you have provided, it appears they are the same project (same project location, same interconnection, same BPA capacity reservation etc). If this is the case, then I need to file one 51 MW transmission request and we wil need to rerun the pricing models to determine the energy pricing. Randy From: Allphin, Randy sent: Monday, August 02,20103:02 PM To: 'Chnstine Mikell' Subject: 21 or 30 MW ? Christine, I am making some progress on the transmission requests, however the first questions i encountered was if the project would be 21 or 30 MW. As you included both applications in your package I had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are stil unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. Randy 1 Attachment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 of27 .ehin, Randy From: Sent: To: Subject: Allphin, Randy Monday, August 02, 2010 3:34 PM 'Christine Mikell' RE: 21 or 30 MW ? Based on the previous production data you provided, the 31 MW project does not qualify for the 10 average MW contract, and the 20 MW project is questionable? Was the previously provided production data accurate - if so we need to rerun pricing models, the price wil most likely be similar to the previous pricing I provided are the projects viable at those prices? If the previously provided data was not accurate, the previous provided pricing may not be accurate. If they are viable, which transmission request should 1 submit first? Randy From: Christine Mikell (mallt:chnsti:aswind.col sent: Monday, August 02, 2010 3:22 PM To: Allphin, Randy Subjec: Re: 21 or 30 MW ? Yes, with a mile separation. From: Allphin, Randy ':RAllphin(gidahopower.com~ To: Christine Mikell Sent: Mon Aug 02 17:21:20 2010 Subject: RE: 21 or 30 MW ? Christine -I guess I read things wrong - this information is now suggesting is two separate projects (20 MW and a 31 MW) for a total of 51 MW? You are suggesting they are two separate 10 average MW projects. In prior information you have suggested a capacity factor over 40%, if this is the case the 30 MW would not qualify for a 10 MW average project and even the 21 MW project would be questionable, based on the previous data you provided. Do the projects qualify as separate facilties? Individual QF certificates from FERC? At least physically a mile apart? Unfortunately this size and number of projects continues to cause delays and complications in the transmission capacity request- If they are truly separate projects - which one do you want me to file for first? (there may be room for one but not the other) If we get approval for one and/or both as separate projects, but then find out they must be combined into one project we wil have to re file for transmission as the two filngs cannot be combined into one at a later time. 1 Attachment No. 6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 3 of 27 To do this right the first time, we need to determine if they are separate projects. Even if they are separate projects do they qualify for the 10 average MW contract? Based on the information you have provided, it appears they are the same project (same project location, same interconnection, same BPA capacity reservation etc). If this is the case, then I need to file one 51 MW transmission request and we wil need to rerun the pricing models to determine the energy pricing. Randy From: Allphin, Randy sent: Monday, August 02, 2010 3:02 PM To: 'Christine Mikell' Subject: 21 or 30 MW ? Christine, I am making some progress on the transmission requests, however the first questions I encountered was if the project would be 21 or 30 MW. As you included both applications in your package I had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are stil unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. Randy This trisson may contain infuation tha is privileged, confidential and/or exemt from disclosre unde applicable law. If you ar not the intended recipient. yo ar herby notified that any disclosure, copyin disibution, or use oftbc infonnation contai herei (inluding any relince thn) is STRIClL Y PROHIBITED. If you reeived t1is trission in er, plea immediately cotact t1e sende an destroy t1e mateal in its entirety. wheter in electric or hard cop formL. Th you. 2 Attachment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 4 of 27 ~hin, Randy From: Sent: To: Subject: Christine Mikell (christine~wasatchwind.coml Monday, August 02, 2010 3:22 PM Allphin, Randy Re: 21 or 30 MW ? Yes. with a mile separation. From: Allphin, Randy ocBAnphln!tlQllfitIÇQ~ To: Chritine Mikell sent: Mon Aug 0217:21:202010 Subjec: RE: 21 or 30 MW ? Christine - I guess I read things wrong - this information is now suggesting is two separate projects (20 MW and a 31 MW) for a total of 51 MW? You are suggesting they are two separate 10 average MW projects. In prior information you have suggested a capacity factor over 40%, if this is the case the 30 MW would not qualify for a 10 MW average project and even the 21 MW project would be questionable, based on the previous data you provided. Do the projects qualify as separate facilities? Individual QF certificates from FERC? At least physically a mile apart? Unfortunately this size and number of projects continues to cause delays and complications in the transmission capacity request- If they are truly separate projects - which one do you want me to file for first? (there may be room for one but not the other) If we get approval for one and/or both as separate projects, but then find out they must be combined into one project we wil have to re file for transmission as the two filngs cannot be combined into one at a later time. To do this right the first time, we need to determine if they are separate projects. Even if they are separate projects do they qualify for the 10 average MW contract? Based on the information you have provided, it appears they are the same project (same project location, same interconnection, same BPA capacity reservation etc). if this is the case, then I need to file one 51 MW transmission request and we wil need to rerun the pricing models to determine the energy pricing. Randy From: Allphin, Randy Sent: Monday, August 02, 2010 3:02 PM To: 'Christine Mikell' Subject: 21 or 30 MW? 1 Attachment No. 6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 5 of 27 Christine, I am making some progress on the transmission requests, however the first questions I encountered was if the project would be 21 or 30 MW. As you included both applications in your package I had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are stil unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. Randy This tramission may cotain inforation that is privileged. confdential andfor exempt fr disclosure under applicable law. If you ar not the intended reipient, you ar herby notified that any discloure. copng distnbuon, or use of the information containe hern (including any reliace theren) is STRICTLY PROHIBIT. If yOu reeive ths transmssion in er, please imediately conta the sender and destry the materal in its entire. whether in electronic or har copy format. Thk yOu. 2 Attachment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 6 of 27 ~hin, Randy From: Sent: To: Subject: Christine Mikell (christinetgwasatchwind .com) Monday, August 02, 2010 3:19 PM Allphin, Randy Re: 21 or 30 MW ? Hi Randy, One OF is for 30 MW's and the second OF is for 21 MW's. Does that help? Thanks. From: Allphin, Randy ..RAllphrnß!ahoplcorn~ To: Christine Mikell Sent: Mon Aug 02 17:01:53 2010 Subject: 21 or 30 MW ? Christine, i am making some progress on the transmission requests, however the first questions I encountered was if the project would be 21 or 30 MW. As you included both applications in your package I had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are stil unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. Randy This transmission may contain information that is privileged, confiential and/or exempt frm dilosur under applicable law. If you ar not the intended reipient, you ar herby notified that any disclosure copying, distribution, or use of the infonation conained herein (including any reliance theren) is STRICTLY PROHIBITED. If you reeived this transmission in err. please immedtely contact the sende and destroy the material in its entiret, whether in electronic or ha copy fonnal. Thank you. i Attachment No. 6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 7 of27 ~hin! Randy From: Sent: To: Subject: Christine Mikell (christine(§satchwind.com) Monday, August 02,20104:16 PM Allphin, Randy Re: 21 or 30 MW ? We calculated it, the higher winds are to the north with fewer turbines and lower winds are to the south. Do you need something from us to make this case? Thanks. From: Allphin, Randy ..RAllphin(âidahopower.com~ To: Christine Mikell Sent:Mon Aug 02 17:33:58 2010 Subject: RE: 21 or 30 MW ? Based on the previous production data you provided, the 31 MW project does not qualify for the 10 average MW contract, and the 20 MW project is questionable? Was the previously provided production data accurate - if so we need to rerun pricing models, the price wil most likely be similar to the previous pricing I provided are the projects viable at those prices? If the previously provided data was not accurate, the previous provided pricing may not be accurate. If they are viable, which transmission request should i submit first? Randy From: Christine Mikell (mallto:d:rlstndwawlnd.comi sent: Monday, August 02,20103:22 PM To: Allphin, Randy Subjec: Re: 21 or 30 MW ? Yes, with a mile separation. From: Allphin, Randy ..BAlIphlnOIdohogowe&oop To: Christine Mikell Sent: Mon Aug 02 17:21:202010 Subject: RE: 21 or 30 MW ? Christine - i guess i read things wrong - this information is now suggesting is two separate projects (20 MW and a 31 MW) for a total of 51 MW? You are suggesting they are two separate 10 average MW projects. In prior information you have suggested a capacity factor over 40%, if this is the case the 30 MW would not qualify for a 10 MW average project and even the 21 MW project would be questionable, based on the previous data you provided. 1 Attachment No.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 8 of 27 Do the projects qualify as separate facilties? Individual QF certificates from FERC? At least physically a mile apart? Unfortunately this size and number of projects continues to cause delays and complications in the transmission capacity request- If they are truly separate projects - which one do you want me to file for first? (there may be room for one but not the other) If we get approval for one and/or both as separate projects, but then find out they must be combined into one project we wil have to re file for transmission as the two filngs cannot be combined into one at a later time. To do this right the first time, we need to determine if they are separate projects. Even if they are separate projects do they qualify for the 10 average MW contract? Based on the information you have provided, it appears they are the same project (same project location, same interconnection, same BPA capacity reservation etc). If this is the case, then I need to file one 51 MW transmission request and we wil need to rerun the pricing models to determine the energy pricing. Randy From: Allphin, Randy sent: Monday, August 02, 2010 3:02 PM To: 'Christine Mikell' Subject: 21 or 30 MW ? Christine, I am making some progress on the transmission requests, however the first questions I encountered was if the project would be 21 or 30 MW. As you included both applications in your package I had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are stil unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. Randy s.lD,.,PO.M~l!ii~ This transmission may contain infonation that is privileged, confidential and/or exempt from disclosure under applicable law. If yo are not the intended reipient. you are herby notified that any disclosure, copying, distribution, or use of the infonnation contained herein (including any reliance thern) is STRICTLY PROHIBITED. ¡fyou reved this trsmisson in eror, please immediately contact the sende and destry the material in its entiret, whether in electronic or ha copy funnai. Thank you. 2 Attachment No. 6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 9 of 27 &hin, Randy From: Sent: To: Subject: Allphin, Randy Tuesday, August 03. 2010 6:49 AM 'Christine Mikell' RE: 21 or 30 MW ? Lets plan on a quick phone call to get things sorted out. i am available pretty much available anytime today (Tuesday Aug 3) e-mail a suggested time or you can just give me a try on the phone. Randy From: Christine Mikell (mailto:chrle(§wasandicol sent: Monday, August 02, 2010 4:16 PM To: Allphin, Randy Subject: Re: 21 or 30 MW ? We calculated it, the higher winds are to the north with fewer turbines and lower winds are to the south. Do you need something from us to make this case? Thanks. From: Allphin, Randy -cRAlIphlnfildbopor.oom:: To: Christine Mikell Sent: Mon Aug 0217:33:582010 SUbject: RE: 21 or 30 MW ? Based on the previous production data you provided, the 31 MW project does not qualify for the 10 average MW contract, and the 20 MW project is questionable? Was the previously provided production data accurate - if so we need to rerun pricing models, the price wil most likely be similar to the previous pricing i provided are the projects viable at those prices? If the previously provided data was not accurate, the previous provided pricing may not be accurate. If they are viable, which transmission request should i submit first? Randy From: Christine Mikell (møllt;çhtlstnéfwlnd.col Sent: Monday, August 02, 2010 3:22 PM To: Allphin, Randy Subject: Re: 21 or 30 MW ? Yes, with a mile separation. From: Allphin, Randy -CRAllphinlâidahopower.com:: To: Christine Mikell 1 Attachment No.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 10 of 27 sent: Mon Aug 02 17:21:20 2010 Subject: RE: 21 or 30 MW ? Christine - I guess I read things wrong - this information is now suggesting is two separate projects (20 MW and a 31 MW) for a total of 51 MW? You are suggesting they are two separate 10 average MW projects. In prior information you have suggested a capacity factor over 40%, if this is the case the 30 MW would not qualify for a 10 MW average project and even the 21 MW project would be questionable, based on the previous data you provided. Do the projects qualify as separate facilities? Individual QF certificates from FERC? At least physically a mile apart? Unfortunately this size and number of projects continues to cause delays and complications in the transmission capacity request- If they are truly separate projects - which one do you want me to file for first? (there may be room for one but not the other) If we get approval for one and/or both as separate projects, but then find out they must be combined into one project we wil have to re file for transmission as the two filngs cannot be combined into one at a later time. To do this right the first time, we need to determine if they are separate projects. Even if they are separate projects do they qualify for the 10 average MW contract? Based on the information you have provided, it appears they are the same project (same project location, same interconnection, same BPA capacity reservation etc). If this is the case, then i need to file one 51 MW transmission request and we will need to rerun the pricing models to determine the energ pricing. Randy From: Allphin, Randy Sent: Monday, August 02,20103:02 PM To: 'Christne Mikell' Subjec: 21 or 30 MW ? Christine, I am making some progress on the transmission requests, however the first questions I encountered was if the project would be 21 or 30 MW. As you included both applications in your package I had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are stil unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. Randy 2 Attachment NO.6 Case Nos. IPC-E-1D-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 11 of27 Thii tl'ill miy etljiininlilk\n,lll il ¡ivlic~ l;ficltùl. uiOl ~~eiPi rtomdiiloll ui~ablelaw. ir~ lIA:lI illiWlî rtieyll an heY lIlfiè: ihaiiiiiy diilosre C!1l dillrlOOllll or ii ølllle inlbl'lilill Clalned litin(looti.í\ lIyreill ibn) Is STRICTY PROl$lrEP.tr~1i ~\'è: tbii . i_l'llln ei. pi~ imiooiiiiely CQIIiI ibe se and desy the maeilnits eniirty, wbeln eleroie or hacop ibii. Ttiilt yl 3 Attachment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 12 of 27 ~hin, Randy From: Sent: To: Subject: Christine Mikell rchristine~wasatchwind.comi Tuesday, August 03,20109:00 AM Allphin. Randy Re: 21 or 30 MW ? Hi randy. On vacation but wil tru to call you in the mix of things. How about 1 or 2 pm your time? From: Allphin, Randy "RAllphIDi!dhopof1gm~ To: Christine Mikell sent: Tue Aug 03 08:49:01 2010 Subject: RE: 21 or 30 MW? Lets plan on a quick phone call to get things sorted out. I am available pretty much available anytime today (Tuesday Aug 3) e-mail a suggested time or you can just give me a try on the phone. Randy From: Christne Mikell (mallt:cbrineiwaslnd.gm) sent: Monday, August 02,20104:16 PM To: Allphin, Randy Subject: Re: 21 or 30 MW? We calculated it, the higher winds are to the north with fewer turbines and lower winds are to the south. Do you need something from us to make this case? Thanks. From: Allphin, Randy "RAIlf¡hlnca!dahopower.øm~ To: Christine Mikell sent: Mon Aug 0217:33:582010 Subject: RE: 21 or 30 MW ? Based on the previous production data you provided, the 31 MW project does not qualify for the 10 average MW contract, and the 20 MW project is questionable? Was the previously provided production data accurate - if so we need to rerun pricing models, the price wil most likely be similar to the previous pricing I provided are the projects viable at those prices? If the previously provided data was not accurate, the previous provided pricing may not be accurate. If they are viable, which transmission request should I submit first? Randy From: Christine Mikell (rnllto¡chrfstneCëaand.co) Sent: Monday, August 02, 2010 3:22 PM 1 Attachment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 13 of 27 To: Allphin, Randy Subject: Re: 21 or 30 MW ? Yes, with a mile separation. From: Allphin, Randy .iRAllphlnOidbopo.conp To: Christine Mikell sent: Mon Aug 02 17:21:20 2010 Subjec: RE: 21 or 30 MW ? Christine - I guess I read things wrong - this information is now suggesting is two separate projects (20 MW and a 31 MW) for a total of 51 MW? You are suggesting they are two separate 10 average MW projects. In prior information you have suggested a capacity factor over 40%, if this is the case the 30 MW would not qualify for a 10 MW average project and even the 21 MW project would be questionable, based on the previous data you provided. Do the projects qualify as separate facilities? Individual OF certificates from FERC? At least physically a mile apart? Unfortunately this size and number of projects continues to cause delays and complications in the transmission capacity request- If they are truly separate projects - which one do you want me to file for first? (there may be room for one but not the other) If we get approval for one and/or both as separate projects, but then find out they must be combined into one project we wil have to re file for transmission as the two filngs cannot be combined into one at a later time. To do this right the first time, we need to determine if they are separate projects. Even if they are separate projects do they qualify for the 10 average MW contract? Based on the information you have provided, it appears they are the same project (same project location, same interconnection, same BPA capacity reservation etc). If this is the case, then I need to file one 51 MW transmission request and we wil need to rerun the pricing models to determine the energy pricing. Randy From: Allphin, Randy sent: Monday, August 02, 2010 3:02 PM To: 'Christine Mikell' Subject: 21 or 30 MW ? Christine, I am making some progress on the transmission requests, however the first questions I encountered was if the project would be 21 or 30 MW. As you included both applications in your package I had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are still unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. 2 Attachment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 14 of 27 Randy ThîSitlSloolillY oonllin infotl tbít Îl prvile coßdlltlli1 andoreieipt liom dllOll IIdeiwiça 'law. IfYOlmnoi ilinei~, yu lW1iøb llilied l!itsny dilll~ eopyin¡:, disribuÌln, or \I of the InfçrmtÍQ cotaine ,~in (ìnl\llng any relli ilu) ¡s. STRCT Y PROHIBIT. If you ~vC\th iniinon in mor. ¡ii- iiiiníniely i;nti ilisi andcroy il maieral In LIS eiilry.wlher in eleronic or li cop ft. Thk yo :1 Attchment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 15 of 27 ~hin,Randy From: Sent: To: Subject: Allphin, Randy Tuesday, August 03,20109:10 AM 'Christine Mikell' RE: 21 or 30 MW ? We can plan on 2pm. If you prefer to wait for another day, I wil be around every day except Friday. Just let me know Randy From: Christine Mikell (mallt:cbi1netsat:nd.c:J Sent: Tuesday, August 03, 2010 9:00 AM To: Allphin, Randy SUbject: Re: 21 or 30 MW? Hi randy. On vacation but will tru to call you in the mix of things. How about 1 or 2 pm your time? From: Allphin, Randy -:RAllohin(§idahooower.com;: To: Christine Mikell sent: Tue Aug 03 08:49:012010 Subject: RE: 21 or 30 MW ? lets plan on a quick phone call to get things sorted out. I am available pretty much available anytime today (Tuesday Aug 3) e-mail a suggested time or you can just give me a tryon the phone. Randy From: Christine Mikell (mailt:çbrlstndsand.com 1 sent: Monday, August 02,20104:16 PM To: Allphin, Randy Subjec: Re: 21 or 30 MW ? We calculated it, the higher winds are to the north with fewer turbines and lower winds are to the south. Do you need something from us to make this case? Thanks. From: Allphin, Randy -:RAllphin(§idahopower.com;: To: Christine Mikell Sent: Mon Aug 02 17:33:582010 Subjec: RE: 21 or 30 MW ? Based on the previous production data you provided, the 31 MW project does not qualify for the 10 average MW contract, and the 20 MW project is questionable? Was the previously provided production data accurate - if so we need to rerun pricing models, the price wil most likely be similar to the previous pricing I provided are the projects viable at those prices? If the previously provided data was not accurate, the previous provided pricing may not be accurate. 1 Attachment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 16 of 27 If they are viable, which transmission request should I submit first? Randy From: Christine Mikell rmallt:C!i1neaswlnd.comJ Sent: Monday, August 02,2010 3:22 PM To: Allphin, Randy Subject: Re: 21 or 30 MW ? Yes, with a mile separation. From: Allphin, Randy -:RAiiphlnlâidahopower.com~ To: Christine Mikell Sent: Mon Aug 02 17:21:20 2010 Subject: RE: 21 or 30 MW ? Christine -I guess I read things wrong - this information is now suggesting is two separate projects (20 MW and a 31 MW) for a total of 51 MW? You are suggesting they are two separate 10 average MW projects. In prior Information you have suggested a capacity factor over 40%, if this is the case the 30 MW would not qualify for a 10 MW average project and even the 21 MW project would be questionable, based on the previous data you provided. Do the projects qualify as separate facilities? Individual QF certificates from FERC? At least physically a mile apart? Unfortunately this size and number of projects continues to cause delays and complications in the transmission capacity request - If they are truly separate projects - which one do you want me to file for first? (there may be room for one but not the other) If we get approval for one and/or both as separate projects, but then find out they must be combined into one project we wil have to re file for transmission as the two filngs cannot be combined into one at a later time. To do this right the first time, we need to determine if they are separate projects. Even if they are separate projects do they qualify for the 10 average MW contract? Based on the information you have provided, it appears they are the same project (same project location, same interconnection, same BPA capacity reservation etc). If this is the case, then I need to file one 51 MW transmission request and we will need to rerun the pricing models to determine the energy pricing. Randy From: Allphin, Randy Sent: Monday, August 02,2010 3:02 PM 2 Attachment No. 6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 17 of 27 To: 'Christine Mikell' Subjec 21 or 30 MW ? Christine, I am making some progress on the transmission requests, however the first questions I encountered was if the project would be 21 or 30 MW. As you included both applications In your package I had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are stil unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. Randy ._~ 11ÌlIn~Qtm.y co_lufmil ~ is prv:~, cøl'eiilal iinder exem ir diski iiiippli law. Ifyw. iino Ilæ,ìned reipeii,yw ar hmnotified ihii ¡iy l!l(ll' copyil: diibiiilci, or ii of iiie. .ln~il C(IlIIl hi:(inludlllim rel~ ~)iSSTRCTY PRHlBlT. If yw re\ilbis ltlsson in er, ple lmimliiely coiilac ihesi llde the Ulllìå in ìll éiy. wbelerm eleroeer ti e¡ tørll 11k you. 3 Attachment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 18 of 27 ~hin, Randy From: Sent: To: Subject: Allphin, Randy Wednesday, August 11, 2010 7:12 AM 'Christine Mikell' RE: 21 or 30 MW ? Christine, Sorry I missed you on Tuesday, got tied up in meetings. Would today (Wednesday) 11 am Boise time work for you? Randy From: Christine Mikell (mailto:christine~wasatchwind.com) sent: Tuesday, August 10, 2010 12:20 PM To: Allphin, Randy Subjec: RE: 21 or 30 MW ? Hi Randy, What time can we talk today or tomorrow? I am available after 3 pm. Thanks. From: Allphin, Randy (mailto:RAllphin(§idahopower.com) Sent: Tuesday, August 03,20109:10 AM To: Christine Mikell Subject: RE: 21 or 30 MW? We can plan on 2pm. If you prefer to wait for another day, I wil be around every day except Friday. Just let me know Randy From: Christine Mikell (mailto:christine~wasatchwind.com) sent: Tuesay, August 03, 2010 9:00 AM To: Allphin, Randy Subjec: Re: 21 or 30 MW ? Hi randy. On vacation but will tru to call you in the mix of things. How about 1 or 2 pm your time? From: Allphin, Randy c:RAllphin(§idahopower.com:; To: Christine Mikell Sent: Tue Aug 03 08:49:01 2010 Subject: RE: 21 or 30 MW ? Lets plan on a quick phone call to get things sorted out. I am available pretty much available anytime today (Tuesday Aug 3) e-mail a suggested time or you can just give me a tryon the phone. 1 Attachment No.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 19 of 27 Randy From: Christine Mikell (mailto:christine(§wasatchwind.com) sent: Monday, August 02,20104:16 PM To: Allphin, Randy Subject: Re: 21 or 30 MW ? We calculated it, the higher winds are to the north with fewer turbines and lower winds are to the south. Do you need something from us to make this case? Thanks. From: Allphin, Randy oeRAllphin(Qidahopower,com;: To: Christine Mikell sent: Mon Aug 02 17:33:582010 Subject: RE: 21 or 30 MW ? Based on the previous production data you provided, the 31 MW project does not qualify for the 10 average MW contract, and the 20 MW project is questionable? Was the previously provided production data accurate - if so we need to rerun pricing models, the price wil most likely be similar to the previous pricing I provided are the projects viable at those prices? If the previously provided data was not accurate, the previous provided pricing may not be accurate. If they are viable, which transmission request should I submit first? Randy From: Christine Mikell (mailto:christine(gwasatchwind.com) Sent: Monday, August 02,2010 3:22 PM To: Allphin, Randy Subject: Re: 21 or 30 MW? Yes, with a mile separation. From: Allphin, Randy oeRAllphin(Qidahopower.com;: To: Christine Mikell Sent: Mon Aug 02 17:21:202010 Subject: RE: 21 or 30 MW ? Christine - I guess I read things wrong - this information is now suggesting is two separate projects (20 MW and a 31 MW) for a total of 51 MW? You are suggesting they are two separate 10 average MW projects. In prior information you have suggested a capacity factor over 40%, if this is the case the 30 MW would not qualify for a 10 MW average project and even the 21 MW project would be questionable, based on the previous data you provided. Do the projects qualify as separate facilities? Individual QF certificates from FERC? At least physically a mile apart? 