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Home My WebLink About20220906Staff Public Workshop.pdfPUBLIC WORKSHOP Established in 1913. Idaho Code Sections 61, 62, and 63. The Commission regulates Idaho's investor-owned utilities, ensuring adequate service and reasonable rates. The Commission is made up of three commissioners appointed by the Governor. The Commission makes the decisions in each case. Commission Staff is made up of Auditors, Consumer Advocates, Engineers & Technical Analysts. Commission Staff is a party in all filed cases and provides comments and recommendations to the Commissioners. IDAHO PUBLIC UTILITIES COMMISSION Public Hearing IDAPA 31.01.01.241.04 •Types of Formal Hearings. The Commission generally conducts two (2) types of formal public hearings. a.A technical hearing is a public hearing where parties present witnesses and their prepared testimony and exhibits. b.A customer hearing is a public hearing for customers, public officials, and other persons not related to parties in the case to provide testimony. Unless otherwise ordered by the presiding officer, parties are prohibited from presenting evidence at the customer hearing. IDAHO PUBLIC UTILITIES COMMISSION PARTICIPATION Background •On June 30, 2022, Idaho Power Company (“Company”) applied to the Commission to complete a multi-phase process for a comprehensive cost and benefit study of on-site generation. Why File for a case to study net excess energy from customer generators? •Commission Order No. 34046: •“IT IS FURTHER ORDERED that Idaho Power shall initiate a docket to comprehensively study the costs and benefits of on-site generation on Idaho Power’s system, as well as proper rates and rate design, transitional rates, and related issues of compensation for net excess energy provided as a resource to the Company.” Background The Commission identified the following criteria for a credible and fair study: 1.The study must use the most current data possible, and the data must be readily available to the public, and in the Commission's decision-making record. 2.The Company must design the study in coordination with the parties and the public, and the final scope of the study will be determined by the Commission. 3.The study must be written so it is understandable to an average customer, but its analysis must be able to withstand expert scrutiny. Background The Commission identified the Study Framework: •Commission Order No. 35284: •“IT IS FURTHER ORDERED that Idaho Power complete the study design for its Comprehensive study on the costs and benefits of on-site generation based on the Commission’s Study Framework findings and conclusions as more specifically defined and explained herein.” •“IT IS FUTHER ORDERED that the Company complete the Study in 2022 as soon as feasible.” Case Processing so far •On June 30, 2022, Idaho Power applied to the Commission to complete the multi-phase process for a comprehensive cost and benefit study of on-site generation. •The Study Framework is based on initial work completed in IPC-E-21-21 and outlined in Order No. 35284. •The Study is available for public review. •Value of Distributed Energy Resources (“VODER”) •www.puc.idaho.gov (Case Number: IPC-E-22-22) •On August 31, 2022, Idaho Power Company held a public workshop. •To see the slides and presentation, visit www.idahopower.com/study Upcoming Dates EVENT DATE PUBLIC WORKSHOP by STAFF September 6, 2022 (7:00 PM) PUBLIC WORKSHOP by STAFF September 7, 2022 (12:30 PM) ALL INITIAL COMMENTS DUE September 21, 2022 ALL REPLY COMMENTS DUE October 12, 2022 COMPANY REPLY COMMENTS DUE October 26, 2022 Study •Section 3: Measurement Intervals •Section 4: Export Credit Rate (“ECR”) •Avoided Energy Value •Avoided Capacity Value •Avoided Line Losses •Avoided Environmental Costs •Integration Costs •Section 5: Frequency of ECR Updates •Section 6: Compensation Structure •Section 7: Class Cost-of-Service •Section 8: Recovering Export Credit Rate Expenditures •Section 9: Project Eligibility Cap •Section 10: Other Areas