20200116Answer to Comer Reconsideration.pdf

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RECEIVED
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Diane Hanian, Secretary
ldaho Public Utilities Commission
11331 W. Chinden Boulevard
Building 8, Suite 201-A
Boise, lD 83714
Re Case No. IPC-E-19-28
Jeff Comer vs. ldaho Power Company
ldaho Power Company's Answer and/or Cross-Petition to Jeff Comer's
Petition for Reconsideration
Dear Ms. Hanian
Enclosed for filing in the above matter please find an original and seven (7) copies
of ldaho Power Company's Answer and/or Cross-Petition to Jeff Comer's Petition for
Reconsideration in the above matter. lf you have any questions about the enclosed
documents, please do not hesitate to contact me.
Very truly yours,
Lisa D. Nordstrom
Enclosures
LISA D. NORDSTROM
Lead Counsel
[e-mail]
LDN:kkt
January 16,2020
VIA HAND DELIVERY
LISA D. NORDSTROM (lSB No. 5733)
ldaho Power Company
122'l West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
Telephone: [phone]
Facsimile: [phone]
[e-mail]
I}.ECEIVED
; l;r iiH I 6 Pll 2: 25
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l'#i.iu\i8r,o*
Attorney for ldaho Power Company
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE FORMAL
COMPLAINT OF JEFF COMER AGAINST
IDAHO POWER COMPANY
CASE NO.IPC-E-19-28
IDAHO POWER COMPANY'S
ANSWER AND/OR CROSS.
PETITION TO JEFF COMER'S
PETITION FOR
RECONSIDERATION
1 RP 331 .05 describes Answers to Petitions for Reconsideration as "pleadings that disagree with a
petition for reconsideration, but do not ask for affirmative relief from the Commission's orders . . . ." Because
the Company believes the Commission reached the appropriate outcome, it does not technically request
"atfirmative relief." However, to the extent the Commission clarifies Order No. 34492 on its own motion
under RP 325 or at ldaho Power's request, ldaho Power also characterizes this pleading as a cross-petition
to facilitate that result.
IDAHO POWER COMPANY'S ANSWER AND/OR CROSS-PETITION
TO JEFF COMER'S PETITION FOR RECONSIDERATION - 1
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On December 1,2019, Jeff Comer, a customer of ldaho Power Company ("ldaho
Power" or "Company") served a Petition for Reconsideration ("Petition"). ln his Petition,
Mr. Comer asks the ldaho Public Utilities Commission ("Commission") to set aside their
current ruling and reconsider Order No. 34492.
ldaho Power, in accordance with ldaho Code $ 61-626 and RP 331.02 and 331.05,
files this Answer and/or Cross-Petitionl to Jeff Comer's Petition. ldaho Power will
(1) provide procedural background as to the requirements for meter aggregation and the
case history, (2) provide factual background to statements made by Mr, Comer in his
Petition and to Commission Staff's recommendation to deny Mr. Comer's formal
complaint, and (3) explain why the Commission should uphold its decision to deny Mr.
Comer's formal complaint. ldaho Power believes the Commission reached the correct
outcome in Order No. 34492, albeit on different grounds.
I. PROCEDURAL BACKGROUND
On November 19, 2013, the Commission issued Order No. 32925in Case No. IPC-
E-12-27 establishing the conditions under which customers could transfer excess net
energy credits from the designated on-site generation meter to offset consumption at one
or more separate meters - otherwise known as "meter aggregation":
'1 . The customer may only apply the excess net energy credits to accounts held
by the customer.
2. The aggregated meters must be located on, or contiguous to, the property on
which the designated meter is located. Contiguous property includes property
that is separated from the premises of the designated meter by the public or
railroad rights of way;
3. The designated meter and the aggregated meters must be served by the same
primary feeder; and
4. The electricity recorded by the designated meter and any aggregated meters
must be for the customer generator's requirements.
