20190123notice_of_application_order_no_34235.pdf

Office of the Secretary
Service Date
January 23,2019
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )CASE NO.IPC-E-19-01
OF IDAHO POWER FOR APPROVAL OR )
REJECTION OF AN ENERGY SALES )NOTICE OF APPLICATION
AGREEMENT WITH J.R.SIMPLOT )
COMPANY -POCATELLO )NOTICE OF
COGENERATION AND SMALL )MODIFIED PROCEDURE
PURCHASED POWER PROJECT )
)ORDER NO.34235
On January 2,2019,Idaho Power Company ("Company")filed an application seeking
approval of an Energy Sales Agreement ("ESA"or "Agreement")with the J.R.Simplot Company
("Simplot").Under the Agreement,Idaho Power would purchase electric energy generated by
Simplot's Pocatello cogenerationand small power project ("Facility").The Facility is a qualifying
facility under the Public Utility Regulatory Policies Act of 1978.
The Commission now issues this Notice of Application and Notice of Modified
Procedure setting comment and reply deadlines.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that under the proposed ESA,Simplot would sell and
the Company would purchase electric energy generated by Simplot's Pocatello Cogenerationand
Small Purchased Power Project.The Facility has a nameplate capacity of 15.9 MW,but is operated
so as not to exceed 10 aMW on a monthlybasis under normal conditions.Application at 4.
YOU ARE FURTHER NOTIFIED that the Agreement contains proposed
modifications to Simplot's generation forecasting requirements under the 90-110 performance
band.Id.at 5.The Agreement also contains proposed modifications to Simplot's obligations to
report generationdisruptions.Id
YOU ARE FURTHER NOTIFIED that the ESA is a replacement contract for a 2016
Agreement approved by the Commission in Order No.33471.Because the ESA would replace a
contract that paid the Facility capacity payments,the ESA contains capacity payments for the
entire term of the Agreement.Id
YOU ARE FURTHER NOTIFIED that term of the Agreement is three years.
Agreement at 12.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.34235 1
YOU ARE FURTHER NOTIFIED that the Company requests the Application be
processed by Modified Procedure and the Commission issue a final order prior to the expiration
of the current contract on February 28,2019.Id.at 6.The Company requests the Commission
declare all payments for purchases under the ESA be allowed as prudentlyincurred expenses for
ratemaking purposes.Id.
YOU ARE FURTHER NOTIFIED that the Application is available for public
inspection during regular business hours at the Commission offices.These documents are also
available on the Commission's web site at .Click on the "File Room"tab at
the top of the page,then select "Electric Cases"and click on the case number as shown on the
front of this document.
YOU ARE FURTHER NOTIFŒD 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 §§61-502 and 61-503.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be conducted
pursuant to the Commission's Rules of Procedure,IDAPA 31.01.01.000 et seq.
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 that it will proceed under Modified
Procedure pursuant to Rules 201 through 204 of the Commission's Rules of Procedure,IDAPA
31.01.01.201 through .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 opposition with the Commission by no
later than February 13,2019.The comment must contain a statement of reasons supporting the
comment.Persons desiring a hearing must specifically request a hearing in their written comments.
Written comments concerning this Application shall be mailed to the Commission and the
Company at the addresses reflected below:
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.34235 2
For the Idaho Public Utilities For Idaho Power Company:
Commission
Donovan E.Walker
Commission Secretary Energy Contracts
Idaho Public Utilities Commission Idaho Power Company
PO Box 83720 1221 West Idaho Street 83702
Boise,ID 83720-0074 P.O.Box 70
Boise,ID 83707-0070
Street Address for Express Mail:E-Mail:dwalker @idahopower.com
dockets @ idahopower.com
472 W.Washington Street [e-mail]
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 Click the "Consumers"tab then click
the "Case Comment or Question Form"and complete the comment form using the case number as
it appears on the front of this document.
YOU ARE FURTHER NOTIFIED that the Company shall file reply comments,if
necessary,by no later than February 20,2019.
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.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.34235 3
ORDER
IT IS HEREBY ORDERED that the Application of the Company be processed by
Modified Procedure,Rule 201-204 (IDAPA 31.01.01.201-.204).Persons interested in submitting
written comments must do so by February 13,2019.The Company may file reply comments by
no later than February 20,2019.
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this
day of January,2019.
PAUL K A ,PRESIDENT
KRISTINE RAP ,MISSIONER
ERIC ANDERSON,COMMISSIONER
ATT
Diane M.Hanian
Commission Secretary
I:\Legal\ELECTRIC\IPC-E-l9-Ol\lPCEl901_nteapp mod proc_ej
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.34235 4