20190813notice_of_application_order_no_34409.pdf

Office of the Secretary
Service Date
August 13,2019
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )CASE NO.IPC-E-19-18
OF IDAHO POWER FOR A VALIDATED )ECONOMIC CLOSURE DATE FOR NORTH )NOTICE OF APPLICATION
VALMY POWER PLANT UNIT 2 )
)ORDER NO.34409
On June 27,2019,Idaho Power Company ("Company")filed an Application requesting
the Commission acknowledge that the Company had sufficientlyvalidated December 31,2025 as
the economic retirement of Unit 2 of the North Valmy Power Plant ("Valmy").
On July 19,2019,the Company filed a letter in IPC-E-19-19 stating that it needed
additional time to perform modeling and analysis for its 2019 Integrated Resource Plan ("IRP").
On August 6,2019,Commission Staff recommended the Commission issue a Notice
of Application but not determine procedure or set deadlines until after the Company submits its
revised 2019 IRP because the revised IRP might impact the economic analysis conducted in this
case.
The Commission now issues this Notice of Application.The Commission will
establish procedure and deadlines following submittal of the Company's revised 2019 IRP
analysis.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that Valmy is a coal-fired power plant with two units
and is near Winnemucca,Nevada.The Company has entered into a settlement stipulation,which
was approved by the Commission in IPC-E-16-24,to use prudent and commercially reasonable
efforts to end its participation in operatingUnit 1 by December 31,2019,and Unit 2 by December
31,2025.Order No.33771.The Company was required to continue to conduct Unit 2 closure
analyses and to perform a Unit 2 closure validation study to evaluate whether there may be a least-
cost least-risk closure date for Unit 2 before December 31,2025.Id
YOU ARE FURTHER NOTIFIED that in IPC-E-19-08,the Company requested
Commission approval of December 31,2025 as the economic closure date for Unit 2.There,
Commission Staff stated that it did not have sufficient information at the time to recommend the
Commission determine there was no material economic benefit associated with closing Unit 2
NOTICE OF APPLICATION
ORDER NO.34409 1
before December 31,2025.In reply comments,the Company supported Staff's recommendation
to file a complete Unit 2 closure analysis in a separate docket.
YOU ARE FURTHER NOTIFIED that the Company stated in its Application that the
long term capacity expansion model used in its 2019 IRP did not select a date before December
31,2025 as the economic closure date in any of the 24 portfolios run by the Company in its 2019
IRP analysis.
YOU ARE FURTHER NOTIFIED that the Application is available for public
inspection during regular business hours at the Commission's office.These documents are also
available on the Commission's web site at www.puc.idaho.gov.Click on the "File Room"tab at
the top of the page,then select "Electric Cases"and click on the case number as shown on the
front of this document.
YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held
pursuant to the Commission's jurisdiction under Title 61 of the Idaho Code and specifically Idaho
Code §§61-502 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 31.01.01.000et seq.
NOTICE OF APPLICATION
ORDER NO.34409 2
ORDER
IT IS HEREBY ORDERED that no further action will be taken on the Company's
Application until the Company provides the supplemental analysis referred to in its July 19,2019
letter submitted in IPC-E-19-19,or the Commission orders otherwise.
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this
day of August,2019.
PA KJELLÁND R,PRESIDENT
K MMISSIONER
ERIC ANDERSON,COMMISSIONER
ATTE T
Diane M.Hanian '
Commission Secretary
I:\Legal\ELECTRIC\IPC-E-19-18\IPCE1918_nteapp_ej
NOTICE OF APPLICATION
ORDER NO.34409 3