2 Attchment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 20 of 27 Unfortunately this size and number of projects continues to cause delays and complications in the transmission capacity request- If they are truly separate projects - which one do you want me to file for first? (there may be room for one but not the other) If we get approval for one and/or both as separate projects, but then find out they must be combined into one project we wil have to re file for transmission as the two filings cannot be combined into one at a later time. To do this right the first time, we need to determine if they are separate projects. Even if they are separate projects do they qualify for the 10 average MW contract? Based on the information you have provided, it appears they are the same project (same project location, same interconnection, same BPA capacity reservation etc). If this is the case, then i need to fie one 51 MW transmission request and we wil need to rerun the pricing models to determine the energy pricing. Randy From: Allphin, Randy sent: Monday, August 02, 2010 3:02 PM To: 'Christine Mikell' Subject: 21 or 30 MW? Christine, I am making some progress on the transmission requests, however the first questions I encountered was if the project would be 21 or 30 MW. As you included both applications in your package i had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are stil unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. Randy 3 Attachment No. 6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 21 of27 Thilllråníøri iny 001l infómi!!oii Ull Í$Privll~, lliitktilJiior exem ft dlscloú1 aplicle law. Ifyu_oolhe inteiiwpleil. )'u ar bei riQtlfi Ul ~ydiiur eopillJtdlSlribilioii, or us ofih irilbmilltlll c:lliill bi (Includng an re~ Ih~ri) II STRICi,V PRpH18mD. Ifyu~wdiliiIiriilllo in er, pl_ imillely 00 ihe Sl ii Ù/lrotlimiterl in illlClire. wli inek:icQl ba co Ibl, ThÌlK)' 4 Attachment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 22 of 27 ~phinJ Randy From: Sent: To: Subject: Attachments: Christine Mikell (christine~wasatchwind.com) Tuesday, August 17,20105:32 PM Allphin, Randy RE: 21 or 30 MW ? GrouseCreekQF1 indicpric_201 OJ _14.pdf; GrouseCreekQF2indicpric_2010_7 _14.pdf Dear Randy, I thought it would be helpful to provide you with an overview of our plans so that we can make progress toward getting the 30 MW Grouse Creek Wind Park I and the 21 MW Grouse Creek Wind Park II up and running. My apologies if our e-mail communications have been less than clear. First please consider this a formal request for two separate, standard, non-Ievelized, under-ten-average- monthly-megawatt, twenty year power purchase agreements. The projects wil be located in Northern Utah and wil interconnect with Raft River Rural Electric Cooperative. Bonnevile Power Administration wil deliver the output to an interconnection with your system at the Minidoka Substation in Southern Idaho. The output from the two projects wil by physically limited such that neither project wil be capable of generating more than ten average megawatts in any given month. i understand that Idaho Power has a new process whereby a project must be designated as a network resource prior to obtaining a power purchase agreement. i have enclosed a completed "Transmission Capacity Application Questionnaire" to start Idaho Power's internal process to designate the two projects as network resources. I also understand that this project may be located on a part of the Idaho Power system that requires upgrades to the backbone transmission. Therefore I anticipate that there wil have to be a study to determine what upgrades our projects will be responsible for. That said, i do not believe the study process should delay the submission of execution ready power purchase agreements. With the substantial delay security being required in recent Idaho Power PPAs, the risk of our project's failng to come on line due to transmission constraints is completely mitigated. The expected on line date for the two projects is December 31, 2012. Randy, I hope this is helpfuL. We are looking forward to a long and mutually beneficial relationship with Idaho Power Company. Sincerely yours Christine Mikell Director of Development Wasatch Wind From: Allphin, Randy (mailto:RAllphin(§idahopower.com) sent: Wednesday, August 11, 20107:12 AM To: Christine Mikell Subject: RE: 21 or 30 MW? Christine, Sorry I missed you on Tuesday, got tied up in meetings. 1 Attachment No. 6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 23 of 27 Would today (Wednesday) 11 am Boise time work for you? Randy From: Christine Mikell (mailto:christinel§wasatchwind.com) sent: Tuesday, August 10, 2010 12:20 PM To: Allphin, Randy Subjec: RE: 21 or 30 MW ? Hi Randy, What time can we talk today or tomorrow? I am available after 3 pm. Thanks. From: Allphin, Randy (mailto:RAllphinl§idahopower.com) sent: Tuesday, August 03,20109:10 AM To: Christine Mikell Subjec: RE: 21 or 30 MW ? We can plan on 2pm. If you prefer to wait for another day, I will be around every day except Friday. Just let me know Randy From: Christine Mikell (mailto:christinet§wasatchwind.com) Sent: Tuesday, August 03,20109:00 AM To: Allphin, Randy Subject: Re: 21 or 30 MW ? Hi randy. On vacation but wil tru to call you in the mix of things. How about 1 or 2 pm your time? From: Allphin, Randy .cRAllphin(iidahopower.com;: To: Christine Mikell sent: Tue Aug 03 08:49:01 2010 Subjec: RE: 21 or 30 MW ? Lets plan on a quick phone call to get things sorted out. I am available pretty much available anytime today (Tuesday Aug 3) e-mail a suggested time or you can just give me a tryon the phone. Randy From: Christine Mikell (mailto:christinel§wasatchwind.com) Sent: Monday, August 02, 2010 4:16 PM To: Allphin, Randy Subject: Re: 21 or 30 MW ? We calculated it, the higher winds are to the north with fewer turbines and lower winds are to the south. Do you need something from us to make this case? Thanks. 2 Attachment No. 6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 24 of 27 From: Allphin, Randy ieRAllphin(§idahopower.com:: To: Christine Mikell Sent: Mon Aug 02 17:33:58 2010 Subject: RE: 21 or 30 MW ? Based on the previous production data you provided, the 31 MW project does not qualify for the 10 average MW contract, and the 20 MW project is questionable? Was the previously provided production data accurate - if so we need to rerun pricing models, the price wil most likely be similar to the previous pricing I provided are the projects viable at those prices? Ifthe previously provided data was not accurate, the previous provided pricing may not be accurate. If they are viable, which transmission request should I submit first? Randy From: Christine Mikell (mailto:christine(gwasatchwind.com) Sent: Monday, August 02, 2010 3:22 PM To: Allphin, Randy Subject: Re: 21 or 30 MW ? Yes, with a mile separation. From: Allphin, Randy ieRAllphin(gidahopower.com:: To: Christine Mikell Sent: Mon Aug 02 17:21:202010 Subjec: RE: 21 or 30 MW? Christine -I guess i read things wrong - this information is now suggesting is two separate projects (20 MW and a 31 MW) for a total of 51 MW? You are suggesting they are two separate 10 average MW projects. In prior information you have suggested a capacity factor over 40%, if this is the case the 30 MW would not qualify for a 10 MW average project and even the 21 MW project would be questionable, based on the previous data you provided. Do the projects qualify as separate facilities? Individual QF certificates from FERC? At least physically a mile apart? Unfortunately this size and number of projects continues to cause delays and complications in the transmission capacity request- If they are truly separate projects - which one do you want me to file for first? (there may be room for one but not the other) If we get approval for one and/or both as separate projects, but then find out they must be combined into one project we wil have to re file for transmission as the two filngs cannot be combined into one at a later time. To do this right the first time, we need to determine if they are separate projects. Even if they are separate projects do they qualify for the 10 average MW contract? 3 Attachment No.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 25 of 27 Based on the information you have provided, it appears they are the same project (same project location, same interconnection, same BPA capacity reservation etc). If this is the case, then I need to file one 51 MW transmission request and we wil need to rerun the pricing models to determine the energy pricing. Randy From: Allphin, Randy Sent: Monday, August 02, 2010 3:02 PM To: 'Christine Mikell' Subject: 21 or 30 MW ? Christine, I am making some progress on the transmission requests, however the first questions I encountered was if the project would be 21 or 30 MW. As you included both applications in your package I had assumed you were not sure at time you submitted this information. Do you have any updated information? If you are stil unsure, probably be best to submit for the 30 MW, if this is available would be logical that 21 MW would be available. Randy 4 Attachment NO.6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 26 of 27 This t~I'Y cOIln informtion ilt istivìlii eiíiridliitanQf lll:Pi ~dllø l\detlliCble law. IfYQ ~ nlllllillll ~.)'llli, notified that any disloiireaing. dÍ5'btiOl, Of us of the lnftlon contain hl(lnluding an reftcther)ls mlCT Y PROHllT. U'you,reel'loolhs tiIS$mn In emr. plea iml'i:aldy coniiCl the $e an dey the matel in I'" coy, whethe In deroniçQf li COY foat. 1l yt 5 Attachment No. 6 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 27 of 27 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO.7 ~hin,Randy From: Sent: To: Cc: Subject: Attachments: Greg Adams (Greg~richardsonandoleary.coml Friday, October 01, 2010 11 :58 AM Allphin, Randy Walker, Donovan; Peter Richardson Wasatch Wind -- Grouse Creek Wind Park 10-1-10-Letter- GCWP.pdf Randy, Please see the attached letter from Pete Richardson. We'll drop a paper copy off at the front desk today. Greg OregAdams Richardson & O'Lear PLLC 515 N. 27th Street, 83702 P.O. Box 7218,83707 Boise, Idaho Voice: 208.938.2236 Facsimile: 208.938.7904 Informtion contained in this electronic message and in any attachments hereto may contain infonnation that is confidential, protected by the attorney/client privilege and/or attorney work product doctrine. This email is intended only for the use of the individual or entity named above. Inadvertnt disclosure of the contents of this email or its attchments to unintended recipients is not intended to and does not constitute a waiver of the attorney/client privilege and/or attorney work product doctrne. This tranmission is fuer covered by the Electronic Communication Privacy Act, is U.S.C. §§ 2510-2521. If you have received this email in error, immediately notify the sender of the errneous receipt and destry this email and any attchments of the same either electronic or printed. Any disclosur, dissemination, distrbution, copying or use of the contents or information received in error is strctly prohibited. Th you. 1 Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of 16 Ri.cJlSON & OLEY. PU ATTORNEYS AT LAW Peter Richardson Tel: 208-938,7901 Fu: 208.9.l8.7904 pi:~r(lridu.rdlo nandoJ i:ary.co m P,Q, Box 7218 Boi... II 83707 . 5 i 5 N, 271n 51, 8oi,.. ll 83702 October i, 2010 Via Hand Delivery and Electronic Mail Randy Allphin PUR A Contracts Administrator Idaho Power Company P.O. Box 70 Boise, Idaho 83707 Re: Wasatch Wind - Grouse Creek Wind Park Dear Randy: I write on behalf of my client, Wasatch Wind, regarding its request for a power purchase agreement (PPA) for a quaifYing facilty (QF) under the Public Utilties Regulatory Policy Act of 1978 (PURP A) - the 21 megawat (MW) Grouse Creek Wind Park. As you know, Wasatch Wind has been in contact with you and has provided Idaho Power with substatial amounts of informaton regarding this PURP A project in its efforts to secure a PPA over the past few months. Furer, you and I discussed issues related to interconnection and trsmission for this project on August 30, 2010. As descrbed in more detail below, the project is in Northern Uta and will interconnect with the Raf River Rural Electrc Cooperative. Wasatch Wind is aranging for an agreement to have Bonneville Power Administation (BPA) deliver the output to Idaho Power's system at the Minidoka substation. This QF project is, and has been, ready willng and able to obligate itself to a PURP A PP A with Idao Power containing the standad rates, ter, and conditions approved by the Idaho Public Utilities Commssion (Commission) to projects that will deliver under 10 average monthly megawatts (aMW). Those terms include the daily and seasonality load shape pnce adjustments (Order No. 30415), as well as the wind integration charge, mechaical availabilty guantee, and wind forecasting and cost sharg provisions (Order No. 30488). The most reently approved PURPA wind PPA contaning the applicable provisions is the Idaho Winds LLC PP A, which is on file at the Commission in Case No. IPC-E-09-25, and could be used as a template. I wrte this letter to clarfy Wasatch Wind's position on some issues of contention, or perhaps simply misunderstanding, regarding this project, and to provide you with all the project specifc inormation you should ne to complete a standar PURP A PP A under one cover. Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-2 Allphin Affdavit, IPC Page 2 of 16 Mr. Allphin October 1,2010 Page 2 Interconnectionlramission Request Processin First, I need to address the trsmssion and interconnection application process. As we discusse on Augut 30, 2010, Wasatch Wind has another nearby wind QF -the Grous Creek Wind Park 11- that it plan to bring online in parlel with the Grouse Creek Wind Park. Thes projects will be at leat one mile apar, will be separate QFs, and will be owned and operated by separate limited liabilty companes (the Grouse Creek Wind Park LLC and the Grouse Creek Wind Park II LLC). Wasatch Wind's position is that it is entitled to request separte PPAs and separate interconnection argements for each project simultaneously, and to have the processes to obtan PPAs and interconnection arangements for each project progress in parallel. You appeared to indicate that Wasatch Wind may only submit, and/or Idaho Power will only process, one project's interconnection application at a time. In other words, iff understood you correctly, Idaho Power would have Wastch Wind submit a single interconnection/tranmission reuest for one project, and then wait the six to nie months it may tae for completion of processing of tht request, pror to even submitting/processin the request for the secnd project. There is no basis in fact or law for imposing such a requirement on Wasatch Wind. Both projects should proced though the interconnection/tranmission stdy process simultaeously, as Wasatch Wind has requested. These are two separate QFs, sepaated by at least one mie, and, for power sale and interconnection/transmission request purses, should be trated as two separte entities. If those simultaneous studies reveal a transmission constraint, the project placed in the trmission queue second wil then have to decide whether it will pay for any necessar upgrade, or make another argement base on its poition at that time. It is simply unair to completely stal progrss of one project whle studying transmission availabilty for the other project. Wasatch Wind has submitted a trsmission capacity application for the Grouse Creek Wind Park and Grouse Creek Wind Park II on August 19, 2010, in an effort to become a network resoW'e, and hereby fonnally reiterates its reuest that the application be processed in parallel with the application for the Grouse Creek Wind Park n. Failur to do SO would prejudice the rights of Wasatch Wind and its affiliates of obtaining separate PPAs for these separate QFs. It necessary to point out tht Idaho Power's unjustified actions have already delayed progress of these two QF developments' efforts to arrange to wheel their output over BPA's system. This year, BPA initiated a network open season (NOS) so that BPA could improve transmission availabilty on its system for customers and relieve a backlog of requests. Wasatch Wind made an NOS request in June 2010 in order to resere space for its Grouse Creek Wind Park and Grouse Creek Wind Park II projects. This is around the same time that Wasatch Wind contacted Idaho Power, and requested PPAs and transmission on Idaho Power's system. BPA's NOS process included a requirement that Wasatch Wind post a perfonnance assurance amount of $794,376 for these two QFs by August 18,2010. Wasatch Wind hope that by making the BPA request concurently with its request to Idaho Power for PP As and trasmission that it would obtain some sort of assurance from Idaho Power by August i 8 that its requests were being processed. But because Idaho Power refused to make the trasmission request, Wasatch Wind could not risk losing that large sum of money required for BPA's NOS, and had to pull out of Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 3 of16 Mr. Allphin October 1,2010 Page 3 BPA's NOS. Subsequent to that, Wasatch Wind submitted two new Transmission Service Requests to Idaho Power, as of August i 8, and has renewed its efforts with BPA. Delay Default Liquidated Damages Security Provision The other item that I need to raise at this time is that of a delay default liquidated damages security provision. Wasatch Wind understads that Idao Power has recently begun requiring delay default liquidated damages securty provisions in PURP A PPAs whereby the QF must post a delay securty of $45/kw of nameplate capacity for the project, which sum Idaho Power would retain as liquidated damages in the event the QF fails to achieve the PPA's online date. For this 21 MW project, such a provision would require the QF to post $945,000. In Order No. 30608, the Commission stated that delay default liquidated damages security must be a "fair and reasonable offset of a regulated utility's estimated increase in power supply costs attributable to the PURPA supplier's failure to meet its contractually scheduled operation date." The Commission's statement is consistent with Idaho law, which clearly prohibits use of liquidated damages provisions when damages are easily estimated, or when such provisions are punitive or designed to deter a breach of the contract. See Magic VaJ/ey Truck Brokers, Inc. v. Meyer, 133 Idao 11 0, 117, 982 P.2d 945, 952 (Ct. App. 1999); i.e. § 28-2-718(1). Idaho Power's actual damages caused by a QF's delay in achieving its online date would not be difficult to calculate, and the amount of $45/kw is far in excess of the costs of replacement power or administrative expenses Idaho Power may incur. A $45/kw liquidated damages clause is simply not legal in Idaho and would be rejected by Idaho courts. And requiring a QF to post an uneasonably high delay default security frustrates PURPA's mandatory purchase provisions. Wasatch Wind wil not agree to a $45/kw delay security, unless the Commission orders that amount is reasonable. Wasatch Wind intends to obligate itself at this time only to a PPA requiring it to post no delay default security amount, or to any amount deemed reasonable by the Commission if Idaho Power insists on a provision requiring Wasatch to post a delay default liquidated damages security. Project Information For the remainder of this letter, I wil provide detailed infonnation regarding the Gruse Creek Wind Park, available to you in one location for your convenience in completing the requested stadard PPA. Please complete a stadard PPA for Wasatch Wind according to the information provided below. Ifwe ar unable to resolve any remaining disagreement regarding the timing of the interconnection/trsmission applications or the delay default liquidated damages security provisions, Wasatch Wind requests that you provide a PPA containing all undisputed terms and conditions, and that Idaho Power and the QF proceed to the Commission for a determination as to any disputed terms. For any such disputed terms, Wasatch intends at this time to obligate itself to a PPA containing the terms that the Commission ultimately concludes to be just and reasonable. Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 4 of 16 Mr. Allphin October 1, 2010 Page 4 (a) abilty to obtain QF status As a wid generating facilty utilizing a renewable fuel source, the facility wil be a qualifying facility as defined in 18 C.F.R. § 292.203(a) and (c). (b) design capacity (M This project will have a naeplate rating of21 MW, but under nonnal operating conditions in any given month Wastch Wind's proposed design of the project will generate less th 10 aMW. Specifically, Wastch Wind wil design the facilty in such a way tht the tubines switch to maintenance mode, and thus cease generating electricity to be delivered to Idaho Power, if production levels for a given month reach the 10 aM cap. The engineerig te wil do so by adding some "logic" to the metering equipment. Once the output has reached a predetennined level, the metering equipment will communicate with the control equipment and put the turbines into maintenance mode. Monthly generation wil not exceed the 10 aMW cap, and Wastch Wind wil provide appropriate engineering certification of this fact. Therefore, in accordance with Commission Order No. 29632, Wasatch Wind agrees to a provision in the PPA providin tht a cap on the maximum monthly generation that qualifies for published rates at the total number of hours in the month multiplied by 10 MW. The Commission has approved PURPA PPAs for projects with design specifications such as this in the past. For example, in Order No. 30028, the Commission approved a PPA at the published rates for a cogeneration facility with a design capacity of over 10M W because it would only generate 10 aMW in nonnal and/or average conditions based on data supplied by the QF. Likewise, Wasatch Wind proposes to design the Grouse Creek Wind Park facilty as a QF that will deliver less than 10 aMW, and will provide appropriate certfication to Idao Power of that design speification. I understand that Wasatch Wind's existing request for a PPA for ths project indicated the project would have a nameplate capacity of 30 MW. Pleas consider that request amended to specify this project will have a nameplate capacity of21 MW. Please also amend the Tranmission Capacity Application Questionaire submittd on August 19,2010, accordingly. This decrease in naeplate capacity should not present additional PPA or transmission problems and should not stall progrss of the Idaho Power's prcessin of the PPA and transmission requests. (c) generation technology and other related technology applicable to the site The facility will be a wind generation project consistig of3.0 MW machines, whch wil be Vesta V-I12 machines. (d) proposed site location The facilty will be located in Box Elder County, near Lyn, Uta. More speifically, Wasatch Wind provides the followig legal description of the real propert associated with Grouse Creek Wind Park: Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 5 of 16 Mr. Allphin October 1,2010 Page 5 TOWNSHIP 14 NORTH, RANGE i 7 WEST OF THE SALT LAKE BASE MERIDIAN, all of which is located in Box Elder County Utah, containing approximately 806.49 acres, more or less. Parcel 08-017-0016 Parcel 08-017-01 12 Parcel 08-017-0114 Part lying in the South half in Section 8, Townhip 14 North 17 West known as parcel No. 08-017-0016 Part ofthe West Half of Section 16, T 14 N, R 17 W. Salt Lake Base and Meridian, Box Elder County, Utah. DESCRIPTION: Beginning at Southwest Comer of Section 16, T 14N,R 17W, SLB&M a Stone Monument with 5/8" rebar and 2" cap alongside found by Desert West Land Surveys and RUNING THENCE N 00°35'06" E 4277.40 feet along the section line to a point on ridge, said point being a rebar and cap set by Desert West Land Surveys; thence the following ten (10) courses along said ridge to rebars and caps set by Desert West Land Surveys: (1) S 40°04'35/1 E 250.59 feet (2) S 07°47'58/1 E 516.55 feet (3) S 13°43'10" W 452.69 feet (4) S 20°27'39/1 E 204.52 feet (5) S 50°12'36" E 316.89 feet (6) S 24°55'14" E 430.68 feet (7) S 21 °50'37" E 749.05 feet, (8) S 45°45'09" E 581.60 feet, (9) S 40031'30"E 1403.24 feet, (10) S 04°12'26" E 138.01 feet; thence S 88°54'25/1W 2281,86 feet along section line to the point of beginning. Containing 87.51 acres, more or less. DESCRIPTION: Beginning at the Southeat Comer of Section 17, T 14 N, R 17W, SLB&M a Marked Stone Monument with rebar and cap alongside stamped PLS 5754 by Desert West land Survey and RUNNING THENCE N 87°22'41" W 2718.20 feet to Marked Quarter Corner Stone Monument with rebar and cap alongside by Johnston Engineering, P .C., stamped JEPC PLS i 52173: thence S 89°59'32" W 2628.40 feet to the Southwest Corner of said Section 17, a fence comer: thence N 00°09'23" W 2590. i 4 feet to Marked Quarer Comer Stone Monument with rebar and cap alongside stamped JEPC PLS 152173; thence N 00°40'09" E 1329.28 feet to the Southwest Comer of the Northwest Quarter of the Northwest Quarer of said Section 17; thence N 89°29'16" E 1336.70 feet to the Southeast Corner of the Northwest Quarer of the Northwest Quarter of said Section 17; thence N 00°43'21" E 1340.23 feet to the Northeast Corner of the Northwest Quarter of the Northwest Quarter of said Section 17; thence N 89°01'13" E 1338.22 feet to Marked Quarr Comer Stone Monument with rebar and cap alongside stamped JEPC 152 i 73; thence N 89°36'50" E 1784.26 feet along section line to fence line on ridge; thence the following four (4) courses along fence lines on ridge; (i) S 04°33'59" E 662.48 feet, (2) S 78°53'18" E 583.12 feet, (3) S 28°18'19" E 155.75 feet, (4) S 40°03'33" E 3 i 7.70 feetto Rebar and Cap set on the east line of said Section 17 by Desert West land Survey: thence S 00°35'06" W 4277 .40 feet along said section line to the point of beginning. Containing 598.32 acres, more or less. (e) schedule of monthly power deliveries The table below sets forth the expected schedule of monthly power production in a typical year. Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 6 of 16 Mr. Allphin October 1, 20 i 0 Page 6 These production estimates do not account for station use or for line losses occuring between the QF and the point of delivery to Idaho Power's system: Month January February March April May June July August September October November December Total MWh 6,178.9 6,720.0 7,440.0 5,614.1 4,547.0 640.5 1,524.5 2,513.4 3,566.3 6,306.5 6,686.3 6,941.4 58,679 (t) motive force or fuel plan The motive force is wind. (g) proposed online date and other signifcant dates required to complete the milestones Construction of the facilty and other necessar infrastrctu is scheduled to be complete and ready for operation on December 31, 2012. The proposed online date to commence operation for electricity sales to Idaho Power is December 31, 2012. (h) proposed contract term and pricing provisions Wasatch Wind requests a 20-year contract at the non-Jevelized rates in the avoided cost rate schedule on file today with the Idaho Public Utilties Commission (errata to Idao Public Utilities Commission Order No. 30125). (i) status of intereonneetion or transmission arrngements Wasatch Wind is arranging for an agreement to have BPA deliver the output to Idaho Power's system at the Minidoka substaion. Wasatch Wind submitted a trasmission capacity application questionne for Grouse Creek Wind Park to Idaho Power on August 19, 2010, and ha requested that Idaho Power initiate any necessar processing of interconnection and transmission stdies or ageements for the project. Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 7 of 16 Mr. Allphi October t, 2010 Page 7 (j) point of delivery or interennection Wasath Wind will deliver the output (net of station use and losses) to Idaho Power at the Minidoka substation. Conclusion I hope tht ths lett has clarfied Wasch Wind's position regarding ths request, an will be usefu in your processng of Wasath Wind's PURA project. Pleas contact me with any questions, or with requests for any additional infonnation necessar to process ths request. Very trly your,t.JO.~ Peter J. Richadson Attorney for Wasatch Wind cc: Donovan Waler, Attorney for Idaho Power (hd delivery and electronic mail) Chrstine Mikell, Wasatch Wind (electronic mail) Enclosure Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 8 of 16 ~hin.Randy From: Sent: To: Cc: Subject: Attchments: Greg Adams (Greg~richardsonandoleary.coml Friday, October 01, 2010 12:00 PM Allphin, Randy Walker, Donovan; Peter Richardson Wasatch Wind -- Grouse Creek Wind Park II 10-1-10-Letter- GCWP Il.pdf Randy, Please see the attached letter from Pete Richardson. We'll drop a paper copy off at the front desk today. Greg Greg Adams Richardson & O'Lear PLLC 515 N. 27th Street, 83702 P.O. Box 7218,83707 Boise, Idaho Voice: 208.938.2236 Facsimile: 208.938.7904 Infonnation contained in ths electronic message and in any attachments hereto may contain infonnation that is confidential, protected by the attorney/client privilege and/or attorney work product doctre. This email is intended only for the use of the individul or entity named above. Inadvertent disclosure of the contents of this email or its attchments to unintended recipients is not intended to and does not constitute a waiver of the attorney/client privilege and/or attorney work product doctrne. This transmssion is fuer covered by the Electronic Communication Privacy Act, 18 V.S.C. §§ 2510-2521. If you have received this email in error, imediately notify the sender of the erroneous receipt and destry ths email and any attchments of the same either electronic or prited. Any disclosur, dissemination, distrbution, copying or use of the contets or infonnation received in errr is strctly prohibited. Than you. 1 Attachment No. 7 Case Nos. IPC-E-1D-1 & IPC-E-1O-62 Allphin Affdavit, IPC Page 9 of 16 RICHASON & O'LE. PU ATTORNEYS AT LAW Peter Richardson Tel: 208-938-7901 Fax: 208.938.:904 pece r~ rich ardsonandol ~ary,com 1'.0, 80x 72J8 Boi... ID 83707 . 51 S N. 27,h S,. 80i,.. ID 83702 October t, 20 t 0 Via Hand Delivery and Electronic Mail Randy Allphin PURP A Contracts Administrator Idaho Power Company P.O. Box 70 Boise, Idaho 83707 Re: Wasatch Wind - Grouse Creek Wind Park II Dear Randy: I wrte on behalf of my client, Wasatch Wind, regarding its reuest for a power purchase agrement (PPA) for a qualifying facility (QF) under the Public Utilties Regulatory Policy Act of 1978 (PURP A) - the 21 megawatt (MW) Grouse Creek Wind Park II. As you know, Wasatch Wind has been in contact with you and ha provided Idaho Power with substatial amounts of information regarding this PURPA project in its efforts to secure a PPA over the past few months. Furher, you and I discussed issues related to interconnection and transmission for this project on August 30, 2010. As described in more detail below, the project is in Northern Utah and will interconnect with the Ra River Rural Electnc Cooperative. Wasatch Wind is arging for an agreement to have Bonneville Power Admstration (BPA) deliver the output to Idaho Power's system at the Minidoka substtion. Ths QF prject is, and has been, ready wiling and able to obligate itselfto a PURP A PPA with Idao Power containing the standad rates, tens, and conditions approved by the Idaho Public Utilities Commission (Commission) to projects that will deliver under 10 average monthly megawatt (aM. Those tenn include the daly and seasonality load shape price adjustments (Order No. 30415), as well as the wind integration chare, mechanical availabilty guarantee, and wid forecasting and cost sharing provisions (Order No. 30488). The most recently approved PURP A wind PPA containing the applicable provisions is the Idaho Winds LLC PPA, which is on fie at the Commission in Case No. IPC-E-09-25, and could be used as a template. I write this letter to clarfy Wasatch Wind's position on some issues of contention, or perhaps simply misunderstading, regarding this project, and to provide you with all the project specific information you should need to complete a standard PURP A PPA under one cover. Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 10 of 16 Mr. Allphin October 1, 2010 Page 2 Interconoecüonfransmissioo Request Processing Firt, I need to addrss the tramission and interconnection application process. As we discussed on August 30, 2010, Wastch Wind has another neary wid QF - the Gruse Crek Wind Park - tht it plans to bring online in paalel with the Gruse Creek Wind Park n. These projects will be at lea one mile apar will be separte QFs, and will be owned and opemted by separte limited liabilty companes (the Grouse Creek Wind Par LLC and the Grouse Crek Wind Park II LLC). Wasatch Wind's position is tht it is entitled to request septe PPAs and separate interconnection argements for each project simultaneously, an to have the processes to obtain PPAs and interconnection argements for each project progrss in parlleL. You appea to indicate that Wasatch Wind may Oiuy submit, and/or Idao Power will oiuy process, one project's 'intercnnection application at a time. In other words, if I understood you corrtly, Idaho Powe would have Wasatch Wind submit a single interconnection/tramission request for one project, and then wait the six to nine months it may tae for completion of prcessing of that request, prior to even submittng/prcessing the request for the second project There is no basis in fact or law for imposing such a requirement on Wash Wind. Both projec should proceed though the interconnection/tranission study process simultaeously, as Wasath Wind has requeted. These are two separate QFs, separted by at least one mile, and, for power sae and interconnection/smission puroses, should be trated as two separte entities. If those simultaeous stdies reveal a transmission constaint, the project place in the trsmission queue second wil then have to decide wheter it will pay for any necessar upgrde, or make another argement based on its position at that time. It is simply unair to completely stall progrss of one project while studying trsmission avaiability for the other project. Wasatch Wind has submitted a trsmission capacity application for the Gruse Crek Wind Park and Grouse Creek Wind Park II on August 19, 20 I 0, in an effort to become a network resoure, and hereby fonnally reitertes its request that the application be processd in parallel with the application for the Grouse Creek Wind Park. Failure to do so would prejudice the rights of Wastch Wind and its affilates of obtg separate PPAs for these separte QFs. It necessary to point out that Idaho Power's unjustified actions have already delayed progress of these two QF developments' efforts to arrge to wheel their output over BPA's system. This year, BPA initiated a network open season (NOS) so that BPA could improve trsmission availability on its system for customers and relieve a backlog of requests. Wasatch Wind made an NOS request in June 20 lOin order to reserve space for its Grouse Creek Wind Park and Grouse Creek Wind Park II projects. This is around the same time that Wasatch Wind contated Idaho Power, and requested PPAs and transmission on Idao Power's system. BPA's NOS process included a requirement that Wasatch Wind post a perormance assurance amount of $794,376 for these two QFs by August 18, 2010. Wasatch Wind hoped that by making the BPA request concurently with its request to Idaho Power for PPAs and transmission that it would obtain some sort of assurance from Idaho Power by August 18 that its requests were being processed. But because Idao Power refused to make the transmission request, Wasatch Wind could not risk losing that large sum of money required for BPA's NOS, and had to pull out of Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 11 of 16 Mr. Allphin October 1, 2010 Page 3 BPA's NOS. Subsequent to that, Wasatch Wind submitted two new Tranmission Service Requests to Idaho Power, as of August 18, and has renewed its efforts with BPA. Delay Default Liquidated Damages Seturity Provision The other item that I need to raise at this time is that of a delay default liquidated damages securty provision. Wasatch Wind understands that Idaho Power has recently begun requiring delay default liquidated damages security provisions in PURP A PPAs whereby the QF must post a delay security of $45/kw of naeplate capacity for the project, which sum Idaho Power would retain as liquidated damages in the event the QF fails to achieve the PPA's online date. For this 21 MW project, such a provision would require the QF to post $945,000. In Order No. 30608, the Commission stated that delay default liquidated damages security must be a "fair and reasonable offset ofa regulated utility's estimated increase in power supply costs attrbutable to the PURP A supplier's failure to meet its contractually scheduled operation date." The Commission's statement is consistent with Idaho law, which clearly prohibits use of liquidated damages provisions when damages are easily estimated, or when such provisions are puntive or designed to deter a breach of the contract. See Magic Valley Truck Brokers, Inc. v. Meyer, 133 Idaho 110,117,982 P.2d 945, 952 (Ct. App. 1999); I.C. § 28-2-718(1). Idao Power's actual damages caused by a QF's delay in achieving its online date would not be diffcult to calculate, and the amount of $45/kw is far in excess of the costs of replacement power or administrative expenses Idaho Power may incur. A $45/kw liquidated damges clause is simply not legal in Idaho and would be rejected by Idaho cours. And requiring a QF to post an unreasonably high delay default security frstrates PURPA's madatory purhase provisions. Wasatch Wind wil not agree to a $45/kw delay security, unless the Commission orders that amount is reasonable. Wasatch Wind intends to obligate itself at this time only to a PPA requiring it to post no delay default securty amount, or to any amount deemed reasonable by the Commission if Idaho Power insists on a provision requiring Wasatch to post a delay default liquidated damages security. Project Information For the remaider of ths letter, I wil provide detailed infonnation regarding the Grouse Creek Wind Park II, avaiable to you in one location for your convenience in completing the requested standad PPA. Please complete a stadard PPA for Wastch Wind according to the infonnation provided below. Ifwe ar unable to resolve any remaiing disaeement regarding the timing of the interconnection/transmission applications or the delay default liquidated damages security provisions, Wasatch Wind requests that you provide a PPA containing all undisputed tenns and conditions, and that Idaho Power and the QF proceed to the Commission for a detennination as to any disputed tenns. For any such disputed terms, Wasatch intends at this time to obligate itselfto a PPA containing the tenns that the Commission ultimately concludes to be just and reasnable. Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 12 of 16 Mr. Allphin October 1,2010 Page 4 (a) abilty to obtain QF status As a wind generating facilty utilzing a renewable fuel soure, the facilty will be a qualifYing facility as defined in 18 C.P.R. § 292.203(a) and (c). (b) desig capacit (MW) This project will have a nameplate ratin of 2 1 MW, but under normal operating conditions in any given month Wasatch Wind's proposed design of the project wil generate less than 10 aMW. Specifically, Wasatch Wind will design the facility in such a way tht the turbines switch to maintenance mode, and thus cease generating electricity to be delivered to Idao Power, if production levels for a given month reach the 10 aMW cap. The engineering team wil do so by adding some "logic" to the metering equipment. Once the output has reached a predetermned level, the metering equipment will communicate with the control equipment and put the turbines into maintenance mode. Monthly generation will not exceed the i 0 aMW cap, and Wasatch Wind wil provide appropriate engineering certification of this fact. Therefore, in accordance with Commission Order No. 29632, Wasatch Wind agees to a provision in the PPA providing tht a cap on the maximum monthly generation that qualifies for published rates at the total number of hours in the month multiplied by 10 MW. The Commission has approved PURPA PPAs for projects with design specifications such as this in the past. For example, in Order No. 30028, the Commission approved a PPA at the published rates for a cogeneration facilty with a design capacity of over 10 MW because it would only generate 10 aMW in normal and/or average conditions based on data supplied by the QF. Likewise, Wasatch Wind proposes to design the Grouse Creek Wind Park II facilty as a QF that will deliver less than 10 aMW, and will provide appropriate certification to Idaho Power of that design specification. (c) generation technology and other related technology applicable to the site The facilty will be a wind generation project consisting of3.0 MW machines, which will be Vest V - i 12 machines. (d) proposed site location The facilty will be located in Box Elder County, near Lyn, Utah. More specifically, Wasatch Wind provides the following legal description of the real property assoiated with Grouse Creek Wind Park II: TOWNSHIP 14 NORTH, RANGE i 7 WEST OF THE SALT LAKE BASE MERIDIAN, all of which is located in Box Elder County Utah, containing approximately 730.79 acres, more or less. Parcel 08-01 7-0047 SE/4 of Section 21, Township 14 Nort Range 17 West, SLB&M. containing 160 acres more or less. Attchment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 13 of 16 Mr. Allphin October 1,2010 Page 5 Parcel 08-017-0070 AU of Section 28 Township 14 North Range 17 West, SLB&M. Less E/2ofE/2 & SW/4 ofSW/4 containing 440 acres more or less. Parcel 08-017-0098 Part of the East half of the Northeast Quarter of Section 28, T 14 N, R 17W, SLB&M, Box Elder County, Uta. DESCRIPTION: Beginning at the Northwest Corner of the Northeast Quarter of the Norteast Quarter of Section 28, T 14 N, R 17 W, SLB&M, Box Elder County, Utah; thence south 0 degrees 07'42/l East along the West line ofthe Northeast Quarter of the Northeast Quarer for 393.39 feet to the point of beginning, Thence South 28 degres 40'53" East for 510.66 feet to a Y2 inch rebar; thence South 28 degrees 40'53" East for 1643.06 feet to an Y2 rehar; thence South 57 degrees 30'39/l West for 1218.68 feet to a point on the West line of the East half of the Northeast Quarter; thence North 0 degrees 07'42" West along the West line of the East Half ofthe Norteast Quarter for 2544.8 feet to the point of beginning, containing 24.59 acres more or less SAVE AND EXCEPT the following-described parcel: (CONT. ..) DESCRIPTION: Beginning at the Nortwest Corner of the Northeast Quarer of the Northeast Quaer of Section 28, T 14 N, R 17W, SLB&M, Box Elder County, Utah; thence South 0 degrees 07'42" East along the West line of the Northeast Quarter of the Northeast Quarer for 393.39 feet to the point of beginning; thence South 28 degrees 40'53" East for 510.66 feetto a Vi inch rebar; thence South 28 degres 40'53/l East for 557.15 feetto the South line ofthe Northeast Quarter of the Northeast Quarter; thence North 89 degrees 37'00" West for 510.40 feet to the West line ofthe Norteast Quarter of the Northeast Quarter; thence North 00 degrees 07'42" West for 933.39 feet to the point of beginning. Parcel 08-017-0099 DESCRIPTION: Beginning at the Northwest Comer of the Northeast Quarter of the Northeast Quarter of Section 28, T 14 N, R 17W, SLB&M, Box Elder County, Utah; thence South 0 degrees 07'42" East along the West line of the Northeast Quarer of the Norteast Quarer for 393.39 feet to the point of beginning; thence South 28 degrees 40'53" East for 510.66 feet to a Y2 inch rebar; thence South 28 degrees 40'53" East for 557.1 5 feet to the South line ofthe Northeast Quarter of the Northeast Quarter; thence North 89 degrees 37'00" West for 510.40 feet to the West line of the Norteast Quarter of the Northeast Quarter; thence North 00 degrees 07'42" West for 933.39 feet to the point of beginning, containing 5.47 acres more or less. Parcel 08-017-0102 Par of Section 27 and 28. Township 14 North, Range 17 West, Salt Lake Base and Meridian, descrided as follows Beginning at the East Quarter Comer of Section 28, Township 14 North. Range 17 West, Salt Lake Base and Meridian; Thence South 36°14'05" East 1661.99 Feet to a point on the South line of the Northwest Quarter of Southwest Quarer of said Section 27; thence North 89°59'54" West 974.82 feet to the Northeast Corner of Southeast Quartr of Southeast Quarer of said Section 28; thence South 00°19'25" East 1340.56 feet to the Southeast Quarter of said section 28; thence North 89°59'54" West 1329.58 feet to the Southwest Comer of the Southeast quarter of Southeast Quarter of said Section 28; thence North Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 14 of 16 Mr. Allphin October 1,2010 Page 6 57°30138" East 1218.7 feet on the East Corner of parcel described as Tax ID No. 08-017-0098; thence South 09°00'00" east 289.68 feet to the East line of said Section 28; thence south 00° 19'25" feet the point of beginning. Containing 100.73 acres more or less. (e) schedule of monthly power deliveries The table below sets fort the expected schedule of monthly power production in a typical year. These production estimates do not account for station use or for line losses occurrng between the QF and the point of delivery to Idaho Power's system: Month January Februar Marh April May June July August September October November December Total MWh 6,178.9 6,720.0 7,440.0 5,614.1 4,547.0 640.5 1,524.5 2,513.4 3,566.3 6,306.5 6,686.3 6,941.4 58,679 (:I motive force or fuel plan The motive force is wind. (g) proposed online date and other signifcant dates require to complete the milestones Constrction of the facilty and other necessar infastrctu is scheduled to be complete and ready for operation on Deceber 31, 2012. The proposed online date to commence operation for electricity sales to Idaho Power is December 31, 2012. (h) proposed contract term and pricing provisions Wasatch Wind requests a 20-year contract at the non-levelized rates in the avoided cost rate schedule on file today with the Idaho Public Utilties Commission (errata to Idaho Public Utilities Commission Order No. 30125). Attchment No. 7 Case Nos. IPC-E-1Q-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 15 of 16 Mr. Allphin October 1, 2010 Page 7 (i) statu of intereonnection or trnsmission arrngements Wasch Wind is aranging for an agrement to have BPA deliver the output to Idaho Power's system at the Minidoka substation. Wasatch Wind submittd a tranmission capacity application questionnre for Grouse Creek Wind Park II to Idaho Power on Augus 19, 20 i 0, and ha requested that Idao Power intiate any necssar processing of internnecion and tranission stuies or agreements for the project. (j) point of delivery or interconnection Wasatch Wind will deliver the output (net of station us and losses) to Idaho Power at the Minidoka substation. Conclusion I hope tht ths letter ha clarfied Wastch Wind's position regarding this request, and will be useful in your processing ofWash Win's PURA prject. Pleas contact me with any questions, or with requests for any additiona infomition necessar to process ths request. Very trly yours,P_J.t:.~ Attrney for Wasatch Wind cc: Donovan Walker, Attorney for Idaho Power (hand delivery and electronic mail) Chrstine Mikell, Wasatch Wind (electronic mail) Enclosure Attachment No. 7 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 16 of 16 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO.8 .chln, RandY From: Sent: To: Cc: Subjec: Attchments: Allphin, Randy Monday, November 01, 2010 2:06 PM 'Peter Richardson' Walker, Donovan Wasatch wind and SWeeney ranch documents Wasatch wind cover letter. pdf; Wasatch wind draft agreement template 11-1-201 a.pdf Tracking:Recpient 'petei Richn' Walker, Donvan Read Read: 11/1/20102:09 PM Peter, Attached is a letter addressing the various Wasatch wind requests and also a draft agreement. I left you a phone message, if I dO not hear back from by you by 3 pm I wil put the originals in U SMaiL. Randy 1 Attchment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of 74 ø_. An IDACORP Company November 1,2010 Randy C. Allphin Senior Energy Contrct Coordinator Wasatch Wind c/o Peter Richardon 5 i 5 North 27th Street P.O. Box 7218 Boise, il 83702 Original: U SMail E-mail copy:Peter~richardsonandolea.com Re: Wasatch Wind - Grouse Creek Wind Park LLC, Grouse Creek Wind Park II LLC, Sweeney Ranch Wind Park I and Sweeney Ranch Wind Park II. Dear Mr. Richardson: Idaho Power has received your letters of October 1 and October 28, 2010, regarding Grouse Creek Wind Park and Grouse Creek Wind Park II, as well as your October 20, 2010, letter regarding Sweeney Ranch Wind Park I and II. Your letters are obvious attempts to establish a writing that evidences: 1) your client's projects are ready wiling and able at this time to sign PURPA FESAs and 2) that the reason your client does not have executed PURPA FESAs at this time is somehow due to some action or inaction of Idaho Power. Neither is correct. Your letters purport to "agree" to the "standard" tenns and conditions contained in the Idaho Winds LLC FESA from Case No. IPC-E-09-25. There are three primary problems with your assertion. First, as you are well aware, the Idaho Winds FESA contains delay damage and security provisions that your same letter objects to, and does not agree with. Second, as you are also aware, the Idaho Winds FESA does not contain the most recent and up-to-date "standard" tenns and conditions of a PURPA FESA that have been approved by the Commission and third, all of these proposed projects are not within the Idaho Power service terrtory, thus as the FESA you referenced is for a project within the Idaho Power serice terrtory it would not be applicable without the changes to accommodate the off system projects you are proposing. As you are aware from your representation of other PURP A clients, Idaho Power wil not agree to a PURP A FESA that does not contain the $45 per kW nameplate rating security and damage provisions. Delay liquidated damages provisions have p, 0, Box 70 (83707) 1221 W" Idaho St, AttachM~fi'tIRi~fW Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 of 74 been included in PURPA FESA contracts approved by the Commission since at least 2007. See, Case No. IPC-E-06-36. In addition, one of the tirst Commission approved FESAs to contain terms requiring the project to post liquid security was the FESA for Cassia Giilch Wind Park and Tuana Springs Energy, Case No. IPC-E-09-24. In thut case the Commission approved provisions requiring the posting of liquid security in the amount of $20 per kW of project cap acíty , The Commission considered and approved provisions providing for the posting of liquid security in the amount of $20 per kW of project capacity in at least four other PURPA FESAs. See, Case No. IPC-E-09-18, (PC-E-09-19, (PC-E-0920, (PC-E-09-25. The Commission has since analyzed and approved provisions requiring the posting of liquid security in the ~U110unt of $45 per kW of nameplate capacity in at least seven difterent PURPA FESAs, some of which have been belonged to your clients. See, Case No. IPC-E- 10-02, IPC-E-IO-05, IPC-E-lO-15, IPC-E-1O-l6, IPC-E-IO-17, IPC-E-lO-18, IPC-E-IO-19. In reviewing the infoimation you have provided in your letter regarding the interconnection and transmission request process, there appears to be a misunderstanding with regard to the infonnation that Idaho Power has provided. In none of the information provided or conversations with Idaho Power has Idaho Power ever stated that only one of the projects Transmission Service Request ("TSR") could be processed at a single time. Instead, the discussions were about the fact that TSR' s are processed in the order they are received by the transmission group. And if there is limited transmission capacity on a path, the first TSR filed may be accepted with little or no uPbJfade cost whereas the second TSR filed may encounter network upgrade costs as a result of the first request being allocated the available transmission capacity. As all of these proposed projects are not within the Idaho Power service territory and wil not be directly connecting to the Idaho Power electrical system it is required that each project complete the interconnection process with the host utility and also secure firm transmission capacity across all required transmission paths to deliver energy to a point of delivery on the Idaho Power electrical system. The idaho Power TSR process discussed above is the process to determine if there is transmission capacity available only on the Idaho Power electrical system from the point of delivery to the Idaho Power customer loads. Grouse Creek r iind II projects - In the previously provided information the projects have indicated that an Interconnection Facility study has been completed for each project with the host utility and a finn transmission reservation is not in place on the BP A system, however it appears the projects have been working dilgently to secure transmission on the BPA system. Prcvíously, Idaho Power had not fied TSRs for these projects due to the fàct that the projects had not committed to the actual size and contìguration of the projects or the sequencing they desired for the filing of these TSRs. In the letter dated October 1, 2010, the project has requested the Grouse Creek Wind Park I be resized to 21 MW vs the previous information that the project be sized at 30 MW. Based on this latest information, Idaho Power wil fie TSR's for Grouse Creek Wind Park I for a nameplate rating of 2 i MW and Grouse Creek Wind Park n for a nameplate rating of 21 MW - both Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 3 of 74 to deliver energy to the Idaho Power Minidoka substation making use of firm transmission capacity on the BPA trsmission system. Sweeny Ranch Wind Park I and II - Your letter dated October 20, 20 lOis the first information you have provided to Idaho Power in regards to these projects. In order to continue through the transmission and FESA process a "Letter of Understanding" and the information requested within that letter wil need to be completed and returned to Idaho Power. A Letter of Understanding for each of these project has been included with this letter. Prior to Idaho Power filing a TSR for these projects, the projects wil need to demonstrate that, at minimum, an acceptable feasibilty study for interconnection with the host utilty has been completed and provide evidence that firm transmission is available from all required transmission providers to move the project's energy from the point of interconnection to the Point of Delivery on Idaho Power's electrical system. Thank you for providing the additional "detailed" information about your client's projects that you have requested Idaho Power insert into the "standard" FESA for Wasatch Wind. However, from your past dealings with the Company you are aware that this type of information provided by the project developer about their project is typically inserted by the project developer, and not by Idaho Power. Enclosed please find a generic draft PURPA Wind agreement (no specific project information included) that contains the most recent and up-to-date ..standard" terms and conditions that have been approved by the Commission and the off system requirements. Please fill in the appropriate project specific factual information required and return to Idaho Power. Idaho Power wil then generate a final, executable copy for signatures. If you have any questions please do not hesitate to contact me at (208) 388-2614 or rallphintiidahopower. com. Sincerely,ßf.~. Randy C. Allphin Senior Energy Contract Coordinator cc: Donovan Walker Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 4 of 74 ~1lJii.PO~ An IOACORP Company November 1, 2010 Randy C. Allphin Sr. Energy Contract Coordinator Tel: (208) 388-2614 rallphinÚÙidabopwercom Sweeney Ranch Wind Park I c/o Peter Richardson 515 North 2ih Street P.O. Box 7218 Boise, ID 83702 Ongil: U SMail E-mail copy:Peter~richardsonandolear.com RE: Letter of Understanding Sweeney Ranch Wind Park I - Proposed Wind Generation Project Mr. Richardson, Summarized below is a bnef outline of the purchase power agreement, interconnection process and transmission capacity requirements for your proposed generation projec. Purchase Power Agreement The project you have descnbed appears to be eligible for a purchase power agreement under the guidelines for a Qualifying Facilty as defined by the Public Utilties Regulatory Policies Act of 1978 (PURPA). At the time you are ready to proceed with a purchase power agreement for this project, Idaho Power wil preare a purchase power agreement that complies with the currnt rules and regulations that govern these PUR A agreements, any draft purchase power agrments previously provided to you for review must be updated to include currt rules and regulations. POBox 70 Boise. Idaho 83707 1221 W Idaho St. Boise Idaho 83702 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 50f74 Prior to Idaho Power executing a purchase power agreement it wil be required that you have: 1.) Provided documentation that substantiates that the project has fied for interconnection with the host utility and is in compliance with any payments and/or other requirements specified in the interconnection process for this project and; 2.) Received and accepted an interconnection feasibility study for this project and; 3,) Acquired or provide evidence that finn transmission capacity is available from all transmission providers required to move the energy from your projects point of interconnection to an acceptable poilit of delivery on the Idaho Power electrical system. 4,) Returned a signed copy of this letter of understanding and all of the required information to enable Idaho Power to fie an application requesting transmission capacity on the Idaho Power transmission system for this project. Completion of the enclosed Transmission Capacity Application Questionnaire wil provide the majority of this infonnation and; 5.) Confimiation that the results of the initial Idao Power transmission capacity application are known and the project accepts these results and intends to continue with the development of the project including. if applicable, execution of a Network Resource Integration Study Agreement in the form enclosed herein. Note: As your project appears to not be located in the Idaho Power service territory and in addition wil not be physically connected to the Idaho Power electrical system, the interconnection otthis project must comply with the host utility's interconnection process, the project must secure firm transmission capacity for the full nameplate rating of the project for the full tenn of the purchase power agreement tì'om all required transmission providers and also the project shall be responsible for all transmission costs on the Idaho Power electrical system to move the project's energy from the specified point of delivery to Idaho Power customer loads. Interconnection and Transmission Capacity Your project wil be responsible tor all costs of physically interconnecting the project to the host utilty electrical system, acquiring firm transmission capacity on all transmission providers electrical systems and any Idaho Power electrical system costs associated with acquiring adequate firm transmission capacity on the Idaho Power transmission system to enable the project's energy to be delivered to Idaho Power customers, Pagel of 5 POBox 70 Boise, Idaho 83707 1221 W Idaho St. Boise, Idaho il3702 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 6 of 74 Interconnection Your project wil be required to complete the interconnection process and execute a Generation Interconnection Agreement ("GIN') with the host utility. Transmission Capacity To sell your project's energy to fdao Power, your project must be designated as a Network Resource ("DNR"). In order for this project to achieve DNR status - The project must secur firm transmission capacity for the full nameplate capacity of the project for a period of time not less than the term of any purchase agreement with Idaho Power from all transmission providers between the project's point of interconnection and the designated point of delivery on the Idaho Power electrical system. In addition - Idaho Power is required to make a transmission request (complete and fie an application) and be granted finn transmission capacity from the Idao Power delivery business unit ("Delivery") to move your project's energy from the designated point of delivery on the Idaho Power electrical system to Idaho Power custoiners. In accordance with various rules and regulations, the project must be granted DNR status no later than 60 days prior to the project delivering any energy to Idaho Power. Idaho Power wil begin this firm transmission capacity application process (transmission capacíty on thc Idaho Power electrical system) only after the project has returned a signcd copy of this letter of understanding, evidence of the interconnection status, evidence of the required transmission agreements and all of the information required for Idaho Power to me tlús application (see attached Transmission Capacity Application Questionnaire). After fiing a complete flrin transmission capacity application with Delivery, Idaho Power will receive notitïcatìon back from Delivery within 30 days that: (a) adequate transmission capacity is available for this project without the need to construct upgrades; or (b) a transmission capacity system impact study is required to determine the available transmission capacity and/or required upgrades; or (c) a statement of the required transmission up¡,rrades and the associated costs. Idaho Power wil notify the project of this response to the transmission capacity application in a timely manner after the response is received from Delivery. If the response from Delivery is as specified in item (a) (transmission capacity is available), the project will be required to execute a ¡mrchase power agreement with Idaho Power within 30 days in order to retain this transmission capacity reservation. If the response from Delivery is as specified in items (b) or (c) (studies required and/or upgrades required), the project wil be required to execute a Network Resource Integration Study Agreement (sample copy attached for your intòrinatíon) and submit all Page 3 ot5 POBox 70 Boise. Id,iho 83707 122\ W Idaho St. 8()ise, Idaho 83702 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-2 Allphin Affdavit, IPC Page 7 of 74 required deposits or fees wit1n 15 days after reeiving notification of this requirement in order for Idaho Power to continue the trnsmission capacity request. This Network Resource Integration Study Agreement wil speify that the project wil be responsible for costs incurred by Idaho Power to perform any require studies. If, after the studies are concluded the project wishes to continue the pursuit of transmission capacity, the project wil also be responsible for all transmission system upgrade costs identified within the studies. The fees and costs wil be in the form of both initial deposits as well as actual costs. If at any time after executing the Netork Resource Integration Study Agreement the project does not pay any required fees. or elects to stop the transmission study or upgmde process, the project shall be responsible for all costs incurred by Idaho Power in performing the studies or upgrades up to the point of termination of the Network Resource Integration Study Agreement. Upon successful completion of the above described transmission capacity upgrade process, a transmission capacity reservation on the Idaho Power electrical system wil exist tor this project. However, in order to finalize this transmission capacity reservation, a purchase power agreement with Idaho Power must be executed no later than 30 days after the transmission capacity upgrades are completed, If the purchase power agreement is not executed by this deadline, the transmission capacity reseration wil be released and this process will have to be repeated if the project later requests transmission capacity. As noted earlier, this transmission capacity acquisition and associated Network Resource designation must be completed, at the minimum, 60 days prior to the project delivering any energy to Idaho Power. In addition, the project must provide routine updates to Idaho Power of the expected online date of the generation project to ensure Idaho Power is capable of accepting the energy from the project on the actual date the project comes online. Please return all required information to: Idaho Power Company Attn: Randy C. Allphin POBox 70 Boise, lD 83707 E-mail: rallphin(cyidahopower.com P~gê4 otS POBox. 