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HomeMy WebLinkAbout20211117Errata to Application.pdfY ROCKY MOUNTAIN PolN'ER frgcI r vs0 ?$?i ri0? l? Pl{ 3, 2s iii',E!1''; FUF*,LiCjT ii i'- ; E : r-r{.'i.4trtlStl0l{ Salt Lake City, Utah 84116 November 17,2021 VU ELECTRONIC DELIWRY Jan Noriyuki Commission Secretary Idaho Public Utilities Commission I 13l W. Chinden Blvd Building 8 Suite 20lA Boise,ID 83714 Re:CASE NO. PAC.E-20-1t IN TIIE MATTER OF TIIE APPLICATION FOR APPROVAL OR REJECTION OF THE AMENDED POWER PURCHASE AGREEMENT BETWEEN PACIFICORP AI\D AMY FAMILY HOLDINGS, LLC Dear Ms. Noriyuki: Please find for filing Rocky Mountain Power's errata pages 1,2, md4 in the above-referenced maffer. Informal inquiries may be directed to Ted Weston, Idaho Regulatory Manager at (801) 220- 2963. Very truly yours, $,^r"*OJoelleSteward Vice-President of Regulation Enclosures Emily L. Wegener (ISB #l 1614) Rocky Mountain Power 1407 West North Temple, Rm 320 salt Lake ciry, Utah 84116 Telephone: (801) 220-4526 Email: emily.wegener@pacificorp.com Attorneyfor Rocky Mountain Power BEFORE THE IDAHO PUBLIC UTILITIES COMN{ISSION rN THE MATTER OF THE APPLICATION ) CASE NO. PAC-E-20-18 FOR APPROVAL OR REJECTION OF THE ) AMENDED POWER PURCHASE ) APP LICATION OF AGREEMENT BETWEEN PACIFICORP ) ROCKY MOUNTAIN POWER AND AMY FAMILY HOLDINGS, LLC ) Pursuant to the Rules of Procedure of the Idaho Public Utilities Commission, Rule 52, and the applicable provisions of the Public Utility Regulatory PoliciesAct of 1978 ("PURPA"), 16 U.S.C. $ Rocky Mountain Power, a division of PacifiCorp, ("Company") respectfully requests that the Idaho Public Utilities Commission ("Commission") issue an order approving or rejecting the amendment to extend for one year the Power Purchase Agreement ("PPA") between PacifiCorp and Amy Family Holdings, LLC qualified facility, ("Seller") dated November I 8,2020.In support of this Application, Rocky Mountain Power states as follows: I. INTRODUCTION l. Rocky Mountain Power provides electric service to retail customers in the states of Idaho, Wyoming, and Utah. Rocky Mountain Power is a public utility in the state of Idaho and is subject to the Commission's jurisdiction with respect to its prices and terms of electric service to retail customers pursuant to Idaho Code 6l-129. Rocky Mountain Power provides retail electric service to approximately 84,000 customers in the state of ldaho. 2. Seller owns, operates, and maintains a small hydro-electric power plant (the "Facility") located in Butte County, Idaho with a nameplate capacity rating of 650 kilowatts Page I ("kW"). Seller operates the Facility as a Qualiffing Facility ("QF") underthe applicable provisions of PURPA, with a contract capacity of 600 kW. 3. Sections 201 and 210 of PURPA, and pertinent regulations of the Federal Energy Regulatory Commission ("FERC") require that regulated electric utilities purchase electricity produced by co-generators or small power producers that obtain QF status. The rate a QF receives for the sale of its electricity is generally referred to as the avoided cost and must reflect the incremental cost to an electric utility of electric energy or capacity or both, which, but for the purchase from the QF, such utility would generate itself or purchase from another source. 4. The Commission has authority under PURPA, Sections 201 and 210 and FERC regulations, l8 C.F.R. 292,to set avoided costs, order electric utilities to enter into fixed-term obligations for the purchase of electricity from QFs and implement FERC rules. 5. On December 18, 2012, the Commission issued Order No. 32697,1 which established parameters for published and negotiated avoided cost rate calculations. The Commission further established and defined numerous contract terms and conditions for standard PPAs entered into between regulated utilities and QFs. 6. On January 2,2013, the Commission issued an Errata to Order No. 32697, which corrected published avoided cost rates to include energy payments not discounted by transmission and line loss. Subsequently the Commission issued reconsideration Orders Nos. 32737 and32802 on February 5,2013 and May 5,2013, respectively, which further clarified certain terms and conditions of PPAs. I In the Matter of the Commission's Review of PURPA QF Contract Provisions Including the Surrogate Avoided Resource (SAR) and Integrated Resource Planning (RP) Methodologies for Calculating Avoided Cost Rates, Case No. GNR-E-ll-03. Page2 the existing PURPA contract, with updated pricing for energy sales during the extended term. The extension of the term is from January 1,2022, through December 31,2022, and total contract capacity of the facility remains unchanged at 600 kW. 12. The Seller has demonstrated to the Company's reasonable satisfaction that: (l) the Facility's net energy will equal the energy delivery schedules for the extended term of this Amendment; and (2) the likelihood that the Facility, under average design conditions, will generate at no more than 2.5 aMW in any calendar month. The Facility's estimated net output over the extended term is 1,904 megawatt-hours. 13. The Amendment submitted herewith, as Attachment l, complies with the Commission's previous orders, and except as otherwise indicated, the Company will pay the Seller the price set forth in Exhibit A to the Amendment. 14. Paragraph 5 of the Amendment provides that the contract will not become effective until the Commission has approved it and determined that the prices paid for energy and capacity are just and reasonable, in the public interest, and that costs incurred by the Company for purchasing energy and capacity are legitimate expenses, all of which the Commission will allow the Company to recover in Idaho rates in the event other jurisdictions deny recovery of their proportionate share of said expenses. III. COMMUNICATIONS 15. Communications regarding this filing should be addressed to: Ted Weston Idaho Regulatory Affairs Manager Rocky Mountain Power 1407 West North Temple, Suite 330 Salt Lake Ciry, Utah 84116 Telephone : (80 l) 220-29 63 Email : ted.weston@pac i fi corp.com IdahoDockets pacificorp.conr Page 4