20150527Decision Memo.pdf

DECISION MEMORANDUM 1
DECISION MEMORANDUM

TO: COMMISSIONER KJELLANDER
COMMISSIONER REDFORD
COMMISSIONER RAPER
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL

FROM: YAO YIN
DAPHNE HUANG, DAG

DATE: MAY 26, 2015

SUBJECT: UPDATE TO PUBLISHED AVOIDED COST RATES TO REFLECT AN
UPDATED NATURAL GAS PRICE FORECAST OF THE U.S. ENERGY
INFORMATION ADMINISTRATION (EIA), CASE NOS. AVU-E-15-04,
IPC-E-15-16, PAC-E-15-07

Pursuant to the Public Utility Regulatory Policies Act of 1978 (PURPA) and the
implementing regulations of the Federal Energy Regulatory Commission (FERC), the Idaho
Public Utilities Commission (Commission) has approved a Surrogate Avoided Resource (SAR)
methodology for calculation of the avoided cost rate at which PURPA qualifying cogeneration and
small power production facilities (QFs) are paid by Idaho Power, Avista, and PacifiCorp.
Avoided cost rates are the purchase price paid to QFs for purchases of QF capacity and energy.
The release of a new natural gas price forecast by EIA triggered an updated calculation of avoided
cost rates.
UPDATED NATURAL GAS PRICE FORECAST
One of the key input variables in the computation of avoided cost rates in the SAR
methodology is a long-term natural gas price forecast. In accordance with the methodology
approved in Order No. 32697, the “reference case” natural gas price forecast for the Mountain
Region’s Electric Power sector published in EIA’s Annual Energy Outlook serves as the basis for
computing avoided cost rates. In Order No. 32697, the Commission also found that the final
release of Annual Energy Outlook automatically triggers a recalculation of the published avoided
cost rates. In Order No. 32802, the Commission clarified that an update should occur on June 1 or
within 30 days of the final release of the Annual Energy Outlook, whichever is later.
The Annual Energy Outlook 2015 was released on April 14,2015.A copy of the
relevant natural gas price forecast is attached.
STAFF REVIEW
Commission Staff has recomputed avoided cost rates for Idaho Power,Avista,and
PacifiCorp,using EIA’s most recent natural gas price forecast.Staff provided Idaho Power,
Avista,and PacifiCorp with worksheets on May 7,2015,for review and comment,showing the
computation of the updated avoided cost rates.A copy of the rates computed by Staff for all three
utilities is attached.Due to the higher near-term natural gas price forecast,the new avoided cost
rates for the year of 2015 have increased approximately 2 to 4%from the previously published
rates for the same year,depending on the generation type.
STAFF RECOMMENDATION
Staff recommends that the attached avoided cost rates for Idaho Power,Avista,and
PacifiCorp be approved with an effective date of June 1,2015.
COMMISSION DECISION
Presented for Commission approval are the updated published avoided cost rates for
Idaho Power,Avista,and PacifiCorp,which have incorporated the natural gas price forecast
published in the release of EIA’s Annual Energy Outlook 2015.The calculation of the fuel cost
adjustment to published avoided cost rates is arithmetic.Does the Commission wish to approve
the changes in rates effective June 1,2015?
