20210830Application.pdf

Y ROCKY MOUNTAIN
POWER
A DIVISION OF PACIFICORP
"^-DSteward
Vice President, Regulation
Enclosures
1407 W. North Temple, Suite 330
Salt Lake City, Utah 84116
August 30,2021
VA ELECTRONIC DELIVERY
Jan Noriyuki
Commission Secretary
Idaho Public Utilities Commission
ll33l WChindenBlvd
Building 8 Suite 20lA
Boise,ID 83714
Re:CASE NO. PAC.E-21-18
IN THE MATTER OF THE APPLICATION OF ROCKY MOUNTAIN
POWER TO INCREASE TITE BPA REP CREDIT EFFECTIVE OCTOBER
2021 THROUGH SEPTEMBER 2023
Dear Ms. Noriyuki:
Enclosed for electronic filing in the above-mentioned maffer is Rocky Mountain Power's
Application for approval to increase the BPA REP credit in Electric Service Schedule No. 34
from $0.008403 per kWh to $0.010133 per kWh for qualiffing customers as described in this
Application.
truly
Emily L. Wegener (ISB#I 1614)
Rocky Mountain Power
1407 V/. North Temple, Suite 320
Salt Lake City, Utah 84116
Telephone: [phone]
Email : Emily.Wegener@.pacifi corp.com
Attorneyfor RoclE Mountain Power
BEFORE TIIE IDAHO PI'BLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF ROCKY MOI'NTAIN POWER TO
INCREASE THE BPAREP CREDIT
EFFECTIYE OCTOBER 2021 THROUGH
SEPTEMBER 2023
) cAsE NO. PAC-E-21-I8
)) APPLTCATTON OF
) ROCKYMOIINTATN POWER
)
Rocky Mountain Power, a division of PacifiCorp ("Company" or "Rocky Mountain
Power"), in accordance with Idaho Code $61-502, $61-503, and RP 052, hereby respectfully
submits this application ("Application") to the Idaho Public Utilities Commission ("Commission")
to increase the Bonneville Power Administration's residential and small farm credit. In support of
this Application, Rocky Mountain Power states as follows:
1. Rocky Mountain Power provides electric service to retail customers in the states of
Idaho, Utah, and Wyoming. Rocky Mountain Power is a public utility in the state of Idaho and is
subject to the Commission's jurisdiction with respect to terms of electric service and prices to retail
customers pursuant to Idaho Code $ 6l-129. Rocky Mountain Power is authorized to do business
in the state of Idaho and provides retail electric service to approximately 85,600 customers in the
state.
Page I
BACKGROUND
2. The Northwest Power Act of 1980 created the Residential Exchange Program
("REP"), which is administered by Bonneville PowerAdministration ("BPA"). The REP provides
some of the benefits of the low-cost Columbia River Power System to participating utilities to pass
onto eligible residential, small farm and irrigation customers as credits on their electric bills.
3. Rocky Mountain Power, BPA, other investor-owned utilities, public utility districts,
and municipalities in the northwest are parties to the REP Settlement Implementation Agreement
that determined the level of REP benefits the Company receives. Through this agreement, BPA
provides REP benefits to utilities, which pass those benefits onto qualifuing residential, small farm
and irrigation customers in ldaho, Oregon, and Washington.
4. Under the terms of the agreement, BPA has the right to review the Company's
proposed eligible load and make determinations regarding the benefit eligibility of Rocky
Mountain Power's customers. BPA has developed Customer Load Eligibility Guidelines
("CLEG") to provide guidance to participating utilities to help determine whether residential, small
farm, and irrigation customers are eligible to receive REP benefits.
