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HomeMy WebLinkAbout20171222Donohue Direct.pdfBEFORE THE IDAHO PUBLIC UTILITIES C IN THE MATTER OF THE APPLICATION OF IDAHO POWER COMPANY FOR AUTHORITY TO ESTABLISH NEW SCHEDULES FOR RESIDENTIAL AND SMALL GENERAL SERVICE CUSTOMERS WITH ON.SITE GENERATION RilCEIVED ?01? il[l 22 PH 2: 33 oMMrssroN :ll-iC,il,iissl0N CASE NO. !PC-E-17-13 DIRECT TESTIMONY OF STACEY DONOHUE IDAHO PUBLIC UTILITIES COMMISSION DEGEMBER 22, 2017 ) ) ) ) ) ) ) ) 1 2 3 4 5 5 7 8 9 10 11 a2 13 t4 15 t6 1-7 1B 19 20 2L 22 23 24 25 O. Please state your name and business address for the record. A. My name is Stacey Donohue. My business address is 472 West Washington Street, Boise, Idaho. O. By whom are you employed and in what capacity? A. I am employed by the Idaho Public Utilities Commission as the Program Manager of t.he Technical Analysis Secti-on in the Utilities Di-vislon. a. What is your education, experience and background? A. I received a B.A. in History from ,James Madison University in 1-999 and a Master's of Public Administration (M.P.A.) from Boise State University in 20:..0. Prior to joining the Commission Staff in 2010, I was employed as an Energy Specialist at the Idaho Office of Energy Resources where I managed the administration of energy efficiency and renewable projects. I have attended the New Mexico State University Center for Public Utilities' course in Practical Regulatory Training. I serve on Idaho Power's Integrated Resource Planning Advisory Council and its Energy Efficiency Advisory Group, AvisLa's Energy Efficiency Advisory Commj-ttee, and the Regional Technical Forum's Policy Advisory Committee. I have filed comments representing Staff's position on integrated resource pIans, community so1ar, fixed cost- adjustment mechanism designs and associated recovery, cAsE NO. rPC-E-17-13 t2/22/11 DONOHUE, S. (Di) 1 STAFF 1 2 3 4 5 6 7 8 9 10 11 L2 13 L4 15 1,5 L7 18 t9 20 2l 22 23 24 25 electric and gas demand-side management (DSM) program design and prudency, and 1ow-income weatherization programs. In addition, I have filed testimony in three general rate cases. O. What. is the purpose of your testimony? A. My test.imony will address the Company's request to create new rate classes for R&SGS (Residential and Sma11 General Service) net metering customers. O. Please summarize the Company's request. A. The Company has requested authorization to separate R&SGS net metering customers into two new customer classes. The Company claims that these customers are different than standard service customers and benefit from an unfair cost shift from standard service customers. a. Please summarj-ze your testimony. A. I will provide some background information on Idaho Power's neL metering offering, and I wil-I show t.hat St.aff's analysis of consumption data finds no evidence justifying a separate rate class for net metering customers. I will- show that the Company's calculation overstates the future cost shift and present Staff's analysis of t,he cost shift. drj-ven by excess generation. I will then explain Staff's proposal to modify Schedule 84 to remove the cost shift caused by excess generation and show how Staff's proposal a11ows net metering to grow while preserving the CASE NO. IPC-E-17-13 t2/22/t7 DONoHUE, S. (Di) 2 STAFF 1 2 3 4 5 6 7 8 9 10 11 1,2 13 1,4 15 t6 L7 l-8 t9 20 2t 22 23 24 25 ability of customers to offset. their own consumption. Fina11y, I will show t.hat net metering does not harm 1ow income customers and the process proposed by the Company in this case is faulty. IDAHO POWER'S NET METERING OFFERING O. Please describe the size of the net met.ering resource currently on the Company's system. A. Residential solar makes up 94 percent of the Company's net metering resource and tot.als 8.3 megawatts (MW) of nameplate capacit.y as of .fune 20L7. That. is approximately 0 . 3 percent of the Company' s 3 ,40 0 MW syst.em capacity. If the Company's median growth project.ion for residentj-aI solar is realized, the Company will have 40 MW of residential- solar in 2022. For context, Idaho Power's system peak-hour load requirement is forecast to grow by 50MW for each of the next twenty years.l O. Ts the Company financially harmed by net metering? A. No. The Fixed Cost Adjustment (FCA) aI1ows the Company to recover its fixed costs associated with reductions in energy usage for the R&SGS classes for any reason. The FCA ensures that. the Company remains indifferent to reductions in energy sales regardless of the reason. Economic downturns, weather, expansion of natural gas space heat, energy efficiency, and net. metering can all 1 Idaho Power's 20L7 Integrated Resource P1an, page 2l CASE NO. IPC-E-17-13 1-2 / 22 /L7 DONOHUE, S. (Di) 3 STAFF 1 2 3 4 5 6 1 B 9 10 11 1,2 13 t4 l-5 t6 l7 18 L9 20 2L 22 23 24 25 cause declines in energy sa1es. a. On page 20 of his testimony, Mr. Tatum states t.he "Company's f iling is intended t.o facilitat.e t,he expansion of on-site generation in a way that is both scalable and sustainable into the future...." Do you agree with this goal? A. Yes. I beli-eve that. scalable and sustainabl-e expansion of the Company's net metering offering is a reasonable goaI. O. Why do you support scalable and sustainable expansion of t.he Company's net metering of f ering? A. Because it aI1ows customers to offset their own consumption in t,he same way that customers have always been able to offset their own electric consumption through reduced usage, energy efficiency, natural gas and wood space heat, and all other methods. The Company does not concern itself with what happens on the customer's side of the meter for any other customers, and I do not believe it appropriat,e in this case either. Additionally, the Company has shown that net metering lowers costs for all customers. According to the Company's presentation at the .Tune 27 , 201,6, "NeL Metering Customer and St.akeholder Workshop" (originally included as Exhibit 10, page l-l- of Ms. Aschenbrenner's direct testimony, j-ncluded here as Exhibit No. 1-l-2) , an average net meterlng customer is 25 percent less expensive to serve t,han an CASE NO. fPC-E-17-13 L2/22/1,7 DONOHUE, S. (Di) 4 STAFF 1 2 3 4 5 6 7 8 9 10 11 t2 13 t4 15 t6 L7 18 1,9 20 2L 22 23 24 25 average standard service residential customer.2 Net metering lowers costs to serve because it, reduces capacity and energy costs the Company would otherwise incur to serve that 1oad. NO EVIDENCE iIUSTIFYING SEPARATE RATE CLASSES O. On what basis did the Company support its position t,hat net metering customers should be moved into a separate rate class? A. On page 25 of her testimony, Ms. Aschenbrenner states that til t is long standJ-ng ratemaking practice toestablish separate customer classes to set ratesfor segments of customers with different costs ofservice or where the nature or type of load isdistinctly different from their current customerclassification. On the same page, she adds "pattern of use" as anoLher dif f erentiat.ing fact.or . O. Did t.he Company include a cost of service (CoS) study to provl-de evj-dence for its claim that net metering cusEomers should be in separate customer classes? A. No, the Company did not provide a COS study. InsLead, it provided t.he load profiles of average net meterj-ngr customers compared to average standard service customers on a single peak day in 201"6. O. Did the Company analyze annual consumption for its 2 The figures presentsed at t,he Stakeholder workshop are Companystatements, not the resuLt,s of a cost of service study. CASE NO. TPC-E-j.7-]-3 L2/22/17 DONOHUE, S. (Di) 5 STAFF 1 2 3 4 5 6 7 8 9 10 11 t2 13 L4 15 15 l7 18 19 20 2t 22 23 24 25 net metering and standard service customers in this filing? A. No. O. Would you agree that the "two-way relationship with the grid" (Application at 8) is a fundamental difference between net metering and standard servj-ce customers? A. No. Dr. Morrison's test.imony shows that the average residential net metering customer pushes very 1itt1e energy onto t,he grid. Most of the energy produced is used to offset the customer's consumption. Further, the Company did not claim that net metering could increase maintenance or pose a safety hazard to its system, and it did not specify additional investments that it would be required to make to accommodate net meteri-ng growth or ident.ify at what Ievel of penetration any investments would be needed. In fact, the Company's 20l-7 Annual Net Metering Status Report. (attached as Exhibit 9 to Ms. Aschenbrenner's direct test.imony, included here as Exhibit No. l-10) described a loca1 distribution circuit that is sti11 performing up to required standards with 32 percent solar penetration. The report also states that the Company "reviews several facLors" (page 15) when considering net metering applicatj-ons, which include confJ-rming "adequate transformation and conductor capacity, ds well as phasing cAsE NO. IPC-E-17-13 L2/22/17 DoNoHUE, s. (Di) 6 STAFF 1 2 3 4 5 6 7 I 9 10 11 t2 13 L4 15 16 77 18 19 20 2t 22 23 24 25 (single versus three phase) match." (Id). The Company confirmed that it "has not denied any net meterlng applications due to system limitations, but continues to carefully monitor requests.... " (Id. ) This suggest,s that the Company could deny a net meterj-ng application rather than incur substantj-aI system cost. It makes sense that net metering has minimal grid impacts sj-nce most of the energy produced is consumed on- site rather than pushed back onto the grid. Because most of the energy produced by net met,ering is consumed on sit,e, grid operations are not impacted, and there are no quantifiable cost impacts to other cusLomers, it is difficult to conclude that net metering customers are different from other customers in any meaningful way. O. Did Staff conduct an analysis to determine if net metering customers are different from standard service residential customers in the nature, type, or pattern of use? A. Yes. Dr. Morrison analyzed annual consumption dj-fferences between all of the Company's 20L6 net metering cusLomers and a stratified random sample of the Company's standard residential service customers. Dr. Morrison found that "the distribution of individual