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Home My WebLink About20200604Application.pdfY ROCKY MOUNTAIN nP,:[Y,E^"n"^, RTC-T IVED ?$iC JUH -h Pt{ tr: 30 1407 West North Temple, Suite 330 Salt Lake City, Utah &4116 June 4,2020 VIA ELECTRONIC DELIVERY Diane Hanian Commission Secretary Idaho Public Utilities Commission I l33l W Chinden Blvd. Building 8 Suite 20lA Boise,ID 83714 Re:CASE NO. PAC-E.20.08 IN THE MATTER OF THE APPLICATION OF ROCKY MOUNTAIN POWER REQUESTING APPROVAL OF TIIE ANNUAL REVISION TO QF VARIABLE ENERGY PRICES PURSUAI\IT TO TERMS OF THE 1992 AMENDMENTS TO POWER PURCHASE AGREEMENTS BETWEEN IDAHO QFs AND PACIFICORP Dear Ms. Hanian: Enclosed for electronic filing in the above mentioned matter is Rocky Mountain Power's application and supporting attachment requesting approval of the annual revision to the qualified facility variable energy prices. Informal inquiries may be directed to Ted Weston, Idaho Regulatory Manager at (801) 220- 2963. Very truly yours, Vice President, Regulation "^-D Emily Wegener 1407 West North Temple, Suite 320 Salt Lake city, Utah 84116 26 iflcorp.conr Attorneyfor Roclqt Mountain Power IN THE MATTER OF THE APPLICATION OF ROCKY MOUNTAIN POWER REQUESTING APPROVAL OF THE ANNUAL REYISION TO QF VARIABLE ENERGY PRICES PTIRSUAI\T TO TERMS OF THE 1992 AMENDMENTS TO POWER PURCHASE AGREEMENTS BETWEEN IDAHO QFs AND PACIFICORP BEFORE TIIE IDAHO PUBLIC UTILITIES COMMISSION CASE NO. PAC.E.2O.O8 APPLICATION Rocky Mountain Power, a division of PacifiCorp ("Company" or "Rocky Mountain Power"), in accordance with the Rules of Procedure of the Idaho Public Utilities Commission ("Commission"), Rule 52 and OrderNo.29316,r hereby respectfully petitions the Commission for an order approving the updated Qualiffing Facility ("QF") variable energy price pursuant to the terms of the 1992 amendments to ldaho QF power purchase agreements. In support of this Application, Rocky Mountain Power represents as follows: I. INTRODUCTION AI\ID BACKGROUNI) In 2003, the Company sent a letter notiffing the Commission of a July l, 2003, revision to the variable energy price for QFs holding certain power sales contracts with the Company. These thirteen QF contracts included a Commission approved 1992 Amendment outlining the I In the Matter of the Revision of QF Yariable Energt Prices in Accordance with Terms of the 1992 Amendments to Power Purchase Agreements betvveen ldaho QFs and PacifiCorp, PAC-E-03-10,2004WL316976 (Idaho P.U.C. August 19,2003). I methodology that would be used for determining the variable energy price component of the avoided cost rate. As stated inthe 1992 Amendment beginning July l, 2003, and continuing throughout the term of the power purchase agreements, including any extensions, the variable energy rate will be calculated in accordance with the specified methodology described below. The variable energy rate will be the sum of PacifiCorp's fuel cost and Colstrip variable O&M cost. PacifiCorp's fuel costs will be the average cost of fuel consumed in its Utah Division, specifically the Carbon, Hale, Naughton, Huntington and Hunter generating plants. If any of the specified plants don't operate in any calendar year, such plant will be excluded from the calculation of the average cost of fuel. Carbon and Hale coal plants have subsequently closed and are excluded from the calculation. The average