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HomeMy WebLinkAbout20211123Application.pdfY ROCKY MOUNTAIN FOI'IIER .{6.._.!_:!i!"-r\:.r a I l- I tt P,q Il.!r_L,':_l Y,_i/ ?fr?i r*ilY 23 PH 12: I l, i.- ,'.r ., -ii!"t v,,',1;.,.; .;irliilSStC;,i 1407 West North Temple, Suite 330 Salt Lake City, Utah 84116 November 23,2021 VIA ELECTRONIC DELIWRY Jan Noriyuki Commission Secretary Idaho Public Utilities Commission 11331 W Chinden Blvd Building 8 Suite 20lA Boise,Idaho, 83714 Re:CASE NO. PAC.EAI.2I IN TIIE MATTER OF ROCKY MOUNTAIN POWER'S AI\INUAL TRANSNflSISON REPORT AI\[D AUTHORITY TO TERMINATE FUTURE REPORTS Dear Ms. Noriyuki: Please find for filing Rocky Mountain Power's application in the above referenced matter to provide the202l Transmission Wheeling report and seek authorization to discontinue future reporting requirements. Informal inquiries may be directed to Ted Weston, Idaho Regulatory Manager at (801) 220- 2963. Very truly yours, rce President, Emily L. Wegener (ISB #11614) Rocky Mountain Power 1407 W. North Temple, Suite 320 Salt Lake City, Utah 84116 Tel. (801) 2204526 em i ly.wegener@pac i fi corp.com Attorneyfor Rocky Mountain Power BEFORE TIIE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF ROCKY MOTINTAIN ) POWER'S AI\INUAL TRANSMISISON ) REPORT AND AUTHORITY TO TERMINATE ) FUTURE REPORTS ) CASE NO. PAC-E.2I.2I APPLICATION OF ROCKYMOUNTAIN POWER PacifiCorp dlbla Rocky Mountain Power ("Rocky Mountain Power" or the "Company") hereby files application with the Idaho Public Utilities Commission ("Commission") for authority to terminate the annual reporting requirement implemented pursuant to Order No. 33313.1 In support of this Application, Rocky Mountain Power states as follows: l. PacifiCorp is an Oregon corporation providing electic service to retail customers as Rocky Mountain Power in the states of Idaho, Utah, and Wyoming and as Pacific Power in the states of Oregon, California, and Washington. 2. Rocky Mountain Power is authorized to do and is doing business in the state of Idaho. The Company provides retail electric service to approximately 85,600 customers in the state of Idaho and is subject to the jurisdiction of the Commission. I Case No. PAC-E-l+ll, In the Matter of theApplication of PacifiCorp DBA Rocky Mountain Power and Idaho Power Company for an OrderAuthorizing the Exchange of Certain Transmission Assets. APPLICATION OF ROCKY MOLTNTATN POWER PAGE I BACKGROUND 3. On December 19, 2014, Idaho Power Company and PacifiCorp (the "Parties") in accordance with Idaho Code $ 6l-328 and RP 052, jointly filed application with the Commission for an order approving the exchange of certain transmission assets. 4. The Parties own and operate the Jim Bridger Power Plant and associated transmission assets ("Bridger"). Several transmission service agreements were entered into in 1969 between the Parties when Bridger was constructed to facilitate moving energy from Bridger to PacifiCorp's West Balancing Area. 5. In the years since the transmission agreements were signed, the regulatory landscape, the Parties' load growth, and investments in system upgrades rendered the allocation of ownership and operational responsibilities provided under the agreements inefficient. Due to these changes the Parties determined the best solution was to reallocate their respective ownership interests and operation responsibilities for various integrated transmission facilities ("Transmission Facilities") in ldaho, Oregon, Washington, and Wyoming. 6. Accordingly, on October 24,2014, the Parties entered into a Joint Purchase and Sale Agreement and a Joint Ownership and OperatingAgreement to reallocate their respective ownership interests to better meet their load service obligations and improve operational efficiency. 7. In their Joint Application for Exchange of Certain Transmission Assets,2 the Parties asserted that the new transmission service obligations and asset exchange would transform and modernize their relationship making it simpler, more transparent, and align better with then-current regulatory requirements. Specifically, the Parties testified that the 2 Case PAC-E-14-l I (December 22, 2014). APPLICATION OF ROCKY MOUNTATN POWER PAGE 2 reallocation of transmission assets being exchanged provided long-term operational benefits to customers while resolving operational issues to ensure safe and reliable electric service. 