70 Boise, Idaho 83707 1221 W IdaJio St. Boise, r.\¡iho 83702 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-1Q-62 Allphin Affdavit, IPC Page 8 of 74 Sincerely, a,,~. Randy C Allphin Idaho Power Company ,2010Understood and accepted this _ day of Signature Print Name Title P 0 Bo" 70 Boise, Idaho 83707 1221 W Idaho St. Boise, Idaho 83702 Attachment No.8 Case Nos.IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 9 of 74 ~IDA~POR~ An IOACOliP company November 1,2010 Randy C. Allphin Sr. Energy Contract Coordinator Tel: (208) 388.2614 rallphintáidahopower.com Sweeney Ranch Wind Park II c/o Peter Richardson 515 North 27th Stree P.O. Box 7218 Boise, ID 83702 Original: U SMail E-mail copy:Peterrichardsonandoleary.com RE: Letter of Understanding Sweeney Ranch Wind Park II - Proposed Wind Generation Project Mr. Richardson, Summarized below is a brief outline of the purchase power agreement, interconnection process and transmission capacity requirments for your proposed generation project. Purchase Power Agreement The project you have described appears to be eligible for a purchase power agreement under the guidelines for a Qualifying Facility as defined by the Public Utilties Regulatory Policies Act of i 978 (PURP A). At the time you are ready to proceed with a purchase power agreement for this projec, Idaho Power wil prepare a purchase power agrement that complies with the current rules and regulations that govern these PUR A agreements, any draft purchase power agreements previously provided to you for review must be updated to include currnt rules and regulations. POBox 70 Boise, Idaho 83707 1221 W Idaho St. Boise Idaho 83702 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 10 of 74 Prior to Idaho Power executing a purchase power agreement it wil be required that you have: 1.) Provided documentation that substantiates that the project has fied for interconnection with the host utilty and is in compliance with any payments and/or other requirements specified in the interconnection process for this project and; 2.) Received and accepted an interconnection feasibility study for this project and; 3.) Acquired or provide evidence that finn transmission capacity is available from all transmission providers required to move the energy from your projects point of interconnection to an acceptable point of delivery on the Idaho Power electrical system. 4.) Returned a signed copy of this letter of understanding and all of the required informatioii to enable Idaho Power to tile an application requesting transmission capacity on the Idaho Power transmission system for this project. Completion of the enclosed Transmìssion Capacity Application Questionnaire wil provide the majority of this information and; 5.) Confinnation that the results of the initial Idaho Power transmission capacity application are known and the project accepts these results and intends to continue with the development of the project including, if applicable, execution of a Network Resource Integration Study Agreement in the fonn enclosed herein. Note: As your project appears to not be located in the Idaho Power service territory and in addition wí1 not be physically connected to the Idaho Power electrical system, the interconnection of this project must comply with the host utility's interconnection process, the project must secure finn transmission capacity for the full nameplate rating of the project for the full ten of the purchase power agreement from all required transmission providers and also the project shall be responsible for all trasmission costs on the Idaho Power electrical system to move the project's energy from the specified point of delivery to Idaho Power customer loads. Interconnection and Transmission Capacity Your project will be responsible for all costs of physically interconnecting the project to the host utilty electrical system, acquiring finn transmission capacity on all transmission providers electrical systems and any Idaho Power electrical system costs associated with acquiring adequate firm transmission capacity on the Idaho Power transmission system to enable the project's energy to be delivered to Idaho Power customers. Page ot's POBox 70 Boise, Idaho 83707 122! W Idaho St. Boise, Idaho 83702 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 11 of 74 Interconnection Your project wíl be required to complete the interconnection process and execute a Generation Intercoriection Agreement ("GIA") with the host utilty. Transmission Capacity To sell your project's energy to Idaho Power, your project must be designated as a Nctwork Resource ("DNR"). In order for this project to achieve DNR status - The project must secure firm transmission capacity for the full nameplate capacity of the project for a period of time not less than the term of any purchase agreement with Idaho Power from all transmission providers between the project's point of interconnection and the designated point of delivery on the Idaho Power electrical system. In addition - Idaho Power is required to make a transmission request (complete and fie an applícation) and be granted firm transmission capacity from the Idaho Power delivery business unit ("Delivery") to move your project's energy from the designated point of delivery on the Idaho Power electrical system to Idaho Power customers. In accordance with various rules and regulations, the project must be granted DNR status no later than 60 days prior to the project delivering any energy to Idaho Power. Idaho Power wil begin this firm transmission capacity application process (transmission capacity on the Idaho Power electrical system) only after the project has returned a signed copy of this letter of understanding, evidence of the interconnection status, evidence of the required transmission agreements and all of the information required for Idaho Power to fie this application (see attached Transmission Capacity Application Questionnaire). After fiing a complete firm transmission capacity application with Delivery, Idaho Power will receive notification back from Delivery within 30 days that: (a) adequate transmission capacity is available for this project without the need to construct upgrades; or (b) a traítsmission capacity system impact study is required to determine the available transmission capacity and/or required upgrades; or (c) a statement of the required transmission upgrades and the associated costs. Idaho Power wil notify the project of this response to the transmission capacity application in a timely manner after thc response is received from Delivery. If the response from Delivery is as specifed in item (a) (transmission capacity is available), the project wil be required to execute a purchase power agreement with Idaho Power within 30 days in order to retain this transmission capacity reservation. If the response from Delivery is as specified in items (b) or (c) (studies required amVor upgrades required), the project wil be required to execute a Network Resource Integratíon Study Agreement (sample copy attached for your information) and submit all Pftge 3 of 5 POBox 70 Boise, Idaho 83707 1221 W IdahoSt. Boise, ¡daho83702 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 12 of 74 required deposits or fees within 15 days after receiving notification of this requirement in order for Idaho Power to continue the transmission capacity request. This Network Resource Integration Study Agreement wil specify that the project will be responsible for costs incurrd by Idaho Power to perfonn any required studies. It: aftr the studies are concluded the project wishes to continue the pursuit of transmission capacity, the project wíl also be responsible for all transmission system upgrade costs identified within the studies, The fees and costs wil be in the form of both initial deposits as well as actual costs. If at any time after executing the Network Resource Integration Study Agreement the project does not pay any required fees, or elects to stop the transmission study or upgrade process, the project shall be l'esponsible for all costs incurred by Idaho Power in performing the studies or upgrdes up to the point of terination of the Network Resource Integration Study Agreement. Upon successful completion of the above described transmission capacity upgrade process, a transmission capacity reservation on the Idaho Power electrical system wil exist tor this project. However, in order to finalize this transmission capacity reservation, a purchase power agrement with Idaho Power must be executed no later than 30 days after the transmission capacity upgrades are completed. If the purchase power agreement is not executed by this deadline, the transmission capacity reservtion will be released and this process wil have to be repeated if the project later requests transmission capacity. As noted earlier, this transmission capacity acquisition and associated Network Resource designation must be completed, at the minimum, 60 days prior to the project delivering any energy to Idaho Power. In addition, the project must provide routine updates to Idaho Power of the expected online date of the generation project to ensure Idaho Power is capable of accepting the energy from the project on the actual date the project comes online. Please return all required information to: Idaho Power Company Attn: Randy C. Allphin POBox 70 Boise, ID 83707 E-mail: rallphin(?idahopower.com " !Jage4 of5 POBox 70 Boise, Idaho 83707 1221 W Idaho St. Boise, Idaho 83702 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 13 of 74 Understood and accepted this _ day Signature Print Name Title Sincerely, Ap.#' Rady C Allphin Idaho Power Company 2010 POBox 70 Boise, Idaho 83707 1221 W Idaho St. Boise, Idaho 83702 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 14 of 74 NETWORK RESOURCE INTEGRATION STUDY AGREEMENT THIS Agreement is made and entered into this _ day of 20_ between Idaho Power Company ("Idaho Powet' or "Company") through its Power Supply business unit ("Power Supply") and ("Developer'). Power Supply and Developer may hereinafter be referred to individually as "Party" or collectively as "Parties." RECITALS: A. Developer has advised Power Supply that it intends to develop a generating facilty that would meet the criteria for a Qualifying Facilty (OIQP') as that term is defined in the Public Utilty Regulatory Policies Act of 1978. Developer desires to sell the energy to be generated by the OF to Idaho- Power as a non-interruptible designated network resource ("DNR"). B. In order for the OF to be classified as a DNR and for Idaho Power to purchase the energy to be generated by the OF on a firm basis, a network resource integration system impact study ("SIS") must be performed by Idaho Power's delivery business unit ("Delivery"). The SIS wil identify the need and associated costs for Delivery to install facilties, including "upgrades" (as that term is defined in Idaho Power Company's Schedule 72), to allow the OF to operate as a DNR and deliver firm energy to the Company's load centers. The Federal Energy Regulatory Commission's rules require that Power Supply make the request to Delivery to perform the SIS. Delivery wil bil Power Supply for the costs incurred to perform the SiS. NETORK RESOURCE INTEGRATION STUDY AGREEMENT - 1 Attchment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 15 of74 AGREEMENTS: 1. Developer hereby requests that Power Supply initiate the process for Delivery to conduct a SiS for determining the cost of the OF's becoming a DNR for the Company. Developer agrees to pay all charges associated with any analyses that Delivery determines are reasonably necessary to evaluate the impact of the OF on Idaho Power's transmission system. 2. In order for Power Supply to initiate ä SiS, Developer must submit the estimated SiS cost of within fourteen (1'4~ days of the date of this Agreement. This amount is based on Delivery's estimate of the actual cost of performing the SiS, including appropriate loadingånd administrative and general overheads. Should the scope of the SiS be changed: by Developer or further study be necessitated due to reasons beyond the control of Delivèry, Power Supply wil advise Developer of the revised charges, if any. 3. Upon receipt of this Agreemént~ executed by Developer, payment of the amount specifed in paragraph 2, and all information required to enable Power Supply to complete the necessary request, Power Supply wil submit the necessary request and documentation to Delivery to commence the SiS. Subject to Developer's providing requested information and making any requested supplemental payments in a timely manner, Delivery will perform the SiS with due diligence. Power Supply wil respond to Developer's reasonable requests for information regarding an estimated completion date for the SiS and, if necessary, with an explanation of why additional time is required to complete the SiS. NETWORK RESOURCE INTEGRATION STUDY AGREEMENT. 2 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 16 of 74 4. FolloWing eompletiol'of the SiS, a copy of the completed SiS shall be provided to Developer. Power Supply and Developer shall then reconolle the payments made for the SiS and "tre-up" any over or under payments rte by Developer. The total charge to Developer for the SiS wil not exceed the acual cost of the SiS as bille by Delivery to Power Supply. IN WITNESS WHEREOF, the PartIes have caused this Agreement to be executed effective on the flrst day wren above. -IDAHO POWEïfCOMPANY By: Title: DEVELOPER By: Title: NETWORK RESOURCE INTEGRATION STUDY AGREEMENT - ;3 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-2 Allphin Affdavit, IPC Page 17 of 74 611. M IDA C6m¡V Transmission Capacit Application Questionnaire This list is the known information requirements as of the date of the letter transmiting this request. ff additonal information is required, Idaho Power will promptly notffy the project developer of the additionsllnforation reuirements. A. Project Name B. Project Location C. Project Developer Name Address City I State I Zip Phone Number E-mail D. Host utiity Interconnection "QueD reference number (if not known. please contact the host utility Interconnection group) E. Evidence of the Project's good standing status in the host utilty Interconnection Process F. Copy of the host utilty Interconnection feasibility study and a statement from the project that the project has accepted the results of the interconnection feasibilty study and is continuing the process of interconnecting and developing the generation project. G. Maximum Capacity (MW) Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 18 of 74 H. Beginning day and time of energy deliveries Oay (mm/ddlyy) I. Ending day and time of energy deliveries Day (mmfddJyyyy) 'lliè J. VAR capabìlty(both leading ând iagging) ofalf generators K. li:enfificaool1 of the contrl aræ(s) from which the energy wilorigtnate L. Listahy periods of restricted operations throughout the year M. Maintenance schedule N. Minimum loading level of each generation unit O. Normal operating level of eaGh generation unìt P. Any must.run generation unit designations reuired for sysem ,reUabilty or contractual reason Pegc2 \.l3 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 19 of 74 Q. Approximate variable generation cost ($/MWh) Not - this wil bf estimated energy pricing from a potentlaf purchase power agrement that this project may bf eligible for. R. If the generation resource is to be located in the Idaho Power Balancing Authority Area and if only a portion of the resource output Is to be designated as a Network Resource, then explain arrangements governing sale and delivery of additional output to third parties. S. If the project is not directly interconnected to the Idaho Power transmission system, provide the transmission provider(s) name, Point of Receipt, Point of Delivery and the transmission reservation number for all of the transmission providers required to deliver the project's energy to Idaho Power. Transmission Provlder(s) Name Point of Receipt Point of Transmission Reservation Number(s) T, If the project is directly interconnected to the Idaho Power transmission system, provide the Point of Receipt, physical location and voltage. Point of Receipt__ Physical Voltage U. Is the project committed to execute a purchase power agreement wih Idaho Power upon a favorable resolution of the identified interconnection and transmission costs? Yes 0 No 0 V. Is any portion of the maximum capacity identified for this project committed to any other part? Yes 0 No 0 Signature Date PBlçloO Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 20 of 74 Arcle I 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 11 18 19 20 21 22 23 24 25 26 27 28 29 Draft: For Discussion Purposes Only FIR ENRGY SALES AGREEMENT BETW IDAHO POWE COMPAN AN TABLE OF CONT TITLE Detiøns No Relîaceon Idao Power Wares Conditi to Accta of En Ter and uption Date Puhas and Sale orNet Ener Puhas Prce and.Metod øf Payment Envionmental Attbutes TräStssion Agrent Recrd Opons ReliåbilityManageent Sys Indeinification and Ince ForeMaj~ Liability; Decation Sevl Obligations Waier Choice of Laws and Venue DiSputesand Default Oovenental AuthoritiQU Comisson Order Succes$(t' and Asigns Modifieaon Taxes Notice Additional Tem and Conditions Severbilty COunters EïtitAgrent Signatu Appdix A AppendixB AppendiC Appdi 0 AppdixE o Dn: For Dùaidn PwIU Only 10/2812010 Attachment No. 8 Case Nos. IPC-E-1D-1 & IPC-E-1Q-62 Allphin Affdavit, IPC Page 21 of74 Draft: For Discussion Purposes FIR ENERGY SALES AGREEMENT (10 aMW or Less) Project Name: Projec Number: THIS AGREEMENT, ented into on this _ day of 2010 between , an (Seller), and IDAHO POWER COMPAN, an Idaho corporation (Idao Power), hereinafter sometimes refered to collectively as "Partes" or individually as "Pary." WITSSETH: WHERES, Seller will design, constnct own, matain and opete an electrc generation facilty; and WHEREAS, Seller wishes to sell, and Idaho Power is willig to purchase, firm electrc energy produced by the Seller's Facilty. THEREFORE, hi consideration of the mutual covenants and agreements hereinafter set fort, the Paries agree as follows: ARTICLE I: DEFINITIONS As used in ths Agreement and the appendices attached hereto, the following terms shall have the following meanings: 1. "Availability Shortall Price" - The curent month's Mid-Columbia Market Energy Cost minus the cuent month' s All Hour Energy Prce specified in pargraph 7.3 of this Agreement. If this calculation results in a value less than 15.00 Milslwh the result shall be 15.00 Millslwh. 1 Draft: For Dj§cussion 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 22 of 74 Draft: For Discussion Purposes Only 1.2 "Business Days" - means any calendar day that is not a Saturday, a Sunday, or a NERC recognized holiday. 1.3 "Calculated Net Energy Amount" - A monthly estimate, prepared and documented after the fact by Seller, reviewed and accepted by the Buyer that is the calculated monthly maximum energy deliveries (measured in Kwh) for each individual wind tubine, totaled for the Facility to deterine the total energy that the Facilty could have delivered to the Trasmitting Entity for delivery to Idaho Power durng that month based upon: (1) each wind turbines Nameplate Capacity, (2) Suffcient Prme Mover available for use by each wind turbine durg the month, (3) incidents of Force Majeure, (4) scheduled maintenance, or (5) incidents of Forced Outages and less Losses and Station Use. If the duration of an event charactered as item 3, 4 or 5 above (measured on each individual occurence and individual wind turbine) lasts for less tha 15 minutes, then the event wil not be considerd in this calculation. The Seller shall collect and maintain actual data to support this calculation and shall keep this data for a miimum of 3 years. 1.4 "Commission" - The Idaho Public Utilities Coimnission. 1.5 "Contrct Yeat' - The peod commencing each calendar yea on the same calendar date as the Operation Date and ending 364 days thereafter. 1.6 "Delay Liquidated Damages" - Damges payable to Idaho Power as calculated in paragraph 5.3, 5.4, 5.5 and 5.6. 1.7 "Delay Period" - All days past the Scheduled Operation Date until the Seller's Facilty achieves the Operation Date. 1.8 "Delay Price" - The currnt month's Mid-Columbia Market Energy Cost minus the current month's All Hours Energy Price specified in paragrph 7.3 of this Agreement. If this calculation results in a value less than 0, the result of this calculation will be O. 1.9 "Designated Dispatch Facilty" - Idaho Power's Systems Operations Group, or any subsequent group designated by Idaho Power. 2 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 23 of 74 Draft: For DiscussioiiPurposcs Only 1.10 "Effective Date" - The date stated in the opening paragrph of this Finn Energy Sales Agreement representing the date upon which th Firm Energy Sales Agreement was fully executed by both Partes. i .11 "Facility" - That electric generation facility described in Appendix B of this Agreement. i .12 "First Energy Date" - The day commencing at 00:01 hours, Mountain Time, following the day that Seller has satisfied the requirements of Arcle N and the Seller begins deliverng energy to Idaho Power's system at the Point of Delivery. 1.13 "Forced Outage" - a parial or total reduction of a) the Facility's capacity to produce and/or deliver Net Energy to the Point of Delivery, orb) Idaho Power's ability to accept Net Energy at the Point of Delivery for non-economic reasons, as a result ofIdaho Power or Facility: 1) equipment failure which was not the result of negligence or lack of preventative maintenance or 2) responding to a transmiion provider curailment order or 3) unplaned preventative maintenance to repair equipment that left unepaired, would result in failure of equipment prior to the planed maintenance perod 4) planned maintenance or constrction of the Facility or electrical lines required to sere this Facilty. The Parties shall make commercially reasonable efforts to perform this unplanned preventative maintenance during perods of low wind availabilty. 1.14 "Heavy Load Hours" - The daily hours beginning at 7:00 am, ending at 11 :00 pm Mountain Time, (16 hours) excluding all hour on all Sundays, New Year Day, Memorial Day, Independence Day, Labor Day, Thankgiving and Chrstmas. 1.15 "Idaho Power Electrcal System Control Area" or "Control Area" - The geographical area of integrted transmission and generation controlled by Idaho Power for which Idaho Power is responsible for scheduling interchanges with other control ars and balancing supply and demand within the area. The Control Area may include physical locations and/or electrcal systems not served or owned by Idaho Power, but which are dependent upon Idaho Power's operation of its generation and transmission to balance supply and demand, 3 Draft: For Discussionlurposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 24 of 74 Draft: For Discussion Purposes Only 1.16 "Inadvertent Energy" - Electrc energy Seller does not intend to generate. Indvertent energy is more particularly described in paragraph 7.5 of this Agreement. 1.17 "Initial Capacity Deterination" - The process by which Idaho Power confinn that under normal or average design conditions the Facility will generte at no more than 10 average MW per month and is therefore eligible to be paid the published rates in accordance with Commission Order No. 29632. 1. i 8 "Light Load Hours" - The daily hours beginning at 1 i :00 pm, ending at 7:00 am Mountain Time (8 hour), plus all other hours on all Sundays, New Years Day, Memorial Day, Indepndence Day, Labor Day, Thasgivig and Chstmas. 1.19 "Losses" - The loss of electrcal energy expressed in kilowatt hour (kWh) occurng as a result of the transformation and trsmission of energy between the point where the Facilty's energy is metered and the point the Facility's energy is delivered to the Idaho Power electrcal system by the Transmitting Entity. The loss calculation formula will be as spcified in Appendix B of this Agreement. 1.20 "Market Energy Reference Price" - Eighty-five percent (85%) of the Mid-Columbia Market Energy Cost. 1.21 "Materal Breach" - A Default (paragraph 19.2.1) subject to paragraph 19.2.2. 1.22 "Maximum Capacity Amount" - The maximum capacity (MW) of the Facilty wil be as specified in Appendix B of this Agreement. 1.23 "Mechanical Availability" - The percentage amount calculated by Seller with 5 days after the end of each month of the Facility's monthly actl Net Energy divided by the Facility's Calculated Net Energy Amount for the applicable month. Any daages due as a result of the Seller falling short of the Mechancal Availability Guantee for each month shall be deterined in accordance with paragraph 6.4.4. 1.24 "Mechanical Avalability Guarantee" shall be as defined in pargraph 6.4 4 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 25 of 74 Draft: For Discussion Purposes Only 1.25 "Mid- Columbia Market Energy Cost" - The monthly weighte averge of the daily on-peak and off-peak Dow Jones Mid-Columbia Index (Dow Jones Mid-C Index) prices for non-firm energy. If the Dow Jones Mid-Columbia Index price is discontinued by the reporting agency, both Parties will mutually agree upon a replacement index, which is sIiilar to the Dow Jones Mid- Columbia Index. The selected replacement index will be consistent with other sIiilar agreements and a commonly used index by the electrical industr. 1.26 "Nameplate Capacity" -The full-load electrcal quantities assigned by the designer to a generator and its prime mover or other piece of electrical equipment, such as transformers and circuit breakers, under standardized conditions, expressed in amperes, kilovolt-ampeers, kilowatts, volts or other appropriate units. Usually indicated on a nameplate attached to the individual machine or device. 1.27 "Net Energy" - All of the electrc energy produced by the Facility, less Station Use and Losses, expressed in kilowatt hours (kWh), which the Transmitting Entity delivers to Idaho Power on the Seller's behalf, that is less than or equal to the Nameplate Capacity. Seller commits to deliver all energy produced by the Facility, less Station Use, and Losses, to the Transmitting Entity for delivery by the Transmitting Entity to Idaho Power at the Point of Deliver for the full term of the Agreement. Net Energy does not include Inadvertent Energy. 1.28 "Operation Date" - The day commencing at 00:0 i hours, Mountain Time, following the day that all requirements of paragraph 5.2 have been completed. 1.29 "Point of Delivery" - The location specified in Appndix B, where the Transmitting Entity delivers the Facilty's Net Energy and Inadvertent Energy to the Idaho Power electrcal system. 1.30 "Prudent Electrical Practices" - Those practices, methods and equipment that are commonly and ordinarly used in electrcal engineerng and operations to operate electrc equipment lawfully, safely, dependably, efficiently and economically. 1 .31 "Scheduled Opration Date" - The date specified in Appendix B when Seller anticipates achieving the Operation Date. It is expected that the Scheduled Operation Date provided by the 5 Draft: For Discussion Purposes 10/28/2010 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 26 of 74 Draft: For Discussion Purposes Only Seller shall be a reaonable estimate of the date that the Seller anticipates that the Seller's Facility shall achieve the Operation Date. 1.2 "Season" - The three periods identified in paragraph 6.2.1 ofthis Agreement. 1.33 "Station Use" Electrc energy that is used to opeate equipment that is auxiliary or otherse related to the production of electricity by the Facility. As this Facility is not located in the Idaho Power servce tertory, Idaho Power has no responsibility or ablity to provide Station Use to this Facility. 1.34 "Suffcient Prime Mover" means wind speed that is (1) equal to or greater than the generation unit's manufacturer-specified minimum levels required for the generation unt to produce energy and (2) equal to or less than the generation unit's manufacturer-specified maximum levels at which thè generation unit can safely produce energy. 