cost of fuel will be calculated using the data reported in the Company's FERC Form l. In the event that the FERC Form I ceases to include the cost of fuel or net generation data, comparable data based upon the Company's normal accounting practices shall be used. Pursuant to Order No. 23738,2 variable O&M costs were set based on the variable costs associated with the operation of Colstrip, a coal power generating facility in southeast Montana excluding the generation tax and the line loss adjustments. I VARIABLE ENERGY RATE The average cost of fuel consumed by the specified Utah division coal plants for calendar year 2019 was $21.56 per megawatt hour, as summarized in the Attachment filed with this application. The variable operation and maintenance expense set for Colstrip generating facility was $1.51 per megawatt hour. Therefore the variable energy rate applicable to deliveries 2 In re ldaho Power Company, Case No. PPL-E-89-3ruPL-E-89-5, l99l WL 501613 (Idaho P.U.C. June 17, l99l). 2 commencing July 1,2020, extending through June 30, 2021, is $23.07 per megawatt hour. An attachment is provided with this Application supporting this calculation with references to the relevant pages from the Company's FERC Form I for the year ending December 31,2019. III. MODIFIED PROCEDURE Rocky Mountain Power believes that a hearing is not necessary to consider the issues presented herein and respectfully requests that this Application be processed under Modified Procedure, i.e., by written submissions rather than by hearing in accordance with RP 201 et seq. IV. COMMUNICATIONS AND SERVICE OF PLEADINGS Communications regarding this Application should be addressed to: Ted Weston Rocky Mountain Power Idaho Regulatory Affairs Manager 1407 W. North Temple, Suite 330 Salt Lake City UT 84116 Telephone: (801) 220-2963 Facsimile : (801) 220-4648 E-mail: ted.weston ificorp.com Emily Wegener 1407 West North Temple, Suite 320 Salt Lake City, Utah 841l6 Telephone No. (801) 220-4526 Mobile No. (385) 227-2476 Email : Emi ly.wege ner @pacificorp.com In addition, Rocky Mountain Power respectfully requests that all data requests regarding this matter be addressed to: By e-mail (preferred) By regular mail: datareq uest@pac i fi corp.com PacifiCorp Data Request Response Center 825 NE Multnomah, Suite 2000 Portland, OR 97232 J Informal inquires also may be directed to Ted Weston at (801) 220-2963. v. REQUEST FOR RELIEF Rocky Mountain Power respectfully requests that the Commission issue an Order authorizing this matter to be processed by Modified Procedure, and approving the variable energy rate of $23.07 per megawatt hour applicable to the energy delivered from the 1992 QF contracts commencing July 1,2020, extending through June 30, 2021. Respectfully submitted this 4th day of June,2020. fu-uJeq* Emily Wdener c Rocky Mountain Power 1407 WestNorth Temple Salt Lake city, utah 84116 Telephone No. (801) 220-4526 Mobile No. (385) 227-2476 Email: Emilv.wegener@nacifi corp.com Attorneyfor RoclE Mountain Power 4 Attachment I =E=EEE tllrt-()rNlt:,oo|(,lDofoO---(r).9, of Fj N ol(tr(l,I\,INFgrjd'6t (aoqao 8,NPOJ(r) cD9EBt-oE'E =1,ot!orE ot, o.E trt!l o)CCDOFXEoo RA()CLNCL-o !