YaoYjki
Daphne Huang,DAG
M:AVU-E-1 5-O4IPC-E-15-1 6_PAC-E-I 5-O7yy_djh
DECISION MEMORANDUM 2
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AVISTA
AVOIDED COST RATES FOR WIND PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects 100 kW or smaller.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 3614 36.87 34.42 35.69 39.37 46.03 2015 36.14
2 36.49 35.69 35.03 37.46 42.57 47.47 2016 36.87
3 35.85 35.69 36.37 40.10 44.56 48.64 2017 34.42
4 35.82 36.51 38.52 42.08 46.05 49.63 2018 35.69
5 36.42 3814 40.31 43.65 47.26 50.45 2019 39.37
6 37.74 39.62 41.81 44.94 48.24 51.36 2020 46.03
7 39 00 40.93 43.08 46.01 49.23 52,30 2021 49.02
8 40.16 42.08 44.15 47.05 50.22 53.09 2022 51.26
9 41.20 43.07 45.19 4808 51.07 53.72 2023 53.11
10 42.12 44.04 46.20 48.95 51.74 54.26 2024 54.44
11 43.02 44.99 47.07 49.67 52.33 54.77 2025 57.08
12 43.91 45.82 47.80 50.30 52.89 55.30 2026 59.76
13 44.69 46.53 48,44 50.88 53.44 55.86 2027 60.70
14 45.37 47.15 49.04 51.46 54.02 56.42 2028 60.85
15 45.97 47.73 49.62 52.04 54.58 56.99 2029 61.52
16 46.52 48.30 50.21 52.62 55.16 57.59 2030 62.75
17 47.07 48.86 50.78 53.19 55.75 58.22 2031 64.81
18 47.61 49.41 51.34 53.78 56.36 58.81 2032 67.22
19 48.14 49.96 51.92 54.38 56.95 59.44 2033 69.31
20 48.66 50.51 52.51 54.95 57.56 60.11 2034 71.76
2035 75.14
2036 78.45
2037 80.37
2038 84.70
2039 89.89
2040 95.35
Note:These rates will be further adjusted with the applicable integration charge.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http://www.eia.gov/forecasts/aeo/tables_ref,cfm#supplementl AVISTA Page 1
AVISTA
AVOIDED COST RATES FOR SOLAR PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects 100 kW or smaller.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 37.42 38.17 34.42 35.69 39.37 47.40 2015 37.42
2 37.78 36.37 35.03 37.46 43.24 48.85 2016 38.17
3 36.74 36.16 36.37 40.52 45.45 50.03 2017 34.42
4 36.51 36.87 38.82 42.72 47.05 51.03 2018 35.69
5 37.00 38.67 40.80 44.42 48.33 51.86 2019 39.37
6 38.42 40.28 42.42 45.80 49.37 52.78 2020 47.40
7 39.77 41.67 43.78 46.94 50.40 53.73 2021 50.42
8 40.99 42.88 44.93 48.03 51.42 54.53 2022 52.67
9 42.07 43.93 46.02 49.10 52.29 55.16 2023 54.54
10 43.03 44.94 47.08 50.01 52.99 55.71 2024 55.89
11 43.97 45.93 47,99 50.76 53.60 56.23 2025 58.56
12 44.89 46.79 48.76 51.41 54.17 56.77 2026 61.26
13 45.70 47.52 49.43 52.01 54.74 57.34 2027 62.22
14 46.39 48.17 50.05 52.61 55.33 57.91 2028 62.39
15 47.01 48.77 50.65 53.22 55.91 58.48 2029 63.08
16 47.59 49.35 51.26 53.81 56.49 59.09 2030 64.34
17 48.15 49.94 51.85 54.39 57.10 59.72 2031 66.43
18 48.71 50.50 52.43 55.00 57.72 60.33 2032 68.86
19 49.25 51.06 53.02 55.61 58.32 60.96 2033 70.97
20 49.78 51.63 53.62 56.20 58.94 61.64 2034 73.45
2035 76.85
2036 80.18
2037 82.13
2038 86.48
2039 91.70
2040 97.19
Note:These rates will be further adjusted with the applicable integration charge.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http://www.eia.govlforecasts/aeo/tables_ref.cfm#supplementl AVISTA Page 2
AVISTA
AVOIDED COST RATES FOR NON-SEASONAL HYDRO PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects smaller than 10 aMW.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 43.32 44.16 34.42 35.69 39.37 53.75 2015 -43.32
2 43.72 39.48 35.03 37.46 46.29 55.25 2016 44.16
3 40.86 38.31 36.37 42.48 49.55 56.47 2017 34.42
