20140102Application Tariff.pdf

3EHM"
An IDACORP Companyi '-r.
arr- ni'n a1i, l, i.'r
LISA D. NORDSTROM
Lead Counsel
[e-mail]
December 23,2013
Jean D. Jewell, Secretary
ldaho Public Utilities Commission
47 2 W est Washington Street
P.O. Box 83720
Boise, Idaho 83720-007 4
kc-E-t4'D I
Re: Tariff Advice No. 13-08
Annual Compliance Filing to Update the Substation Allowance and
Vested lnterest Provisions under Schedule 19, Large Power Service
Dear Ms. Jewell:
ldaho Power Company hereby submits proposed modifications to Schedule 19,
Large Power Service. This is the first annual compliance filing to update the Substation
Allowance and Vested lnterest provisions under Schedule 19 as required by ldaho
Public Utilities Commission Order Nos. 32893 and 32914. The following tariff sheets
identify the proposed modifications:
Original Sheet No. 19-5
Original Sheet No. 19-6
Original Sheet No. 19-7
The Company's modifications are necessary for it to implement and administer
the new Schedule 19 Substation Allowance and Transmission Vested lnterest
provisions as ordered by the Commission in Order No. 32893.
The modifications to Schedule 19 are presented in three sections. The first
section introduces new defined terms used within the subsequent Substation
Allowance and Transmission Vested lnterest sections. The definitions are provided to
ensure an understanding and consistent application of the following sections.
The Substation Allowance section outlines when a Customer would qualify to
receive a Substation Allowance, the maximum possible Substation Allowance to be
refunded, and how the Customer wil! be refunded. Lastly, the Transmission Vested
lnterest section outlines when a Customer would qualify to receive Transmission
PO. Box 70 (837071
1221 W ldaho St.
Boise, lD 83702
Jean D. Jewell, Secretary
December 23,2013
Page 2
Vested lnterest, when Vested lnterest Refunds occur, and how Vested lnterest
Charges to Additional Schedule 19 Applicants will be calculated.
ln addition to presenting language additions to Schedule 19, the Company is
submitting its first annual update to the Schedule 19 Substation Allowance. The cost
estimation methodology the Company used is the same methodology the Company
presented in Case No. IPC-E-13-09. The updated Substation Allowance reflects an
updated stations overhead rate, which is based on the last 12 months of actual stations
overheads and stations-related construction costs. This calculation of overheads is
similar to the method used to calculate the Company's general distribution overhead
rate, which is updated annually in the Company's Rule H, New Service Attachments
and Distribution Line lnstallations or Alterations annual compliance filing.
The Company will file both the workpapers used to calculate the stations
overhead rate and the total per megawatt Substation Allowance in hard copy as
confidential attachments to this tariff advice.
The Company respectfully requests that the proposed updates are approved and
effective February 1, 201 4.
lf you have any questions regarding this tariff advice, please contact Connie
Aschenbrenner at 388-5994 or caschen brenner@ ida hopower.com.
Sincerely,
o€^- !-(^,ut"^,
Lisa D. Nordstrom
LDN:kkt
Enclosures
cc w/enc: Greg Said
RA File
Legal File
ldaho Power Company
LP.U.C. No. 29. Tariff No. 101 OriqinalSheet No. 19-5
SCHEDULE 19
LARGE POWER SERVICE
(Continued)
SPECIAL ARRANGEMENTS FOR SUBSTATION ALLOWANCES AND/OR TRANSMISSION VESTED
INTEREST
Definitions
Additional Schedule 19 Applicant is a Schedule 19 Customer whose Application requires the
Companv to provide new or relocated service from Substation Facilities served bv an existinq section of
Transmission Facilities with a Transmission Vested lnterest.
Apolicant is a Schedule 19 Customer whose Application requires the Companv to provide new
or relocated service from Substation Facilities served bv Transmission Facilities that are free and clear
of any Transmission Vested lnterest.
Application is a request bv an Applicant or Additional Schedule 19 Applicant for new electric
service from the Companv.
Connected Load is the total nameplate MW ratinq of the electric loads connected for Schedule
19 service.
Distribution Facilities include structures. wires. insulators. and related equipment that are
operated at a 34.5 kilovolt or lower ratinq.
Substation Allowance is the portion of the cost of the Substation Facilities funded bv the
Company.
Substation Facilities include those facilities and related equipment that transform the voltaoe of
enerov from a 44 kilovolt or hioher ratinq to a 34.5 kilovolt or lower ratinq.
Transmission Facilities include structures. wires. insulators. and related equipment that are
ooerated at a 44 kilovolt or hiqher ratino.
