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HomeMy WebLinkAbout20050808Application.pdfECEIVEB ILI:D ~_.. t \l'L....-. '"---~ 'jfiqr:. ~J H"\t.tJt!J ihJb -8 al'f ~: 05 INTERMOUNTAIN GAS COMPANY ,- Ii) UHi U flLITfFS crMJ~/~S '- - 'I ,Iv"", lUll CASE NO. INT -O5- APPLICATION, EXHIB IT S, AND WORKP APERS In the Matter of the Application of INTERMOUNTAIN GAS COMPANY for Authority to Change Its Prices on October 1 , 2005 (October 1, 2005 Purchased Gas Cost Adjustment Filing) Morgan W. Richards, Jr. ISB # 1913 804 East Pennsylvania Lane Boise, Idaho 83706 Telephone (208) 345-8371 Attorney for Intermountain Gas Company BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION In the Matter of the Application of INTERMOUNTAIN GAS COMPANY for Authori to Change Its Prices Case No. INT -05- APPLI CA TI 0 N Intermountain Gas Company ("Intermountain"), an Idaho corporation with general offices located at 555 South Cole Road, Boise, Idaho, hereby requests authority, pursuant to Idaho Code Sections 61-307 and 61-622, to place in effect October 1 , 2005 new rate schedules which will increase its annualized revenues by $67.6 million, pursuant to the Rules of Procedure of the Idaho Public Utilities Commission ("Commission ). Because of changes in Intermountain's gas related costs, as described more fully in this Application, Intermountain's earnings will not be increased as a result of the proposed changes in prices and revenues. Intermountain's current rate schedules showing proposed changes are attached hereto as Exhibit No.1 and are incorporated herein by reference. Intermountain's proposed rate schedules are attached hereto as Exhibit No.2 and are incorporated herein by reference. Communications in reference to this Application should be addressed to: Paul R. Powell Executive Vice President & Chief Financial Officer Intermountain Gas Company Post Office Box 7608, Boise, ID 83707 and Morgan W. Richards, Jr. Attorney 804 East Pennsylvania Lane, Boise, ID 83706 In support of this Application, Intermountain does allege and state as follows: APPLICATION - 2 Intermountain is a gas utility, subject to the jurisdiction of the Idaho Public Utilities Commission, engaged in the sale of and distribution of natural gas within the State of Idaho under authority of Commission Certificate No. 219 issued December 2, 1955 , as amended and supplemented by Order No. 6564, dated October 3, 1962. Intermountain provides natural gas service to the following Idaho communities and counties and adjoining areas: Ada County - Boise, Eagle, Garden City, Kuna, Meridian, and Star; Bannock County - Chubbuck, Inkom, Lava Hot Springs, McCammon, and Pocatello; Bear Lake County - Georgetown, and Montpelier; Bingham County - Aberdeen, Basalt, Blackfoot, Firth, Fort Hall, Moreland/Riverside, and Shelly; Blaine County - Bellevue, Hailey, Ketchum, and Sun Valley; Bonneville County - Ammon, Idaho Falls, lona, and Ucon; Canyon County - Caldwell, Greenleaf, Middleton, Nampa, Parma, and Wilder; Caribou County - Bancroft, Conda, Grace, and Soda Springs; Cassia County - Burley, Declo, Malta, and Raft River; Elmore County - Glenns Ferry, Hammett, and Mountain Home; Fremont County - Parker, and S1. Anthony; Gem County - Emmett; Gooding County - Gooding, and Wendell; Jefferson County - Lewisville, Menan, Rigby, and Ririe; Jerome County - Jerome; Lincoln County - Shoshone; Madison County - Rexburg, and Sugar City; Minidoka County - Heyburn, Paul, and Rupert; Owyhee County - Bruneau, Homedale; Payette County - Fruitland, New Plymouth, and Payette; Power County - American Falls; Twin Falls County - Buhl, Filer, Hansen, Kimberly, Murtaugh, and Twin Falls; Washington County - Weiser. Intermountain's properties in these locations consist of transmission pipelines, a compressor station, a liquefied natural gas storage facility, distribution mains, services, meters and regulators and general plant and equipment. II. Intermountain seeks with this Application to pass through to each of its customer classes a change in gas related costs resulting from: 1) changes in Intermountain s firm transportation and storage costs resulting from Intermountain s management of its storage and firm capacity rights on pipeline systems including the Williams Northwest Pipeline ("Williams" or "Northwest"), 2) an APPLICATION - 3 increase in Intermountain's Weighted Average Cost of Gas ("W ACOG"), 3) an updated customer allocation of gas related costs pursuant to the Company s Purchased Gas Cost Adjustment provision, and 4) the inclusion of temporary surcharges and credits for one year relating to gas and interstate transportation costs from Intermountain's deferred gas cost account. Exhibit No. contains pertinent excerpts from pipeline and related facilities' tariffs. Intermountain also seeks with this Application to eliminate the temporary surcharges and credits included in its current prices during the past 15 months, pursuant to Case No. INT-04-2. The aforementioned changes would result in an overall price increase to Intermountain's RS-, RS-, GS-, LV-, and T-2 customers and a price decrease to Intermountain's T -1 customers. These price changes are applicable to service rendered under rate schedules affected by and subject to Intermountain's Purchased Gas Cost Adjustment ("PGA"), initially approved by this Commission in Order No. 26109, Case No. INT-95-, and additionally approved through subsequent proceedings. Exhibit No.4 summarizes the price changes in: 1) Intermountain's base rate gas costs and its rate class allocation, and 2) adjusting temporary surcharges or credits flowing through to Intermountain s direct sales and transportation customers. Exhibit No.s 3 and 4 are attached hereto and incorporated herein by reference. III. The current prices of Intermountain are those approved by this Commission in Order No. 29540, Case No. INT -04- IV. Intermountain s proposed prices incorporate all price changes impacting Intermountain interstate capacity including, but not limited to, any such changes implemented by Northwest which have occurred since Intermountain s last PGA filing in Case No. INT-04-2. Exhibit No. , Lines 1 through 19, details the proposed changes in Intermountain s prices resulting from adjustments to Intermountain s cost of interstate and upstream capacity and storage from its various suppliers. Intermountain s review of the adequacy of its interstate transportation and storage services is performed on an annual basis under design weather and certain load growth assumptions. A summary of the methodology incorporated within this annual review was APPLICATION - 4 included in the Company s Integrated Resource Plan which is currently on file with this Commission. Intermountain s interstate pipeline capacity was forecast to be approaching a deficit position thereby potentially jeopardizing the Company s ability to deliver an uninterrupted supply of natural gas to its firm sales customers during the coming winter heating seasons. In order to help meet the needs of this forecast deficit, Case No. INT-O4-included the acquisition of incremental interstate transportation that was contractually in effect for less than a full year for the twelve month period ended June 30, 2005. Row 3 of Exhibit No.4 reflects the incremental costs for that same interstate transportation being utilized during a full twelve month PGA period. Intermountain s adequacy review also includes analyzing upstream pipeline capacity. The latest study indicated a need to procure additional upstream capacity in order to more closely align deliveries from those upstream contracts with Intermountain s take-away rights on Northwest at its Stanfield interconnect with Gas Transmission Northwest ("GTN"). Row 5 of Exhibit No.4 reflects the costs for this incremental upstream capacity. Intermountain continues to take the necessary steps to manage its natural gas storage and has procured an incremental amount of economically priced storage to enhance Intermountain overall storage portfolio. Exhibit No., Row 19, includes the costs for this incremental storage. The W ACOG reflected in Intermountain s proposed prices is $0.73219 per therm, as shown on Exhibit No., Lines 25 through 28, Column (t). This compares to $0. 