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Home My WebLink About19970327Reconsideration Order_26850.PDFBEFORE THE IDAHO PUBLIC U’ILITIES COMMISSION IN THE MATTER OF THE APPLICATION OF IDAHO POWER COMPANY FOR AN )CERTIFICATE OF MAILING OF ORDER REVISING THE RATES,TERMS MID CONDITIONS UNDER WHICH IDAHO POWER PURCHASES NON-FIRM ENERGY )ORDER NO.26850 FROM QUALIFYING FACILITIES.. CASE NO.IPC-E-95-15 STATE OF IDAHO) )ss COUNTY OF ADA I hereby certify that I am employed as a secretary in the office of the Secretary,IPUC,and that on the 27th day of March ,1997,I served ORDER NO.26850 in the above entitled matter,pursuant to directions and instructions of the Secretary on each of the following: NAME ADDRESS PLEASE SEE ATTACHED LIST MISC.MAILING LISTS (A,B-i,B-3 &F-i) by depositing in the United States Mail,true copy thereof for each enclosed in a sealed envelope,with postage prepaid,addressed to each of them respectively at his respective place of address,and that there is regular mail service to each of said addresses. WITNESS by hand and seal of said Commission at Boise,Idaho,this 27th day of March ,1997. :•4.44J (1bFFICE OF ,kCRETARY ipce95lS .crt PC-E-95-15 DAHO POWER COMPANY ARTIES OF RECORD ARTON L KLINE DAHO POWER COMPANY 0 BOX 70 OISE ID 83707-0070 :NTERESTED PARTIES LARRY D RIPLEY IDAHO POWER COMPANY P0 BOX 70 BOISE ID 83707-0070 ?ETER J RICHARDSON )AVIS WRIGHT TREMAINE 399 MAIN ST STE 911 3OISE ID 83702 RONALD C BARR EARTH POWER ENERGY &MINERALS INC 2534 E 53RD ST TULSA OK 74105 MARCUS G THEODORE COGEN POWER II INC 466 SOUTH 500 EAST SALT LAKE CTY UT 84102 OWEN H ORNDORFF ORNDORFF PETERSON STE 230 1087 W RIVER ST BOISE ID 83702-7035 CONLEY WARD GIVENS PURSLEY ET AL P0 BOX 2720 BOISE ID 83701-2720 BILL BROWN AW BROWN CO INC 3416 VIA LIDO STE F NEWPORT BEACH CA 92663 DON A OLOWINSKI RICHARD B BURLEIGH HAWLEY TROXELL ET AL P0 BOX 1617 BOISE ID 83701-1617 TERRY E COFFIN ATTORNEY AT LAW PC BOX 1758 BOISE ID 83701-1758 FISHERIES DEVELOPMENT COMPANY 1301 VISTA AVE BOISE ID 83705 JOHN CROCKETT DEPT OF WATER RESOURCES P0 BOX 83720 BOISE ID 83720-0098 STATEHOUSE MAIL LES NELSON CAL SEIA 2391 ARDEN WAY STE 212 SACRAMENTO CA 95825 GENER R BERTSCHE 13810 N 11TH ST PHOENIX AZ 85022 MARY G McGOWEN PHD IDAHO RIVERS UNITED P0 BOX 633 BOISE ID 83701-0633 MARJORIE G HAYES 7440 MANORW000 DR BOISE ID 83704 JOHN R SMITH SMITH ASSOCIATES PA PC BOX 2029 KETCHUM ID 83340 PETER CHAFFEY 109 VICTOR DR HAlLEY ID 83333 MARK A MOSER RESOURCE CONSERVATION MANAGEMENT INC P0 BOX 4715 BERKELEY CA 94704 CHARLES WOODWARD NATURAL RESOURCE CO PC BOX 91 VICTOR ID 83455 DAVID VAN HERSETT FOREST FUELS INC N 9 POST ST STE 241 SPOKANE WA 99201 MIKE LEONARD AURORA POWER &DESIGN 3412 N 36TH ST BOISE ID 83703 DALE 0 HALL OWNER DALE HALL &ASSOC 410 PARKWAY DR BOISE ID 83706 0 tSCELtLA2EOUS MAILING tST 1ST TILITIES LAW REPORTS OMMERCE CLEARING HOUSE 025 W PETERSON AVE HICAGO IL 60646 HAROLD MILES 316 15TH AVE SOUTH NAMPA ID 83651-4319 ‘(ELECTIRC &GAS ONLY) :DAHO POWER COMPANY ENERAL COUNSEL ‘0 BOX 70 BOISE ID 83707-0070 JOHN ROTONDO HE PRINDEN CORPORATION P0 BOX 712 PARKRIDGE NJ 07656-0712 LARRY CRCWIJEY RATES DIVISION IDAHO POWER COMPANY PC BOX 70 BOISE ID 83707-0070 BPA LAW LIBRARY P0 BOX 3621 PORTLAND OR 97208 -(ELECTRIC ONLY) 4-(ELECTRIC ONLY) JIM WOZNIAK US WEST COMMUNICATIONS 999 MAIN ST 11TH FLOOR