20130701Application.pdf

^llmloNpQtr16p-
An IDACORP ComDanvI \1 i,
?8ll JUi{ 28 P}l 3: 59
il,.,j-ii .r I'-lril iii.::l,11', ;:',r,'.;.
LISA D. NORDSTROM
Lead Gounse!
I [e-mail]
June 28,2013
VIA HAND DELIVERY
Jean D. Jewell, Secretary
Idaho Public Utilities Commission
472 W est Washington Street
Boise, Idaho 83702
Re: Case No. IPC-E-13-15
2Ol3lntegrated Resource Plan - ldaho Power Company's Application
Dear Ms. Jewell:
Enclosed forfiling in the above matterare an originaland seven (7) copies of ldaho
Power Company's Application.
Very truly yours,
d,*O?(^u,,.,.-
Lisa D. Nordstrom
LDN:csb
Enclosures
NEW CASE
1221 W. ldaho St. (83702)
P.O. Box 70
8oise, lD 83707
LISA D. NORDSTROM (lSB No. 5733)
JENNIFER REINHARDT-TESSMER (lSB No. 7432)
ldaho Power Company
1221West ldaho Street (83702\
P.O. Box 70
Boise, ldaho 83707
Telephone: [phone]
Facsimile: [phone]
I nord strom@id ahopower. com
i rei n ha rdt@idahopowe r. com
Attorneys for ldaho Power Company
IN THE MATTER OF IDAHO POWER
COMPANY'S 201 3 INTEGRATED
RESOURCE PLAN.
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
)
)
)
)
)
CASE NO. tPC-E-13-15
APPLICAT!ON
COMES NOW Idaho Power Company ("ldaho Power" or "Company"), and in
accordance with ldaho Public Utilities Commission ("lPUC" or "Commission") Order No.
22299, hereby requests that the Commission accept for filing the Company's 2013
lntegrated Resource Plan ("lRP" or "Plan"). ln support of this request, ldaho Power
states as follows:
I. BACKGROUND
As required by Commission Order No.22299 and the Public Utility Commission
of Oregon's ("OPUC") Order Nos. 89-507, 07-002, and 12-013, the Company prepares
and files a biennial IRP with both the IPUC and the OPUC setting forth how Idaho
Power intends to serve the electric requirements of its customers. Idaho Power's 2013
APPLICATION - 1
IRP addresses available supply-side and demand-side resource options, planning
period load forecasts, potential resource portfolios, a risk analysis, and an action plan
that details the steps the Company plans to take to implement the 2013 lRP.
The complete 2013 IRP consists of four separate documents: (1) the 2013
lntegrated Resource Plan; (2) Appendix A - Sales and Load Forecast; (3) Appendix B -
Demand-Side Management 2012 Annual Report; and (4) Appendix C - Technical
Appendix. A copy of the complete 2013 lRP is provided as Attachment 1 and can also
be found on the Company's website at unryw.idahopower.com. lnterested persons may
also request a printed copy of the 2013lRP by contacting [e-mail].
ldaho Power has worked with stakeholders over the last year to develop the
2013 lRP. To incorporate stakeholder and public input, the Company worked with the
lntegrated Resource Plan Advisory Council ("|RPAC"), comprised of members of the
environmental community, major industrial customers, agricultural interests, ldaho state
legislators, representatives of the OPUC and IPUC staffs, representatives from the
ldaho Office of Energy Resources and the Northwest Power and Conservation Council,
and others. The IRPAC meetings were also open to the public and served as an open
forum for discussion related to the development of the lRP. The IRPAC and members
of the public that attended the meetings made significant contributions to the Plan. A
list of the members of the IRPAC is provided as Attachment 2. ldaho Power wi!!
schedule public presentations regarding the 2013 IRP at community meetings
throughout its ldaho and Oregon service territories later this year once regulatory
process schedules are set.
APPLICATION - 2
II. lRP GOALS AND ASSUMPTIONS
The primary goals of ldaho Power's 2013 IRP are to: (1) identify sufficient
resources to reliably serve the growing demand for energy within ldaho Powe/s service
area throughout the 2O-year planning period; (2) ensure the selected resource portfolio
balances cost, risk, and environmental concerns; (3) give equal and balanced treatment
to both supply-side resources and demand-side measures; and (4) involve the public in
the planning process in a meaningfulway.
The 2013 IRP assumes that during the 20-year planning period in the IRP (2013-
2032), ldaho Power will continue to be responsible for acquiring resources sufficient to
serve al! of its retail customers in its ldaho and Oregon service territories and will
continue to operate as a vertically-integrated electric utility.