Transmission Line lnstallation is anv installation of new Transmission Facilities owned bv the
Companv.
Transmission Line lnstallation Charqe is the partiallv refundable charoe assessed an Applicant
or Additional Schedule 19 Apolicant whenever a Transmission Line lnstallation is built for that
individual.
Transmission Vested lnterest is the riqht to a refund that an Applicant or Additional Schedule '19
Applicant holds in a soecific section of Transmission Facilities when Additional Schedule 19 Applicants
attach to that section of Transmission Facilities.
Transmission Vested lnterest Charqe is an amount collected from an Additional Schedule 19
Applicant for refund to a Transmission Vested Interest Holder.
Transmission Vested lnterest Holder is a person or entitv that has paid a refundable
Transmission Line lnstallation Charoe to the Companv for a Transmission Line lnstallation.
IDAHO
lssued per Order No. 32893
Effective - February 1,2014
lssued by IDAHO POWER COMPANY
Gregory W. Said, Vice President, Regulatory Affairs
1221 West ldaho Street, Boise, ldaho
ldaho Power Company
|.P.U.C. No. 29. Tariff No. 101 Oriqinal Sheet No. 19-6
SCHEDULE 19
LARGE POWER SERVICE
(Continued)
SPECIAL ARRANGEMENTS FOR SUBSTATION ALLOWANCES AND/OR TRANSMISSION VESTED
INTEREST (Continued)
Definitions (Contin ued)
Transmission Vested lnterest Portion is that part of the Companv's transmission svstem in
which a Transmission Vested !nterest is held.
Substation Allowance
lf a Schedule 19 Customer's request for service requires the installation of new or upqraded
transformer caoacitv in Substation Facilities. the followinq considerations will be included in the
separate aoreement between the Customer and the Companv:
The Customer will initiallv pav for the cost of new or uporaded Substation
Facilities required because of the Customer's request. The Customer will be elioible to receive
a one-time Substation Allowance based upon subsequent sustained usaqe of capacitv bv the
Customer
a. Substation Allowance: The maximum possible allowance will be
determined by multiolvino the Customer's proiected increase in load bv $64.580 per
MW. but will not exceed the actual cost of the Substation Facilities.
b. Substation Allowance Refunds: The Substation Allowance will be
refunded to the Customer over a five-vear period. with annual oavments based on the
Customer's Basic Load Capacitv at the time of refund. The first refund will be paid one
vear followinq the first month enerqy is delivered throuqh the new Substation Facilities.
The refunds will occur based on the followino adiustment. which will be
added to the Substation Allowance received in the previous year. lf there is no
chanoe in load from the previous vear. the Substation Allowance for that year is
equalto the Substation Allowance from the previous vear:
((Chanoe in load from the orevious year as measured in MW) x (Substation Allowance per MW))
The Customer's annual refunds will be made in accordance with the
Substation Allowance amount stated in the separate construction aqreement
between the Customer and the Companv.
Transmission Vested lnterest
lf a Schedule 19 Customer's request for service requires the installation of new or upqraded
capacitv in Transmission Facilities. and those Transmission Facilities are servino the Customer bv a
radial feed. the followino considerations will be included in the separate aqreement between the
Customer and the Companv:
IDAHO
lssued per Order No. 32893
Effective - February 1,2014
lssued by IDAHO POWER COMPANY
Gregory W. Said, Vice President, Regulatory Affairs
1221 West ldaho Street, Boise, ldaho
ldaho Power Company
!.P.U.C. No. 29. Tariff No. 101 OriqinalSheet No. 19-7
SCHEDULE 19
LARGE POWER SERVICE
(Continued)
SPECIAL ARRANGEMENTS FOR SUBSTATION ALLOWANCES AND/OR TRANSMISSION VESTED
INTEREST (Continued)
Transmission Vested lnterest (Continued)
The Customer will initiallv pav for the cost of new or uoqraded Transmission Facilities required
because of the Customer's request. The Customer mav be eliqible to receive Transmission Vested
lnterest Refunds in accordance with Schedule 19.
Transmission Vested lnterest Refunds.
Transmission Vested lnterest Refunds will be paid bv the Companv and funded bv the
Additional Schedule 19 Applicant's Transmission Vested lnterest Charqe as calculated in
accordance with Schedule 19. The initial Applicant will be elioible to receive refunds up to 80
percent of their oriqinal construction cost.
Transmission Vested lnterest Refund Limitationsa. Transmission Vested lnterest Refunds will be funded bv no more than 4
Additional Schedule 19 Aoolicants durinq the 5-vear period followino the
completion date of the Transmission Line lnstallation.b. ln no circumstance will refunds exceed 100 percent of the refundable
portion of anv partv's cash payment to the Companv.
