20210826Application.pdf

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DONOVAN E. WALKER
Lead Counsel
[e-mail]
August 26,2021
VIA ELECTRONIC MAIL
Jan Noriyuki, Secretary
ldaho Public Utilities Commission
11331 West Chinden Blvd., Building I
Suite 201-A
Boise, ldaho 83714
Re: Case No. IPC-E-21-31
Shorock Hydro lnc. - Rock Creek #1 Hydro Project
ldaho Power Company'sApplication re the FirstAmendment to the Energy
SalesAgreement
Dear Ms. Noriyuki:
Attached for electronic filing is ldaho Power Company'sApplication forApproval of
the FirstAmendment to Energy SalesAgreement in the above entitled matter. lf you have
any questions about the attached documents, please do not hesitate to contact me.
Very truly yours,
2dal/<-
Donovan E. Walker
DEW:cld
Enclosures
DONOVAN E. WALKER (lSB No. 5921)
ldaho Power Company
1221 West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
Telephone: [phone]
Facsimile: [phone]
dwalker@ idahooower. com
Attorney 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 THE
FIRST AMENDMENT TO THE ENERGY
SALES AGREEMENT WTH SHOROCK
HYDRO, INC. FOR THE SALE AND
PURCHASE OF ELECTRIC ENERGY
FROM THE ROCK CREEK#I HYDRO
PROJECT
CASE NO. IPC-E-21-31
APPLICATION FOR APPROVAL
OF THE FIRST AMENDMENT
TO ENERGY SALES
AGREEMENT
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ldaho Power Company ("ldaho 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 Idaho Power and Shorock Hydro, lnc., ("Seller') under
which Seller sells and ldaho Power purchases electric energy generated by the Rock
Creek #1 Hydro project ("Facility") which is a PURPA Qualiffing Facility.
APPLICATION - 1
ln support of this Application, ldaho Power represents as follows:
I. INTRODUCTION AND BACKGROUND
1. Idaho Power and the Seller (ointly, "Parties") entered into an ESA on
September 25,2017, tor the purchase and sale of energy produced by the Facility. This
ESA was approved by the Commission in Case No. IPC-E-17-14, Order No. 33949, on
December 13,2017. The Parties have now entered into this First Amendment to the ESA
to provide for notice of Net Energy Amounts ("NEA'1 monthly adjustments, by the 25th of
each month.
2. Section 6.2.3 of the ESA provides the Seller with the option to adjust the
monthly estimated 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:
6.2.2 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 25th day of the month that is
prior to the month to be revised. lf the 25th day of the month
falls on a weekend or holiday, then written notice must be
received on the last business day prior to the 25th day of the
month. For example, if the Seller would like to revise the
Estimated Net Energy Amount for October, they would need
APPLICATION - 2
to submit a revised schedule no later than September 25th or
the last business day prior to September 25th.
a.) This revision must be submitted using the electronic
porta! provided by ldaho Power if available. lf the electronic
porta! is not available, then written notice must be provided
to ldaho Power by elec{ronic notice (electronic mail) as
agreed by both parties.
b.) !f 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. Except as othenrise
provided in this Agreement, ldaho Power is 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 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 Commission's 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
!V. 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
Idaho Power Company
1221 West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
dwalker@ id ahopower.com
d ockets@ id ahopower.com
Energy Contracts
ldaho Power Company
1221West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
energvcontracts@ idahopower. com
APPLICATION - 3
V.W
7. ldaho Pmrer respectftJlty requests that the Commiesion issue an order: (1)
authorizing that this matter may be pro@ssed by Modified Procedure and (2) accepting
or reJecting the Amendment between ldaho Power and the Seller.
Reepectfrrlly submitted this 26s day of August 2021.