BOISE ID 83702-9001 CAROL DOSCHLER ARGUS RESEARCH CORP 17 BATTERY PLACE NEW YORK NY 10004-1280 cE(N0 WATER ORDERS) ANARANT RI N 1080 C1R.CK RD BEVIS COLUMBUS OH 43210 WALTON HILL GENERAL WATERWORKS 200 OLD HOOK RD HARRINGTON PK N’J 07640 DA ROHDE /CcMI 1M ROCKVILLE PIKE .OCKVILLE MD 20852-3030 MAGGIE RANSOM IDAHO TRANSPORT DEPT DMV ADMINISTRATI ON STATEHOUSE MAIL -TELEPHONE ONLY) WATER ORDERS) PUBLIC UTILITY REPORTS ATTN LAW DEPARTMENT 8229 BOONE BLVD STE 401 VIENNA VA 22182 DALE GOBLE UNIVERSITY OF IDAHO COLLEGE OF LAW MOSCOW ID 83843-4171 <.(ELECTRIC ONLY) JAI1ES F FELL STOEL RIVES BOLEY ET AL STE 2300 900 SW 5TH AVE PORTLAND OR 97204-1268 MORGAN W RICHARDS JR MCFFATT THOMAS ET AL PC BOX 829 BOISE ID 83701-0829 GLENN R SCHLEEDE ENERGY MARKET &POLICY ANALYSIS INC PC BOX 3875 RESTON VA 22090-3875 :0 C) ISCELLANEOUS MAILING 0 IST,(RUN 53) 1ST “B -1” _(,-) OIS U CASHELL SECRETARY ‘ERC 25 N CAPITOL ST NE IASHINGTON DC 20426 )FFICE OF CHIEF :DAH0 OPERATION )EPT OF ENERGY 785 DOE PLACE [DAHO FALLS ID 83401 30B HOPPIE )EPT OF WATER RESOURCES 3TATEHOUSE MAIL WILLIAM J NICHOLSON POTLATCH CORPORATION SUITE 610 244 CALIFORNIA ST SAN FRANCISCO CA 94111 STAFF JUDGE ADVOCATE 366 CSG-JA MOUNTAIN HOME AFB ID 83648-5131 JOHN CROCKETT DEPT OF WATER RESOURCES STATEHOUSE MAIL GNMYERS POTLATCH.CORP P0 BOX 1016 LEWISTON ID 83501 JOAN SIPPLE ENERGY ECONOMIST DEPT OF WATER RESOURCES STATEHOUSE MAIL MYRA B ADELMAN BURT ASSOCIATES P0 BOX 719 WESTFORD MA 01886 LESLIE STITH ENGINEERING CONSULTANTS 600 N CURTIS SUITE 201 BOISE ID 83706-1443 MAUREEN L CARR PUBLIC POWER COUNCIL 1500 NE IRVING STE 200 PORTLAND OR 97232 KEN TANDY FMC CORPORATION P0 BOX 4111 POCATELLO ID 83205-4111 LYNN N HEMINGWAY NORTHWEST PIPELINE CORP P0 BOX 8900 SALT LAKE CITY UT 84108 GARY MAY DOMINION POWER SERVICE STE 220 699 EAST SOUTH TEMPLE SALT LAKE CITY UT 84102 DONALD A HAAGENSEN HILL HUSTON CABLE ET AL SUITE 2000 1001 SW FIFTH AVE PORTLAND OR 97204-1136 LIBRARIAN PRESTON THORGRIMSON 5400 COLtJNBIA CENTER 701 5TH AVE SEATTLE WA 98104-7011 MARIE MALONE PACIFICROP—UTAH POWER 201 5 MAIN ST STE 800 SALT LAKE CITY UT 84140 R ROACH /C LEONE OFF OF GEN COUNSEL APR BPA P0 BOX 3621 PORTLAND OR 97208 LINDEN SWENSEN KIEWIT COMPANY 1000 KIEWIT PLAZA OMAHA NE 68131 MARK FLESCHER SR RATE ANALYST NATIONAL UTILITY SER P0 BOX 712 PK RIDGE NJ 07656-0712 GERRY GALINATO DEPT OF WATER RESOURCES STATEHOUSE MAIL JR GALE MGR -RATES IDAHO POWER COMPANY P0 BOX 70 BENT MOURISTEN 366 CES-CEOE 1030 LIBERATOR ST MTN HOME AFB ID 83648 ROY L EIGUREN GIVENS PURSLEY &HUNTLEY PC BOX 2720 BOISE ID 83701-2720 CONLEY WARD ESQ GIVENS PURSLEY &HUNTLEY PC BOX 2720 BOISE ID 83701-2720 BART KLINE ESQ EVANS KEANE ET AL PC BOX 959 BOISE ID 83701-0959 LISA LOGIE POLICY ANALYST PNUCC 101 Sw MAIN SUITE 810 PORTLAND OR 97204 COUNSEL OFFICE BOISE ID 83707-0070 tISCELLAOUS MAII4ING ISTB -1”CONT’D” U .SS0C.OF IDAHO CITIES 3314 GRACE STREET 3OISE ID 83703-5896 FRANK BRYANT ENERGY USER NEWS 900 FRONT ST SAN FRANCISCO CA 94111 RONALD L WILLIAMS ESQ ATTORNEY AT LAW PC BOX 2128 BOISE ID 83701-2128 DAHO BUILDING DONTRACTORS ASSOC SUITE 303 802 W BANNOCK ST BOISE ID 83702-5840 EOUSEL CONSTRUCTI ON PC BOX 445 KETCHEJM ID 83340 FRANKIE HICKMAN EX VP BLDG CONTRACTORS ASSOC OF SOUTHWESTERN IDAHO 11120 EXECUTIVE DRIVE BOISE ID 83704-9844 BCA WOOD RIVER VALLEY P0 BOX 2723 KETCHtJN ID 