consumption patterns from both groups is nearly identical" and "consumption CASE NO. IPC-E- 17 - ].3 t2/22/1,7 DONOHUE, S. (Di) 7 STAFF 1 2 3 4 5 6 7 8 9 10 11 1,2 13 1,4 l-5 L6 l7 18 19 20 2L 22 23 24 25 patterns of both groups are simiIar. " Morrison Dj-rect at 1,7. The finding that these cusLomers are almost, indistinguishable contradj-cts the Company's claim that net metering and resident.ial standard service customers are different in their nature, type, or pattern of 1oad. COST SHIFT CALCULATION O . Is the cosL shift driving the Company's request to separat,e net metering customers into new customer cl-asses? A. No. Ms. Aschenbrenner states on page 35 of her testimony: As discussed in Mr. Tatum's testimony, otherintra-cIass subsidies do exist and continue toexist. absent fu1Iy unbundled cost-based rates;however, the distinct dj-fferences beLween thetime, nature, and pattern of use by st.andardservice customers and R&SGS customers with onsitegeneration is what is driving the need forseparate rate classes. Further, oD page 25 of her test.imony, Ms. Aschenbrenner writes that "R&SGS customers who take standard service from Idaho Power are set apart in a separate customer class not because of the amount of energy they use but because the nature of energy use is different from one another." O. If t.he request. to separate rate cl-asses is not driven by the need to correct a cost shift from standard service customers to net metering customers, why is the Company concerned with the cost shift? A. That is not entirely clear. The current cost CASE NO. IPC-E-17-13 12/22/1-7 DONOHUE, S. (Di) 8 STAFF 1 2 3 4 5 6 7 8 9 10 11 t2 13 l4 15 1,6 77 18 l_9 20 2L 22 23 24 25 shift is extremely small, and even under the Company's growth projections it is anticipated to remain very small in proportion to resident.ial class revenues. O. Did the Company include an analysis of the cost shift in this filing? A. None of the three Company witnesses testified to the size or calculation of the cost shift. However, Ms. Aschenbrenner included the Company's 2017 Annual- Net Metering Status Report as Exhibit No. 9 to her testimony. That report claimed the cost shift from standard service customers to net. meterj-ng customers in 2015 was $116,682, which is 0.023 percent of the $515 million generated by the residential class in the same year. While this is very sma11, the Company's 201-6 Annual Net Metering Report claimed t.he cost shift could grow to between $755,000 and $1.9 million by 2021 (Exhibit No. 1l-1) . Assuming t.he residential class revenue generation remains at 20L6 1eve1s, the projected $1.9 million cost shift would constitute 0.37 percent of future residential saIes. O. Do you agree with how the Company calculated this projected cost shift? A. No. In order to estimate the projected per- customer cost shift, the Company created a "strawman" future net metering customer using usage data from non-neL metering CASE NO. IPC-E-17-13 )-2/22/1,7 DONOHUE, S STAFF (Di) e 1 2 3 4 5 6 7 8 9 10 11 L2 13 L4 15 L6 t7 18 19 20 21- 22 23 24 25 residential customers with average usage. The Company's data provided to Dr. Morrison shows t.hat average net metering customers have higher usage than average standard service customers even after accounting for their own on-site generation. After offsett.ing their consumption through their own on-site generation, an average net metering cust,omer consumes 13,113 kilowatt hour (kWH) annually from the Company. By comparison, an average non- net metering customer consumes 11,781 kWh annually from the Company. Nevertheless, the Company then applied the effects of a 5kW solar photovoltaic (PV) system t,o the average residential customer usage to create its "strawman" future net metering customer. Because any customer with below average usage receives a subsidy from any customer with above average usage, applying a 5kW solar PV system to average usage significantly reduced usage below what is observed with actual net metering customers in the sample the Company provided to Dr. Morrison. Based on t.his methodology, the Company calculated a $444 subsidy per its future "strawman" net metering customer. This estimate is highly speculative because it. is not based on observed actual usage of net metering customers. CASE NO. IPC-E-17-13 1-2 / 22 /t] DoNoHUE, s. (Di) 1o STAFF L 2 3 4 5 5 7 I 9 10 11 t2 13 l4 15 L6 t7 18 t9 20 2t 22 23 24 25 The Company then multiplied this figure across iLs projected growt.h in net metering customers and determined that the future cost shift could range from $755,000 to $1.9 million over the next five years. O. How should t,he cost shift have been calculated? A. Fut,ure net metering customer usage should have been forecast using actual net meterj-ng customer consumption After offsetting theJ-r consumption from the Company with their own on-site generaLion, the average net metering customer uses 1,332 kwh more energy annually than an average residential customer. O. Did Staff conduct its own analysis of the cost shift ? A. Yes. Staff does not believe that power consumed by the customer at the time it is produced by the customer's own generation should be included in the cost shift calculation. The only transactions that should be considered are those that happen at the meter: l-) the power supplied by the Company, and 2) excess generation supplied by the customer. The Company is currently paying net metering customers retail rates for the energy net metering cusLomers push across the meter and back onto the grid. Any payment amount that exceeds the cost the Company would have incurred to acquire that energy is a subsidy to net metering CASE NO. IPC-E-17-13 1-2/22/77 DONOHUE, S STAFF (Di ) 11 1 2 3 4 5 6 7 8 9 10 11 t2 13 T4 15 L5 l7 18 L9 20 2t 22 23 24 25 customers. By applying avoided cost rates to the excess generation on1y, Dr. Morrj-son calculated the current subsidy from the body of standard service ratepayers to an average net metering customer to be $l-00.53 annua11y. Using the Company's most aggressive forecast for net metering growth, the cost shift in 2022 would be about $708,000. Assuming that residential class revenue remains stable at $515 mi11ion, the cost shift represents 0.L4 percent of the annual residential class revenues. O. Why do you believe t.he cost shift should be addressed even t,hough it j-s relatively smaI1? A. The cost shift should be addressed because it i-s caused by an inappropriate valuation of energy delivered to the grid by net met,ered residential customers and not, for example, by certain inevitable subsidies created by consumption patterns, which cannot be controlled by the Company or the Commission. O. Company witness Tatum claims that "Cost shifting is generally accepted and regulators nationwide have attempt,ed to address it." Tatum Direct at 14. Please respond to t.he suggestion that the Idaho Commission should foI1ow the lead of other states on this issue. A. I have not reviewed the consumption data, cost shift calculations, and evidence presented in other states. CASE NO. IPC-E-17-13 12/22/t7 DONOHUE, S. (Di) 12 STAFF 1 2 3 4 5 6 7 I 9 10 11 L2 13 t4 15 t6 L7 18 t9 20 21 22 23 24 25 I have, however, reviewed the consumption data, cost shift calculations, and evidence presented by the Company in t.his case. The evidence in this case shows that net metering customers as a group are nearly indistinguishabl-e from st.andard service customers and create a de minimis cost shift relative to class revenues, but that cost shift should nevertheless be addressed because it relates to the fairness of the cost the Company is paying for a resource. O. Why do you recommend that the Commission address this cost shift? A. If the cost shift were caused by 1ow usage, I would not support addressing it because that would single out one type of customer who reduces usage from all others who reduce usage. However, over-valuing the excess generation produced by net metering customers creaLes a small cost shift. Since this is the only way that net metering cusLomers are different from other customers and has the potential- to harm other customers if that generatj-on is over-valued, I recommend addressing it. STAFF'S PROPOSAL TO CORRECT THE COST SHIFT O. Please describe Staff's proposal to correcL the cost shift. A. In order to correct this cost shift, Staff proposes to value excess generation produced by net metering customers at an avoided cost rate. This does two things: CASE NO. IPC-E-17-13 L2/22/1,7 DONOHUE, S. (Di) 13 STAFF 1 2 3 4 5 5 7 8 9 10 11 L2 13 l4 l-5 16 l7 18 19 20 2L 22 23 24 25 l-) it more fairly compensates net metering customers for the resources they are contributing to the system, and 2) it eliminates t,he cost shift assocj-ated wit.h excess generation. Dr. Morrison used the Company's DSM avoided costs in his analysis because they are public and readily available, but he and I both recommend a new docket be initiated to determine the avoided cost value that most accurately reflects the value of this resource. DSM avoided cost rates occur in five time blocks (Summer On-Peak, Summer Mid-Peak, Summer Off-Peak, Non- Summer Mid-Peak, and Non-summer Off-Peak) to reflect t.he marginal resource the Company would use or acquire to meet load in those hours. fn order to use those hourly time blocks to value excess generation for net metering, consumption and generation must be metered on a net-hourly basis. This is a change from the Company's current practice of metering on a net-monthly basis. In addition, metering on a net-hourly basis addresses the Company's concern that meterj-ng on a neL- monthly basis a11ows net. metering customers to escape paying for the grid in the hours they are net consumers. CrJ-tica11y, neither of t.hese changes require a new raLe cIass. Both can be made with modifications to Schedule 84. fL is also important to note that Staff's proposal cAsE NO. rPC-E-17-13 1,2/22/1,7 DONOHUE, S. (Di) t4 STAFF 1 2 3 4 5 6 7 8 9 10 11 l2 13 a4 15 L6 17 18 t9 20 2t 22 23 24 25 only eliminates the cost shift caused by excess generation, which is the only way that net metering customers are different from standard customers as a c1ass. Other cosL shifts associated with other-than-average bil-led