Transmission Vested lnterest Gharses:
Additional Schedule 19 Applicants with a Connected Load of qreater than 1 MW who
connect to a Transmission Vested lnterest Portion of a Transmission Line lnstallation will pav a
Transmission Vested lnterest Charoe to be refunded to the Transmission Vested lnterest
Holder.
An Additional Schedule 19 Apolicant will oav an amount determined bv this equation:
Transmission Vested lnterest Charoe = A x B where:
A = Load Ratio: Additional Schedule 19 Applicant's Connected Load divided bv the sum
of Addi
load.
B = Vested lnterest Holder's un-refunded contribution
The Additional Schedule 19 Apolicant has no Transmission Vested tnterest and the
Transmission Vested lnterest Holder remains the Transmission Vested lnterest Holder. The
Transmission Vested lnterest Holder's Transmission Vested lnterest will be reducpd bv the
newest Additional Schedule 19 Applicant's pavment.
The Transmission Vested lnterest Charoe will not exceed the sum of the Transmission Vested
lnterests in the Transmission Line lnstallation. lf an Additional Schedule 19 Apolicant connects to a
portion of a vested Transmission Line lnstallation which was established under a prior rule or schedule.
the Transmission Vested lnterest Charqes of the previous rule or schedule apply to the Additional
Schedule 19 Applicant.
IDAHO
Issued per Order No. 32893
Effective - February 1,2014
lssued by IDAHO POWER COMPANY
Gregory W. Said, Vice President, Regulatory Affairs
1221 West ldaho Street, Boise, ldaho
ldaho Power Company
!.P.U.C. No. 29. Tariff No. 101 Orioinal Sheet No. 19-5
SCHEDULE 19
LARGE POWER SERVICE
(Continued)
SPECIAL ARRANGEMENTS FOR SUBSTATION ALLOWANCES AND/OR TRANSMISSION VESTED
INTEREST
Definitions
Additional Schedule 19 Applicant is a Schedule 19 Customer whose Application requires the
Company to provide new or relocated service from Substation Facilities served by an existing section of
Transmission Facilities with a Transmission Vested !nterest.
Aoplicant is a Schedule 19 Customer whose Application requires the Company to provide new
or relocated service from Substation Facilities served by Transmission Facilities that are free and clear
of any Transmission Vested lnterest.
Application is a request by an Applicant or Additional Schedule 19 Applicant for new electric
service from the Company.
Connected Load is the total nameplate MW rating of the electric loads connected for Schedule
19 service.
Distribution Facilities include structures, wires, insulators, and related equipment that are
operated at a 34.5 kilovolt or lower rating.
Substation Allowance is the portion of the cost of the Substation Facilities funded by the
Company.
Substation Facilities include those facilities and related equipment that transform the voltage of
energy from a 44 kilovolt or higher rating to a 34.5 kilovolt or lower rating.
Transmission Facilities include structures, wires, insulators, and related equipment that are
operated ata 44 kilovolt or higher rating.
Transmission Line lnstallation is any installation of new Transmission Facilities owned by the
Company.
Transmission Line lnstallation Charoe is the partially refundable charge assessed an Applicant
or Additional Schedule 19 Applicant whenever a Transmission Line lnstallation is built for that
individual.
Transmission Vested Interest is the right to a refund that an Applicant or Additional Schedule 19
Applicant holds in a specific section of Transmission Facilities when Additional Schedule 19 Applicants
attach to that section of Transmission Facilities.
Transmission Vested lnterest Charoe is an amount collected from an Additional Schedule 19
Applicant for refund to a Transmission Vested lnterest Holder.
Transmission Vested lnterest Holder is a person or entity that has paid a refundable
Transmission Line lnstallation Charge to the Company for a Transmission Line lnstallation.
IDAHO lssued by IDAHO POWER COMPANY
lssued per Order No. 32893 Gregory W. Said, Vice President, Regulatory Affairs
Effective - February 1,2014 1221 West ldaho Street, Boise, ldaho
ldaho Power Company
I.P.U.C. No. 29. Tariff No. 101 Oriqinal Sheet No. 19-6
SCHEDULE 19
LARGE POWER SERVICE
(Continued)
SPECIAL ARRANGEMENTS FOR SUBSTATION ALLOWANCES AND/OR TRANSMISSION VESTED
INTEREST (Continued)
Definitions (Continued)
Transmission Vested lnterest Portion is that part of the Company's transmission system in
which a Transmission Vested lnterest is held.
