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HomeMy WebLinkAbout20230518Final_Order_No_35785.pdfORDER NO. 35785 1 Office of the Secretary Service Date May 18, 2023 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF IDAHO POWER COMPANY’S APPLICATION FOR APPROVAL OF A SECOND AMENDMENT OF THE ENERGY SALES AGREEMENT FOR THE SALE AND PURCHASE OF ELECTRIC ENERGY FROM THE TROUT- CO HYDRO PROJECT ) ) ) ) ) ) ) ) CASE NO. IPC-E-23-04 ORDER NO. 35785 On February 16, 2023, Idaho Power Company (“Company”) applied for approval of the Second Amendment (“Second Amendment”) to its Energy Sales Agreement (“ESA”) with Michael Branchflower. The Company represents the Second Amendment updates the Seller’s name in the ESA from Michael Branchflower (“Branchflower”) to Von Alan Industries, LLC (“Von Alan” or “Seller”). Application at 3. On March 23, 2023, the Commission issued a Notice of Application and Notice of Modified Procedure establishing public comment and Company reply deadlines. Order No. 35715. Staff filed comments. No other comments were received. With this Order, we approve the Second Amendment. BACKGROUND The Company stated the Commission approved the ESA entered by the Company and Branchflower in Case No. IPC-E-21-16, Order No. 35239. A first amendment to the ESA was approved by the Commission in Case No. IPC-E-21-26 which updated the ESA “to include the appropriate published cost appendices for pricing generation delivered to Idaho Power as directed by the Commission in Order No. 35239.” Id. at 2; Order No. 35425. THE APPLICATION The Company stated that Branchflower sold the Facility to Von Alan, after which the Company, Branchflower, and Von Alan entered a Consent, Assignment, and Assumption Agreement (“Agreement”) that became effective on January 23, 2023. The Company stated that, pursuant to the Agreement, Von Alan assumed Branchflower’s rights and obligations under the ESA. The Parties requested to amend the ESA so Von Alan can be listed as the Seller. ORDER NO. 35785 2 STAFF COMMENTS Staff reviewed the proposed Second Amendment and notes it only changes the Seller’s name as described above without affecting the Parties contractual obligations. Staff recommended the Commission approve the Company’s proposed Second Amendment as filed. COMMISSION FINDINGS AND DECISION The Commission has jurisdiction over this matter under Idaho Code §§ 61-502 and 61- 503. The Commission is empowered to investigate rates, charges, rules, regulations, practices, and contracts of public utilities and to determine whether they are just, reasonable, preferential, discriminatory, or in violation of any provision of law, and to fix the same by order. Idaho Code §§ 61-502 and 61-503. The Commission also has authority under Public Utility Regulatory Policies Act of 1978 (“PURPA”) and Federal Energy Regulatory Commission (“FERC”) regulations to set avoided cost rates, to order electric utilities to enter fixed-term obligations for the purchase of energy from QFs, and to implement FERC rules. The Commission may enter any final order consistent with its authority under Title 61 and PURPA. The Commission has reviewed the record, including the Application, the Second Amendment, and Staff’s comments. The purpose of the Second Amendment is to clearly set forth the Seller’s identity in the ESA as Von Alan, with the consent of the Company, who has assumed all rights and duties of the “seller” under this contract. The Commission finds it is clearly in the public interest to approve the Second Amendment so that the ESA correctly and legally sets forth the parties to it. ORDER IT IS HEREBY ORDERED that the Company’s Second Amendment is approved; the name of the Seller shall be updated in the ESA. THIS IS A FINAL ORDER. Any person interested in this Order may petition for reconsideration within twenty-one (21) days of the service date of this order about any matter decided in this Order. Within seven (7) days after any person has petitioned for reconsideration, any other person may cross-petition for reconsideration. Idaho Code § 61-626. ORDER NO. 35785 3 DONE by order of the Idaho Public Utilities Commission at Boise, Idaho this 18th day of May 2023. ERIC ANDERSON, PRESIDENT JOHN R. HAMMOND JR., COMMISSIONER EDWARD LODGE, COMMISSIONER ATTEST: Jan Noriyuki Commission Secretary I:\Legal\ELECTRIC\IPC-E-23-04 TroutCo\orders\IPCE2304_Final_md.docx