20120210Answer.pdf

RECEIVED
eslDA~POR(I
An IDACORP Company
LISA D. NORDSTROM
Lead Counsel
Inordstrom~idahopower.com
~3
February 9, 2012
VIA HAND DELIVERY
Jean D. Jewell, Secretary
Idaho Public Utilties Commission
472 West Washington Street
Boise, Idaho 83702
Re: Case No. IPC-E-12-04
BONNIE MENTH AND VICKY DAVIS, COMPLAINANTS, VS. IDAHO
POWER COMPANY, RESPONDENT
Dear Ms. Jewell:
Enclosed for filing are an original and seven (7) copies of Idaho Power Company's
Answer in the above matter.
Very truly yours,
~;"iJ."1~
Lisa D. Nordstrom
LDN:csb
Enclosures
1221 W. Idaho St. (83702)
P.O. Box 70
Boise, ID 83707
LISA D. NORDSTROM (ISB No. 5733)
JASON B. WILLIAMS (ISB No. 8718)
Idaho Power Company
1221 West Idaho Street (83702)
P.O. Box 70
Boise, Idaho 83707
Telephone: [phone]
Facsimile: [phone]
Inordstrom(Çidahopower.com
jwilliams(Çidahopower.com
RECEIVED
2912 FEB -9 PH~: ~3
Attorneys for Idaho Power Company
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
BONNIE MENTH AND VICKY DAVIS,
Respondent.
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ANSWER
Case No. IPC-E-12-04
Complainants,
vs.
IDAHO POWER COMPANY,
Respondent, Idaho Power Company ("Idaho Powet' or "Company"), hereby
answers the Complaints of Bonnie Menth and Vicky Davis in the above-entitled case as
follows:
I. FACTUAL BACKGROUND
During the last decade, the Idaho Public Utilties Commission ("Commission")
has supported installation of Advanced Metering Infrastructure ("AMI") and "strongly
urge(dl Idaho Power to move forward with all deliberate speed with its phased AMI
implementation plan." Order No. 30726 at 8; see also Order Nos. 29026, 29196, 29362,
ANSWER-1
30102, and 30768. In addition to reduced operational costs associated with meter
reading, the Commission supported installation because:
AMR1 would improve meter reading accuracy, eliminate the
need for Idaho Power to gain access to customer propert
for monthly meter reads, and allow Idaho Power to develop
new services in the future. An AMR system would improve
outage monitoring, theft detection, and employee safety.
AMR's capacity for remote connects and disconnects would
also save customer time and employee labor. From a billng
perspective, AMR would result in fewer estimated bils, less
rebillng, flexible biling schedules, account aggregating, and
flexible rate designs.
Order No. 29196 at 10. The Commission also found that "the deployment of AMI
technology will provide an essential platform for time-of-use pricing and other 'smart
grid' operations." Order No. 31097 at 8.
After years of extensive technology testing and piloting, Idaho Power determined
that power line carrier ("PLC") technology was the best functional and economic fit given
the Company's customer density and service area. The Company has found the two-
way PLC technology to be relatively easy to deploy, robust, reliable, and meets
functional needs at a reasonable cost for a large part of Idaho Power's service area.
On August 4, 2008, Idaho Power filed an application in Case No. IPC-E-08-16
seeking the issuance of a Certificate of Public Convenience and Necessity, authorizing
it to move forward with a three-year, system wide AMI implementation plan. On
February 12, 2009, the Commission issued its Order granting the Company's request.
Order No. 30726.
1 AMR refers to "Advanced Meter Reading" or "Automated Meter Reading." AMI is a more
inclusive term than AMR and refers to systems that measure, collect, and analyze energy usage
information from advanced metering devices through various communication media on request or on a
pre-defined schedule. This infrastructure includes hardware, softare, communications equipment,
customer associated systems, and data management softare. The term AMR was upgraded to AMI as
the technology and terminology developed. AMI better reflects the capabilities of the technology
discussed herein.
ANSWER-2
In the three years that followed, Idaho Power installed more than 478,000 AMI
meters across its system, bringing the total number of AMI meters to more than
501,000, or 99 percent of its customers. Most customers welcomed the customer
service enhancements faciltated by the new meters and fewer visits by meter readers.
With very few exceptions, customers concerned about the technology were satisfied
once Idaho Power personnel explained how its AMI technology differed from most being
installed across the nation (e.g., the new meters do not transmit data wirelessly and the
meters do not communicate with or control other devices). Following several months of
attempting to address their concerns, Idaho Power installed two of the last AMI meters
in its rollout at the residences of Ms. Menth and Ms. Davis.
A. Bonnie Menth.
Idaho Power sent a postcard notifying Ms. Menth of its intention to install the AMI
meter on her service on or around August 8, 2011. Ms. Menth sent an inquiry on
August 10, 2011, via the Idaho Power website expressing her concerns about
electromagnetic frequency emissions, wireless hacking, and privacy related to the AMI
meters. On August 10, 2011, AMI Project Manager Mark Heintzelman responded to her
questions regarding the AMI meter and infrastructure via e-maiL. Mr. Heintzelman
explained to Ms. Menth that Idaho Power's AMI infrastructure uses existing power lines
to communicate and does not rely on wireless communication relating to radio signaling.