Substation Allowance
lf a Schedule 19 Customer's request for service requires the installation of new or upgraded
transformer capacity in Substation Facilities, the following considerations will be included in the
separate agreement between the Customer and the Company:
The Customer will initially pay for the cost of new or upgraded Substation Facilities
required because of the Customer's request. The Customer will be eligible to receive a one-
time Substation Allowance based upon subsequent sustained usage of capacity by the
Customer.
a. Substation Allowance: The maximum possible allowance will be
determined by multiplying the Customer's projected increase in load by $64,580 per
MW, but will not exceed the actual cost of the Substation Facilities.
b. Substation Allowance Refunds: The Substation Allowance will be
refunded to the Customer over a five-year period, with annual payments based on the
Customer's Basic Load Capacity at the time of refund. The first refund will be paid one
year following the first month energy is delivered through the new Substation Facilities.
The refunds will occur based on the following adjustment, which will be
added to the Substation Allowance received in the previous year. lf there is no
change in load from the previous year, the Substation Allowance for that year is
equalto the Substation Allowance from the previous year:
((Change in load from the previous year as measured in MW) x (Substation Allowance per MW))
Number of Substation Allowance Refunds remaining in five-year period
The Customer's annual refunds will be made in accordance with the
Substation Allowance amount stated in the separate construction agreement
between the Customer and the Company.
Transmission Vested lnterest
lf a Schedule 19 Customer's request for service requires the installation of new or upgraded
capacity in Transmission Facilities, and those Transmission Facilities are serving the Customer by a
radial feed, the following considerations will be included in the separate agreement between the
Customer and the Company:
IDAHO
lssued per Order No. 32893
Effective - February 1,2014
lssued by IDAHO POWER COMPANY
Gregory W. Said, Vice President, Regulatory Affairs
1221West ldaho Street, Boise, ldaho
ldaho Power Company
|.P.U.C. No. 29. Tariff No. 101 Orioinal Sheet No. 19-7
SCHEDULE 19
LARGE POWER SERVICE
(Continued)
SPECIAL ARRANGEMENTS FOR SUBSTATION ALLOWANCES AND/OR TRANSMISSION VESTED
INTEREST (Continued)
Transmission Vested lnterest (Continued)
The Customer will initially pay for the cost of new or upgraded Transmission Facilities required
because of the Customer's request. The Customer may be eligible to receive Transmission Vested
lnterest Refunds in accordance with Schedule 19.
Transmission Vested Interest Refunds.
Transmission Vested lnterest Refunds will be paid by the Company and funded by the
Additional Schedule 19 Applicant's Transmission Vested lnterest Charge as calculated in
accordance with Schedule 19. The initial Applicant will be eligible to receive refunds up to 80
percent of their original construction cost.
Transm ission Vested I nterest Refund Li m itationsa. Transmission Vested lnterest Refunds will be funded by no more than 4
Additional Schedule 19 Applicants during the S-year period following the
completion date of the Transmission Line !nstallation.b. ln no circumstance will refunds exceed 100 percent of the refundable portion of
any party's cash payment to the Company.
Transmission Vested lnterest Charges:
Additional Schedule 19 Applicants with a Connected Load of greater than 1 MW who
connect to a Transmission Vested lnterest Portion of a Transmission Line lnstallation will pay a
Transmission Vested lnterest Charge to be refunded to the Transmission Vested lnterest
Holder.
An Additional Schedule 19 Applicant will pay an amount determined by this equation:
Transmission Vested lnterest Charge = A x B where;
A = Load Ratio: Additional Schedule 19 Applicant's Connected Load divided by the sum
of Additional Applicant's Connected Load and Transmission Vested lnterest Holder's
load.
B = Vested lnterest Holder s un-refunded contribution
The Additional Schedule 19 Applicant has no Transmission Vested lnterest and the
Transmission Vested lnterest Holder remains the Transmission Vested lnterest Holder. The
Transmission Vested lnterest Holder's Transmission Vested lnterest wil! be reduced by the
newest Additiona! Schedule 19 Applicant's payment.
The Transmission Vested lnterest Charge wil! not exceed the sum of the Transmission Vested
lnterests in the Transmission Line lnstallation. lf an Additional Schedule 19 Applicant connects to a
portion of a vested Transmission Line lnstallation which was established under a prior rule or schedule,
the Transmission Vested lnterest Charges of the previous rule or schedule apply to the Additional
Schedule 19 Applicant.
IDAHO
lssued per Order No. 32893
Effective - February 1, 2014
lssued by IDAHO POWER COMPANY
Gregory W. Said, Vice President, Regulatory Affairs
1221West ldaho Street, Boise, ldaho