83340-2723 JIM CLARK 8561 N CLAKVIEW PL HAYDEN LAKE ID 83835 JOE DAVIS LB INDUSTRIES INC PC BOX 2797 BOISE ID 83701 SCOTT PASLEY JR SIMPLOT COMPANY P0 BOX 27 BOISE ID 83707-0027 DAVID HAWK JR SIMPLOT COMPANY P0 BOX 27 BOISE ID 83707-0027 JAMES GOLDMANN P0 BOX 827 KETCHtJM ID 83340-0827 JOHN J McFADDEN MOORE &McFADDEN 999 MAIN ST STE 910 BOISE ID 83702 WARD SINSEL 9477 APPLING DR BOISE ID 83704 TOM FLEMING IDAHO CONSUMER AFFAIRS 5056 HARBORVIEW DR BOISE ID 83703 DOCUMENT CENTER PACIFICORP 825 NE MULTNOMAH STE 625 PORTLAND OR 97232 LOCAL UNION 232 IBEW 225 N 16TH ST RM 210 BOISE ID 83702 STEVE STRASSER NW POWER ENTERPRISES INC 10500 NE 8TH ST STE 1100 BELLEVEJE WA 98004 WENDY TOBIASSON XENERGY 492 9TH ST STE 220 OAKLAND CA 94607 LIZ WARD 13908 N DALLAS POCATELLO ID 83202 LINDA B JONES HOLLAND &HART 101 S CAPITOL STE 1400 BOISE ID 83702 DEAN J MILLER ATTORNEY AT LAW PC BOX 2564 BOISE ID 83701-2564 JAMES K TARPEY ENRON ONE TABOR CENTER 1200 17TH ST STE 2750 DENVER CC 80202 C CLARK LEONE PUBLIC POWER COUNCIL 1500 NE IRVING STE 200 PORTLAND OR 97232 SHELLY RICHARDSON ATTORNEY AT LAW 2500 E FOURTH PLAIN BLVD VANCOUVER WA 98661 BILL deCORDOVA MICRON TECHNOLOGY INC M/S 602 8000 S FEDERAL WAY BOISE ID 83707 MISCELLANEOUS MAILING LIST.”B -2” MARG JONES SUPV 0 PURHA) BOISE P LI SCHOOLS 1207 W F STREET BOISE,/83 -5399 JO WILL S BPA 110 W RI ST STE 250 B SE ID 8370 MISCELLANEOUS MAILING LIST “B -3”---- PHILLIP J HARRISON BASIC AMERICAN FOODS P0 BOX 592 BLACKFOOT ID 83221-0592 LINDA WYRATHER -DREF B PA P0 BOX 3621 PORTLAND OR 97208 DAN MEEK 1935 NE CLACKIMAS PORTLAND OR 97232 STEVE O’BRIEN BASIC AMERICAN FOODS PC BOX 592 BLACKFOOT ID 83221-0592 JOE MARSHALL PRES &CEO IDAHO POWER COMPANY PC BOX 70 BOISE ID 83707-0070 JOHN WILLIAMS BPA 1101 W RIVER ST STE 250 BOISE ID 83702 R A PERALTA CHIEF COUNSEL ARGONNE NAT LAB P0 BOX 2528 IDAHO FALLS ID 83403 (IDARO POWER ONLY) RONALD C BARR EARTH POWER ENERGY & MINERALS 2534 EAST 53RD ST TULSA OK 74105 MIKE BOYDSTUN TRAFFIC SECTION DIVISION OF HIGHWAYS STATEHOUSE MAIL MIKE LEONARD AURORA POWER &DESIGN 3412 N 36TH ST BOISE ID 83703 :ç -WEST MISCELLANEOUS MAILING 0 LIST.(run 17) LIST “F -ill 0 JOHN BRADEN HYDRO CONSULTANTS 410 ARCHIBALD STREET KANSAS CITY MO 64111 MITCH ARKOOSH 714 3RD AVE EAST GOODING ID 83330 JEFF ANTISDEL NEVADA ENERGY COMPANY 401 E 4TH STREET RENO NV 89512-3315 DAN HUDSON 21876 Sw REGAL CT ALOHA OR 97006-1316 NVH INC GLEN R STOCKWELL 306 S JEFFERSON RITZVILLE WA 99169 MELVIN TAGGART PE &LS TAGGART ENGINEERING PR 2 BOX 22 POTLATCH ID 83855-9603 PAUL E LEVY ESQ LEVY LAW OFFICES 380 PARKCENTER BLVD #320 BOISE ID 83706 GEORGE SMITH 2905 W 33RD S IDAHO FALLS ID 83402-5630 BARRY SHE INGOLD CITIZENS POWER &LIGHT 530 ATLANTIC AVE BOSTON MA 02210 TOM MCLAUGHLIN PC BOX 1066 HAlLEY ID 83333-1066 A W BROWN A W BROWN CO INC 3416 VIA LIDO SUITE F NEWPORT BEACH CA 92663 DICK GRAVES 2082 SOUTH 2000 EAST GOODING ID 83330-5309 MAHER F WISSA PRESIDENT COMMERCIAL ENERGY MGMT PC BOX 4518 POCATELLO ID 83205-4518 ANNA FAY WILLIAMS EDITOR-IN-CHIEF THE COGENERATION LETTER 1750 ALBANS ST HOUSTON TX 77005-1704 DAVE VAN HERSETT STE 241 N 9 POST STREET SPOKANE WA 99201 TOM NELSON STOEL RIVES BOLEY ET AL STE 2300 900 SW 5TH ST PORTLAND OR 97204 MISCELLANEOUS MAILING LIST LIS “F R C FR LEWIS’’ON IBUNE PO/OX 957 LEWISTON ID 83 1-0957 & PAT WINDES BLIND CANYON