5. To qualiff to participate in the REP, BPA has provided the following CLEG
definitions: (l) A residence is a structure used by one or more persons for daily living and
associated activities; (2) A residence is eligible for REP benefits as long as its purpose is to provide
shelter on a non-transient basis (greater than 30 days); (3) A farm consists of one or more parcels
of land owned or leased by one or more persons or entities (including partnerships, corporations,
and any legal entity capable of owning farm land except the government as defined in the CLEG)
that is used primarily for agriculture; (4) Irrigation/pumping load used for farming and agricultural
purposes may receive REP benefits for up to a maximumof 222,000 kilowatt-hours per month per
Page2
farm owner; and (5) Two or more parcels of farm land under the same ownership within the utility's
service area, whether contiguous or non-contiguous, are treated as a single farm.
6. In 2001, parties in a BPA REP case negotiated a settlement for the allocation of
REP benefits covering the period from 2002 through 2008. This settlement was later appealed by
a group of northwest public utility districts, ("PUD"), claiming the settlement did not follow BPA s
prescribed procedures for calculating the REP credits and that the settlement provided to large a
share of the REP benefits to investor-owned utilities ("IOUs"). The court ruled in favor of the
PUDs and ordered the parties to recalculate the REP benefits based on BPA's prescribed
methodology.
7. During these negotiations, the Company continued to provide a REP credit to
customers, ultimately allocating more REP benefits than the Company had received from BPA,
which created a liability balance owed to the Company from customers. From 2007 until
December l,20ll, the BPA REP was cancelled for Rocky Mountain Power's customers in Idaho.
8. Pursuant to the court order, the allocation of the BPA s REP credit was recalculated,
and the participating IOUs were ordered to pay back the excess benefits they had received. The
agreement allowed the IOUs to refund the excess REP credits ("look back payment") by netting
the look back payment against future REP benefits through BPA fiscal year 2021which allowed
the IOUs to begin providing a small credit to qualiffing customers.
BPA REP RATE
9. Cunently the rate in Electric Service Schedule No. 34 - Pacific Northwest Electric
Power Planning and Conservation Act Residential and Farm Kilowatt-Hour Credit, ("Schedule
34"), is $0.008403 per kWh. This uedit was established in 2017 based on an annual BPA REP
credit of $8.5 million. In20I9, the Company requested authorization to keep Schedule No. 34 rate
Page 3
at $0.008403 per kWh, effective October l,2}Ig,through September 30,202l,based on an annual
BPA REP credit of $8.2 million.
10. BPA issued the final Average System Cost, ("ASC"), report for the REP for fiscal
year 2022 through 2023 (October 2021 through September 2023). While PacifiCorp's ASC
decreased, the reduction was less than the other investor-owned utilities ("[OUs"). A comparison
of the ASC for the six northwest IOUs is provided in Table L
Table I
11. PacifiCorp's fiscal year 2022 through 2023 allocation of the BPA REP credit
increased approximately $18.7 million, from $67.9 million in2019 to $86.6 million. In addition,
2021was the last year of the $4.3 million look back payment. These changes combined result in a
net increase to PacifiCorp's REP credit of $23.0 million. Idaho's share of PacifiCorp's REP
allocation also increased slightly from ll.4l percent to 12.34 percent. The BPA REP credit
available to qualifuing Idaho customers from October 1,2021, through September 30,2023,is
$20.3 million, plus an undistributed balance of $0.2 million in Idaho's REP balancing account for
a total of $20.5 million to amortize over the next two years for an annual credit of $10.3 million
per year. The $10.3 million REP credit was divided by calendar year 2019 usage level of the
qualifuing customers of approximately l.l GWh, to produce the Schedule No. 34 rate of
$0.010133 per kWh.
8Y2022-23 FY2020-21U
PacifiCorp
Portland General Electric
$
$
$
$
$
$
62.e3 $
58.17 $
68.34 $
77.61 $
70.09 $
67.28 $
67.60 $
64.4t $
82.91 $
79.43 $
77.s3 $
7s.72 $
(6.24')
(14.s7)
(r.82)
(7.44)
orthWestem Energy
Sound
(4.
8.
Avista
Idaho Power
Page 4
REIAIL RATE DESIGN
12. Provided with this Application are three exhibits for informational purposes:
Exhibit I summarizes the incremental decrease to retail revenues associated with the BPA REP
credit of approximately $1,752,000 by rate schedule; Exhibit 2 summarizes the calculation of
Schedule No. 34 rate; and Exhibit 3 is a summary of the allocation between PacifiCorp states of
the BPA REP benefits.
