20230523Notice_of_Application_Order_No_35790.pdf

NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 35790 1
Office of the Secretary
Service Date
May 23, 2023
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF IDAHO POWER
COMPANY’S APPLICATION FOR
AUTHORITY TO IMPLEMENT CHANGES
TO THE COMPENSATION STRUCTURE
APPLICABLE TO CUSTOMER ON-SITE
GENERATION UNDER SCHEDULES 6, 8,
AND 84 AND TO ESTABLISH AN EXPORT
CREDIT RATE
)
)
)
)
)
)
)
)
)
CASE NO. IPC-E-23-14

NOTICE OF APPLICATION

NOTICE OF
INTERVENTION DEADLINE

ORDER NO. 35790

On May 1, 2023, Idaho Power Company (“Company”), filed an application
(“Application”) with the Idaho Public Utilities Commission (“Commission”) proposing changes
to the Company’s on-site and self-generation tariffs.
The Company requests that the Commission authorize: (1) real-time net billing with an
avoided cost-based financial credit rate for exported energy; (2) a methodology for determining
annual updates to the Export Credit Rate (“ECR”); (3) a modified project eligibility cap for
commercial, industrial, and irrigation (“CI&I”) customers; (4) related changes to the accounting
for and transferability of excess net energy financial credits, and (5) updated tariff schedules
necessary to administer the modified on-site generation offering. The Company requests an
effective date of January 1, 2024.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that the Company represents that its recommendations
are guided by the following objectives: (1) recommend a compensation structure that will
accurately measure a customer-generator’s use of the system – both in recording exported energy
and usage; (2) apply methods that will result in a fair and accurate valuation of customers’ exported
energy; (3) implement a repeatable method for updating the Export Credit Rate that will ensure
timely recognition of changing conditions on Idaho Power’s system and the broader power markets
which may warrant changes to the ECR; (4) balance accuracy with customer understandability.
Application at 15-16.
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 35790 2
YOU ARE FURTHER NOTIFIED that the Company represents that the proposed changes
to the on-site generation service offerings would only apply to non-legacy1 customers taking
service under Schedules 6, 8, and 84. Customers with legacy systems will continue to take service
under the rules of monthly net energy metering (“NEM”) until legacy status terminates. Id. at 16.
YOU ARE FURTHER NOTIFIED that the Company is proposing a real-time net billing
with an avoided cost-based financial credit rate for exported energy. The Company states that the
customer-generator will first consume any of their generation on-site, and any generation they are
not consuming will be metered and exported to the grid at a defined ECR. The Company represents
that customers will generate financial credit, based on the product of measured exported energy
and the ECR, that can be monetized to offset current or future charges associated with utility-
provided service. Id. at 17-18.
YOU ARE FURTHER NOTIFIED that the Company is proposing a seasonal and time
variant ECR to compensate for energy and other elements associated with avoided capacity, line
losses, and integration costs.

Id. at 19-20.

