HomeMy WebLinkAbout20220415Customer Notice and Press Release.pdf-ETDFffi.NEWSRELEASE
ldaho Power Files Annual Power Cost Adjustment
Aprilt5,2022
BOISE, ldaho - ldaho Power has filed the final piece of its annual spring cost adjustments with the
ldaho Public Utilities Commission (IPUC). This yea/s Power Cost Adjustment (PCA) calls for a price
increase across all customer classes as a result of higher power costs related to last summe/s
unprecedented heatwave and lower hydro generation because of drought conditions.
Neither ldaho Power nor its shareholders receive any financial return from this filing, which is a request
for StOg.+ million. The money collected is used solely to recover expenses associated with annual
fluctuations in power costs.
"We are sensitive to the impacts rate increases have on our customers and work hard to serye our
growing number of customers with prices that remain 20%to 30% lower than the rest of the nation,"
said Ryan Adelman, Vice President for Power Supply. "Unfortunately, the drought and last summe/s
record heatwave resulted in higher-than-expected overall power supply costs. Recovering these costs
helps us maintain the reliable service our customers depend on."
The overall impact to residential customer bills on June 1 depends on the outcome of three filings:
The annual PCA, filed today, is a cost-recovery tool that passes on both the benefits and costs of
supplying energy to ldaho Power customers. lf the PCA proposal is approved by the IPUC as
filed, the typical ldaho residential customer using 950 kilowatt-hours (kwh) of energy per month
will see a 56.54 increase on their bill related to this request.
The annual Fixed Cost Adjustment (FCA), filed in March and applicable to only residential and
small commercial customers, adjusts prices based on changes in energy use per customer during
the previous year. lf the FCA proposal is approved as filed, a typical tdaho residential customer
will see a 50.81 decrease on their bill related to this request.
a
a
a ldaho Power has requested a price increase to collect the cost of an accelerated depreciation
schedule for all coal-related investments at the Jim Bridger Power Plant in Wyoming. lf approved
as filed, a typical ldaho residential customer will see a 52.07 increase on their bill related to this
request.
The impact of these three filings for all ldaho customers is shown in the table below. A typical ldaho
residential customer will see an overall monthly increase of 57.80. The actual percentage of change will
depend on a custome/s classification and the rate they pay.
2022 RATE FITINGS
Percentoge Chonge from Current Billed Revenue
Filing Overall
Percentage
lmpact
Residential Small
General
Service
Large
General
Service r
Large Power 2 lrrigation
PCA3 8.27%6.550,/0 5.24%9.18%L2.LOo/o 8.46%
FCA -0.39%-O.8lo/o -o.82%N/A N/A N/A
Bridger 2.17%2.O8%L.99%2.24%2.23%2.30%
Combined
lmpact c
LO.OSYo 7.82%6.4L%tt.43%L4.33%10.7s%
r lncludes lighting schedules; z lncludes special contracts; r lncludes revenue sharing;rTotals may not
sum due to rounding
The PCA has two main components: the forecast and the backward-looking balancing adjustment. The
forecast reflects ldaho Powe/s anticipated fuel costs, purchased power costs and customer benefits
from sales of surplus energy for the coming April through March. The balancing adjustment brings last
yea/s forecasted costs in balance with costs actually incurred by ldaho Power by looking back at what
happened the previous Aprilthrough March.
The increase in this yea/s PCA is attributed to last year's actual power supply costs, which exceeded the
forecast, driven by lower-than-expected hydro generation, high natural gas prices and high market
prices. ldaho Power experienced higher power costs than it has in the past due to the record-setting
heat wave of summer 2021, during which the company exceeded its previous al!-time peak load for five
consecutive days.
This yea/s PCA forecast also reflects expected increases to costs primarily due to continued drought
conditions, which would result in less low-cost hydro generation available to serve customers, and
higher costs associated with power purchase agreements under the Public Utility Regulotory Policies Act
of 7978 (PURPA).
Opportunities for Public Review
ldaho Powe/s proposal is subject to public review and approval by the IPUC. Copies of the application
are available to the public at the IPUC offices (11331W. Chinden Blvd. Building 8, Suite IOL-A, Boise, lD
837L4l,ldaho Power offices, or at idahopower.com or puc.idaho.sov. Customers also may subscribe to
the IPUC's RSS feed to receive periodic updates via email about the case. Written comments regarding
ldaho Powe/s proposal may be filed with the IPUC.
About ldaho Power
ldaho Power, headquartered in vibrant and fast-growing Boise, ldaho, has been a locally operated
energy company since 1915. Today, it serves a 24,000-square-mile area in ldaho and Oregon.
The company's goalto provide 100% clean energy by 2O45 builds on its long history as a clean-energy
leader that provides reliable service at affordable prices. With 17 low-cost hydroelectric projects at the
core of its diverse energy mlf ldaho Power's residential, business and agricuhural customers pay among
the nation's lowest prices for electricity. lts 2,000 employees proudly sen/e more than 500,000
customers with a culture of safety first, integrity always and respect for all.
