20220211Application.pdf

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An DACORP Compony
DONOVAN E. WALKER
Lead Counsel
[e-mail]
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Enclosures
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February 1'1,2022
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-22-04
Twin Falls Energy Company, lnc.
ldaho Power Company's Application re the Second Amendment to the
Energy Sales Agreement from the Low Line Midway Hydro Project
Dear Ms. Noriyuki
Attached for electronic filing is Idaho Power Company's Application in the above
entitled matter. lf you have any questions about the attached documents, please do not
hesitate to contact me.
Very truly yours,
2datl<-
Donovan E. Walker
DONOVAN E. WALKER (!SB 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 UTIL]TIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR
APPROVAL OR REJECTION OF A
SECOND AMENDMENT TO THE FIRM
ENERGY SALES AGREEMENT WTH TWIN
FALLS ENERGY COMPANY, INC FOR THE
SALE AND PURCHASE OF ELECTRIC
ENERGY FROM THE LOW LINE MIDWAY
HYDRO PROJECT.
CASE NO. IPC-E-22-M
APPLICATION FOR APPROVAL
OF SECOND AMENDMENT TO
FIRM ENERGY SALES
AGREEMENT
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ldaho Power Company ("!daho Powed), 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 Second Amendment ("Amendment") to the Firm
Energy Sales Agreement (.FESA") between ldaho Power and Twin Falls Energy
Company, lnc, ("Selle/') under which Seller sells and ldaho Power purchases electric
energy generated by the Low Line Midway 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 a FESA on June
27,2OO5, for the purchase and sale of energy produced by the Facility. This FESA was
approved by the Commission in Order No. 29863 on September 8, 2005.
2. Section 6.2.3 of the FESA provides the Seller with the option to adjust the
monthly estimated Net Energy Amounts ('NEA") within a specified time period. After the
execution and approva! of the FESA, 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 Selle/s Adiustment of Estimated Net Enerqy 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 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
to submit a revised schedule no later than September 25th or
the last business day prior to September 25th.
APPLICATION -2
a.) This revision must be submitted using the electronic
portal provided by ldaho Power if available. lf the electronic
portal is not available, then written notice must be provided
to ldaho Power by electronic notice (electronic mail) as
agreed 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. Except as othenrvise
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 to the FESA to modify the NEA adjustment period was
executed by the Parties on February 8, 2022 and February 9, 2022. The Amendment
does not otherwise change any of the obligations of the Parties set forth in the FESA. 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.
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
1221 West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
dwa [e-mail]
d [e-mail]
Energy Contracts
ldaho Power Company
1221 West ldaho Street (83702)
P.O. Box 70
Boise, ldaho 83707
enerovcontracts@ idahopower. com
APPLICATION - 3
V. REOUEST 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 reiecting the Amendment between ldaho Power and the Seller.
Respec'tftrlly submitted this 11h day of February 2022.
Mz&t4-
DONOVAN E. WALKER
Attomey for ldaho Power Company
APPLICATION.4
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on this 11tt'day of February 2022,1 served a true and
correct copy of the within and foregoing APPLICATION upon the following named parties
by the method indicated below, and addressed to the following:
Roger Blass
Director- Twin Falls Energy lnc.
Low Line Midway Hydro Project
P.O. Box 326
Twin Falls, lD 83303
Louis Zamora
Twin Falls Energy lnc.
Low Line Midway Hydro Project
P.O. Box 326
Twin Falls, lD 83303
_Hand Delivered
_U.S. Mail
_Overnight Mail
_FAXX Email - [e-mail]
Christy Davenport, Legal Assistant
APPLICATION - 5
SECOND AMENDMENT
TO TIIE
ENERGY SALES AGREEMENT
BETWEEN
IDAHO POWER COMPAI\Y
AI\D
TWIN FALLS ENERGY COMPAI\Y,INC.
This Second Amendment of the Energy Sales Agreement ("Second Amendment") is
entered into on this 9th day of February 2022,by and between Idaho Power Company, an Idaho
corporation ("ldaho Power"), and Twin Falls Energy Company, Inc. ("Seller") (individually a
"Part5/" and collectively the "Parties").
WHEREAS, Idaho Power and the Seller entered into a Firm Energy Sales
Agreement ("FESA") on June 27, 2005 (the "Agreement") for the purchase and sale of
generation produced by the Low Line Midway Hydro PURPA Qualifuing Facility that was
approved by the Idaho Public Utilities Commission's ("[PUC") in Order No. 29863 issued
September 8,2005; and
WFIEREAS, Idaho Power entered into a First Amendment to the FESA on September
8,2014 with the Seller to amend the definition of Mid-Columbia Market Energy Cost; 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 three-
month advanced notice to the 25h day of the month that is prior to the month to be revised. tf the
25ff day of the month falls on a weekend or holiday, then written notice must be received
on the last business day prior to the 25& 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:
l. Incorporation of Recitals. The above-stated recitals are incorporated into and made a part of
this Agreement, as amended, 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 Adiustment of Estimated Net Enerev 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
25th day of the month that is prior to the month to be revised. If the 25ft 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 to submit a revised
schedule no later than September 25ft or the last business day prior to September 25th.
Energy Sales Agreement
Project: 31615130 Low Line Midway Hydro Project
Second Amendment - Page I of 3
a.) This revision must be submitted using the electronic portal provided by
Idaho Power if available. If the electronic portal is not available, then
written notice must be provided to Idaho Power by electronic notice
(electronic mail) as agreed by both Parties.
b.) If 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 otherwise provided in the
Agreement, Idaho Power is unable to accept any requested changes to the
Estimated Net Energy Amounts if the date and time that Idaho Power
receives the requested change is after the deadline.
3. Commission Approval. The obligations of the Parties under this Second Amendment are
subject to the IPUC's approval of this Second Amendment and such approval being upheld on
appeal, if any, by a court of competent jurisdiction. The Parties will submit this Second
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 Second Amendment, the
Agreement shall remain in full force and effect.
5. Capitalized Terms. All capitalized terms used in this Second Amendment and not defined
herein shall have the same meaning as used in the Agreement.
6. Scope of Amendment. This Second 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 Second Amendment.
8. Counterparts. This Second 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: 31615130 Low Line Midway Hydro Project
Second Amendment - Page 2 of 3
IN WITTIESS WHEREOF, thc Parties hen*o have caused this Second Amendment to be
duly executed as of thc date above writlcn-
TWIN F COMPA}.IY,INC. IDAHO ANY
By:By
Name:Roger Blase Name:
1;gs; Dlrector-Twln Falls Energy lnc.Title:
p6s2 2l8li2022
Encrly SakuAgromart
ProJccc ll6lJl3l) Low Lhr MHwry Hydro Pojcct
SGcoad Amar&ncnt - Frgc 3 of 3