>,t=E}.osrE.LOo-bEEooEoco EboE.9b6()>tEoH:o-o6lll- e GIo$l oNo(\ eo6t EDoc IIJg .cto 6 Eo =oUo -9tt.6L6 I ==6 ooo o =lr ocr, Eo 6t o)o,(Y)t- I1jo)o$ $ c)-ot@ e.i Soc5Nott =3*{3i -E.EsEEgHo9oR (D@ osSo+d C lOo)6 tf-E,EE ro_EEI 6 (eR I:lNoig a : 6=;poooffETJFl!R g6tI- O. HS: ENXu.l-Y ^OEisi oNo,.EraEo>b EoF l\cb9c.i.c69@_EE Name of Respondent PacifiCorp ThiS (1) (2') ReDort ls: fiRn originat 5A Resubmission Date of(Mo, Datt Report , Yr) Year/Period of Report End of 20191Q4 STEAM-ELECTRIC GENERATING PLANT STATISTICS (Large Plants) (Continued) 9. ltems under Cost of Plant are based on U. S. of A. Accounts. Production expenses do not include Purchased Power, System Control and Load Dispatching, and Other Expenses Classified as Other Power Supply Expenses. 1 0. For lC and GT plants, report Operating Expenses, Account Nos. 547 and 549 on Line 2S "Electric Expenses," and Maintenance Account Nos. 553 and 554 on Line 32, "Maintenance of Electric Plant." lndicate plants designed for peak load service. Designate automatically operated plants. 1 1 . For a plant equipped with combinations of fossil fuel steam, nuclear steam, hydro, internal combustion or gas-turbine equipment, report each as a separate plant. However, if a gas-turbine unit functions in a combined cycle operation with a conventional steam unit, include the gas-turbine with the steam plant. 12. lf a nuclear power generating plant, brielly explain by footnote (a) accounting method for cost of power generated including any excess costs attributed to research and development; (b) types of cost units used for the various components of fuel cost; and (c) any other informative data concerning plant type fuel used, fuel enrichment type and quantity for the report period and other physical and operatinq characteristics of Dlant. Plant Name: Hunter Unit No.3 (d) Plant Name:Hmtq-Tdal Pbrtil (e) Plant Name'. Huntington (D Line No. Steam Steam Steam 1 Outdoor Boiler Outdoor Boiler Outdoor Boiler 2 1983 1 978 1974 3 1983 1 983 1977 4 495.59 '1247.78 9S6_00 5 474 1 356 910 6 8/.81 78r',0 8328 7 0 0 0 I 471 1 158 909 I 0 0 0 10 0 208 160 11 2883126000 7439972000 4897541000 12 10274569 29651091 23775il 13 93063053 212585s37 127W'.tgl 14 447664189 't087412244 762757587 15 4278309 1283/.927 10022886 16 555280120 1342483799 902702228 't7 1120.4425 1075.8978 906.3275 't8 0 0 1 5087 19 52826299 I 36014783 104571495 20 0 0 0 21 8989022 235',t4207 13205769 22 0 0 0 23 0 0 0 24 -57347 -3231 5 0 25 3807812 370645 9848321 26 0 0 25964 27 0 0 0 28 0 0 159891 1 29 1 109881 3412789 2477961 30 4556362 16730239 1 3595055 31 685322 5029984 7992089 32 532779 1250108 822980 33 72450130 1 86290440 154153632 34 0.0251 Coal oit 0.0250 Coal oil Composite 0.0315 Coal ol Composite 35 36 Tons Barrels Tons Banels Tons Banels 37 1299243 10943 0 3381815 14922 0 2219115 6142 0 38 11230 1 38000 0 11376 138000 0 11482 1 38000 0 39 0.000 0.000 0.000 39.356 99.812 0.000 45.293 97.754 0.000 40 39.824 0.000 0.000 39.779 99.812 0.000 46.852 97.754 0.000 41 1.773 17.'.t14 1.806 1.748 17.221 1.766 2.040 16.866 2.051 42 0.018 0.000 0.018 0.018 0.000 0.018 0.021 0.000 0.021 43 10121.250 21.999 't0143.249 10342.279 't1.625 10353.904 10404.729 7.269 1041 1 .998 44 FERC FORit NO.,t (REV. 12-03)Page 403.1 Name of Respondent PacifiCorp This ReDort ls:(1) 5]Rn orisinat (2) EA Resubmission Date of ReDort(Mo, Da, Yi) lt Year/Period of Report End of 20191Q4 STEAM-ELECTRIC GENERATING PLANT STATISTICS (Large Plants) (Continued) 1. Report data for plant in Service only. 2. Large plants are steam plants with installed capacity (name plate rating) of 25,000 Kw or more. Report in this page gas-turbine and intemal combustion plants of 10,000 Kw or more, and nuclear plants. 