20010828Order No 28822.mod.doc

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF THE APPLICATION OF
PACIFICORP REQUESTING APPROVAL OF ITS EMERGENCY MANAGEMENT PLAN (THE “CURTAILMENT PLAN”). )
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) CASE NO. PAC-E-01-10

NOTICE OF APPLICATION

NOTICE OF MODIFIED
PROCEDURE

ORDER NO. 28822

On June 13, 2001, PacifiCorp filed an Application requesting Commission approval of its Emergency Management Plan (the “Curtailment Plan”).
The Curtailment Plan outlines procedures employed by the Company to temporarily interrupt electric service to its customers during emergencies and power shortages. The Curtailment Plan is intended to provide equitable procedures for the curtailment of power while minimizing adverse impacts to customers and maintaining overall system reliability.
In this Notice and Order, the Commission seeks public comment under Modified Procedure about the proposed Curtailment Plan.
BACKGROUND
PacifiCorp’s generation, transmission and distribution facilities serve approximately 1.5 million residential, commercial and industrial electric customers in the western United States. Headquartered in Portland, Oregon, PacifiCorp has more than 8,700 megawatts of generation capacity. PacifiCorp operates as Pacific Power in California, Washington, Oregon and Wyoming and as Utah Power in Idaho and Utah. PacifiCorp is also now part of the ScottishPower group, which provides energy and other utility services to 5.5 million customers in the United Kingdom. Pacificorp’s system is interconnected with other utility systems in the western United States in a regional system that is commonly referred to as the “western grid.” The western grid includes two Canadian Provinces, 11 western states, and a portion of Mexico. The Western Systems Coordinating Council (WSCC) administers operating criteria to maintain the integrity and reliability of the western grid.
The Company’s Curtailment Plan is also related to its participation in the “Regional Load Curtailment Plan” (RLCP) and the “Northwest Energy Emergency Plan” (NEEP). The RLCP addresses shortage of regional electric supply, i.e., when the Northwest suffers a prolonged energy shortage due to drought or other fuel shortage conditions. Under this RLCP, the States of Idaho, Montana, Oregon and Washington implement voluntary and mandatory load curtailments. The intent of the RLCP is to have customers reduce load so that rotational power outages (rolling blackouts) can be avoided. The NEEP contains procedures for: 1) identifying potential northwest energy shortages; 2) issuing appropriate public alerts; 3) coordinating communication efforts; and 4) taking actions to reduce shortages. The NEEP was developed by the Pacific Northwest Utilities Coordinating Council to increase the region’s ability to avoid power emergencies or longer-term adequacy problems by promoting regional coordination, cooperation and communications. The NEEP is aimed at promoting actions in advance to avoid potential short-term capacity emergencies and longer-term adequacy problems in the Northwest Power Pool area. Among other things, the NEEP provides criteria for communicating emergency warnings and energy adequacy problems to the utilities, state and federal agencies, public officials, and the public. Once a regional warning has been issued, load reduction measures include: halting discretionary exports of power; adjusting planned outages for the maintenance of generation or transmission facilities; operating generating resources to full operational capabilities; exploring options to increase transmission capability; and curtailing supplies to customers via existing contract provisions or purchasing load reductions from customers.
PACIFICORP’S CURTAILMENT PLAN
The Company states the Plan is operational 24 hours a day, 365 days a year to:
Match customers demand and electrical supply generation;

Maintain the integrity of the electricity network;

Make available resources to restore supply quality to normal as soon as is practicable;

Keep customers informed of the state and progress of the incident or emergency;

Take steps for the care of our customers.

Application at 1.