1.35 "Surplus Energy" - All Net Energy produced by the Seller's Facility and delivered by the Transmitting Entity on the Seller's behalf to the Idao Power electrcal system prior to the Operation Date. 1.36 "Total Cost of the Facility" - The total cost of strctures, equipment and appurenances. 1.37 "Transmitting Entity" - The signatorys) (other than the Seller) to the Transmission Agreement referred to in paragraph 9.1 and its successors and assign. 1.38 "Wind Energy Production Forecast" - A forecast of energy deliveres from this Facilty provided by an Idaho Power administerd wind forecasting modeL. The Facility shall be responsible for an allocated portion of the total costs of the forecasting model as specified in Appendix E. ARTICLE U: NO RELIANCE ON IDAHO POWER 2.1 Seller Independent Investigation - Seller warrants and reresents to Idaho Power tht in enterg into this Agrement and the undertakng by Seller of the obligations set fort herein, Seller has investigated and determined that it is capable of perfonning hereunder and has not relied upon the advice, experence or experise of Idaho Power in connection with the tranactions contemplated by this Agrement. 6 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 27 of 74 Draft: For Discussion Purposes Only 2.2 Seller Independent Expert - All professionals or expes including, but not limited to, cngineers, attorneys or accountants, that Seller may have consulted or relied on in undertakng the transactions contemplated by this Agreement havc been solely those of Seller. ARTICLE II: WARTIES 3.1 No Waranty by Idaho Power - Any review, acceptance or failure to review Seller's design, specifications, equipment or facilities shall not be an endorsement or a confiration by Idaho Powcr and Idaho Power makes no warranties, exprcssed or implied, regarding any aspect of Seller's design, specfications, equipment or facilities, including, but not limited to, safety, durability, reliability, strengt, capacity, adequacy or economic feasibility. 3.2 Qualifying Facility Status - Seller warants that the Facilty is a "Qualifyng Facility," as that ter is used and defined in 18 CFR 292.201 et seq. After initial quaification, Seller will tae such steps as may be required to maintain the Facility's Qualifying Facilty status durng the ter of this Agreement and Seller's failure to maintain Qualifying Facility status wil be a Materal Breach of this Agreement. Idaho Power reseres the right to review the Facility's Qualifyng Facilty status and associated suppor and compliance documents at anytime during the ter of this Agreement. ARTICLE IV: CONDITIONS TO ACCEPTANCE OF ENERGY 4.1 Prior to the First Energy Date and as a condition of Idaho Power's acceptance of deliveries of energy from the Seller under this Agreement, Seller shall: 4.1. i Submit proof to Idaho Power that all licenses, pennits or approvals necessar for Seller's operations have been obtained from applicable federal, state or local authorities, including, but not limited to, evidence of compliance with Subpart B, 18 CFR 292.201 et seq. as a certified Quaifying Facility. 4.1.2 Opinion of Counsel - Submit to Idaho Power ar Opinion Letter signed by an attorney admitted to practice and in good standing in the State of Idaho providing an opinion that 7 Draft: 1"01' Discussion 10/2812010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 28 of 74 Draft: For Discussion Purposes Only Seller's licenses, penits and approvals as set forth in paragraph 4.1.1 above are legally and validly issue, are held in the name of the Seller and, based on a reasonable independent review, counsel is of the opinion that Seller is in substantia compliance with said permits as of the date of the Opinion Letter. The Opinion Letter wil be in a for acceptable to Idaho Power and will acknowledge that the attorey renderng the opinion understands that Idaho Power is relying on said opinion. Idaho Power's acceptance of the form will not be unreasonably withheld. The Opinion Letter will be governed by and shall be interpreted in accordance with the legal opinion accord of the American Bar Association Section of Business Law (1991). 4.1.3 Initial Capacity Deteiination - Submit to Idaho Power such data as Idaho Power may reasonably require to perorm the Initial Capacity Detenination. Such data will include but not be limited to, Nameplate Capacity, equipment spcifications, pnme mover data, resource chacterstics, normal and/or average operating design conditions and Station Use data. Upon receipt of this informtion, Idao Power wil revew the provided data and if necessar, request additional data to complete the Initial Capacity Determination withi a reasonable time. 4.1..1 If the Maxmum Capacity speified in Appendix B of this Agreement and the cumulative manufactue Nameplate Capacity rating of the individual generation units at this Facilty is less than 10 MW. The Seller shall submit detailed, manufactuer, venfiable data of the Nameplate Capacity ratings of the actual individual generation units to be installed at ths Facilty. Upon venfication by Idaho Power that the data provided establishes the combined Nameplate Capacity rating of the genertion unts to be installed at this Facilty is less than 10 MW, it wil be deemed that the Seller has satisfied the Initial Capacity Deteiination for this Facility. 8 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 29 of74 Draft: For Discussion Purposes Only 4.1.4 Nameplate Capacity - Submt to Idao Power manufacture's and engineerig documentation that establishes the Nameplate Capacity of each individual generation unt that is included within ths entire Facilty. Upon reeipt of this data, Idao Power shall review the provided data and detenine if the Nameplate Capacity specified is reasonable based upon the manufactuer's specifed generation ratings for the specific generation units. 4.1. Enginee's Cerifications - Submit an executed Engineets Cerfication of Design & Constrction Adequacy and an Engineets Cerfication of Opeations and Maintenance (O&M) Policy as described in Commission Orde No. 21690. These cerficates will be in the form specified in Appendix C but may be modified to the extent necessar to recognize the different engineerg disciplines providing the cerficates. 4.1.6 Insurance - Submit wrtten proof to Idaho Power of all insurance required in Arcle XII. 4.1.7 Transmission Agreement - Provide Idaho Power with a copy of (l) the Trasmission Agreement executed by the Seller and the Transmittng Entity in a form acceptable to Idaho Power and (2) confirmation that the Idaho Power deliver business unit has agreed to accept the Net Energy deliveres at the Point of Deliver in an amount up to the Maximum Capacity Amount. Idaho Power's acceptance will not be uneasonably withheld. 4.1.8 Network Resource Designation - The Seller's Facilty has been designated as an Idaho Power network resource capable of delivering firm energy up to the amount of the Maximum Capacity at the Point of Delivery. 4.1.9 Written Acceptance - Request and obtain wrtten confirmation from Idaho Power that all conditions to acceptance of energy have been fullled. Such wrtten confirmation shall be provided within a commercially reasonable time following the Seller's reuest and will not be unrasonably witheld by Idaho Power. 9 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 30 of 74 Draft: For Discussion Purposes Only ARTICLE V: TERM AND OPERATION DATE 5.1 Ter - Subject to the provisions of paragraph 5.2 below, this Agreement shal become effective on the date first wrtten and shall continue in full force and effect for a perod of (not to exceed 20 years) Contract Years from the Operation Date. 5.2 Opertion Date - The Operation Date may occur only after the Facility has achieved all of the following: a) Achieved the First Energy Date. b) Commission approval of this Agreement in a form acceptable to Idaho Power has been received. c) Seller has demonstrated to Idaho Power's satisfaction that the Facility is complete and able to provide energy in a consistent, reliable and safe maer. d) Seller has requested an Opeation Date from Idaho Power in a wrtten forat. e) Seller has received wrtten confinnation from Idaho Power of the Operation Date. This confinnation will not be unreasonably withheld by Idaho Power. 5.3 Operation Date Delay - Seller shall cause the Facilty to achieve the Operation Date on or before the Scheduled Operation Date. Delays in the interonnection and transmission network upgrade study, design and constrction process by any par (i.e. Seller, Idaho Power, host utility, Transmittng Entity(s), etc) tht m. Force Majeure events accepted by both Partes, shall not prevent Delay Liquidated Damages from being due and owing as calculated in accordace with this Agreement. 5.3.1 If the Operation Date occu afer the Scheduled Operation Date but on or pror to 90 days following the Scheduled Operation Date, Seller shall pay Idaho Power Delay Liquidated Damages calculated at the end of each calenda month after the Scheduled Operation Date as follows: Delay Liquidated Damages are equal to ((Cunt month's Initial Year Net Energy Amount as specified in paragraph 6.2.1 divided by the number of days in 10 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 31 of74 Draft: For Discussion Purposes the current month) multiplied by the number of days in the Delay Period in the curent month) multiplied by the curent month's Delay Price. 5.3.2 If the Opration Date does not occ within ninety (90) days following the Scheduled Operation Date the Seller shall pay Idaho Power Delay Liquidated Damages, in addition to those provided in paragraph 5.3.1, calculated as follows: Forty five dollar ($45) multiplied by the Maximum Capacity with the Maximum Capacity being measured in kW. 5.4 If Seller fails to achieve the Operation Date within ninety (90) days following the Scheduled Operation Date, such failure will be a Materal Breach and Idaho Power may terinate this Agreement at any time until the Seller cures the Material Breach. Additional Delay Liquidated Damages beyond those calculated in 5.3.1 and 5.3.2 wil be calculated and payable using the Delay Liquidated Damage calculation described in 5.3.1 above for all days exceeding 90 days past the Scheduled Operation Date until such time as the Seller cures ths Materal Breach or Idaho Power terinates this Agreement. 5.5 Seller shall pay Idaho Power any calculated Delay Damages or Delay Liquidated Damages withn 7 days of when Idaho Power calculates and presents any Delay Damages or Delay Liquidated Damages bilings to the Seller. Seller's failure to pay these damages within the specified time wil be a Materal Breach of this Agreement and Idaho Power shall draw fuds from the Delay Security provided by the Seller in an amount equal to the calculated Delay Damages or Delay Liquidated Damages. 5.6 The Paries agree that the damages Idaho Power would incur due to delay in the Facility achieving the Operation Date on or before the Scheduled Operation Date would be diffcult or impossible to predict with cerainty, and that the Delay Liquidated Damages are an appropriate approximation of such damages. 5.7 Prior to the Seller executing this Agreement, the Seller shall have agreed to and executed a Letter of Understanding with Idaho Power that contains at minimum the following requirements: 11 For Discussion 10/28/2010 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 32 of 74 Draft: For Discussion Purposes Only a) Seller has fied for interconnection and is in compliance with all payments and requirements of the interonnection process b) Seller has received and accepted an interconnection feasibility study for this Facility. c) Seller has provided all information required to enable Idaho Power to fie an initial transmission capacity request. d) Results of the initial transmission capacity request are known and acceptable to the Seller. e) Seller acknowledges responsibilty for all interonnection costs and any costs associated with acquig adequate firm tranmission capacity to enable the project to be classified as an Idaho Power firm network resour. f) If the Facilty is located outside of the Idaho Power service tetor, in addition to the above requirements, the Seller must provide evidence that the Seller has acquired firm transmission capacity frm all required tranmittig entities to deliver the Facilty's energy to an acceptable point of delivery on the Idaho Power electrcal system. 5.8 Within thiry (30) days of the date of a Commission Order as speified in Aricle XXI approving this Agreement; Seller shall post liquid securty ("Delay Security") in a for as described in Appendix D equal to or exceeding the amount calculated in paragraph 5.8.1. Failure to post ths Delay Security in the time specified above will be a Material Breach of this Agrent and Idaho Power may terminate this Agreement. 5.8. I Delay Securty The greater of fort five ($45) multiplied by the Maximum Capacity with the Maximum Capacity being measured in kW or the sum of thee month's estimated revenue. Where the estimated thre months of revenue is the estimated revenue associated with the first three full month following the estimated Schedled Opertion Date, the estimated kWh of energy production as specified in paragrph 6.2.1 for those 12 Draft: For Discussion Purposes Only 10/28/2010 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 33 of 74 Draft: For Discussion Purposes the months multiplied by the All Hour Energy Price specifed in pargrph 7.3 for each of those three months. 5.8.1. In the event (a) Seller provides Idaho Power with cerfication that (1) a Generation Interonnection Agreeent and Transnnssion Agrement specifying a schedule that will enable this Facility to achieve the Operation Date no later than the Schedled Operation Date has ben completed and the Seller has paid all required interconnection and trsnnssion costs or (2) a Generation Interconnection Agreement and Transmission Agreement are substantially complete and all material costs of interconnection and transmission have been identified and agreed upon and the Seller is in compliance with all terms and conditions of the Generation Interconnection Agreement and the Transmission Agreement, the Delay Secuty calculated in accordance with pargrph 5.8.1 wil be reduced by ten pecent (10%). 5.8.1.2 If the Seller has reived a reduction in the calculated Delay Securty as specified in paragraph 5.8.i. and subsequently (1) at Seller's request, the Generation Interconnection Agreement specified in paragraph 5.8.1.1 is revised and as a result the Facilty wil not achieve its Operation Date by the Scheduled Operation Date or (2) if the Seller does not maintain compliance with the Generation Interconnection Agreement, the full amount of the Delay Securty as calculated in paragraph 5.8.1 wil be subject to reinstatement and wil be due and owing withn 5 business days from the date Idaho Power requests reinstatement. Failur to timely reinstate the Delay Securty wil be a Material Breach of this Agreement. 5.8.2 Idaho Power shall release any remning security posted hereunder after all calculated Delay Damages and/or Delay Liquidated Damges are paid in full to Idaho Power and the earlier 13 Draft: For Discussimi 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 34 of 74 Draft: For Discussion Purposes Only of (1) 30 days afer the Operation Date has been achieved or (2) 60 days after the Agreeent has been tenninated. ARTICLE VI: PURCHASE AND SALE OF NET ENERGY 6.1 Delivery and Acceptance of Net Energy - Except when either Pary's pedormnce is excused as provided hern, Idaho Power will purchase and Seller will sell all of the Net Energy produced by the Facilty and delivered by the Transmitting Entity to Idaho Power at the Point of Delivery. All Inadvertent Energy produced by the Facilty wil also be delivered by the Transmitting Entity to Idaho Power at the Point of Deliver. At no time will the total amount of Net Energy and/or Inadvertent Energy produced by the Facility and delivered by the Transmitting Entity on beha of the Seller to the Point of Deliver exceed the Maximum Capacity Amount. 6.2 Net Energy Amounts - Seller intends to produce and the Transmitting Entity shal deliver Net Mechaical Availabilty Guarantee. Energy in the following monthy amounts. These amounts shall be consistent with the 6.2.1 Initial Year Monthly Net Energy Amounts: Month Season 1 Marh Apri May Season 2 July August November December Season 3 June September October Januar Februar kWhxxXXXXXxx XXXXXXxxxx xxxx:xXXXX:x 6.3 Unless excused by an event afForce Majeure, Seller's failure to produce and/or the Tramitting Entity(s) failure to deliver Net Energy in any Contract Year in an amount equal to at least ten 14 Draft: For Discussion Purposes Only 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-1Q-62 Allphin Affdavit, IPC Page 35 of 74 Draft: For Discussion Purposes perent (10%) of the sum of the Initial Year Monthly Net Energy Amounts as specified in paragraph 6.2 shall constitute an event of default. 6.4 Mechanical Availabilty Guartee - After the Optional Date ha been established, the Facility shall achieve a minimum monthly Mechanical Availability of 85% for the Facility for each month durng the full ter of this Agreement (the "Mechanical Availabilty Guarantee"). Failure to achieve the Mechanical Availability Guarantee shall result in Idaho Power calculating damages as specified in paragrph 6.4.4. 6.4.1 At the same time the Seller provides the Monthly Power Production and Availabilty Report (Appendix A), the Seller shall provide and cerify the calculation of the Facilty's curent month's Mechanical Availability. The Seller shall include a sum of all information used to calcuate the Calculated Net Energy Amount including but not limited to: (a) Forced Outages, (b) Force Majeure events, (c) wind speed and the impact on generation output and (c) scheduled maintenance and Station Use information. 6.4.2 The Seller shall maintain and retain for thr year detailed documentation supporting the monthly calcuation of the Facility's Mechancal Availability. 6.4.3 Idaho Power shall have the right to review and audit the documentation supporting the calculation of the Facilty's Mechanical Availability at reasonable times at the Seller's offces. 6.4.4 If the current month's Mechanical Availability is less than the Mechanical Availabilty Guarantee, damages shall be equal to: ((85 percent of the month's Calculated Net Energy Amount) minus the month's actual Net Energy deliveries) multiplied by the Availabilty Shortfall Price. 6.4.5 Any damages calculated in pargraph 6.4.4 will be offset against the curent month's energy payment. If an unpaid balance remains after the damages are offset against the energy payment, the Seller shall pay in full the remaining balance within 30 days of the 15 Draft: For Discussion 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 36 of 74 Draft:Discussion Purposes Only date of the invoice. ARTICLE VII: PURCHSE PRICE AND METHOD OF PAYMNT 7.1 Heavy Load Purhase Prce - For all Net Energy received durng Heavy Load Hours, Idaho Power will pay the non-Ievelized energy price in accordance with Commission Order 31025 and adjusted in accrdance with Comssion Order 30415 for Heavy Load Hour Energy deliveries, and adjusted in accordance with Commission Order 30488 for the wind integration charge and with seasonalization factors applied: Season 1 - (73.50 %)Season 2 - (120.00 %)Season 3 - (100.00 %) Year MilslkWh MilslWh MilslWh 2010 40.52 66.15 55.12 2011 42.80 69.87 58.24 2012 45.32 74.00 61.66 2013 47.71 78.18 64.92 2014 50.29 82.74 68.42 2015 53.05 87.64 72.17 2016 54.64 90.46 74.34 2017 56.20 93.23 76.61 2018 57.90 96.25 79.12 2019 59.57 99.21 81.59 2020 61.29 102.27 84.14 2021 63.33 105.90 87.16 2022 65.46 109.67 90.31 2023 67.67 113.59 93.57 2024 69.97 117.66 96.97 2025 72.35 121.90 100.50 2026 74.38 125.49 103.49 2027 76.62 129.20 106.58 2028 78.96 133.03 109.77 2029 81.8 136.97 113.06 2030 83.87 141.04 116.45 2031 87.22 146.51 121.01 2032 90.15 151.30 125.00 2033 93.19 156.26 129.13 7.2 Light Load Purchase Prce - For all Net Energy received durng Light Load Hours, Idao Power 16 Draft: For Discussion Purposes Only 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 37 of 74 For Discussion Purposes Only will pay the non-levelize energy price in accordace with Commission Order 31025 and adjusted in accordance with Commission Order 30415 for Light Load Hour Energy deliveries, and adjusted in accordance with Commission Order 30488 for the wind integration charge and with seasonalization factors applied: Season 2 - (120.00 %) MilslkWh Season 3 - (100.00 %) Mils/WhYea Season 1 - (73.50 %) Mils/Wh 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 35.59 37.88 40.40 42.79 45.37 48.13 49.72 51.28 52.97 54.65 56.37 58.41 60.54 62.74 65.04 67.43 69.45 71.55 73.70 76.03 78.52 81.87 84.80 87.84 58.11 61.84 65.95 69.86 74.06 78.91 81.73 84.50 87.51 90.47 93.53 97.16 100.93 104.85 108.92 113.16 116.76 120.47 124.29 128.24 132.31 137.77 142.56 147.52 48.42 51.54 54.96 58.22 61.72 65.48 67.64 69.76 72.07 74.35 76.86 79.88 83.03 86.29 89.69 93.22 96.21 99.30 102.49 105.78 109.17 113.73 117.72 121.85 7.3 All Hours Energy Price - The price to be used in the calculation of the Surlus Energy Price and Delay Price shall be the non-leve1ized energy price in accordance with Commission Order 31025 and adjusted in accordance with Commission Order 30488 for the wid integration charge and with seasonalization factors applied: Season 1 - (73.50 %)Season 2 - (120.00 %) Season 3 - (100.00 %) 17 Draft: For Discussion 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 38 of 74 Draft: For Discussion Purposes Only Year MilslWh MilslWh MilslkWh 2010 38.33 62.57 52.14 2011 40.61 66.30 55.26 2012 43.13 70.42 58.68 2013 45.52 74.33 61.93 2014 48.10 78.85 65.44 2015 50.86 83.75 69.19 2016 52.45 86.58 71.36 2017 54.01 89.35 73.48 2018 55.71 92.36 75.88 2019 57.37 95.32 78.35 2020 59.10 98.38 80.90 2021 61.4 102.01 83.92 2022 63.27 105.78 87.07 2023 65.48 109.70 90.33 2024 67.78 113.77 93.73 2025 70.16 118.01 97.26 2026 72.18 121.60 100.25 2027 74.28 125.31 103.35 2028 76.58 129.14 106.53 2029 79.00 133.09 109.82 2030 81.49 137.16 113.21 2031 84.84 142.62 117.77 2032 87.77 147.41 121.76 2033 90.81 152.37 125.89 7.4 SUl1us Energy Pnce - For all Surplus Energy, Idaho Power shall pay to the Seller the curent month's Market Energy Referece Prce or the All Hours Energy Price specified in paragraph 7.3, whichever is lower. 7.5 Inadvertent Energy - 7.5. i Inadvertent Energy is electc energy produced by the Facilty, expressed in kWh, which the Transmitting Entity(s) delivers on the Seller's behalf to Idaho Power at the Point of Delivery that exceeds 10,000 kW multiplied by the hours in the specific month in which the energy was delivered. (For example Januar contains 744 hours. 744 hours times 10,000 kW = 7,440,000 kWh. Energy delivered in Januar in excess of1,440, 000 kWh in this example would be Inadverent Energy.) 7.5.2 Although Seller intends to design and operate the Facility to generate no more than 18 Draft: For Discnssion Purposes Only 10/28/2010 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 39 of 74 Draft: For Discussion Purposes Only 10 averge MW and therefore does not intend to genemte Inadverent Energy, Idaho Power will accept Inadverent Energy that does not exceed the Maximum Capacity Amount but wil not purchase or pay for Inadvertent Energy. 7.6 Payment Due Date - Undisputed Energy payments, less the Wind Energy Production Forecasting Monthly Cost Allocation (MCA) described in Appendix E and any other payments due Idaho Power, wil be disbursed to the Seller within 30 days of the date which Idaho Power receives and accepts the docwnentation of the monthly Mechanical Available Guarantee and the Net Energy actually delivered to Idaho Power as specified in Appendix A. 7.7 Continuing Jursdiction of the Commission This Agreement is a special contract and, as such, the rates, ters and conditions contained in this Agreement wil be construed in accordance with Idaho p'ower Company v. Idao ,Pblc Utilities Com.ien !;d Afon;E. Inc., 107 Idaho 781, 693 P.2d 427 (1984), IdaQPoWer Company v. Idao Public Utilities Commisson. 107 Idaho 1122, 695 P.2d 1 261 (1985), Afon Ener Inc. v. Idaho Power Coin 1 1 1 Idaho 925, 729 P.2d 400 (1986), Section 210 of the Public Utilties Regulatory Policies Act of 1978 and 18 CFR §292.303-308 ARTICLE VII: ENVIRONMENTAL ATTRIUTES 8.1 Seller retains ownership under this Agreement of Gren Tags and Renewable Energy Certificate (RECs), or the equivalent environmental attributes, directly associated with the production of energy from the Seller's Facility sold to Idaho Power. ARTICLE IX: TRNSMISSION AGREEMENT 9.1 Transmission Agreement - The Seller will arrge and pay for the deliver of Net Energy and Inadvertent Energy over the facilities of the Transmittng Entity(s) (XXX) to the Point of Delivery. The deliver of Net Energy and Inadvertent Energy from the Facility to the Idaho Power Point of Deliver shall be in accordance with the terms and conditions of a Tmnsmission Agreement between the Seller and the Transmitting Entities. The Transmission 19 Draft: For Discussion 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 40 of 74 Draft: For Discussion Purposes Only Agreement must provide for continuous firm transmission capacity on the Transmitting Entities system for no less than the Maximum Capacity Amount and for the full Term of ths Agrement. 9.2 Acceptace of Transmission Agreement - This Agreement is expressly conditioned and contingent upon Idaho Power's acceptance of the Transmission Agreement. Such acceptance wil not be unreasonably withheld. A default by Seller under the Transmission Agreement will be a Matenal Default under this Agreement. 9.3 Losses - Idaho Power wil only purchase the Net Energy that is deliverd by the Tranmitting Entity to Idaho Power at the Point of Deliver. Losses wil be calculated as provided in Appendix B of this Agreement. 9.4 Required Transmission Agrement provisions for Facilities not located within the Idaho Power Electrical System Control Area - If the Facility is not located within the Idaho Power Electrcal System Control Area, the following requirements must be contained withn the Transmission Agreement (s); 9.41 Scheduling and delivery of Net Energy - The Transmission Agreement shall include provisions that require the Transmittng Entity(s) to schedule and deliver the Facility's energy to Idaho Power in accordance with industr standard Wester Electricity Coordinating Council (WECC) scheduling processes and procedures. 9.4.2 Energy Reserve Reguirements - The Trasmitting Entity(s) will provide all generation reseres as required by the WECC and/or as required by any other governing agency or industr standard to deliver the Net Energy to the specified Point(s) of Deliver. 9.4.3 Documentation - Seller and/or the Transmitting Entity wil provide Idaho Power with monthly documentation in a form acceptable to Idaho Power showing the amount of energy scheduled and delivered to Idaho Power on an hourly bases. If the Facility is located within the Idaho Power Electrcal System Control Area but not 20 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 41 of 74 Draft: For Discussion Purposes Only within the Idaho Power serce tertory a combination of, energy scheduling, metering and telemetr equipment meetig Idao Power stadas shall be requied to be in place that wil provide Idaho Power accurte instataneous Net Energy deliveres being made to Idaho Power at the Point of Deliver at any moment in tie as well as the capability to record the Net Energy deliveres for an extended perod of time to provide the necessar Net Energy deliver data to administer this Agreement. The Seller shall be responsible to make all necessar arangements and cost of this process and equipment. The specific equipment and schedule process shall be specified in more detail in Apendix XX of this Agreement. ARTICLE X - RECORDS 10.1 Maintence of Recor - Seller shall mantain at the Facility or such other location mutually acceptable to the Paries adequate total generation, Net Energy, Station Use, Inadverent Energy and maximum generation (kW) records in a form and content acceptable to Idaho Power. 10.2 Inpection - Either Par, after reasonable notice to the other Par, shall have the right, durng normal business hours, to inspect and audit any or all generation, Net Energy, Station Use, Inadvertent Energy and maximum generation (kW) records peraining to the Seller's Facilty. ARTICLE XI: OPERATIONS 11.1 Communcations - Idaho Power, the Transmitting Entity(s) and the Seller shall maintain approprate operating communications though Idaho Power's Designated Dispatch Facility in accordance with Appendix A of ths Agreement. 11.2 Energy Acceptance - 12.2.1 Idaho Power shall be excused from acceting and paying for Net Energy or accepting Inadvertent Energy which would have otherwse been produced by the Facility and delivered by the Transmitting Entity(s) on behalf of the Seller to the Point of Deliver, if it is prevented from doing so by an event of Force Majeure, Forced Outage or if 21 Draft: For Discussion 10/28/2010 Attchment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 42 of 74 Draft: For Discussion Purposes Only Idaho Power deterines that cuailment, interption or reduction of Net Energy or Inadvertent Energy delivenes is necessary because of line construction, electrcal system maintenance requirements, emergencies, electrical system operating conditions, or electrcal system reliability emergencies on its system or as otherise required by Prdent Electrcal Practices. If, for reasons other than an event of Force Majeure or a Forced Outage, a temporary disconnection that exceeds twenty (20) days, beginning with the twenty-first day of such interrption, curtailment or reduction, Seller wil be deemed to be delivering Net Energy at a rate equivalent to the pro rata daily average of the amounts specified for the applicable month in paragraph 6.2. Idaho Power will notify Seller when the interrption, curtailment or reuction is terinated. 