Links to Idaho Power's website and the AMI meter manufacturets website were
provided for additional information. On August 11, 2011, Ms. Menth replied with further
questions regarding the AMI meter wireless communications technology. Mr.
ANSWER-3
Heintzelman responded bye-mailng detailed information explaining how Idaho Power
uses power line communication technology and not wireless communication technology.
In an August 25, 2011, e-mail reply to Mr. Heintzelman, Ms. Menth stated she
understood the benefits of the new technology but stil did not want the AMI meter
installed due to concerns about radio frequencies ("RF") and electro-magnetic fields
("EMF"). She indicated that her family always believed her brothets death from
leukemia in the 1950s was caused by the radiation he received from sleeping behind
the wall where the power outlets were located. Mr. Heintzelman explained that the AMI
system does not communicate wirelessly so RF is not an issue. Moreover, the AMI
meter would create no more EMF than the old meter, neither of which pull current inside
the home; persons sensitive to EMF should remove appliances in the home that pull
high current on the wires.
Based on the Company's previous contacts with Ms. Menth, Idaho Power did not
send its contractor, Tru-Check, to install the meter. Customer Relations Manager Rick
Astley and Customer Representative Chris Bell both attempted to contact Ms. Menth via
phone on August 26, 2011, with no success. Idaho Power made a site visit to the
Menth residence on August 30,2011, for further discussion but no one was home. Mr.
Astley and Mr. Bell returned to her home on August 31, 2011, spending approximately
45 minutes answering her questions and further explaining Idaho Powets AMI
technology.
A certified letter was sent to Ms. Menth on September 21, 2011, and came back
unclaimed on October 11, 2011. The letter was again sent first class U.S. mail
November 18, 2011. In this letter, Mr. Bell again explained that Idaho Power's AMI
ANSWER-4
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technology does not use radio frequency communications, the meter data collected is
secure and not for sale by Idaho Power, and the meter is without remote service
disconnect capability.2 The letter outlned the next steps for the AMI meter installation,
anticipating five minutes for the exchange and a short service interruption. On
November 29, 2011, Ms. Menth sent a reply letter stating she had communicated with
Mr. Heintzelman, that he had answered her questions about the AMI meter, and that
she stil did not welcome the installation of the AMI Meter.
On December 1, 2011, Mr. Astley sent a letter explaining the necessity of
installng the AMI meter, outlining ramifications for preventing access, and identifying
the next steps for installng the AMI meter. In the final letter sent to Idaho Power from
Ms. Menth dated December 7, 2011, she continued to recite false information related to
Idaho Powets AMI meter and withheld her permission to install it.
Idaho Power made numerous attempts over a four-month period to answer Ms.
Menth's questions and convey the facts about its AMI technology. After repeated
letters, e-mails, and site visits during which Ms. Menth refused to believe Idaho Powets
description of the metering system's capabilties, Idaho Power concluded further
discussion or correspondence with Ms. Menth on this matter would be unproductive.
Idaho Power made one last attempt to visit with Ms. Menth on December 13, 2011, but
she was not home; the meter was replaced at that time.
2 None of the AMI meters installed on Idaho Power's system currently have actual service
connect or disconnect functionality. Actual service connection and disconnection, when required, is
currently performed manually. Idaho Power's AMI technology supports remote service disconnect
functionality, but installation of the necessary switches is not cost-effective for most service points.
ANSWER-5
..
B. Vicky Davis.
Idaho Power sent a postcard notifying Ms. Davis of its intention to install the AMI
meter on or around August 8, 2011. Tru-Check attempted to do the AMI meter install
on August 31, 2011, but Ms. Davis refused the installation. A Meter Specialist was
dispatched to the Davis premises to discuss the install. Ms. Davis refused discussion
stating she did not want the meter and did not want to enable Idaho Power to have
control of her appliances. Field Services Leader Brian Smith spoke with Ms. Davis on
September 9, 2011. Ms. Davis explained that she would not permit the AMI meter to be
installed until forced to do so and that she did not want Idaho Power to spy on her.
On September 19, 2011, Mr. Bell phoned Ms. Davis to answer any questions she
may have about AMI meters and to advise that a letter would be sent describing the
AMI meter technology. On October 4, 2011, Ms. Davis continued her conversation with
Mr. Bell and reiterated her belief that Idaho Power at a later date would install a module
in the AMI meters to control appliances. Mr. Bell explained the necessity of Idaho
Power installng the AMI meters and attempted to dispel her misconceptions about the
technology and Idaho Power's intentions.