3. lndicate by a footnote any plant leased or operated as a joint facility. 4. lf net peak demand for 60 minutes is not available, give data which is available, specif,ing period. 5. lf any employees attend more than one plant, report on line 11 the approximate average number of employees assignable to each plant. 6. lf gas is used and purchased on a therm basis report the Btu content or the gas and the quantity of fuel burned converted to Mct. 7. Quantities of fuel burned (Line 38) and average cost perunitoffuelbumed(Line41)mustbeconsistentwithchargestoexpenseaccountsS0landS4T(Line42)asshowonLine20. 8. lfmorethanone fuel is burned in a plant fumish only the composite heat rate for all fuels burned. Line No. Item (a) Plant Name: Jhn *illger (b) Plant Name: IVaqghton (c) 1 Kind of Plant (lnternal Comb, Gas Turb, Nuclear Steam Steam 2 Type of Constr (Conventional, Outdoor, Boiler, etc)Outdoor Boiler Outdoor Boiler 3 Year Originally Constructed 1974 1 963 4 Year Last Unit was lnstalled 1979 1971 5 Total lnstalled Cap (Max Gen Name Plate Ratings-M\A/)1550.65 707.20 6 Net Peak Demand on Plant - MW (60 minutes)1417 649 7 Plant Hours Connected to Load 8760 8760 8 Net Continuous Plant Capability (Megawatts)0 0 o When Not Limited by Condenser Water 1415 384 10 \Mren Limited by Condenser Water 0 0 11 Average Number of Employees 329 112 12 Net Generation, Exclusive of Plant Use - K\Mr 9012300000 2840374000 13 Cost ofPlant: Land and Land Rights 1 193761 1 321 031 14 Structures and lmprovements 148774873 127175501 15 Equipment Costs 127473/,660 617520729 16 Asset Retirement Costs 1 9566856 50914765 17 Total Cost 't444270150 796932026 18 Cost per KW of lnstalled Capacity (line 17l5) lncluding 931.3966 1 126.8835 19 Production Expenses: Oper, Supv, & Engr 1423/.340 299356 20 Fuel 252s,82285 86682877 21 Coolants and Water (Nuclear Plants Only)0 0 22 Steam Expenses 19568003 7913360 23 Steam From Other Sources 0 0 24 Steam Transferred (C0 0 0 25 Electric Expenses 0 1 865 26 Misc Steam (or Nuclear) Power Expenses -21036522 6252984 27 Rents 331946 14350 28 Allowances 0 0 29 Maintenance Superuision and Engineering 580006 1498176 30 Maintenance of Structures 1 0304164 1 031 530 31 Maintenance of Boiler (or reactor) Plant 23037622 4834856 32 Maintenance of Electric Plant 7389583 2952761 33 Maintenance of Misc Steam (or Nuclear) Plant 2295209 826583 34 Total Production Expenses 309386636 1 12308698 35 Expenses per Net ](VVh 0.0343 0.0395 36 Fuel: Kind (Coal, Gas, Oil, or Nuclear)Coal oit Composile Coal Gas Composite 37 U nit (Coal-tons/Oil-baneUGas-mcf/Nuclear-ind icate)Tons Barrels Tons MCF 38 Quantity (Units) of Fuel Bumed 5088688 1 00s9 0 1540808 294181 0 39 Avg Heat Cont - Fuel Burned (btu/indicate if nuclear)9336 1 38000 0 9965 1056 0 40 Avg Cost of Fueyunit, as Delvd f.o.b. during year 4s.1 91 95.461 0.000 ,4.265 3.495 0.000 41 Average Cost of Fuel per Unit Burned 49.467 95.46'l 0.000 55.591 3.495 0.000 42 Average Cost of Fuel Bumed per Million BTU 2.449 '16.470 2.658 2.789 3.310 2.795 43 Average Cost of Fuel Bumed per KVVh Net Gen 0.028 0.000 0.028 0.030 0.000 0.030 44 Average BTU per l(/vh Net Generation 10543.205 6.469 10549.674 10811.227 109.357 10920.584 FERC FORM NO. r (REV. {2-03)Page 402.2