20200721Application.pdf

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An IDACORP Company
DONOVAN E. WALKER
Lead Counsel
dwal [e-mail]
July 21,2020
VIA ELECTRONIC MAIL
Diane M. Hanian, Secretary
ldaho Public Utilities Commission
11331 West Chinden Blvd., Building 8
Suite 201-A
Boise, ldaho 83714
Re: Case No. !PC-E-20-31
North Gooding Main Hydro LLC
ldaho Power Company's Application Regarding First Amendment to the
Energy Sales Agreement
Dear Ms. Hanian
Attached for electronic filing is ldaho Power Company's Application in the above
entitled matter. !f you have any questions about the attached documents, please do not
hesitate to contact me.
Very truly yours,
2ila14
Donovan E. Walker
DEW:cld
Enclosures
DONOVAN E. WALKER (lSB No. 5921)
ldaho Power Company
1221West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
Telephone: [phone]
Facsimile: [phone]
dwalker@ idahopower.com
Aftorney for ldaho Power Company
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR
APPROVAL OR REJECTION OF A FIRST
AMENDMENT TO THE ENERGY SALES
AGREEMENT FOR THE SALE AND
PURCHASE OF ELECTRIC ENERGY WITH
NORTH GOODING MAIN HYDRO, LLC.
CASE NO. !PC-E-20-31
APPLICATION FOR APPROVAL
OF FIRST AMENDMENT TO
ENERGY SALES AGREEMENT
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ldaho Power Company ("!daho Power"), in accordance with RP 52 and the
applicable provisions of the Public Utility Regulatory Policies Act of 1978 ('PURPA"),
hereby respectfully applies to the ldaho Public Utilities Commission (.Commission") for
an order accepting or rejecting the First Amendment ("Amendment") to the Energy Sales
Agreement ('ESA') between ldaho Power and North Gooding Main Hydro, LLC ("Selle/')
under which Seller sells and ldaho Power purchases electric energy generated by the 1 .3
MW North Gooding Main Hydro project ("Facility") which is a PURPA Qualifying Facility.
APPLICATION - 1
ln support of this Application, ldaho Power represents as follows:
I. INTRODUCTION AND BACKGROUND
1. ldaho Power and the Seller (ointly, "Parties') entered into an ESA on July
29,2015, for the purchase and sale of energy produced by the Facility. This ESA was
approved by the Commission in Order No. 33404, Case No. IPC-E-15-24, on October 27,
2015.
2. Section 6.2.3 of the ESA provides the Seller with the option to adjust the
monthly estimated Net Energy Amounts ("NEA') within a specified time period. After the
execution and approval of the ESA, the Seller requested a change to the time period for
making the NEA adjustments. The Seller would like to change the NEA adjustment time
period in Section 6.2.3 so that they can make adjustments by the 25th day of the preceding
month in which a change is requested, similar to other such 25th day of the month
provisions previously approved by the Commission.
II. THE AMENDMENT
3. The Amendment provides for the deletion of Section 6.2.3, Seller's
Adjustment of Estimated Net Energy Amounts After the Operation Date, and replaces it
with a new Section 6.2.3 set forth in the Amendment as follows:
6.2.3 Seller's Adiustment of Estimated Net Enerqv Amounts
Afterthe Operation Date -Afterthe Operation Date, the Seller
may revise any future monthly Estimated Net Energy
Amounts by providing written notice no later than 5 PM
Mountain Standard time on the 25s day of the month that is
prior to the month to be revised. lf the 25s day of the month
falls on a weekend or holiday, then written notice must be
received on the last business day prior to the 25ft day of the
month. For example, if the Seller would like to revise the
Estimated Net Energy Amount for October, they would need
to submit a revised schedule no Iater than September 25th or
the last business day prior to September 25h.
