20230627Reply Comments.pdf

MEGAN GOICOECHEA ALLEN
Corporate Counsel
[e-mail]

June 27, 2023

VIA ELECTRONIC MAIL

Jan Noriyuki, Secretary
Idaho Public Utilities Commission
11331 West Chinden Blvd., Building 8
Suite 201-A
Boise, Idaho 83714

Re: Case No. IPC-E-23-15
SISW LFGE Project
Idaho Power Company’s Application for Approval of First Amendment to
the Energy Sales Agreement

Dear Ms. Noriyuki:

Attached for electronic filing is Idaho Power Company’s Reply Comments in the
above-entitled matter. If you have any questions about the attached document, please
do not hesitate to contact me.

Very truly yours,

Megan Goicoechea Allen

MGA:cld
Enclosures
RECEIVED
Tuesday, June 27, 2023 3:50:45 PM
IDAHO PUBLIC
UTILITIES COMMISSION

IDAHO POWER COMPANY’S REPLY COMMENTS - 1
DONOVAN E. WALKER (ISB No. 5921)
MEGAN GOICOECHEA ALLEN (ISB No. 7623)
Idaho Power Company
1221 West Idaho Street (83702)
P.O. Box 70
Boise, Idaho 83707
Telephone: [phone]
Facsimile: [phone]
[e-mail]
[e-mail]

Attorneys for Idaho Power Company

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR
APPROVAL OF A FIRST AMENDMENT TO
THE ENERGY SALES AGREEMENT WITH
THE SISW LFGE PROJECT

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CASE NO. IPC-E-23-15

IDAHO POWER COMPANY’S
REPLY COMMENTS

COMES NOW, Idaho Power Company (“Idaho Power” or “Company”) and,
pursuant to Idaho Public Utilities Commission (“Commission”) Rule of Procedure 203
and the Notice of Modified Procedure, Order No. 35805, hereby respectfully submits the
following Reply Comments in response to Comments of the Commission Staff (“Staff”) in
this case.

IDAHO POWER COMPANY’S REPLY COMMENTS - 2
I. INTRODUCTION
The Company appreciates Staff’s thorough analysis of the First Amendment (“First
Amendment”) to the Energy Sales Agreement (“ESA”) for the sale and purchase of
electric energy generated by the Southern Idaho Regional Solid Waste District Landfill
Gas to Energy (“SISW LFGE”) Project, for which the Company is seeking approval in this
case. Idaho Power offers these reply comments in response to two of Staff’s
recommendations. In short, the Company does not object to Staff’s proposed additional
modifications to the ESA and can work with SISW LFGE to execute a second amendment
implementing these changes. The Company proposes to submit that second amendment,
after it is executed, to the Commission as a compliance filing in this case.
In reviewing the ESA, Staff focused on the sixty-month eligibility window for SISW
to install the additional unit; the capacity size of the additional unit; the Description of
Facility, Maximum Capacity Amount, and VAR Capability items in Appendix B; and the
implications of the revisions to Article XXIII. Based on its review, Staff recommended
approval of the First Amendment, conditioned on two updates:
(1) The parties return the original Article XXIII language, requiring Commission
approval for amendments to the ESA, to the agreement in addition to the new
Article XXIII language regarding facility modifications; and
(2) The parties remove the VAR Capability description from Appendix B.
II. REPLY COMMENTS
Idaho Power appreciates Staff’s review and recommendation of approval of the
First Amendment and focuses its reply comments on addressing Staff’s two additional
recommended changes.

IDAHO POWER COMPANY’S REPLY COMMENTS - 3
First, Staff took no issue with the new Article XXIII language regarding facility
modifications but recommended that the parties revise the ESA to also reincorporate
language from the original Article XXIII, which stated that no modification to the ESA
would be effective unless it is in writing, signed by both parties, and approved by the
Commission. In the course of amending Article XXIII to address the concerns of the
Commission noted in other cases regarding facility modifications, this language had been
omitted from the provision. The Company notes, however, that Commission approval is
foundational for the Company and certainly a prerequisite to an ESA modification being
effective. As such, the Company agrees with Staff’s recommendation and proposes to
make this change via a second amendment to the ESA which will add a new Article 23.8:
23.8 No modification to this Agreement shall be valid unless it is in
writing and signed by both Parties and subsequently
approved by the Commission.

Second, Staff recommended removing the description of VAR Capability in
Appendix B, section B-1. Idaho Power does not object to this change and proposes to
make the change via the second amendment to the ESA discussed directly above.
If the Commission is amenable to this approach, Idaho Power proposes that after
the Commission issues an order in this case, the Company will work with SISW LFGE to
execute a second amendment making these two changes, which will be submitted to the
Commission as a compliance filing in this case once executed by the parties.
III. CONCLUSION
Idaho Power appreciates Staff’s review and consideration of the issues in this case
and the opportunity to offer these Reply Comments to address Staff’s recommendations.
Idaho Power agrees with Staff’s recommendation for approval of the amendment

IDAHO POWER COMPANY’S REPLY COMMENTS - 4
conditioned on two modifications and respectfully requests that, consistent with Staff’s
recommendations, the Commission issue an order approving the First Amendment and
directing the Company to incorporate the additional updates to the ESA via a second
amendment to be submitted as a compliance filing in this case once executed.
Respectfully submitted this 27th day of June 2023.

MEGAN GOICOECHEA ALLEN
Attorney for Idaho Power Company

IDAHO POWER COMPANY’S REPLY COMMENTS - 5
CERTIFICATE OF SERVICE

I HEREBY CERTIFY that on this 27th day of June 2023, I served a true and correct
copy of the within and foregoing Idaho Power Company’s Reply Comments upon the
following named parties by the method indicated below, and addressed to the following:

Michael Duval
Deputy Attorney General
Idaho Public Utilities Commission
11331 W. Chinden Blvd., Bldg No. 8,
Suite 201-A (83714)
PO Box 83720
Boise, ID 83720-0074

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Nate Francisco
Executive Director and CEO
Southern Idaho Solid Waste
[phone]

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________________________________
Christy Davenport, Legal Assistant