These criteria were incorporated into ldaho Power's Tariff Schedule 6, Schedule 8, and
Schedule 84.
ln 2019, Mr. Comer requested to transfer credits from the designated generation
meter to two separate residential meters; one meter was his own residential meter and
IDAHO POWER COMPANY'S ANSWER AND/OR CROSS-PETITION
TO JEFF COMER'S PETITION FOR RECONSIDERATION - 2
the other was the meter located at the residence of Mr. Goodman. Upon review of the
request for meter aggregation, ldaho Power determined that the meter at the residence
of Mr. Goodman was not located on a contiguous property to the designated generation
meter. On February 15, 2019, ldaho power approved the request to transfer credits to
the meter at Mr. Comer's residence; however, the Company denied Mr. Comer's request
to transfer credits to the meter at Mr. Goodman's residence.
On August 6, 2019, Mr. Comer filed a formal complaint against the Company
asking the Commission to review ldaho Power's method to determine contiguous property
to meet the requirement of criterion 2 of the Company's meter aggregation rules
("Criterion 2"). Criterion 2 states that: "The aggregated meters must be located on, or
contiguous to, the property on which the designated meter is located."
On October 15, 2019, Commission Staff ("Staff') filed comments recommending
the Commission deny Mr. Comer's formal complaint based on criterion 4 of the
Company's meter aggregation rules ("Criterion 4").2 Criterion 4 states that: "The
electricity recorded by the designated meter and any aggregated meters must be for the
customer generator's requirements, "
On November 19, 2019, the Commission issued Order No. 34492 denying Mr.
Comer's formal complaint based on the requirements for Criterion 4; that is, the electricity
recorded by the aggregate meter was not for Mr. Comer's requirements.3
2 "However, the rationale for denying the transfer of credits should have been because the transfer
would have violated criteria 4 of the Company's meter aggregation rules, and not because of the Company's
interpretation of the term "property." Statf's Comments at 4.
3'Having reviewed the record, we find ldaho Power appropriately denied lVlr. Comer's request to
transfer excess net energy credits from the Designated l\4eter to the meter on l\4r. Goodman's property that
was in Mr. Comer's name. We make this finding based on criterion 4 of the Company's meter aggregation
rules." Order No. 34492 at 4.
IDAHO POWER COMPANY'S ANSWER AND/OR CROSS-PETITION
TO JEFF COMER'S PETITION FOR RECONSIDERATION - 3
On December 1,2019, Mr. Comer filed a Petition for Reconsideration on the basis
that the Commission failed to address the complaint."4
On December 26, 2019, the Commission issued Order No. 34520 granting Mr.
Comer's Petition for Reconsideration.
II. FACTUAL BACKGROUND
A. Pro ect Ownershi
The Customer Generation Application, included as an attachment to this Answer,
was submitted in 2005 by Jack Goodman under the project name of "Good Co
Hydroelectric." Jeff Comer was listed as Project Owner/Developer and Jack Goodman
was listed as Owner/Authorized Agent with the title of "Co-owner Goodco Hydro,"
Therefore, it is reasonable to assume that Mr. Comer and Mr. Goodman are joint owners
of the project.
ln his Petition, Mr. Comer states that ldaho Power "worked hand in hand with Mr.
Comer and Mr. Goodman and recognized that they were equal partners in this net
metering project.% Mr. Comer also states that it was "at ldaho Power Company's
direction, Mr. Comer assumed responsibility for Mr. Goodman's account by placing it in
his name" and thatthis was "the appropriate method, according to ldaho Power Company,
to meet the requirements of aggregation."6 The name change on the account would have
been done to meet the requirement for criterion 1 of the Company's meter aggregation
rules ("Criterion 1"). Criterion 1 states that, "the customer may only apply the excess net
energy credits to accounts held by the customer." The Company does not advise its
1 "ln their effort to reach their decision the Commission first failed to address the complaint itself as
well as ldaho Power's response to the complaint." Comer's Petition for Reconsideration at 1.
5 ld. al2.
6 ld.
IDAHO POWER COMPANY'S ANSWER AND/OR CROSS.PETITION
TO JEFF COMER'S PETITION FOR RECONSIDERATION - 4
employees to coach customers, but rather, the Company's employees are trained to
inform customers of the tariff requirements. lf a customercalls the ldaho Power Customer
Service Center and requests to close their contract and open a new contract under a
different name, the Company would not have reason to question the integrity of the
request nor would the Company have a basis to disallow such a request.