HYDRO 1424 BOB BARTON RD WENDELL ID 83355 WIL DEE D &MACG GOR 16 W MAIN GRANGEVILLE ID 83530 Office ofthe Secretary Service Date March27,1997 BEFORE TUE IDAHO PUBLIC UTILITIES COMMISSION IN ‘IHE MATTER OF TILE APPLICATION OF ) IDAHO POWER COMPANY FOR AN ORDER )CASE NO.IPC-E-95-15 REVISING TEE RATES,TERMS AND CONDI-) TIONS UNDER WHICH IDAHO POWER ) PURCHASES NON-FIRM ENERGY FROM )ORDER NO.26850 QUALIFYING FACILITIES ) _______________________________________________________________________________) BACKGROUND In October 1995,the Idaho Power Company (Idaho Power;Company)filed an Application for an Order (I)approving revisions to the Company’s current Schedule 86 entitled “Cogeneration and Small Power Production—Non-Firm Energy;”(2)approving revisions to the rates to be paid for non-firm energy sold to Idaho Power under Schedule 86,and;(3)authorizing the Company to file documentation supporting the computation of purchase rates under Schedule 86 on a semi-annual rather than a monthly basis.The Company ultimately amended its proposed revisions to Schedule 86 and on January 22,1997,the Commission issued Order No.26750 approving,with modifications,the Company’s amended application. Specifically,the Commission authorized Idaho Power to eliminate the three mill capacity adder included in Schedule 86 due to the lack of capacity gained by participation in this schedule. The Commission also agreed that it was reasonable to allow Idaho Power to reduce the number of compliance filings made with the Commission under Schedule 86 from monthly to semi-annually. The Commission further authorized Idaho Power to eliminate the fixed rate option (Option A).The most controversial changes to the Company’s Schedule 86,however,involved its proposed revisions to Option C (net metering).The Commission chose to retain Option C,in some form,for the benefit of those customers interested in eliminating some or all oftheir loads through their own generation. The Commission found that a reasonable net metering option is one that (a)allows the Company to use its existing billing system,(b)allows the customer to use a conventional single-metering system, (c)charges the customer the rate consistent with its class of service while the meter is running forward,(d)pays the customer the five year rolling average avoided energy cost rate when the meter ORDERNO.26850 -1- C) is running backwards,and (e)charges the customer a minimum fee that is consistent with the amount ofbackup supply and capacity being provided to the Company. PETITION FOR RECONSIDERATION On February 12,1997,Aurora Power &Design petitioned the Commission for reconsideration of Order No.26750.Aurora charges that the Commission’s Order (1)offsets customer power production with the avoided cost rather than retail rates under the guise of a “service charge”,(2)does not make available the use of Option C to the type of customer who can best use it,and (3)gives Idaho Power the authority top unwarranted burdens on those customers through the “conditions of sale”provisions contained in the standard Option C contract. Aurora notes that it is a power systems design and supply company that is in direct competition with Idaho Power’s solar photovoltaic service.Aurora contends,therefore,that the Commission’s Order has direct consequences to Aurora’s