A,*Zrlet4-
DONOVAN E. WALKER
Atbmey for ldaho Potrer Company
APPLICATION -4
CERTIFICATE OF SERVICE
t HEREBY CERTIFY that on the 26th day of August 2021,1 served a true and
correct copy of the within and foregoing APPLICATION FOR APPROVAL OF THE FIRST
AMENDMENT TO ENERGY SALES AGREEMENT upon the following named parties by
the method indicated below, and addressed to the following:
Brett Van Wagoner
Shorock Hydro lnc
P.O. Box 1787
Twin Falls, lD 83303
_Hand Delivered
_U.S. Mail
_Overnight Mail
_ FAXX [e-mail]
Christy Davenport, Legal Assistant
APPLICATION - 5
BEFORE THE
IDAHO PUBLIG UTILITIES COMMISSION
GASE NO. IPC-E-21-31
IDAHO POWER COMPANY
ATTACHMENT 1
FIRST AMEIYDMENT
TO TIIE
ENERGY SALES AGREEMENT
BETWEEN
IDAHO POWER COMPAIYY
AND
sHoRocK rfYDRo, rNC.
This First Amendment ofthe Energy Sales Agreement ("First Amendmenf') is entered into
on this 12fi day of August 2021, by and between Idaho Power Company, an Idatro corporation
("Idaho Power"), and Shorock Hydro, [nc., ("Seller") (individually a"Patiy" and collectively the
"Parties").
WHEREAS, Idatro Power and Seller entered into an Energy Sales Agreement ("ESA") on
September 25,fi,20!7, (the "Agreement") for the purchase and sale of generation produced by the
Seller's Rock Creek #1 hydro PURPA Qualifting Facility with a Maximum Capacity Amount of
2.166 MW that was approved by the Idaho Public Utility Commission's ("IPUC") Order No.
33949; and
WHEREAS, Seller and Idaho Power desire to amend Article 6.2.3 of the Agreement to
include a change to the notification of Net Energy Amount monthly adjustments from one-month
advanced notice to the 25n day of the month that is prior to the month to be revised. If the 25n day
of the month falls on a weekend or holiday, then written notice must be received on the last
business day prior to the 25fi day of the month;
NOW, THEREFORE, in consideration of the foregoing, and for other good and valuable
consideration, the receipt and adequacy of which are hereby acknowledged, and intending to be
legally bound, the Parties hereto agree as follows:
1. Incorporation of Recitals. The above-stated recitals are incorporated into and made a part of
this Agreement by this reference to the same extent as if these recitals were set forth in full 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 Seller's Adjustment of Estimated Net Energy Amounts After the Operation Date - After
the 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
25n day of the month that is prior to the month to be revised. If the 25n day of the month
falls on a weekend or holiday, then written notice must be received on the last business
day prior to the 25h 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 later than Septemb er 25h or the last business day prior to September 256.
a.) This revision must be submitted using the electronic portal provided by
Idaho Power if available. If portal is not available, then written notice must
Energy Sales Agreement
Project: 31615004 Rock Creek #l Hydro
First Amendment - Page I of 3
be provided to Idaho Power by electonic notice (electronic mail) as agreed
by both parties.
b.) Failure to provide timely written notice of changes to the Estimated Net
Energy Amounts will be deemed to be an election of no change from the
most recently provided Estimated Net Energy Amounts.
3. Commission Approval. The obligations ofthe Parties underthis First Amendment are subject
to the IPUC's approval of this First Amendment and such approval being upheld on appeal, if any,
by a court of competent jurisdiction. The Parties will submit this First Amendment to the IPUC
and request approval or rejection in its entirety pursuant to RP 274.
4. Effect of Amendment. Except as expressly amended by this First Amendment, the Agreement
shall remain in full force and effect.
5. Capitalized 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 benefit
of the Parties hereto, and their respective heirs, executors, administrators, successors, and assigns,
who are obligated to take any action which may be necessary or proper to carry out the purpose
and intent thereof.
7. Authority. Each Party represents and warrants that (i) it is validly existing and in good
standing in the state in which it is organized, (ii) it is the proper party to amend the Agreement,
and (iii) it has the requisite authority to execute this First Amendment.
8. Counterparts. This First Amendment may be executed in any number of counterparts, each
of which shall be deemed an original and all of which taken together shall constitute a single
instrument.
Energy Sales Agreement
Project: 31615004 Rock Creek #l Hydro
First Amendment-Page2 of 3
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