55492 per therm currently included in the Company s tariffs. As stated in the Company s Customer Notice, natural gas prices are influenced by a number of factors including the cost of other energy sources, increased demand for natural gas including that used for electric power generation, producers ability to drill for additional supplies of natural gas and their ability to sell natural gas to other North American markets, as well as speculation in commodity markets. Over the past year, natural gas has more closely followed the price of crude oil as hedge funds and traders have become increasingly indifferent as to which commodity provides Btu's to the marketplace. Both crude oil and natural gas prices are at historic high levels. Exhibit No.5 demonstrates the historic correlation or relationship between natural gas prices and crude oil traded on the NYMEX. The Company s Customer Notice and Exhibit No.5 are attached hereto and APPLICATION - 5 incorporated herein by reference. Intermountain believes that current futures prices, subject to the laws of supply and demand may indeed soften. However, liquidity in the market is sustained by contrary opinions and natural gas prices could indeed realize the levels included in this Application, which are the forward prices currently available through the use of financial derivatives as of July 29, 2005. Although current commodity futures prices dictate the use of this $0.73219 per therm W ACOG, Intermountain continues to remain vigilant in monitoring natural gas prices and is committed to come before this Commission prior to this winters heating season with an Application to further amend these proposed prices, should these forward prices materially deviate from the $0.73219 per thermo Timely natural gas price signals and the accounting for any cost differences brought about by these volatile markets, facilitated through the use of the PGA mechanism, enhances our customers ability to make timely and informed energy use decisions and ensures they only pay the actual cost of such supplies. It is important to continue to alert our customers in a timely manner to these impending increases before their higher natural gas usage is before them. By employing the use of customer mailings and various media resources, Intermountain will continue to educate its customers regarding the wise and efficient use of natural gas, billing options available to help our customers manage their energy budget, and pending natural gas unit price changes. VI. Pursuant to Case No. INT-04-, Intermountain has included temporary surcharges and credits in its July 1 2004 prices for the principal reason of collecting or passing back to its customers deferred gas cost charges and benefits, as outlined in Case No. INT-04-2. Line 33 of Exhibit No.4 reflects the elimination of these temporary surcharges and credits. VII. Intermountain's PGA tariff includes provisions whereby Intermountain's proposed prices will be adjusted for updated customer class sales volumes and purchased gas cost allocations pursuant to the Company s approved cost of service methodology. Intermountain s proposed prices include a fixed cost collection adjustment pursuant to these PGA provisions, as outlined on Exhibit No., Line 24. The price impact of this adjustment is included on Exhibit No., Line No. 34. Exhibit No.6 is attached hereto and incorporated herein by reference. APPLICATION - 6 VIII. Intermountain is party to certain agreements whereby Intermountain has released segmented portions of its firm capacity rights when not needed to meet its customer needs. Intermountain proposes to pass back to its customers the benefits generated from the capacity release agreements totaling $2.3 million. Exhibit No., Line 1 , reflects the inclusion of the $2.3 million credit. Intermountain proposes to pass back this amount via the per therm credit as detailed on Exhibit No.8. Exhibit No.s 7 and 8 are attached hereto and incorporated herein by reference. IX. Intermountain proposes to allocate deferred gas costs from its Account No. 186 balance to its customers through temporary price adjustments to be effective during the 12-month period ending September 30, 2006, as follows: 1) Intermountain has been deferring in its Account No. 186 fixed gas costs. The debit amount shown on Exhibit No., Line 9, Co!. (b) of$7.5 million is predominantly attributable to the collection of interstate pipeline capacity costs and the true-up of expense issues previously ruled on by this Commission. Intermountain proposes to collect or pass back these balances via the per therm surcharges and credits, as detailed on Exhibit No.9 and included on Exhibit No., Line 2. Exhibit No.9 is attached hereto and incorporated herein by reference. 2) Intermountain has been deferring in its Account No. 186 deferred gas cost debits of $8.7 million, as shown on Exhibit No. 10, Line 2, Co!. (b), attributable to Intermountain' variable gas costs since July 1, 2004. Intermountain proposes to collect this debit balance via a per therm surcharge, as shown on Exhibit No. 10, Line 4, Co!. (b) and included on Exhibit No., Line 3. Exhibit No. 10 is attached hereto and incorporated herein by reference. Intermountain has allocated the proposed price changes to each of its customer classes based upon Intermountain s PGA provision. A straight cents per therm price decrease was not utilized for the T -1 tariff. No fixed costs are currently recovered in the tail block of Intermountain T -1 tariff. Absent Williams' fmn transportation TF -1 Commodity Charge, the proposed decrease in the T -1 tariff is fixed cost related, and therefore, a cents per therm decrease was made only to the fIrst two blocks of the tariff for these fixed costs. APPLICATION - 7 XI. The proposed increase to the T-2 tariff Demand Charge is fixed cost related, and therefore, a cents per therm increase was made to the T -2 Demand Charge for these fixed costs. Additionally, the proposed decrease to the T-2 Commodity Charge incorporates the decrease in the Williams firm transportation TF -1 Commodity Charge. XII. Exhibit No. 11 is an analysis of the overall price changes by class of customer. Exhibit No. 11 is attached hereto and incorporated herein by reference. XIII. The proposed overall price change herein requested among the classes of service of Intermountain will not affect Intermountain's earnings, and is just, fair, and equitable. XIV. This Application is filed pursuant to the applicable statutes and the Rules and Regulations of the Commission.This Application has been brought to the attention of Intermountain' customers through a Customer Notice and by a Press Release sent to daily and weekly newspapers and major radio and television stations in Intermountain's service area. The Press Release and Customer Notice are attached hereto and incorporated herein by reference. Copies of this Application, its Exhibits, and Workpapers have been provided to those parties regularly intervening in Intermountain's rate proceedings. xv. Intermountain requests that this matter be handled under modified procedure pursuant to Rules 201-204 of the Commission s Rules of Procedure. Intermountain stands ready for immediate consideration of this matter. APPLICATION - 8 WHEREFORE, Intermountain respectfully petitions the Idaho Public Utilities Commission as follows: a. That the proposed rate schedules herewith sub~itted as Exhibit No.2 be approved without suspension and made effective as of October 1 , 2005 in the manner shown on Exhibit No. That this Application be heard and acted upon without hearing under modified procedure, and F or such other relief as this Commission may determine proper herein. DATED at Boise, Idaho, this 8th day of August, 2005. INTERMOUNTAIN GAS COMPANY Morgan W. Richards, Jr. Paul R. Powell Executive Vice President & CFO By \J. Morgan W. hards, Jr. . ' / Attorney for Intermountain Gas C mpany APPLICATION - 9 CERTIFICATE OF MAILING I HEREBY CERTIFY that on this 8th day of August, 2005 , I served a copy of the foregoing Case No. INT-05-2 upon: Paula Pyron Northwest Industrial Gas Users 4113 Wolf Berry Court Lake Oswego, OR 97035 Edward A. Finklea Paula E. Pyron Energy Advocates LLP 526 NW 18th Avenue Portland, OR 97209 R. Scott Pasley J. R. Simplot Company PO Box 27 Boise, ID 83707 David Hawk J. R. Simplot Company PO Box 27 Boise, ill 83707 Conley E. Ward, Jr. Givens, Pursley, Webb & Huntley 277 N. 6th St., Suite 200 PO Box 2720 Boise, ID 83701 Wendell M. Phillips 615 South Phillippi Street Boise, ill 83705 by depositing true copies thereof in the United States Mail, postage prepaid, in envelopes addressed to said persons at the above addresses. . hael P. McGr irector Gas Supply and Regulatory Affairs APPLICATION - 10 EXHIBIT NO. CASE NO. INT -G-O5- INTERMOUNTAIN GAS COMPANY CURRENT TARIFFS Showing Proposed Price Changes (8 pages) Exhibit No. Case No. INT-O5- intermountain Gas Company Page 1 of 8 COMPARISON OF PROPOSED OCTOBER 1,2005 PRICES TO JULY 1 2004 PRICES July 1, 2004 Proposed Line Prices per Proposed October 1,2005 No.Rate Class INT -04-Adjustment Prices (a)(b)(c)(d) RS- April- November 99929 25572 1.25501 December - March 88673 25572 1.14245 RS- April - November 86105 24543 1.10648 December - March 82742 24543 07285 GS- April- November Block 1 89292 24223 1.13515 Block 2 87119 24223 1.11342 Block 3 85017 24223 1.09240 December - March Block 1 84207 24223 08430 Block 2 82087 24223 1.06310 Block 3 80041 24223 04264 CNG Fuel 80041 24223 04264 LV-1 (1) Block 1 67611 21301 (2)88912 Block 2 63762 21301 (3)85063 Block 3 55744 21307 (4)77051 Block 1 12938 (0.00009) (2)12929 Block 2 09089 (0.00009) (3)09080 Block 3 01071 (0.00003) (4)01068 Demand Block 69646 01285 1.70931 Demand Block 2 89488 01285 90773 Commodity Charge 00656 (0.00003)00653 Over-Run Service 04915 (0.00003)04912 (I) The LV -1 Adjustment is calculated by taking Line 22 - 24, Col ( c), plus removal of the TF- Commodity Charge change, plus the change in the W ACOG, plus removal of the temporary variable surcharge from INT -04-2 of $0.00409, plus the temporary variable debit on Exhibit 10, Line 4, Col (b) (2) See Workpaper No., Line 13 , Col (e) (3) See Workpaper No., Line 20, Col (e) (4) See Workpaper No., Line 21, Col (e) J.