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HomeMy WebLinkAbout20231121Decision Memo.pdfDECISION MEMORANDUM 1 DECISION MEMORANDUM TO: COMMISSIONER ANDERSON COMMISSIONER HAMMOND COMMISSIONER LODGE COMMISSION SECRETARY COMMISSION STAFF LEGAL FROM: DAYN HARDIE DEPUTY ATTORNEY GENERAL DATE: NOVEMBER 21, 2023 SUBJECT: IN THE MATTER OF AVISTA’S APPLICATION FOR AN ORDER AUTHORIZING DEFERRED ACCOUNTING FOR COSTS RELATED TO THE NOVEMBER 2023 WILLIAMS NORTHWEST PIPELINE OUTAGE; CASE NO. AVU-G-23-08. On November 9, 2023, Avista Corporation d/b/a Avista Utilities (“Company”) applied to the Commission for authority to defer costs associated with a “dig in” event causing the Williams Pipeline to shut down. The shutdown forced the Company to stop delivering natural gas to customers in the Moscow and Lewiston areas. Between Idaho and Washington, the Company estimates 35,000-40,000 customers were affected. While the Company has not finalized its response plan, it will have to visit every affected premise to turn off natural gas meters, then purge the lines, and finally refill the lines, turn on the meters, and relight appliances. The Company proposes to defer costs associated with this incident for later recovery. Under the Company’s proposal, it would seek reimbursement of deferred costs plus interest in a later proceeding. The Company did not rule out that it could seek damages through future legal proceedings which could be applied towards the deferral. The Company requested its Application be processed by Modified Procedure. STAFF RECOMMENDATION Staff recommends the Commission issue a Notice of Application and Notice of Modified Procedure establishing a December 18, 2023, public comment deadline and a December 20, 2023, Company reply deadline. DECISION MEMORANDUM 2 COMMISSION DECISION Does the Commission wish to issue a Notice of Application and Notice of Modified Procedure establishing a December 18, 2023, public comment deadline and a December 20, 2023, Company reply deadline? _____________________________ Dayn Hardie Deputy Attorney General I:\Legal\GAS\AVU-G-23-08_WNP outage\memos\AVUG2308_dec1_dh.docx