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HomeMy WebLinkAbout20211001Joint Motion to Suspend Procedural Schedule.pdfsrm. iroil c I ivPo ?ril SCI -l [H ll:30 ,i.,, lfl ,*rjiri-iC: ,: ''r' j)j i-lCiiJiJiS*qiCH AnD oolPcompilY LISA D. NORDSTROM Lead Counsel lnordstrom@idahooower.com October 1,2021 VIA ELECTRONIC FILING Jan Noriyuki, Secretary ldaho Public Utilities Commission 11331 W. Chinden Blvd., Bldg 8, Suite 201-A(837141 PO Box 83720 Boise, ldaho 83720-0074 Re Case No. IPC-E-21-17 ln the Matter of ldaho Power Company's Application for Authority to lncrease lts Rates for Electric Service to Recover Costs Associated with the Jim Bridger Power Plant Dear Ms. Noriyuki Attached for electronic filing, pursuant to Order No. 35058, please find Joint Motion to Suspend Procedural Schedule. lf you have any questions about the attached filing, please do not hesitate to contact me. Very truly yours, o€;!.fl"*t"--, Lisa D. Nordstrom LDN:sg Enclosure LISA D. NORDSTROM (lSB No. 5733) ldaho Power Company 1221 West ldaho Street (83702) P.O. Box 70 Boise, ldaho 83707 Telephone: (208) 388-5825 Facsimile: (208) 388-6936 Inordstrom@ idahopower.com Attorney for ldaho Power Company ERICK SHANER (lSB No. 52141 Deputy Aftorney General ldaho Public Utilities Commission P.O. Box 83702 Boise, ldaho 8372-0074 Attorney for the Commission Staff BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF IDAHO POWER COMPANY'S APPLICATION FOR AUTHORITY TO INCREASE ITS RATES FOR ELECTRIC SERVICE TO RECOVER COSTS ASSOCIATED WITH THE JIM BRIDGER PLANT CASE NO. tPC-E-21-',17 JOINT MOTION TO SUSPEND PROCEDURAL SCHEDULE ) ) ) ) ) ) ) Pursuant to Procedural Rule 056, ldaho Power Company (ldaho Power or Company) and the ldaho Public Utilities Commission Staff (StafD (collectively the "Movants') submit this Motion to Suspend the Procedural Schedule to the ldaho Public Utilities Commission (Commission) in the above-captioned case. As described in more detail below, the Movants request this suspension to allow Movants the opportunity to assess this case in light of new developments that may impact operation of the Jim Bridger Power Plant (Bridger). JOINT MOTION TO SUSPEND PROCEDURAL SCHEDULE.l I. BACKGROUND 1. Idaho Power and PacifiCorp jointly own the Bridger plant located in Rock Springs, Vfoming. Bridger is comprised of four coal-fired units built in the 1970s. PacifiCorp owns two-thirds of Bridger and is the plant operator; ldaho Power owns one- third, or 771 megawatts of generator nameplate capacity. 2. On June 2,2021, ldaho Power submitted an Application requesting the Commission authorize Idaho Power to (1) accelerate Bridger unit depreciation schedules to allow the plant to be fully depreciated and recovered by December 31, 2030, (2) establish a balancing account, and the necessary regulatory accounting, to track the incremental costs and benefits associated with ldaho Power's cessation of participation in coal-fired operations at Bridger, and (3) adjust customers rates to recover the associated incremental annual levelized revenue requirement of $30.83 million with an effective date of December 1,2021, which equates to an overall increase of 2.53 percent. 3. On June 24,2021, the Commission issued Order No. 35088 with a Notice of Application and Notice of lntervention Deadline in this case. 4. Following the intervention period, the Commission issued a Notice of Parties on July 28,2021. No other case procedure or deadlines have been set to date. 5. Bridger emission controls are required to comply with the Clean Air Act Regional Haze Rules and the resulting \Afioming Regional Haze State lmplementation Plan (V1rloming SIP). To mitigate the effects of nitrogen dioxide (NOxl controls for regiona! haze, selective catalytic reduction (SCR) equipment was installed on Jim Bridger Units 3 and 4 by the dates required by \Affoming in state law and by EPA in the 2014 final rule. JOINT MOTION TO SUSPEND PROCEDURAL SCHEDULE - 2 6. On February 5,2019, plant operator PacifiCorp submitted to \Afoming an application and proposed State lmplementation Plan (SlP) revision instituting reduced plant-wide month-by-month emission limits for NOx and sulfur dioxide (SOz), in addition to an annual total combined emission cap of NOx and SOz, on all four Jim Bridger units in lieu of the requirement to install SCR equipment on Units 2 and 1 by December 31, 2021 and 2022, respectively. The proposed SIP revision states that the proposed limits are more cost effective while leading to better modeled visibility than the SCR installation on Units 1 and 2 required in the federally approved SIP.1 7. V1rloming's proposed approval of the SIP revision was published for public comment July 20, 2019, through August 23, 2019. On May 5, 2020, the hfoming Department of Environmental Quality issued permit P0025809 with PacifiCorp's proposed monthly and annual NOx and SOz emission limits. Under the permit, the new emission limits become effective January 1,2022. Vfoming submitted a corresponding regional haze SIP revision to U.S. Environmental Protection Agency (EPA) on May '14,2020.EPl. has not taken formal action responding to the SIP revision. Discussions between EPA, \Afoming, and PacifiCorp regarding the SIP revision and regional haze compliance at Jim Bridger are ongoing. 