livelihood.Aurora argues that Idaho Power has long been antagonistic to the small,independent power industry.Aurora advocates that the development ofnew energy resources,particularly those that are non-consumptive such as solar power,should be promoted.Aurora contends that the Commission’s Order is anathema to that objective.The revised Schedule 86,Aurora contends,causes two-thirds ofthe energy produced by a customer to go to a service charge.The net effect is that the small power producer recovers the avoided cost under the guise of this charge.Aurora contends that this calculation is overly complex and subjective.It is not reasonable,Aurora contends,for the Commission to state in its Order that allowing annual net metering would require substantial changes in the Company’s billing system and, at the same time to support a monthly service charge calculation that appears to be impossible to incorporate into any billing system. Aurora questions how this allegedly excessive service charge can be justified when Idaho Power is simultaneously requesting authorization of a public purposes charge to fund its involvement in a region wide conservation effort (Case No.IPC-E-96-26).Aurora proposes that if the Commission is genuinely concerned that there will be a significant use of net metering,then the Commission could put a cap on its use.Otherwise,Aurora argues,small independent power producers can already receive avoided costs without using a complicated formula. ORDER NO,26850 -2.. •1 0 Aurora further challenges the Commission’s Order because it limits the availability of Option C to residential and small commercial customers (rate schedules 1 and 7).The Commission’s Order notes that running the meter backwards for a customer with a demand as well as an energy meter could potentially reduce that customer’s demand and subsequent bill which is inappropriate because the energy supplied by that customer is non-firm.Aurora questions why this is inappropriate because demand itselfis not firm.That is why there is a demand meter.If a utility customer ceases its operations,there is a reduction in demand.Similarly,ifan independent power producer produces power to reduce its demand during the entire month,this is also a legitimate reduction in demand. Finally,Aurora challenges the Commission’s evaluation ofthe “Conditions ofPurchase and Sale”provisions contained in the standard Schedule 86 contract.Aurora believes that the Commission’s Order allows Idaho Power to waive these conditions at its discretion.Consequently, Aurora argues,if the customer employs Idaho Power’s solar photovoltaic service,then these conditions will likely be waived.Ifthe customer employs Aurora Power &Design as its provider of solar equipment,then they will not.Aurora asserts that the requirement to have a licensed engineer certil’interconnection between the Company’s system and a Schedule 86 customer is unwarranted. Aurora contends that most licensed engineers are not qualified to make this certification and the Idaho Code already requires a licensed electrician to make these installations.Moreover,Idaho Power customers will soon be implementing net metering without any approval of the Commission, Aurora contends.lithe CommiRsion is truly concerned about safety,Aurora argues,then proper net metering must be required;not