consumption remain, just as they remain for any other standard service resi-denti-aI customer. O. How will this impact current net metering customers? A. Using the Company's DSM avoided cost rate as a placeholder for the revised excess generation credj-t, Dr. Morrison calculated that these two changes would increase the average net metering customer's bill by $S.39/mont.h, which is $100.53 annua1Iy. This amount exact.ly offsets the current subsidy received by net metering customers described earlier. O. The Company states that the current net metering pricing strucLure does not adequately reflect the cost to serve net metering customers who use grid services every hour of the month, but pay less than their respective share of costs when generat.ion is valued at the fuII retail rate and netted against consumption on a monthl-y bas j-s. Application at 3. Does Staff's proposal addresses that concern? A. Yes. By adjusting the credit for excess generatj-on from the retail rate to an avoided cost rate and CASE NO. IPC-E-17-13 t2/22/17 DONOHUE, S. (Di) 15 STAFF 1 2 3 4 5 6 7 8 9 10 11 L2 13 L4 15 t6 L7 t_8 L9 20 21 22 23 24 25 billing on a net-hour1y, rather than a net-monthly basis, Staff 's proposal addresses bot.h of these concerns. O. Net metering consists of several different t,echnologies, how does an avoided cost rate approach address different technologies? A. Using an avoj-ded cost structure to value the excess generation is resource agnostJ-c: It j-s valued no more or less than the cost the Company would have otherwise incurred to meet load according to its generation profile. O. Does St.aff 's proposal respond to the Company's goal of making net metering "both fair and sustainable into the fuLure"? (Tatum at 4.) A. Yes. It a11ows net metering to expand, which according to the Company lowers costs for all customers, while making standard service customers indifferent to costs they pay for excess generation provided by these systems. NET METERING IS SfMILAR TO CABIN USAGE AI{D ENERGY EFFICIENCY O. Ms. Aschenbrenner's test,imony clai-ms that net metering customers whose usage nets to zero are noL t.he same as vacation homes (i.e. cabins) with no kWh usage j-n a month. Do you agree with her characterizat.ion? A. No. In her example, Ms. Aschenbrenner maintains that cabins are different from net metering customers because when cabins do not receive an energy bi11, it is because they did not. use the grid. But that overlooks the CASE NO. IPC-E-17-13 1-2/22/17 DONOHUE, S. (Di) 16 STAFF 1 2 3 4 5 6 7 8 9 10 l- l_ t2 13 t4 15 16 t7 18 19 20 2t 22 23 24 25 fact that all other customers paid for the cabin's stand-by service (i.e., fixed costs) in the month that the cabin's energy use did not cover its fixed costs. As Exhibit 10, page 5 of Ms. Aschenbrenner's testimony shows (included as Exhibit No. 1l-l- to my testimony) , fixed costs are 67 percent of service costs for residential customers. The cost shift that the Company claims t.o be addressing met.ering - for net metering cusLomers is not uni-que to net it happens with any cust.omer who uses less energy for any reason. In addit.ion to cabins, than thisaverage i-ncludes homes with natural gas or wood space heat, fewer occupants, and energy efficiency measures. However, Staff's proposal to meter net metering cusLomers on a net-hourly basis resolves the issue metering cusLomers not paying for the grid in hours they are net consumers. O. On page 31 of her testimony, Ms. Aschenbrenner states that: A customer with on-site generation and a customer who installs an energiy efficiency measure aresimilar in that. t,hey are both able to reduce the amount that. t.hey are bi1Ied for energy; however, a customer who instal-l-s an energiy efficiency measurei-s reducing their reliance (and lowering their cosL to serve) in every hour that measure iscalled upon. That is, the energy efficiency measure is always delivering energy reduction.On-site generation only reduces the demand forgrid energy in the hours the system is operating. When the system is not generating, the grid isrelied upon to serve the fu1I demand. of net when CASE NO. IPC-E-17-13 t2/22/L7 DONOHUE, S STAFF (Di ) L1 1 az 3 4 5 6 7 I 9 10 11 L2 13 l4 15 L6 L7 18 t9 20 21, 22 23 24 25 Do you agree with this assessment? A. No. A customer who installs a net metering system is almost identical to a customer who installs an energy efficiency measure. An energy efficiency measure only delivers energy reduction in the hours that it is funct,ioning, which is t.he same as a net metering system. For example, if a customer chooses to override the efficiency setting on a smart thermostat, the device does not provide savi-ngs during that time and the grid is caI1ed upon to serve higher demand. O. On page 29 of her testimony, Ms. Aschenbrenner claims that. a net metering customer's usage is not similar to a standard service residential customer who has 1itt1e monthly kWh usage. Do you agree? A. No. To defend this statement, the Company provides a chart showing the differing load patterns between net metering and standard service residential customers on a single day. One day of load pattern data does not support a claim about. monthly usage. Further, Ms. Aschenbrenner's statement assumes that net metering customers are 1ow usage, but Dr. Morrj-son's analysis shows t.hat after offsetting their consumption with their own on-site generation, the average net metering customer uses l-,332 kwh more annual energy from the Company than non-net metering customers. A. Ms. Aschenbrenner admj-ts on page 35 of her CASE NO. IPC-E-17-13 t2/22/L7 DONOHUE, S. (Di) 18 STAFF 1 2 3 4 5 6 7 I 9 10 11 t2 13 L4 15 15 L7 18 19 20 2L 22 23 24 25 testimony that net-zero customers are not representative of all net metering customers. Do you agree? What percentage of the Company's net metering customers are net-zero? A. I agree with Ms. Aschenbrenner on this point. Dr. Morrison's analysis of the data provj-ded by the Company shows that only about 11.5 percent of net metering customers are net-zero and the remaining 88.5 percent are not. O. Do you believe it is appropriat,e to create a separate customer class for a group of customers based on Ll-.5 percent of that group? A. No. THE COMPA]{TY'S PROPOSED PROCESS AI{D CONSIruER PROTECTION O. Ms. Aschenbrenner suggests on page 24 of her testimony that the Company's plan to study the costs and benefits after establishing separate rate classes for net metering: customers aligns with feedback from stakeholders gathered j-n advance of this filing. Do you agree? A. No. Stakeholders were in favor of a study to determine the costs and benefit.s of net meterj-ng, but the Company made no indication that it might conduct the study after determining t.he need for separate rate classes. As a participant in those meetings, iL was clear that stakeholders were interested in that study happening before a significant decision such as a rate class determinat,ion or pricing change was proposed. CASE NO. IPC-E-17-13t2/22/17 DONOHUE, S. (Di) 1"9 STAFF 1 2 3 4 5 6 7 I 9 10 11 t2 13 a4 l-5 L6 1,7 18 t9 20 2L 22 23 24 25 O. The Company claims that creating a new customer class will enable it to study these customers and understand how they use the Company's system. Do you believe that is necessary? A. No. The Company has advanced metering infrastructure data for a1l- of t.hese customers right now - the same data Dr. Morrison used in his analysis. Separating these customers j-nto different rate classes has no impact on the amount of available data. The Company could have, but chose not to, use t.his data to study net metering customers in advance of request.ing separate rate classes. O. The Company has requested a generic docket to develop the compensation structure that reflects both benefits and costs of net metering. Do you support this generic docket even t,hough you recommend that the Commission deny the Company's request for separate rate c1asses? A. No. Because this case is limited to Idaho Power and the other utilit.ies have not filed net metering cases, I do not believe a generic docket is justified. However, I recommend a future docket that. includes a study of costs as well as benefits, as long as the primary goal is establishing the resource value of excess generation. O. The Company claims that separating net metering customers into separate classes now will limit the issue in a future general rate case proceeding. Do you believe t.hat CASE NO. IPC-E-17-13 t2/22/1,7 DONOHUE, S. (Di) 20 STAFF 1 2 3 4 5 6 7 8 9 10 11 t2 13 L4 15 t6 L7 18 19 20 2L 22 23 24 25 is a reasonable approach? A. No. Limiting or expanding a future proceeding is not the correcL basis on which t,o determine creation of new customer classes. That. decision should be made based on evj-dence, not a desired process outcome. O. On page 18 of his testimony, Mr. Tatum expressed concern that "some customers may be investing in [distributed energy resource] systems under the assumption that rate design changes or compensation for excess net energy will never occur; that misunderst.anding may negatJ-ve1y impact, the economics of their decision." If you share Mr. Tatum's concern, do you have recommendations for addressing this potential mj-sunderstanding? A. I share Mr. Tatum's concern that customers may not have complete information before investj-ng in a system capable of net metering, specifically in rooft.op solar. To help minimize the potential for misunderstanding, the Company could augment its current customer outreach by developing a closer relationship with soLar installers, much as they have with trade a11ies (such as HVAC installers) who support the Company's energy efficiency programs. To make sure that. its customers participating in its energy efficiency programs are dealing with a reputable dealer, the Company hosts a list of "Participating Contractors" on its website (Exhibit, No. 11,2) . The same could be done for solar CASE NO. IPC-E-17-13 1-2/22/1,7 DONOHUE, S STAFF (oi1 27 1 2 3 4 5 6 7 8 9 10 11 1,2 13 l4 l_5 16 L7 l-8 19 20 2L 22 23 24 25 installers who support the Company's net metering offering. Lastly, the Company could add an on-line solar calculator to its "My Account" 1og in page to help