19990511modproc.doc

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF THE APPLICATION OF AVISTA CORPORATION FOR APPROVAL OF STANDARDS FOR COMPETITIVE PRACTICES RELATED TO THE CONSOLIDATION OF GAS PROCUREMENT OPERATIONS UNDER AVISTA ENERGY. )
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) CASE NO. AVU-G-99-1

NOTICE OF APPLICATION
NOTICE OF MODIFIED
PROCEDURE
NOTICE OF COMMENT/ PROTEST DEADLINE

YOU ARE HEREBY NOTIFIED that on April 6, 1999, Avista Corporation dba Avista Utilities—Washington Water Power Division (Avista; Company) filed an Application with the Idaho Public Utilities Commission (Commission) requesting approval of proposed Standards for Competitive Practices (Standards).
The Standards, the Company states, are being filed in compliance with the Commission’s Order No. 27908 in Case No. WWP-G-98-4. In that Order the Commission approved the Company’s proposed experimental natural gas benchmark mechanism (gas benchmark), under tariff Schedule 163, together with the consolidation of the Company’s gas procurement operations under its affiliate, Avista Energy. In its Order the Commission stated that “customers may benefit from rules of conduct that promote full and fair competition”, and required the Company to file standards for competitive practices similar to those adopted for Intermountain Gas Company.
The proposed Standards will govern the relationship, transactions and dealings between Avista Utilities and Avista Energy regarding the gas procurement and management services provided by Avista Energy under the gas benchmark mechanism in tariff Schedule 163. Therefore, the Company has proposed in this filing to include the Standards as part of Schedule 163.
The Company requests that the Commission approve the revisions to tariff Schedule 163 to include the proposed Standards for an effective date of May18, 1999. Implementation of the gas benchmark mechanism, including all provisions of Schedule 163, will occur on the first calendar day of the month following receipt of all necessary regulatory approvals and execution of the agency agreement between Avista Utilities and Avista Energy (estimated implementation date—June 1 or July 1, 1999).
YOU ARE FURTHER NOTIFIED that the Commission has reviewed the Company’s Application, proposed Standards for Competitive Practices and related amendment to Schedule 163. The Commission has preliminarily found that the public interest regarding implementation of the proposed changes to the Company’s tariff may not require a hearing to consider the issues presented and that the Application may be processed under Modified Procedure, i.e., by written submission rather than by hearing. Reference Commission Rules of Procedure, IDAPA 31.01.01.201 through -204.
YOU ARE FURTHER NOTIFIED that the Commission will not hold a hearing in this proceeding unless it receives written protests or comments opposing the use of Modified Procedure and stating why Modified Procedure should not be used. Reference IDAPA 31.01.01.203.
YOU ARE FURTHER NOTIFIED that the deadline for filing written comments or protests with respect to the Application and the Commission’s use of Modified Procedure in Case No. AVU-G-99-1 is Wednesday, May 13, 1999. Persons desiring a hearing must specifically request a hearing in their written protests or comments.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are received within the deadline, the Commission will consider the matter on its merits and enter its Order without a formal hearing. If comments or protests are filed within the deadline, the Commission will consider them and in its discretion may set the matter for hearing or may decide the matter and issue its Order on the basis of the written positions before it. Reference IDAPA 31.01.01.204.
YOU ARE FURTHER NOTIFIED that the Application and proposed revisions to tariff Schedule 163 including the proposed Standards for Competitive Practices have been filed with the Commission and are available for public inspection during regular business hours at the Commission office and at the Idaho offices of Avista Corporation dba Avista Utilities—Washington Water Power Division. Written comments concerning this Application should be mailed to the Commission and the Company at the addresses reflected below:

COMMISSION SECRETARY
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE, IDAHO 83720-0074
Street Address for Express Mail:
472 W WASHINGTON ST
BOISE, ID 83702-5983 THOMAS D. DUKICH
MANAGER, RATES & TARIFF ADMIN
AVISTA CORPORATION
1411 E MISSION AVE
PO BOX 3727
SPOKANE, WA 99220-3727

DAVID J. MIEIR
SENIOR VICE PRESIDENT & GENERAL
COUNSEL
AVISTA CORPORATION
1411 E MISSION AVE
PO BOX 3727
SPOKANE, WA 99220-3727

All comments should contain the case caption and case number shown on the first page of this document.
DATED by Order by the Idaho Public Utilities Commission at Boise, Idaho this day of May 1999.

DENNIS S. HANSEN, PRESIDENT

MARSHA H. SMITH, COMMISSIONER

PAUL KJELLANDER, COMMISSIONER

Myrna J. Walters
Commission Secretary

vld/O:AVU-G-99-1_sw

NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT/ PROTEST DEADLINE 3

Office of the Secretary
Service Date
April 23, 1999