4 39.71 38.54 40.23 45.68 51.69 57.51 2018 35.69
5 39.65 41.14 43.07 47.99 53.31 58.39 2019 39.37
6 41.58 43,29 45.28 49.79 54.59 59.34 2020 53.75
7 43.29 45.08 47.06 51.23 55.80 60.34 2021 56.86
8 44.80 46.60 48.53 52.57 56.97 61.18 2022 59.21
9 46.11 47.88 49.89 53.82 57.95 61.85 2023 61.17
10 47.26 49.10 51.15 54.89 58.76 62.44 2024 62.62
11 48.35 50.25 52.25 55.78 59.45 62.99 2025 65.39
12 49.40 51.26 53.16 56.55 60.10 63.57 2026 68.19
13 50.33 52.11 53.96 5725 60.75 64.17 2027 69.25
14 51.13 52.87 54.70 57.94 61.40 64.77 2028 69.52
15 51.84 53.57 55.41 58.63 62.04 65.38 2029 70.32
16 52.50 54.24 56.11 59.30 62.68 66.03 2030 71.68
17 53.14 54.90 56.78 59.95 63.34 66.69 2031 73.88
18 53.77 55.54 57.44 60.62 64.00 67.32 2032 76.42
19 54.37 56.17 58.11 61.29 64.64 67.99 2033 78.64
20 54.96 56.80 58.77 61.93 65.31 68.70 2034 81.23
2035 84.75
2036 88.19
2037 90.26
2038 94.73
2039 100.07
2040 105.68
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http:llwww.eia.govlforecastslaeo/tables_ref cfm#supplementl AVISTA Page 3
AVISTA
AVOIDED COST RATES FOR SEASONAL HYDRO PROJECTS
June 1,2015
$1MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects smaller than 10 aMW.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2010 2020 YEAR RATES
1 33.36 3406 34.42 35.69 39.37 43.05 2015 33.36
2 33.70 34.23 35.03 37.46 41.14 44.46 2016 34.06
3 33.92 34.68 36.37 39.18 42.64 45.61 2017 34.42
4 34.31 35.72 37.85 40.70 43.57 46.58 2018 35.69
5 35.18 36.97 39.24 41.97 44.91 47.39 2019 39.37
6 36.25 38.21 40.46 43.07 45.78 48.27 2020 43.05
7 37.35 39.33 41.53 43.99 46.69 49.20 2021 46.00
8 38.37 40.33 42.45 44.92 47.62 49.97 2022 48.19
9 39.30 41.21 43.37 45.85 48.40 50.57 2023 49.99
10 40.13 42.09 44.28 46.65 49.03 51.10 2024 51.27
11 40.96 42.96 45.07 47.31 49.58 51.59 2025 53.87
12 41.79 43.73 45.73 47.88 50.10 52.11 2026 55.50
13 42.52 44.37 46.31 48.42 50.62 52.65 2027 57.39
14 43.14 44.94 46.85 48.95 51.16 53.19 2028 57.49
15 43.69 45.47 47.39 49.50 51.70 53.74 2029 58.12
16 44.21 46.00 47.93 50.04 52.25 54.33 2030 59.30
17 44.72 46.53 48.46 50.58 52.82 54.94 2031 61.31
18 45.23 47.04 48.99 51.14 53.41 55.52 2032 63.67
19 45.73 47.56 49.53 51.71 53.97 56.14 2033 65.70
20 46.23 48.08 50.09 52.26 54.57 56.80 2034 68.10
2035 71.42
2036 74.68
2037 76.55
2038 80.82
2039 85.95
2040 91.36
Note’A “seasonal hydro project”is defined as a generation facility which produces at least 55%of its annual generation during the
months of June,July,and August.Order 32802.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)’s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http://www.eiagovlforecasts/aeo/tables_ref.cfm#supplementl AVISTA Page 4
AVISTA
AVOIDED COST RATES FOR OTHER PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects smaller than 10 aMW.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 52.51 53.48 34.42 35.69 39.37 63.63 2015 52.51
2 52.98 44.31 35.03 37.46 51.04 6520 2016 53.48
3 47.26 41.65 36.37 45.53 55.93 66.49 2017 34.42
4 44.69 41.15 42.43 50.27 58.92 67.60 2018 35.69
5 43.78 44.99 46.60 53.54 61.06 68.54 2019 39.37
6 46.49 47.98 49.72 55.99 62.71 69.56 2020 63.63
7 48.78 50.38 52.16 57.91 64.20 70.62 2021 66.88
8 50.73 52.37 54.14 59.62 65.60 71.52 2022 69.38
9 52.39 54.04 55.90 61.17 66.77 72.25 2023 71.49
10 53.83 55.56 57.49 62.49 67.73 72.90 2024 73.09