COMMTJNICATIONS
13. 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 City, Utah 84116
Telephone: (80 I ) 220-2963
Email: ted.weston@pacifi com.com
Emily Wegener,
SeniorAttorney
Rocky Mountain Power
1407 West North Temple, Suite 320
Salt Lake City, Utah 84116
Telephone : (80 l) 220 -4526
Email : emily. we gener@pacifi corp. com
In addition, Rocky Mountain Power requests that all data requests regarding this
Application be sent in Microsoft Word to the following:
By email (preferred) : datareq ue st@pacificorp. com
By regular mail: Data Request Response Center
PacifiCorp
825 Multnomah, Suite 2000
Portland, Oregon 97232
Page 5
Informal questions may be directed to Ted Weston, Idaho Regulatory Affairs Manager at
(80t)220-2963.
MODIFIED PROCEDURE
14. 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, RP 201. If, however, the
Commission determines that a technical hearing is required, the Company stands ready to prepare
and present testimony in such hearing.
REOUEST X'OR RELIEF
15. The Company respectfully requests that the Commission issue an order approving
Schedule 34 credit of $0.010133 per kWh for rate schedules 1, 6A,7A,23A, 35A,36, and 19
effective October 1,202I, through September 30,2023.
WHEREFORE, Rocky Mountain Power respectfully requests that the Commission issue
an order authorizing that this matter be processed under Modified Procedure and approve the
change to Electric Service Schedule No. 34, Pacific Northwest Electric Power Planning and
Conservation Act Residential and Farm Kilowatt-Hour Credit, with an October 1,2021, rate
effective date.
Page 6
DATED this 30& day ofAugust 2021.
Respectfrrlly submitte(
ROCKYMOI'NTAIN POS/ER
A^^4UJr4t*
Emilyly'"guor, (/
1407 WestNorthTemple, Suite 320
Salt Lake City, Utah 84116
Telephons No. (801) 2204526
Email: [e-mail]
Attomeyfor Rocky Mowtain Pot+,er
Page 7
EXHIBIT I
ROCKY MOTJNTAIN POWER
ESTIMATED IMPACT OF PROPOSED REVEI\ruES ON FORECAST PRESENT REVEI\TUES
FROM ELECTRIC SALES TO ULTIMATE CONSUMERS
DISTRIBUTED BY RATE SCIIEDULES IN IDAHO
HISTORIC 12 MONTHS ENDED DECEMBER 2OI9
Sch 34
Revenue ($0fi)) Present
scription
(l)
c!
,ice
ional TOD
ial
Industrial
- Large Power
,g. Power (R&F)
le6
- High Voltage
ipace Heating
(R&F)
ile 2i
Optional TODrl
t2
cial & Industrial
iehtine
ighting
ighting (R&F)
. Company
. Customer
reet Lighting
lltimate Customers
Average
CustomersSch.T
9
l0
l9
23
23/.
