20150914Comments (2 Total).pdf

September 8,2015
21H5 SEP pj 3
Idaho Public Utilities Commission
PC Box83720 ]TiHTtD f ls’o
Boise,ID 83720-0074
Dear Sir or Madam:
Regarding Avista’s recent rate proposals for 2016 and 2017.
I see the proposal is a continued effort to pass through increasing costs through a regressive cost
method;essentially penalizing those who live in small places over those who live in larger places.What
‘m specilicafly addressing is thelarge bump up in the basic charge from $5.25 to $8.50.
I love these general public notices.This one says the average residential service will incur an increase of
6.9%and 6.7%for 2016 and 2017.Per my May’s billing of $21.43,account #12117942,I’ve calculated
my charges will increase to $25.31 or 18.1%in 2016 and to $26.53 or 4.8%in 2017.Over a two year
period my bill will increase 23.8%versus an average user’s increase of 14.1%.My future billing amounts
include a franchise fee of 3%and Avista’s rate increases doesn’t.I feel my calculations are more
accurate since everyone has to pay either a 1%or 3%franchise fee.My calculations were determined
with the help of Joe Miller,Senior Regulatory Analyst of Avista.
I’m sure when you look at proposed rate changes,you look at a number of different items such as
comparing rate structures of surrounding areas such as Eastern Washington.During your research you
might conclude since their commission is charging x amount for basic charges,we should allow it too.
It’s kind of like compensation committees for companies or governmental organizations;you pay x
amount for your employees,we should do the same.Eventually common sense is left behind.As in this
proposal;the basic charge explodes and continues to penalize the lower energy user even more.
I’ve never liked the basic charge because it hurts generally a poorer consumer who live in smaller places
and who are trying to conserve energy consumption.I believe basic charges should be eliminated and
just use the multi-tier rate schedule in which rates increase as consumption increases.
As far as this rate proposal goes,if you continue to allow increases in basic charges;it just tells me you
are continuing down the wrong path in not getting the billing system right.It simply tells the poor,they
will continue to subsidize the rich.Common sense tells me to get rid of the basic charge.
Sincerely,/
Tom Wolny
Jean Jewell
From:[e-mail]
Sent:Saturday,September 12,2015 4:13 PM
To:Beverly Barker;Jean Jewell;Gene Fadness
Cc:[e-mail]
Subject:Case Comment Form:Michael Fox
Name:Michael Fox
Case Number:AVU-E-15-05
Email:[e-mail]
Telephone:[phone]
Address:13403 N Grand Canyon St
Rathdrum ID -Idaho,83858
Name of Utility Company:Avista
Comment:Since the early 1970s,energy consumers have been urged,coerced,and sometimes forced to conserve.
Technology,building codes,appliance design,energy rate structures,etc.,have all been focused with a primary goal of
conserving energy.For the most part Avistas electric rate structures have seemingly been based on the cost of service
between various rate classes and the residential rate structures are designed to encourage conservation,use less,and
penalizes waste.
Apparently current rate levels and design,rebates,promotions,and conservation programs have been too successful
and Avista is now saying oops!Avistas proposed rates are designed to counter ALL conservation efforts and actually
punishes those customers that have made the effort to conserve and have paid the price of efficiency.
The proposed rate increases will only exacerbate the problems Avista now foresees with declining profits.Rate
increases of this magnitude and punitive design will only lead to additional efforts by consumers to seek alternate
sources of electricity such as solar to reduce their monthly costs and edge ever closer to the so-called “death spiral”.
Avista is seeking to dramatically change the way revenue is generated and take away the consumers ability to control his
costs by using less energy.
Avistas proposed rate changes should be denied.Instead,Avista should be encouraged to look at both side of the
equation and reduce its operating costs the same way it has told its consumers to do for years,be more efficient.
Another approach is for Avista to partner with consumers and regulators with innovative ideas such as promoting
conversion from wood burning stoves to high efficiency heat pumps,or consider time of use rates that allow the utility
to better manage the costs of electric demand.
Thank you for providing the opportunity to submit comments on Avistas rate proposal.
Unique Identifier:76.178.26.249
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