11.2.2 Under no circumstances will the Transmitting Entity(s) on Seller's behalf deliver Net Energy and/or Inadverent Energy from the Facilty to the Point of Delivery in an amount that exceeds the Maximum Capacity Amount at any moment in time. Either the Transmitting Entity(s) or Seller's failur to limit delivenes to the Maximum Capacity Amount will be a Material Breach of this Agreement. 11.2.3 If Idaho Power is unable to accept the energy from this Facility and is not excused from accepting the Facility's energy, Idaho Power's damages shall be limited to only the value of the estimated energy that Idaho Power was unable to accept. Idaho Power will have no responsibility to pay for any other costs, lost revenue or consequential damages the Facility may incur. 11.3 Scheduled Maintenance - On or before Januar 31 of each calendar year, Seller shall submit a wrtten proposed maintenance schedule of significant Facility and/or Transmitting Entity maintenance for that calendar year and Idaho Power, Seller and Transmitting Entity shall mutually agre as to the acceptability of the proposed schedule. The Pares determination as to the acceptability of the Seller's timetable for scheduled maintenance will take into considertion Prudent Electrcal Practices, Idaho Power system requirements and the Seller's preferd 22 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit"IPC Page 43 of?4 Draft: For Discussion Purposes Only schedule. Neither Part shall uneasonably withhold acceptance of the proposed maintenance schedule. 11.4 Maintenance Coordination - The Seller, Idaho Power and the Transmitting Entity(s) shall, to the extent practical, coordinate their respective line and Facility maintenance schedules such that they occur simultaneously. 1 1.5 Contact Prior to Curtilment - Idaho Power wil mae a reasonable attempt to contact the Seller and/or the Transmitting Entity prior to exercising its rights to curail, interrpt or reduce deliveries from the Transmitting Entity from the Seller's Facility. Seller and the Transmittng Entity understand that, in the case of emergency circumstances, real time operations of the electrcal system, and/or unplanned events Idaho Power may not be able to provide notice to the Seller or the Transmitting Entity pror to inteption, curtailment, or reduction of electrical energy deliveries to Idaho Power. ARTICLE XII: RELIAILITY MANAGEMENT SYSTEM If the Facility is not located within the Idaho Power Electrcal System Control Area, the Seller will be required to comply with the Reliabilty Management processes of the control area operator having control of the specific location of the Facility and ths Aricle XII wil not apply. If the Facilty is located within the Idaho Power Contrl Area, the Seller is required to comply with the following: 12.1 Purpose. In order to maintain the reliable operation of the trnsmission grd, the WECC Reliability Criteria Agreement sets forth reliabilty critera adopted by the WECC to which Seller and Idao Power shall be required to comply. Seller acknowledges receipt and understanding of the WECC Reliability Criteria Agreement and how it perains to the Seller's Facility. 12.2 Compliance. Seller shall comply with the requirements of the WECC Reliability Criteria Agreement, including the applicable WECC reliability critera set forth in Section IV of Anex A thereof, and, in the event of failure to comply, Seller agrees to be subject to the sanctions applicable to such failure. Such sanctions shall be assessed pursuant to the procedures contained 23 Dnft:For Discussion Purposes 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 44 of 74 Draft: For Discussion Purposes Only in the WECC Reliability Critera Agreement. Each and all of the provisions ofthe WECC Reliability Criteria Agreement are hereby incorporated by reference into this Aricle XII as though set fort fully herein, and Seller shall for all puroses be considered a Participant, and shall be entitled to all of the rights and prvileges and be subject to all of the obligations of a Partcipant, under and in connection with the WECC Reliability Criteria Agreement, including, but not limited to the rights, privileges and obligations set forth in Sections 5, 6 and 10 ofthe WECC Reliability Criteria Agreement. i 2.3 Payment of Sanctions. Seller shall be responsible for reimbursing Idaho Power for any monetar sanctions assessed against Idaho Power by WECC due to the action or inaction of the Seller, pursuant to the WECC Reliability Criteria Agreement. Seller also shall be responsible for payment of any monetary sanction assessed against the Seller by WECC pursuant to the WECC Reliability Critera Agreement. Any such payment shall be inade pursuant to the procedues specified in the WECC Reliability Critera Agreement. i 2.4 Transfer of Control or Sale of Generation Facilities. In any sale or transfer of control of any generation facilities subject to this Agreement, Seller shall, as a condition of such sale or transfer, require the acquiring party or transferee with respect to the trnsferred facilities either to assume the obligations of the Seller with respect to this Agreement or to enter into an agrement with Idaho Power imposing on the acquiring party or transferee the same obligations applicable to the Seller pursuant to this Aricle XII. 12.5 Publication. Seller consents to the release by the WECC of information related to the Seller's compliance with this Agreement only in accordance with the WECC Reliability Criteria Agreement. i 2.6 Third Pares. Except for the rights and obligations between the WECC and the Seller specified in this Article XII, this Agreement creates contractual rights and obligations solely between the Parties. Nothing in this Agreement shall create, as between the Pares or with respect to the WECC: (a) any obligation or liabilty whatsoever (other than as expressly provided in this 24 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 45 of 74 Draft: For Discussion Purposes Agreement), or (b) any duty or standad of care whatsoever. In addition, nothing in ths Agreement shall create any duty, liability or standad of ca whatsoever as to any other pary. Except for the rights, as a third-par beneficiary unde this Aricle XII, of the WECC against the Seller for the Seller, no third pary shall have any rights whatsoever with respect to enforcement of any provision of this Agreement. Idaho Power and the Seller expressly intend that the WECC is a third-pary beneficiar to this Aricle XII, and the WECC shall have the right to seek to enforce against the Seller any provision of this Arcle XII, provided that specific performance shall be the sole remedy available to the WECC pursuant to Arcle XII of this Agreement, and the Seller shall not be liable to the WECC pursuant to this Agreement for damages of any kind whatsoever (other than the payment of sanctions to the WECC, if so constred), whether direct, compensatory, special, indiect, consequential, or punitive. 12.7 Reserved Rights. Nothing in the Aricle XII of this Agreement or the WECC Reliability Criteria Agreement shall affect the right of Idaho Power, subject to any necessar regulatory approval, to take such other measures to maintan reliabilty, including disconnection that Idaho Power may otherise be entitled to take. 12.8 Terination of Article XII. Seller may terminate its obligations pursuant to ths Aricle XII: 12.8.1 If after the effective date of this Aricle XII, the requirements ofthe WECC Reliability Critera Agreement applicable to the Seller are amended so as to adverely affect the Seller, provided that the Seller gives fifteen (15) days' notice of such terination to Idaho Power and WECC within forty-five (45) days of the date of issuance of a FERC order accepting such amendment for fiing, prvided fuer that the forty-five (45) day period within which notice of termination is required may be extended by the Seller for an additional forty-five (45) days if the Seller gives wrtten notice to Idaho Power of such requested extension within the initial forty-five (45) day period; or 12.8.2 For any reason on one year's wrtten notice to Idaho Power and the WECC. 25 Draft: For Discussion 10/28/2010 Attachment NO.8 Case Nos, IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 46 of 74 For Discussion Purposes Only ARTICLE XII: INEMNIFICATION AND INSURNCE 13.1 Indemification - Each Pary shall agree to hold harless and to indemify the other Par, its officers, agents, affiiates, subsidiares, parent company and employees against all loss, damage, expense and liability to third persons for injury to or death of person or injur to propery, proximately caused by the indemnfying Pary's (a) constrution, ownership, opeation or maintenance of, or by failure of, any of such Par's works or facilties used in connection with this Agreement or (b) negligent or intentional acts, errors or omissions. The indemnifyg Par shall, on the other Par's request, defend any suit asserting a claim covered by ths indemnity. The indemnifyng Part shall pay all documented costs, including reasonable attorney fees that may be incured by the other Par in enforcing this indemnity. 13.2 Insurance - During the term of this Agreement, Seller shall secure and continuously car the following insurance coverage: 13.2.1 Comprehensive General Liability Inurance for both bodily injur and propery damage with limits equal to $1,000,000, each occurence, combined single limit. The deductible for such insurance shall be consistent with curt Insurce Industr Utility practices for similar propert. 13.2.2 The above insurance coverage shall be placed with an insurance company with an A.M. Best Company rating of A- or better and shall include: (a) An endorsement naming Idaho Power as an additiona insured and loss payee as applicable; and (b) A provision stating that such policy shall not be canceled or the limits ofliability reduced without sixty (60) days' prior wrtten notice to Idaho Power. 13.3 Seller to Provide Certficate of Insurance - As required in paragrph 4.1.6 herein and anually therefter, Seller shall fuish Idaho Power a certificate of insurance, together with the endorsements required therein, evidencing the coverage as set forth above. 26 Draft: ,For Discussion Purposes Only 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 47 of 74 Draft: For Discussion Purposes 13.4 Seller to Notify Idaho Power of Loss of Coverage - If the insurance coverage requied by paragraph 13.2 shall lapse for any reason, Seller wil immediately notifY Idaho Power in wrting. The notice will advise Idaho Power of the specific reason for the lapse and the steps Seller is taking to reinstate the coverage. Failure to provide this notice and to expeditiously reinstate or replace the coverage will constitute a Material Breach of ths Agreeent. ARTICLE XN: FORCE MAEURE 14.1 As used in this Agreement, "Force Majeure" or "an event of Force Maeure" means any cause beyond the control of the Seller or of Idaho Power which, despite the exercise of due diligence, such Pary is unable to prevent or overcome. Force Majeure includes, but is not limted to, acts of God, fire, flood, storms, wars, hostilities, civil strfe, strkes and other labor distubances, earhquakes, fires, lightning, epidemics, sabotage, or changes in law or reguation occurrng after the effective date, which, by the exercise of reasonable foresight such par could not reasonably have been expected to avoid and by the exercise of due dilgence, it shall be unable to overcome. If either Par is rendered wholly or in par unble to perform its obligations under this Agreement because of an event of Force Majeure, both Paries shall be excused from whatever performance is affected by the event of Force Majeure, provided that: (l) The non-performng Party shall, as soon as is reasonably possible after the occurence of the Force Majeure, give the other Par wrtten notice descrbing the particulars of the occurce. (2) The suspension of performance shall be of no greater scope and of no longer duration than is required by the event of Force Majeure. (3) No obligations of either Party which arose before the occurnce causing the suspension of performance and which could and should have been fuly performed before such occurence shall be excused as a result of such occurrence. 27 Draft: l"or Discussion 10/28/2010 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 48 of 74 Draft: For Discussion Purposes Only ARTICLE XV: LIAILITY; DEDICATION 15.1 Limitation of Liability. Nothing in this Agreement shall be constred to create any duty to, any standard of car with reference to, or any liabilty to any person not a Par to this Agreement. Neither pary shall be liable to the other for any indict, special, consequentil, nor puntive damages, except as expressly authorized by this Agreement. 15.2 Dedication. No undertaking by one Party to the other under any provision of this Agreeent shall constitute the dedication of that Par's system or any porton thereofto the Par or the public or affect the status of Idao Power as an indepdent public utilty corporation or Seller as an independent individual or entity. ARTICLE XV: SEVE OBLIGATIONS 16.1 Except where specifically stated in this Agreement to be otherse, the duties, obligations and liabilties of the Pares are intended to he several and not joint or collective. Nothing contained in this Agreement shall ever he constred to create an association, trst, partership or joint ventu or impose a trst or parerhip duty, obligation or liability on or with regard to either Party. Each Part shall he individually and severally liable for its own obligations under ths Agreement. ARTICLE XVII: WAIVR 17.1 Any waiver at any time by either Part of its rights with respet to a default under this Agreement or with respect to any other matter arsing in connection with this Agreement shall not be deemed a waiver with respect to any subsequent default or other matter. ARTICLE XVII: CHOICE OF LAWS AN VENUE 18.1 This Agreement shall be constred and intereted in accordace with the laws of the State of Idaho without reference to its choice of law provisions. 18.2 Venue for any litigation arsing out of or related to this Agreement wil lie in the Distrct Cour of 28 Draft: For Discussion Purposes Only 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-1D-2 Allphin Affdavit, IPC Page 49 of 74 Draft: For Discussion Purposes Only the Fourh Judicial Distnct of Idaho in and for the County of Ada. ARTICLE XI: DISPUTS AN DEFAULT 19.1 Disputes - All disputes related to or arsing under this Agrement, including, but not limited to, the interpretation of the terms and conditions of this Agreement, will be submtted to the Commission for resolution. 19.2 Notice of Default 19.2.1 Defaults. If either Pary fails to pedorm any of the term or conditions of this Agreement (an "event of default"), the nondefaulting Par shall cause notice in writing to be given to the defaulting Party, specifyng the maer in which such default occured. If the defaulting Par shall fail to cure such default within the sixty (60) days after servce of such notice, or if the defaulting Pary reasonably demonstrates to the other Party that the default can be cured withi a commercially reasonable time but not within such sixty (60) day perod and then fails to diligently pursue such cure, then, the nondefaultig Par may, at its option, terminate this Agreement and/or pursue its legal or equitable remedies. 19.2.2 Material Breaches - The notice and cure provisions in paragraph 19.2.1 do not apply to defaults identified in this Agreement as Materal Breaches. Materal Breaches must be cured as expeditiously as possible following occurence of the breach. 19.3 Security for Pedormance - Pror to the Option Date and thereafer for the full term of this Agreement, Seller wil provide Idaho Power with the following: 19.3.1 Insurance - Evidence of compliance with the provisions of paragraph 13.2. If Seller fails to comply, such failure wil be a Material Breach and may only be cured by Seller supplying evidence that the required insurance coverage has been replaced or reinstated; 19.3.2 Engineer's Certifications - Every three (3) years after the Opemtion Date, Seller will supply Idaho Power with a Certification of Ongoing Opeations and Maintenance 29 Draft: For Discussion Purposes Only 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 50 of 74 For Discussion Purposes Only (O&M) from a Registed Professional Engineer licensed in the State of Idaho, which Certfication of Ongoing 0 & M shall be in the form specified in Appedix C. Seller's failure to supply the required certificate wil be an event of default. Such a default may only be cured by Seller providing the required cerificate; and 19.3.3 Licenses and Penits - During the full ten of this Agreement, Seller shall maintain compliance with all penits and licenses described in paragraph 4.1. of this Agreement. In addition, Seller will supply Idaho Power with copies of any new or additional peits or licenses. At least every fifth Contract Year, Seller will update the documentation described in paragraph 4.1.1. If at any time Seller fails to maintan compliance with the perts and licenses described in paragraph 4.1.1 or to provide the documentation required by ths paragraph, such failure wil be an event of default and may only be cured by Seller submitting to Idaho Power evidence of compliance from the penitting agency. ARTICLE XX: GOVERNENTAL AUTORIZATION 20.1 Ths Agreement is subject to the jursdiction of those governenta agencies having control over either Part of this Agreement. ARTICLE XXI: COMMISSION ORDER 21. This Agreement shall become finally effective upon the Commission's approval of all terms and provisions hereof without change or condition and declaration that all payments to be made to Seller hereunder shall be allowed as prudently incured expenses for ratemaking purposes. ARTICLE XXII: SUCCESSORS AND ASSIGNS 22. i This Agreeent and all of the tens and provisions herf shall be bindig upon and inure to the benefit of the respective successors and assigns of the Paries hereto, except that no assignent hereof by either Par shall become effective without the wrttn consent of both Paries being 30 Draft: l'or Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 51 of 74 Draft: For Discussion Purposes first obtained. Such consent shall not be unreasonably withheld. Notwithstanding the foregoing, any party which Idaho Power may consolidate, or into which it may merge, or to which it may conveyor transfer substantially all of its electrc utilty assets, shal automatically, without fuer act, and without need of consent or apprval by the Seller, succeed to all of Idaho Power's rights, obligations and interests under ths Agrment. This Aricle shall not prevent a financing entity with recorded or secured rights from exerising all rights and remedies available to it under law or contract. Idaho Power shall have the right to be notified by the financing entity tht it is exercising such rights or remedies. ARTICLE XXII: MODIFICATION 23.1 No modification to this Agreeent shall be valid unless it is in wrting and signed by both Pares and subsequently approved by the Commission. ARTICLE XXIV: TAXS 24.1 Each Pary shall pay before delinquency all taxes and other goverental charges which, iffai1ed to be paid when due, could result in a lien upon the Facility or the Interconnection Facilties. ARTICLE XXV: NOTICES 25.1 All wntten notices under this Agreement shall be directed as follows and shall be considered delivered when faxed, e-mailed and confrmed with deposit in the U.S. Mail, fist-class, postage prepaid, as follows: To Seller: Original document to: Telephone: Cell: 31 For Discussion 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 52 of 74 Draft: For Discussion Purposes Only FAX: E-mal: To Idaho Power: Original document to: Vice President, Power Supply Idaho Power Company POBox 70 Boise, Idaho 83707 Email: LGgrow€yidahopower.com Copy of document to: Cogenertion and Small Power Production Idaho Power Company POBox 70 Boise, Idaho 83707 E-mail: ralpl(£daqpweco Either Pary may change the contact peron and/or address inoration listed above, by providing wrtten notice from an authorize person represnting the Part. ARTICLE XXVI: ADDITIONAL TERMS AND CONDITIONS 26.1 This Agreement includes the followi appendices, which are attached hereto and included by reference: Appendix A AppendixB AppendixC AppendixD AppendixE Monthly Power Production and Availabilty Reprt Facilty and Point of Deliver Engieer's Cerfications Forms of Liquid Securty Wind Energy Production Forecasting ARTICLE XXVII: SEVERILITY 27.1 The invalidity or unenforceabilty of any ter or proviion of this Agrement shall not affect the validity or enforceabilty of any other terms or provisions and this Agreement shall be constred in all other respects as if the invalid or unenforceable ter or provision were omitted. 32 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-1D-1 & IPC-E-10-62 Allphin Affdavit, IPC Page 53 of 74 Draft: For Discussion Purposes Only ARTICL XX: COUNRPARTS 28.1 This Agrent may be executed in two or more counterps, each of which shall be deemed an origial but all of which together shal contitute one and the same instrent. ARTICLE XXIX: EN AGREEN 29.1 Ths Agreement constitute the entire Ageeen of the Pares concerg the subjec matter hereof and supered al prior or conteporeous or or wrtt agrents between the Pares concerg the subject matter herof. IN WISS WHREOF, The Partes hereto have caus ths Agrent to be exted in thei respective naes on the dates set fort below: Idaho Power Company By By Lisa A Grow Sr. Vioø President. Power SUpply Date Dated "ldaoPowet "Seler" 33 Draft: For Discussion 101281010 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 54 of 74 Draft: For Discussion Purposes Only APPENIXA A -1 MONTHLY POWER PRODUCTION AN AV AIABILlT REPORT At the end of each month the following reuire documentåtion wil be sUbmtted to: Idaho Power Company Attl:CQgêieratîon and Small Power Pruction POBox 10 Boise, Idao 83707 The Metli redings require on this re will be the reding on the Meter Equipment meng the Facilty's Net Ener delivlied by the Trasiittig Entity to the Idao Power electriClal sy.stem and/or any other required energy measuremets to adeqately administli this Agreet. if the Meterig Equipment is not located at the point which is able to measure the exact êiergydeliveesto the Idao Power electrca system, then the metered energy amounts wil be adjused to account for eledcal Løssesoçei.ng between the meerg poin and the point which the energy is delive to th Idao Power eledcal system. This re shall also include tlieSeller's calculation ofthe Meohaical Availabilty. 34 Draft: For Discussion Purposes Only i 0128J201 0 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 55 of 74 Draft: For Discussion Purposes Idaho Power Company Cogeneration and Small Power Prducton MONTHLY POWER PRODUCTION AN AVAILAILITY REPORT Month Year Project Name Project Number: Address Phone Number: City State Zip Net Facilty Output Station Usage Station Usage Metered Maximim Generation Meter Number: End of Month kWh Meter Reading: Beginning of Month kWh Meter: Difference: Times Meter Constant: kW Net Generation kWh for the Month: Metered Demand: Mechanical Availabilty Guarantee Seller Calculated Mechanical Availabilty As specifed in this Agreement, the Seller shall include with this monthly report a summary statement of the Mechanical Availabilty of this Facilty for the calendar month. This summary shall include detals as to how the Seller calculated this value and summary of the Facilty data used in the calculation. Idaho Power and the Seller shall work together to mutually develop a summary report that provides the required data. Idaho Power reserves the right to review the detailed data used in this calculation as allowed within the Agreement. Signature Date 35 Draft: For Discussion 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 56 of 74 Draft: For Discussion Purposes Only A -2 MONTHLY POWER PRODUCTION AN SWITCHIG REPORT FOR PROJECTS LOCATED OUTSIDE OF TH IDAHO POWER ELECTRICAL SYSTEM CONTROL ARA. a.) The Transmitting Entity wil schedule and deliver the Facility's Net Energy to the Idaho Power electrcal system at the Point of Deliver in accordance with the electrcal industry stadard WECC scheduling and delivery processes. As specfied in pargrph 9.4 the Seller and/or the Transmitting Entity shall provide Idaho Power with monthly documentation indicating the hourly energy scheduled and delivered to Idaho Power. Ths documentation will be reconciled with Idaho Power recors of energy scheduled and received from this Facility. In the event a discrepancy exists between the Idaho Power records and the Seller / Tranmitting Entity documents, Idaho Power records wil be considered to be accurate until such tie as Idao Power, the Seller and the Transmitting Entity mutually agree on an adjustment to the Idaho Power records. b.) The Seller shall submit to Idao Power a Monthly Power Production and Switching Report as specified in Appendix A-I of this Agreement. The meter readings on this reprt shall be the meter readings at the actul Facility measurng the actual energy deliveres to Transmitting Entity at the Facility. A-4 ROUTIN REORTING FOR PROJECTS OUTSIDE OF THE IDAHO POWER ELECTRCAL SYSTEM CONTROL AR. The Seller and Transmitting Entity shall maintain apprpnate communications with the Idaho Power Designed Dispatch Facilty in compliance with electrc industr standard WECC energy scheduling processes and procedures. 36 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 57 of 74 For Discussion Purposes Seller1s Contat Infonation 24-Hout Projec Operational COntat Nam: Telephone Nube: Cell Phone: Proect On-site Contat informtion Telephone Ni.ber: 37 1012010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 58 of 74 Draft: For Discussion Purposes Only APPENDIXB FACILITY AN POIN OF DELIVERY Project Name: Project Number: B-1 DESCRIPION OF FACILITY (Must include the Nameplate Capacity rating and VAR capabilty (both leading and lagging) of all generation units to be included in the Facility.) Var Capabilty (Both leading and lagging) Leading is _ Laggig is _ B-2 LOCATION OF FACILITY Near: Sections: _ Township: _ Range:County:il. Description of Interconnection Location: Nearest Idaho Power Substation: B-3 SCHDULED FIRST ENRGY AN OPERATION DATE Seller has selected as the Scheduled First Energy Date. Seller has selected as the Scheduled Opration Date. In mang these selectons, Seller recognizes that adequate testing of the Facilty and completion of all requrements in paragrph 5.2 of this Agreement must be completed prior to the project being granted an Opeation Date. 38 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 59 of 74 Draft: For Discussion Purposes Only B-4 MAMUM CAPACITY AMOUNT: This value will be MW which is consistent with the value provided by the Seller to Idaho Power in accordance with Schedule 72. Ths value is the maximum energy (MW) that potentially could be delivered by the Seller's Facility to the Idaho Power electrcal system at any moment in time. B-5 POINT OF DELIVERY at the point on the Idaho Power electrcal system where the Sellers Facility's Net energy is delivered by the Transmitting Entity to the Idaho Power electrical system. B-6 LOSSES For Facilities within the Idaho Power Electrcal System Control area - If the Idaho Power Metering equipment is capable of measurig the exact energ deliveres by the Transmitting Entity on behalf of the Seller to the Idaho Power electrcal system at the Point of Delivery, no Losses will be calculated for this Facility. If the Idaho Power Metering is unable to measure the exact energy deliveries by the Transmitting Entity on behalf of the Seller to the Idaho Power electrical system at the Point of Delivery, a Losses calculation wil be established to measure the energy losses (kWh) between the Seller's Facility and the Idaho Power Point of Delivery. Ths loss calculation wil be initially set at 2% (or any other reasonably detennined value by Idaho Power) of the kWh energy production recorded on the Facility generation metering equipment. At such time as Seller provides Idaho Power with the electrcal equipment specifications (transformer loss specifications, conductor sizes, etc) of all of the electrical equipment between the Facilty and the Idaho Power electrical system, Idaho Power wil configue a revised loss calculation formula to be agreed to by both paries and used to calculate the kWh Losses for the remaining term of the Agreement. If at any time durng the term of this Agreement, Idaho Power deterines that the loss calculation does not corrctly reflect the actual kWh losses attrbuted to the electrical equipment between the Facility and the Idaho Power electrcal system, Idaho Power 39 Draft: For Discnssimi 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 60 of 74 Draft: For Discussion Purposes Only may adjust the calculation and retroactively adjust the previous months kWh loss calculations. For Facilities outside of the Idaho Power Electrcal Control area - Idaho Power wil only pay for Net Energy that is scheduled and delivered by the Transmitting Entity to the Point of Delivery. All energy Losses between the Facilty and the Point of Deliver wil be borne by either the Transmittng Entity or the Seller. B-7 INTERCONNCTION FACILITIES The Seller and Transmittng Entity shal constrct, operate and maintain the Facility and all interconnection and protection equipment in accordance with Prdent Electrcal Practices, the National Electrc Safety Code and any other applicable local, state and federal codes B-8 METERING AN TELEMETRY For Facilties located within the Idaho Power Electcal System Contrl Area Metering Equipment - At the minimum the Meterig Equipment and Telemetr equipment must be able to provide and record hourly energy deliveries by the Transmittng Entity to the Point of Deliver and any other energy measurements required to admiister this Agreement. Telemetr Equipment - At the minimum the Telemetr Equipment must be able to provide Idaho Power with continuous instantaeous telemet of the Facility's energy deliveres to the Transmitting Entity. The Seller wil arnge for and make available at Seller's cost, a communications circuit acceptable to Idao Power, dedicated to Idaho Power's use to be used for load profiling and another communications circuit dedicated to Idaho Power's communication equipment for continuous telemeterig of the Facility's energy deliveres to the Transmittng Entity to Idaho Power's Designated Dispatch Facility. 