35
400
401
7
7A
ll
t2
(3)
54,47s
1t,462
]WWH Present(4\ (5)
Proposed Net Change($000) ($000) o/o($ooo)
(6)(e)(8)(7\
I
36
6
6A
65.937 719,763 $75,261
($4"3e8) ($5,303) ($eo5)($r,651) ($l,ego) ($3+01
$0
-G6-;048) -@5t reAst
523,338
t96,424
$57,r33
$18,124
$4
-1.7o/o
-2.1o/o
0.0%R
1,t34
203
t,3i6
t6
s,844
87
7,483
2,521
10,004
2
I
I
346,008
26,8t7
372,824
l 18,965
616,158
5,091
178,005
39,728
2 t 7.73i
278
1,370,322
r03,832
$25,7r1
52,215
$27,926
$7,288
ss3,962
$413
$16,75e
$3,864
20,623
s22
$78,860
$s,821
$602
($22s1
($22s)
($3:+1
(334)
($2t21
($272)
$o
($+01
($46)
$o
($3e2)
$o
$o
($or1
(6e)
$o
$o
$0
$o
0.0o/o
-2.3%o
-0.2%
0.0o/o
-0.8Yo
0.0o/o
0.00/o
-l.gYo
-0.3%
($l,eo3) ($2,2e5)
17,291 2,805,205 $195,516
($403)
(403)
0.0o/o
0.0o/o
0.0o/o
0.0%
($2,462) ($2,e6e) ($so7)-0.3o/o
185
129
56
250
274
t06
154
2,419
$43
$72
$419
$o
$o
($0.21
$0
$o
$o
$105 ($0.r1 ($ l. r I
0.0%o
-0.4Yo
0.UYo
0.0o/"
6o.9) -(5ilt 6'dZt uo%
($8,5t l) ($10,263) ($l,zsz) -0.7o/o
620
83,848
2,952
3,527,919
$639
$271,416
E'CIIBIT 2
ROCKY MOUI{TAIN POWER
CALCULATION OFPROPOSED BPA CR"EDIT SCHEDULE 34IN IDAHO
HISTORIC 12 MONTHS EIYDED DECEMBER2OI9
Sch.
Total
MWH
BPA
MWH
Present Sch 34 Credit Proposed Sch 34 Credit
Rev ($000)G/kwh)Rev ($0(X))Gftwh)
(2)(3)
523,338
196,424
26,817
616,158
39,728
106
(4)
523,338
196,424
26,817
226,439
39,728
106
($4,398)
($1,651)
($225)
($1,903)
($334)
(6)
(0.8403)
(0.8403)
($5,303)
($1,990)
($272)
($2,295)
($4Or;
36
6A
l0
23A
7A
(1.0133)
(1.0133)
(1.0133)
(1.0133)
(1.0133)
(5)(7)(8)
F)(0.8403)
(0.8403)
(0.8403)
($t1 (0.8403)($t1 (r.0133)
1,402,572 1,012,852 ($8,51l)(0.8403)($10,263)(1.0133)
EXHIBIT 3
Allocauon ofTota! PacifiCorp REP Benelits
For FY-2O22 and FY-2023
BY State
F.lod.Eqc
0) Tot aREP B.ndtt noh BP-2oT.bh 2.+U
ACTUAT BISE YEAR + I2TIOS.TOIAL Avaraop Stt
tEoil
flDhlngton
Id.ho
6,18&380,012
1,889,171,082
1,051393,82,r
Tdlh&E q 13?_q4.qrn
6,254,375,N
r,8r0,950,814
1,095,O$,013
9,161,375,27s
5,n13n,730
r,850,050,9,18
\07s,n1,4$
9,147,160,097
58.0ro,(
20,230A
tt.760t
100,mor
Qualifylng6p6(r)
InlUal
lmarrnt i(2)
REP GrudItr/kwh IOU Allocatcdlmuntll REP Crrdlt
drkwh
Gurtrrt
Balance 7-31-21
FY-2022
lmount IStatE
Drcllon
Washlngton
Idaho
fobl Padtraffo
6,22t,377,730
r,850,060,948
t,075,72r4l8
9-147-160-O97
$58,916,715
117,520,Ls7
$10,187.128
$85.6?4 000
o.9470
0.9470
0.9470
0.q470
$s8,916,71s
|t7,520,t57
1r0,187,128
t85.624,fi)O
0.9470
0.9470
0.9470
n.s/70
$rsz,seo l_jl!g;;!ry
$395,340
ftrEffflIf'I
-frEEEI
Quallfylng616(r)
Arnourt
lmrrt Il(r)
REP Grtdlt
arkwh
Arnountlmntt REP Grtdlt
rrkwh
Currttrt
Balane 7-31-22
FY-2023
lmount 3S-tatc
Oregon
lvashanlton
Idaho
fotal PadfiCilD
6,22t,377,730
1,850,050.948
t,075,72t,4t5
9.147.160.097
$58,9r6,715
$7,s20,157
$10,187,128
486_524.000
0.9470
0.9470
0.9{70
o-s470
1s8,916,7rs
J17,520,157
$10,187,128
t86_624_ffn
0.9470
0.9470
0.9470
o.9470
$OE@E
$0
$0
a0 rffimr
rIUEilEI
rIMM
il.t REP Bmtrtr
QuallfylngLwh(1,
z-YR ReE Pcrlod Tot l
Erlrffi 7-tl -rl lmrnt a
Arnount
lmntS(2)
REP Cr!.llt
r/kwh
Amount
Amount 3
REP CI€dft
arkwh
REP
B€n€f,ts
DGr YetSeh
t2,442,755,460
3,700,121,896
2,t57,442,937
tA 2q4 ?70 1 q?