Ms. Davis sent a letter to Idaho Power dated October 7, 2011, explaining she
had not changed her mind about the AMI meter and that she would accommodate Idaho
Power by reading her own meter and participating in the budget pay program. On
December 1, 2011, Mr. Astley sent a letter explaining the necessity of installng the AMI
meter, outlining ramifications for preventing access, and identifying the next steps for
installng the AMI meter. Ms. Davis wrote in response in a letter dated December 6,
2011, that she continued to oppose the AMI meter installation.
ANSWER-6
"
During communications with Idaho Power personnel, Ms. Davis voiced a number
of opinions that have no basis in fact. For instance, she was adamant that Idaho Power
would use AMI technology to sell power to other states and leave Idahoans without
power. Despite Company attempts to explain the value of removing older, inefficient
refrigerators from the marketplace, Ms. Davis insisted the covert purpose of the
Company's See Ya Later, RefrigeratorCI program was to force Idaho Power customers
to purchase new refrigerators equipped with smart appliance technology that wil allow
Idaho Power to control them. In "Documenting America's Race to Global
Technotalitarianism" on her website, ww.channelingreality.com.Ms. Davis sets forth
other unconventional (and potentially libelous) opinions about the provision and
regulation of electricity in Idaho.
On December 13, 2011, Idaho Power installed the AMI meter at Ms. Davis'
residence with the Twin Falls County Sheriff presentto witness the installation.
II. CUSTOMER CONCERNS
The Complaints of Ms. Menth and Ms. Davis raise several areas of general
concern regarding Idaho Powets use of the AMI technology and meter. Idaho Power
responds to them as follows:
A. Surveilance and Control of Appliances Beyond the Meter.
As set forth in her letter to the Commission dated January 2, 2012, Ms. Menth
described the smart meter as having "the capacity to track minute by minute household
activity, control household devices, . . . including knowing the household occupancy at
given times. This is a surveilance device." In a December 6, 2011, letter to Idaho
Power, Ms. Davis likewise asserts that "Smart Meter technology - regardless of the
ANSWER-7
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method of communications, is a surveilance, detection, monitoring, data collection, and
communications and control device."
Idaho Powets meters cannot identify the energy consumed by any specific
appliance and do not have the capability to control any appliance. They communicate
only to respond to specific inquires from the substation control equipment. Because
they are controlled by the secure substation locations, Idaho Powets meters are part of
an intellgent "poll and response only" system. When each meter is individually
requested to do so by the substation control equipment, the customer's AMI meter
relays service point consumption data back through the electrical system. This data
transfer occurs four times a day when initiated from the substation and each meter's
response lasts approximately 20 seconds. Idaho Power's AMI meters are simply not
capable of initiating communication or communicating with any device other than the
substation.
Each meter installed on Idaho Powets system must be specifically associated to
a substation. That substation then controls the communication by addressing each
meter individually through the 60 hertz ("Hz") voltage. Although the smart meters of
other utilities communicate via wireless networks utilizing internet protocols, Idaho
Power's AMI meters instead respond through the 60 Hz current when prompted by the
substation. Endpoint devices like meters are incapable of sending data on the 60 Hz
voltage or receiving data on the 60 Hz current; therefore, peer-to-peer endpoint device
communication is impossible.
The new meters record energy consumption at the service point; the meter has
no capability to identify any specific device or load beyond the meter. The meters used
ANSWER-8
on Idaho Powets system are standard kilowatt-hour meters capable of recording total
energy use only. These are the same meters installed prior to AMI - the only difference
is they have a Two-Way Automatic Communications System ("TWACSCI,,)
communication module installed to send the data back to the substation on request.
Idaho Power has employed cyber security standards of encryption and isolation to
ensure the integrity of the communication system. As explained above, the meters
installed do not communicate with other meters or any other devices on the electrical
system.
Based upon her description of the AMI meter in her letter to the Commission
dated January 2, 2012, Idaho Power believes that Ms. Menth misunderstands the
purpose of the communication indicator on the metets display. Although not intuitive,
that indicator is "on" when the meter updates the integrated AMI communication module
with usage data (which occurs periodically as energy is consumed). The indicator has
no correlation with any external meter communication with the substation.
As part of a voluntary demand response program, direct load control is used to
reduce peak load and help reduce the need for more costly generation resources. Load
control devices are installed only on the equipment of customers who request a device
to participate in the voluntary AC Cool Credit or Irrigation Peak Rewards programs. The
AMI system in the substation supports direct load control by providing commands to
those voluntary devices (which are physically separate from and operate independently
of the AMI meters) and confirmation of the action performed by devices installed on
customer-owned equipment, such as air conditioners or irrigation pumps. Because the
meters deployed by Idaho Power do not contain the technology necessary to
ANSWER-9
communicate with other devices in the home, the meters cannot monitor or control
appliances beyond the meter.