customers understanding the impact of possible net metering rate changes to their bi11. O. The Company expresses concern that " [f] rom a consumer prot.ection perspective" the current net metering rate sLructure "a1so acts as a regressive wealt,h transfer from lower-income customers to higher-j-ncome customers." (Application at 5) Please comment on the impact net meterj-ng has on low income customers. A. I'm very glad to see that the Company is concerned about its low income customers and I share that concern. However, Exhibj-t No. ll2 of my testimony shows that Idaho Power believes net metering customers are 26 percent less expensive to serve than sLandard service customers. This l-owers costs for all customers, including 1ow income customers. Staff's proposal eliminates the cost shift associated with excess generation, thereby making all customers, including Iow income customers, j-ndifferent to the effect.s of excess generat.ion. O. Please summarize your recommendations in this case. A. I recommend that the Commission deny the Company's request t.o establish new rate classes for net metering CASE NO. IPC-E-17-13 L2/22/17 DONOHUE, S. (Di) 22 STAFF 1 2 3 4 5 6 7 I 9 10 1_1 L2 L3 L4 15 16 l7 18 t9 20 21, 22 23 24 25 customers based on Dr. Morrison's analysis that their consumption patterns are almost indistinguishable from standard service customers. However, I also recommend that, the Commission initiate a docket in which the Company and interested parties can work together to determine the compensation structure for excess generation based on the avoj-ded cost of the resource. When that process is complete, I recommend that the Commission direct the Company to file a revj-sed Schedule 84 reflecting the agreed-upon avoided cost rate and the net-hourly metering. O. Does this conclude your testimony in this proceeding? A. Yes, it does. CASE NO. IPC-E-17-13 t2/22/1,7 DONOHUE, S. (Di) 23 STAFF r'J f{ Exhibit No. 10 Case No.|PC-E-17'13 C. Aschenbrenner, IPC Page 1 'l of 20 ExhibitNo. 109 Case No. IPC-E-17-13 S. Donohue, Staff 12/221r7 o L-oln o*Jt-,ao L,, .= trotIib)(J -J?,oE, N(oN F{r\<r\ EP P ]n(t'l<rl E+, P o(J .I l-o[l't l{ro {-,lnOCtJo -=5.D {.,&thP=gu Al-:o .f,+,atlo(-)a EO'-X(93 Nu.l1r\ tJ1+)tnO .-.(JO >'-obo(o Yrol! -a o)F{<t\ rn4Jrnou€'EO'C .x(93 st(D 1r}. Itl .no^UqJ >. -oh0(o YrouJ3 l{fn<rl Pvto(J au,b) -oF E 4Jcor;t l-.Yo,llt ?otrG,OvU0 ti 6g'ii b0 JE ctgO.EYrE oh frsE sg,3 i,.aaoL' (Eib,I 3Iffi April29, 2016 Ms. Jean D. Jewell Secretary ldaho Public Utilities Commission PO Box 83720 Boise, lO 83720-0074 RE: Compliance Filing in Case No. IPC-E-12-27 Annual2016 Net Metering Status Report Dear Ms. Jewell: Pursuant to Order Nos. 32846 and 32925 in the above-mentioned case, ldaho Power Company ("ldaho Powe/ or "Company') hereby submits its 2016 Annual Net Metering Status Report. On page 19 of Order No. 32&46, the ldaho Public Utilities Commission ("Commission') indicated that 'the report shall discuss, without limitation, the net metering service provisions and pricing and hor distributed generation may be impac{ing system reliability.' The attached report responds specifically to the Commission's directive to provide such information. ldaho Power recognizes that in Order No. 32846 the Commission direcled the Company to raise issues related to rate design in the context of the Company's next general rate case. However, for the reasons described in the report, ldaho Power believes its net metering service has reached a pivotal point; that is, the Company is able to quantify that cost shifting is occuning between residential net metering customers and residential standard service customers and can reasonably predicl that future cost shifting between these customer groups will grow exponentially in the next few years. Because the Company does not know when it will next file a general rate case, ldaho Power believes it is prudent to begin the net metering conversation now. ldaho Power plans to hold customer and stakeholder workshop(s) during 2016 to share the results of this report and solicit feedback on a potential rate design proposal for future net metering customers that the Company may consider filing with the Commission. lf the Commission wishes to open a docket and issue a Notice of Workshop(s) to facilitate customer participation, ldaho Power will work with the Commission to establish a mutually agreeable schedule. lf you have any questions regarding this liling, please direct procedural gueslions to me and substantive inquiries to Senior Regulatory Analyst Connie Aschenbrenner at (208) 388-5994 or caschenbrenner@idahopower. com. Very truly yours, LISA D. NORDSTROM Lead Couneel I nordgtrom@idahopower.com RECEIVED ?tl6 tpR 29 pH 3, 35 i.l ^.'''.^r l:r:-: in , ,I L .' ',./\'r .; ; . t, - w( f ;. r,.lSSrCf{ &; !.("1-t^-,-, An loAcoRP company Exhibit No. I l0 Case No. IPC-E-17-13 S. Donohue, Staff l2l22ll7 Page I of 19 LDN/KKt Enclosures cc: Karl Klein, IPUC Lisa D. Nordstrom ldaho Power Gompany Annual Net Metering Status Report April 29,2016 ldaho Power Company ('ldaho Power' or'Company') presents its annual net metering status report to the ldaho Public Utilities Commission ("Commission') as required by Order Nos. 3284O and 32925 in Case No. IPC-E-12-27. The report begins with u@ated participation and growth data since the Company's last update to the Commission in April 2015 and a discussion about ldaho Powe/s average residential net metering customer and how that customer segment's usage profile is changing over time. The report then details key issues related to the Company's net metering service, including a quantification of the cunent and potential future amount of cost shifting occurring between the net metering residential customer segment and the residential standard service customer class, an update on excess net energy credit transfers, and an assessment of the impact of distributed generation on system reliability. l. Existino Net Meterinq Service Current Participation and Growth As of December 31, 2015, ldaho Powe/s net metering service consisted of 731 active systems with a cumulative nameplate capacity of 5.31 megawatts ("MW'). During calendar year 2015, participation in net metering service increased by 234 active systems (a 47 percent increase) with incremental nameplate capacity totaling 1.79 MW. The additional systems were entirely comprised of new solar photovoltaic ('P\f) installations. During the first quarter of 2A16, growth continued with the Company adding 59 new active systems with aggregate nameplate capacity of 0.827 MW. ln addition, the Company has 77 pending applications totaling 0.938 MW of nameplate capacity. At the end of the first quarter 2015, ldaho Power reported 5&4 active and pending systems, and at the end of the first quarter of 2016, ldaho Power has 867 active and pending systems, which represents a 48 percent growth rate since this time last year. Tables 1 and 2 provide the total number of aciive and pending net metering systems and nameplate capacity by resource type, jurisdiction, and customer class. Sxll"llJi;113.,,.,, tDAHo powER coMpANy's ANNUAL NET METERING STATUS REpoRT - 1 S' Donohue' Staff 12122/17 Page2 of 19 daho Solar PV Wind Hvdro/Other Total Residential 658 55 6 719 Commercial & lndustrial 105 6 4 115 lnigation 3 1 4 Totalldaho 766 62 l0 838 Oregon Residential 11 1 12 Commercial & lndustrial 8 I lnigation o o Total Oregon 28 1 29 Total Coopam Residential 669 56 6 731 Commercial & lndustrial 113 6 4 123 lrrigation 12 1 13 Total Company 794 63 10 867 Table l: Number of Net Metering Systemsr - Pending and Active as of iiarch 31, 2016 Table 2: Nameplate Capacity (ilw) - Pending and Active as of March 31, 2016 Chart 1 details cumulative net metering system counts by customer class from 2001 through the first quarter of 2016 (including pending applications). 1 The net metering database the Company maintains reports a new application as a 'system.' Some customers have increased capacig of an existing system or have installed a second system that is a different resource type; these expansions or additional systems would be counted in Tables 1 and 2 as its own system. This allows the Company to report capacity in the year in which it came online. Additionally, because an expansion of an existing system requires the filing of a new application, it is treated separately for tracking purposes' Exhibit No. l r0 IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT - 2 case No' IPC-E-17-13 S. Donohue, Staff l2l22ll7 Page 3 of l9 ldaho Solar PV Wind Hydro/Other Total Residential 3.53 29 06 3.88 Cornmercial & lndustrial 1.89 05 .09 2.03 lrrigation .21 04 .25 Total ldaho 5.63 .38 .15 6.16 Oreoon Residential 08 .08 Commercial & lndustrial 15 15 lrrigation .69 .69 Total Oregon .92 0 0 .92 Total Companv Residential 3.61 .29 06 3.96 Commercial & lndustrial 2.04 .05 09 2.18 lrrigation 90 .u .94 Total Company 6.55 .38 .15 7.O8 Chart 1: Cumulative Net Metering Syetem Counts (by Customer Type) Lm0 9(x, 8m 7(n 600 5(n 00 300 200 100 0 t 200t 2(n2 2003 2flt4 2005 ZX,S 20i,7 2008 2qr9 2010 20tt 2012 2013 20t4 2015 2016 rIDI r Resldential r C&l * lrrigation From a capactty perspecfive, interconnected net metering generation expanded in accordance with the increasing system counts described above. Chart 2 details cumulative @pacity growth from 2001 through the first quarter of 2016 (including pending applications). Chart 2: Cumulative Net illetering Capacity (by Customer Type) 8 7 6 5 !a 3 2 1 0 200t 2(n2 2003 2004 2005 2006 2007 2008 2009 2010 207t 2012 20t3 20l| 2015 2016 (lrTD) r Residential r C&l a' lrrigation The majority of growth in the Company's net metering service is related to the installation of residential PV systems. PV has comprised 90, 98, 99, and 100 percent of the Exhibit No. I l0 Case No. IPC-E-17-13 S. Donohue, Staff 12122117 Page 4 of l9 IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT - 3 r_r I I I I I I II, I I incremental resource mix in the years between 2012 and 2015, respectively. All but one of the incremental active and pending installations in 2016 are PV. The exponential growth in net metering service since 2001 demonstrates how the Company's grid is evolving, and underscores the need to evaluate