20041215Application.pdf

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James F. Fell
Curtis D. McKenzie
Stoel Rives LLP
900 SW Fifth Avenue, Suite 2600
Portland, OR 97204-1268
Tel. [phone]
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Attorneys for PacifiCorp
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF P ACIFICORP d/b/a UTAH POWER &
LIGHT COMPANY FOR APPROVAL
OF REDUCTIONS IN BONNEVILLE
POWER ADMINISTRATION REGIONAL
EXCHANGE CREDITS
CASE NO. PAC-~1" of;
APPLICATION OF P ACIFICORP
Pursuant to Idaho Code ~~ 61-301
, -
307
, -
622, and -623 , PacifiCorp, d/b/a Utah Power &
Light Company ("PacifiCorp" or the "Company ), applies to the Idaho Public Utilities
Commission (the "Commission ) for approval of a revised Electric Service Schedule No. 34
submitted herewith. The proposed revisions will reduce the Bonneville Power Administration
BP A") regional exchange credits in Idaho. The Company seeks changes to sections of the
Company s Schedule 34 to revise the Kilowatt-Hour Credit Adjustment for all qualifying
kilowatt-hours of residential and/or farm use. In support of this Application, PacifiCorp states as
follows:
PacifiCorp is an electrical corporation and public utility in the state of Idaho and
is subject to the jurisdiction of the Commission with regard to its public utility operations.
PacifiCorp also provides retail electric service in the states of Utah, Oregon, Wyoming,
Washington and California.
This Application is filed pursuant to the Idaho statutes referenced above.
particular, Idaho Code ~ 61-623 empowers the Commission to address the propriety of requested
APPLICATION OF P ACIFICORP -
Portlnd3~1477051.1 0O20017~OOO55
rate schedule increases, sections 61-307 and -622 require Commission approval prior to any
increase in rates and section 61-301 requires Idaho retail electric rates to be just and reasonable.
Communications regarding this Application should be addressed to:
Bob Lively
PacifiCorp
201 South Main Street, Suite 2300
Salt Lake City, UT 84140
Telephone: [phone]
Facsimile: [phone]
E-mail: bob.lively(g)pacificorp.com
James F. Fell
Stoel Rives LLP
900 SW Fifth Avenue, Suite 2600
Portland, OR 97204-1268
Telephone: [phone]
Facsimile: [phone]
E-mail: jffell
(g)
stoel.com
In addition, PacifiCorp respectfully requests that all data requests regarding this matter be
addressed to:
Bye-mail (preferred)datarequest
(g)
pacificorp .com
By regular mail Data Request Response Center
PacifiCorp
825 NE Multnomah, Suite 800
Portland, OR 97232
By facsimile [phone]
Informal inquiries also may be directed to Bob Lively at [phone].
As a regional utility, PacifiCorp is entitled to participate in the Residential
Exchange Program (the "REP"), which extends the benefits of low-cost Federal power to
residential and small farm consumers served by investor-owned utilities in the region. See
section 5(c) of the Northwest Power Act, 16 U.C. ~ 839(c). The REP is administered by BPA.
In 2000, BPA offered the region s investor-owned utilities the option of entering into a
settlement of the REP (the "REP Settlement") in lieu of the traditional REP. All of the region
investor-owned utilities, including PacifiCorp, entered into the REP Settlement.
APPLICATION OF P ACIFICORP - 2
Portlnd3-1477051.1 0020017-00055
Upon initiation of the REP, and as required by the REP Settlement, the Company
established balancing accounts tracking the differences in the program credits provided to the
Company s customers and the monetary payments received from BP A pursuant to the REP
Settlement. As of September 2004 the Idaho balancing account showed an REP deficit of $6.
million (i.PacifiCorp paid out $6.8 million more in benefits to Idaho residential and small
farm customers than PacifiCorp had received from BP A).
Following discussions with the Commission Staff, the Idaho Irrigation Pumpers
Association, and irrigation customers, the Company decided to seek Commission authorization
to correct the deficit in the BP A balancing account in a manner that would ease the customer
impact of elimination of the deficit. PacifiCorp proposes to reduce the BP A credit by $6.
million. Additional adjustments to the BP A credit may be necessary in order to achieve the
targeted zero balance in the BP A balancing account by September 30, 2006.
In this application, while regional exchange benefits are proposed to be reduced
the allocation of proposed regional exchange benefits among irrigation and non-irrigation
customers retains the ratio of total dollars of regional exchange benefits that have been provided
to these customers.
PacifiCorp submits the following exhibits providing additional support for the
relief requested in this Application:
(a) Application Table A: Table A shows the net impact by rate schedule of
the proposed revision to Schedule 34.
(b) Application Table B: Table B reflects the calculation of proposed
Schedule 34 based on normalized twelve months ended March 31 , 2004;
(c) Application Table C: Table C is a balancing account study reflecting the
Company s BPA balancing account history for October 2001-September 2004.
The Table shows the $6.8 million deficit as of September 2004; and
(d) Application Table D: Table D reflects the Company s Schedule 34 and
shows the proposed tariff changes , pursuant to Rule of Procedure 121.01a.
PacifiCorp stands ready for immediate consideration of this Application.
PacifiCorp proposes that the proposed reduction to the Schedule 34 BP A credit
APPLICATION OF P ACIFICORP -
Portlnd3-1477051.1 0020017-00055
be effective on January 31 2005 , to permit proper notice pursuant to Idaho Code 9 61-307. The
proposed tariffs in Application Table D would be effective on January 31 2005 unless
suspended by the Commission.
PacifiCorp does not believe that the filing is subject to the general rate case or tracker
notice requirements of Rule 102 of the Commission s Utility Customer Information Rules.
Should the Commission determine otherwise, PacifiCorp respectfully asks the Commission to
notify the Company of its determination and the Company will take steps to comply with
Rule 102.
WHEREFORE, PacifiCorp respectfully requests that the Commission enter its Order
authorizing the reduction of the Schedule 34 BPA credit by an annual amount of$6.8 million in
order to eliminate the $6.8 million deficit currently reflected in the Company s REP balancing
account.
DATED this 15th day of December, 2004.
Respectfully submitted
F. Fell
Cu s D. McKenzie
Attorneys for PacifiCorp
APPLICATION OF P ACIFICORP - 4
Portlnd3-1477051.1 0020017-00055
Application Table A
Net Impact by Rate Schedule of Proposed Revision to
Schedule 34
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e