B. Health Risks.
Ms. Menth also objects to installation of Idaho Power's AMI meters due to
possible negative health effects. Ms. Menth's January 2, 2012, letter to the Commission
recites information from an engineer claiming:
. . . when intentional pulses (communication) are put onto
electrical wires which were never designed for
communication as are the shielded and twisted wires used
by cable TV, computers, and telephones, it wil generate
electromagnetic fields of dirty power, from 120 hert to 660
hertz plus a lot of higher frequency harmonics, which follow
the house wires wherever they travel throughout the whole
house. PLC is to be used cautiously because the dirty
power generated by neighboring houses wil travel on
electrical wires from one home into the next home's wiring in
every direction not just back to the receiver.
A small number of people across the country have ascribed various health issues
to constant exposure to wireless transmission of RF and EMF produced when heavy
current flows through electrical circuits in their homes. Although some meters installed
by other electric utilities communicate constantly via wireless RF, the new meters
employed by Idaho Power are fundamentally different. Idaho Powets AMI meters do
not transmit wirelessly or produce any high frequency signals; they use only the 60 Hz
power line to communicate.
Idaho Powets meters communicate with the distribution substation upon request
for no more than 20 seconds four times each day. The communication from the meter
is sent on the distribution power line and does not enter the customets home. Idaho
Power's AMI meters do not produce any EMF on the home's wiring because the signal
ANSWER-10
is between the meter and the substation (external to the home) on the Company's
electrical system. Because Idaho Powets AMI meters do not communicate wirelessly
and do not operate via frequency, they pose no health risks greater than non-AMI
meters and less risk than normal use of electricity in the home.
C. Sale of Personal Consumption Data.
As stated in her letter to the Commission dated January 2, 2012, Ms. Davis
claims that once the data is in its possession, the utilty "may sell or give it to external
interested parties for marketing, law enforcement and a plethora of other purposes
unrelated to the provision of electrical service."
Idaho Power does not sell its customer data - ever. The Company zealously
protects this proprietary information and has very specific procedures in place to ensure
the security of its customer data. Idaho Power does not release customer information to
third parties without the customets consent, a subpoena or court order, or power of
attorney granting a third party permission to access the information.
II. COST OF ALTERNATIVES
AMI metering is the Idaho Power standard for metering equipment and non-
standard metering is not currently available at customer request. Idaho Power is
opposed to the establishment of non-standard metering at customer request. In the
letter accompanying the Summons issued January 19, 2012, the Commission
requested information on the cost of: (1) uninstallng a meter and reinstallng a different
meter; (2) not being able to remotely gather usage data for biling purposes; (3) offering
customers an "opt-out" alternative; and (4) if an "opt-out" alternative were available, the
ANSWER-11
cost of using estimated and actual meter readings to calculate bils. Idaho Power
addresses each of these costs below:
A. Cost to Uninstall a Meter and Reinstall a Different Meter.
Idaho Power estimates that it wil cost approximately $110.80 to remove the
standard AMI meter, replace it with a non-standard meter, and cover associated
administrative expenses. This amount includes the cost of the non-standard meter
itself. If non-AMI metered service is later cancelled or if the customer moves to a
different location, Idaho Power estimates it wil cost approximately $75.75 to reestablish
automated metering service at the initial residence. This includes the cost to perform a
service visit to remove the non-standard meter, replace it with a standard AMI meter,
and to cover associated administrative expenses.
B. Biling Costs Associated With Not Being Able to Remotely Gather Usage
Data.
Idaho Power estimates that it wil incur approximately $54.58 a month in
additional biling expenses if it cannot remotely gather usage data. This is the monthly
cost of a site visit based on the three-year average site visit cost and the cost to
manually process the readings retrieved as a billing read.
C. Cost to Offer an Opt-Out Alternative.
Again, Idaho Power is opposed to an opt-out alternative. If the Commission
required such an alternative, Idaho Power would incur a one-time expense of
approximately $110.80 to swap meters and set up each customer, monthly expenses of
$54.58 per customer in additional billng expenses, and a one-time $75.75 expense if
the non-AMI opt-out service were cancelled. Idaho Powets costs to provide an opt-out
option are in line with those of Portland General Electric, which collects a $254.00 one-
ANSWER-12
time charge to install a non-network meter and $51.00 per month for a non-network
meter read. 3
Although more difficult to quantify financially, Idaho Power wil experience
additional costs to maintain the infrastructure and processes to bil and administrate the
one-off processes and charges required to accommodate an opt-out option. It wil also
be more diffcult and time consuming to address customer high bil complaints without
detailed usage data.
D. Cost to Use Estimated and Actual Meter Readings to Calculate Bils If Opt-
Out Is Used.
Idaho Power believes the $54.58 monthly cost to bil customers using non-AMI
meters wil include expenses associated with using estimated and actual meter
readings.
iV. IDAHO POWER'S POSITION
Based on the foregoing demonstration of the expense and administrative burden
to accommodate concerns that lack a basis in fact, Idaho Power is opposed to opt-out
provisions for metering. The Commission should deny the requests of Ms. Menth and
Ms. Davis to replace their new meters with analog or electromechanical meters at any
cost. Analog and electromechanical meters have not been manufactured since 2007
and cannot be cost-effectively maintained by Idaho Power.