unusable options approved by the Commission’s Order. Idaho Power Response On Februaiy 21,1997,Idaho Power filed a response Aurora’s Petition for Reconsidera tion.Idaho Power contends that Aurora’s Petition consists primarily of statements of opinion.It does not identil any facts or legal conclusions that it claims are inaccurate. Idaho Power notes that much ofAurora’s dissatisfaction with the Commission’s Order appears to arise from the assumption that alternative energy technologies are entitled to be paid at retail rates which are currently in excess ofthe Company’s avoided costs.Idaho Power points out that the Public Utilities Regulatory Policies Act of 1978 (PURPA)specifically prohibits the Commission from requiring electric utilities to purchase energy from qualiijing facilities (QFs)at rates that exceed avoided costs.Therefore,the Company contends,the Commission’s decision to ORDER NO.26850 -3- 0 4) allow smaller alternative energy producers to be paid full avoided costs without paying the costs associated with dual metering and interconnection protection equipment that other QF developers are required to provide constitutes a reasonable level of incentive to alternative energy technologies. Idaho Power notes that its solar photovoltaic service Schedule 60 was suspended in November 1996.Prior to suspension,the service was only available to off-grid locations.Because Schedule 86,at issue in this case,is applicable only to on-grid applications,Idaho Power argues that Order No.26750 will have no impact on Aurora’s ability to compete with any entity to develop off- grid solar photovoltaic applications as Aurora contends. Idaho Power contends that Aurora’s criticism that the monthly charge contained in Schedule 86 is complc and impossible to incorporate into any billing system is without any objective support or evidence.The Company notes that the Commission Staff has reviewed and accepted the monthly charge methodology.Idaho Power concedes that the computation is based on an algorithm and is intimidating on the surface but argues that once the data regarding the customer’s generating equipment is obtained from the customer,computation of the charge is not difficult.Idaho Power asserts that once the monthly charge is computed,the Company can use its existing retail billing computer program to add the monthly charge to the customer’s retail electric bill as a separate charge. Finally,regarding Aurora’s criticism of the requirement in Schedule 86 that interconnec tions be certified by a licensed electrician,the Company states that it is imperative that Idaho Power know about any installation in which a customer installs electric generating equipment having the capability to energize Idaho Power’s distribution lines.This is necessary for Idaho Power to have the ability to protect its employees and system from energy or damage.Idaho Power states that it “does not believe that having qualified personnel be responsible for reviewing and approving such protection is ‘laughable.”Response alp.4. FINDINGS Rule 331 ofthe Commission’s Rules ofProcedure (IDAPA 31.01.01)provides that any person interested in a final Order of the Commission may petition for reconsideration within 21 days after the day of service of that Order.Such Petition must set forth the ground or grounds why the