20080822Decision Memo.pdf

DECISION MEMORANDUM
TO:COMMISSIONER REDFORD
COMMISSIONER SMITH
CO MMISSI 0 NER KEMPTON
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:SCOTT WOODBURY
DEPUTY ATTORNEY GENERAL
DATE:AUGUST 22, 2008
SUBJECT:CASE NO. AVU-08-03 (Avista)
2008 PURCHASED GAS COST ADJUSTMENT (PGA)
On August 18 2008, Avista Corporation dba Avista Utilities (Avista; Company) filed
its annual Purchased Gas Cost Adjustment (PGA) Application with the Commission requesting
authority to place new rate schedules in effect as of October 1 , 2008 that would increase its
annual natural gas revenues by approximately $11.6 million or about 14.2%. The PGA
mechanism is used to adjust rates for the purchase of gas from wholesale suppliers including
transportation, storage, and other related costs of acquiring natural gas. Avista s earnings will
not be increased as a result of the proposed changes in prices and revenues. The Company
requests and Staff recommends that its Application be processed by Modified Procedure.
COMMISSION DECISION
date.
A vista has filed its 2008 PGA Application with a requested October 1 , 2008 effective
The Company and Staff recommend that the Application be processed pursuant to
Modified Procedure. Does the Commission concur with the recommended procedure?
Scott Woodbury
Deputy Attorney General
bls!M:A VU-O8-03 _