IDACORP lnc. (NYSE: !DA), ldaho Powe/s independent publlcly traded parent company, is also
headquarteredinBoise,ldaho.Tolearnmore,visit!g[!9ryor!di!@.
Jordan Rodriguez
Communications Specialist
irod risuez@ ida hooower.com
208-388-2460
stmlpPo,lrER
1,. l-ricoRP c.nrr.tr.
Opportunities for Public Review
ldaho Power's proposal is subject to public review
and approval by the IPUC. Copies of the application
are available to the public at the IPUC offices (11331
W. Chinden Blvd. Building 8, Suite 201-A, Boise, lD
83714),ldaho Power offices, or at idahopower.com
or puc.idaho.gov, Customers also may subscribe to
the IPUC's RSS feed to receive periodic updates via
email about the case. Written comments regarding
ldaho Power's proposal may be filed with the IPUC.
Thank you for reading this notice.
We value your business.
sllmroP0i,ER.
An IDACORP Company
$ Printed on recyded paper.
ldaho Power Files Annual
Power Cost Adjustment
ldaho Power has filed the final piece of its annual
spring cost adjustments with the ldaho Public Utilities
Commission (IPUC). This year's Power Cost Adjustment
(PCA) calls for a price increase across all customer classes
as a result of higher power costs related to last summer's
unprecedented heatwave and lower hydro generation
because of drought conditions.
Neither ldaho Power nor its shareholders receive any
financial return from this filing, which is a request for
$103.4 million. The money collected is used solely to
recover expenses associated with annual fluctuations in
power costs.
02022 ldaho Power
31 t80-l-0178
The overall impact to residential customer bills on June 1
depends on the outcome of three filings:
o The annual PCA, filed today, is a cost-recovery tool
that passes on both the benefits and costs of supplying
energy to ldaho Power customers. lf the PCA proposal
is approved by the IPUC as filed, the typical ldaho
residential customer using 950 kilowatt-hours (kWh) of
energy per month will see a $6.54 increase on their bill
related to this request.
. The annual Fixed Cost Adjustment (FCA), filed in March
and applicable to only residential and small commercial
customers, adjusts prices based on changes in energy
use per customer during the previous year. lf the FCA
proposal is approved as filed, a typical ldaho residential
customer will see a $0.81 decrease on their bill related
to this request.
. ldaho Power has requested a price increase to collect
the cost of an accelerated depreciation schedule for
all coal-related investments at the Jim Bridger Power
Plant in Wyoming. lf approved as filed, a typical ldaho
residential customer will see a $2.07 increase on their
bill related to this request.
The impact of these three filings for all ldaho
customers is shown in the table below. A typical
ldaho residential customer will see an overall monthly
increase of $7.80. The actual percentage of change will
depend on a customer's classification and the rate they pay.
lrrigation
8.27o/o 6.550/o 5.240/o 9.18o/o 12.10o/o 8.460/0
-0.39o/o -0.81%-0.82o/o N/A N/A N/A
2.17%2.08o/o 1.99%2.24o/o 2.23o/o 2.30Yo
10.05Yo 7.82%6.410h 11,430/o 14.33%1O.75o/o
I lncludes lighting schedules;2 lncludes special contracts;3 lncludes revenue
sharing; { Totals may not sum due to rounding
The PCA has two main components: the forecast and the
backward-looking balancing adjustment. The forecast
reflects ldaho Power's anticipated fuel costs, purchased
power costs and customer benefits from sales of surplus
energy for the coming April through March. The balancing
adjustment brings last year's forecasted costs in balance
with costs actually incurred by ldaho Power by looking
back at what happened the previous April through March.
The increase in this year's PCA is attributed to last year's
actual power supply costs, which exceeded the forecast,
driven by lower-than-expected hydro generation, high
natural gas prices and high market prices. ldaho Power
experienced higher power costs than it has in the past due
to the record-setting heat wave of summer 2021, during
which the company exceeded its previous all-time peak
load for five consecutive days.
This year's PCA forecast also reflects expected increases
to costs primarily due to continued drought conditions,
which would result in less low-cost hydro generation
available to serve customers, and higher costs associated
with power purchase agreements under the Public Utility
Regulatory Policies Act of 7978 (PURPA).