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No. Thirty- Sixth Revised Sheet No. 01 (Page 1 of 1) Name of Utility Intermountain Gas Company Exhibit No. Case No. INT-O5- . Intermountain Gas Company Page 2 of 8 IDAHO PUBUC UTIlITIES COMMISSIONAPPROVED EFFECTIVE JJl3 0 "O.f .M.. 1 - '04 P~-oJV. ;2')5~O t'Jf1 SECRETARY Rate Schedule RS- RESIDENTIAL SERVICE AVAILABILITY: Available to individually metered consumers not otherwise specifically provided for, using natural gas for residential purposes. RATE: Monthly minimum charge is the customer charge. for billina periods endina April throuah November Customer Charge - $2.50 per bill $1.25501 Commodity Charge - $99929 per therm For billina periods endina December throuah March Customer Charge - $6.50 per bill $1.14245 Commodity Charge - $88673 per therm Includes: Temporary purchased gas cost adjustment of $(00099)$0.06562 Weighted average cost of gas of $55492 $0.73219 PURCHASED GAS COST ADJUSTMENT: This tariff is subject to an adjustment for cost of purchased gas as provided for in the Company's Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: All natural gas service hereunder is subject to the General Service Provisions of the Company's Tariff, of which this rate schedule is a part. Issued by: Intermountain Gas Company By: Michael E. Huntington Paul R. Powell Title: Vice President Marketing and ExtornaJ Affairs Effective: July 1 2004 October 1 , 2005 Executive Vice President & Chief Financial Officer I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No.Thirty-FiftR Sixth Revised Sheet No. 02 Name of Utility Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 3 of 8 (Page 1 of 1) Intermountain Gas Company IDAHO PUBUC UTIlITIES COMMISSIONAPPROVED EFFECTIVE JJl30 '04 JUll- '04 P41. .0.1\). ;2') 5-lfO t--4g.-tt $ECRETARV Rate Schedule RS- MULTIPLE USE RESIDENTIAL SERVICE AVAILABILITY: Available to individually metered consumers using gas for several residential purposes including both water heating and space heating. RATE: Monthly minimum charge is the customer charge. For billina periods endina April throuah November Customer Charge - $2.50 per bill $1.10648 Commodity Charge - $86105 per therm For billina periods endina December throuah March Customer Charge - $6.50 per bill $1.07285 Commodity Charge $82742 per therm Includes: Temporary purchased gas cost adjustment of $(00417)-$04838 Weighted average cost of gas of $0.55492 $0.73219 PURCHASED GAS COST ADJUSTMENT: This tariff is subject to an adjustment for cost of purchased gas as provided for in the Company's Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: All natural gas service hereunder is subject. to the General Service Provisions of the Company s Tariff, of which this rate schedule is a part. Issued by: Intermountain Gas Company By: Michael E. Huntington Paul R. Powell Title: Vice President Marketing and Extornall\ffairs Effective: July 1 , 2004 October 1 , 2005 Executive Vice President & Chief Financial Officer I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No. Thi;-h'Sovonth EiQhth Revised Sheet No. 03 (Page 1 of 2) Name of Utility Exhibit No. Case No. INT -O5- Intermountain Gas Company Page 4 of 8 Intermountain Gas Company IDAHO PUBLIC UTIlITIES COMMISSIONAPPROVED EFFECTIVE JUl30 '04 JUll- '04 p~ - oN. ~t)5"fO t-' 11 SECRETARY Rate Schedule GS- GENERAL SERVICE AVAILABILITY: Available to individually metered customers whose requirements for natural gas do not exceed 000 therms per day, at any point on Companys distribution system. Requirements in excess of 000 therms per day may be served under this rate schedule upon execution of a one-year written service contract. RATE: Monthly minimum charge is the customer charge. For billing periods ending April through November Customer Charge - $2.00 per bill Commodity Charge - First 200 therms per bill $0.89292*$1.13515* Next 1 800 therms per bill $0.87119*$1.11342* Over 2,000 therms per bill $0.85017*$1.09240* For billing periods ending December through March Customer Charge - $9.50 per bill Commodity Charge - First 200 therms per bill $0.84207*$1.08430* Next 1 800 therms per bill $0.82087*$1.06310* Over 2,000 therms per bill $0.80041*$1.04264* Includes: Temporary purchased gas cost adjustment of $(0.00179)$0.04984 Weighted average cost of gas of $0.55492 $0.73219 Issued by: Intermountain Gas Company By: Michael E. Huntington Paul R. Powell Title: Vice President Marketing and External Affairs Effective: July 1 , 2004 October 1 , 2005 Executive Vice President & Chief Financial Officer I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No. Thi~.J" So'lonth Eighth Revised Sheet No. 03 (Page 2 of 2) Name of Utility Exhibit No. Gase No. INT -O5- Intermountain Gas Company Page 5 of 8 Intermountain Gas Company IDAHO PUBUC urlLmES COMMISSIONAPPROVED EFFECTIVE JUl30"O4 JUl.l- '04 P~-oJ\). ~~5~O t-' 1ft SECRETARY Rate Schedule GS- GENERAL SERVICE (Continued) For separately metered deliveries of gas utilized solely as Compressed Natural Gas Fuel in vehicular internal combustion engines. Customer Charge - $9.50 per bill $1.04264 Commodity Charge - $0.80041 per therm Includes: Temporary purchased gas cost adjustment of $(0.00179)$0.04984 Weighted average cost of gas of $0.55492 $0.73219 PURCHASED GAS COST ADJUSTMENT: . This tariff is subject to an adjustment for cost of purchased gas as provided for in the' Company's Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: 1. Any GS-1 customer who leaves the GS-1 service will pay to Intermountain Gas Company, upon exiting the GS-1 service, all gas and transportation related costs incurred to serve the customer during the GS-1 service period not borne by the customer during the time the customer was using GS-1 service. Any GS-1 customer who leaves the GS-1 service will have refunded to them, upon exiting the GS-1 service, any excess gas commodity or transportation payments made by the customer during the time they were a GS- customer. 2. All natural gas service hereunder is subject to the General Service Provisions of the Company's Tariff, of which this rate schedule is a part. Issued by: Intermountain Gas Company By: Michael E. Huntington Paul R. Powell Title: 'lice President Marketing and External Affairs Effective: July 1, 2004 October 1, 2005 Executive Vice President & Chief Financial Officer I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No.Forty~ Sixth Revised Sheet No. 04 (Page 1 of 2) Name of Utili Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 6 of 8 Intermountain Gas Com IDAHO PUBLIC UTILITIES COMMISSIONAPPROVED EFFECTIVE Rate Schedule LV- LARGE VOLUME FIRM SALES SERVICE JUJl30 '04 JUL 1- '04 p~. o.tV. :l')5~O t-'4~ SECRETARY AVAILABILITY: Available at any mutually agreeable delivery point on the Company's distribution system to any existing customer receiving service under the Company s rate schedules LV-1, T -1, or T -2, or any new customer whose usage does not exceed 500,000 therms annually, upon execution of a one-year minimum written service contract for firm sales service in excess of 200,000 therms per year. MONTHLY RATE: Commodity Charge: First 250,000 therms per bill $0.67611*$0.88912*Next 500,000 therms per bill $0.63762*$0.85063* Amount Over 750,000 therms per bill $0.55744**$0.77051** The above prices include weighted average cost of gas of $0.55492 $0.73219 Includes temporary purchased gas cost adjustment of $(0.00372)$0.03032 ** Includes temporary purchased gas cost adjustment of $(0.00409)$0.03171 PURCHASED GAS COST ADJUSTMENT (PGA): This tariff is subject to an adjustment for cost of purchased gas as provided for in the Company's Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: 1. All natural gas service hereunder is subject to the General Service Provisions of the Company s Tariff, of which this Rate Schedule is a part.2. Any LV-1 customer who exits the LV-1 service at any time (including, but not limited to, the expiration of the contract term) will pay to Intermountain Gas Company, upon exiting the LV-1 service, all gas and/or interstate transportation related costs to serve the customer during the LV-1 contract period not borne by the customer during the LV-1 contract period. Any LV-1 customer will have refunded to them, upon exiting the LV-1 service, any excess gas and/or interstate transportation related payments made by the customer during the LV-1 contract period.3. In the event that total deliveries to any customer within the last three contract periods met or exceeded the 200,000 therm threshold, but the customer during the current contract period used less than the contract minimum of 200,000 therms, an additional amount shall be billed. The additional amount shall be calculated by billing the deficit usage below 200,000 therms at the T -1 Block 1 rate. The customer s future eligibility for the LV-1 Rate Schedule will be renegotiated with the Company. Issued by: Intermountain Gas Company By: Michael E. Huntington Paul R. Powell Title: Vice President Marketing and Externall\ffairs Effective: July 1 , 2004.October., 2005 Executive Vice President & Chief Financial Officer LP.