The AMI meter is the standard equipment utilized by more than 99 percent of
Idaho Power's customers.4 This meter technology does not transmit data wirelessly or
via higher frequency than the basic 60 Hz used to provide electrical service and the
3 Portland General Electric Tariff Advice No. 11-15 approved July 26, 2011.
4 Idaho Power continues to use solid-state (digital) meters in a few remote areas where AMI
substation equipment cannot be cost-effectively deployed.
ANSWER-13
meters do not communicate with or control other devices; therefore, there is no basis for
the concerns raised by Ms. Menth and Ms. Davis.
Ms. Menth and Ms. Davis have both offered to read their own meters and call in
their usage data to Idaho Power. Such arrangements have proved unworkable in the
past because customers sometimes misread the meter or were unable to perform the
meter read on schedule due to vacations, ilness, or simply forgetting to do so. Delays
in sending in the meter reads resulted in considerable administrative expense and/or
customer frustration when rebils occurred, particularly with implementation of tiered
rates. Idaho Power opposes any such arrangement now.
The complainants both cite the required state review of a federal smart meter
ratemaking standard for electric utilties in the Energy Policy Act of 2005, 16 U.S.C.
§2621(d)(14), as legal authority for the ability to opt-out of receiving an AMI meter.
Idaho Power does not believe the complainants have accurately interpreted the statute,
the intent of which was to promote adoption of the smart meter technology and time-
based rates they wish to opt-out of. In January 2007, this Commission agreed with the
intent of the federal smart meter standard but declined to adopt it because "its
ubiquitous scope and implementation timeline are unrealistic." Order No. 30229 at 9.
Although the Complaints filed by Ms. Menth and Ms. Davis focus on concerns
unrelated to Idaho Power's AMI technology, it is undisputed that AMI meters provide
many benefits to customers who have them installed.
Operating Benefits. As a result of deploying AMI, Idaho Power has virtually
eliminated biling estimations and meter read errors, thus also reducing billng errors
and bil corrections. Removal of the new meter and replacement with a non-
ANSWER-14
communicating meter will increase the potential for billing errors and reading
estimations.
The environmental benefits from AMI are significant.The Company has
removed 75 vehicles from service and eliminated the need to drive more than a million
miles a year.This has reduced Idaho Power’s carbon footprint,fuel consumption,and
roadway congestion.Customers who opt-out from AMI will detract from these gains.
The AMI system will also provide valuable outage scoping and restoration data,
enabling Idaho Power to improve outage response and ensure complete restoration of
service faster.Even though Idaho Power has not yet fully integrated the AMI system
with the outage management system (“OMS”),the Company has used the system in
specific instances to assist in service restoration and confirmation.Once fully integrated
with OMS,the system will provide valuable data about outage scope and restoration
confirmation that will result in more efficient and timely restoration of power to Idaho
Power’s customers.Opting out of an AMI meter would also eliminate other benefits
such as voltage monitoring and meter and service failure detection.
Usage Information.The recording and management of hourly energy
consumption data is the basis for the Company’s ability to provide customers with
access to detailed data about their individual energy consumption,thus enabling them
to make wiser choices about their future energy usage.Attachment No.1 depicts the
types of usage information and analysis now available to customers with AMI meters on
Idaho Power’s website at www.idahopower.com.Daily and hourly usage data is
typically validated and posted within 72 hours so that customers can use the available
ANSWER -15
pre-bill information to reduce their bill by proactively managing their energy
consumption.
The Company has found that the data from AMI meters is helpful in resolving
customer billing issues and is a great tool to educate customers on their individual
energy consumption patterns and history.As depicted below,one of the many features
includes a chart outlining daily energy use.By selecting an individual day,a customer
can drill down to the hour and review consumption.This level of data empowers
customers to identify energy usage patterns and behaviors directly impacting their
consumption.
How My Usage CompareY How I Use Energy
c,And Howl,Energy Use
Daily Energj Use Jan.24 -Jan.4
l.Iouse o.er each b3rto see etaiIs for each 1a
60 kWh
When I Use Energy
,.‘),.b .---4)
•-
-Q1 4?
•)O 4ê k “cj>ç3ê .L
e k
36kh
24 kWh
i kwh
—J
Customers without AMI meters will not have time-based usage history available
to resolve usage questions or concerns,or to evaluate rate options like time-of-use or
ANSWER -16
critical peak pricing in the future.Customers who opt-out will likewise be unable to fully
utilize the energy usage tools on Idaho Power’s website.Idaho Power’s Account
Manager could provide only monthly consumption data as depicted in Attachment No.2
to those customers who opt-out.
In addition to the on-line tools described in Attachment No.1,Idaho Power
customer service employees utilize these same tools when assisting customers who
elect to call into the Customer Service Center for assistance.If a customer account
does not have AMI level data,employees will not have access to detailed usage
information to provide optimal information to assist customers with their usage and
billing inquiries.