40 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 61 of 74 Draft: For Discussion Purposes Only All costs including but not limited to actu equipment, installation, engieerng, monthly communication circuit fees, operations and maintenance will be the responsibilty of the Seller. Exact details of the Metering and Telemetr equipment and specifcations wil need to be added to this appendix once more inforlln becomes available in regards to the physical and electrical configuration at this site and the configuratin of the interconnection at the Point of Delivery. For Facilties located outside of the Idaho Power Electrcal System Control Area Meterng Equipment - At the minimum the Metering Equipment must be able to provide and record hourly energy deliveres by the Facilty to the Trasmittg Entity and any other energy measurements reuired to adminster ths Agreement. Telemetr Eguipment - If Telemetr Equipment is required by the Transmittg Entity and the Trasmitting Entity and Idao Power deterine that it is reuired that Idao Power have access to the automated data. The Seller shall be responsible for all costs associated with providing the automated telemetry data to Idaho Power. Exact details of the Metering and Telemetr equipment and specificatns wil need to be added to this appendix once more information becomes available in regards to the physical and electrical configuration at this site and the configuration of the interconnection at the Point of Delivery. B-8 NETWORK RESOURCE DESIGNATION Idaho Power canot accept or pay for generation from this Facility until a Netork Resource Designation ("NR") application has been accepted by Idaho Power's deliver business unt. 41 Draft:F or Discussion 10/28/2010 Attachment No.8 Case Nos, IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 62 of 74 Draft: For Discussion Purposes Only Feder Energy Regatory Commssion ("FERC") Rules requì Idaho Power to prep an submt the NR. Because much of the informaton Idao Power needs to prear the NR is specific to the Seller's Facilty, Idao Power',li abilty to fie the NR in a tiely maner is continget upon tiely reeipt of the reui infonntion fr th Seller. Pror to Idao Power beginning the process to enle Ido Powe to submt a request for NR statu for this Facilty, the Seller shal have completed all requients as spcifed in Pargraph 5.7 of th Agrt. Seller's faiure to provide complet and accurate informatin in a timely maner ca iìigcantly impact Idaho Powe's abil and cost t,o attai the NR desation for the Seller's Facil and the Seller shall bear th~ costs of any of these delays that are a result of any aetion or inacon by the Seller. 42 Purpse Omy 10122010 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 63 of 74 Draft: For Discussion Purposes APPENDIXC ENGINER'S CERTIFICATION OF OPERATIONS & MAINENANCE POLICY The undersigned . on behalf of himself/herself and , hereinafter collectively refered to as "Engieer," hereby states and certifies to the Seller as follows: 1. That Engineer is a Licensed Professional Engineer in good standing in the State of Idaho. 2. That Engineer has reviewed the Energy Sales Agrement, hereinafter "Agrement," between Idaho Power as Buyer, and as Seller, dated 3. That the cogeneration or small power production project which is the subject of the Agreement and this Statement is identified as IPCo Facilty No.and is hereinafter refered to as the "Project." 4.That the Project, which is commonly known as the Project, is located in Section _ Township Rage . Boise Merdian,County, Idaho. 5. That Engineer reognzes that the Agreement provides for the Project to fuish electrcal energy to Idaho Power for a year period. 6. That Engineer has substantial experence in the design, constrction and operation of electrc power plants of the same tye as ths Project. 7. That Engineer ha no economic relationship to the Design Engineer of this Project. 8. That Engineer has reviewed and/or supersed the review of the Policy for Operation and Maintenance ("O&M") for this Project and it is his professional opinion that, provided said Project has bee designed and built to approprate standards, adherence to said O&M Policy will result in the 43 Draft:lior Discussion 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 64 of 74 Draft: For Dfieumou Purpse Only Prect's prucingat or nea the desgn electrca output, effciency and plat factor for a _ ye perod. 9, Thát Engieeregnie tht I(bo Power, m accordce with pargrph 5.2 of the Agrent, is reiyi~ on Entiees repestations and øpmiotl cotamed in this Statemnt. 10. That Enginer eerñes tht the above statements ar éomplete, tr and aèCurte to th be of hisler knowlc:ge and therfore sets hisler ha and seal below. By (p.E. Stap) Date 44 Draft: For Discussion Purposes Onl 1012812010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 65 of 74 Draft: For Discussion Purposes Only APPENDIXC ENGINER'S CERTIFICATION OF ONGOING OPERATIONS AND MAINTENANCE The undersigned , on behalf of himselflerself and hereiaf collectively referred to as "Engineer," hereby states and cerifies to the Seller as follows: 1. That Engineer is a Licensed Professional Engineer in good standing in the State of Idao. 2. That Engineer has reviewed the Energy Sales Agreement, hereinafter "Agreement," between Idaho Power as Buyer, and as Seller, dated 3. That the cogeneration or small power production project which is the subject of the Agreement and this Statement is identified as IPCO Facilty No.and hereinafter referd to as the "Project". 4.That the Project, which is commonly known as the Project, is located in Section _ Township Rage , Boise Meridian,COWlty, Idaho. 5. That Engineer recognizes that the Agreement provides for the Project to fush electrcal energy to Idaho Power for a year period. 6. That Engineer has substantial experence in the design, constrction and operation of electrc power plants of the same type as this Project. 7. That Engineer has no economic relationship to the Design Engineer of ths Project. 45 Dnft: For Discussion 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 66 of 74 Di,eDøiOD Porpose 8. Tht Engifieeha made a physical insion of said Project, its opertions and maintenan~ reords since the last previous certifed inson. 1t is Engineer's profesiona opinon. bas on the Project's appece. tht its ongaing O&Mha beensubstatily in accor with sad O&MPollcy; that it is in røaribly god opetingcol1dition; and that if adherce to sad O&M PQ1icyçoptinu~, th Projec will èofitiue prucing at or ne. its design electrcal output. efciency and plant factor for the reining year of the Agrent. 9. Tht Rngineerrecogze tht Idao Power, in accornce withpangrph 5.2 of th Agrent, relyipg on Engieer's tetitions and opnio CQntaied in ths Stateent. 10. That Enginee cees thåt the above stateneIts ar ooplete, tre and accurate to the bet of biiØer knowledge and therfore se~hisêr hand and seal below. By (P.E. Sta) Date 46 Draft FOr'Dliulln Pus Ony 101281010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 67 of 74 Draft: For Discussion Purposes Only APPENIXC ENGINER'S CERTIFICATION OF DESIGN & CONSTRUCTION ADEQUACY The undersigned , on behalf of himselflerself and hereinfter collectively referred to as "Engineer", hereby states and certifies to Idaho Power as follows: 1.That Engineer is a Licensed Professional Engineer in good standing in the State of Idao. 2.That Engineer has reviewed the Fir Energy Sales Agreement, hereinafter "Agrment", between Idaho Power as Buyer, and Seller, dated 3.That the cogeneration or small power production project, which is the subject of the Agreement and this Statement, is identified as IPCo Facility No and is hereinafter refered to as the "Project". 4.That the Project, which is commonly known as the is located in Section _ Township Rage , Boise Meridian,County, Idaho. 5.That Engineer reognizes that the Agreement provides for th Project to furish electrcal energy to Idaho Power for a year period. 6.That Engineer has substantial experence in the design, constrction and operation of electrc power plants of the same tye as this Project. 7.That Engineer has no economic relationship to the Design Engineer of this Project and has made the analysis of the plans and specifications independently. 8.That Engineer has reviewed the engineerng design and constrction of the Project, including the civil work, electrcal work, generating equipment, prime mover conveyance system, Seller fuished Interconnection Facilities and other Project facilities and equipment. 47 Draft: );~or Discussion 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 68 of 74 9. Draft: For DiKoB Purpmi Only That the Prjeá has been eonstied in at.(rcce with saidplar and spfications, aU applicable cooesanâ consistent with Prent Electrcal Practccas that teo is desbe in the Agrent. 10.That the deign and constion of the Project is such that with reasonable and prudeit opeation and rnintealle praçtice 1)y Seller, the Prject is capable of peroning in accorce with the ten of the Agent and withP: Eleeeal Practces for a ye perod. 1 i.Tht Enginee recgnize tbtldaoPower, in accoce with pagraph 5.2 of the Agreit, in internnectig the Project with its system is relying on Engi~s rerestation and opinons contane in this Statement. 12.that Engineer cefies th the above statemeits ar cóinplete, tr and accurte to the bist ofhist knwledge and therore se hisl hand and sea below. By (p.E. Sta) Date 48 Draft: For Discussion Purposes Only 1012SaOlO Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 69 of 74 Draft: 11'01" Discussion Purposes Only APPENDIXD FORMS OF LIQUID SECUR The Seller shall provide Idao Power with commercially resonable secunty instrents such as Cash Escrow Secunty, Guarantee or Letter of Credit as those term are defined below or other forms of liquid financial secunty that would prvide reily avalable cash to Idaho Power to satisfy the Delay Secunty reuirement and any other secunty requiement within this Agreement. For the purose ofthis Appdix D, the ter "Credit Requirements" shall mean acceptable financial creditworthiness of the entity providing the secunty instrment in relation to the ter of the obligation in the reasonable judgment ofIdaho Power, provided that any guarantee and/or letter of credt issued by any other entity with a short-ter or long-term investment grade credit rating by Standard & Poor's Corporation or Moody's Investor Servces, Inc. shall be deemed to have acceptable fiancial creditwortiness. 1. Cash Escrow Secunty - Seller shal deposit fuds in an escrow account established by the Seller in a bankng institution acceptable to both Parties equal to the Delay Secunty or any other required secunty amount(s). The Seller shall be responsible for aU costs, and receive any interest eaed associated with establishing and mantaining the escrow account(s). 2. Guaantee or Letter of Credit Security - Seller shall post and maintain in an amount equa to the Delay Securty or other requied security amount(s): (a) a guarnty from a pary that satisfies the Credit Requirements, in a form acceptable to Idaho Power at its discretion, or (bl.an irevocable_Letter of Credit in a form acceptable to Idaho Power, in favor of Idao Power. The Letter of Credit wil be issued by a financial 49 DiscIHision 10/28/2010 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 70 of 74 Draft: For Discussion Purposes Only institution acceptable to both parties", The Seller shall be responsible for all costs associated with establishing and maintaining the Guarantee(s) or Letters) of Credit. 50 Draft: For Discussion Purposes Only 10/28/2010 Attachment NO.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 71 of 74 Draft: For Discussion Purposes Only APPENDIXE WIN ENEGY PRODUCTION FORECASTING As specified in Commission Order 30488, Idaho Power shal make use of a Wind Energy Production Forecasting model to forecast the energy production from this Facilty and other Qualifyng Facility wind generation resources. Seller and Idaho Power wil shar the cost of Wind Energy Production Forecasting. The Facility's share of Wind Energy Production Forecastig is detenned as specified below. Sellers share will not be greater than 0.1 % of the total energy payments made to Seller by Idaho Power durng the previous Contract Year. a. For ever month of this Agreement beginnng with the first full month after the First Energy Date as specified in Appendix of this Agrement, the Wind Energy Production Forecasting Monthly Cost Allocation (MCA) wil be due and payable by the Seller. Any Wind Energy Production Forecasting Monthly Cost Allocations (MCA) that ar not reimbured to Idaho Power shall be deducted from energy payments to the Seller. . As the value of the 0.1 % cap of the Facilties total energy payments will not be known until the first Contract Year is complete, at the end of the first Contract Year any prior allocations that exceeded the 0.1 % cap shall be adjusted to reflect the 0.1 % cap and if the Facility has paid the monthy allocations a refund will be included in equal monthly amounts over the ensuing Contract Year, If the Facilty has not paid the monthly allocations the amount due Idaho Power will be adjusted accordingly and the unpaid balance will be deducted frm the ensuing Contract Year's energy payments. b. During the first Contract Year, as the value ofthc 0.1% cap of the Facilities total 51 Draft: For Discussion 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 72 of 74 Draft: For Discussion Purposes Ouly energy payments will not be known until the fist Contrct Year is complete, Idaho Power will deduct the Facility's calculated share of the Wind Energy Production Forecasting costs specified in item d each month durig the fit Contract Year and subsequently refud any overayment (payments that exceed the cap) in equal monthly amounts over the ensuing Contract Year. c. The cost allocation formula described below will be reviewed and revised if necessar on the last day of any month in which the cumulative MW nameplate of wind projects having Commission approved agreements to deliver energy to Idaho Power has been revised by an action of the Commssion. d. The monthly cost allocation will be based upon the following forula: Where: Total MW (TM is equal to the total nameplate rating of all QF wind projects that ar under contract to provide energy to Idaho Power Company. Faciity MW fFMW is equal to the nameplate ratng of this Facility as specified in Appendix B. Anual Wind Energy Production Forecastng Cost (AFCost) is equal to the total anual cost Idaho Power incurs to provide Wind Energy Production Forecasting. Idaho Power will estimate the AFCost for the curent year based upon the previous year's cost and expected costs for the curent year. At year-end, Idaho Power will compar the actual costs to the estimated costs and any differences between the estimated AFCost and the actual AFCost wil be included in the next year's AFCost. Annual Cost Alocation (ACA) = AFCost X (F 1 TMW And Monthly Cost Allocation (MCA) = ACA 112 e. The Wind Energy Production Forecstig Monthly Cost Allocation (MCA) is 52 Draft: For Discussion Purposes Only 10/28/2010 Attachment No.8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 73 of 74 Dra: For DiJeunioD Purpses due and payable to Idao Power. The MeA will fir be need aganst an tnonthlyener payments owed to the Seller. If the netting of the MeA against the monthly energy payments reults in a balance being due Idao Power, the Facilty sbàll pay this amount within 1 S days of the date of the payment invoice. 53 l012I2()10 Attachment No. 8 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 74 of 74 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO.9 ~hin, Randy From: Sent: To: Cc: Subject: Importance: Tracking: AJlphin, Randy Thursday, No~ember 04,201010:25 AM peter~richardsorlándoreary.com Walker, Donovan Wasatch wind - Grouse Creek I and Grouse Creek Ii transmisssion requests High Rec:ipie"l peter!lrichardsonandoleary.co Walker, Dønøn Read Read: 11/412010 10:26 AM peter, as I indic¡ited in our letter to you dated November 1, 2010. 1 proceeded with filing transmission service requests (TSR) for both of these projectS. Upon review of the information I submitted the application was rejected by the Idaho Power transmission group due to the fact that information did not sync up with the project's transmission requests on the aPA system. The information prOvided by the projects in the Idaho Power transmission Capacity application questionnaire indicated an on line date 12/1/2012, whereas the BPA transmission information indicates the earliest aPA Would have transmission capacity would be available on the BPA system is June 2013. The BPA transmission application indicates ,a 21 MWand a 30 MW project, based on the last information Wastach provided to Idaho Power you requested two 21 MW projects. In order for the Idaho Power transmiSSion group to accept my transmission applications we must have our information consistent with the project's request for transmission on the aPA system. Please submit a revised Transmission Capacity Application Questionnaire for both the Grouse Creek I and Grouse Creek II project as soon as possible. I wil wait to file the Idaho power TSR until you have provided the revised information that is consistent with the BPA transmission requests. Ancillary Services - it is also very important to note that 8PA wil not be supplying ancilary services for your project. You will be required to secure these ¡inciUary services from someone. As the proje.ct is not in the Idaho Power service territory, Idaho POWEr is not required to supply ancilary services. if you want Idaho Power to provide the.se services, you wil need to send in a written request and Idaho PoWer will review the request to determine our ability and cost to provide these services. These services and costs woUld be in addition to any transmission costs incurred to provide transmission capacity for this project on the Idaho Power electrical system. In summary - I must have ,a revised transmission questionnaire from the projects that is consistent with the BPA transmission requests to be able to file an Idaho Power transmission serviCe request. Randy 1 Attachment No. 9 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affidavit, IPC Page 1 of9 a DONOVAN E. WALKER S.nror Counsel~~.Q~m November 24,2010 VIAE-MAIL Peter J. Richardson RICHARDSON & O'LEARY, PLLC 515 North 27th Street P.O. Box 7218 Boise., IdahO 83702 Re: Grouse Creek Wind Park, LLC, and Grouse Creek Wind Park II, LLC Mr. Richardson: Please let this confirm receipt of your November 23, 2010, letter regarding the abave~reterenced proposed projects subsequent to our November 19, 2010. meeting, With that Jetter you confirm, on behalf of your client, that Idaho Power had previousiy sent YOll draft contracts containing the "standard" terms and conditions for a PURPA, le$$ than 1 o average megawatts, published avoided cost rate Firm Energy Sales Agreement ("FESAlJ). With this lelter IdaM Power acknowledges that Idaho Power and your client are fully engaged in the referred to PURPA contracting process. Your letter also confIrms and acknowledges that your client wishes to move forward with the FESA, Including the standard, Idaho Public Utilìties Commission ("CommissionlJ) approved $45 per kilowatt of project .capacity delay security. prior to completIon of the interconnection and transmission studies and processes. Further, that your client understands it Is their responsibìlty to work with Idaho Power's Delivery business unit to ensure that suffcient time and resources wil be àvallable for Delivery to construct the lnterconnectlon facilties, and transmission upgrades if required, in time to allow the projects to achieve the Scheduled Operation Date that the projects wil commit themselves to in the FESA. In addition, your client has been advised, and accepts the risk, that delays in thelnferconnectlon or transmission process do not constitute excusable delays in achieving the Scheduled Operation Date, and if the projects fail to achieve the Scheduled Operation Date at the time,s specified in the FESA, delay damages wlU be assessed, and delay security applied. Please allow me to suggest that special consideration be giiien to the Scheduled Operation Date selected by the proJects fot Inclusion in tile FESA, such that with the information available at this time a date is ohosen that has a good probabilty of providing time for the anticipated interoonnection ånd possible transmission upgrades to be completed. Affidavit of Ch ristin~, M~I~elL '., Exhibit J 1(. Case Nos. IPC-E-IO~6ï'; W~j¡.iO.62 Page 1 Attachment NO.9 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 of9 Peter J. Riohardson November 24,2010 Page2of7 Additionally, given 1h.e VtJl) large amount of PURPA genei'ation projects that ara proposed for Integration Into Idaho Power's system, as well as the issues raised in the November 5, 2010, Joint Petition filed with the Commission, Idaho Power WOUld like to call yor attention to some of the existing terms and conditions that are part of the CommIssIon-approved standard PURPA FESA, as well as part of the Company's approved Tariff Sohedule 72, and make certin that both Idaho Powr and your cllents have a common understanding and meeting of the minds as to the meaning of these terms and conditions prior to exeoutlng the FE$As and submittng thesame to the Commission for approvaL. Accrding to the standard provisions of the FESA (included below for your reference), curfailment without compensatIon may occur if there Is an event of Force Majeure, a, Forced Outage, or a temporary disconnection of the Facillty in accordanC$ with Tariff Schedule 72. If the gerieratlon from your client's facilty wil have an adverse affect upon Idaho PQwets service to its customers, Idaho Power may temporarily disconnect the facilty frm Idaho Powets transmission/distribution system as specified within Schedule 72, or take such other reasonable steps as Idaho Power deems appropriate. Idaho Powets intent and understanding Is that nonøoorrpensated curtailment would be exercised when the generation being provided by facilties conne,cted to Its system in certain operating coditions exceeds or approaohes the mJnimum load levels of the Company's system such that It may have a detrimental effect upon the Company's abilty to manage Its thermal, hydro, and other resources In order to meet its obligation to reliably serve loads on Its system. Idaho Power trusts that these provisions are acceptable to you and your clients, as they have been part of the Commisslon..appmved standard FESA, as well as part of the Commission-approved Tariff Schedule 72 for quite some time. Signing and submiting the FESAs to the CommissiOn will evidence your specific acknowledgment that both parties have â common understanding as set out above with regard to the possible curtailment, without compensation, that may occur In certn operating conditions on Idaho Power's system. Please review the previously provIded draft contract: fllHn or corrct any of the project specific, factual information contained thereIn; and return the draft to Idaho Power so that the Company can then initiate the Sarbanes-Oxley contract approval process and generate ane.xecutable draft for signatures. Sincerely, eb, (llrz~,\_Donovan E. Wall(er DEW:C"Jb co: Randy Allphin (via a-mall) Affdavit of CliliStíl10 Mikell Exhibit J Case Nos. IPC-E-I0-61 , IPC-E-I0-62 Page 2 Attachment No.9 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 3 of9 Peler J. RIchardson Nove~r 24, 2010 Page 30f7 Artcle XU; Opertions. from the FESA states as follos: 12 .1CommuhlcaUons - Idaho Power and the Seller shall maintaIn lpproprllte oplJratlng cømmunlcations thrqogb Idaho Power's PesiOn_te DiSatch Facilty In aocordlnce with Ap~ndix A of thi& Agrement. 12.2 Energy Accptànèe - 12.2.1 12.2..2 12.2.3 Idaho Po shall be excuse from acpting and paying for Net Energ or aocepting Inadvertent Energy which would have otherwise ben produced bythè Facllty and deUvered by the Seller to the Point of Delivery, If It Is prevented from doing $0 by an e~rlt ofF!arC8 Mljure. Forcd Oute or temporary dieconne(lon of the FactUty In accrdance wit Sch6(ule 12. If, for reasons other lh.n an event of Forc M...re or a Forçed Outae. a temporary d!scoMecon under Schedule 72 exceeds twenty (20) days, beginning wîth the twenty-first day of such Interr, curtilmnt Gr reuçtlon, Seller wil be deeme to be delivring Net Energy at a rate eqlAlvàlent to the pro rlta dally aVerage of the amounts specifd for the applicable month In para9,raph 6.2. Idaho POWêr will notify Seller when the interrupton, curtllment or reduction Is terminate. If, In. the reasonable oplrílon of Idaho Power.Seller'$ operatlol' 'of the Faoill or Innecon F8C1l l& unsafe or may othelw ad aff ldlho Power's equipment, pennel orserv to It custOl'fS, Idaho Powr ma te dlnnot the Facility from Idaho Power's trnsmisIon/distributio system as specl witin Setedule 72 or take such other reasonable steps.. Idaho Power deems appropriate. Under no circmstances wil the Seiter deliver Net Enel'Y and/or Inadvertent Energy from the Facíll to the Point of De In an amount that exceds the MIX Cap Amount at any , moment In time. SeWs fa to limit deliveries to the Maximum Capaçly Amount wil be å Material Breach of this Agreement. Affidavit of Christine Mikell ExhibitJ Case Nos. IPC-E..io-6l, IPC-E-I0-62 Page 3 Attachment No.9 Case Nos. fPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, fPC Page 4 of9 Peter J. Richardson Novembèr24,2010 Page4of7 12.2.4 If Idaho Power is unable to accpt the energ frm this FaciDly and is not excused frm accpUri the Facilty', energy, Idaho Power's damages shall be limited to only the vllue of the estmatedønergy that Idaho Powr was unable to accpt. Idaho Power will have no reponllibilily to pay for.ny other taita, lost revenuø or conseuential damaes the Fadllly may Incur.. 12.3 Scheduled Maintenance - On, or bafore Januaiy 31 of each calendar year, Seifer shall submIt a wrttn prposed mafntenance schedule of signifloa,nt Facility maintenance for that calendar year and Idaho Powr and Seller shaJJ mutually agree as to the accptabØity of thè proposed schedule. The Parties deterination as to the aecptainty of the Seller's timetable for scheduled maintenance will take into constderatlon Prudent Electrical Practcas, Idaho Power systern tèquitè.rents and the Seller'S preferred schedule. Neither Party shall unresonably withhotd acceptance of the proposed maintenance scmedule. 12.4 Malntenance Coofdination - The Seller and Idaho Power shall, to the extnt practica, coordinate their repeet line and facilty maintenanc schedules such that they ooor simultaneously. 12.5Contaet Prior to CurtaRment .. Idaho Powr wilt make a rea$Onable attempt to oontact the Seller prior to éxerclslng It, riQhts to Interupt interconnection or cortn deliveries from the Seller's FacUlty. Seiler understands that In the case of ~mergl1CY cfrcumstancøs. real time operations of the elerical system, andlor unplanned event Idaho Power may not bé able to provjde notice to the Seller prior to interruption, curtffment, or reducton of electrical energy deliveries to Idaho Power. Idaho Power's Schedule 72, Interconnections to Non~Utilty Generation, states in pertinent part: 5.3 Temporary Disconnection. Tel1orary dlsconnecton shall continue only fqr so Iòng as reasonably necessary under Í1GC)od Utilit Practice." Good UUity Practice means any of thEt practices. methods and acts engaged In or approed by a significant portion of theeleetrlc. Industr during the relevant time period, or àny of the practices, methods and acts which, In th exercise of reasonable judgment In light of the fact known at the time the declslon was made, could have been eXPitd to accomplish the desired result ata reasonable cost consIstent wi QOod business practIces, rellabllty, safety and expedition. Good Utfllty Practce Is not Affdavit of Christine Mikell ExhibitJ Cas Nos.IPC-E..iO-61, IPC.E-l0-62 Page 4 Attachment No. 9 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 50f9 Peter J. Richardson November 24, 2010 Page50f7 intended to be ßmlte to the optimum practde, method, or act to the exclusion of all others, but rather to be açcptable practices, meods, or acl generall accpted in the rfgion. Good Utility PractIce inclUdes copliance with WECC or NERC requirements.. Payment of 100t l'venue rellng from temprary dlsconneotlon shall be govrne by the power purchase agreement. 5.3.1 Emergncv CgngltlOl' UEmergenc Condition" means a condition or .sltuation; (1) that In the judgment of the Part making the cllm Is Imminently likely to endanger life or propert; or (2) that, In the ctse Of the COmpany, Is Imminently likely (,$ determIned In a non-dj$criminatory numner) to ciusea materf advers effct on the securit of, or d8 to th Company's trnsll~n~.., the Còpany's Intnne F8C orth eqUi of the com)" cuete.,; or (3)th In th oa of th se, illmnll ik (Ddermine In a noat n1nnt) to ca_ a maærlal advers effec on the rellabiHty and securiof. or ~ to, th Oera Fa. or th Sø Inlnec FìCes. Under Emenc OOl élr th Compan or the seler mayimdi sq lnníseic end te 41snn the Generallon F8c1. Th Cony shaD nOf th Seller .pr, whn I bee. .- of en Emeen Con tht may re,.1I be ~ to af. th seleø op of th Ge Fådit. The Se ahnoir thø Co pr when It be awarof an Emrpnoy Codl that R1Y rena b& exp to af th COmps ~Irt orseic to th Coy'. Gustra. To.Ch extlntoll II kn. th noUti sh ~ th em~ Conitio, the extet of the dll or dlfcleoy,th .-ec eff en thopertln Of bo Part' ~ an opeUon, if ancipadura, and th ne core. aøn. 6.3.2 Boul MWDJ QøØì an ßt. The COmpny may Intt Iaeã S8ce or cu th outt of th seWs Gera f.i .. l$rø dfnti th GeneraFacfr th Conf ~nttr .sy wh nety for roin mainnanc,con. end ref.. on thCotl Affdavit or Chiistine Mikell ExhibitJ Case Nös. IPC-E..IU.6!, IPC.E-l0-62 PageS Attachment No.9 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 6 of9 Peter J. Ricardson November 241 201Q Pige6of1 ttansmisslonldisrlbutlon syst$m. The Company will make a reasonable tUempt to contact the Seller prior to exerci8ngitš rights to interrupt intercnnecion. or curtil deliverIes from th Sellets FaciDly. Seller undel'tands lh. In the case of emrgncy cfl'l1fånces, real tie operations of the eieetrlca8Ytem. and unpl evts. Ut Co .yno be able to pro no to Ut $e ptto(ht. CU or reuo of eIØl døll tolh C~an. nie Co_aU U88 re ef toeørnfe such reduction or temporary disconnection wit the Seller. 