20230623Notice_of_Application_Order_No_35822.pdf

NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 35822 1

Office of the Secretary
Service Date
June 23, 2023
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF IDAHO POWER
COMPANY’S APPLICATION FOR
APPROVAL OF A SPECIAL CONTRACT
UNDER TARIFF SCHEDULE 34 TO
PROVIDE ELECTRIC SERVICE TO LAMB
WESTON, INC.
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CASE NO. IPC-E-23-18

NOTICE OF APPLICATION

NOTICE OF
MODIFIED PROCEDURE

ORDER NO. 35822

On May 23, 2023, Idaho Power Company (“Company”) applied to the Idaho Public
Utilities Commission (“Commission”) for an Order approving a special contract under Schedule
34 between the Company and Lamb Weston, Inc. (“Lamb Weston”) (the Company and Lamb
Weston referred to collectively as “the Parties”).
The Commission now issues this Notice of Application and Notice of Modified Procedure
establishing public comment and Company reply deadlines.
BACKGROUND
On or about August 25, 2022, the Company informed Lamb Weston that service under
Schedule 19 would no longer be possible once the power consumption for the premises exceeded
20,000 kilowatts (“kW”). At that time, Lamb Weston informed the Company that it expected to
exceed 20,000 kW as soon as July of 2023. The Company stated the Parties then came to an
agreement and filed this case as soon as possible. The Company did not expect the Commission to
issue an order in this case before July of 2023. Should Lamb Weston consume more than 20,000
kW before a final order is issued in this case, the Company stated that it would continue to provide
Lamb Weston with power under Schedule 19’s rates unless otherwise directed by the Commission.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that the Company stated that each special contract is
tailored to the consumer. To accomplish this, the Company reviews total usage, time of
consumption, capability of the system’s connections, and several other factors.
YOU ARE FURTHER NOTIFIED that the Parties have agreed to adjust the amount of
power required by Lamb Weston’s contract (on a monthly basis) based upon Lamb Weston’s
continued need. Lamb Weston expects a peak of its steady state of production to be around 32,000
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 35822 2

kilowatts (“kW”). It expects that it may need as much as 34,000 kW in March of 2024. Lamb
Weston plans to expand its facility. This expansion is expected to increase its power consumption
by approximately 14,000 kW.
YOU ARE FURTHER NOTIFIED that the Company stated proposed Schedule 34 would
service Lamb Weston under the same rate as Schedule 19 for the first 20,000 kW. The price for
electricity consumed beyond 20,000 kW would be based on “(1) capacity cost per kilowatt,
recovered through a monthly Contract Demand charge and a monthly Billing Demand charge
(“Block 2 Demand”), and (2) energy priced at a marginal cost-based rate, recovered through the
Block 2 Energy Charge (“Block 2 Energy”).” Application at 8.
YOU ARE FURTHER NOTIFIED that the Block 2 Energy under the proposed Schedule
34 would be 0.058694 per kW hour effective May 31, 2024, if approved.
YOU ARE FURTHER NOTIFIED that the Company proposed an initial power factor
adjustment for capacity up to 20,000 kW at a 90% power factor; the Company also proposed a
95% power factor for usage above 20,000 kW. The Company proposed this proposed initial power
factor run through April 2024.
YOU ARE FURTHER NOTIFIED that the Parties negotiated a provision whereby the
Company would be able to reevaluate compensation of Block 2 Energy after the proposed special
contract has been in place for five years.
YOU ARE FURTHER NOTIFIED that the Application and proposed special contract have
been filed with the Commission and are available for public inspection during regular business
hours at the Commission’s office. The Application and proposed special contract are also available
on the Commission’s website at www.puc.idaho.gov. Click on the “ELECTRIC” icon, select
“Open Cases,” and then click on the case number as shown on the front of this document.
YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held pursuant
to the Commission’s jurisdiction under 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 MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has determined that the public
interest may not require a formal hearing in this matter and will proceed under Modified Procedure
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 35822 3

pursuant to Rules 201 through 204 of the Idaho Public Utilities Commission’s Rules of Procedure.
The Commission notes that Modified Procedure and written comments have proven to be an
effective means for obtaining public input and participation.
YOU ARE FURTHER NOTIFIED that persons desiring to state a position on this
Application may file a written comment explaining why the person supports or opposes the
Application. Persons who would like a hearing must specifically request a hearing in their written
comments. Persons shall have until August 15, 2023, to file written comments. Comments must
be filed through the Commission’s website or by e-mail unless computer access is unavailable. To
comment electronically, please access the Commission’s home page at www.puc.idaho.gov. Click
the “Case Comment Form” and complete the form using the case number as it appears on the front
of this document. To file by e-mail, the customer must e-mail the comments to the Commission
Secretary and the Company at the e-mail addresses listed below. If computer access is unavailable,
then comments may be mailed to the Commission and Company at these addresses:
For the Commission:

Commission Secretary
Idaho Public Utilities Commission
P.O. Box 83720
Boise, ID 83720-0074
[e-mail]

Street Address for Express Mail:

11331 W. Chinden Blvd.
Building 8, Suite 201-A
Boise, ID 83714

For the Company:

Megan Goicoechea Allen
Lisa D. Nordstrom
Connie Aschenbrenner
Pawel P. Goralski
1221 W. Idaho Street (83702)
P.O. Box 70
Boise, ID 83707
[e-mail]
[e-mail]
[e-mail]
[e-mail]
[e-mail]
[e-mail]

YOU ARE FURTHER NOTIFIED that the Parties must file any reply comments by
August 22, 2023.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are received
within the time limit set, the Commission will consider this matter on its merits and enter its order
without a formal hearing. If written comments are received within the time limit set, the
Commission will consider them and, in its discretion, may set the same for formal hearing.

NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 35822 4

O R D E R
IT IS HEREBY ORDERED that this case be processed by Modified Procedure. Persons
wishing to file written comments must do so by August 15, 2023. The Parties must file any reply
comments by August 22, 2023.
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
June 2023.

__________________________________________
ERIC ANDERSON, PRESIDENT

__________________________________________
JOHN R. HAMMOND JR., COMMISSIONER

__________________________________________
EDWARD LODGE, COMMISSIONER

ATTEST:

Jan Noriyuki
Commission Secretary

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