It should also be noted that many customers find the AMI system less intrusive
because meter specialists no longer need to access customers’property on a monthly
basis to read the meter.Issues with animals,fences,gates,and property access occur
much less frequently than with a monthly manual meter reading process.
Time-of-Use Pricing.Idaho Power is also concerned that customers who opt-
out will not be able to participate in time-of-use pricing that more accurately assigns the
cost of electrical service and provides customers an opportunity to reduce their bills by
shifting usage to less costly time periods.As the Commission noted in Order No.29126
issued in Case No.IPC-E-02-12’s Investigation of Time-of-Use Pricing for Idaho Power
Residential Customers:
Time-of-use pricing,particularly the ‘critical peak’variety,
has the potential to create significant load reductions during
high cost hours and reduce the need for expensive peaking
facilities.We preliminarily find those two reasons promote
the public interest.Idaho Code §61-302.
ANSWER-17
The 2012 Idaho Energy Plan currently under review by the Idaho Legislature also
recommends all Idaho utilities move to a smarter grid and offer pricing structures that
encourage customers to minimize their usage during times of peak demand.5
Customers who receive this more accurate pricing information can use it to alter their
discretionary patterns of usage and over time it is anticipated that the efficiency of the
system will be increased by lowering the overall cost of energy to the Company and
customers.While the Company is just at the beginning stages of offering these time
variant rates,there is concern that the potential for system efficiencies will be reduced if,
over time,large numbers of customers are allowed to opt-out of receiving this pricing
signal.Obviously,customers who opt-out will not have the opportunity to lower their
bills by changing their usage patterns.Maintaining a discreet subset of opt-out
customers will likely increase the administrative burden of studies and costing,as well
as offerings and mailings.
V.COMMUNICATIONS AND SERVICE OF PLEADINGS
Service of pleadings and communications with reference to this case should be
sent to the following:
Lisa Nordstrom Duane Van Patten
Jason Williams Mark Heintzelman
Idaho Power Company Idaho Power Company
1221 West Idaho Street (83702)1221 West Idaho Street (83702)
P.O.Box 70 P.O.Box 70
Boise,Idaho 83707 Boise,Idaho 83707
lnordstrom(idahopower.com dvanpattenidahopower.com
iwiIliamsidahoower.com mheintzeIman(idahopower.com
2012 Idaho Energy Plan,Action E-9 (January 10,2012 draft).
ANSWER-18
a
VI.REQUESTED RELIEF
Idaho Power requests that the Commission deny the relief requested in the
Complaints of Bonnie Menth and Vicky Davis.The Commission has long resisted
micromanaging Idaho Powers operation of its system and its business decisions.See
Order Nos.25198,27690,and 30624.Idaho Power has always had the discretion to
choose the equipment used to serve customers,including its meters.As a condition of
service as set forth in Idaho Power Tariff Rule C and Utility Customer Relations Rule
302.05,Idaho Power has the legal right to replace or repair its meters and to access
private property for reasons related to power delivery.Requiring a utility to use a
specific type of equipment,particularly one that is less functional than the standard,is
not a good business practice.Moreover,it undercuts the very regulatory goals (such as
improved outage management,billing accuracy,and time-of-use pricing)the
Commission sought to achieve by requiring Idaho Power to adopt this technology
generally.See Order No.30726.
Although other states have offered a smart meter opt-out option,they did so in
large part to address customer concerns about privacy and potential negative health
effects from exposure to radio frequency communications.Idaho Power’s service area
is distinguishable from those jurisdictions because the AMI technology deployed by
Idaho Power is fundamentally different —it does not send a wireless signal and cannot
measure or control the operation of individual appliances.The concerns identified by
Ms.Menth and Ms.Davis do not have a basis in fact relative to Idaho Power’s use of
AMI.Therefore,an opt-out option is unnecessary to address problems that do not exist
with the Company’s AMI technology.
ANSWER-19
If the Commission finds that requiring Idaho Power to offer non-standard
equipment to facilitate an opt-out alternative is nonetheless warranted,Idaho Power
believes that the incremental costs (described in greater detail above)should be directly
assigned to the individual customers requesting this non-standard service.
Dated at Boise,Idaho,this 9th day of February 2012.
LISA D.NORDST’ROM
Attorney for Idaho Power Company
ANSWER -20
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on the 9th day of February 2012 I served a true and
correct copy of the within and foregoing ANSWER upon the following named parties by
the method indicated below,and addressed to the following:
Commission Staff X Hand Delivered
Weldon B.Stutzman
____U.S.
Mail
Idaho Public Utilities Commission
____Overnight
Mail
472 West Washington Street (83702)
____FAX
P.O.Box 83720 X Email Weldon.stutzman(puc.idaho.qov
Boise,Idaho 83702
Bonnie Menth
____Hand
Delivered
306 Shadetree Trail X U.S.Mail
Twin Falls,Idaho 83301
____Overnight
Mail
FAX
Email
Vicky L.Davis
____Hand
Delivered
145 Avenida Del Rio X U.S.Mail
Twin Falls,Idaho 83301
____Overnight
Mail
FAX
Email
L .