the associated service provisions and pricing to ensure that ldaho Power can continue to offer safe, reliable, fair-priced electrical service now and in the future. ldaho Power also anticipates that as participation in its net metering service continues to grow, it may require additional staff to facilitate both the processing of net metering applications at the time of interconnection, as well as processing the annual transfer of excess net energy credits. Characteristics of the Average Residential Net Metering Customer ldaho Power examined the load characteristics of its curent residential net metering service customers to determine differences, if any, between them and current residential standard service customers for a few reasons. The Company determined the cunent residential net metering customers were different for a few reasons: the most obvious difference is that they use the Company's electrical system bi-directionally, both to take service from the utility and to put excess generation back onto the grid. Further, because net metering customers are billed based on net energy consumed over the @urse of a month, a net metering customer may be billed for net zero consumption and avoid paying for fixed costs associated with service during hours of the month they consumed energy from the grid and other hours of the month they supplied excess net energy to the grid. Based on an analysis ol 2015 actual billing data, the net metering customers also tend to be larger energy users, with an average monthly kilowatt-hour ("kWh') usage of g952 compared to an average residential standard seruice customer who used approximately 9473 kWh per month during 2015. \Mile this relationship may appear counter-intuitive on its face, a further examination of the usage characteristics of ' This is the monthly average of the total 2015 actual billed kWh for these customers (net of net metering system generation). Because the Company uses a single meter to measure consumption over a billing period, it does not have the ability to measure total consumption and total generation separately'. 3 Based on 2015 actual billed kWh for the residential ctass. ExhibitNo. 110 Case No. IPC-E-17-13 S. Donohue, Stai'f l2l22ll7 Page 5 of 19 IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT - 4 the cunent net metering segment shows that there are a small number of unusually large energy userc skewing the average consumption of the segment. Chart 3 demonstrates the load shape of the Company's residential customer class on June 29, 20'15, the day of the 2015 ldaho Power adjusted system peak.1 Chart 3 also includes the load shape of the Company's residential net metering customer segment on that same day. As mentioned above, Chart 3 illustrates that these customers are generally larger users than the Company's average residential standard service customer and demonstrates the residential net metering customeds ability to oftset usage when, in the case of a PV eystem, the sun is shining. Chart 3: 2015 Adfusted System Peak Day (June 29,20151 3.x 3.50 3.00 2.50 2.OO 1.50 1.00 0.50 0.00 7 2 3 4 5 6 7 8 9 1011t2L3t4t5t617 1819202L222324 Hour endlng -ftgsilsntial Net Metering Customers -fts5i(gntial Customer Class ll. Quantification of Cost Shiftins As discussed in Case No. IPC-E-12-27 and in prior net metering status reports to the Commission, the cunent practice of applying standard retail rates to net metering service is problematic because it creates the potentialfor inappropriate cost shifting between net metering customers and standard service customers. The potential for cost shifting is especially large within the Company's residential and small general service classes because a higher a The reported system peak was June 30, 2015, at 4:00 pm; the adjusted system peak day represents the hour at which the system would have peaked had the Company not dispatched its demand response progmms. This methodology is consistent with the filed class cost-of-service study from the Company's last general rate case (!PC-E-11-08). Exhibit No. 110 Case No. IPC-E-17-13 S. Donohue, Staff l2l22ll7 Page 6 of l9 IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT. S percentage of fixed costs are collected through a volumetric energy rate from these customers as compared to other customer classes. Residential and small general service customers are currently billed through a two-part rate design consisting of a $5.00 monthly service charge and volumetric energy rates. Quantification of Current Cost Shift The Company performed an analysis of its residential net metering customer segment to determine what, if any, cost shifting is currently occurring.5 First, the Company quantified the amount of base rate revenue collected during 2015 from its residential net metering customers.o Then, using a methodology similar to that used to assign costs to customers during a general rate case process, the Company determined the ldaho-jurisdictional revenue requirement for those same net metering customers. Cost allocation for the 366 customers used the hourly metered data to determine their use of the system by analyzing demand at the time of the monthly system peak, at the time of the residential class peak, as well as average energy consumed by month. The results of this analysis was an estimated cost-of-service specific to how these customers utilize ldaho Power's electricalgrid. Table 3 details the results of the net metering revenue requirement analysis, which are funclionalized by production, transmission, and distribution and classified by utility services provided as represented by customer, demand, and energy. Table 3 also presents the percentage difference in revenue requirement between existing residential net metering customers and residential standard service customers. u The Company focused its analysis on the residential customer class for two reasons: (1) the majority of the recent growth in the net metering service is in the residential class and (2) the residential customer class has a two-part rate design with most of the customer-related fixed costs and all of the demand- related fixed costs being recovered through a volumetric charge. Cost shifting may be occuning in other customer classes, but the focus of this year's annual status update to the Commission will be on the curent and potential cost shift from residential net metering customers to residential standard service customers. 6 ln order to compare a full year of billed revenue with an estimated annual revenue requirement, the analysis contains all residential net metering customers who had a full 12 months of billing data available for 2015. This data set is comprised of 366 customers. Exhibit No. I l0 Case No. IPC-E-17-13 rDAHo powER coMpANy's ANNUAL NET METERTNG STATUS REpoRT - 6 S' Donohue' Staff 12/22/17 Page 7 of l9 Compared to Avt Residentlal 47,284 2t% 8% % TRANSMESION -13% 36% 5% L7% Demand Customer 50,458 97,511 Residentlal ilet Itlleterlng Customers s40,296 81,516 35,721 721,647 Dernand, Summer Demand, Non-summer Energy, Summer Energy, Non-summer Tab,le 3: Functionallzed and Glassified Residential Net Metering Customer Segment Revenue Requirement Compared to Average Residential Standard Sewice Gustomer' The net metering revenue requirement compared to the revenue collec{ion for those same customers is represented in Chart 4. Ghart 4: 2O15 Residential Net Metering Cost Shift Using the above described pro@ss, the Company quantified the revenue requirement for the 366 residential net metering customers to be $464,532. The total base rate revenue received from these customers during 2015 was $408,820, resulting in an estimated cost shift of $55,712, or '12 prernt of the total revenue requirement. As denoted in Chart 4, the $464,532 'The'Compared to Avg Residential Standard Service Custome/ column in Table 3 represents the "per customef net metering customer segment revenue requirement relative to the "per customer'residential customer class revenue requirement. Exhibit No. 110 IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT - 7 case No. IPC-E-17-13 S. Donohue, Staff 12122117 Page 8 of 19 ss00,000 s400,000 s300,000 s200,(D0 s100,000 5o $46/.,slz Revenue Requirement r Variable r Fixed II I I,l ! I Revenue Collection I I revenue requirement is comprised of 66 percent fixed costs and 34 percent energy costs; however, only 5 percent of the total revenue was collected through the fixed service charge and the remaining g5 percent was collected through the volumetric energy kWh charge. While the cunent cost shift is relatively small, it is important to consider the demographics of the 366 residential net metering customers who make up the $408,820 of base rate revenue collection in order to assess the risk for future potential cost shift. The kWh usage varies significantly between the 366 customers, from one customer who consumed (net of generation) over 179,000 kwh during 2015 (annual base rate revenue collected $17,785) to 40 customers who were not billed for any kWh during 2015 (these customers netted usage to zero and only paid the $5.00 monthly service charge). ln fac1, approximately three percent of the customers accounted tor 20 percent of the 2015 revenue collection. The Company believes that a few large energy users in this group are muting the cost shift of the net zero customers who effectively avoid paying most of the customer-related costs required to serve them, and do not pay any of the cost of the distribution, transmission, or generation systems, even though they may still use these throughout the year. The Company does not believe the 366 residential net metering customers analyzed for quantification of the cunent amount of cost shifting is representative of the future potential for cost shift. As the economics of installing a residential PV system improve, the Company expects the installation of these systems will become more attractive and attainable to the Company's average residential customer. Potential for Future Cost Shift To project potential future cost shift that could occur in the residential customer class, the Company quantified an estimated cost shift per new net metering customer and applied that