8. On September 1, 202'1, PacifiCorp's Rocky Mountain Power business unit submitted PacifiCorp's 202'l Integrated Resource Plan (lRP) for Commission acknowledgment in Case No. PAC-E-21-19. L PacifiCorp's Application for Acknowledgment of the 2021 lntegrated Resource Plan, Case No. PAC-E- 21-19, pp. 55'56 (updated original filed September 15, 2021). JOINT MOTION TO SUSPEND PROCEDURAL SCHEDULE - 3 9. PacifiCorp's 2021 IRP preferred portfolio and Action Plan envisions the cessation of coal-fired generation in Bridger Units 1 and 2 in 2023 with a natural gas conversion of those units in 2024 to meet its load and reliability requirements.2 II. JOINT MOTION 10. Given that it is not possible to substantively respond to discovery requests in this case until greater clarity is achieved concerning Bridger emission limits and possible coal-to-gas unit conversion, the Movants respectfully request that the procedural schedule and discovery be suspended until a procedural schedule can be established. Once more information is known, ldaho Powerwill make a filing recommending next steps in this proceeding. ilt. coNcLUStoN 11. The Movants seek this suspension to allow Movants the opportunity to assess this case in light of new developments that may impact operation of the Bridger plant. Once more information is known, ldaho Power will make a filing recommending next steps in this proceeding. DATED at Boise, ldaho, this 1st day of October 2021. X;!.("t-t -,-, LISA D. NORDSTROM Attorney for ldaho Power Company 2 ld., pp. 15,24,253,299,322. JOINT MOTION TO SUSPEND PROCEDURAL SCHEDULE -4 DATED at Borse, tdaho, *', z*, f*20'21. _L EHEKSMNET Attomey br ldaho Public Utilities Commhsion JONT MONON TO SUSPEND PROCEDURA 8C[TEDI'1E.5 CERTIFICATE OF SERVICE I HEREBY CERTIFY that on the 1st day of October 2021,lserved a true and correct copy of the Joint Motion to Suspend Procedural Schedule upon the following named parties by the method indicated below, and addressed to the following: Gommission Staff Erick Shaner Deputy Attorney General ldaho Public Utilities Commission 11331 W. Chinden Blvd., Bldg No. 8, Suite 201-A (83714) PO Box 83720 Boise, lD 83720-0074 Industrial Customer of ldaho Power Peter J. Richardson RICHARDSON ADAMS, PLLC 515 North 27h Street (83702) P.O. Box 7218 Boise, ldaho 83707 Dr. Don Reading 6070 Hill Road Boise, ldaho 83703 ldaho Conservation League Benjamin J. Otto ldaho Conservation League 710 N. 6th Street Boise, ldaho 83701 Hand Delivered_U.S. Mail _Overnight Mail _FAXX Email: Erick.shaner@puc.idaho.qov FTP Site _Hand Delivered _U.S. Mail _Overnight Mail _FAX_ FTP SiteX Emai! peter@richardsonadams.com FTP Site _Hand Delivered _U.S. Mail Overnight Mail _FAXX EMAIL dreadinq@mindsprinq.com FTP Site _Hand Delivered _U.S. Mail _Overnight Mail _FAXX EMAI L botto@idahoconservation.orq FTP Site _Hand Delivered _U.S. Mail Overnight Mail _FAX X EMAIL eiewell@citvofboise.orq bo iseC iWAtto rnev@citvofbo ise. orq _ FTP Site City of Boise Ed Jewell 150 N. Capitol Blvd. P.O. Box 500 Boise, ldaho 83701 -0500 JOINT MOTION TO SUSPEND PROCEDURAL SCHEDULE .6 Glean Energy Opportunities for ldaho, lnc. Kelsey Jae Law for Conscious Leadership 920 N. Clover Dr., Boise, ldaho 83703 Michael Heckler Courtney \Mite Clean Energy Opportunities for ldaho 3778 Plantation River Drive, Suite 102 Boise, lD 83703 Sierra Club Rose Monahan Ana Boyd 2101 Webster Street, Suite 1300 Oakland, CA 94612 _Hand Delivered _U.S. Mail Overnight Mail _FAXX EMAIL kelsey@kelseyjae.com FTP Site _Hand Delivered _U.S. Mail Overnight Mail _FAXX EMAIL mike@clea ne nergyopportu n ities. com cou rtnev@cleanenerqvopportu n ities.com FTP Site _Hand Delivered _U.S. Mail _Overnight Mail _FAXX EMAIL rose. mona han@sie rraclu b.orq an a. boyd@sierraclub.o rg FTP Site _Hand Delivered _U.S. Mail _Overnight Mail _FAXX EMAIL darueschhoff@hollandhart.com tnelson@holland hart.com awiensen@holland hart.com aclee@holland hart.com glgarganoamari@hollandhart.com FTP Site _Hand Delivered _U.S. Mail _Overnight Mail _FAXX EMAIL iswier@micron.com _ FTP Site i )rLGe^t &^Ek- Stacy Gust, Regulatory Administrative Assistant Micron Technology, lnc. Austin Rueschhoff Thorvald A. Nelson Austin W. Jensen Holland & Hart LLP 555 17th Street, Suite 3200 Denver, CO 80202 Micron Technology, lnc. Jim Swier 8000 S. FederalWay Boise, lD 83707 JOINT MOTION TO SUSPEND PROCEDURAL SCHEDULE .7