20130417notice_of_amendment_order_no_32791.pdf

Office of the Secretary
Service Date
April 17,2013
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE AMENDMENT )
TO THE FIRM ENERGY SALES )CASE NO.IPC-E-.13-07
AGREEMENT BETWEEN IDAHO POWER )
COMPANY AND CLARK CANYON )NOTICE OF AMENDMENT
HYDRO,LLC FOR THE SALE AND )
PURCHASE OF ELECTRIC ENERGY.)NOTICE OF
)MODIFIED PROCEDURE
)
______________________________
)ORDER NO.32791
On March 20,2013,Idaho Power Company filed a Motion to Amend its Firm Energy
Sales Agreement (Agreement)with Clark Canyon,LLC (Clark Canyon)dated May 20,2011.
The amendment provides for a revised First Energy and Scheduled Operation Date,a right of
first refusal to purchase the project,the payment of delay liquidated damages,and the continued
maintenance of delay damage security.Idaho Power requests that its Motion be processed
without further procedure or,in the alternative,as expeditiously as possible by Modified
Procedure.
NOTICE OF AMENDMENT
YOU ARE HEREBY NOTIFIED that on May 20,2011,Idaho Power and Clark
Canyon entered into a Firm Energy Sales Agreement for the sale and purchase of electric energy.
On July 19,2011,the Commission approved the Agreement without change or condition.See
Order No.32294.
YOU ARE FURTHER NOTIFIED that the Agreement entered into on May 20,2011,
contains a First Energy Date of November 1,2012,and a Scheduled Operation Date of March
31,2013.On or about December 11,2012,Clark Canyon requested an extension of its First
Energy Date to November 30,2013,and an extension of its Scheduled Operation Date to
December 31,2013.
YOU ARE FURTHER NOTIFIED that the amendment also adds a provision granting
Idaho Power a first right of purchase should the facility be sold and provides for payment of
liquidated damages and continued maintenance of delay security.
NOTICE OF AMENDMENT
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32791
YOU ARE FURTHER NOTIFIED that Idaho Power asserts that the amendment is
fair and equitable and in the public interest.The Company maintains that the avoided cost rates
contained in the Agreement are substantially similar to the avoided cost rates that the project
would receive if it entered into a new contract at today’s rates.
YOU ARE FURTHER NOTIFIED that Idaho Power notes that the existing
Agreement splits renewable energy credits equally between the Company and the project.
YOU ARE FURTHER NOTIFIED that the amendment states that Clark Canyon will
pay $211,500 in delay liquidated damages and maintain the posting of liquid financial security in
the amount of $21 1,500 with an expiration no sooner than April 30,2014.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has determined that the
public interest may not require a formal hearing in this matter and will proceed under Modified
Procedure pursuant to Rules 201 through 204 of the Idaho Public Utilities Commissions Rules
of Procedure,IDAPA 31.01.01.201 through .204.The Commission notes that Modified
Procedure and written comments have proven to be an effective means for obtaining public input
and participation.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position on this
Application may file a written comment in support or opposition with the Commission no later
than May 3,2013.The comment must contain a statement of reasons supporting the comment.
Persons desiring a hearing must specifically request a hearing in their written comments.
Written comments concerning this Application shall be mailed to the Commission and Idaho
Power at the addresses reflected below:
Commission Secretary Donovan E,Walker
Idaho Public Utilities Commission Lead Counsel
P0 Box 83720 Idaho Power Company
Boise,ID 83720-0074 1221 West Idaho Street
P0 Box 70
Street Address for Express Mail:Boise,ID 83707-0070
E-Mail:[e-mail]
472 W.Washington Street
Boise,ID 83702-5918
NOTICE OF AMENDMENT
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32791 2
Randy C.Aliphin
Energy Contract Administrator
Idaho Power Company
1221 West Idaho Street
P0 Box 70
Boise.ID 83 707-0070
E-ivail:ra!lphindidahopower.corn
These comments should contain the case caption and case number shown on the first page of this
document.Persons desiring to submit comments via e-mail may do so by accessing the
Commission’s home page located at Click the “Comments and Questions”
icon and complete the comment form using the case number as it appears on the front of this
document.These comments must also be sent to Idaho Power at the e-mail addresses listed
above.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are
received within the time limit set,the Commission will consider this matter on its merits and
enter its Order without a formal hearing.If written comments are received within the time limit
set,the Commission will consider them and,in its discretion,may set the same for formal
hearing.
YOU ARE FURTHER NOTIFIED that the Application and Agreement have been
filed with the Commission and are available for public inspection during regular business hours
at the Commission offices.The Application and Agreement are also available on the
Commissions web site at www.puc.idaho.gov by clicking on “File Room”and then “Electric
Cases.”
YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held
pursuant to the Commission’s jurisdiction under Title 61 of the Idaho Code and the Public Utility
Regulatory Policies Act of 1978 (PURPA).The Commission has authority under PURPA and
the implementing regulations of the Federal Energy Regulatory Commission (FERC)to set
avoided costs,to order electric utilities to enter into fixed-term obligations for the purchase of
energy from qualified facilities and to implement FERC rules.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be
conducted pursuant to the Commission’s Rules of Procedure,IDAPA 3 1.01.01.000,etseq.
NOTICE OF AMENDMENT
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32791
ORDER
IT IS HEREBY ORDERED that this case be processed under Modified Procedure.
Interested persons and the parties may file written comments no later than May 3,2013.
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this
day of April 2013.
PAUL KJ LA ,PRESIDENT
I —
I —
MACK A.REDFORD,COMMISSIONER
LA4ZA 4
MARSHA H.SMITFI,COMMISSIONER
ATTEST:
J4n D.JewelYj
mmission Secretary
O:IPC-E-I 3-O7ks
NOTICE OF AMENDMENT
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32791 4