1 “Legacy” systems for Schedules 6 and 8 are systems that were installed or purchased by December 20, 2019, and
that meet other eligibility requirements. Order Nos. 34509 and 34546. “Legacy” systems for Schedule 84 are systems
that were installed or purchased by December 1, 2020, and that meet other eligibility requirements. Order No. 34854.
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 35790 3
YOU ARE FURTHER NOTIFIED that the Company is also seeking a change in how the
project eligibility cap is defined for Schedule 84 customers. The Company is proposing that the
Schedule 84 project eligibility cap be set at the greater of 100 kW or 100 percent of demand at the
service point for commercial, industrial, and irrigation customers. Id. at 20-21.
YOU ARE FURTHER NOTIFIED that the Company represents that for purposes of
administering the cap, the Company proposes using the maximum billing demand from the last 12
months, measured when the customer generation application is submitted. Id. at 22. The Company
states that for irrigation customers without a full in-season billing history, a conversion factor
related to the horsepower of the customers’ pump(s) at the service point would determine the
maximum demand. Id.
YOU ARE FURTHER NOTIFIED that the Company represents that for customers with
non-legacy systems, the Company will treat ECR expenditures as a net power supply expense
(“NPSE”) subject to 100 percent recovery through the Company’s Power Cost Adjustment
(“PCA”). Id. at 23-24.
YOU ARE FURTHER NOTIFIED that the Company proposes that financial credits may
offset all billing components of the bill, not just the energy-related portion of a customer bill. Id.
at 24.
YOU ARE FURTHER NOTIFIED that the Company represents that customers with non-
legacy systems will be able to transfer financial credits to another account held in their name for
their own usage, which will be administered similar to the Company’s current NEM service
offering for customers transferring kilowatt hour (“kWh”) credits; however, the Company is not
proposing to change the transferability of kWh credits for legacy customers. Id.
YOU ARE FURTHER NOTIFIED that the Company proposes that accumulated kWh
credits held at service points with non-legacy systems will be converted to financial credits one
year after the effective date of a Commission-authorized change in compensation structure. Id. at
25.
YOU ARE FURTHER NOTIFIED that the Company represents it will issue a news release
and will directly notify its customers of the Application with a bill insert included with their next
billing cycle. Id. at 26-27. The Company will also send direct-mail letters to all existing and
pending on-site generation customers and will have information regarding its proposals on its
website. Id. at 27.
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 35790 4
YOU ARE FURTHER NOTIFIED that the Application and supporting documentation
have been filed with the Commission and are available for public inspection during regular
business hours at the Commission’s office. These documents are also available on the
Commission’s website at www.puc.idaho.gov. Click on the “ELECTRIC” icon, select “Open
Cases,” and click on the case number as shown on the front of this document.
YOU ARE FURTHER NOTIFIED that the Commission has jurisdiction over the
Company, its filing, and the issues pertaining to this case pursuant to Title 61 of the Idaho Code.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be conducted
pursuant to the Commission’s Rules of Procedure, IDAPA 31.01.01.000 et seq.
NOTICE OF INTERVENTION DEADLINE
YOU ARE FURTHER NOTIFIED that persons desiring to intervene in this matter to
obtain parties’ rights of participation must file a Petition to Intervene with the Commission
pursuant to this Commission’s Rules of Procedure 71-73, IDAPA 31.01.01.072-073. Persons who
wish to intervene as a party must file a Petition to Intervene no later than 21 days after the
service date of this Order. Persons desiring to present their views without parties’ rights of
participation do not have to intervene and may present their comments without prior notification
to the Commission or the parties.
YOU ARE FURTHER NOTIFIED that the Commission Secretary shall issue a Notice of
Parties after the deadline for intervention has passed. The Notice of Parties shall assign exhibit
numbers to each party in this proceeding.
YOU ARE FURTHER NOTIFIED that once the Notice of Parties is issued, Commission
Staff (“Staff”) will informally confer with the parties to discuss a schedule to process this case and
other issues as may be raised by the parties.
YOU ARE FURTHER NOTIFIED that the following persons are designated as the
Company’s representatives in this matter:
Lisa D. Nordstrom
Megan Goicoechea Allen
IPC Dockets
1221 West Idaho Street (83702)
P.O. Box 70
Boise, Idaho 83707
[e-mail]
[e-mail]
[e-mail]
Timothy Tatum
Connie Aschenbrenner
Grant Anderson
1221 West Idaho Street (83702)
P.O. Box 70
Boise, Idaho 83707
[e-mail]
[e-mail]
[e-mail]
NOTICE OF APPLICATION
NOTICE OF INTERVENTION DEADLINE
ORDER NO. 35790 5

ORDER
IT IS HEREBY ORDERED that persons desiring to intervene in this case for the purpose
of obtaining parties’ rights of participation must file a Petition to Intervene with the Commission,
under Rules 71-73, IDAPA 31.01.01.071-073, no later than 21 days after the service date of this
Order.
IT IS FURTHER ORDERED that, after the Secretary issues a Notice of Parties, Staff will
informally confer with the parties to discuss the appropriate scheduling of this case.
IT IS FURTHER ORDERED that parties comply with Order No. 35375, issued April 21,
2022. Generally, all pleadings should be filed with the Commission electronically and will be
deemed timely filed when received by the Commission Secretary. See Rule 14.02. Service between
parties should continue to be accomplished electronically when possible. However, voluminous
discovery-related documents may be filed and served on CD-ROM or a USB flash drive.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 23rd 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-23-14_On-Site Gen\orders\IPCE2314_Ntc_App_Int_cb.docx