20200401Customer Notice and News Release.pdf

CUSTOMER NOTICES

RECEIVED
2020 April 1,PM1:23
IDAHO PUBLIC
UTILITIES COMMISSION
Rocky Mountain Power requests
recovery of power costs.
On April 1, 2020, Rocky Mountain Power asked the
Idaho Public Utilities Commission to approve the 2019
incremental energy related costs of $21.2 million, a net
increase of $8.6 million above the revenues currently
collected through the energy cost adjustment mecha-
nism. The energy cost adjustment mechanism is designed
to track the difference between the company’s actual
costs to provide electricity to Idaho customers and the
amount collected from customers through current prices.
This increase was partially offset by amortization of the
2017 Federal Tax Act. Pending commission approval, the
increase would take effect June 1, 2020. All customer
classes will see a net increase to their rates resulting
from the recent changes in costs of providing energy to
customers. The proposed adjustment will allow Rocky
Mountain Power to continue to provide safe, reliable
electric service to its customers.
Typical residential customers using 800 kilowatt-hours
per month would see an increase of approximately
$2.04 a month on their electricity bill. The following is a
summary of the percentage impacts by customer class:
• Residential Schedule 1 – 2.2% increase
• Residential Schedule 36 – 2.6% increase
• General Service Schedule 6 – 3.1% increase
• General Service Schedule 9 – 3.6% increase
• Irrigation Service Schedule 10 – 2.7% increase
• Commercial & Industrial Heating Schedule 19 –
2.9% increase
• General Service Schedule 23 – 2.5% increase
• General Service Schedule 35 – 3.7% increase
• Public Street Lighting – 1.2% increase
• Tariff Contract 400 – 3.8% increase
• Tariff Contract 401 – 3.9% increase
The public will have an opportunity to comment on the
proposal during the coming months as the commission
studies the company’s request. The commission must ap-
prove the proposed changes before they can take effect.
A copy of the company’s application is available for public
review on the commission’s website at
www.puc.idaho.gov under Case No. PAC-E-20-02.
Customers may file written comments regarding the
application with the commission or subscribe to the
commission’s RSS feed to receive periodic updates via
email about the case. Copies of the proposal are also
available for review at the company’s offices in Rexburg,
Preston, Shelley and Montpelier.
Idaho Public Utilities Commission
11331 W Chinden Blvd
Building 8 Suite 201A
Boise, ID 83714
www.puc.idaho.gov
Rocky Mountain Power offices
• Rexburg – 127 East Main
• Preston – 509 S. 2nd E.
• Shelley – 852 E. 1400 N.
• Montpelier – 24852 U.S. Hwy 89
For more information about your rates and rate sched-
ule, go to rockymountainpower.net/rates.
Annual energy cost adjustment
Proposed net price increase

FOR IMMEDIATE RELEASE
Media Hotline [phone]

Higher energy market costs in 2019 prompt
price increase request for Idaho customers
Annual energy cost adjustment

BOISE, Idaho (April 1, 2020) — Rocky Mountain Power’s costs for fuel and wholesale electricity
increased in 2019 because of higher energy market prices, due in large part to a significant North
American natural gas pipeline disruption, which made purchased power to serve its customers more
expensive. As part of an annual review of these costs, the company requested a 2.2 percent price
increase for Idaho residential customers. Typical residential customers using 800 kilowatt-hours per
month would see an increase of about $2.04 per month on their electricity bill.

“We recognize that no price increase is welcome,” said Tim Solomon, regional business manager for
Rocky Mountain Power in Rexburg. “Still, we’re committed to bringing the best value to our customers
for their hard-earned dollars, and we’re acutely aware that we provide one of the most essential public
services. Our prices are among the lowest in the country and we’ve worked hard to keep our expenses
low. While we are strict with our budgets, we have also recently completed significant improvements on
our system to improve reliability for our 82,000 customers in southeastern Idaho, because we know the
importance of reliable service.

“The energy costs in the annual adjustment are generally beyond the company’s direct control,”
Solomon added, “and we note that these costs have declined the past three years, and were credited to
customers on their bills as part of each annual review. This annual adjustment makes sure Rocky
Mountain Power customers always pay a fair price for the energy they need.”

The annual energy cost adjustment mechanism is designed to track the difference between the
company’s actual expenses for fuel and electricity purchased from the wholesale market, against the
amount being collected from customers through current rates. During the past year the company’s
energy-related expenses have increased by $8.6 million. The increase is partially offset by the continuing
effect of the 2017 Federal Tax Act. Pending commission approval, the changes would take effect June 1,
2020, with the following impact on each rate schedule:

Residential Schedule 1 – 2.2% increase
Residential Schedule 36 – 2.6% increase
General Service Schedule 6 – 3.1% increase
General Service Schedule 9 – 3.6% increase
Irrigation Service Schedule 10 – 2.7% increase
Commercial & Industrial Heating Schedule 19 – 2.9% increase
General Service Schedule 23 – 2.5% increase
General Service Schedule 35 – 3.7% increase
Public Street Lighting – 1.2% increase
Tariff Contract 400 – 3.8% increase
Tariff Contract 401 – 3.9% increase

The public will have an opportunity to comment on the proposal as the commission studies the
company’s request. The commission must approve the proposed changes before they can take effect. A
copy of the company’s application is available for public review on the commission’s website,
www.puc.idaho.gov, under Case No. PAC-E-20-02. Customers may also subscribe to the commission’s
RSS feed to receive periodic updates via email. The request is required to be available at the company’s
offices in Rexburg, Preston, Shelley and Montpelier, although in light of the State of Idaho’s recent
pandemic restrictions, the company urges customers to utilize online resources:

Idaho Public Utilities Commission

-A

Rocky Mountain Power offices
– 127 East Main
– 509 S. 2nd East
– 852 E. 1400 North

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