20120215notice_of_application_order_no_32460.pdf

Office of the Secretary
Service Date
February 15,2012
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )
OF ROCKY MOUNTAIN POWER FOR )CASE NO.PAC-E-12-03
AUTHORITY TO INCREASE RATES )
THROUGH THE ENERGY COST )NOTICE OF APPLICATION
ADJUSTMENT MECHANISM (ECAM))
)NOTICE OF
)MODIFIED PROCEDURE
)
)NOTICE OF
)INTERVENTION DEADLINE
)
_______________________________
)ORDER NO.32460
On February 1,2012,PacifiCorp dba Rocky Mountain Power (“RMP”or
“Company”)submitted its annual Energy Cost Adjustment Mechanism (“ECAM”)filing in
accordance with Idaho Code §61-502 and 61-503,and Rule of Procedure 52.RMP proposes
an effective date of April 1,2012 for its Application.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that on September 29,2009,the Commission
issued Order No.30904 approving the implementation and submission of an annual ECAM
filing by the Company.The costs included in the ECAM are net power costs (“NPC”),as
defined in the Company’s general rate cases and modeled by the Company’s GRID model.Base
and actual NPC are booked into specific FERC accounts.The ECAM process allows the
Company to credit or collect the difference between the actual NPC incurred to serve its Idaho
customers and the NPC collected through rates.RIVIP defers the difference into an ECAM
balancing account.
YOU ARE FURTHER NOTIFIED that the ECAM includes five additional
components:the Load Growth Adjustment Rate (“LGAR”)or Load Change Adjustment Rate
(“LCAR”),a credit for SO2 allowance sales,an adjustment for the treatment of coal stripping
costs,a renewable resource adder for the renewable resources that are not yet in rate base and a
true-up of renewable energy credit (“REC”)revenues,as authorized by the Commission in Order
No.32196.The ECAM includes a 90%(customers)/10%(Company)“sharing band”wherein
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF INTERVENTION DEADLINE
ORDER NO.32460 1
customers pay/receive the increase/decrease in actual NPC compared to base NPC and RMP
incurs/retains the remaining 10%.
YOU ARE FURTHER NOTIFIED that RMP is requesting a Commission Order
approving the recovery of power costs deferred by the Company for the period of December 1,
2010 through November 30,2011.
YOU ARE FURTHER NOTIFIED that RMP is requesting Commission approval to
add approximately $18.1 million to the ECAM deferral balancing account.
YOU ARE FURTHER NOTIFIED that RMP also proposes to adjust Schedule 94 to
collect approximately $13.0 million over the period beginning April 1,2012 through March 31,
2013,representing an increase of $2.6 million over Schedule 94 rates currently in effect as
approved in Order No.32216 of Case No.PAC-E-1 1-07.
YOU ARE FURTHER NOTIFIED that RMP’s Application states that,effective
January 1,2011,Monsanto and Agrium’s loads are included in the calculation of the ECAM
balances in this ECAM filing.Pursuant to a stipulation approved by the Commission in Order
No.32432,PAC-E-1 1-12,the Company will amortize and collect Monsanto and Agrium’s share
of the Commission-approved 2011 ECAM balances over a three-year period.
YOU ARE FURTHER NOTIFIED that RMP does not request a change in the ECAM
surcharge rate to recover the full $24.1 million currently residing in the ECAM deferral
balancing account.RMP believes that approximately $3.0 million of the balance will be
recovered through Schedule 94 rates from December 1,2011 to March 31,2012.
YOU ARE FURTHER NOTIFIED that the Company intends to address the
remaining balance in future ECAM filings.RMP projects that any increase in the collection rate
this year would be followed by a decrease in the rate next year.RMP has issued a press release
sent to local media organizations and messages in customer bills over the course of a billing
cycle.