11 55.17 56.98 58.86 63.59 68.56 73.51 2025 76.01
12 56.43 58.21 60,02 64.54 69.34 74.15 2026 78.97
13 57.54 59.26 61.03 65.41 70.09 74.80 2027 80.19
14 58.50 60.18 61.94 66.24 70.84 75.46 2028 80.62
15 59.36 61.03 62.82 67.06 71.57 76.12 2029 81.58
16 60.15 61.85 63.66 67.84 72.30 76.82 2030 83.11
17 60.90 62.63 64.46 68.60 73.04 77.53 2031 85.47
18 61.64 63.39 65.24 69.37 73.78 78.21 2032 88.19
19 62.34 64.11 66.02 70.13 74.49 78.93 2033 90.58
20 63.03 64.84 66.78 70,85 75.22 79.68 2034 93.34
2035 97.04
2036 100.67
2037 102.92
2038 107.57
2039 113.10
2040 118.91
Note:“Other projects”refers to projects other than wind,solar,non-seasonal hydro,and seasonal hydro projects.These “Other projects”
may include (but are not limited to):cogeneration,biomass,biogas,landfill gas,or geothermal projects.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)’s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http://www.eia.gov/forecasts/aeo/tables_ref.cfm#supplementl AVISTA Page 5
IDAHO POWER COMPANY
AVOIDED COST RATES FOR WIND PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects 100 kW or smaller.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 33.36 34.06 34.42 35.69 39.37 43.05 2015 33.36
2 33.70 34,23 35.03 37.46 41.14 45.99 2016 34.06
3 33.92 34.68 36.36 39.17 43.61 47.65 2017 34.42
4 34.31 35.72 37.84 41.39 45.33 48.89 2018 35.69
5 35.17 36.96 39.77 43.09 46.68 49,86 2019 39.37
6 36.24 38.62 41.35 44.47 47.75 50.86 2020 43.05
7 37.68 40.04 42.67 45.59 48.81 51.87 2021 49.17
8 38.96 41.28 43.78 46.68 49.84 52.71 2022 51.40
9 40.10 42.33 44.85 47.73 50.72 53.37 2023 53.25
10 41.09 43.35 45.88 48.63 51.42 53.94 2024 54.59
11 42.05 44.34 46.78 49.37 52.03 54.47 2025 57.23
12 42.98 45.20 47.52 50.01 52.60 55.02 2026 59.91
13 43.80 45.93 48.17 50.80 53.17 55.59 2027 60.85
14 44.50 46.57 48.77 51.19 53.75 56.15 2028 61.00
15 45.13 47.16 49.36 51.78 54.32 56.73 2029 61.68
16 45.70 47.74 49.94 52.35 54.89 57.33 2030 62.91
17 46.27 48.31 50.51 52.92 55.49 57.95 2031 64.98
18 46.82 48.87 51.07 53.51 56.09 58.54 2032 67.39
19 47.36 49.42 51.65 54.10 56.67 59.17 2033 69.48
20 47.88 49.97 52.23 54.67 57.28 59.83 2034 71.93
2035 75.31
2036 78.62
2037 80.55
2038 84.88
2039 90.07
2040 95.53
Note;These rates will be further adjusted with the applicable integration charge.
Note.The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http;llwww.eia.gov/forecastslaeo/tables_ref.cfm#supplemenhl IDAHO POWER COMPANY Page 1
IDAHO POWER COMPANY
AVOIDED COST RATES FOR SOLAR PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects 100 kW or smaller.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 3336 34.06 34.42 35.69 39.37 43.05 2015 33.36
2 33.70 34.23 35.03 37.46 41.14 60.03 2016 34.06
3 33.92 34.68 3636 39.17 52.60 66.50 2017 34.42
4 34.31 35.72 37.84 47.86 58.90 70.23 2018 35.69
5 35.17 36.96 44.73 53.50 63.05 72.76 2019 39.37
6 36.24 42.59 49.66 57.55 66.04 74.86 2020 43.05
7 40.94 46.87 53.42 60.62 68.52 76.69 2021 78.40
8 44.69 50.28 56.38 63.20 70.65 78.19 2022 81.07
9 47.76 53.05 58.91 65.44 72.41 79.40 2023 83.35
10 50.32 55.46 61.13 67.31 73.84 80.43 2024 85.12
11 52.57 57.59 63.01 68.86 75.07 81.37 2025 88.22
12 54.59 59.43 64.59 70.19 76.17 82.28 2026 91.35
13 56,35 60.99 65.97 71.39 77.21 83.17 2027 92.75
14 57.86 62.35 67.20 72.51 78.21 84.03 2028 93.37
