20220819Final_Order_No_35510.pdf

ORDER NO. 35510 1
Office of the Secretary
Service Date
August 19, 2022

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF ROCKY MOUNTAIN
POWER’S APPLICATION FOR APPROVAL
OR REJECTION OF THE POWER
PURCHASE AGREEMENT WITH
COMMERCIAL ENERGY MANAGEMENT,
INC.
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CASE NO. PAC-E-21-05

ORDER NO. 35510

On March 3, 2021, Rocky Mountain Power, a division of PacifiCorp (“Company”)
applied to the Commission requesting approval or rejection of a replacement Power Purchase
Agreement (“PPA”) with Commercial Energy Management, Inc. (“Seller”) for the purchase of
energy and capacity.
On January 25, 2022, the Commission approved the PPA conditioned on the Company
and Seller executing and filing a conforming amended PPA with certain Commission required
terms. See Order No. 35303 at 6.
On February 9, 2022, Seller petitioned the Commission to reconsider Order No. 35303
pursuant to Idaho Code § 61-626 (“Petition”). Seller specifically requested the Commission
reconsider its approval of the PPA with the 90/110 Provision included in it. See Petition for
Reconsideration at 1. On February 16, 2022, the Company replied to Seller’s Petition. No cross-
petitions were received.
On March 9, 2022, the Commission granted the Seller’s Petition to allow for additional
consideration of the issues raised by the Seller’s Petition. See Order No. 35343. The Commission
also found that the existing record was sufficient for it to fully consider the arguments made by
the parties in this case. See Idaho Code § 626(a); Order No. 35343 at 2. After such consideration,
the Commission stated it would issue a final order on the merits of the Seller’s Petition. Id.
On April 25, 2022, the Commission issued a Final Order on Reconsideration denying
Seller’s Petition for Reconsideration and ordering the Parties to file a fully executed, amended
PPA adding the matters set forth by the Commission in Order No. 35303. See Order No. 35384.
On May 18, 2022, the Company filed Amendment No. 1, addressing the two conditions
set forth by Order No. 35303.
On July 26, 2022, Staff submitted a Decision Memorandum (“Memorandum”)
recommending approval of the Company’s Amendment No. 1. In its Memorandum, Staff stated
ORDER NO. 35510 2
that it agreed with Amendment No. 1, as filed. First, by not modifying the definition of Expected
Net Output to reflect that the forecast is not updated after contracting, but instead, by deleting the
definition of Expected Net Output, because it was not used by the PPA. Second, the Company
changed “three months” to “six months” in Section 4.9.2 of the PPA, which complied with Order
No. 35303.
COMMISSION DECISION AND FINDINGS
After reviewing Amendment No. 1, we find the modifications are consistent with our
directives in Order No. 35303. Accordingly, we accept the Company’s Amendment No. 1 to its
PPA, as filed.
O R D E R
IT IS HEREBY ORDERED that the Company’s Amendment No. 1 to its PPA with the
Seller is approved, as filed.
IT IS FURTHER ORDERED that all payments made by the Company for purchases
of energy and capacity under the PPA, as modified by this Order approving Amendment No. 1,
are allowed as prudently incurred expenses for ratemaking purposes.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within 21 days of the service date of this Order. Within seven days after any person
has petitioned for reconsideration, any other person may cross-petition for reconsideration. See
Idaho Code § 61-626.
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ORDER NO. 35510 3
//ABSTAIN TO AVOID CONFLICT//
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 19th day
of August 2022.

ERIC ANDERSON, PRESIDENT

JOHN CHATBURN, COMMISSIONER

JOHN R. HAMMOND, JR., COMMISSIONER

ATTEST:

Jan Noriyuki
Commission Secretary

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