quantification against future potentialadoption rates of residential net metering. Estimated Cost Shift Per Customer To quantify the estimated cost shift per customer, the Company looked at recent installations of net metering systems within its residential customer class to determine what Exhibit No. I 10 Case No. IPC-E-17-13 IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT - 8 S. Donohue, Staff 12/22117 Page 9 of l9 system sizes are most @mmonly installed. Ghart 5 shows the percentage of systems according to size installed by ldaho Powe/s residential customers in each of the last five years. The data shours that as the costs of PV have declined over the last several years, the size of PV systems being installed by residential customers has increased. The most commonly installed system in 2015 was a 6 kilouatt ('k\M) system and the second most commonly installed system was a 5 kW system. Based on estimates from the National Renewable Energy Laboratory fNREL") PV Watts@ Calculator, a 6 kW standard fixed (open rack) system located in Boise, ldaho, will generate approximately 8,731 kWh/year and a 5 kW standard fixed (open rack) system located in Boise, ldaho, will generate approximately 7.276 kWh/year. Ghart 5: Syctem Size of Residential Net Metering Cuetomer lnstallations (PV Systems Only) ln order to quantfi the potential for future cost shifting, the Company compared a calculated revenue requirement for an average residential customer before and after the installation of a net metering system. First, the Company looked at the average hourly load profile of its residential customer class in order to estimate a per customer revenue requirement (based on the same methodology explained on page 6). The Company then used the hourly output profile provided by the NREL PV Watts@ Calculator to quantify the net hourly usage of an average residential customer who installs a 6 kW PV system. Using the net hourly usage, the Company quantified the estimated annual revenue requirement for an average residential Exhibit No. I l0 IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT - 9 case No' IPC-E-17-13 S. Donohue, Staff l2l22ll7 Page l0 of 19 0tro o {! t o Eo 0t(, o IR LOO/, 9A/o 80% TOYo 60% s0% 40% 30% 20% LO% 2011 2074 2015 o% 2072 2013 r1-3kw r4€kw E7-9kW r10kW+ I I I 23% 56?6, r 7fr' L4% ,916 43% 45fi, i m ,qn H '!-' r + i I It-- I{--- I 93 28s t07 11"810 Offerene -22% o% -26%s848s (5zrs1 -7t% I'At POTENIIAT 11,810 Revenue Requlrement Standard Servle iesldentlal Customer Net ltleterlnt Resldentlal Customer (5 kwStseml -57% -8% 5127 \U Sss 151 $721 (13) 49 171 82 -47Yo 40% -23% 728 239 100 239 11,810 (8,73U 144l (113) 124l (2e) 0 ($2ss1 kWh Usage (Before Net Metering) Generation (6 kW System) Net kWh t saSe Annual Utility Bill Difference between Rev, Req. and Wlity Bill S1,047 Ss6 PRODT.'CTION Demand, Summer Demand, Non-summer ENERGY Summer Non-summer TRANSMSSION OSTflBt,nON Demand Customer 3,079 S308 Ss4o customer afier the installation of a 6 kW PV system. The results of that analysis are presented in Table 4. Tabte 4: Annual Potential Gost Shift Per Residential Net tetering Gustomer Table 4 demonstrates that while a residential net metering customer's self{eneration reduces the cost to serve that customer, it does not eliminate the costs entirely and it does not reduce them as much as the utility bill is potentially reduced. However, the price signal sent to the customer through the cunent rate design may inappropriately send a signal that the cost to serve them is lower than it actually is. The average sized ldaho Power residential customer who installs a 6 kW PV system is able to reduce his or her revenue requirement by 26 percent, however, that same customefs bill is redued by 71 percent. The potential cost shift of $444 per customer is quantified by subtracting the amount paid to the Company ($308) from the total estimated annual revenue requirement of $848 and subtracting the $96 existing intra-class subsidy that exists for a customer of this size. Exhibit No. I l0 Case No. IPC-E-17-13 S. Donohue, Staff 12122117 Page 1l of 19IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT. 1O i I Future Potential Adootion Rates As reported in the 'Cunent Participation and Growth' section of the report, the residential customer segment has seen a tremendous rate of growth in the adoption of net metering. Chart 6 represents the number of ldaho Power residential net metering customers through the end ot 2015. Chart 6: Cumulative Growth in Residentlal Net Metering CustomersE Using the historical growth trends, the Company projected residential net metering customer counts through the scheduled 2021 expiration of the federal investment tax credit CtTC').e Three forecasted growth scenarios were developed based on the distribution of year- over-year growth rates by month as experienced over the past 18-months. The 'Median' scenario represents the median of the growth rate distribution, the 'LorV" growth scenario is E Chart 6 represents cumulative growth in residential net metering customers. \Mrile Tables 1 and 2 counted expansions of existing systems or installation of multiple resouroe types as separate systems, for purposes of forecasting net metering customer groMh, the Company is reporting counts based on customer agreements. s A tiaxpayer may claim a credit of 30 percent of qualified expenditures for a system that serves a dwelling unit located in the United States that is owned and used as a residence by the taxpayer, The Consolidated Appropriations Act, signed in December 2015, extended the expiration date for PV and solar thermal technologies, and introduced a gradual step down in the credit value for these technologies. The 30 percent ITC was extended through 2019 and it will reduce to 26 and 22 percnnt in 2020 and 2021 ,respectively. The credit for all other technologies will expire at the end of 2016. (http://eneroy.gov/savinos/residential-renewable-eneroy-tiax-credit)ExhibitNo. It0 Case No. IPC-E- I 7- l 3 S. Donohue, Staff 12/22/17 Page l2of l9 to(, 0t Eog, (.' 7AO 600 s00 400 300 200 100 2AO2 2003 2A04 2005 2006 20D7 2008 2009 2010 2017 2012 2073 2074 20L5 -Residentlal Net Metering Customers IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT - 11 based on the 10h percentile of groMh rates and the "High" growth scenario is based on the 70n percentile of growth rate. The year in Chart 7 represents the year the customer installs a system. Chart 7: Forecasted Growth in Residential Net Metering Customerc 7,000; o Eo 5IJ 6,O00 5,000 4,000 3,000 2,@O 1,000 I I 'r I II! I I I , I : 1 1- I I'i- ! 1 l 4,t91 2,330 0 Y _' 2014 2015 2016 2017 2018 -tsu, --Median -High 2019 2020 2021 Potential lmoact of Grid Paritv 'Grid parit/ refers to the point in time when the levelized cost of energy ("LCOE') from a PV system becomes cost competitive with the retail rate of energy. The LCOE is determined by performing a net present value ('NP\f) calculation that takes into account the total cost of the system (up front capital cost, ongoing operations and maintenance costs, inverter replacement, etc.), as wellas benefits received via state and federaltax incentives, and divides the quantified NPV by the average annual energy output from the system. While the Company only considered historical adoption rates to predict possible future adoption of residential net metering systems, it is important to consider what lhe potential impact of the cost of rooftop PV reaching grid parity may be. At the point the LCOE is lower than the retail cost of energy supplied by the utility, it becomes more economical for customers to install PV and it is reasonable to predict that the growth in the PV net metering systems will accelerate considerably. The Company also expec{s that a broader range of customers may Exhibit No. I l0 IDAHo powER coMpANy's ANNUAL NET METERTNG srATUs REpoRT - 12 case No' IPC-E-17-13 S. Donohue, Staff 12/22/17 Page 13 of l9 consider installing PV once the cost of installing that system becomes cost competitive with the utilily rate. Future Potential Cost Shift The starting point in Chart I represents the residential net metering customers the Company had at the end ol 2014 who had a tull year of billing data for 2015. That is, the Company's quantified cunent cost shift of $55,712 conesponds to the customer count at the end of 2014 (366 customers). ln order to project potential future cost shift, the Company applied the average per-residential net metering customer cost shift of $444 to the potential near-term adoption of residential net metering service. Ghart 8 shows the potential future cost shift by 2021 could be as high as $1.9 million per year or as low as $755,000 per year, with the median growth rate yielding a potentialfuture cost shift of $1.3 million Wr yeat by 2021. Chart 8: Cumulative Annual Potential Cost Shift s2,000,0o0 s1,000,000 S5oo,ooo flI i $Q i-c 2015 -r__ 20t6 I -_T 2077 2018 t Low r Median r High 2019 2020 2A2t Addressing the potential cost ehift The Company believes its net metering service has reached a pivotal point; that is, the Company is able to quantify that cost shifting is occurring and can reasonably predic{ that future cost shifting will continue to occur at an increasing rate. The current rate design of billing residential and small general service customers a nominal service charge coupled with the Exhibit No. I l0 Case No. IPC-E-17-13 S. Donohue, Staff 12/22/17 Page 14 of l9 IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT - 13 . S1,5OO,00O I --- remaining variable and fixed cost recovery through a volumetric rate is conceming for two reasons: (1) new residential customers installing PV systems are creating a real and quantifiable cost shift to residential standard service customers who either choose not to install PV systerns or do not have the means to do so, and (2) the cunent rate design sends an incorrect price signal to residential and small general service customers who are evaluating whether or not to install a PV system. The Company's analysis demonstrates that while the revenue requirement associated with serving a residential PV net metering customer is estimated to be reduced by 26 percent, that same custome/s bill is