9
3
-
Po
w
e
r

C
o
s
t
f
T
a
x

S
u
r
c
h
a
r
g
e

(
P
C
T
)

a
n
d

S
c
h
e
d
u
l
e

3
4

a
r
e

c
a
l
c
u
l
a
t
e
d

b
a
s
e
d

o
n

c
u
r
r
e
n
t

r
a
t
e
s

w
h
i
c
h

b
e
c
a
m
e

e
f
f
e
c
t
i
v
e

o
n

J
u
n
e

8
.

2
0
0
4
.
No
t
e

3
:

P
r
o
p
o
s
e
d

S
c
h
e
d
u
l
e

3
4

c
r
e
d
i
t
s

a
r
e

b
a
s
e
d

o
n

$
6
.
8
m
i
l
l
i
o
n

a
n
n
u
a
l

r
e
d
u
c
t
i
o
n

i
n

B
P
A

c
r
e
d
i
t
s

i
n

o
r
d
e
r

t
o

r
e
c
o
v
e
r

t
h
e

c
u
r
r
e
n
t

n
e
g
a
t
i
v
e

b
a
l
a
n
c
e

o
f

$
6
.
8 m
i
l
l
i
o
n
,
Application Table B
Calculation of Proposed Schedule
Based on Normalized 12 Months Ended March 31 , 2004
IA
B
L
E
.
.
B
UT
A
H

P
O
W
E
R

&

L
I
G
H
T

C
O
M
P
A
N
Y

-
ST
A
T
E

O
F

I
D
A
H
O
CA
L
C
U
L
A

T
I
O
N

O
F

PR
O
P
O
S
E
D

C
H
A
N
G
E
S

I
N

S
C
H
E
D
U
L
E

3
4
-
BP

A

CR
E
D
I
T
DI
S
T
R
I
B
U
T
E
D

B
Y

R
A
T
E

S
C
H
E
D
U
L
E
S
NO
R
M
A
L
I
Z
E
D

1
2

M
O
N
T
H
S

EN
D
E
D

M
A
R
C
H

2
0
0
4
Sc
h
e
d
u
l
e

3
4
-

B
P

A
C
r
e
d
i
t
Pr
e
s
e
n
t
Pr
o
p
o
s
e
d
To
t
a
l
Sc
h
.