PacifiCorp’s Curtailment Plan consists of four contingency plans that incorporate system operating procedures for addressing system emergencies.
Plan 1 is entitled “System Outages Emergency Procedures” and is meant to provide for effective service to customers in response to a diminution of electrical supply quality due to damage or failure of critical plant and equipment. The Company states that the objective of this Plan is to establish sufficient arrangements to restore electrical supplies as soon as is reasonably practicable and provide good customer communications and care.
Plan 2 is entitled “System Integrity Emergency Procedures” and sets out the actions to be taken to preserve the integrity of the transmission system if certain events occur. For example, the sudden loss of generators or the separation of the integrated transmission system resulting in “islanding” of generation customers and a threat of the total collapse of the system through to Black Start if emergency actions are not taken to balance demand and generation. Procedures in this Plan involve: automatic under frequency load shedding; emergency load shedding (irrespective of frequency); controlled load shedding (selective shedding of lower priority blocks of load); and demand side management.
Plan 3 is entitled “Energy Supply Emergency Procedures” and establishes procedures for the restriction of demand or consumption of electricity of its customers in the event of generating plant shortage, a fuel shortage, a combination of both of these circumstances, or for some other reason. Restrictions on the demand/consumption of electricity over the longer term may be achieved by: (a) appeals by the State to the public for voluntary restraint; (b) issuance of orders under state and federal legislation to initiate load curtailment on consumption by industry and commerce; and or, (c) issuance of directives under state or federal order to initiate curtailment plans.
Plan 4 is entitled “Black Start Emergency Procedures” and establishes procedures to follow in the event of a total collapse of the transmission system.
The above plans recognize two categories of incidents and emergencies, minor incidents and major emergencies. In the event of either of these events occurring the Company has established detailed procedures so that these situations may be dealt with under one of its proposed contingency plans. Also included in PacifiCorp’s Curtailment Plan are two volumes that contain a directory of resources, load disconnect schedules and information detailing the Black Start restoration process.
NOTICE OF MODIFIED PROCEDURE
YOU ARE HEREBY NOTIFIED that Idaho Code § 61-531 requires all electric corporations to maintain a plan for the curtailment of electric or gas consumption during an emergency. Idaho Code § 61-532 requires that these plans be submitted and reviewed by the Commission. In reviewing the proposed plans, the Commission is to consider: 1) consistency of the plan with the public health, safety and welfare; 2) the technical feasibility of implementing the plan; and 3) the effectiveness with which the plan minimizes the impact of any curtailment.
YOU ARE FURTHER NOTIFIED that the Commission has determined that a formal hearing in this matter may not be required but the Commission will accept written comments under Modified Procedure pursuant to Rules 201 through 204 of the Idaho Public Utilities Commission’s Rules of Procedure, IDAPA 31.01.01.201 through -.204.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position on this Application may file a written comment in support or opposition with the Commission within twenty-eight (28) days from the date of this Notice. The comment must contain a statement of reasons supporting the comment. Persons desiring a hearing must specifically request a hearing in their written comments. Written comments concerning this application shall be mailed to the Commission and the Applicant at the addresses reflected below:
COMMISSION SECRETARY
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE, IDAHO 83720-0074

Street Address for Express Mail:

472 W WASHINGTON ST
BOISE, ID 83702-5983 PAUL CAPELL
PACIFICORP
825 N.E. MULTNOMAH, SUITE 1600
PORTLAND, OREGON 97232

All comments should contain the case caption and case number shown on the first page of this document.
YOU ARE FURTHER NOTIFIED that if no written comments 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.
YOU ARE FURTHER NOTIFIED that the Company’s curtailment plan has been filed with the Commission and is available for public inspection during regular business hours at the Commission offices.
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 and that the Commission may enter any final Order consistent with its authority under Title 61. The Commission has jurisdiction over this matter pursuant to Idaho Code §§ 61-531 and 61-532.
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.
O R D E R
IT IS HEREBY ORDERED that persons interested in submitting comments regarding this matter do so within 28 days of the service date of this Order.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this
day of August 2001.

PAUL KJELLANDER, PRESIDENT

MARSHA H. SMITH, COMMISSIONER

DENNIS S. HANSEN, COMMISSIONER

ATTEST:

Jean D. Jewell
Commission Secretary

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NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 28822 1

Office of the Secretary
Service Date
August 28, 2001