reducedby 71 percent. The Company is not the first to look at addressing the potential for cost shift that exists with net metering customers and the Company continues to believe that proper rate design is the appropriate means for addressing the cost shift that is occurring and will grow with the continued adoption of distributed generation in its service area. Utilities across the country are examining how to best address the issues created by existing rate designs and the historical practice of a 1:1kWh credit established at the retail rate and have started introducing means for better fixed cost recovery for their net metering customers.'o ln 2015, other state commissions overseeing three utilities established a separate class for distributed generation customerstl and three other requests by utilities to do the same are being considered.l2 lll. Billins Svstem Capabillties \Mile ldaho Power continues to believe its current rate designs cannot sustainably support the widespread expansion of net metering, it is important to consider billing system capabilities when evaluating proposed changes to the pricing of the Company's net metering service. ln general, utility billing systems are not initially configured to accommodate net 'o Alabama Power charges a capacity reservation fee, Arizona Public Service charges a grid access fee, California utilities (Pacific Gas and Electric, Southern California Edison, and San Diego Gas & Electric) charge an interconnection fee that was previously paid by all customers and future distributed generation customers will default to a timeof-use rate, Hawaiian Electric companies charge minimum bills, and Dominion Virginia and Appalachian Power charge standby fees. t'Westar, Nevada Power, and Siena Pacific Power " UNS Electric and Tucson Electric in Arizona both filed to establish mandatory three-part rates for distributed generation customers. El Paso Electric in Texas filed for establishment of three part rate structures for partial-requirements customers. Exhibit No. I l0 rDAHo powER coMpANy's ANNUAL NET METERTNG STATUS REpoRT - 14 caseNo' IPC-E-17-13 S. Donohue, Staff l2l22ll7 Page l5 of 19 I metering transactions, and changes in net metering billing practices often require resource- intensive customization that not only result in up-front costs, but require additional ongoing maintenance costs as well. lV. Svstem Reliabilitv Considerations Net metering systems in ldaho Power's service area are dispersed across hundreds of distribution feeders. Because the cunent penetration level is relatively small compared to distribution feeder loads, as of the end of 2015, there was no significant impacl on distribution system reliability attributed to net metering system operation. As of March 31, 2016, the Company's 789 active net metering systems were dispersed across roughly 282 of its approximately 650 distribution feeders. That compares to 550 active systems across 229 distribution feeders that were reported on March 31,2015. The feeders that contain the greatest number of net metering systems are largely located in northeast Boise and in the Wood River area, while the feeders that contain the greatest amount of connected net metering capacity tend to be located in mostly agricultural and rural areas. The greatest number of active net metering systems that currently exist on a single distribution feeder is sixteen. From a capacity perspective, eight generators (all solar) rated at approximately 398 kW are located on a single distribution feeder. That feeder serves mostly rural customers with a calculated summer peak load of approximately 1,600 kW. The percentage of connected net metering kW capacity to the feeder's calculated summer peak load is approximately 24 percent. The percentage of connected kW capacity to summer peak loads for the remaining 281 feeders with active net metering systems remains less than 4 percent. The Company has not yet experienced significant operational impacts on these feeders. Because net metering installations are typically unique in both customer-specific system attributes, as well as the Company's facilities in a particular location, the Company reviews several factors when determining the feasibility of connecting a new net metering system. This review may include determining if lhere is adequate transformation at the point of connection, if the existing service conductor has adequate capacity to serve the total connected capacity of ExhibitNo. 110 IDAHO PowER coMPANY's ANNUAL NET METERING STATUS REPoRT - 15 caseNo' IPC-E-I7-13 S. Donohue, Staff 12122117 Page l6 of l9 the generators, and if the phasing (single- versus three-phase) of the system matches the service infrastructure. Additionally, in 2015, the Company performed its first feeder-level feasibility study for a 75 kW system requesting interconnection onto the feeder that contains the greatest amount of connected capacity (24 percenl) mentioned above. The result of that study indicated that the system could be incorporated without any modification to the existing distribution feeder. ln facl, the Company has not denied any net metering applications due to system limitations, but continues to carefully monitor requests for connection to ensure ongoing reliable service is available to both existing and new customers. The Company will continue to monitor the effects of net metering service on its system including tracking the locations and connected capacities of net metering customerc and comparing connected capacities to minimum feeder loads. As net metering system penetration increases, ldaho Power will keep the Commission apprised of experienced or anticipated system reliability impacls and will propose mitigation as needed which may include additional inverter req uirements, e. 9., smart i nverters. V. 2015 Ercess Net Enerqv Credit Transferc (ilanual Meter AqqreEation) Schedule 84, Customer Energy Produclion Net Metering Service ('Schedule 84') provides for net metering customers to submit requests to transfer excess net energy credits between January 1 and January 31 of each year. Applications received are reviewed against the following criteria from Schedule 84: o The account subject to offset is held by the customer; and . The meter is located on, or contiguous to, the property on which the Designated Meterr3 is located. For the purposes of Schedule 84, contiguous property includes property that is separated from the premises of the Designated Meter by public or railroad rights of way; and . The meter is served by the same primary feeder as the Designated Meter at the time the custorner files the application for the Net Metering System;ta and " Schedule 84 states the Designated Meter'is the retail meter physically connected to the Net Metering System." 'o Schedule 84 states the Net Metering System 'is a Customerowned Generation Facility interconnected to the Company's system under the applicable terms of Schedule 72 and Schedule 84.' Exhibit No. I l0 Case No. IPC-E-17-13 IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT - 16 S. Donohue, Staff 12122117 Page 17 of 19 I a The electricity recorded by the meter is for the custome/s requirements; and For customers taking service under Schedule 1 or Schedule 7, credits may only be transfened to meters taking service under Schedule 1 or ScheduleT. For customers taking service under Schedule 9, Schedule 19, or Schedule 24, credits may only be transfened to metere taking service under Schedule 9, Schedule 19, or Schedule 24. a On December 3, 20'15, all of the Company's net metering service customers were sent a letter outlining the meter aggregation process, the requirements, and the deadlines for customers to submit an application for transfer of eligible excess net energy credits. A copy of the transfer request form and a Frequently Asked Questions document were sent with the letter (both of which are availabte on the Gompany's website).1s Lastly, the Company posted a message on all net metering service customers' December bills informing them of the upcoming transfer window. Given the costs associated with system customization, the Commission directed ldaho Power in Order No. 32925 to keep it apprised of the number of customers choosing to transfer excess net energy credits under the newly-approved meter aggregation rules. As of the January 31, 2016, deadline, the Company received 26 applications for transfer and those applications were reviewed during February against the Schedule M criteria. Based on the above criteria, the Company determined that 19 of the requests were eligible for transfer. The total amount transferred was 250,204 kWh generated from net metering systems taking service under Residential (19 percent), Small General (60 percent), and Large General (21 percent) rate schedules. The 250,2O4 kWh were transferred to customers taking service under Residential (79 percent) and Large General (21 percent) rate schedules. The Company received seven applications that were ultimately found to be ineligible for transfer based on the following: . Six applicants did not have excess net energy credits. o One applicant requested a transfer to a meter on a property that was not contiguous. 