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No.Thi Second Revised Sheet No. 05 Name of Utili Pa e 1 of 2) Intermountain Gas Com an Exhibit No. Case No. INT -05- Intermountain Gas Company Page 7 of 8 IDAHO PUBUC UTIlITIES COMMISSIONAPPROVED EFFECTIVE Rate Schedule T- FIRM TRANSPORTATION SERVICE JUl30 '04 JUL 1- '04 P~.oN. ~')5~O t-' If). SECRETARY AVAILABILITY: Available at any mutually agreeable delivery point on the Company's distribution system to any existing customer receiving service under the Company s rate schedules LV-1, T-1, or T-2, upon execution of a one year minimum written service contract for firm transportation service in excess of 200,000 therms per year. MONTHLY RATE: Commodity Charge: Block One: Block Two: Block Three: First 250,000 therms transported $0.12938*$0.12929* Next 500,000 therms transported $0.09089*$0.09080* Amount over 750,000 therms transported $0.01071 $0.01068 Includes temporary purchased gas cost adjustment of $0.00037 $(0.00139) PURCHASED GAS COST ADJUSTMENT: This tariff is subject to an adjustment for cost of purchased gas as provided for in the Company Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: 1. All natural gas service hereunder is subject to the General Service Provisions of the Company s Tariff, of which this Rate Schedule is a part. 2. The customer shall negotiate a Maximum Daily Firm Quantity (MDFQ) amount, which will be stated in and will be in effect throughout the term of the service contract. The MDFQ shall not exceed the customer's historical maximum daily usage, as agreed to by the Company. In the event the Customer requires daily usage in excess of the MDFQ, and subject to the availability of firm interstate transportation to service Intermountain s system, all such usage may be transported and billed under either secondary rate schedule T -3 or T -4. The secondary rate schedule to be used shall be predetermined by negotiation between the Customer and Company, and shall be included in the service contract. All volumes transported under the secondary rate schedule are subject to the provisions of the applicable rate schedule T -3 or T -4. Issued by: Intermountain Gas Company By: Michael E. Huntington Paul R. Powell Effective: July 1, 2004 October 1, 2005 Title: Vice President Marketing and External Affairs Executive Vice President & Chief Financial Officer I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No. Twelfth Thirteenth Revised Sheet No.1 0 (Page 1 of 2) Exhibit No. Case No. INT-05- . Intermountain Gas Company Page 8 of 8 Name of Utility Intermountain Gas Company IDAHO PUBUC UTIlITIES COMMISSIONAPPROVED EFFECTIVE JUl30 '04 JUl. 1- '04 P~-oJV. ;2CJ5~O t' " $ECRETARY Rate Schedule T- FIRM TRANSPORTATION SERVICE WITH MAXIMUM DAILY DEMANDS AVAILABILITY: Available at any mutually agreeable delivery point on the Company s distribution system to any existing T -2 customer whose daily contract demand for nonammonia therms on any given day meets or exceeds a predetermined level agreed to by the customer and the Company upon execution of a one-year minimum written service contract for firm transportation service in excess of 200,000 therms per year. MONTHLY RATE: Firm Service Demand Charge: Firm Daily Demand - First 15,000 therms Amount over 15,000 therms Commodity Charge: For Firm Therms Transported Over-Run Service Rate Per Therm $1.69646*$1.70931* $0.89488*$0.90773* $0.00656 $0.00653 Commodity Charge: For Therms Transported In Excess Of MDFQ:$0.04915 $0.04912 Includes temporary purchased gas cost adjustment of $(0.04162)$(0.08920) PURCHASED GAS COST ADJUSTMENT: This tariff is subject to an adjustment for cost of purchased gas as provided for in the Companys Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: All natural gas service hereunder is subject to the General Service Provisions of the Company Tariff, of which this Rate Schedule is a part. The customer shall nominate a Maximum Daily Firm Quantity (MDFQ), which will be stated in and will be in effect throughout the term of the service contract. The monthly Demand Charge will be equal to the MDFQ times the Firm Daily Demand rate. Firm demand relief will be afforded to those T -2 customers paying both demand and commodity charges for gas when, in the Company s judgment, such relief is warranted. The actual therm usage for the month or the MDFQ times the number of days in the billing month, whichever is less, will be billed at the applicable commodity charge for firm therms. Issued by: Intermountain Gas Company By: Michael E. Huntington Paul R. Powell Effective: July 1 , 2004 October 1 2005 Title: Vice President Marketing and External Affairs Executive Vice President & Chief Financial Officer EXHIBIT NO. CASE NO. INT -G-O5- INTERMOUNTAIN GAS COMPANY PROPOSED TARIFFS (7 pages) I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume NO. Thirty-Sixth Revised Sheet No. 01 (Page 1 of 1) Name of Utility Exhibit No. Case No. INT-O5- . Intermountain Gas Company Page of Intermountain Gas Company Rate Schedule RS- RESIDENTIAL SERVICE AVAILABILITY: Available to individually metered consumers not otherwise specifically provided for, using natural gas for residential purposes. RATE: Monthly minimum charge is the customer charge. For billina periods endina April throuah November Customer Charge - $2.50 per bill Commodity Charge - $1.25501 per therm For billina periods endina December throuah March Customer Charge - $6.50 per bill Commodity Charge - $1.14245 per therm Includes: Temporary purchased gas cost adjustment of $0.06562 Weighted average cost of gas of $0.73219 PURCHASED GAS COST ADJUSTMENT: This tariff is subject to an adjustment for cost of purchased gas as provided for in the Company s Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: All natural gas service hereunder is subject to the General Service Provisions of the Company s Tariff, of which this rate schedule is a part. Issued by: Intermountain Gas Company By: Paul R. Powell Title: Executive Vice President & Chief Financial Officer Effective: October 1 , 2005 LP.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No. Thirty-Sixth Revised Sheet No. 02 Name of Utility Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 2 of (Page 1 of Intermountain Gas Company Rate Schedule RS- MULTIPLE USE RESIDENTIAL SERVICE AVAILABILITY: Available to individually metered consumers using gas for several residential purposes including both water heating and space heating. RATE: Monthly minimum charge is the customer charge. For billina periods endina April throuah November Customer Charge - $2.50 per bill Commodity Charge - $1.10648 per therm For billina periods endina December throuah March Customer Charge - $6.50 per bill Commodity Charge $1.07285 per therm Includes: Temporary purchased gas cost adjustment of $0.04838 Weighted average cost of gas of $0.73219 PURCHASED GAS COST ADJUSTMENT: This tariff is subject to an adjustment for cost of purchased gas as provided for in the Company s Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: All natural gas service hereunder is subject to the General Service Provisions of the Company s Tariff, of which this rate schedule is a part. Issued by: Intermountain Gas Company By: Paul R. Powell Title: Executive Vice President & Chief Financial Officer Effective: October 1 , 2005 I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No. Thirty- Eighth Revised Sheet No. 03 (Page 1 of 2) Name of Utility Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 3 of 7 Intermountain Gas Company Rate Schedule GS- GENERAL SERVICE AVAILABILITY: Available to individually metered customers whose requirements for natural gas do not exceed 000 therms per day, at any point on Company s distribution system. Requirements in excess of 000 therms per day may be served under this rate schedule upon execution of a one-year written service contract. RATE: Monthly minimum charge is the customer charge. For billina periods endina April throuah November Customer Charge - $2.00 per bill Commodity Charge - First 200 therms per bill ~ $1.13515* Next 1 800 therms per bill ~ $1.11342* Over 2 