20140107notice_of_application_order_no_32962.pdf

Office of the Secretary
Service Date
January 7,2014
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )
OF IDAHO POWER COMPANY TO )CASE NO.IPC-E-14-01
IMPLEMENT A SCHEDULE 19 )
SUBSTATION ALLOWANCE AND )NOTICE OF APPLICATION
TRANSMISSION VESTED INTEREST )
(TARIFF ADVICE NO.13-08))NOTICE OF
)MODIFIED PROCEDURE
)
______________________________
)ORDER NO.32962
YOU ARE HEREBY NOTIFIED that on December 23,2013,Idaho Power Company
filed Tariff Advice No.13-08,annual compliance filing to update the substation allowance and
vested interest provisions under Schedule 19,Large Power Service.The Company stated it is its
first annual compliance filing to implement a substation allowance and vested interest provision
for Schedule 19 customers as required by Commission Order Nos.32893 and 32914.The filing
consists of three new tariff sheets comprised of three sections:(1)defined terms used in the
substation allowance and transmission vested interest sections,(2)the substation allowance
section outlining when a customer would qualify to receive an allowance,the maximum possible
allowance,and how a customer will receive a refund,and (3)the transmission vested interest
section explaining when a customer would qualify to receive a vested interest and how vested
interest charges would be calculated.The Company’s filing includes a cost estimation
methodology to reflect an updated station overhead rate to determine the allowance amount.The
Company states its calculation of overhead is similar to the method used to calculate the
Company’s general distribution overhead rate that is updated annually in the Company’s Rule H
New Service Attachments and Distribution Line Installations compliance filing.Idaho Power
proposed a February 1,2014 effective date.
YOU ARE FURTHER NOTIFIED that the Company’s filing is in response to the
Commission’s Orders in Case No.IPC-E-l3-09.The Commission in that case approved a
request by Glanbia Foods,Inc.for an allowance against construction costs for upgrades to Idaho
Power’s facilities.The Commission concluded Glanbia is entitled to an allowance of $65,734
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32962 1
per MW multiplied by the 19 MW Glanbia planned to obtain through the new facilities it is
constructing.
YOU ARE FURTHER NOTIFIED that Idaho Power filed the new allowance
provisions as a tariff advice to implement the substation allowance and vested interest terms
approved by the Commission in Case No.IPC-E-l3-09.The proposed schedule provides for a
possible allowance of $64,580 per MW multiplied by the customer’s projected increase in load.
The allowance will be refunded to the customer over a five-year period.
YOU FURTHER NOTIFIED that the Commission determined the Company’s filing
is larger than “minor changes to existing schedules”to qualify as a tariff advice under
Commission Rule of Procedure 134.See IDAPA 31.01.01.134.In addition,large power service
customers that did not participate in the Glanbia case may be interested in commenting on Idaho
Power’s tariff provisions.Accordingly,the Commission determined to issue a Notice of
Application and Notice of Modified Procedure,providing for a 21-day comment period,to
process the Company’s filing as an Application.Because it may not be possible to complete the
process by February 1,the Commission will suspend the proposed effective date of February 1
for 30 days or until the Commission issues an Order.
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 31.01.01.201-204.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.
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:
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32962
Commission Secretary Lisa D.Nordstrom
Idaho Public Utilities Commission Idaho Power Company
PU Box 83720 P0 Box 70
Boise,Idaho 83720-0074 Boise,ID 83 707-0070
Email:lnordstrornidahopower.com
Street Address for Express Mail:
472 W.Washington Street
Boise.ID 83702-5918
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 “Case Comment or Question
Form”under the “Consumers”tab,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 the Applicant at the
e-mail address 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 has been filed with the
Commission and is 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.Click on the “File Room”tab at the top of the page,scroll down to “Open
Electric Cases,”and then click on the case number as shown on the front of this document.
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
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 etseq.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32962 3
NOTICE OF SUSPENSION
Idaho Power has submitted a proposed schedule of rates and charges for service to
become effective on and afier February 1,2014.The Application is of sufficient importance and
complexity to require the Commission’s investigation of the reasonableness of the proposed
schedule.
The Commission will be unable to consider the Application in Case No.IPC-E-14-O1
before February 1,2014,because of the complexity of the evidence presented by the Application
and because of the previously scheduled hearings and other demands on the Commission’s time.
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.
IT IS FURTHER ORDERED that the proposed schedule of rates and charges for
service in Case No.IPC-E-14-01 should be,and hereby is,suspended for a period of thirty (30)
days from February 1,2014,or until such time as the Commission may issue an Order accepting
or rejecting or modifying the Application in this matter.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32962 4
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this
day of January 2O4.
PAUL KJELLA DER,PRESIDENT
MACK A.REDFORD,cOMMISSIONER
MARSHA H.SMITH,COMMISSIONER
ATTEST:
14L 4L’
hfl D.Jewe
Cbmmission Secretary
bls/O:IPC-E-14-0 Iws
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.32962 5