20220408Replacement Compliance Filing - Redacted.pdf

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AN IDACORP COMENY
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DONOVAN E. WALKER
Lead Counsel
dwa lker@ida hopower.com
April 8, 2022
VIA ELECTRONIC MAIL
Jan Noriyuki, Secretary
ldaho Public Utilities Commission
11331 West Chinden Blvd., Building 8
Suite 201-A
Boise, ldaho 83714
Re Case No. IPC-E-21-35
ldaho Power Company's Application to Update the Gas Forecast in the
lncremental Cost lntegrated Resource Plan Avoided Cost Model
Dear Ms. Noriyuki
Attached for electronic filing is ldaho Power Company's Replacement Compliance
Filing re Natural Gas Forecast in the above entitled matter. !f you have any questions
about the aftached documents, please do not hesitate to contact me.
Attachment No. 1 to ldaho Power Company's Replacement Compliance Filing re
Natural Gas Forecast is confidential. Please handle the confidential information in
accordance with the Protective Agreement to be executed in this matter.
Very truly yours,
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Donovan E. Walker
DEW:cld
Enclosures
DONOVAN E. WALKER (1SB No. 5921)
ldaho Power Company
1221 West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
Telephone: [phone]
Facsimile: [phone]
dwa [e-mail]
Attorney for ldaho Power Company
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF IDAHO POWER
COMPANY'S COMPLIANCE FILING TO
UPDATE THE LOAD AND GAS
FORECASTS IN THE INCREMENTAL
COST INTEGRATED RESOURCE PLAN
AVO!DED COST MODEL.
CASE NO. !PC-E-21-35
REPLACEMENT COMPLIANCE
FILING RE NATURAL GAS
FORECAST
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Idaho Power Company ("!daho Powe/') hereby respectfully submits to the ldaho
Public Utilities Commission ("Commission") the accompanying natural gas forecast
submittal in compliance with Final Order No. 35344 in the above-captioned case. This
filing replaces the compliance filing submitted on March 31,2022, which used 2040 as
the final year of forecast pricing. Subsequent to the Commission's April 4,2022, Errata
to Order No. 35344 correcting the final year of forecast pricing trom 2014 to 2041, the
Company now submits this replacement Compliance Filing to include the additionalyear
2041.
REPLACEMENT COMPLIANCE FILING RE NATURAL GAS FORECAST - 1
!. INTRODUCTION AND BACKGROUND
On October 15,2021,ldaho Powerfiled its annual update to its load forecast,
natural gas price forecast, and contracts used as inputs to calculate its incremental cost
lntegrated Resource Plan avoided cost rates. The Company subsequently filed two
supplemental updates to this initial filing. On January 21,2022, the Commission issued
Order No. 35294 approving the Company's updated load forecast and contracts used as
inputs but rejected the Company's natural gas forecast. On February 11,2022, the
Company asked for clarification/reconsideration regarding how the Commission intended
the Company to revise its natural gas forecast. On March 10,2022, in Order No. 35344,
the Commission directed ldaho Power Company to: (1) use NYMEX forwards prices as
of October 15, 2021, for years 2022, 2023, and 2024 of the 2O-year forecast; (2) use an
average of year 2025 NYMEX forwards prices and year 2025 of the July 2021 vintage
Platts forecast for year 2025 of its forecast; (3) use the July 2021 vintage Platts forecast
for the remaining years of the forecast (years 2026-2041)1; and (4) submit the update 20-
year forecast as a compliance filing.
II. THE FILING
ldaho Power provides herewith the updated natural gas forecast in accordance
with the Commission's direction from Order No. 35344 as CONFIDENTIAL Attachment
A.
l The July 2021 vintage Platts forecast only provides values through 2O40. After consultation with
Commission Staff, ldaho Power used a linear regression analysis of the last five years of the Platts
forecast, 2036 through 2040, to produce a forecast value for 2041.
REPI.ACEMENT COMPLIANCE FILING RE NATURAL GAS FORECAST - 2
III. REQUEST FOR RELIEF
ldaho Power respectfully requests that the Commission accept this revised natural
gas forecast in compliance with the Commission's directives in this proceeding and Order
No.35344.
Respecttully submitted this 8th day of April 2022.
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DONOVAN E. WALKER
Attorney for ldaho Power Company
REPLACEMENT COMPLIANCE FILING RE NATURAL GAS FORECAST - 3
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on the 8th day of April2022 ! served a true and correct
copy of the within and foregoing Replacement Compliance Filing re Natural Gas Forecast
upon the following named parties by the method indicated below, and addressed to the
following:
Riley Newton!
ldaho Public Utilities Commission
P.O. Box 83720
Boise, lD 83720-0074
via emailto:
rilev. newton@puc. idaho.oov
Christy Davenport, Legal Assistant
REPLACEMENT COMPLIANCE FILING RE NATURAL GAS FORECAST - 4
BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
GASE NO. IPC-E-21-35
IDAHO POWER COMPANY
REDAGTED
ATTACHMENT 1
Attachment A
Compliance Filing I PC-E-2 1-35
Natural Gas Forecast as of October 15,202L
Year s Forecast