3
4
Sc
h
.

3
4
Sc
h
.

3
4
Sc
h
.

3
4
Li
n
e
Sc
h
.

N
o
r
m
a
l
i
z
e
d
BP
A
Cr
e
d
i
t
Cr
e
d
i
t
Cr
e
d
i
t
Cr
e
d
i
t
No
.
De
s
c
r
i
p
t
i
o
n
No
.
MW
h
MW
h
($
0
0
0
)
(,
/
k
W
h
)
($
0
0
0
)
(,
/
k
W
h
)
(1
)
(2
)
(3
)
(4
)
(5
)
(6
)
(7
)
(8
)
(4
)

x

(
6
)
(4
)

x

(
8
)

Re
s
i
d
e
n
t
i
a
l

S
e
r
v
i
c
e
30
6
32
1
30
6
32
1
($
7
14
6
)
(2
.
33
2
7
)
($
5
88
6
)
(1
.
9
2
1
6
)
Re
s
i
d
e
n
t
i
a
l

O
p
t
i
o
n
a
l

Ta
D
29
9
,
98
4
29
9
,
98
4
($
6
99
8
)
(2
.
33
2
7
)
($
5
76
4
)
(1
.
9
2
1
6
)
Su
b
t
o
t
a
l
60
6
30
4
60
6
30
4
($
1
4
14
3
)
($
1
1
65
1
)
i
I
Ge
n
e
r
a
l

S
v
c
.

-

L
g
.

P
o
w
e
r

(
R
&
F
)
29
,
33
9
29
,
33
9
($
6
8
4
)
(2
.
3
3
2
7
)
($
5
6
4
)
(1
.
9
2
1
6
)
Ir
r
i
g
a
t
i
o
n
67
4
12
4
52
6
,
20
7
($
2
0
,
72
0
)
(3
.
93
7
7
)
($
1
6
60
0
)
(3
.
15
4
6
)
Ge
n
e
r
a
l

S
e
r
v
i
c
e

(
R
&
F
)
23
A
93
1
93
1
($
3
7
2
)
(2
.
33
2
7
)
($
3
0
6
)
(1
.
9
2
1
6
)
Su
b
t
o
t
a
l
71
9
,
39
5
57
1
,
4
7
7
($
2
1
77
6
)
($
1
7
,
4
7
0
)
Se
c
u
r
i
t
y