APPLICATION - 2
a.) This revision must be submitted using the electronic
portal provided by ldaho Power if available. lf the portal is
not available, then written notice must be provided to
ldaho Power by electronic notice (electronic mail) as agreed
to by both parties.
b.) lf the Seller does not update the electronic portal or
provide written notice of changes to the Estimated Net
Energy Amounts, then it will be deemed to be an election of
no change from the most recently provided monthly
Estimated Net Energy Amounts. ldaho Power 3s unable to
accept any requested changes to the Estimated Net Energy
Amounts if the date and time that ldaho Power receives the
requested change is after the deadline.
4. The Amendment to the ESA to modify the NEA adjustment period was
executed by the Parties on June 30 and July 9, 2020. The Amendment does not
otherwise change any of the obligations of the Parties set forth in the ESA. A copy of the
Amendment is attached to this Application as Attachment 1 and is subject to the
Commissions approval.
III. PROCEDURE
5. ldaho Power believes that a hearing is not necessary to consider the issues
presented herein and respectfully requests that this Application be processed under
Modified Procedure; i.e., by written submissions rather than by hearing. RP 201, ef seg.
IV. COMMUNICATIONS AND SERVICE OF PLEADINGS
6. Communications and service of pleadings, exhibits, orders, and other
documents relating to this proceeding should be sent to the following
Donovan E. Walker
Lead Counsel
ldaho Power Company
1221West ldaho Street (83702\
P.O. Box 70
Boise, ldaho 83707
dwa lker@ ida hopower. com
dockets@ idahopower. com
Energy Contracts
ldaho Power Company
1221West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
e n erqvco ntra cts@ id a ho power. co m
APPLICATION - 3
V. REQUEST FOR RELIEF
7. ldaho Power respectfully requests that the Commission issue an order: (1)
authorizing that this matter may be processed by Modified Procedure and (2) accepting
or rejecting the Amendment between ldaho Power and the Seller.
Respectfully submitted this 21"t day of July 2020.
fuzdatt4-
DONOVAN E. WALKER
Attorney for ldaho Power Company
APPLICATION _4
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on the 21st day of July 2020 ! served a true and correct
copy of the within and foregoing APPLICATION FOR APPROVAL OF FIRST
AMENDMENT TO ENERGY SALES AGREEMENT upon the following named parties by
the method indicated below, and addressed to the following:
Ted Sorenson
North Gooding Main Hydro LLC
1032 Grandview Drve
lvins, UT 84738
_Hand Delivered
_U.S. Mail
_Ovemight Mail
_FAXX Email - [e-mail]
Christy Davenport, Lega! Assistant
APPLICATION - 5
BEFORE THE
IDAHO PUBL]C UTILITIES COMMISSION
CASE NO. IPG-E-20-31
IDAHO POWER COMPANY
ATTACHMENT 1
X'IRSTAMENDMENT
TOTIIE
ENERGY SALES AGREEMENT
BETWEEI\I
IDAHO POWER COMPAI\TY
ANI)
NORTII GOODING MAIN ITYDRO LLC
Thffiirst Arnggdgrnt ofthe Energy Sales Agrecment (*First Amendment') is entered into
onthis7U day ofulA 2020,by and between ldaho Power Company, I tlaho ryrporation
C.Idahoffiefl, ana N6-Gooding Main Hydro LLC, ("Seller') (individually a'?arty' and
oollectively the'?arties').