5.3.3 SCØU Ma!nOn or l*re JanllIY 31 of eaoh oar ye. Sell .. eua wr pr nt~ 8Cle of slgt Fac~ce to tht CU ye an th Coy and Seller shall matually agree as to the accpl$bHit of the proed schec;uJe. The Partie determnatIon al to the aCCplâblllty of the. Sellêrs timetable for schedUle maintnance wil take Into consideration Good unity Practices, Idaho Power sytem requirements and the Sellets preferr sèhedule. Neither Part shlilI unreasoniibly withhold accptance of the propos maintenance schedule. 5.3.4 Ma CoIn'. Th Seifer llnd the Coman Ibal. to ih ,øx pr, coordnate thir .re ~Ut system and Generation FacUity maintenance schedules such that they occur simultiineousy. Seller shall prciide and maintain adequate prctive e.uipment suffent to prevent damage to the Generation Facility and Seller. furnished 'nl$rccneolQn FacUltes. In some cases. sotreof Seller, protect refaYJ wU' provide back-up protection for Idaho Power's facHities. In that event, Idaho Powr will test stich relays annuållY and Seller wil pay the actual cost of such annuilitesting. 5.3.5 Force Ouges. During any forced oute, the Oompany may suspend interconnection seNC8 to effect immediate re.palrs on the Companys trnsmISsion/distrbutin syste. The Company shill Use reasonable effort to provide the Seller with prior notie. Ifprior notice Is not given, the Company shall. upon réquest, provide the Seller wren Affdavit of Christine Mikell ExhibitJ Case Nos. IPC..E..iO-61, IPC-E-10-62 Page 6 Attachment No. 9 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 7 of9 P~r J. FUchanjson November 24, 2010 Pige7of7 documentation aftr the fact explaining the cLrcurnstanCèof the disconneotlon. 5.3.6 Myerse Operating Efct. The Company shàll notify the Seller as soon as práctlCâble If, ba$ed on Good UUlty Practic, operàlfon of the Seller's Generation Facility may cause dIsruption or deterioration of servce to oter cU8tomera served from the same electc systef1 or If operating the Generation Facllit could cause damage to the Company's transission/distribution sY$t.m or other affected .ystems. Supportng documentation used to reach the desion to disconnect shall be prOVided to the sellêr upon request. If, after notlc, the Seller fails to remedy the adverse operating effct within a reasonable time, the Company may, disconnect the Genertion Facility. The Company shall provide the Seller wfth resonable noti of suCh discnnection. unless the prol&ona of Anicle 5.3.1 apply. 5.3.7 MoUo of .. Otgetl Fac.The Seiter mat re wr aut from the Companybere ma any change to th GetJn Facl that ma have a ma Imct on th i.rely orrebil øf U1 COmpl& tnlodlipt Suc auton shl not be unrelbwi. Molftlons"'lI.be c:l' In aonc wltGood Utility Practice. If the Seller makes such rrodltltion without the COMpany's prior wrillén authorization. the lattr shall have the right to temporarily di$Cnnect the Generatlcm FacRlty., 5.3.8 Reconnecton. Thè Panlesshall cooperate with eaoh other to restore the Generation Faoilit, Internnection Facilities, and the Company's transmision/distributIon system to theIr normal operating state as soon as reasnebly practioable foiiowing a temporary disconnection. Afídavit ofChrilitiiiøMikell Exhibit J Case Nos. IPC-E-10-61,lPC-E-i0-61 Page 7 Attachment No. 9 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 80f9 ~hin, Randy From: Sent: To: Cc: Subject: ~etêl'.Rf(;tirqsQri (peter~richardsonandoleary.coml '. Monday, November.29, 201() 10:46 AM Kris Sass.er Walker, DOIovan;Grêg Adams; Allphin, Randy Grouse Creek Complaint Dockets Krs, as we discussed ths morng on the telephone, we have tentatively reached a settlement with Idaho Power and respectflly request that the Commission not serve a summons on idaho Power at this time. We believe we wil have a final setement within approximately two to thee weeks and we will at that time fo:ra1ly request a dismissal that would be contingent upon Comiission approval ofthe finl settlement agre,ement and power purchas,e agreeent. Please referce Docket Nos. IPC-E-10-29 and IPC-E-1O-30. Peter Richaron Richardson & O'Lea 515 N. 27th Street Boise, Idaho 83702 (208) 938-7901 1 Attachment NO.9 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affidavit, IPC Page 90f9 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO. 10 Allphin, Randi From: Sent: To: Cc: Subject: Attachments: Gr~~)~øaft$IGreg(grièharasQnandoleatY.comirhursda~,p~mberQZ.;2Ò1 04;42 PM Walker, Donovan Peter Richardson; Allphin, Randy Grouse Creek Projects 12-2-10 Walker Letter GCWPs.pdf; Grouse Creek PPA Draft -12-2-10.doc; Grouse Creek II PPA Draft 12-2-10.doc Donovan, Please see the attached letter from Peter Richardson and completed draftFESAs for these projects. Please contact us with any questions. Greg Greg Adams Richardson & O'Lear PLLC 515 N. 27th Street, 83702 P.O. Box 7218, 83707 Boise, Idaho Voice: 208.938.2236 Facsimìle: 208.938.7904 Inormtion contained in ths electronic message and in any atthments heeto may contain informtion tht isconfdentìal, protected by the attorey/client privilege and/or attorney work product doctre. Ths emal is intended only fo th use of the invidua or entity naed above. Inadvernt disclosure of the contents of ths email or its attchments to unnteded recipiets is not inteded to and does not constitute a waiver of the attorney/client prvilegeanor attrney work prduct doctre. This trnsmission is fuer covered by the Electrnic Communcation Privacy Act, is U.S.C. §§ 2510-2521. If you have received this email in eror, imediately notifY the sender of the erneous re.eipt and destoy this emil and any attchments of the sae either electronic or prnted. Any disclosur, dissemination, distribution, copyig or us of the contents or informtion received in error is strctly prohibited. Than you. 1 Attachment No. 10 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of 3 IHIlÐ8ÐN It OLE, PU ATTORNEYS AT LAW Pctcr Richardson Tel: 208-938.1901 FlO, 208.938.1904 pcrc,.rldii,duai ndolci 'y. com P.O. 80s 1218 BOÎf. ID U707 . SU N. 27m Si, lui.e. ID 83702 2 Decembe 2010 Vitz U.S. Mtzt1 and Electronlc Mail Donavon Walker Legal Deparent Idaho Power Compay 1221 West Idaho Stret Boise, IO 83702 RE: IPC-E-IO-29, IPC-ElO-30-0rouse Creek LLC and Grouse Creek II LLC Complaints Dear Donova; Than you for your letter of November 24, 201 0, regaring the above,.referenced projects and complaint actions. As we agreed, we have taken the steps necessary to stay the pending complaint actions regarding these projects in response to your letter. Wasateh Wind is fully aware oithe contacts' provisions you highlighted in, your letter. Wasatch Wind is also fulJy aware of the transnssion an interonnection risks, as weI i as the liquid security provision. As we discussed earlier today, the dtft agreements you sent contain a requirement in Aricle S.7 to complete certain internnection and trmisson processes prior to execution of the Firm Energy Sales Agreement, but you agree to remove this requirement from the final agreement. I also would like to point out that Wasatcb Wind ha not included line losses in the schedule of Monthly Net Energy for theñrst year of the agement contained in Aricle 6.2.1. Wasatch Wind understands tht it wil only be pa.id for output delivered to Idaho Power's system per the provisions of Appendix ß.6. Additionally, beaus there wa some confuon earlier, pleas provide me with confrmtion tht Idaho Power ha initiated the tranmission capacity applications to secure Netork Resource designations for these projects. The requests should be for two 21 MWprojeet, each with a First Energy date ofDeçember 31,2012, and Scheduled Operation date of Lune 1, 2013. Wasatch Wind is prpaed to execute the agreements and we appreciate the fact that Idao Power is processing them as quickly as possible, s.ubject only to your stdard Attachment No. 10 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 of3 Mr. Doovan Walker Debe 2,2010 Pag 2 SarbaOxey contract apPval proce. To tht en enclose you wi fid th ñdly filled ou cont for ea of the aboe..refed prec. Sínøely, 'A J 'g 11- )~ .~Petr J. Rich Richdson &; O'Le PLLC Attachment No. 10 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 30f3 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO. 11 , ~hin,RandY From: Sent: To: Co:Subje:Alments: Traking: Peter, ;JtØ1:50PMTIPeter Walker. Donoan VVasah wtnd .energyWash wtndenlet 1i..1-2010,pd Repint 'Pet Rlc' Walk, Doova Attached is a leer in regrdtö theWasatc Wfnd èl'èê projects. Randy Allphin Idaho Power COmpany 1 Read Rl;d: 1211210 1:S PM Attachment No. 11 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affidavit, IPC Page 1 of3 ø_.AAii:~~ December 7, 2010 Wasatch Wind C/O Peter Richardson Richardson &, O'Leary 515 N 27th Street, Boise, ID 83702 Original: U SMail E~mail copy: Peter Richardon pete~richardsonandoleary.com Re: Gruse Creek I and Grouse Creek II wind project transission reuests Mr. Richardson, Idaho Power is in receipt of your letter dated December 2, 20 i 0 and the draft purchas power agrents YOu provided for these two projects. Idaho Power is reviewing the infonnation provided and wil coordinate the completion ofthese agreements in a prompt manner. In addition, in this letter you provided clarfication of the project sizes and have asked for confinnation that Idaho Power has fied the necessary documentation to initiate the transmission capacity acquisition process. As was discussed in our meeting of November 19. 2010, the project have provided Idaho Power with differng details of the projec such as project sizes, proposed online dates, third party transmission infonnation. etc. In October and early November 2010, Idaho Power received confirmation frm the project of e.nough specific details to enable Idaho Power to request transmission capacity for these projects. On November 4,2010, Idaho Power fied a transmission service request application with the Idaho Power transmission grup for these projects. At that time, the Idaho Power transmissioti grup returned the application communicatmg back that they wer unable to process the application due to the fact that the BP A transmission requests noted on the information provided by the projects were not consistent with the infonntiøti provided by the project to Idaho Power for the Idaho Power trnsmission request. P.O, Box 70 (&3107) AttachmeMtN'ßI~t St. Case Nos.ol¡se~~1!ß-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 of3 On Deber 6, 2010, we once aga filed a trsson sece reuest with th Ida Power trssion group. We will communicae to you all infòaion regaing ths reues as we receve it back fr the trsmisson grup. If you have any questions pleae do not hestate to cotact me. Sicetly, lit~' Rady C. Allphi Senor Engy Contrct Cordintor (208) 388-2614E-ir:ra(idabOJ,o cc Donò Walke (lPCo) 1'0 b 70 (imon'lt IN kI'S1Il(l II imz Attachment No. 11 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affidavit, IPC Page 30f3 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO. 12 ~hiniRandy From: Sent: To: Co: Subject: Attachments: d Walker, Donovan Grouse creek draft contracts Grouse Creek wind Park II Idaho Power draft agrement 12-07-2010.docx; Grouse Creek wind Park IdahO Powr draft agreement 12-o7-2010.docx Tracking:Recipient 'Peter Rîchardson' Walker. Donovan Read Read: 121712010 7:ti6 PM Peter, Attached are draft agreements for the Grouse Creek wind park and the Grouse Creek wind park II. In reviewing the drafts you had previously provided we discovered numerous problems with document formatting, fonts, etc. Therefore we have copied the project specific information you provided in those drafts into new draft agreements. Please use these draft agreements for all new comments etc. One key piece of information that wa.s missing from both agreements . the aCcurate 10catiOn dèscription. The locations provided are identical and the section information was hOt filed in. Bàsed on this information that has been provided, there is no abilty to determine if the projects are at least 1 mile apart from each other. Please review these draft agreements, add the additional information and return your comments ASAP so that we can continue to move forWard with these agreements. Randy Allphin Idaho Power Company 1 Attachment No. 12 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of2 .chin, Randy Fro:Se To: Co:Subje: Per Richardson (petertmrichardsonandoleary.co) Thursay, Dembe 09,20103:18 PM Walker, Donovan; Allphin, Randy Greg Adams Grouse Oreek On Une Date Donovan and Randy, Ou clíent hii a.grd to the delay secty provisions, and in lookig at our on line da.te requet, what would be your reaction if we moved the on line dates from fist energy 121l2a. COD 6113 to fit energy 6/13 and COD 12113? Would we sti be o.k. in the prcess you have going? Tha, -Pete Pet Richarson Richardson & O'Lea 515 N. 27th Street Boise, Idaho 83702 (208) 938-7901 1 Attachment No. 12 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 of2 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO. 13 Darrington, Michael From: Sent To: Cc: Subjec: ',e¡;r Ql1.MtetaelT' ,D~mtær.1i4,20,1Ö,9:55AM 'Peter Richardsõn' 'bWOodard(§wasatchwind.com'¡ Allphin, Randy; Walker, Donovan; Snyder, Carlene Grouse Creek Wind Park Final Agreements - information need Mr. Richardson: In order to complete the final executable contracts for the Grouse Creek wind proje.cts we need the following information: ARTICLE IX: TRANSMISSION AGREEMENT 9.1 Transmission Agreement - The Seller wil arrange and pay for the delivery of Net Energy and Inadvertent Energy over the facilities of the Transmitting Entity(s) ( ) to the Point of Delivery. Please tist the transmitting entity(s) for each project. APPENDIX 8 8-2 LOCATION OF FACILITY Near: Lynn, UT Sections: _ Township: 14 N Range: 17 W County: Box Elder, UT Please list the Section for each project. Once we have this information, we can finalize the Energy Sales Agreement for signature. Michael Darrington Sr. Planning Analyst Power Supply Idaho Power Company PO Bo)(70 1221 W. Idaho St. Boise, 10 83709 (208)388-5946 1 Attachment No. 13 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of 1 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO. 14 ~hinJ Randy From: Sent: To: Cc: Subjec: AlI~bí?, R~ntlyWednesday,geêerroer 15,20107:49 AM 'Peter Richardson'; Walker, Donovan Greg Adams; D8r'rington, Michael RE: Grouse Creek On Line Date Tracking:Recipient 'Peter Richardson' Walker. Donovan Greg Adms Darringtn, Mich Read Read: 12115t2()'0 8:52 AM Mr. Richardson Idaho Power has reviewed your request to alter the First Energy date and the Operation Dates within the Grouse Creek I and II proposed agreements and can accépt your r'equest. We wil insert these new dates in thé draft agreements On Tuesday, Dec 14 Michael Darrington emailed you a request for additional information requirements to complete these draft agreements - in general the information required is name of the Transmitting Entity(s) and completion ofthe location description for these projects. Please reference his e-mail for complete details. After receipt of this additional information required to complete the agreements we wil resume the processing of these proposed agreements. Randy Allphin Idaho Power Company From: Peter Richardsn (n;:~and,gxl Sent: Tuesday, December 14, 20104:36 PM To: Peter Richardson; Walker, Donovan; Allphin, Randy Cc: Greg Adams Subject: RE:Grouse Creek On Une Date Donovan an Randy: Any thoughts on the below question. Peter Richardson Richa.dson & O'Le 1 Attachment No. 14 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of 5 515 N. 27th Str Roìse, Idaho 83702 (208) 938-7901 From: Peer Richardson sent: Thursay, Deber 09, 2010 3: 18 PM To: Walker, Donovan; 'Allphin, Randy' Cc Greg Adams Subjec: Grous Crek On Line Date Donovan and Ray~ Our clien ha agr to the delay sety prviions, and in lOôkiat our on line dâte reqest, what would be your retion if we moved the on tie date frm first energy 12112 and COD 611:3 to fu energy 6113 and COD 121137 Would we stl be o.k. in the prs you have gomg? Than -Pete Peter Richason Richardson & O'Lear 515 N. 27th Str Boise, idao 83702 (208)938-7901 2 Attachment No. 14 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 20f5 ~hin, Randy From: Sent: To: Cc: Subject: ~t,~Adar;~l~~g(§richard~onariQle.ary.comJ Wedne$day,Oeci:per15¡ 20103:41 PM Allphin, Randy; Peter Richardson; Walker, Donovan Darrington, Michael RE: Grouse Creek On Line Date Randy an Michael, Than you for accetance ofthe new dates. Here is the additional data requested for the Grouse Creek Wind Park an Grouse Creek Wind Park II. The legal descriptions ar differet for the two projects, but the trsmssion prvider is the same. Please let us know if you have any additional questionst and please copy me as Pete is out of the offce fòr a feW days. GCWP: T14N R17W Sections 8,16,17 GCWP II: T14N R17W Sections 21, 27, 28 Trasmission Provider: BPA Greg Adams Richardson & O'LearPLLC 515 N. 27th Street, 83702 P.O. Box 7218,83707 Boise,. Idaho Voice: 208.938.2236 Facsimìle: 208.938.7904 Inforntion contained in this electronic message and in any attaehmetrs hereto may cont infottation tht is c,onfdential, proteted by the attmey/clientpriviege anor ãttomey workproduct doctre. This enail is intended only for the use of th individua or entity naed above. Inaverent dislosur of the contents of ths email or its attchments to umntended recipients is not intened to and does not constitute a waiver of the attrney/client prvilegeandlor attrney work product doctre. Th trission is fuer cover by the Electrnic. Communication Privacy Act, 18 U.S.C. §§ 2510-2521. If you have reeived this email in error, iiediately noti the sede of th eroneous receipt and destry this enail an any attchments of the same either electrnic or prited. Any disclosur, dissemination, distribution, copying or us of the contents or infttatión received in error is strctly prhibited. Thayou. From: Allphin, Randy ÜJ:ßAlRtn_l).CÐl set: Wednesday, December 15, 2010 7:49 AM i Attachment No. 14 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 3 of 5 To: Peter Richardson; Walker, DOnovan Cc: Gre Adams; Darrington,Mic~el Subject: RE: Grouse Crek On Line Date Mr. Richardson Idaho Power has reviewed your request to alter the Firt Energy date and the Operation Dates within the Grouse Creek I and II proposed agrements and ca accept your request. We will inser these new dates in the draft agreeents On Tuesday, Dec 14 Michael Darngton emailed you a request for additional information requiements to complete these draft agreements - in general the infonnation requite is name of the Tranmitting Entity(s) and completion of the location description for these projects. Please reference his e~mail for complete detaìls. After receipt of this additional information required to complete the agreements we wil rèsue the processing of these proposed agreements. Randy Allphin Idaho Power Company From: Peter Richadson r mailto:peterrgchardsonadolear.com L Sent: Tuesday, .December 14, 2010 4:36 PM To: Peter Richardson; Walker, Donovan; Allphin, Randy Ce: Greg Adams Subje.e: RE: Grouse Creek On Line Date Donovan and Randy: Any thoughts on the below question. Peter Richardson Richarson & O'Leay 515 N. 27th Street Boise, Idaho 83702 (208) 938-7901 2 Attachment No. 14 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 4 of5 From.: Peter Richardson Sent: Thursday, December 09, 2010 3:18 PM To: Walker, Donovan; 'Allphin, Rady' Cc: Greg Adams Subject: Grouse Creek On Line Date Donovan and Randy, Our client has agree to the delay secrity provisions, and in looking at our on line date request, what would be your reaion if we moved the on line dates from fist energy 12/12 and COD 6/13 to fist energy 6/13 and COD 12/137 Would we stll be o.k. in the process you have going? Tha, -Pete Peter Richarson Ri,chadson & O'Leary SISN. 27th Street Boise, Idaho 83702 (208) 938-7901 _~i.jj-~ This trinission ¡nay contain infoation that is privileged, confidetial and/or exçmpt fr discloure vnde applicle law. If you are not the ined recÇl you are herby notifed that any disclosure, copying, distrbution, or use of the ùifonatiòn contained herin (ìncluding any reliane ther) is STRC1Y PROHIBITED. If you receive this tl'siilion ùi eror, plea immediately contat the sender and desro the mateal in its entirety, whether ùi electric or bard copy fotmL 1ñ)'. 3 Attachment No. 14 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affidavit, IPC Page 5 of5 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION . CASE NO. IPC-E-10-61 CASE NO. IPC-E-10-62 IDAHO POWER COMPANY ATTACHMENT NO. 15 .chin, Randy From: Sent: To: Cc: Subject: Gré, Adams (Gr ichardsonandoleary.com) ThufsdáY, O~ec 16, 2010 8: 19 AM Darrington, Michael Allphin, Randy; Peter Richardson; Walker, Donovan RE: Grouse Creek On Line Date Yes, those are the correct dates. June 1,2013 as first energy date. Decem ber 1 J 2013 as Scheduled Operation date. Thanks for checking. Greg Adans Richardson & O'Leary PLLC sis N. 27th Stree, 83702 P.O. Box 7218, 83707 Boise, Idaho Voice: 208.938.2236 Facsimile: 208.938.7904 Informtion contained in this electronic message and in any attchments hereto may contain informtion that is cofidential, protected by the attrney/client prvilege and/or attorney work product doctre. Ths emil is intede only for the use of the individual or entity named above. Inadverent discIosure of the contents of this email or its attachments to witended recipients is not inteded to and does not constitute a waiver of the attrney/client privilege and/or attrney work prduct doctre. This trinission is fuer covered by the Electronic Communication Privacy Act, 18 U.S.C. §§ 2510-2521. If you have received this email in error, imediately notify the sender of the eroneous reeipt and destroy ths emil and any attachmts of the same either electronic. or printed. Any disclosur, dissemintion, distrbution, copying or use of th contents or infonnation received in errr is stctly prhibited. Th you. From: Darrington, Michael (mailt:MDarrington(gidahopower.com) Sent: Wednesday, December 15, 2.0104:17 PM To: Gre Adams Cc: Allphin, Randy; Peter Richardson; Walker, Donovan Subjec: RE:Grouse Creek On Une Date Greg: 1 Attachment No. 15 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 1 of8 I want to make sure I understand the requested dates (as requested in the first email of this strng) for the First Energy Date and Scheduled Operation Date for the Grouse Creek Wind prjects. The currnt dates~ as found in Appendix B-3 ar: B-3 SCHEDULED FIRST ENERGY AN OPERATION DATE Seller has selected December 31, 2012 as the Scheduled Fir Energy Date.. Seller has selected June 1. 2013 as the Scheuled Opation Date. My interretation of the dates you have requested (first energy 6/13 and COD 12/13) would change Appendix B-3 as foIlows: B-3 SCHEDULED FIRST ENERGY AN OPERATION DATE Seller has selected June 1, 2013 as the Scheduled Firs Energy Date. Seller has selected December 1, 2013 as the Scheduled Operation Date. Ar these the correct dates that you would like in Appendix B-3 of the Firm Energy Sales Agreement? Thans~ Michael Dargton Sr. Planng Analyst Power Supply Idaho Power Company POBox 70 1221 W. Idaho St. Boise. ID 83709 (208)388-5946 From: Greg Adams (mailto:Greg~richardsonandoleary.com) Sent: Wednesay, December 15~ 2010 3:41 PM To: Allphin, Randy; Peter Richardson; Walker, Donovan Ce: Dargton~ Michael Subject: RE: Grouse Creek On Line Date 2 Attachment No. 15 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 2 of8 Randy and Michael, Than you for acceptance of the new dates. Here is the additional data requested for the Gruse Creek Wind Park and Grouse Creek Wind Park II. The legal descriptions ar different for the two projecs, but the transmission provider is the same. Please let us know if you have any additional questions~ and please copy me as Pete is out of the offce for a few days. GCWP: T14N R17W Sections 8~16,17 GCWP II: T14N R17W Sections 21, 27, 28 Transmission Provider: BP A Grg Adams Richardson 8t O'Leay PLLC 515 N. 27th Stree 83702 P.O. Box 7218,83707 Boise, Idao Voice: 208.938.2236 Facsimile: 208.938.7904 Informtion contained in ths electrnio messge and in any atthmts hereto may contan informtion tht is cofidentl, protected by the attomey/client privilege and/or attorney work product doctre. This email is inteded only for the use of the individual or entity naed above. Inadvertnt disclosur of the contents of ths emal or its atthments to uninteded recipients is not intended to and does not constitute a waiver of the attorney/client privilege and/or attorney work product doctrne. Ths trmission is fu cover by the Electrnic Communication Privacy Act, 18 U. S.C. § § 251 Q.2521. If you hae reeive ths email in errr, immediately notify the sende of the erroneous receipt an destry ths em and any attohments of the same either electrnic or prted. Any dìsclosure, disemination, dìstrbution, copying or use of the contents or inonnation received in error is strctly prohibited. Th you. From: Allphin, Randy (niai1to:RAllphin~idahopower.C(ml Sent: Wednesday, December 15, 2010 7:49 AM To: Peter Richarson; Walker, Donovan Cc: Greg Adams; Darngton, Michael Subjeet: RE: Grouse Crek On Line Date Mr. Richardson 3 Attachment No. 15 Case Nos. IPC-E-10-61 & IPC-E-10-2 Allphin Affdavit, IPC Page 3 ofB Idaho Power has reviewed your request to alte the First Energy date and the Operation Dates withn the Grouse Creek I and II proposed agreements and can accet your request. We wi inser these new dates in the draft agreements On Tuesday, Dec 14 Michael Dargtn emailed you a request for additional information requirements to complete these draft agreements - in general the information requied is name of the Transmittng Entity(s) and completion of the location descrption for these projecs. Please reference his e-maîl for complete detals. After receipt of this additional information required to complete the agreements we wil resume the processing of these proposed agreements. Randy Allphin Idaho Power Company From: Peter Richadson (maîlto:peter(qchardsonandoleary.com J Sent: Tuesday, Deceber 14,2010 4:36 PM To: Peter Richardson; Walker, Donovan; Allphin, Randy Cç: Greg Adams Subjeçt: RE: Grouse Creek On Line Date DonOVan and Randy: Any thoughts on the below question. Peter Richardson Richardson & O'Leay 515 N. 27th Street Boise, Idaho 83702 (208) 938-7901 From: Peter Richardson Sent: Thursday, Deceber 09,20103:18 PM To: Waler, Donovan; 'Allphin, Randy' Cc: Greg Adams Subject: Grouse Creek On Line Date 4 Attachment No. 15 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 4 of8 Donovan and Randy~ Our client has agr to the delay securty provisions, and in looking at our on line date reques what would be your reaction if we moved the on line dates from first energy 12/12 and COD 6/13 to first energy 6/13 and COD 12/131 Would we still be o.k. in the process you have going? Thans, .Pete Peter Richardson Richarson & O'Lear 515 N. 27th Street Boise~ Idao 83702 (208) 938-7901 -_.il__ This trsmission may c,onlain infonnon thai is prvilege. confidentia andor exempt frm disclosur un applicable law, If you ar noi tle inend reien, you are heby notifed that any disclosur, copying, distrbution, or use ,of th informtion cotaned lin (including any reliace thereon) is STRICTLYPROHIITE. If you reved this tranmisson Í1 er, plClC iimedaiely contat the seder and desoy the mateial in it enre, whether in e1enic or hard copy foimt. Thk you. 5 Attchment No. 15 Case Nos. IPC-E-1Q-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 50f8 Allphin, Randy From: Sent: To: eei Subjeçt: A1lphin tflr'(l l'b~~~¡Darnbet6,,~U1 09:53 AM 'petet(;richafdsonanclolear.com'; 'Greg(;rtohard$onandoleary.com' Darrington, Michael Grouse Crek agreements Gentlemen, We have the two Grouse Creek agreements ready for you, would you like to pick them up at our front desk or do you wish us to mail them. If mailng is desired please provide the address. If you wish to pick them up we can have them at the front desk at noon. Randy 1 Attachment No. 15 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affdavit, IPC Page 6 of8 Darrngton, Miçhael From: S.ent: To: Subjec: ~rtiñgtn.Michael Thursday, ~, 1612010 10:41 AM 'Greg Adams'; Allp ,Randy; Peter Richardson RE: Grouse Creek agreements Greg: Yes, we wil have the Grouse Creek Agreements ready to pick up at noon, along with the Shell and Exergy Agreements. Michael Darrington Sr. Planning Analyst Power Supply Idaho Power Company PO Box 70 1221 W.ldaho St. Boise, JD 83709 (208)388-5946 From: Greg Adams (mallto:Greg(ârlchardsonandoleaiy.co) Sent: Thursay, December 16, 2010 10:36 AM To: Allphin, Randy; Peter Richardson eei Darrington, Michael Subjec: RE: Grouse Creek agreements We wil pick these up as well. Wil they be ready with the Exergy and Shell PPAs at noon? Thanks,. Greg Adams Richardson &. O'Lea PLLC sis N. 27th Street 83702 P.O. Box 7218,83707 Boise, Idaho Voice: 208.938.2236 Facsimile: 208.938.7904 Informtion contaed in ths electrnic mesage and in any atthments hereto may conta infortion that is confidential, proteted by the attrney/client privilege anor attorney work product doctrne. Ths email is intended only for the use of the indidual or entity named above. Inadverent disclosure of the contents oftms email or its attachments to unintended recipient is not intended to and does not constitute a waiver of the attoey/client prvilege anor attorneyworkproduct doctrine. Ths trsmission is fuer covered by the Electrc Communcation Privacy Act, 18 U.S.C.§§ 2510-2521. If you have received ths einl in error, inedately notify the sender of the erreous receìpt and destroy ths em an any athments of the same either electronic or printed. Any dìsclosue, dissemintin, ditrbution, copyig or use of the contets or infurmtion received in eror is strctly prombited. Thnk you. 1 Attachment No. 15 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affidavit, IPC Page 7of8 Fro: Allphin, RandY (mailto:RAlphln(§ldahoDöwer.col Set: Thursay, Dembe 16,20109:53 AM To: Petr Richardson; Gre Adams Ce:: Darrngtn, Michael Subjec Grous Creek agreeents Gentlemeni We have the two Grouse Creek agreements. ready for you, would you like to pick them up at our front desk or do you wIsh us to mall them. IfmaUing is desIred please provide the address. If you wish to piCk them up we can have them at the front desk at noon. Rìndy-_.AA~~ ~ ~mi1llt~ønfl .prMlqcol:llor~ hli4iliiidet.iUale ia.'I',ytii~1l lI ~ ~,i~l:yIlØled flll1d~ .coor_ ofl1iidlmuall eoli (Ii ~ mlll th)ÙI STRY MQFllBrm. If)'reYl tbia~ fnem". . ooth~lI~thma fnìt\ly, ,,_erfn ~orbiço Di 11yo 2 Attachment No. 15 Case Nos. IPC-E-10-61 & IPC-E-10-62 Allphin Affd.avit, IPC Page 8of8