B. Staffls Recommendation to Denv the Formal Complaint Based on Griterion 4
Commission Staff filed comments recommending the Commission deny Mr.
Comer's formal complaint; however, Staff's recommendation to deny was based on a
separate criterion than what the Company based its denial of Mr. Comer's request for
meter aggregation. Staff recommended the Commission deny Mr. Comer's formal
complaint based on Criterion 4 that states: "The electricity recorded by the designated
meter and any aggregated meters must be for the customer generator's requirements."
ln its comments, Staff recommended the Commission deny Mr. Comer's formal
complaint on the basis that, "the transfer would have violated criteria 4 of the Company's
meter aggregation rules".7 Staff also stated that, "the Company was correct to not
aggregate meters for 2018 because there is no information in the record to show that the
electricity recorded at the meter on Mr. Goodman's property was for Mr. Comer's
req uirements."s
ldaho Power does not necessarily disagree with Staff; however, ldaho Power finds
itself in a delicate situation when validating who in fact uses the energy at any premise.
ln ldaho Power's Answer to Mr. Comer's complaint, the Company expressed that there
7 StafFs Comments at 4
I ld. al2.
IDAHO POWER COMPANY'S ANSWER AND/OR CROSS-PETITION
TO JEFF COMER'S PETITION FOR RECONSIDERATION - 5
are real challenges associated with the administration of the meter aggregation rules.,
With regard to who is using the energy, the Company cannot substantiate that the
customer generator is in fact using the energy recorded by the aggregate meter if the
customer generator so indicates; ldaho Power can only ask if the energy is for the
customer generator's use and does not question the veracity of the customer's response.
It is reasonable to conclude that Mr. Comer and Mr. Goodman are joint owners of
the project. ldaho Power believes the arrangements made between Mr. Comer and Mr.
Goodman regarding the extent of their power hydroelectric project and the financial
responsibility for the electrical use being recorded for the meters in question are for Mr.
Comer and Mr. Goodman to decide.
III. THE COMMISSION SHOULD UPHOLD THE PRIOR OUTCOME
The Commission should uphold its decision to deny Mr. Comer's formal complaint;
however, ldaho Power believes the Commission's denial should be based on the failure
to meet the requirements for Criterion 2 - the aggregated meter and the designated
generation are not located on contiguous property.
A. The lntent of Net Meterinq and Meter Aqqreqation
When considering the conditions for which customers would be allowed to apply
net metering credits to offset usage on other meters, the Commission established the
eligibility requirements to "align with the intent of net metering as an avenue to offset
usage while minimizing the potential under-recovery of fixed costs from net metering
customers."1o The Commission also stated that "it would be inappropriate to let the
customer apply the credits to offset the customer's own usage at another delivery point
e ldaho Power's Answer to Complaint at 10
10 Order No. 32925 al5.
IDAHO POWER COMPANY'S ANSWER AND/OR CROSS.PETITION
TO JEFF COMER'S PETITION FOR RECONSIDERATION - 6
without considering the delivery point's location.ll ln other words, the location of the
aggregate meter relative to the designated generation meter was an important
consideration even though the credits were to offset the customer's own usage.
B. lnterpretation ol lhe fe[m '?rqpedyl by ldaho Power and Mr. Comer
ldaho Power denied Mr. Comer's request for meter aggregation on the basis that
the designated generation meter and the aggregate meter did not meet the requirements
for Criterion 2: "The aggregated meters must be located on, or contiguous to, the property
on which the designated meter is located."
ldaho Power uses the separate and distinct legal deed of conveyance to determine
the boundaries of the property,12 whereas Mr. Comer is combining properties by common
ownership to determine the boundaries of the greater property. For reference, the
locations of the two meters in question related to Mr. Comer's complaint are shown on
Attachment 1 to ldaho Power's Answer to Complaint - the designated generation meter
is denoted with a green dot and the aggregate meter at Mr. Goodman's residence is
denoted with a blue dot.