15 59,19 63.58 68.35 73.57 79.16 84.88 2029 94.51
16 60.39 64.73 69.43 74.57 80.07 85.73 2030 96.23
17 61.51 65.80 70.45 75.52 80.98 86.58 2031 98.78
18 62.56 66.81 71.41 76.45 81.87 87.39 2032 101.69
19 63.55 67.77 72.35 77.36 82.71 88.22 2033 104.28
20 64.49 68.70 73.27 78.22 83.56 89.07 2034 107.25
2035 111.14
2036 114.98
2037 117.44
2038 122.31
2039 128.05
2040 134.07
Note:These rates will be further adjusted with the applicable integration charge.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http://www.eia.gov/forecastslaeo/tables_ref.cfm#supplementl IDAHO POWER COMPANY Page 2
IDAHO POWER COMPANY
AVOIDED COST RATES FOR NON-SEASONAL HYDRO PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects smaller than 10 aMW.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 33.36 34.06 34.42 35.69 39.37 43.05 2015 33.36
2 33.70 34.23 35.03 37.46 41.14 58.67 2016 34.06
3 33.92 34.68 36.36 39.17 51.72 64.67 2017 34.42
4 34.31 35.72 37.84 47.23 57.58 68.16 2018 35.69
5 35.17 36.96 44.25 52.49 61.46 70.53 2019 39.37
6 36.24 42.20 48.85 56.28 64.27 72.53 2020 43.05
7 40.62 46.21 52.37 59.16 66.60 74.28 2021 75.56
8 44.13 49.41 55.16 61.60 68.63 75.72 2022 78.19
9 47.02 52.01 57.54 63.72 70.30 76.87 2023 80.43
10 49.42 54.28 59.65 65.49 71.66 77.86 2024 82.16
11 51.55 56.31 61.43 66.96 72.83 78.76 2025 85.21
12 53.47 58.04 62.94 68.23 73.88 79.63 2026 88.30
13 55.13 59.52 64.24 69.37 74.88 80,50 2027 89.65
14 56.56 60.82 65.41 70.44 75.84 81.33 2028 90.23
15 57.82 61.99 66.51 71.45 76.75 82.14 2029 91.33
16 58.97 63.08 67.54 72.41 77.63 82.97 2030 92.99
17 60.03 64.11 68.51 73.32 78.50 83.80 2031 95.50
18 61.04 65.07 69.44 74.23 79.37 84.59 2032 98.36
19 61.98 65.99 70.34 75.11 80.18 85.40 2033 100.90
20 62.88 66.88 71.22 75.94 81.01 86.23 2034 103.82
2035 107.66
2036 111.45
2037 113.86
2038 118.67
2039 124.37
2040 130.33
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http:llwww.eia.govlforecasts/aeo/tables_ref.cfm#supplementl IDAHO POWER COMPANY Page 3
IDAHO POWER COMPANY
AVOIDED COST RATES FOR SEASONAL HYDRO PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects smaller than 10 aMW.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 33.36 34.06 34.42 35.69 39.37 43.05 2015 33.36
2 33.70 34.23 35.03 37.46 41.14 68.22 2016 34.06
3 33.92 34.68 36.36 39.17 57.84 77.49 2017 34.42
4 34.31 35.72 37.84 51.63 66.81 82.67 2018 35.69
5 35.17 36.96 47.63 59.57 72.60 86.11 2019 39.37
6 36.24 44.90 54.51 65.18 76.72 88.85 2020 43.05
7 42.84 50.86 59.68 69.39 80.01 91.17 2021 95.45
8 48.03 5553 63.72 72.83 82.78 93.06 2022 98.37
9 52.23 59.30 67.11 75.76 85.06 94.58 2023 100.90
10 55.70 62.52 70.02 78.20 86.92 95.89 2024 102.93
11 58.71 65.32 72.48 80.22 88.51 97.07 2025 106.29
12 61.37 67.72 74.55 81.97 89.92 98.18 2026 109.69
13 63.66 69.77 76.35 83.52 91.24 99.27 2027 111.35
14 65.65 71.56 77.95 84.94 92.48 100.30 2028 112.24
15 67.39 73.16 79.43 86.28 93.65 101.30 2029 113.67
16 68.96 74.63 80.80 87.52 94.76 102.30 2030 115.66
17 70.40 76.01 82.08 88.70 95.84 103.28 2031 118.50
18 71.75 77.28 83.28 89.84 96.90 104.22 2032 121.70
19 73.00 78.48 84.43 90.93 97.90 105.17 2033 124.58
20 74.17 79.63 85.54 91.96 98.89 106.13 2034 127.84
2035 132.04
2036 136.19
2037 138.96
2038 144.14
2039 150.21
2040 156.55
Note:A “seasonal hydro project is defined as a generation facility which produces at least 55%of its annual generation during the
