20070822notice_of_modified_procedure.pdf

Office of the Secretary
Service Date
August 22, 2007
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE PETITION OF
ROCKY MOUNTAIN POWER FOR AN
ORDER REVISING CERTAIN
OBLIGATIONS TO ENTER INTO
CONTRACTS TO PURCHASE ENERGY
GENERATED BY WIND-POWERED SMALL
POWER GENERATION QUALIFYING
FACILITIES
CASE NO. P AC-O7-
NOTICE OF
MODIFIED PROCEDURE
NOTICE OF
COMMENT/PROTEST DEADLINE
On April 23 , 2007, PacifiCorp dba Rocky Mountain Power (PacifiCorp; Company)
filed an Application with the Idaho Public Utilities Commission (Commission) requesting a
change in the Company s PURPA obligations for wind QFs. PacifiCorp proposes restoring the
cap on entitlement to published avoided cost rates for wind-powered small power generation
facilities that are qualifying facilities (QFs) under Sections 201 and 210 of the Public Utility
Regulatory Policies Act of 1978 (PURPA) from the current level of 100 kW to 10 average
megawatts per month (10 aMW), subject to the following conditions:
1. Reducing the published avoided cost rates applicable to purchases by
PacifiCorp of electric power from wind-powered QFs by $5.04 per MWh
which amount represents the inflation-adjusted integration costs of that
wind power, to be applied against published avoided cost rates except in
those circumstances where the QF developer agrees in the power
purchase agreement with PacifiCorp to deliver QF output to PacifiCorp
on a firm hourly schedule;
2. Removing the requirement that the 90%/110% performance band be
applied to purchases from wind-powered QFs;
3. Authorizing PacifiCorp to purchase state-of-the-art wind forecasting
services to provide PacifiCorp with forecasted wind conditions in those
geographic areas in which wind generation resources are located
provided that QFs will reimburse PacifiCorp for their share of the on-
going cost of the wind forecasting service, in proportion to their
percentage share of the wind-generator capability being supplied to
PacifiCorp from that area;
4. Requiring QFs to deliver a "mechanical availability guarantee" to
PacifiCorp to demonstrate monthly, except for scheduled maintenance
and events of force majeure or uncontrollable force, that the QF was
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT/PROTEST DEADLINE
physically capable and available to generate a full output during 85% of
the hours in a month;
5. ... (Disaggregation issue - separately noticed on June 28 2007)
6. Clarifying that the cap on entitlement to published avoided cost rates
shall be restored to 10 aMW only until PacifiCorp s renewable targets for
each calendar year in the most recently acknowledged Integrated
Resource Plan are met.
A Notice of Petition in Case No. PAC-07-07 was issued on May 15 , 2007. A
Notice of Discussion Regarding Procedure was issued on June 4, 2007. On June 28, 2007, the
Commission issued a Notice establishing an intervention deadline of July 18, 2007. The
following parties requested and were granted intervenor status: Intermountain Wind LLC;
Exergy Development Group of Idaho LLC; Renewable NW Project and NW Energy Coalition;
Idaho Windfarms LLC; A vista Corporation; and INL Biofuels and Renewable Energy
Technologies.
On July 31 and August 10, 2007 Commission Staff sponsored joint settlement
workshops in Case Nos. PAC-07-07 (PacifiCorp), IPC-07-03 (Idaho Power), and A VU-
07-02 (A vista) to explore whether parties of record could agree to a common generic wind
integration adjustment to published rates. IDAPA 31.01.01.272-276.
The Commission has been informed that the participants in the joint settlement
workshops were unable to reach a compromise generic settlement. In consideration of the
foregoing and based on its review of the filings of record in Case No. PAC-07-, YOU ARE
HEREBY NOTIFIED that the Commission has preliminarily found that the public interest
regarding PacifiCorp s proposed wind integration adjustment (with related proposed rate
methodology modifications) may not require a hearing to consider those issues and that the
Company s Petition on those issues may be processed under Modified Procedure , by
written submission rather than by hearing. Reference Commission Rules of Procedure, IDAP A
31.01.01.201-204.
YOU ARE FURTHER NOTIFIED that the Commission may not hold a hearing in
this proceeding unless it receives written protests or comments opposing the use of Modified
Procedure and stating why Modified Procedure should not be used.
31.01.01.203.
Reference IDAP A
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT/PROTEST DEADLINE
YOU ARE FURTHER NOTIFIED that the deadlines for filing written comments
or protests with respect to the Petition and the Commission s use of Modified Procedure in Case
No. PAC-07-07 are as follows:
Initial Comment Deadline
Reply Deadline
Friday, September 21 , 2007
Friday, October 5 , 2007
Persons desiring a hearing must specifically request a hearing in their written protests or
comments.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are
received within the deadline, the Commission may consider the matter on its merits and may
enter its Order without a formal hearing. If comments or protests are filed within the deadline,
the Commission will consider them and in its discretion may set the matter for hearing or may
decide the matter and issue its Order based on the written positions before it. Reference IDAP A
31.01.01.204.
YOU ARE FURTHER NOTIFIED that the Petition in Case No. PAC-07-07 may
be viewed at www.puc.idaho.gov by clicking on "File Room" and "Electric Cases " or can be
viewed during regular business hours at the Idaho Public Utilities Commission, 472 W.
Washington Street, Boise, Idaho and at the Idaho offices ofPacifiCorp.
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT/PROTEST DEADLINE
DATED at Boise, Idaho this
;;..;;.. M day of August 2007.
1k~MARSHA H. SMITH, COMMIS oNER
ATTEST:
~el
Co mission Secretary
bls!N:PAC-O7-03 sw5
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT/PROTEST DEADLINE