000 therms per bill ~ $1.09240* For billina periods endina December throuah March Customer Charge - $9.50 per bill Commodity Charge - First 200 therms per bill ~ $1.08430* Next 1,800 therms per bill ~ $1.06310* Over 2 000 therms per bill ~ $1.04264* Includes: Temporary purchased gas cost adjustment of $0.04984 Weighted average cost of gas of $0.73219 Issued by: Intermountain Gas Company By: Paul R. Powell Title: Executive Vice President & Chief Financial Officer Effective: October 1, 2005 I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No.Thirty- Eighth Revised Sheet No. 03 (Page 2 of 2) Name of Utility Exhibit No. Case No. INT-O5- jntermountain Gas Company Page 4 of 7 Intermountain Gas Company Rate Schedule GS- GENERAL SERVICE (Continued) For separately metered deliveries of gas utilized solely as Compressed Natural Gas Fuel in vehicular internal combustion engines. Customer Charge - $9.50 per bill Commodity Charge - $1.04264 per therm Includes: Temporary purchased gas cost adjustment of $0.04984 Weighted average cost of gas of $0.73219 PURCHASED GAS COST ADJUSTMENT: This tariff is subject to an adjustment for cost of purchased gas as provided for in the Company s Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: 1. Any GS-1 customer who leaves the GS-1 service will pay to Intermountain Gas Company, upon exiting the GS-1 service, all gas and transportation related costs incurred to serve the customer during the GS-1 service period not borne by the customer during the time the customer was using GS-1 service. Any GS-1 customer who leaves the GS-1 service will have refunded to them, upon exiting the GS-1 service, any excess gas commodity or transportation payments made by the customer during the time they were a GS- customer. 2. All natural gas service hereunder is subject to the General Service Provisions of the Company s Tariff, of which this rate schedule is a part. Issued by: Intermountain Gas Company By: Paul R. Powell Title: Executive Vice President & Chief Financial Officer Effective: October 1 , 2005 I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No.Fo -Sixth Revised Sheet No. 04 (Page 1 of 2) Exhibit No. Case No. INT -O5- .ntermountain Gas Company Page 5 of 7 Name of Utili Intermountain Gas Compan Rate Schedule LV- LARGE VOLUME FIRM SALES SERVICE AVAILABILITY: Available at any mutually agreeable delivery point on the Company s distribution system to any existing customer receiving service under the Company s rate schedules LV-1, T -1, or T -, or any new customer whose usage does not exceed 500,000 therms annually, upon execution of a one-year minimum written service contract for firm sales service in excess of 200,000 therms per year. MONTHLY RATE: Commodity Charge: First 250,000 therms per bill (Ql $0.88912* Next 500,000 therms per bill (Ql $0.85063* Amount Over 750,000 therms per bill (Ql $0.77051** The above prices include weighted average cost of gas of $0.73219 Includes temporary purchased gas cost adjustment of $0.03032 ** Includes temporary purchased gas cost adjustment of $0.03171 PURCHASED GAS COST ADJUSTMENT (PGA): This tariff is subject to an adjustment for cost of purchased gas as provided for in the Company Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: 1. All natural gas service hereunder is subject to the General Service Provisions of the Company's Tariff, of which this Rate Schedule is a part. 2. Any LV-1 customer who exits the LV-1 service at any time (including, but not limited to, the expiration of the contract term) will pay to Intermountain Gas Company, upon exiting the L V-1 service, all gas and/or interstate transportation related costs to serve the customer during the LV-1 contract period not borne by the customer during the LV-1 contract period. Any LV-1 customer will have refunded to them, upon exiting the LV-1 service, any excess gas and/or interstate transportation related payments made by the customer during the L V-1 contract period. 3. In the event that total deliveries to any customer within the last three contract periods met or exceeded the 200 000 therm threshold, but the customer during the current contract period used less than the contract minimum of 200,000 therms, an additional amount shall be billed. The additional amount shall be calculated by billing the deficit usage below 200,000 therms at the T -1 Block 1 rate. The customer s future eligibility for the LV-1 Rate Schedule will be renegotiated with the Company. Issued by: Intermountain Gas Company By: Paul R. Powell Title: Effective: October 1, 2005 Executive Vice President & Chief Financial Officer I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume NO.Thi -Second Revised Sheet No. 05 (Page of Exhibit No. Case No. INT-05- Intermountain Gas Company Page 6 of Name of Utili Intermountain Gas Com an Rate Schedule T- FIRM TRANSPORTATION SERVICE AVAILABILITY: Available at any mutually agreeable delivery point on the Company s distribution system to any existing customer receiving service under the Company s rate schedules LV-1, T-1, or T-, upon execution of a one year minimum written service contract for firm transportation service in excess of 200,000 therms per year. MONTHLY RATE: Commodity Charge: Block One: Block Two: Block Three: First 250,000 therms transported ~ $0.12929* Next 500,000 therms transported ~ $0.09080* Amount over 750,000 therms transported ~ $0.01068 Includes temporary purchased gas cost adjustment of $(0.00139) PURCHASED GAS COST ADJUSTMENT: This tariff is subject to an adjustment for cost of purchased gas as provided for in the Company Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: 1. All natural gas service hereunder is subject to the General Service Provisions of the Company's Tariff, of which this Rate Schedule is a part. 2. The customer shall negotiate a Maximum Daily Firm Quantity (MDFQ) amount, which will be stated in and will be in effect throughout the term of the service contract. The MDFQ shall not exceed the customer historical maximum daily usage, as agreed to by the Company. In the event the Customer requires daily usage in excess of the MDFQ, and subject to the availability of firm interstate transportation to service Intermountain s system, all such usage may be transported and billed under either secondary rate schedule T -3 or T -4. The secondary rate schedule to be used shall be predetermined by negotiation between the Customer and Company, and shall be included in the service contract. All volumes transported under the secondary rate schedule are subject to the provisions of the applicable rate schedule T -3 or T -4. Issued by: Intermountain Gas Company By: Paul R. Powell Title: Executive Vice President & Chief Financial Officer Effective: October 1 , 2005 I.P.C. Gas Tariff Second Revised Volume No. (Supersedes First Revised Volume No.Thirteenth Revised Sheet No.1 0 (Page 1 of Exhibit No. Case No. INT -05- . Intermountain Gas Company Page 7 of Name of Utility Intermountain Gas Company Rate Schedule T- FIRM TRANSPORTATION SERVICE WITH MAXIMUM DAILY DEMANDS AVAILABILITY: Available at any mutually agreeable delivery point on the Company s distribution system to any existing T -2 customer whose daily contract demand for nonammonia therms on any given day meets or exceeds a predetermined level agreed to by the customer and the Company upon execution of a one-year minimum written service contract for firm transportation service in excess of 200 000 therms per year. MONTHLY RATE: Firm Service Demand Charge: Firm Daily Demand - First 15,000 therms Amount over 15,000 therms Commodity Charge: For Firm Therms Transported Over-Run Service Rate Per Therm $1.70931* $0.90773* $0.00653 Commodity Charge: For Therms Transported In Excess Of MDFQ:$0.04912 Includes temporary purchased gas cost adjustment of $(0.08920) PURCHASED GAS COST ADJUSTMENT: This tariff is subject to an adjustment for cost of purchased gas as provided for in the Company's Purchased Gas Cost Adjustment Provision. SERVICE CONDITIONS: All natural gas service hereunder is subject to the General Service Provisions of the Company Tariff, of which this Rate Schedule is a part. The customer shall nominate a Maximum Daily Firm Quantity (MDFQ), which will be stated in and will be in effect throughout the term of the service contract. The monthly Demand Charge will be equal to the MDFQ times the Firm Daily Demand rate. Firm demand relief will be afforded to those T -2 customers paying both demand and commodity charges for gas when, in the Company s judgment, such relief is warranted. The actual therm usage for the month or the MDFQ times the number of days in the billing month whichever is less, will be billed at the applicable commodity charge for firm therms. Issued by: Intermountain Gas CompanyBy: Paul R. Powell Title: Executive Vice President & Chief Financial Officer Effective: October 1 , 2005 EXHIBIT NO. CASE NO. INT -G-O5- INTERMOUNTAIN GAS COMPANY