8. On June 5,2015, the Commission issued OrderNo. 33313 which: a) approved the Parties' application with the finding that the exchange of Transmission Facilities satisfied the requirements of Idaho Code $ 6l-328; b) required that the financial benefits from the exchange are returned to customers; and c) implemented an annual report of changes to PacifiCorp's wheeling expenses associated with Idaho Power.3 9. As noted in the Parties' joint reply comments, the financial benefits from the Transmission Facilities exchanged flow back to PacifiCorp's customers through the energy cost adjustment mechanism where actual transmission wheeling expenses are compared to the normalized levels in base rates. 10. Pursuant to Order 33313, the Company respectfully reports that transmission wheeling expense paid to Idaho Power between October l,20z0,through September 30,2021, was $16.3 million representing a $0.2 million increase to the amount of wheeling expense paid to Idaho Power from the prior reporting period. APPLICATION I l. Order No. 33313 recognized that the annual transmission report was transaction specific and would not be required indefinitely. The Commission stated that once the change in transmission revenues and wheeling expenses were reflected in base rates, the Parties could request to discontinue the annual reports. 3 Case PAC-E-l4-ll, Order 33313 at 14 (June 5, 2015). APPLICATION OF ROCKY MOUNTAIN POWER PAGE 3 12. On May 27,2O2l,the Company filed a general rate case4 with the Commission requesting authority to increase base rates in ldaho. On October25,202l, the parties in the case filed a settlement stipulation with the Commission resolving all issues in the rate case with new rates effective January 1,2022, subject to Commission approval. 13. If the settlement stipulation is approved and base rates updated, the financial benefits from the Transmission Facility exchange will be included in base rates eliminating the need for continued tracking and reporting of these wheeling expenses to the Commission. 14. Therefore, pursuant to Order No. 33313 Rocky Mountain Power respectfully requests that the Commission issue an order acknowledging that the Company has complied with the conditions of Order No.33313 which approved the transaction and authorize the Company to stop filing annual transmission wheeling reports associated with the ldaho Power transmission asset exchange. COMMUNICATIONS 15. Communications regarding this Application should be addressed to: Ted Weston 1407 W. North Temple, Suite 330 Salt Lake City, Utah 841l6 Telephone : (80 l) 220-2963 Fax: (801) 220-2798 Email : ted.weston(@pac i fi corp.com Emily L. Wegener 1407 W. North Temple, Suite 320 salt Lake ciry, utah 841l6 Tel. (801) 2204526 Fax (801) 220-4058 Email : em i ly. we gener(@pac i f icorp.com a Case No. PAC-E-21-07, In the Matter of theApplication of Rocky Mountain Power forAuthority to Increase its Rates and Charges in Idaho and Approval of Proposed Electric Service Schedules and Regulations. APPLICATION OF ROCKY MOI.'NTAIN POWER PAGE 4 In addition, the Company respectfully requests that all data requests regarding this matter be addressed to one or more of the following: By e-mail (preferred) By regular mail datarequest@pac i fl corp.com Data Request Response Center PacifiCorp 825 NE Multnomah, Suite 2000 Portland, OR 97232 MODIFIED PROCEDURE 16. Rocky Mountain Power believes that a technical hearing is not necessary to consider the issues presented herein and respectfully requests this Application be processed under Modified Procedure, i.e., by written submission rather than by hearing. RP 201 et seq. The Company stands ready to present testimony in support of this Application if the Commission determines a technical hearing is required. REQUEST FOR RELIEF WHEREFORE, Rocky Mountain Power respectfully requests the Commission issue an order acknowledging the Company has complied with the conditions of the transaction approval and authorize the Company to stop filing annual transmission wheeling reports associated with the Idaho Power Company transmission asset exchange. DATED this 23'd day of November,2}2l. Respectfully submitted, By Emily L. Wegener Attorney for Rocky Mountain Power APPLICATION OF ROCKY MOI.INTATN POWER PAGE 5