20070206Decision memo.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER SMITH
COMMISSIONER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:WELDON STUTZMAN
DATE:FEBRUARY 2, 2007
SUBJECT:CASE NO. PAC-06-
P ACIFICORP'S REQUEST FOR APPROVAL OF AN IRRIGATION
LOAD CONTROL DISPATCH PILOT PROGRAM
On December 5, 2006, PacifiCorp dba Rocky Mountain Power filed an Application
requesting approval of an Irrigation Load Control Dispatch Pilot Program. Rocky Mountain
currently has an Irrigation Load Control Program that rewards customers who allow the
Company to interrupt service at designated irrigation pump sites. The proposal is for an optional
program in addition to the Irrigation Load Control Program already in place. On January 5
2007, the Commission issued a Notice of Application and Notice of Modified Procedure
establishing a deadline for the filing of written comments. Staff reviewed Rocky Mountain
Application and case documents and filed written comments.
There are two major differences between the proposed pilot and the Company
existing Irrigation Load Control Program. First is the ability to interrupt service at the
Company s choosing rather than on a scheduled basis. Second, the proposed program s pricing
structure is a yearly credit rather than a monthly credit.
In the proposed pilot program, it is expected that a limited number of participants will
be selected, data will be collected, results will be assessed, and changes will be made as needed
in order to make the program more successful. For the 2007 irrigation season the Company
proposes to allow eligible customers served on the Company s Schedule 10 to enroll in the
program on a first-come, first-served basis, up to a total of 45 MW.
At the conclusion of the pilot, Staff recommends the Company conduct an evaluation
of the pilot program. The report should include the number of customers and the number of sites
DECISION MEMORANDUM
participating, amount of load under control, amount of load reduction achieved, the number of
interruptions and the amount of load that failed to be interrupted when scheduled and the reason
for the failure. The report should also provide a detailed cost breakdown, with a cost-effective
analysis, an assessment of customer satisfaction, an analysis of load control equipment, and any
recommended changes in the program.
ST AFF RECOMMENDATIONS
1. Staff recommends the Commission approve Rocky Mountain Power s Application
to implement an Irrigation Load Control Dispatch Pilot Program as proposed.
2. Staff recommends the Commission direct the Company to prepare an evaluation
report for the Commission s review at the conclusion of the 2007 irrigation season.
COMMISSION DECISION
Should Rocky Mountain s Application for approval of an Irrigation Load Control
Dispatch Pilot Program be approved? Should the Company be directed to file a report with the
Commission after the conclusion of the 2007 irrigation season?
Weldon Stutzm
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DECISION MEMORANDUM