PERTINENT EXCERPTS FROM INTERSTATE PIPELINES AND RELATED FACILITIES (22 pages) Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 1 of 22 Williams Northwest Pipeline Corporation ("NWP" Applicable Tariffs ,. ~Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 2 of 22 IJlI~"rtr/,ilamS NORTHWEST PIPEUNE O. Box 58900 Salt Lake City, UT 84158-0900 Phone: (801) 584-7117FAX: (801) 584-7764 January 5,2005 TO: ALL HOLDERS OF NORTHWEST PIPELINE CORPORATION1 FERC GAS TARIFF, THIRD REVISED VOLUME NO. Please insert the enclosed tariff sheets listed below into your copy" of Northwest1s FERCGas Tariff. Also, enclosed is a list of Northwest's currently effective tariff sheets as of January 5, 2005. Docket No. RP04-612 On September 28, 2004, as supplemented on October 20,2004, Northwest filed the following tariff sheets to update its tariff to reflect the information required by Order No. 2004. On November 17, 2004, the Commissionissued an order accepting the revised tariff sheets, effective October 29, 2004. Title Page Thirteenth Revised Sheet No. 200 Substitute Tenth Revised Sheet No. 239 Seventh Revised Sheet No. 280 Substitute Ninth Revised Sheet No. 281Substitute Fourth Revised Sheet No. 284 Docket No. RP05-On October 12, 2004, Northwest filed the following tariff sheets to add a Rate Schedule TF-1 service agreement containing non-conforming provisions to the list of non-conforming service agreements in Northwest's tariff. On November 9, 2004, theCommission issued an order accepting these tariff sheets, effective November 12, 2004. Ninth Revised Sheet No. 373 Original Sheet No. 374 Docket No. RP04-509 On August 27, 2004, Northwest filed tariff sheets to enhance shipper flexibility to acquire Northwest's available firm capacity on a short-term basis. September 30,2004, the Commission issued an order accepting the proposed tariff sheets, subject to Northwest filing revised tariff sheets setting forth specific times of day that Northwest will post prearranged deals subject to one hour bidding. On October 142004, Northwest filed the following tariff sheets in compliance with the September 30 order. On November 19, 2004, the Commission issued an order accepting these tariff sheets effective October 1 , 2004. Substitute Seventh Revised Sheet No. 275 Original Sheet No. 275- Exhibit No. Case No. INT -O5- Intermountain Gas Company Page 3 of 22 ... : All-Holders January 5, 2005 Page 2 of 2 Docket No. RP05-On October 27, 2004, Northwest filed the following tariff sheet to add a restated non-conforming Rate Schedule TF-1 service agreement and a new non- conforming amendment to such restated service agreement to the list of non-conforming service agreements in Northwest's tariff. On November 22, 2004, the Commission issued an order accepting this tariff sheet, effective November 27, 2004. Sixth Revised Sheet No. 371 Docket No. RP05-On November 19, 2004, Northwest filed the following tariff sheets to restate its current leap year daily reservation and demand rates to the same level of rates that were in effect prior to the 2004 leap year rate adjustments. On December 10, 2004 the Commission issued an order accepting these revised tariff sheets, effective January 1 2005. Twenty-Ninth Revised Sheet No. Fifth Revised Sheet No. 5- Fourteenth Revised Sheet No. Sixteenth Revised Sheet No. Fourteenth Revised Sheet No. 8. Other Information If you have questions concerning Northwest's regulatory issues, pleasecall me or any of the other individuals listed below: John Woolf Gary Kotter Jan Caldwell Barbara Odland Sr. Regulatory Analyst Manager, Certificates and Tariffs Manager, Cost of Service and Rate Design Office Administrator (801) 584-6873 (801) 584-7117 (801) 584-7155 (801) 584-6781 . Northwest publishes FERCWatch to provide customers with information on Northwesfs current and pending filings. It may be viewed on Northwest's Internet web site at b.!!P:llwww.1Iine.williams.com/webbVebb/index.You may also view Northwest's tariff onits Internet web site. To view FERCWatch, place your mouse on "Regulatory Info" near the top of the main portal page. To view the tariff, place your mouse on "Informational Postings" on the left side of the main portal page and click on Northwest. Sincerely, ~WOOlf Enclosures Exhibit No. Case No. INT -O5- . . Intermountain Gas Company Page 4 of 22 Northwest Pipeline Corporation FERC Gas Tariff Third Revised Volome No.Twenty-Ninth Revised. Sheet No. Superseding Twenty-Ei2hth Revised. Sheet No. STATEMENT OF RATES Effective Rates Applicable to Rate Schedules TF-1, TF-2 and TI- (Dollars per Dth) Rate Schedule and Type of Rate Base Tariff Rate Minimum Maximum ACA (2 ) currently Effective Tariff Rate (3) Minimum Maximum Rate Schedule TF-1 (4) (5) Reservation (Large Customer) Sys tent-Wide15 Year Evergreen ,JxP.25 Year Evergreen Exp. 00000 00000 00000 27760 39547 37893 00000 00000 00000 27760 39547 37893 Volumetric (Large Customer)01225 03000 00190 01415 03190 (Small Customer)(6)01225 58521 00190 01415 58711 Scheduled Overrun 01225 30760 00190 01415 30950 ~ate Schedule TF-2 (4)(5) Reserva tion 00000 27760 00000 27760Voluxnetric01225030000122503000Scheduled Daily Overrun 01225 30760 01225 30760 Annual Overrun 01225 30760 01225 30760 ~te Schedule TI-1 Volumetric (7) Scheduled Overrun 01225 01225 30760 30760 00190 00190 01415 01415 30950 30950 Issued by: Laren M.GertsCh, Director Issued on: November 19, 2004 Effective: January 1, 2005 Exhibit No. Case No. INT-O5- . Intermountain Gas Company Page 5 of 22 Northwest Pipeline Corporation FERC Gas Tariff Third Revised Volume No.Seventeenth Revised Sheet No. S- Superseding Sixteenth Revised Sheet No. S- STATEMENT OF RATES (Continued) Effective Rates Applicable to Rate Schedules TF-1, TF-2 and TI-(Continued) (Dollars per Dth) pnauthorized Overrun and Underrun (8)Rate Unauthorized Daily Overrun At least the Threshold Percentage; butless than the Threshold Percentage plus 2%00000 The Threshold Percentage plus 2% or more 10.00000 crnauthorized Daily Underrun At least 5% but less than 10%00000 10% or more 10.00000 pnauthorized Underrun Imbalances not eliminated after 72 hours 10.00000 Footnotes (1)Reserved. (2) Section 16 of the General Terms and Conditions describes the basis and applicability of the ACA surcharge. IsSued by:Laieri M.Gertsch, Director Issued on:July 1,2004 . .-....... Effective: August 1, 2004 Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 6 of 22 Northwest Pipeline Corporation FERC Gas Tariff Third Revised Volome No.Fourteenth Revised Sheet No. Superseding Thirteenth Revised Sheet No. STATEMENT OF RATES (Continued) Effective Rates Applicable to Rate Schedules SGS-2F and SGS- (Dollars per Dth) Ra te Schedule and Type of Rate Currently EffectiveTariff Rate (1)Minimum Maximum Rate Schedule SGS-2F (2) Demand Charge Capaci ty Demand Charge 00000 00000 01689 0 .00062 Volumetric Bid Rates Wi thdrawal Charge Storage Charge 00000 00000 0 .01689 00062 Rate Schedule SGS- Volumetric 00000 00134 ~ootnotes ( 1)Shippers receiving service under these rate schedules are required tofurnish fuel re~ursement in-kind at the rates specified on Sheet No.14. ( 2)Rates are daily rates computed on the basis of 365 days per year, except that rates for leap years are computed on the basis of 366 days. Rates are also applicable to capacity release service. (Section 22 ofthe General Terms and Conditions describes how bids for capacity release will be evaluated.The Withdrawal Charge and Storage Charge are applicable to Replacement Shippers bidding for capacity released on a one-part volumetric bid basis. Issued by: Laren M.Gertsch, I)irector . Issued on: November 19,2004 Effeotlve: Januarv 1.2005 Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 7 of 22 Northwest Pipeline Corporation FERC Gas Tariff Third Revised Volome No.Sixteenth Revised Sheet No. . Superseding Fifteenth Revised Sheet No. STATEMENT OF RATES (Continued) Effective Rates Applicable to Rate Schedule LS-1 (Dollars per Dth) Type of Rate Currently EffectiveTariff Rate (1) Demand Charge ( 2 ) Capaci ty Charge (2 ) 02600 0 .00332 Liquefaction Vaporization 55685 03030 Footnotes (1)Shippers receiving service under this rate schedule are required to furnish fuel reimbursement in-kind at the rate specified on Sheet No.14. (2 )Rates are daily rates computed on the basis of 365 days per year, exceptthat rates for leap years are computed on the basis of 366 days. . Issued by: Laren M.GertS~ Director Issued on: November 19, 2004 Effective: January 1.. 