ldaho Power believes the separate and distinct legal deed of conveyance to
determine the boundaries of the property is the basic legal unit of property in ldaho and
should represent a "property" for purposes of the tariff. The provisions for meter
aggregation set forth in Order No. 32925 do not define property as being the result of
combining properties by common ownership to determine the boundaries of the greater
property
11 /d at6
12 As described in ldaho Powefs Answer to Mr. Comer's complaint, the Company determines
"contiguous property" under Order No. 32925 based on a combination of (a) the Company's GIS facility
location maps, and (b) the official county assessoas parcel map. The Company overlays the Company's
GIS facility location map with the official county assessor's parcel map to determine the boundaries of each
parcel of land where both meter facilities are located. See ldaho Powef s Answer to Complaint at 5.
IDAHO POWER COMPANY'S ANSWER AND/OR CROSS-PETITION
TO JEFF COMER'S PETITION FOR RECONSIDERATION - 7
C. Fair and Consistent Treatment of All Customers
ldaho Power endeavors to comply with the tariff requirements outlined by the
Commission and attempts to apply those requirements consistently to all customers,
regardless of the circumstances. The Company has the challenge of impartially
administering all tariff requirements even when the requirements outlined in the tariff are
to the disadvantage of a customer in light of their particular circumstan@s.
ldaho Power believes it has followed the letter and spirit of Commission Order No.
32925 with its interpretation of the term "property" for the evaluation of the requirements
for Criterion 2 for contiguous property. ldaho Power requests the Commission affirm its
interpretation of the term "property" for the evaluation of the requirements of Criterion 2.
Providing clarity as to the appropriate method to evaluate the criteria established by the
Commission for meter aggregation will ensure the Company applies the tariff
requirements consistently.
lv. coNcLustoN
The Company believes the Commission reached the correct outcome in Order No.
34492, albeit on different grounds. ldaho Power respectfully requests the Commission
affirm the Company's interpretation of the term "property" as it applies to the meter
aggregation rules outlined by the Commission in Order No. 32925.
Respectfully submitted this 16th day of January 2020.
L , NORDS OM
Attorney for ldaho ower Company
IDAHO POWER COMPANY'S ANSWER AND/OR CROSS.PETITION
TO JEFF COMER'S PETITION FOR RECONSIDERATION - 8
I HEREBY CERTIFY that on the 16th day of January 2020 I served a true and
correct copy of the within and foregoing IDAHO POWER COMPANY'S ANSWER
AND/OR CROSS-PETITION TO JEFF COMER'S PETITION FOR RECONSIDERATION
upon the following named parties by the method indicated below, and addressed to the
following:
Commission Staff
Edward Jewell
Deputy Attorney General
ldaho Public Utilities Commission
11331 W. Chinden Boulevard
Building 8, Suite 201-A
Boise, lD 83714
Jeff Comer
4186 N. 1100 E.
Buhl, ldaho 83316
_Hand DeliveredX U.S. Mail
_Overnight Mail
_FAXX Email [e-mail]
o
Kim rly Towel cutive Assistant
IDAHO POWER COMPANY'S ANSWER AND/OR CROSS-PETITION
TO JEFF COMER'S PETITION FOR RECONSIDERATION . 9
CERTIFICATE OF SERVICE
X Hand Delivered
_U.S. Mail
_Overnight Mail
_FAXX Email [e-mail]
BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
CASE NO. !PC-E-19-28
IDAHO POWER COMPANY
ANSWER AND/OR CROSS.PETITION
TO JEFF COMER'S PETITION FOR
RECONSIDERATION
ATTACHMENT
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Project Description Questionnaire
for Small cenerators <20 MW
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2. Dsscri ion of Energy Source
3. Gengration Data
Estimat6d Annual Generation ((kwh) E€timatod Projod Capacity (kW)
t3r oo Kt)6d lo il€m 5 ol lhis
Non.Dlspatchablo Plant; ErDected Energy Dellveries (kwh)
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load hours I
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Dispatchable Plant: Prorect Capacity Dispatchability (kW)
JunI
kw
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Jul Aug Sop Oct Nov Ooc
Total kw
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Make Model
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data lease lisl and attach addltional
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