Lisa D.Nordstrom
ANSWER -21
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Residential Customer Account Manager with Smart Meter -
The Idaho Power website,www.idahopower.com,provides many different features for residential customers to
be empowered by becoming an Account Manager.Access to account information is available 24/7 so customers
can do business when it is most convenient for them.Energy Tools assist residential customers in
understanding their usage and provides information,tools,and tips to save energy and money.The circled
areas are tabs that contain detailed hourly data features only accessible to customer accounts with AMI data.
‘Aiiii
cic,Ljtit TidIt.tyef
Fui Accounts
Bill arid H sor
Usage Hstor
D.Iy And Hourty Energy Use
Erirçjy Jr vs De Days
Pay Tty FidI
P.iodity P.iymcnt Banl Acct,
Viays To Pay ly Fill
Add i’Acu’l
Rdcr.t Ser,,cc Forms
Business Sen ice Fo i-is
Url,,e l.y
1njrrsar’O-rri Y,ur Fii’I
Servii:ii ind Billing
Energy Efticiciiy
flows and Community
Our Environment
Czrre ore
About Us
fl•(Qy Tocs for
How My Use
i.goo
Attachment No.1
Case No.IPC-E-12-04
Answer,IPC
Page 1 of 6
Account Manager
—:un1 3ac.:
Due Dale
Last Pa,ment Date
tJ€dl.!etrRad Date
.53
i1 r :ci:
sill CflanQe
-€AC,LE,ID $3616 (fêq 14t1
Howl Uibergy
6111 Cliiiijei.Bill Comparison
I st Tloriths.Current Moittt and FItst lioiitfi5 BiIlei Usage
—View lAy Bil Pay I.ty Bill
Slgfl up For u 6t Pa.Ctlc tO ream
[
eool..’”i..
___Jj
400 Wi
200 .Wl O.mb.r
519 kWh
$71.41
0 wj
Jiflu5ly
94?kWh
$74 24
AcI.Jsage To Date Usage U..j Tota U5e9e
Thrs a simplified estimate o-1 the :ul o our ,ret b.II.Past usage IS it a
f’sh,•i F-..,i*errpal nn and aetals abo.,t theSe
A •
“How My Usage Compares”Tab
“Bill-To-Date”provides residential customers their current unbilled usage to date (three day lag)
and provides an estimate of what their next month’s total usage and cost will be.Additional details are
provided when the “Bill-To-Date”button is selected.This feature assists customers throughout the billing
cycle by providing information to understand consumption and associated costs for optimal bill
management.
Bill-To-Date Detail
Bin-To-Date -As Of eb.4,2012:$61 to S68
Err Used To Date from JOn 1hr io 4 85 F.h
Esmated 2iil-T:-Daie S 1 to $68
Estimated Total Bill At End Of Bill Period (Feb.6.2D12.S64 to $71
‘Esmoo1 1013!L’sae —t End Of Bill Pen:Fe 5.1 915 F-WTi
Estimated Total Bill tEn Of Bill PeriOd to
sUnited Bd-To-Dete
Bll.Jj.tJt Daily Energy For Account 90 Serrce eriitr:
•Estimated Eil-T-Cate $51 to $58
2:t maie Ellel mount —tEnd of Gill Pen:f -to S1
Bill-To Date Daily Enrri Use Jan 7 -Feb.4
Estinwted Dail,Eneigy Use Feb.5 -Feb.6
Actual [nerg Esimatd Dady Enfiqy’
!sna’eo E-r’-;base Cr’tt!e a.erqe dady .sr’:‘,cir actia ener’;y use to ae
Thi e as —of tt’e a”icuit o you’‘e.’c.Past a;e not cessa-r.
of ture usaQe
Attachment No.1
Case No.IPC-E-12-04
Answer,IPC
Page2of6
I,’,‘“
,‘•(“,i •f•-iI,(’
--•iio Q.
“When I Use Energy”Tab
I Account Manager
p
____
Pa nent :ct:na
8i11-Tc-Date
EnegyTos TGr 13?.JL -iriiii ST EAGI.E,N861$(8141.4 K1
6OF
kwh
36 cfh
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0-
,,,,..‘,,%.-.-
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‘
,‘_c ..4’.
Attachment No.1
Case No.IPC-E-12-04
Answer,IPC
Page 3 of 6
Smart meter interval data -This bar chart shows residential customers their most recent 12 days of
their daily usage.By mousing over the bar chart,the usage amount of each representative day will display.
If a customer desires additional interval meter data,he or she can select Daily And Hourly Energy Usage.