months of June,July,and August.Order 32802.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http://www eia.gov/forecasts/aeoltablesref.cfm#supplementi IDAHO POWER COMPANY Page 4
IDAHO POWER COMPANY
AVOIDED COST RATES FOR OTHER PROJECTS
June 1,2015
$1MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects smaller than 10 aMW.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2018 2017 2018 2019 2020 YEAR RATES
1 33.36 34.06 34.42 35.69 39.37 43.05 2015 33.36
2 33.70 34.23 35.03 37.46 41.14 54.97 2016 34.06
3 33.92 34.68 36.36 39.17 4935 59.70 2017 34.42
4 34.31 35.72 37.84 45.52 54.01 62.53 2018 35.69
5 35.17 36.96 42.94 49.74 57.15 64.50 2019 39.37
6 36.24 41.16 46.66 52.83 59.45 66.20 2020 43.05
7 39.76 44.41 49.54 55.20 61.41 67.74 2021 67.86
8 42.62 47.03 51.84 57.24 63.15 69.00 2022 70.37
9 45.00 49.19 53.84 59.05 64.59 70.01 2023 72.50
10 46.99 51.09 55.63 60.57 65.76 70.88 2024 74.11
11 48.78 52.81 57.16 61.83 66.76 71.67 2025 77.05
12 50.41 54.30 58.44 62.92 67,67 72.45 2026 80.02
13 51.82 55.56 59.55 63.90 68.54 73.23 2027 81.25
14 53.04 56.66 60.56 64.82 69.39 73.98 2028 81.70
15 54.12 57.66 61.50 65.71 70.20 74.73 2029 82.68
16 55.10 58.60 62.41 66.56 70.99 75.49 2030 84.22
17 56.01 59.50 63.26 67.37 71.79 76.26 2031 86.59
18 56.89 60.34 64.08 68.18 72.58 76.99 2032 89.32
19 57.71 61.15 64.89 68.98 73.32 77.74 2033 91.74
20 58.50 61.95 65.68 69.73 74.08 78.53 2034 94.51
2035 98.22
2036 101.87
2037 104.14
2038 108.81
2039 114.36
2040 120.18
Note:“Other projects”refers to projects other than wind,solar,non-seasonal hydro,and seasonal hydro projects.These “Other projects’
may include (but are not limited to):cogeneration,biomass,biogas,landfill gas,or geothermal projects.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http://www.eia.gov/forecasts/aeoltables_ref.cfm#supplementl
IDAHO POWER COMPANY Page 5
PACIFICORP
AVOIDED COST RATES FOR WIND PROJECTS
-June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects 100 kW or smaller.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 36.21 36.94 37.35 38.66 42.38 46.10 2015 36.21
2 36.56 37.14 37.98 40.45 44.17 47.54 2016 36.94
3 36.80 37.61 39.33 42.19 45.69 48.71 2017 37.35
4 37.21 38.67 40.84 43.72 46.94 49.70 2018 38.66
5 38.10 39.93 42.25 45.02 48.01 50.52 2019 42.38
6 39.19 41.18 43.49 46.13 48.89 51.43 2020 46.10
7 40.30 42.32 44.57 47.07 49.82 52.37 2021 49.10
8 41.34 43.34 45.51 48.02 50.76 53.16 2022 51.33
9 42.29 44.24 46.44 48.97 51.57 53.79 2023 53.18
10 43.13 45.13 47.37 49.79 52.21 54.33 2024 54.51
11 43.98 46.02 48.17 50.46 52.78 54.84 2025 57.16
12 44.81 46,80 48.85 51.04 53.31 55.37 2026 59.84
13 45.56 47.45 49.44 51.59 53.85 55.92 2027 60.78
14 46.19 48.04 49.99 52.14 54.40 56.48 2028 60.93
15 46.76 48.58 50.54 52.70 54.96 57.05 2029 61.60
16 47.29 49.12 51.10 53.25 55.52 57.65 2030 62.83
17 47.81 49.66 51.64 53.81 56.10 58.27 2031 64.90
18 48.34 50.19 52.18 54.38 56.70 58.86 2032 67.31
19 48.84 50.71 52.74 54.96 57.28 59.49 2033 69.40
20 49.35 51.25 53.30 55.52 57.88 60.16 2034 71.85
2035 75.23
2036 78.54
2037 80.46
2038 84.79
2039 89.98
2040 95.45
Note:These rates will be further adjusted with the applicable integration charge.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http:llwww.eia.gov/forecasts/aeoltables_ref.cfm#supplementl PACIFICORP Page 1
