28628.doc

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF PACIFICORP DBA UTAH POWER & LIGHT COMPANY’S PROPOSED SCHEDULE 71—ENERGY EXCHANGE PILOT PROGRAM )
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PACIFICORP TARIFF ADVICE NO. 01-01

ORDER NO. 28628

On January 5, 2001, PacifiCorp dba Utah Power & Light Company submitted a Tariff Advice adding a Schedule 71 – Energy Exchange Pilot Program. The tariff filing proposes a new program offering for the Company’s commercial and industrial customers. The program is modeled after existing programs in the region and offers electric customers the choice of curtailing load in exchange for payment from the Company. The Company has requested an effective date of February 1, 2001. PacifiCorp requests that the tariff remain in effect until October 01, 2001.
DISCUSSION
Given the current market price for electric power, energy exchange programs such as these provide load shedding opportunities with minimal impact and provide benefits to both the Company and its customers. PacifiCorp proposes an Internet-based auction program. Customers wishing to participate can bid online for load shedding opportunities at the bid price. All participating customers have access to bid on each load shedding event.
Idaho Power Company and Avista Corporation dba Avista Utilities—Washington Water Power Division (Idaho) have energy buy back programs/contracts in place with specific large customers. In both cases the contracts are with large customers for a fixed period of curtailment. PacifiCorp’s proposal provides for increased opportunity to participate by a number of different potential customers. PacifiCorp's proposal is available to qualifying customers with electric loads in excess of 4,000 kW or to customers with 1,000 kW of on-site generation.

Staff RECOMMENDATION
Staff believes PacifiCorp’s proposal is reasonable and recommends the Company’s filing be approved for effective date February 1, 2001 with the following additional requirements as discussed with and agreed to by the Company.
PacifiCorp is to provide the Commission and Commission Staff access to the secured website for tracking and observation purposes;

PacifiCorp is to file a copy of all non-standard agreements with the Commission;

PacifiCorp is to provide a report to the Commission of the program transactions prior to the termination of the pilot program.

In light of current power supply market, Staff believes the Company’s filing to be in the public interest.
O R D E R
In consideration of the foregoing and the Commission finding good reason and public interest to approve same, IT IS HEREBY ORDERED and the Commission does hereby approve PacifiCorp’s proposed Schedule 71—Energy Exchange Pilot Program for effective date February 1, 2000, and expiration date of October 1, 2001.
IT IS FURTHER ORDERED that the Company is to comply with the filing and reporting requirements recommended by Commission Staff.
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. Within seven (7) days after any person has petitioned for reconsideration, any other person may cross-petition for reconsideration. See Idaho Code § 61-626.

DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this _______ day of January 2001.

DENNIS S. HANSEN, PRESIDENT

MARSHA H. SMITH, COMMISSIONER

PAUL KJELLANDER, COMMISSIONER

ATTEST:

Jean D. Jewell
Commission Secretary

vld/O:PacificorpTA-01-01_sw

ORDER NO. 28628 1

Office of the Secretary
Service Date
January 31, 2001