-:::unt Eaiar:e
Due Date
Last pa,ment
Lt P’rnentDate
tle’t Lteter Read Date
SO 00 Sign u f-i Eu t Pa CI’c’to learn
012712 .Qii
S1.3
011172012
:::i:
How My Usage Comp.re.Howl Use Energy When I Use Energy
Di;Iy And Hourly Enerciy Use
Daily Energy use Jan.24 -Jan.4
Ilouse :.er each bar to see details fDr ea:h cia:
-—---------.---
“When I Use Energy”Tab
-re es during cur peak.da -t hattm Can cu denti and bee
i hat causes those spies’isit the Detailed -a s’s ta ,.triir,the Sainos
srrto hnd .‘asto rnae .rventsto :ur home and ma’irni:e sour enerD
savings cpp:rtunities
Attachment No.1
Case No.IPC-E-12-04
Answer,IPC
Page 4 of 6
“Daily And Hourly Energy Use”-Viewing peak days and hours by month,this function automatically
identifies the peak day and hour for recent months.This assists residential customers in understanding their usage
behaviors and provides information opportunities to change those behaviors,supporting better-informed
decisions about energy usage and its impacts.By selecting the peak days and hours,the customer is directed to the
selected graph below.
DaHy And Hourly Energy Use
)‘.‘hatia.and .hat hour are •ou using the most ele:trict Find asto sa.e b,going to
ire Sain’s Center CIicI on tre ni belo..Ic iarn ho •ou are using electrict.
•Vie.D Enr
•View Hourl Eer Ue
Account 98-Servce Agreement 81 -.
ii View Peak Days and Hours By Month For The Above Time Period
Peak Days Peak Hours
Thutio.’2-E::L.h ‘r’.:.1.P1,l
$ptDec3l TueDec2O 1OPI.I EE,)kwh
E414F..h lOFt.!6781.b
SatFebO4 .F..h ThuFebQ2 SPIt
t,1ultpI huS iv1th same pea’alue
I I
Customer with AMI account data can view daily usage information by billing month,calendar month or by selected
date range.If a customer desires to view hourly information for a selected day,clicking the daily bar graph and
selected day will present hourly information in the graph below.
lieNS/Billing Month:January 2012 December 2011
Calendar Date Selection:
From:To:
cbck on a bar to see hourly usage data in the bottom chart
Daily Energy Uce For January Billing 1onth
December 7,2OllTa January 6,2012
IJse the Daily Energi Use charts to identif(the dais with the highest energj usage.Look for trends
in the dail,usage bars.relatieto one anotherforthe weel:ends.Then.click on a harto drill dovnto
the hourly data for that dai and identify ke hours of energi usage.Look for trends in the hour-b.’-
hour usage.
Attachment No.1
Case No.IPC-E-12-04
Answer,IPC
Page 5 of 6
70
Dec Dec Dec Dec Dcc Dc.:Dec Dcc Dec Dec Eec Dec Dec .Jn
[7 09 11 13 15 17 19 21 23 25 27 29 31 02
lan Jan
04 06
Customer accounts with AMI data can view hourly usage information by billing month,calendar month or by selected
date range.
aac:To Top
Hourly Energy Use
Calendar Date Selection:
5.5
4.5
4
1..J4_.
0 --
1yrvl 3l 5url 7OM 90T”l 111kM 1P’.i 3PM 5PM 7PM 9PM 11PM
________________
J
Bac[To Top
The hourly kVih values indicate your “hour ending”enerq9 use.For example,the energy value for the 2p.m.
hour.is the amount of energy used between 1 p.m.and 2p.m.
As we implement our new system providing Daily and hcurl9 energy use for your account,there may be gaps
in your usage data due to minor system disruticna and maintenance.Ice apologize for any inconvenience this
may cause you.Your monthly billing will continue to aocurateh reflect the total amount of electricity used.
If you have questions or require immediate assistance,call us at 208-388-2323,or I -800-388-61 51 from
outside the Treasure Valley.Customer service representatives are available weekdays from 7:30 am,to 6:30
p.m.Mountain Time
Attachment No.1
Case No.IPC-E-12-04
Answer,IPC
Page6of6
From.
___
To:
6,5
Hour’y kWh For Saturday December 31,2011
Hour
What are the top three hours ofenerg;usage?Does this aI from da1’-to-da’.7 “‘hat energ;
consuming acti.ities are happening atthese times and vhateners -sa.ing practices Could YOU put
in place?
4
BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
CASE NO.IPC-E-12-04
IDAHO POWER COMPANY
ATTACHMENT NO.2
Non-Smart Meter Residential Customer Account Manager-
The Idaho Power website,www.idahopower.com,provides many different features for residential customers to be
empowered by becoming an Account Manager.Access to account information is available 24/7 so customers can do
business when it is most convenient for them.Note the “Bill to Date”and “Bill Comparison”functions with hourly
data are not available.
)nd Communry
Our [fl
ni
About Us
Attachment No.2
Case No.IPC-E-12-04
Answer,IPC
Page 1 of 4
Account Manager
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