petitioner contends that the Order is unreasonable,unlawful,erroneous or not in conformity with the ORDER NO.26850 -4- 0 law and a statement ofthe nature and quantity of evidence or argument that the petitioner will offer if reconsideration is granted.The rule further provides that any person may cross-petition within seven days after an initial petition for reconsideration is filed.We find that Aurora’s Petition was timely filed and otherwise complies with the Commission’s procedural rules.For the reasons set forth below,however,we hereby deny Aurora’s Petition. The primary thrust ofAurora’s argument appears to be that the revisions to Schedule 86 proposed by Idaho Power will have a chilling affect on self-generators.What Aurora fails to point out,however,is very few customers have chosen to operate under this schedule.This was one of Idaho Power’s stated reasons for its proposed revisions.While we are cognizant of the benefits provided by the small,independent power industry,we find that because of the industry’s apparent lack of interest in Schedule 86,the proposed revisions will not significantly discourage self. generation. As noted by Idaho Power,Aurora appears to be under the impression that Schedule 86 customers are entitled to be paid at retail rates which are currently in excess of Idaho Power’s avoided costs.PURPA states;“[njothing in this subpart requires any electric utility to pay more than the avoided costs for purchases.”18 C.F.R.§292.304(a)(2). We also note that Schedule 86 generators are not required to pay the costs associated with dual metering and interconnection protection equipment that other QF developers are required to provide.This in itself constitutes an incentive to alternative energy technologies. Regarding Aurora’s contention that the monthly service charge is overly complex,we direct the Company to take whatever steps are necessary to ensure that the charge is adequately explained to Schedule 86 customers and potential customers.In the event such customers believe they have not been given an adequate explanation,they may come before this Commission seeking redress. Regarding Aurora’s criticism ofthe requirement in Schedule 86 that interconnections be certified by a licensed electrician,we do not find that Aurora has presented evidence or arguments convincing us that such a requirement is anything but prudent.This Commission has a statutory responsibility to ensure safety for the public and employees of the Company.We believe that reasonable safeguards such as the one at question are necessary to maintaining the integrity of Idaho Power’s system. ORDERNO.26850 -5- .0 .0 ORDER IT IS HEREBY ORDERED that the Petition for Reconsideration of Order No.26750 filed by Aurora Power Systems and Design is denied. THIS IS A FiNAL ORDER ON RECONSIDERATION.Any party aggrieved by this Order or other final or interlocutory Orders previously issued in this Case No.IPC-E-95-15 may appeal to the Supreme Court ofIdaho pursuant to the Public Utilities Law and the Idaho Appellate Rules.See Idaho Code §61-627. DONE by Order ofthe Idaho Public Utilities Commission at Boise,Idaho this day ofMarch 1997. RALPH LSON,PRESIDENT MARSHA H.SMITH,COMMISSIONER ENNIS S.HAN E ,COMMISSIONER ATThST: Myrna J.Walters Commission Secretary vld/O:IPC-E-95-15.bp2 ORDER NO.26850 -6-