20140522Sunergy World Response.pdf

Jean Jewell
From:[e-mail]
Sent:Wednesday,May 21,2014 11:32 PM
To:Beverly Barker;Jean Jewell;Gene Fadness
Cc:[e-mail]
Subject:Case Comment Form:Mark Van Gulik
Name:Mark Van Gulik
Case Number:IPC-E-14-09
Email:mvangulik(sunetgyworld corn
Telephone:
Address:P0 Box 7354
Boise ID,83707
Name of Utility Company:Idaho Power
Acknowledge public record:True
Comment:May 21,2014
Via Electronic Transmission
Honorable Paul Kjellandar
Honorable Marsha Smith
Honorable Mark Redford
Idaho Public Utility Commission
472 West Washington Street
Boise,Idaho 83702
RE:Idaho Power Company Petition to Suspend Purchase of Solar Powered Energy,IPC-E-l4-09.
Dear Commissioners
Sunergy World wishes to supply supplemental comments to the verbal comments provided by Leif
Elgethun on behalf of Sunergy World at the public hearing on May 21,2014.These comments
are in response to questions posed at the conclusion of Mr.Elgethun’s statements.
Commissioner Chair Smith and Commissioner Kjellandar both poised questions in regards to
Sunergy World’s knowledge of pending solar integration charges as well as precedent from wind
cases.Sunergy World was aware of both cases per Mr.Elgethun’s testimony,agrees that solar
integration charges could be relevant in Idaho Power’s PURPA obligations,but disputes the
notion that any potential changes to current agreed upon methodology should have any bearing
on negotiations between developers and Idaho Power prior to their petition or until Idaho
Power can prove solar integration charges are necessary to protect rate payers.We would
like to submit a timeline of our negotiations with Idaho Power to show we were acting in good
faith with Idaho Power to negotiate a contract and that Idaho Power did not indicate at any
time they would like to include a solar integration charge in those negotiations.
The following is the timeline of events for the Sunergy World Project negotiations with Idaho
Power Company specifically with Jonathan Monschke,Mark van Gulik,Randy Alphin and Michael
Darrington.
January 23,2014 —Emailed Randy Alphin in regards to the two of our projects for discussion
and possible PPA PURPA Contracts.
January 24,2014 —Randy responded to introduce Michael Darrington and to schedule a meeting.
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March 12,2014 —First meeting with Randy,Michael,Jonathan and Mark to discuss in detail
the process for establishing pricing for our two solar projects,and how Idaho Power
establish pricing utilizing the IRP method.At NO time was the Integration charge discussed
or brought up.
March 15,2014 or around that date —Sunergy submitted our detailed hourly data to Michael
for both project to receive preliminary pricing.
April 11,2014 —Received DRAFT PURPA Contracts for Discussion ONLY contracts for both of the
projects discussed that included preliminary pricing schedules for the IRP methodology.
Again,the DRAFT PURPA Contracts did NOT include any language or mention of an Integration
Charge.
April 29,2014 —Meeting with Randy,Michael,Mark and Jonathan (on Conference)to discuss
both PURPA Contracts and what would be the probability of increasing the contract length from
20 to 25 years and how the pricing would be effected along with increasing the size of each
project from 20 MW to 40 MW.Again,response was that both projects data would need to be
resubmitted and analysis in the same fashion as the original project submittal.NO mention
of any Integration Charge was discussed.
May 14,2014 —Received the Petition from Randy Alphin.
Summary,as discussed,Sunergy is willing to discuss and negotiate both Contracts with Idaho
Power in good faith and currently is planning to “Turn”both contracts back to Idaho Power
for continued negotiation.We anticipate re-submitting our data for confirmed pricing for
the larger size,but are willing to keep both projects at 20 MW each to at least get the
projects started.
Sincerely,
Mark van Gulik
Unique Identifier:159.118.72.165
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