WHEREAS, Idaho Power and the Seller entered into an Energy Sales Agreement ("ESA")
on July 2g,2}l5 (the "Agreement") for the purohase and sale of generation produced by the North
Gooding Main Hidro pUnpa Qualifiing Facility with a Maximum Capacity Amount of 1.3 MW
ttrat was approved by the Idatro Public Utilities Commission's ("[PUC") Order No. 33404; and
WHEREAS, on February z},z}lg,the IPUC issued Order No. 34263 approving the ESA
betwcen Idaho Power and J.R. Simptot Company that included a change to the notification ofNet
Energy Amount monthly adjustmcnts. In Order No. 34263, the Commission stated that they would
contin:ue to evatuate thoreaionableness ofthese provisions on a case'by-case basis. On September
lT,Z1lg,the IPUC issued Ordcr No. 34442 approving the First Amendment to the ESA for the
Box Canyon hydro project similar to the First Amendment contained herein; and
WHEREAS, Seller and Idaho Power desire to amend Article 6.2.3 of the Agreement to
inctudc a change to the notification ofNet Energy Amount monthly adjustments from one-month
advanced notice to the 25e day ofthc month that is prior to the month to be revised. Ifthe 25th day
of the month frlls on a weeicend or holiday, then written notice must be received on the last
business day prior to the 25fr day ofthe month;
NOW, THEREFORE, in consideration ofthe foregoing, and for other good and valuable
consideration, the reoeipt and adequacy of which are hereby acknowledged, and intending to be
legally bound, the Parties hcreto agroe as follows:
L lncorporation of Recitals. The above-stated reoitals are incorporated into Td-ryaq I Part 9f
this Agreement by this reference to the same extent as if these recitals were set forth in firll at this
point.
2. Definitions. Article 6.2.3 shall be deleted in its entirety and the following section shall be
substituted in its stead:
6,2.3 Selter's Adjustment of Estimated Net Energy Amounts After the OPeration Date 'After
the Operation Date, the Seller may revise any futurc monlhly Estimated Net E-nergy
Amounts by providing written notice no later than 5 PM Mountain Standard time on the
25s day ofine month-that is prior to the month to be revised. If the 25s day ofthe month
falls on a weekend or holiday, then written notice must be received on the last business
Encrgy Sales Agrecment
Projecl 20150729 Nortr Gooding Main Hydro
Pirst Amendment - PaSe I of 3
day prior to the 25s day ofthe month. For example, ifthe Seller would like to rcvise the
Estimated Net Energy Amount for Oc'tober, they would necd to zubmit a revised schedule
no later than Septeriber 25th or the last busincss day prior to September 25n.
a.f ihis revision must be submitted using the electronio portal provided by
Idaho Power if available. If portal is not available, then writtcn notice must
be provided to Idatro Power by electronic notice (clectronic mail) as agreed
by both parties.
b.; lf the Seller does not update the electronic portal or provlle written noticc
ofchanges to the Estimated Net Energy Amounts, then it will be deemed to
bc an Jbotion of no ohange from the most recently provided monthly
Estimatcd Nct Energy Amounts. Idaho Power is unable to accept any
requested changes to the Estimated Net Energy Amounts if the date and
time that Idatro Power receives the requested change is after the deadline.
3. Commission Approval. The obligations ofthe Parties under this First Amendment are subject
to the IpUC's approval ofthis First Amendment and such approval bcing upheld on appeal, ifany,
by a court of oompctent jurisdiction. The Parties will submit this First Amendment to the IPUC
and request approval or rejection in its cntirety pursuant to RP 274.
4. Effect of Amendment. Except as expressly amendcd by this First Amendment, thc Agrcement
shall remain in flrll foroe and effect.
5. Capltalized Terms. All capitalized terms used in this First Amendment and not defined herein
shall have the same meaning as used in the Agreement.
6. Scope of Amendment. This First Amendment shall be binding upon and inure to the bcnefit
ofthe parties hereto, and their respective hehs, executors, administratoni, successors, and assigns,
who are obligatcd to take any aotion whioh may be necessary or proPer to carry out the purpose
and intent thereof,
7. Authority. Each Party represents and warants that (D it is validly existing and in good
Janding in tihe statc in which it is organized, (ii) it is the proper party to amend the Agreement,
and (iiil it has the requisite authority to execute this First Amendment.
g. Counterpart* This First Amendment may be executed in any number of countcrparts, each
of whioh shall be deemed an original and all of which taken together shall constitute a single
instrument.
Energy Sales Agreement
Proj*: 20150729 North Gooding Main Hydro
First Amendmcnt - Page 2 of 3
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