YOU ARE FURTHER NOTIFIED that RMP has attached a copy of the direct
testimony,including exhibits,of Gregory N.Duvall,Director of Net Power Costs,and William
R.Griffith,Director of Pricing,Cost of Service &Regulatory Operations,in support of its
Application.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF INTERVENTION DEADLINE
ORDER NO.32460 2
YOU ARE FURTHER NOTIFIED that RMP has requested that this matter be
processed through Modified Procedure.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER i’OTIFIED that the Commission has reviewed the Company’s
filing in Case No.PAC-E-12-03 and finds that the public interest may not require a formal
hearing in this matter and will proceed 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.The Commission notes that Modified Procedure and written comments have
proven to be an effective means for obtaining public input and participation.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position
concerning RMP’s ECAM Application may file a written comment in support or opposition with
the Commission.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 RMP’s ECAM Application shall be filed with the Commission no
later than Tuesday,March 13,2012.Written comments concerning this filing should be
mailed to the Commission and the Company at the addresses written below:
Commission Secretary Ted Weston
Idaho Public Utilities Commission Idaho Regulatory Affairs Manager
P0 Box 83720 Rocky Mountain Power
Boise,ID 83720-0074 201 S.Main,Suite 2300
Salt Lake City,UT 84111
Street Address for Express Mail:E-mail:ted.weston(pacificorp.corn
472 W.Washington Street Yvonne R.Hogle
Boise,ID 83702-5918 Senior Counsel
Rocky Mountain Power
201 5.Main,Suite 2300
Salt Lake City,UT 84111
E-mail:Yvonne,hoglepacificorp.com
These comments should contain the case caption and case number shown on the first page of this
document.Persons desiring to submit comments via e-mail may do so by accessing the
Commission’s home page located at www.puc.idaho.gov.Click the “Comments and Questions”
icon,and complete the comment form,using the case number as it appears on the front of this
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF 1Th.JTERVENTION DEADLINE
ORDER NO.32460 3
document.These comments must also be sent to Rocky Mountain at the e-mail addresses listed
above.
YOU ARE FURTHER NOTIFIED that RMP’s ECAM Application can be viewed at
www.puc.idaho.gov by clicking on “File Room”and Electric Cases,”or it can be viewed during
regular business hours at the Idaho Public Utilities Commission,472 West Washington St.,
Boise,Idaho and Rocky Mountain Power Headquarters,201 S.Main,Salt Lake City,UT 84111.
YOU ARE FURTHER NOTIFIED that the Idaho Public Utilities Commission has
jurisdiction over the Company,its filing and the issues pertaining to this case pursuant to Title 61
of the Idaho Code.
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 etseq.
NOTICE OF INTERVENTION DEADLINE
YOU ARE FURTHER NOTIFIED that persons desiring to intervene in Case No.
PAC-E-12-03 for the purpose of becoming a party,i.e.,to present evidence,to acquire rights of
cross-examination,to participate in settlement or negotiation conferences,and to make and argue
motions must file a Petition to Intervene with the Commission pursuant to Rules 72 and 73 of the
Commission’s Rules of Procedure,IDAPA 31.01.01.072 and .073.Persons desiring to acquire
intervenor rights of participation must file a Petition to Intervene on or before Tuesday,
February 28,2012.Persons desiring intervenor status shall also provide the Commission
Secretary with their electronic mail address to facilitate future communications in this matter.
ORDER
IT IS HEREBY ORDERED that persons interested in submitting written comments
regarding RMP’s ECAM Application should do so no later than March 13,2012.
IT IS FURTHER ORDERED that persons desiring to intervene in this case for the
purpose of presenting evidence or cross-examination at hearing shall file a Petition to Intervene
with the Commission no later than February 28,2012.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF INTERVENI’ION DEADLINE
ORDER NO.32460 4
DONE by Order of the Idaho Public Utilities Commission at Boise,idaho this /6
day of February 2012.
PAUL KJEL ER.PRES T
ATTEST:
/ji 4&4
Jean D.Jewe{I
Commission Secretary
O:PAC-E-12-03_np
NOTICE OF APPLICATION
NOTiCE OF MODIFIED PROCEDURE
NOTICE OF INTERVENTION DEADLINE
ORDER NO.32460
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MACK A.REDFORD,COMMISSIONER
MARSHA H.SMITH,COMMISSIONER
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