Overall
Percentagelmp.d Reridcntial
Small
Gen.ral
Servi(€
Iargc
Gcneral
Seruicel
[a]ge
Powerr
2022 RATE FILINGS
PERCENTAGE CHANGE FROM CURRENT B{LLED
POWER COST ADJUSMENT (PCA)]
FIXED COST ADJUSMENT (FCA)
BRIDGER
COMBINED IMPACT4
bltLid.l
6.55%5.24o/o 9.18% 12.10%
-0.39%-0.81%-0.82o/o N/A N/A
202 ) RA1 t_ I luIJGS
PERCENTAGE (HANGE FROM CURR€I.JT BILLED REVENUE
POWER COST AD,USMENT (PCA}
=st[nHo PourER
Idaho Power
Files Annual
Power Cost
stment
,j,r'.
ldaho Por\/er has filed the fhEl piece of its annual sprhg co6t adjustments
with the ldaho Public LJtilities Commision (IPUC). This year's Power Cost
Adjustment (PCA) calls for a price increase across all customer classes as a
result of higher power costs related to last summer's unprecedented heatw'ave
and lower hydro generation because of drought conditions.
tleither Haho Fot/v€r nor its stwetdders rreive any financial retrm from this
f0n9 which is a request for 11034 mfion. The money colecEd b used edely
b recorerexperEes asociated with annual flucfuatiom in po,ver@sts,
The overall impact to residential customer bills on June 1 depends on the
outorn of three filing:
. Ihe annual PCA, filed today, b a cost-reco!€ry tool that passes on bo$ the
bene{its and costs of supplying energy to ldaho Poarcr custorners. lf the
PCA proposal is approrcd by the IPUC as filed, the typiol ldaho residential
customer using 950 kilor\ratt-hours (kwh) of energy per month will see a
t6.54 increase on their bill related to this requ6t.
. The annual Fved Cost Adjustment (FCA), filed in March and applicable to
only residential and small commercial cusbmers, adjusts prices based on
changes in energy use per cusbmer during the prwious year. lf the rcA
proposal is appror,ed as fihd, a tpical ldaho rcsidential customer willsee a
i0.81 decrease on their bill related to this request.
. ldaho Poiver has requested a price increase to collect the cost of an
accelerated depreciation schedule for all coal-related invEtments at
tle Jim Bddge Forver Plant in VWomirE. lf appocd as filed, a tnical
ldaho residential customer will see a $2.07 increase on their bill related
to this request.
Thc lmpect of tho* ftno filingr for d Hrho
customers is shown in the table belor. A typical
ldaho residential customer will see an orerall monthly
increase of $7.80. The actual percentage of change
will depend on a ormrnr's dasificatirn and the rate
they pay.
t lriFi
8.270h A.46o/0
2.17o/o 2.080/o 1.99o/o 2.24% 2.23o/o 2.300h
lighting 5chedules;, ln(lude5 spe(ial contracts; i ln(ludes revenue
Totals may nol rum due to roundlng
Contirud on rewrc side
I r0.0r* i 4ql i .!q j !illt ; tl{t* i !.15*
'ln(ludes!haiing;'
N/A
PRI-9ONTED
STANDARD
U,S, POSTAGE
PAID
BOI5E, ID
P€NMIT NO, 679
ldaho Power Files Annual Power Cost Adjustment
Continued frcm rcve6e side
The PCA has two marn components:
the forecast and the backwardlooking
balancing adjustment. The forecast reflects
ldaho Power's anticipated fuel costs,
purchased power costs and customer
benefits from sales of surplus energy for the
coming April through March. The balancing
adjustment brings last year's forecasted
costs in balance with costs actually incuned
by ldaho Power by looking back at what
happened the previous April through March.
The increase in this year's PCA is attributed
to last year's actual power supply costs,
which exceeded the forecast, driven by
lower-than-expected hydro generation, high
natural gas prices and high market prices.
ldaho Power experienced higher power costs
than it has in the past due to the record-
setting heat wave of summer 2021, during
which the company exceeded its previous
all-time peak load for five consecutive days.
sllorypPo,l,ER.
This year's PCA forecast also reflects
expected increases to costs primarily due to
continued drought conditions, which would
result in less low-cost hydro generation
available to serve customers, and higher
costs assocjated with power purchase
agreements under the Publk Wility
Reguhtory Policies Act of 7918 (PURPA).
Opportunities for Public Review
ldaho Power's proposal is subject to public
review and approval by the IPUC. Copies of
the application are available to the public at
the IPUC offices (11331 W. Chinden Blvd.
Building 8, Suite 201-A, Boise, lD 83714),
ldaho Power offices, or at idahopower,com
or puc.idaho.gov. Customers also may
subscribe to the IPUC'5 RSS feed to recei!,e
periodic updates via email about the case.
Written comments regarding ldaho Power's
proposal may be filed with the IPUC.
Thank you for reading this notice.
We value your busrhess.
lmoortantlnformation:
An IDACORP Companv
P.O. Box 70 (83707)
l22l W. ldaho 5t.
Boise, lD 83702
Please Note: We want to ensure all of our ct.stomers
ha,e sufficient timebs.6rnit @mmentsto tle lruC.
Because your bill is processed toward the end of the
IPUC's review of our request, you will receive this
notilkation twice: fi6t in tis pocftcard and then in
an insert in your bill later this month.