A
r
e
a

L
i
g
h
t
i
n
g

(
R
&
F
)
12
2
12
2
($
3
)
(2
.
33
2
7
)
($
2
)
(1
.
9
2
1
6
)
Su
b
t
o
t
a
l
12
2
12
2
($
3
)
($
2
)
To
t
a
l
32
5
82
1
17
7
90
3
($
3
5
92
3
)
($
2
9
,
12
3
)
Application Table C
BP A Balancing Account Study for October 2001 - September 2004
TABLE C
UTAH POWER & LIGHT COMPANY- STATE OF IDAHO
RESIDENTIAL EXCHANGE BALANCING ACCOUNT STUDY
October 2001- September 2004 Study
BPA Customer Interest Accumulated
Month Payments Credits Booked Balance
Balance Forward ($302 198)
Oct-834 715 $372 970 $6,111 165,658
Nov-834 715 $231 727 $10,629 779,274
Dec-O 1 834 715 $159,504 $12 731 $7,467 216
Jan-834 715 $190,040 $15,152 $10 127,042
Feb-834 715 054 628 $18 140 $11 925 270
Mar-834 715 188,155 $20,090 $12 591 919
Apr-834 715 768,189 $21 149 $13 679,594
May-834 715 538,990 $21 590 $13,996,908
Jun-834 715 127 169 $17 182 $11 721 636
Jul-834 715 $7,696,589 $10,291 $6,870,052
Aug-834 715 $5,489,395 $6,285 221 657
Sep-834 715 667 757 $3,413 392 028
Subtotal $34 016,575 $31,485,113 $162 764
Oct-931 563 966,837 $3,448 360,203
Nov-931 563 124,484 $3,940 171 222
Dec-931 563 390,437 239 716 587
J an-931 563 509,380 $4,428 143 199
Feb-503 180 862 803 623 788 199
Mar-503 180 543,825 938 $5,753,492
Apr-503,180 292 864 $6,643 $6,970,451
May-503,180 787 582 $7,586 $7,693,635
Jun-503 180 669,240 $4,120 531 695
Jul-503 180 010 387 $20 $24 508
Aug -503 180 271 864 ($3 744 176)
Sep-503,180 779,377 ($6,020 373)
Subtotal $31 751 691 $40,209 079 $44 987
Oct-939 595 796 920 ($5,877,698)
Nov-939,595 691 380 ($4 629,483)
Dec-939,595 898,879 ($3 588 767)
J an-939,595 090,477 ($2 739,649)
Feb-939,595 796,037 ($1 596 091)
Mar-939,595 551 702 ($208,197)
Apr-939,595 361 330 103 371 171
May-939,595 898 170 190 $1,413,787
Jun-939,595 965,059 ($611 676)
Jul-939,595 971 375 ($3 643,456)
Aug-939,595 393 152 ($6,097,012)
Sep-939,595 $3,658,370 ($6,815,787)
Subtotal $35 275 144 $36,072 851 293
Totals $101 043,410 $107 767,043 $210,044
Proposed Reduction in Schedule 34 BP A Credit:($6 800 000)
Application Table D
Proposed Revised Schedule
BlahRIA.,
C. No. 28
Tenth Revised Sheet No. 34.
Canceling Ninth Revised Sheet No. 34.
UTAH POWER & LIGHT COMPANY
ELECTRIC SERVICE SCHEDULE NO.
STATE OF IDAHO
Pacific Northwest Electric Power Planning and Conservation Act
Residential and Farm Kilowatt-Hour Credit
APPLICA TION AND A AILABILITY: This Schedule is applicable and available to qualifying
Residential and/or Farm Customers of Utah Power & Light Company under the jurisdiction of the Idaho
Public Utilities Commission.
MONTHL Y RATES: The monthly charges for service under each of the Electric Service
Schedules shown below shall be reduced by the appropriate monthly kilowatt-hour credit adjustment shown
per kilowatt-hour for all qualifying kilowatt-hours of residential and/or farm use.
Kilowatt-Hour Credit Adjustments
Irrigation Customers:
Schedule No. 10
$0.031546 per kWh
Non-Irrigation Customers:$0.019216 per kWh
Schedule Nos. 1 , 6A, 7A, 23A
35A, 36, 19 with 6A
19 with 23A, 19 with 35A
(Continued)
Submitted Under Case No. PAC-04-
ISSUED: December 15, 2004 EFFECTIVE: January 31 , 2005
ulahHI."
C. No. 28
TenthNinth Revised Sheet No. 34.
Canceling NinthEighth Revised Sheet No. 34.
UTAH POWER & LIGHT COMPANY
ELECTRIC SERVICE SCHEDULE NO.
STATE OF IDAHO
Pacific Northwest Electric Power Planning and Conservation Act
Residential and Farm Kilowatt-Hour Credit
APPLICATION AND A AILABILITY: This Schedule is applicable and available to qualifying
Residential and/or Farm Customers of Utah Power & Light Company under the jurisdiction of the Idaho
Public Utilities Commission.
MONTHL Y RATES: The monthly charges for service under each of the Electric Service
Schedules shown below shall be reduced by the appropriate monthly kilowatt-hour credit adjustment shown
per kilowatt-hour for all qualifying kilowatt-hours of residential and/or farm use.
Kilowatt-Hour Credit Adjustments
Irrigation Customers:
Schedule No. 10
$0.154693++per kWh
Non-Irrigation Customers:$0.1921623327 per kWh
Schedule Nos. 1, 6A, 7A, 23A
35A, 36, 19 with 6A
19 with 23A, 19 with 35A
(Continued)
I Submitted Under Case No. PAC-04-00:
ISSUED: April 21 December 15 2004 EFFECTIVE: June 8, 2004January 3 L 2005