20190726Decision Memo.pdf

DECISION MEMORANDUM
TO COMMISSIONER KJELLANDER
COMMISSIONER RAPER
COMMISSIONER ANDERSON
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:EDWARD JEWELL
DEPUTY ATTORNEY GENERAL
DATE: JULY 26,2019
SUBJECT:IN THE MATTER OF THE APPLICATION OF IDAHO POWER FOR
APPROVAL OF A POWER PURCHASE AGREEMENT WITH JACKPOT
HOLDINGS, LLC, FOR THE SALE AND PURCHASE OF UP TO 220
MEGAWATTS OF RENEWABLE SOLAR GENERATION; CASE NO.
IPC-E-r9-r4.
On April 4,2019, Idaho Power Company ("Company") filed an Application seeking
approval of a Power Purchase Agreement ("PPA") with Jackpot Holdings LLC for energy
generated by the Jackpot Solar Facility ("Facility"). Under the proposed PPA, the Company
would purchase 120 megawatts ("MW") of energy with an option to purchase an additional 100
MW of energy from the adjacent Franklin Solar Facility ("Option Facility"). The Facility and
the Option Facility are between Twin Falls and the Nevada border.
In its Application, the Company stated that the pricing in the PPA is "at or near
nationwide record low pricing." Application at 2. The pricing in the PPA is dependent upon the
developer being able to maximize the value of the federal Investment Tax Credit, which declines
at the end of December 2019. Id. at 10. Therefore, the Company requested an expeditious
proceeding resulting in a Commission Order by no later than December 2019.
On April 25,2019, the Commission issued a Notice of Application and Notice of
Intervention Deadline. Order No. 34321. No parties intervened.
On June 5,2019, the Commission issued aNotice of Modified Procedure and set a
comment deadline of July 23,2019, and a reply comment deadline of August 6,2019. Order No.
34353.
IDECISION MEMORANDUM
On July 8,2019, the Company responded to a Staff production request by stating that
it needed more time to complete the requested economic analysis. IDAHO POWER
coMPANY',S RESPONSE TO COMMISSION STAFF REQUEST NO. 25.
On July 19,2019, the Company submitted a letter to the Commission indicating that
the Company supports an adjustment to the comment deadline because the Company is not able
to provide the requested analysis within the original comment period.
On July 23,2019, Staff filed comments recommending the Commission vacate the
comment deadline in this case and set a revised comment deadline after the Company files the
supplemental economic modeling results.
STAFF RECOMMENDATION
Staff recommends the Commission vacate the comment deadline in this case and set a
revised comment deadline after the Company files supplemental economic modeling results.
COMMISSION DECISION
Does the Commission wish to vacate the comment deadline in this case and set a
revised comment deadline after the Company files supplemental economic modeling results?
@
Edward
Deputy
I \LegaltEl-ECTRIC\IPC-E-19-14'memos\lPCEl904_dec memo 3_ej doc
General
2DECISION MEMORANDUM