The number of customers in ldaho Power's service area is expected to increase
from around 500,000 in 2012 to nearly 670,000 by the end of the planning period in
2032. ldaho Power's average load is expected to increase by 21 average megawatts
(1.1 percent) annually and summertime peak-hour loads are expected to increase by 55
megawatts ("MW") (1.4 percent) annually through the planning period. ldaho Power
continues to use 70th percentile water condltions and 70th percentite average load for
energy planning. For peak-hour capacity planning, ldaho Power uses 90th percentile
water conditions and 95th percentile peak-hour load. The growing population in ldaho
Power's service area will require the Company to add physica! resources to meet
energy demands to use in combination with demand-side measures.
APPLICATION - 3
III. PREFERRED RESOURCE PORTFOLIO
In preparing the IRP, ldaho Power performed a Resource Alternatives Analysis
where the performance of numerous types of supply-side resources were compared
side-by-side in order to identify the best resource types to be analyzed in greater detail.
The Company next examined nine resource portfolios for the 2O-year planning period
that consisted of the resource types identified in the Resource Alternatives Analysis.
Two resource portfolios rely on the Boardman to Hemingway ("82H") transmission line,
connecting ldaho Power to the Pacific Northwest, and the associated market purchases.
This transmission line is expected to be substantially complete and operationa! in 2018.
Three resource portfolios explore alternatives to the B2H transmission line to meet
future resource needs and four additional resource portfolios explore options for
reducing or eliminating existing coal-fired generation from ldaho Power's resource
portfolio and are an extension of the coal study that the Company included with the
2011 IRP Update.
Additionally, ldaho Power's demand response programs will be used throughout
the planning period to meet resource needs; specifically, the Company plans to use up
to approximately 150 MW of demand response prior to completion of the B2H line.
The 2013 lRP presented by this Application provides the Company's estimate of
future loads and sets forth how the Company intends to serve the electrical
requirements of its native load customers over the next 20 years. While the proposed
preferred resource portfolio represents current resource acquisition targets, it is
important to note that the actual resource portfolio may differ from the quantities and
APPLICATION - 4
types of resources outlined in the IRP depending on the changing needs of ldaho Power
and its customers.
IV. EXPANDED IRP ANALYSIS
In Order No. 32425, the Commission accepted the Company's 2011 IRP. ln so
doing, the Commission suggested the Company include the following in its 2013 IRP:
(1) An analysis of the Company's involvement in the Gateway West
transmission line;
(2) An update on the progress of the Company's solar demonstration
project;
(3) An update on the Company's relicensing efforts for the Hells
Canyon hydro projects;
(4) An evaluation of the potential for early retirement of existing coa!
plants; and
(5)
risks.
An analysis of quantifying transmission siting and market price
With respect to the Company's involvement in the Gateway West transmission
line, the IRP specifically addresses this on page 79. A discussion of the progress of the
Company's solar demonstration project can be found on page 86 of the IRP. The
Company provides an update on its relicensing efforts for the He!!s Canyon
hydroelectric projects on page 12. An evaluation of the Company's existing coal plants,
including closure of plants, is discussed on page 98. Qualitative transmission siting
issues are addressed on pages 71-81. Further, transmission siting costs are embedded
in Table 9.2 on page 98 and are described in the Technical Appendix, Transmission
APPLICATION - 5
Cost Assumptions, on page 86. Finally, market price risk is addressed in Figure 9.6 on
page 104.
V. SERVICE OF PROCESS
ldaho Power requests that any notices, inquiries, and communications regarding
this request be provided to:
Lisa D. Nordstrom
Jennifer Reinhardt-Tessmer
Regulatory Dockets
Legal Department
ldaho Power Company
P.O. Box 70
Boise, ldaho 83707
Telephone: [phone]
Facsimile: [phone]
E-mail: lnordstrom@idahooower. com
irei n hardt@ idahopower. com
dockets@ id ahopower. com
Gregory W. Said
Timothy E. Tatum
Pricing & Regulatory Services
ldaho Power Company
P.O. Box 70
Boise, ldaho 83707
Telephone: [phone]
Facsimile: [phone]
E-mail: [e-mail]
ttatum@ id ahopower. com
VI. REQUEST FOR ACCEPTANCE
ldaho Power respectfully requests that the Commission issue its order accepting
the Company's 2013lRP and finding that the 2013lRP meets both the procedural and
substantive requirements of Commission Order No.22299.
DATED at Boise, ldaho, this 28th day of June 2013.
SA D. NOR
APPLICATION - 6
BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
CASE NO, IPC.E.I3-15
IDAHO POWER COMPANY
ATTAGHMENT 1
2013 INTEGRATED RESOURCE PLAN