PACIFICORP
AVOIDED COST RATES FOR SOLAR PROJECTS
June 1,2015
$IMWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects 100 kW or smaller.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2015 2017 2018 2019 2020 YEAR RATES
1 62.42 63.54 64.34 66.04 70.17 74.29 2015 62.42
2 62.96 63.93 65.16 68.03 72.15 75.93 2016 63.54
3 63.39 64.58 66.70 69.96 73.86 77.29 2017 64.34
4 63.98 65.82 68.39 71.68 75.30 78.48 2018 66.04
5 65.03 67.26 69.97 73.16 76.55 79.49 2019 70.17
6 66.29 68.69 71.39 74.45 77.62 80.58 2020 74.29
7 67.57 70.00 72.65 75.56 78.73 81.70 2021 77.70
8 68.78 71.18 73.76 76.68 79.84 82.67 2022 80.35
9 69.89 72,24 74.85 77.80 80.82 83.46 2023 82.63
10 70.89 73.30 75.94 78.78 81.63 84.17 2024 84.39
11 71.89 74.34 76.91 79.61 82.36 84.85 2025 87.48
12 72.87 75.27 77.74 80.36 83.05 85.54 2026 90.60
13 73.76 76.07 78.48 81.06 83.74 86.26 2027 91.99
14 74.54 76.80 79.18 81.76 84.45 86.97 2028 92.59
15 75.25 77.49 79.87 82.46 85.15 87.69 2029 93.73
16 75.92 78.17 80.57 83.16 85.86 88.43 2030 95.43
17 76.57 78.84 81.25 83,85 86.58 89.19 2031 97.98
18 77.22 79.50 81.92 84.55 87.32 89.93 2032 100.87
19 77.86 80.15 82.61 85.27 88.02 90.69 2033 103.46
20 78.48 80.81 83.30 85.95 88.76 91.49 2034 106.41
2035 110.29
2036 114.11
2037 116.56
2038 121.42
2039 127.15
2040 133.16
Note:These rates will be further adjusted with the applicable integration charge.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)’s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http://www.eia.gov/forecasts/aeoltables_ref.cfm#supplementl PACIFICORP Page 2
PACIFICORP
AVOIDED COST RATES FOR NON-SEASONAL HYDRO PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects smaller than 10 aMW.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 59.88 60.96 61.72 63.38 67.47 71.56 2015 59.88
2 60.40 61.33 62.52 65.35 69.44 73.18 2016 60.96
3 60.81 61.96 64.04 67.26 71.13 74.52 2017 61.72
4 61.38 63.18 65.71 68.96 72.55 75.69 2018 63.38
5 62.42 64.61 67.28 70.42 73.78 76.68 2019 67.47
6 63.66 66.02 68.68 71.70 74.83 77.75 2020 71.56
7 64.93 67.31 69.92 72.80 75.92 78.85 2021 74.92
8 66.11 68.48 71.01 73.90 77.02 79.80 2022 77.54
9 67.21 69.52 72.10 75.00 77.98 80.58 2023 79.77
10 68.19 70.56 73.17 75.96 78.77 81.28 2024 81.49
11 69.18 71.59 74,12 76.78 79.49 81.94 2025 84.53
12 70.15 72.50 74.93 77.51 80.16 82.61 2026 87.61
13 71.03 73.30 75.66 78.20 80.84 83.31 2027 88.96
14 71.79 74.01 76.35 78.88 81.54 84.01 2028 89.52
15 72.48 74.69 77.03 79.57 82.22 84.71 2029 90.61
16 73.14 75.35 77.71 80.25 82.91 85.44 2030 92.27
17 73.78 76.01 78.37 80.93 83.62 86.19 2031 94.77
18 74.42 76.66 79.03 81.62 84.35 86.91 2032 97.62
19 75.04 77.29 79.71 82.33 85.04 87.66 2033 100.15
20 75.65 77.94 80.39 83.00 85.76 88.45 2034 103.05
2035 106.89
2036 110.66
2037 113.06
2038 117.86
2039 123.54
2040 129.50
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)’s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http:/fwww.eia.govlforecastsfaeo/tables_ref.cfm#supplement/PACIFICORP Page 3
PACIFICORP
AVOIDED COST RATES FOR SEASONAL 1-IYDRO PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects smaller than 10 aMW.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2018 2019 2020 YEAR RATES
1 77.72 79.06 80.08 82.01 86.38 90.74 2015 77.72
2 78.36 79.55 81.01 84.11 88.47 92.49 2016 79.06