2005 Exhibit No. Case No. INT -O5- Interm~untain Gas Company Page 8 of 22 Northwest Pipeline Corporation FERC Gas Tariff Third Revised Volume No.Twenty-Fifth Revised Sheet No. 14 Superseding Twenty-Fourth Re~ed Sheet No. 14 STATEMENT OF FUEL USE REQUIREMENTS. FACTORS FOR REIMBURSEMENT OF FUEL USE Applicable to Transportation Service Rendered Under Rate Schedules Contained. in this Tariff, Third Revised Volume No. The. rates set forth on Sheet Nos. 5, 6,8 and 8.1 are exclusive of . fuel use requirement~ ~hipper shall reimburse Transporter in-kind for its fuel use requirements in accordance with Section 14 of the General. Terms and :onditions contained herein. The fuel use reimbursement furnished by. Shippers shall be as follows for the applicable Ra~e Schedules included in this Tariff: Rate Schedule TF- Rate Schedule TF-l - Evergreen Incremental Surcharge. (1) Rate Schedule TF- Rate Schedule TI-1 Rate Schedule SGS- Rate Schedule SGS- Rate Schedule LS- Rate Schedule LS-2F Rate Schedule LS- Rate Schedule DEX- 63% Expans ion 0 .50% 63% 63% 16% 16% 66% 2 . 66% 66% 63% The fuel use factors set forth above shall be calculated and adjusted as explained in Section 14 of th~ General Terms and Condi tions Fuel reimbursement quantities to be supplied by Shippers to Transporter shall beietermined by applying the f~ctors set forth above to the quanti ty of gas nominated for receipt by Transporter from Shipper for transportation, for ~njection into storage, or for deferred exchange, as applicable. !Footnote (1)In ad~tion to the Rate Schedule TF-1 fuel use requirements factor, the Evergreen Expansion Incremental Surcharge will apply to the quantity of gas nominated for receipt at the Sumas, SIPI or Pacific Pool receipt points under Evergreen Expansion service agreements. Issued by: Laren M.Gertsch, Director Issued on: February 7 t 2005 Effecfi~: Aprill, 2005 Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 9 of 22 Gas Transmission Northwest Corporation ("GTN" - formerly PGT - Applicable Tariffs Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 10 of 22 FERC GAS TARIFF THIRD REVISED VOLUME NO. 1-A GAS TRANSMISSION NORTHWEST CORPORATION FILED WITH THE FEDERAL ENERGY REGULATORY COMMISSION Communications Concerning This Tariff Should Be Addressed To: John A. Roscher, Director Rates and Regulatory Affairs Gas Transmission Northwest Corporation 1400 SW Fifth Avenue Sui te 900 Portland, OR 97201 Telephone: (503) 833-4254Facsimile: (503) 833-4918 Gas Transmission Northwest Corporation FERC Gas Tariff Third Revised Volume No. 1-A Exhibit No. Case No. INT -O5- . Intermountain Gas Company Page 11 of 22 Sixth Revised Sheet No. Superseding Fifth Revised Sheet No. STATEMENT OF EFFECTIVE RATES AND CHARGES FOR TRANSPORTATION OF NATURAL GAS Rate Schedules FTS-1 and LFS- RESERVATION DELIVERY ( c) (Dth-MILE) FUEL (d) (Dth) MILEAGE (a) Dth-MILE) . NON-MILEAGE (b) ( Dth ) MAXIMUM MINIMUM MAXIMUM MINIMUM MAXIMUM MINIMUM MAXIMUM MINIMUM BASE 011212 000000 0.884028 0.000000 0.000013 0.000013 0.0050% 0.0000% EXTENSION CHARGES MEDFORD E-1(f)296969 000000 E-2(g)193579 000000 ( WWP) E-2(h)090388 000000 (Diamond 1) 2 (h)035477 000000 (Diamond 2) 000016 0.000016 000000 0.000000 000000 0.000000 000000 0.000000 COYOTE SPRINGS E-3(i) 0.064705 0.00000 000000 000000 OVERRUN CHARGE ( j ) SURCHARGES ACA (k)001900 001900 Issued by: John A Roscher, Director of Rates & Regulatory Affairs Issued on: November 30, 2004 Effective on: January 1, 2005 Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 12 of 22 (a)(b)(c)(d)(e)(f) (g) (1) FTS- King-Mali 612.46 029064 225761 007962 262787 0019 264687 King-Stan 277.029064 102242 . 0.003606 134912 0019 136812 King-Spok 108.029064 039917 001408 070389 0019 072289 King- Tuse 609.029064 224781 007927 261772 0019 26J672 Stan-Mali 335.029064 123519 004356 156939 0019 158839 ITS- King-Mali 612.46 029064 233960 263024 0019 264924 King-Stan 277.029064 105955 135019 0019 136919 King-Spok 108.029064 041367 070431 0019 072331 King- Tuse 609.029064 232944 262008 0019 263908 Stan-Mali 335.029064 128004 157068 0019 158968 PS-l (3)029000 0019 (4)030900 012000 0019 (4)013900 Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 13 of 22 TransCanada Alberta Nova Gas Transmission Nova Applicable Tariffs I..J '.'.'. ..... .. ...... ...................... . .. ... . ~Ibe tta ~r~r~ya ij d ,-,Ii li.ti e~~ q~r~ Exhibit No. Case No. INT -O5- Intermountain Gas Company Page 14 of 22 Interim Rates Order U2004.446 MADE at the City of Calgary, in the Province of Alberta, on 14th day of December 2004.rYW ALBERTA ENERGY AND UTILITIES BOARD NOVA Gas Transmission Ltd. (NGTL) 2005 Interim Rates, Tolls and Charges Application No. 1371074 INTRODUCTION On November 23 2004, NOVA Gas Transmission Ltd. (NGTL) filed its application, under Division 3 of the Public Utilities Board Act and under Parts 4 and 5 of the Gas Utilities Act for approval of interim rates, tolls and charges for service on the Alberta System effective January 1 2005 (the Application). The purpose of the application is to establish new tolls on an interim basis pending the Board's disposition of-NGTL's 2005 General Rate Application (GRA)- Phase I or negotiated settlement, and NGTL's 2005 GRA - Phase II. BACKGROUND On December 3, 2004, the Board issued a Notice of the Application to parties on the NGTL 2004 GRA Phase I and Phase II distribution lists and posted this on the EUB web site. Interested parties were required to file any submissions or objections to the Application by December 8 2004. The Board did not receive any objections to the Application. In a letter dated December 8, 2004, the Consumers' Coalition of Alberta (CCA) submitted that it supports the NGTL proposal reducing the 2004 revenue requirement amount of $1 244.8 million by $57.8 million and setting the 2005 interim revenue requirement at $1 187 million. The CCA also considered it appropriate that the 2004 deferred revenue balance should attract interest. On December 9,2004, NGTL acknowledged the CCA's letter wherein the CCA supported NGTL's Application. NGTL noted that no other parties filed comments in respect of its Application. Therefore, NGTL respectfully requested the Board to approve the proposed 2005 Interim Rates effective January 1 , 2005. PARTICULARS OF THE APPLICATION NGTL is currently operating under 2004 interim rates, tolls and charges approved by the Board in Decision 2003-105 issued on December 16, 2003. The proposed 2005 interim rates are based on the forecast 2005 contract demand quantities and throughput set out in the Application, the 2004 revenue requirement approved by the Board in Decision 2004-102 adjusted by a proposed EUB Order U2004-446 Page 1 of 2 Exhibit No. Case No. INT -O5- Intermountain Gas Company Page 15 of 22 reduction of $57.8 million, and the tolling methodology approved by the Board in Decision 2004-097. NGTL submitted that the proposed adjustments to revenue requirement were associated with 2003 Non-Routine Adjustments, a reduction of $32.4 Million, approved by the Board in Decision 2004-069 and collected through the 2004 revenue requirement, and a $25.4 million reduction representing the estimated balance of the 2004 Revenue Deferral account. The estimated 2004 Revenue Deferral account was based on the assumption that 2004 Interim Rates would remain in place for the remainder of 2004, as NGTL requested in its 2004 GRA - Phase II Compliance Filing (Note - the Board approved NGTL's Phase II Compliance Filing by Decision 2004-108, dated December 14 2004). NGTL considered that the proposed 2005 Interim Rates represented a reasonable bridging rate regime that would provide rate stability for customers and financial stability for NGTL until the 2005 final rates, tolls and charges are established. BOARD FINDINGS The Board is prepared to approve the Application for NGTL's interim rates, tolls, and charges for services on the Alberta System, effective January 1 2005. The Board notes that no objections to the proposed rates were submitted by interested parties. Further, since any variance between NGTL's 2005 revenue requirement and the interim rates will be addressed during NGTL's 2005 Phase II proceeding, the Board does not anticipate that customers will be unfairly impacted by the 2005 Interim Rates. The Board emphasizes that the 2005 Interim Rates are being approved on an interim basis. In this regard, the Board directs NGTL to file with the Board in its 2005 Phase II proceeding, details of the mechanism to reimburse or collect any under-collection or over-collection of revenues that occurs while the 2005 Interim Rates are in effect. ORDER (1)The 2005 interim rates, tolls, and charges on the Alberta System as described in the Application shall be effective from January 1 2005 until the same are superseded by a Board decision on NOVA Gas Transmission Ltd.' s 2005 GRA Phase II. (2)NOVA Gas Transmission Ltd. shall address in its upcoming 2005 GRA Phase II Application the mechanism to reimburse or collect any under-collection or over- collection of revenues. END OF DOCUMENT Page 2 of 2 EUB Order U2004.446 NOV A Gas Transmission Ltd. Exhibit No. Case No. INT-O5- Intermountain Gas Company Page 16 of 22 20D5 Interim Rates Attachment C Table of Rates, Tolls and Charges Page 1 of 23 TABLE OF RATES, TOLLS & CHARGES Service Rates, Tolls and Charges Rate Schedule FT -Refer to Attachment "I" for