$117,833,430
$3s,0403r4
i20,374,2s6
(1 7? 74n nnn
0.9470
0.9470
0.9470
n q470
$1r7,833,430
$35,040,314
*20,374,2s6
tl 7? '4t Onn
0.9470
0.9470
0,9470
o q470
(t7,s14,s1e)@@
$39s;40@
$152,seoE=E@
/(6 066 (m\l tt66 rnt .!tn
$5s,159,45s
117,7r7,827
Ito,263,423
ac? 140 70s
Proposed Tariffs
ROCKY MOUNTAIN
POWER
A DIVISION OF PACIFICORP
I.P.U.C. No. I
Skseventh Revision of Sheet No.34.1
Canceling SElLSifth Revision of Sheet No. 34.1
ROCKY MOTINTAIN POWER
ELECTRIC SERVICE SCIIEDIILE NO.34
STATE OF IDAIIO
Pacific Northwest Electric Power Planning and Consenation Act
Residential and Farm Kilowatt-Hour Credit
APPLICATION AND AVAILABILITY: This Schedule is applicable and available to qualiffing
Residential and/or Farm Customers of the Company under the jurisdiction of the Idaho Public Utilities
Commission.
MONTil,Y RATES: The monthly charges for service under each of the Electric Service Schedules
shown below shall be reduced by the appropriate kilowatt-hour credit for all qualiffing kilowatt-hours of
residential and/or farm use.
Kilowatt-Hour Credit Adjustnents:
Irrigation Customers:
Schedule No. l0
$0.0-! !_l 330s403 per kWh
Non-Irrigation Customers: $0.0101330848 per kWh
Schedule Nos. l, 6A, 7 A, 23A
35A,36,19 with 6,4.
19 with 23A,19 with 35A
(continued)
EFFECTM: October l,20zl1
Submitted Under Case No. PAC-E-217-IE0
ISSUED: August 3gls, 20214
ROCKY MOUNTAIN
POWER
A OTVTSTON OF PACTFICORP
I.P.U.C. No. I
Seventh Revision of Sheet No. 34.1
Canceling Sixth Revision of Sheet No.34.1
ROCKY MOUNTAIN POWER
ELECTRIC SERYICE SCHEDT]LE NO.34
STATE OF IDAIIO
Pacific Northwest Electric Power Planning and Conseruation Act
Residential and Farm Kilowatt-Hour Credit
APPLICATION AI\D AVAILABILITY: This Schedule is applicable and available to qualifuing
Residential and/or Farm Customers of the Company under the jurisdiction of the Idaho Public Utilities
Commission.
MONTHLY RATES: The monthly charges for service under each of the Electric Service Schedules
shown below shall be reduced by the appropriate kilowatt-hour credit for all qualiffing kilowatt-hours of
residential and/or farm use.
Kilowatt-Hour Credit Adjustments:
lrrigation Customers:
Schedule No. l0
$0.010133 per kWh
Non-Irrigation Customers: $0.010133 per kWh
Schedule Nos. l, 6A, 7 A, 23A
354,36,19 with 6,4'
19 with 23A,19 with 35A
ISSUED: August 30,2021
(continued)
EFFECTM: October 1,2021
Submitted Under Case No. PAC-E-21-18