of Study •Billing Structure •Export Credit Expiration •Section 11: Implementation Considerations •Transitional Rates Flat Annual Rate Seasonal Time Variant Rate (On-Peak) Seasonal Time Variant Rate (Off-Peak) 2021 IRP (forecast value)1.89¢/kWh 2.68¢/kWh 1.83¢/kWh ICE Mid-C (2019-2021 historical avg)3.06¢/kWh 4.11¢/kWh 2.97¢/kWh ELAP (2019-2021 historical avg)2.82¢/kWh 5.10¢/kWh 2.64¢/kWh Note: These calculations assume a real-time net billing scenario. An hourly net billing structure would yield slightly different results Avoided Generation Capacity Value Levelized Fixed Cost of Avoided Resource Capacity Contribution "Nameplate" Generation Size Energy Exported 1 2 3 4 Avoided Generation Capacity Value $128.40/kW-year Capacity Contribution 64.11 MW Energy Exported 1 2 3 4 Flat Annual Rate Seasonal Time Variant Rate (On-Peak) Seasonal Time Variant Rate (Off-Peak) ELCC (2020-2021 historical avg)1.06¢/kWh 14.03¢/kWh zero NREL (2020-2021 historical avg)1.44¢/kWh 18.99¢/kWh zero Note: These calculations assume a real-time net billing scenario. An hourly net billing structure would yield slightly different results Flat Annual Rate Seasonal Time Variant Rate (On-Peak) Seasonal Time Variant Rate (Off-Peak) Avoided T&D Cost 0.02¢/kWh 0.34¢/kWh zero Note: These calculations assume a real-time net billing scenario. An hourly net billing structure would yield slightly different results Reference VODER Page 58, Figure 4.12 Electric grid schematic with illustrative line loss example Flat Annual Rate Seasonal Time Variant Rate (On-Peak) Seasonal Time Variant Rate (Off-Peak) 2021 IRP (forecast value)0.11¢/kWh 0.16¢/kWh 0.11¢/kWh ICE Mid-C (2019-2021 historical avg)0.18¢/kWh 0.24¢/kWh 0.17¢/kWh ELAP (2019-2021 historical avg)0.16¢/kWh 0.30¢/kWh 0.15¢/kWh Note: These calculations assume a real-time net billing scenario. An hourly net billing structure would yield slightly different results Flat Annual Rate Seasonal Time Variant Rate (On-Peak) Seasonal Time Variant Rate (Off-Peak) Integration Cost (0.293¢/kWh)(0.293¢/kWh)(0.293¢/kWh) Flat Annual Rate Seasonal Time Variant Rate (On-Peak) Seasonal Time Variant Rate (Off-Peak) 2021 IRP (forecast value)2.80¢/kWh 16.92¢/kWh 1.64¢/kWh ICE Mid-C (2019-2021 historical avg)4.03¢/kWh 18.43¢/kWh 2.85¢/kWh ELAP (2019-2021 historical avg)3.78¢/kWh 19.48¢/kWh 2.50¢/kWh Note: These calculations assume a real-time net billing scenario. An hourly net billing structure would yield slightly different results Reference VODER Page 76 –Figure 6.1: Average monthly bill for average residential customer with 8.5 kW solar system installed. Review Process What is next? •Staff and other parties will continue to review the Application, VODER Study, workpapers, and production request responses. •Will submit written comments that will outline position on: •Proposed VODER Study. Review Process What is next? •Formal Hearings. •IDAPA 31.01.01.241.04 •Customer Hearing. •Location, Date, and time have not been noticed. •Commission will deliberate and issue an Order. CUSTOMER COMMENTS Customer written comments are due no later than October 12, 2022 (Reference Case Number IPC-E-22-22) •Internet Website Address –www.puc.idaho.gov •Select -Case Comment Form (ONCE COMMENTS ARE SUBMITTED, THEY BECOME PART OF PUBLIC RECORD) •Email Address –secretary@puc.idaho.gov •Mail –IPUC, PO Box 83720, Boise, ID 83720-0074 •Public or Customer Hearing –TBD COMMENTS ONLY (QUESTIONS WILL NOT BE ADDRESSED) WEBSITE HOMEPAGE www.puc.idaho.gov CASE COMMENT FORM EVENT DATE PUBLIC WORKSHOP by COMPANY August 31, 2022 PUBLIC WORKSHOP by STAFF September 6, 2022 (7:00 PM) PUBLIC WORKSHOP by STAFF September 7, 2022 (12:30 PM) ALL INITIAL COMMENTS DUE September 21, 2022 ALL REPLY COMMENTS DUE October 12, 2022 COMPANY FINAL REPLY COMMENTS DUE October 26, 2022 CASE SCHEDULE STAFF SECOND WORKSHOP CUSTOMER COMMENTS •Continue to provide written comments •Reference Case Number IPC-E-22-22 •Website –www.puc.idaho.gov •Email Address –secretary@puc.idaho.gov •Mail –IPUC, PO Box 83720, Boise, ID 83720-0074 ?? QUESTIONS ??