15 httos;//www.idahopower.com/AboutUs/BusinessToBusiness/GenerationlnterconnecUnetMeterino.cfm Exhibit No. I l0IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT - 17 Case No. rpC-E-17-13 S. Donohue, Staff 12122/17 page l8 of l9 The Company contacted by phone all of the customers who had requested a transfer but whose applications were ultimately denied to explain the reason the requested transfer could not be completed. Vl. Conclusion ldaho Power continues to believe that in order to facilitate the expansion of distributed generation in a safe, reliable, and fair manner, net metering rate design must be addressed sooner rather than later. Between the first quarters ol 2015 and 2016, pending and active net metering systems in ldaho Power's service area have increased 48 percent. This growth brings the potential for significant cost shifting to occur from the Company's net metering customer segment to the standard service customer classes, most prominently within the residential and srnall general service customer classes. As demonstrated by the analysis presented in this report, an average-sized ldaho Power residential customer who installs a six kW system is able to reduce his or her revenue requirement by 26 percenl, however, that same customer's bill is reduced by 71 percent. As a result, the potentialfuture cost shifi by 2O21could be as high as $1.9 million or as low as $755,000, with a median growth rate yielding potential future cost shifts of $1.3 million by 2021, As the economics of installing a residential PV system improve, the Company expects the installation of these systems will become more attractive and attainable to the Company's average residential customer. At the point the LCOE of rooftop PV is lower than the retail cost of energy supplied by the utility, it becomes more economical for customers to install PV and the grovth in the PV net metering systems may accelerate considerably. The Company also expecls that a broader range of customers may consider installing PV once the cost of installing that system becomes cost competitive with the utility rate. The exponential growth in net metering service since 2001 demonstrates how the Company's grid is evolving, and underscores the need to evaluate the associated service provisions and pricing to ensure that ldaho Power can continue to offer safe, reliable, fair-priced electrical service now and in the future. Exhibir No. I l0 Case No. IPC-E-17-13 S. Donohue, Staff 12/22117 Page 19 of 19IDAHO POWER COMPANY'S ANNUAL NET METERING STATUS REPORT. 18 I C €CL O LNrl{.r} 1A*,lao(\, b,tl-otr IJJ }R(n(n otar L-oln Il*-oI{.,oo(J aln tE -U E .IPCo'lct .I 1Aot C e tr OOrn<J\ ra {r,tho(J .E' .Il- (, sF(o Exhibit No. 10 Case No. IPC-E-17-13 C. Aschenbrenner, IPC Page 6 of 20 ExhibitNo. lll Case No. IPC-E-17-13 S. Donohue, Staff t2/22/17 E= ?{U-EE€8fiE;U SpE )- F (httos: 4www idahooower. com) Pa rtici pati ng Ccntraclcrs Below is a list of Participating Contractors for the ducted forced air heat pump incentives in the Heating and Cooling Efficiency Program. ldaho Power does not warrant or guarantee the work or services performed by any contractor iisted. Locate a contractor by clicking on the arrow below and selecting an area. NOTE: Participating companies are being added regularly. lf you are a company interested in participating in ldaho Power's Heating and Cooling Efficiency Program, please contact Todd Greenwell at !208-388-6484 (tel:208-388-6484). or email E TGreenwell@idahopower.com (ma ilto:TGreenwell@idahopower.com). Areas Select an Area Treasure Valley COMPANY NAME PHONE LICENSE#ADDRESS CITY TML SERVICE EXPERTS ASHLEY HEAT]NG & AIR CONDITIONING (HTTP://WWW.ASHLEYHEATING.COM) QUALITY HEATING & COOLING WESTERN HEATING AND AIR CONDITIONING (HTTP://WWW. WESTERN HVAC.COM) TSS ONE HOUR HEATING & AIR CONDITIONING (HTTP://WWW.TSSHVAC. COM/BolS E) THE COMFORT SOURCE (HTTP://WWW.COMFORTSOURCEHEATING.COM) 1 20 E 40th St Boise Boise t 208-342-681 3 (tel:208-342-681 3) t 20 B-37 B-9 aa\ $el.208-37 8-9 44 5) ! 208-375-61 01 (tel:208-375-6'l 01) \ 208-9 0B- 4444 (tel:208-908- 4444) L208-912-3175(tel:208-912-3175) 012478 Exhibit No. I 12 Case No. IPC-E-17_13 S. Donohue, Staff t2/22/17 page I of4 322 791 C1 C8243W Westpark St 4980 W Bradley St PO Box 2091 4419W Marvin St 225 President 't Dr Boise pBois SCBo Borse t 208-377-3555 (tel:208-377-3555) RCE-999 2060 I Search' Log ln f G6lnfl;,ftW|0rfifi Ela h opower. com) BEST HEATING AND COOLING ASPEN HEATING AND AIR CONDITIONING (HTTP://WWW.ASPEN HEATI NGANDAIR. CO M) ULTIMATE HEATING & AIR (HTTP://WWW. U LTIMATEH EATTNGAN DAIR. COM) YMC. INC (HTTP://YMCINC.COM) A.1 HEATING & AIR COND]TIONING (HTTP://WWW.A1 HEATING. COM) ADVANCED HEATING & COOLING (HTTP://WWW.ADVANCEDHEATINGANDCOOLING.COM) ADDRESS clw 9171 W State St Boise 814 S KCID Road 404 Marble Valley Way 25499 Emmett Rd 123 Everett St 132 S Washington Ave 13129S Tampico Pl 2234W Kuna Quilceda St , 593 Access Kuna 2975 Lanark 327 N Linder 721 N Ralstin It.cfn DEagle, JIM.S HEATING & COOLING (HTTP://WWW. J IMSHEAT.COM) ARCTIC AIR (HTTP://WWW.ARCTICAIRl .COM) BIG SKY HEATING AND AIR CONDITIONING (HTTP://WWW. B IGSKYHEATING. COMI CARTER COMFORT SYSTEMS HEATING EOUIPMENT (HTTP://HEATINGEOU IPM ENTCOM PANY. COM) P]NNACLE COMFORT SYSTEMS ROCKY MOUNTAIN MECHANICAL aldweC Cal Cal dwell dwell St ldwelCa Eagle Emmett aUNK andMeri Meridian PHONE I I .,; I I : l I ) LICENSE# I ) u 208-323-0433 (tel:208-323-0433)HVC-C- v 208-37 6-7 47 3 (tel .208-37 6-7 47 3)06 3220 0049t \ 208-3 42-47 41 (tel:208-342- 47 41 \ u208-376-1717 fte1.208-376-1717\ C6318 u 20 8 - 4 53 -9 27 2 fte1.20 B - 4 53 -9 27 2)HVC.C- 0089 u208-880-1066(tel:208-BB0-1066) 10094 L 208-585-2565 (tel:208-585-2565) u20*-a59-2212(rel.209-459-2212) C1457 u208-982-4328(rel:208-982-4328) 923s u 20 8 -3 6 5-7 47 3 (rel :20 8 -3 6 5-7 afi)HVC-C- 'r082 t 208-860-3320(tel:208-860-3320) HVC0081s6 u208-340-6366(te|.208-3a0-6366) 017221 r-208-32i-8663(tel:208-321-8663) HVC-C-6s3 Meridian \208-BBB-1727(tel208-BBB-1727) RCE-3093 t208-343-4445 (tel:208-343-4445) C'l863 ! 208-846-91 00 (tel:208-846-91 00) 00'l i 87 Exhibit No. I l2 Case No. IPC-E-17-13 S. Donohue, Staff 12122/17 Page 2 of 4 396t c591 ', 2925 S Cole i Bolse Search Contact Us I I II: 2202Vtl ; Main St Boise I I I I I : i I I I I ! I I 66lpfievfi WWVMEj a h op o we r. co m ) rx tng/w{ffitm#o0rodff hnmwc o 00 m / a c c o u Menu CUSTOM COMFORT SYSTEMS MAYNE MECHANICAL PREMIER HEATING AND AIR CONDITIONING (HTTP://PREM I ER-HVAC. COM) GREENS HEATING AND AIR CONDITIONING (HTTP://cREENSHEATING.COM) OWYHEE HEATING & AIR CONDITIONING (HTTP://WWW. OWYHEEHEATING.COM) MECH.MASTERS HEATING & AIR LEGENDS MECHANICAL WICKSTROM PLUMBING & HEATING (HTTP://WWW.WICKSTROMPHC.COM) ACTION HEATING & AIR (HTTP://ACTIONANYWHERE.COM) BEARS CLIMATE CONTROL (HTTP://WWW. BEARSC Ll MATECONTROL.COM) BAUER HEATING AND COOLING (HTTP://WWW.BAUERHEATINGANDCOOLING.COM) 119S Valley Dr, Ste A PMB 199 Nampa i 016 4th Street N 1020 First Nampa CITY t ,PHONEADDRESS 1---- 2630 N ffagnklFpRdp 3 Minot Dr 2068 SW Hamilton Rd Street , South 10188 Cherry Ln 2603 , Sundance #117 4121 Garrity Blvd 3712 Garrity Blvd LICENSE# HVC-C-CONTROL SENTRIES OF IDAHO Meridian Duane Dr ' Search Contact Us (https://www.idahopower.com/contact-us/) IDAHo GEoTHERMAL i 88O E Meridian t 208)-895-0925 (tel:208)-895-0925) n u 20 8 - 697 -27 0 6 (tel :20 I - 697 -27 0 6) t 20 B - 587 -20 6 6 (tel :20 B - 587 -20 6 6) u208-466-7050(tel:208-466-7050) 707 L 208-465-0859 (tel:208-465-0859) t- 208-466-8401 (tel:208-466-840'1 ) e 311St ntma i i nts/defa i U 1524 069J 6440 346 01Middleto Mountain Home paamN 549 324 1C- C Nampa t 208-463-7550 (Ie1.208-a63-7550) Nampa ' \208-466-1773 (tel.2O}-466-1773) TBD Nampa \ 20 8- 4 6 6 -9 4 47 (tel:20 8 - 4 6 6'9 447 \HVC.C. 1231 Nampa u208-461-5959(tel:208-461-5959) 002231 00231 268 Evergreen Rd 105 sth Street Ontario u208-642-2327 ftel:208-642-2327)HVC-C. 501 B Exhibit No. I t2 Case No. IPC-E-17-13 S. Donohue, Staff 12/22/17 Page 3 of 4 u208-482-0103(tel:208-482-0103)' C4194 Last Update d'. 2011 -1 0-31 T0B:2i :52.94 Wilder I i I I i I I I i I (https://www. ida hopower. com) Contact Us (httos //www.idahopower.com/contact-us/) Sitemao (https://www. idahopower.com/sitemap/) Terms and Conditions (https;//www.idahooower.com/terms-and-conditions/) Search Log ln Menu nJf,linO Copyright @ 1995-2017 ,ldaho Power Company. I DACORP (htto://www.idacoroinc.com/) Emplovee Porta l/Workday (httos://oortal. idahooower.com/workdav) Ca reers (httos://www. idahopower. com/about-us/ca reers/) Customer Service Treasure Va I ley: 208-388-2323 $el:2083882323\ Outside the Treasure Valley: 1-800-488-61 51 (1e1.18004886151) Customer Service Processing Center PO. Box 34966 Seattle, wA98124-1966 ExhibitNo. I l2 Case No. IPC-E-17-13 S. Donohue, Staff l2l22l17 Page 4 of 4 CERTIFICATE OF SBRVICE I HEREBY CERTIFY THAT I HAVE THIS 22ND DAY OF DECEMBER 2017, SERVED THE FOREGOING DIRECT TESTIMONY OF STACEY DONOHUE, N CASE NO. IPC-E-17.13, BY MAILING A COPY THEREOF, POSTAGE PREPAID, TO THE FOLLOWING: LISA D NORDSTROM REGULATORY DOCKETS IDAHO POWER COMPANY PO BOX 70 BOrSE ID 83707-0070 E-MAIL: lnordstrom@idahopower.com dockets@idahopower. com C TOM ARKOOSH ARKOOSH LAW OFFICES 802 W BANNOCK ST STE 9OO PO BOX 2900 BOISE ID 8370I E-MAIL: tom.arkoosh@arkoosh.com erin.cecil@arkoosh.com ELIAS BISHOP AURIC SOLAR LLC 2310 S 1300 W W VALLEY CITY UT 84119 E-MAIL: elias.bishop@,auricsolar.com ANTHONY YANKEL I27OO LAKE AVENUE LTNIT 2505 LAKEWOOD OH 44107 E-MAIL: tony@yankel.net TOM BEACH CROSSBORDER ENERGY 2560 9TH STREET, SUITE 2I3A BERKELEY CA 94710 E-MAIL: tomb@crossborderenergy.com TIMOTHY E TATUM CONNIE ASCHENBRENNER IDAHO POWER COMPANY PO BOX 70 BOISE rD 83707-0070 E-MAIL : ttatum@idahopower.com caschenbrenner@idahopower. com MATTHEW A NYKIEL ID CONSERVATION LEAGUE IO2 S EUCLID #207 PO BOX 2308 SANDPOTNT ID 83864 E-MAIL: mnvkiel@idahoconservation.ore ERIC L OLSEN ECHO HAWK & OLSEN PLLC PO BOX 6l 19 POCATELLO ID 83205 E-MAIL: elo(@echohawk.com KELSEY JAE NLTNEZ LLC 920 N CLOVER DR BOISE ID 83703 E-MAIL : kel sey@kelseyj aenunez.com ELECTRONIC ONLY MICHAEL HECKLER michael.p.heckler@ gmail.com ZACK WATERMAN zack. waterman@ sierraclub.org CERTIFICATE OF SERVICE ABIGAIL R GERMAINE DEPUTY CITY ATTORNEY BOISE CITY ATTORNEY'S PO BOX 500 BOISE ID 83701-0500 E-MAIL : agermaine@cityofboise.org DAVID BENDER EARTHJUSTICE 3916 NAKOMA ROAD MADISON WI 5371I E-MAIL: dbender@,earthjustice.org JOHN R HAMMOND JR FISHER PUSCH LLP PO BOX 1308 BOISE ID 8370I E-MAIL : j rh@fi shemusch.com RYAN B FRAZIER BRIAN W BURNETT KIRTON McCONKIE PO BOX 45120 SALT LAKE CITY UT 841I I E-MAIL : rfrazier @l<rnclaw. cqln bburnett@,kmclaw.com PRESTON N CARTER DEBORAH E NELSON GIVENS PURSLEY LLP 60I W BANNOCK ST BOISE TD 83702 E-MAIL: Eestoncarter@givenspursley.com den@ givenspursley. corn DAVID H ARKOOSH LAW OFFICE OF DAVID ARKOOSH PO BOX 2817 BOISE ID 8370I E-MAIL: david@arkooshlaw.com BRIANA KOBOR VOTE SOLAR 986 PRINCETON AVENUE S SALT LAKE CITY UT 84105 E-MAIL: briana@votesolar.org ELECTRONIC ONLY SNAKE RIVER ALLIANCE wwi I son@,snakeri veral I iansa.ary NW ENERGY COALITION diego@nwenergy.org DOUG SHIPLEY INTERMOLINTAIN WIND AND SOLAR LLC 1953 WEST 2425 SOUTH WOODS CROSS UT 84087 E-MAIL: doug@imwindandsolar.com CERTIFICATE OF SERVICE