3 78.89 80.31 82.66 86.15 90.29 93.97 2017 80.08
4 79.59 81.66 84.46 87.98 91.85 95.26 2018 82.01
5 80.74 83.21 86.15 89.57 93.20 96.38 2019 86,38
6 82.11 84.73 87.67 90.96 94.38 97.58 2020 90.74
7 83.48 86.14 89.03 92.18 95.59 98.81 2021 94.39
8 84.78 87.42 90.23 93.40 96.81 99.88 2022 97.28
9 85.99 88.58 91.43 94.61 97.88 100.78 2023 99.80
10 87.08 89.72 92.61 95.69 98.79 101.58 2024 101.82
11 88.17 90.85 93.67 96.62 99.61 102.36 2025 105.16
12 89.24 91.87 94.59 97.45 100.40 103.14 2026 108.54
13 90.22 92.77 95.42 98,24 101.18 103.95 2027 110.19
14 91.08 93.58 96.21 99.03 101.98 104.75 2028 111.07
15 91.87 94.35 96.98 99.82 102.77 105.56 2029 112.47
16 92.62 95.11 97.76 100.60 103.55 106.39 2030 114.45
17 93.35 95.86 98.52 101.37 104.36 107.23 2031 117.27
18 94.07 96.60 99.27 102.15 105.18 108.05 2032 120.45
19 94.78 97.32 100.03 102.95 105.96 108.89 2033 123.32
20 95.48 98.05 100.79 103.70 106.77 109.76 2034 126.56
2035 130.74
2036 134.87
2037 137.62
2038 142.79
2039 148.83
2040 155.16
Note:A ‘seasonal hydro project”is defined as a generation facility which produces at least 55%of its annual generation during the
months of June,July,and August.Order 32802.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (EIA)’s Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http:/Iwww.eia.gov/forecastslaeo/tablesref.cfm#supplementf PACIFICORP Page 4
PACIFICORP
AVOIDED COST RATES FOR OTHER PROJECTS
June 1,2015
$/MWh
New Contracts and Replacement Contracts without Full Capacity Payments
Eligibility for these rates is limited to projects smaller than 10 aMW.
LEVELIZED NON-LEVELIZED
CONTRACT ON-LINE YEAR
LENGTH CONTRACT NON-LEVELIZED
(YEARS)2015 2016 2017 2016 2019 2020 YEAR RATES
1 52.97 53.95 54.61 56.17 60.15 64.13 2015 52.97
2 53.44 54.27 55.36 58.08 62.06 65.70 2016 53.95
3 53.80 54.85 56.83 59.95 63.70 66.99 2017 54.61
4 54.33 56.03 58.45 61.60 65.08 68.10 2018 56.17
5 55.32 57.41 59.98 83.01 66.26 69.04 2019 60.15
6 56.52 58.77 61.33 64.24 67.26 70.07 2020 64.13
7 57.74 60.02 62.53 65.29 68.31 71.13 2021 67.39
8 58.88 61.15 63.57 66.35 69.36 72.03 2022 69.89
9 59.94 62.15 64.61 67.40 70.27 72.76 2023 72.01
10 60.88 63.14 65.64 68.33 71.02 73.41 2024 73.62
11 61.82 64.13 66.55 69.10 71.69 74.03 2025 76.55
12 62.76 65.00 67.32 69.79 72.33 74.66 2026 79.51
13 63.59 65.76 68.01 70.43 72.97 75.32 2027 80.74
14 64.32 66.43 68.66 71.08 73.62 75.98 2028 81.18
15 64.98 67.07 69.30 71.73 74.27 76.64 2029 82.15
16 65.60 67.70 69.94 72.38 74.92 77.33 2030 83.68
17 66.20 68.32 70.57 73.02 75.59 78.04 2031 86.05
18 66.81 68.93 71.20 73.67 76.28 78,73 2032 88.77
19 67.40 69.54 71.84 74.34 76.94 79.44 2033 91.18
20 67.98 70.15 72.48 74.98 77.62 80.19 2034 93.95
2035 97.65
2036 101.29
2037 103.55
2038 108.21
2039 113.75
2040 119.56
Note:“Other projects”refers to projects other than wind,solar,non-seasonal hydro,and seasonal hydro projects.These “Other projects”
may include (but are not limited to):cogeneration,biomass,biogas,landfill gas,or geothermal projects.
Note:The rates shown in this table have been computed using the U.S.Energy Information Administration (ElAys Annual Energy
Outlook 2015,released April 14,2015.See Annual Energy Outlook 2015,Table 3.8 Energy Prices by Sector-Mountain at
http:I/www.eia.gov/forecastslaeoltables_ref.cfm#supplementi PACIFICORP Page 5