20130501notice_of_application_order_no_32799.pdf

Office of the Secretary
Service Date
May 1,2013
BEFORE TIlE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )
OF IDAHO POWER COMPANY FOR AN )CASE NO.IPC-E-13-1l
ACCOUNTING ORDER AUTHORIZING )
COLLECTION OF CAPITALIZED CUSTOM )NOTICE OF APPLICATION
EFFICIENCY INCENTIVE PAYMENTS )
)NOTICE OF
)MODIFIED PROCEDURE
)
________________________________
)ORDER NO.32799
YOU ARE HEREBY NOTIFIED that on April 15,2013,Idaho Power Company filed
an Application requesting an accounting order authorizing the Company to recover through its
Energy Efficiency Rider the regulatory asset associated with custom efficiency incentive
payments.Idaho Power seeks recovery of incentive payments made between January 1,2011
through June 1,2013,plus accrued carrying charges,and also requests authorization to collect
future incentive payments made afier June 1,2013.
YOU ARE FURTHER NOTIFIED that the Custom Efficiency Program provides
financial incentives to commercial and industrial customers to implement energy efficiency
measures at their sites,including lighting retrofits,efficient industrial controls,and energy
efficiency upgrades.On May 17,2011,the Commission issued an Order authorizing the
Company to record custom efficiency incentive payments made since January 1,2011,in a
regulatory asset account,with an amortization period to be determined later by the Commission.
See Order No.32245.Later,in Case No.IPC-E-12-15,the Commission determined that
$7,018,385 of custom efficiency incentive payments recorded in the regulatory asset account
were prudently incurred.In yet another case,the Company sought recovery of the incentive
payments in the regulatory asset account outside of a general rate case,but the Commission
denied the Company’s request in Case No.IPC-E-12-24.Order No.32766.The Company now
is requesting an accounting order authorizing modification to the regulatory accounting treatment
for custom efficiency incentive payments,effectively returning collection of these expenditures
to the Energy Efficiency Rider.The Company’s request is consistent with a statement in Order
No.32766 that “the Company may propose to recover program expenditures through its Energy
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32799 1
Efficiency Rider,and thus obtain speedy recovery of these expenditures.”Order No.32766,p.
9.
YOU ARE FURTHER NOTIFIED that the Company’s Application requests transfer
of the balance of the custom efficiency regulatory asset account to the Rider account as of June
1,2013,plus accrued carrying charges equal to the currently approved customer deposit rate of
1%.For custom efficiency incentive payments made after June 1,2013,the Company is
requesting to record these amounts to the Rider account in the same manner as other Rider-
funded energy efficiency expenditures “until such time that the issue of capitalized investment in
DSR [demand-side resources]can be fully addressed in a future general rate case.”Application,
p.5.The Company projects a balance of $14,706,829 in the custom efficiency regulatory asset
account to be transferred to the Rider account under the Company’s requested accounting
treatment.Idaho Power currently projects a liability account balance of $8,481,610 in the Rider
account as of June 1,2013,but the Rider account would reflect an asset balance of $6,353,057 at
the end of June 2013 if the Commission approves the Company’s Application.Although the
Rider account would temporarily shift to a regulatory asset balance,the Company projects the
account balance would return to a regulatory liability by summer 2014.Application,p.7.
Accordingly,the Company believes the current level of Rider funding is sufficient to provide
timely recovery of the custom efficiency incentive payments and also fund the Company’s
energy efficiency programs.The Company requested that its Application be processed by
Modified Procedure.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has determined that the
public interest may not require a formal hearing in this matter and will proceed under Modified
Procedure pursuant to Rules 201 through 204 of the Idaho Public Utilities Commission’s Rules
of Procedure,IDAPA 3 1.01.01.201-204.The Commission notes that Modified Procedure and
written comments have proven to be an effective means for obtaining public input and
participation.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position on this
Application may file a written comment in support or in opposition with the Commission within
twenty-one (21)days from the service date of this Notice.The comment must contain a
statement of reasons supporting the comment.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32799 2
YOU ARE FURTHER NOTIFIED that persons desiring a hearing must specifically
request a hearing in their written comments.Written comments concerning this Application may
be mailed to the Commission and Idaho Power at the addresses reflected below:
Commission Secretary Lisa D.Nordstrom
Idaho Public Utilities Commission Idaho Power Company
P0 Box 83720 P0 Box 70
Boise.Idaho 83720-0074 Boise,ID 83707-0070
Email:Inordstrornidahopower.com
Street Address for Express Mail:
Matt Larkin
472 W.Washington Street Greg Said
Boise,ID 83702-5918 Idaho Power Company
POBox7O
Boise,ID 83707-0070
E-mail:mlarkinidahopower.com
gsaid(idahopower,com
These comments should contain the case caption and case number shown on the first page of this
document.Persons desiring to submit comments via e-mail may do so by accessing the
Commission’s home page located at www.puc.idaho.gov.Click the Comments and Questions”
icon,and complete the comment form,using the case number as it appears on the front of this
document.These comments must also be sent to Idaho Power at the e-mail addresses listed
above.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are
received within the time limit set,the Commission will consider this matter on its merits and
enter its Order without a formal hearing.If written comments are received within the time limit
set,the Commission will consider them and,in its discretion,may set the same for formal
hearing.
YOU ARE FURTHER NOTIFIED that the Application and supporting workpapers
have been filed with the Commission and are available for public inspection during regular
business hours at the Commission offices.The Application is also available on the
Commission’s web site at www.puc.idaho.gov by clicking on ‘File Room”and then ‘E1ectric
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 specifically
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32799 3
Idaho Code §61-501,61-502,and 61-503.The Commission may enter any final Order
consistent with its authority under Title 61.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be
conducted pursuant to the Commission’s Rules of Procedure,IDAPA 3 1.01.01.000 c/seq.
ORDER
IT IS HEREBY ORDERED that this case be processed under Modified Procedure.
Interested persons and the parties may file written comments within 21 days of the service date
of this Order.
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this
day of April 2013.
MACK A.REDFORD,COMMISSIONER
Th.JL
MARSHA H.SMITH,COMMISSIONER
ATTEST:
‘7
.1an D.Jewell 1
Commission Se’cretary
bls/O:IPC-E-1 3-1 1 vs
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32799 4