the applicable FT-R Demand Rate per month and Surcharge for each Receipt Point Average Firm Service Receipt Price (AFSRP)$ 173.09/1O Rate Schedule FT -Refer to Attachment "I" for the applicable FT-RN Demand Rate per month and Surcharge for each Receipt Point Rate Schedule FT -FT -D Demand Rate per month $173.09/1O Rate Schedule STFT STFT Bid Price Minimum bid of 135% ofFT-D Demand Rate Rate Schedule FT-FT -DW Demand Rate per month $302.91/1O Rate Schedule FT-FT -A Commodity Rate $0.50/10 Rate Schedule FT -Refer to Attachment "2" for the applicable FT -P Demand Rate per month Rate Schedule LRS Contract Term Effective LRS Rate ($/10 /day) 5 years 10 years 15 years 20 years 6.32 Rate Schedule LRS-LRS-2 Rate per month $50 000 10. Rate Schedule LRS-LRS-3 Demand Rate per month $ 192.37110-' -' 11. Rate Schedule IT -Refer to Attachment "1" for the applicable IT-R Rate and Surcharge for each Receipt Point 12. Rate Schedule IT-IT -D Rate $6.26/10j 13. Rate Schedule FCS The FCS Charge is determined in accordance with Attachment "1" to the applicable Schedule of Service 14. Rate Schedule PT Schedule No PT Rate PT Gas Rate 9004-01000-$ 1 980.00/day 70 1O 15. Rate Schedule OS Schedule No.Charge 2003-004522-333./ month 2003-034359-899./ month 2004-158284-220./ month 2004-158283-165./ month 2004-158282-833./ month 2004-158280-860./ month 2004-156995-721.00 / month 2004-158279-22./ month 2004-158278-597./ month 2003-058096-163./ month 2004-156994-334./ month 16. Rate Schedule CO2 Tier CO., Rate 110 603.39 461.42 319.44 Exhibit No. Case No. INT O5- Intermountain Gas Company Page 17 of 22 TransCanada BC Alberta Natural Gas ("ANG" Applicable Tariffs Commodity Rates at Effective Heating Value Forecast of 37.80 FS-Firm Service Demand Rate (centsjGJjMonthjKm) IS-1 Interruptible Service Commodity Rate (centsjGJjkm) * *The IS-1 Interruptible Service Commodity Rate is calculated by taking the FS-1 Firm Service Demand Rate and multipy by 110%. ~ !-"~~da TransCanada Home . Gas Transmission ;' BC System Effective Rates and Charges for 2005 Rates Effective January 1, 2005 Expressed in Canadian Dollars and Cents (MMBtu units expressed in US Dollars) Firm Service (FS-1)(Cdn cents) Demand Rate Interruptible Service (IS-1)(Cdn cents) Interruptible Commodity Rate Exhibit No. Case No. INT -05- Intermountain Gas Company Page 18 of 22 Toll Rate 1.1523739715 0416748943 MMBtu (US cents) MMBtu (US cents) 1. Tolls are payable in Canadian dollars and GJ units are used for billing puposes. 2. Posted commodity rates are based on Effective Heating Value Forecast or 37.8 GJ/E33. Conversion factors $Cdn to $U.S. divide by 1.23 (subject to change) cents/GJ to cents/MMBtu multiply by 1.055056. 4. The 2004 average fuel ratio to Kingsgate is forecast at 1.0%.5. All rates are based on 100% load factor utilization except for interruptible which is at a 90% load factor. 6. All rates do not include a provision for GST. Exhibit No. Case No. INT -O5- Intermountain Gas Company Page 19 of 22 Questar Pipeline Corporation ("Questar Applicable Tariffs Exhibit No. Case No. INT -05- Intermountain Gas CompanyPage 20 of 22 " . . . FERC GAS TARIFF FIRST REVISED VOLUHE NO. (SUPERSEDES ORIGINAL VOLUME NOS. ,,", 1-A, 2 AND 2-A) QUESTAR PIPELINE COMPANY Filed \Ii t:h FEDERAL ENERGY REGULATORY COMKISS:ION Communications regarding this tariff should. be addressed to: L. Wright, Direotor, Federa1 Regulation Questar Pipeline Company 180 East 100 South P. O. Box 45360 Salt Lake city, utah 84145-0360Telephone: (801) 324~2459 FAX: (801) 324-5485 Exhibit No. Case No. INT -O5- Intermountain Gas Company Page 21 of 22 Qu~star Pipeline Company FERC Gas Tariff Fi~~t Revised Volume No.Eighteenth Revised Sheet No. Supers eding Seventeenth Revised Sheet No. S1' A 1'EHDfr OF Mtt8 )Sase Ouro-ntlrhte SCh~dui~1 Ta.rifr ChJ~.t:ffect1veof Jlu~w.;~n bee(a) Cbl (~) Cd.)~Dn1tO noUG2 ffontbly "Ucrvation Cbarg~I1&ri~ nJ15 I1J7S/Dthki.Di~ . . 00009 OOOOO/bth~asr. Chal'gc Injec:uOA 03172 . . O)l'J2/DthWith4t'aval . . 0)&72 . . O'C12/DtA~r IIMnr lira .~g. S.~c. ~ "$SMQatUy JteeervaUoa C:bu'geJ)e1iwr~iU~y JWd.....15nl un'/DthJUat-- . . 00100 . . tOOOO/DtllCapacity ~... . 62)7't2)""OthMild.... OOOOO .OOhM"V8~e ~~cIn, eqioq tlO.' . . 001"O121"~h"i~n'Al 11781 U181/PtbAo~riU4 Ov-enwa Quote ~.... . )On5 . . 'OlH . . 'O$O$~taHill (.... 11181 . . . tO1H , . 01 f71/PthJ:atu:nPUb;1.a 'ton~ .crrf.~. - Charge IlW'eato~ 1/ J(p xi.. '~t:Z7 OSt27/bthMini... 60000 t . OOooo/Dthr~j.ct1oa 010.,OOUO t11),/DchWltMra.~tun ll1ll/DthonIao.r. ~1:C P~iA9 nor~e Sttvi~ . n:skud..... UUt (OUO/DtJI. . . 10000 /Ptl1 Mtlli... 00000.-11:11 Stor~ge tOcoic:e - rss HaJU.... . . 570n S10"/I)UMiai--. 00000 . . tOooo/Dtk~orag. V.as- a.&rsr.. ~Ue8b1. to T91,..t.d.c a.1N... hall;log ~~cv1~ - ~G,1D'~t1OQ . . 03872 o. n'72/Dth111 c.Mr.w.l 0'172 O3171Mb. ~y BuiA ~ong~ ~ec - 1"$$.I4j~loa I. 0164t . . ocu."O121"otkVj,~iawU 'U81 .. OUn/Dthnu AND r.oa.ec snvrC2 . "-.LlIbUy ~r~ Hut ewa 30115 )Ons/DUKi.ai~ 00040 OOOOO/~hDc:1huy Charge 02.)0 , . 001'0 03UG/Dthrnt. ~~ - 2.(0.2\ utility ~ 1.8' co.pre&$Q~ fu~l)for bte ~e l'A.t.l ' '. . .." ... , ;r':;~~7~.' by; A. Ie Allred, ~1:'~~ id,ent lUld CEO:r~Gued. on:.Jun~ ,~. 2. ":':, ',..:~.. '. '. . Ef~ecti ve on: J~~y" 25~ .05 . . .Exhibit No. Case No. INT -O5- Intermountain Gas Company Page 22 of 22 Questar ~ipeline Company FERC Ga& Tarif First ~evi&ed Voi~ Ho. 1 Eleventh Revised Sb~~t No. 6A, SUpersedingTenth Revised Sheet No. GA FOO'mO1"ES !/p.pplied to the .average monthly working gas baiance. YReleaSed capacity ilia)' be sold at It 'Y\)lumetdc rate. Shippers releasin9capacity on a VDl~t~icbas~s MUst Gpecify. a rate between the maximum andlllinilDUiR voiumetric; rate stated on this Statement of Rates :md notify Queatar . . .. " of the cr~t~ria by ~ich bids are to be evaluated. !/Storage usage charges are QPplicable to' storage services thttt arereleased at a volumetric rate and will be billed to the replacement shipperAccording to 5 18.2 of tbe General t"erms and Conditions of Part 1 of thistariff. .i/The annual charge adjustment (ACA) 'as specified by the Commission wil1-be billed aCcording to is 4 (f) and. 3 Cd) ot. ~a.te Schedule PSg and ISS,respect! vely., aDd S 17 of the Gen~ral Tent4 and Conditions of Pat;t 1 of thi$tariff NOTE, The -.onthly rates stated OD Questa1:'S Statement. of Rates JRaY converted to . daily rate by mult!plyi~ th~ tJIOnthly ba..e tariff rate til1esthe number of I1Onths in the rate period and dividing the k"esult by .the nUtdber of days in .the rate period. '111e result is rounded to the fourth decilM.lplace. .' ..... . X$sued by: A. ~. A1i~ed, Presi"dent and CEoXssued on;Jqn~... 2:0.9,5 :: ~ '' "., . .. .' -.. "',., ', '. ' Effectiv~' '0111 JulY'25,2005 EXIllBIT NOS. 4- CASE NO. INT -G-05- INTERMOUNTAIN GAS COMPANY (8 pages) IN T E R M O U N T A I N G A S C O M P A N Y Su m m a r y o f G a s C o s t C h a n g e s An n u 8 1 T h e r m " 7/ 1 1 2 0 0 4 To t a l A n n u e l An n u e l T h e r m " 10 1 1 / 2 0 0 5 To t a l A n n u m Co a t o f S 8 I V l c e A l l o c a t i o n o f G a s C o a t A d j u s t m e n t C t ) Un e Bil l i n g D e l 8 r m l n a n t s Pri c e s Co l t Bil l i n g D e l 8 n n l n l l l t s Pr i c e s Co l t An n u e l No . De e e r i p t i o n IN T - G- 0 4 - 2 IN T - G- 0 4 - 2 IN T -G - O 4 - 2 IN T - G-0 5 - 2 IN T - G-O 5 - 2 IN T - G - O 5 - 2 Dlf f l r e n c e RS - 1 RS - 2 GS - 1 De m l n d ~d l t y (I) (b ) (e ) (d ) (I) (I ) (g ) (h ) (k ) (I) (m ) (n ) DE M A N D a l A R G E S : Trl l l i p o r t a t i o n : NW P T F . 1 D e m a n d 1 ( F u l l Ra t e ) ( 2 J 59 7 14 0 , 10 0 02 8 5 5 04 5 36 4 62 5 , 88 0 , 10 0 02 8 6 2 90 9 , 56 0 86 4 , 19 6 10 7 22 5 43 6 . 99 6 27 6 , 42 1 33 8 13 . 21 6 NW P T F - 1 D e m a n d 1 ( D i s c o u n t e d ) (3 ) 19 7 , 20 4 , 40 0 02 0 6 8 07 8 , 29 7 19 7 , 20 4 . 40 0 02 0 6 2 06 5 67 9 (1 2 61 8 ) (1 , 56 6 ) (6 , 38 0 ) (4 , 03 6 ) (4 4 3 ) (1 9 3 ) Up s t r e a m C a p a c i t y (') 90 4 44 4 , 20 0 00 9 8 5 91 1 18 8 11 9 31 4 , 16 0 01 0 0 2 11 , 21 4 78 8 49 2 , 79 5 18 5 , 21 9 75 4 , 85 6 47 7 , 48 5 52 , 40 5 22 , 83 0 Slo r l g e : SG S - De m a n d 30 3 , 37 0 ( 5 ) 00 1 6 9 18 7 02 3 ( 6 ) 30 3 , 37 0 ( 5 ) 00 1 6 9 18 7 02 3 ( 6 ) Ca p a c i t y D e m I M 1 d 10 , 92 0 , 99 0 ( 5 ) 00 0 0 6 24 7 14 2 ( 6 ) 10 , 92 0 , 99 0 ( 5 ) 00 0 0 6 24 7 , 14 2 ( 6 ) TF - 2 R e s e t v a t i o n 10 , 92 0 , 99 0 ( 5 ) 02 7 7 6 30 3 , 16 7 10 , 92 0 , 99 0 ( 5 ) 02 7 7 6 30 3 , 16 7 TF - 2 R e d e l i v 8 I ) I Ch a r g e 92 0 , 99 0 ( 5 ) 00 3 0 0 32 , 76 3 92 0 , 99 0 ( 5 ) 00 3 0 0 32 , 76 3 LS - De m a n d 72 0 00 0 ( 5 ) 00 2 6 0 68 3 . 28 0 ( 6 ) 72 0 , 00 0 ( 5 ) 00 2 6 0 68 3 . 28 0 ( 6 ) Ca p a c i t y 70 5 , 20 0 ( 5 ) 00 0 3 3 92 8 09 1 (6 ) 70 5 20 0 ( 5 ) 00 0 3 3 92 8 09 1 (6 ) Liq u e f a c t i o n 70 5 , 20 0 ( 5 ) 05 5 6 9 42 9 , 10 3 70 5 20 0 ( 5 ) 05 5 6 9 42 9 10 3 Va p o r i z a t i o n 70 5 , 20 0 ( 5 ) 00 3 0 3 34 7 70 5 20 0 ( 5 ) 00 3 0 3 23 , 34 7 TF . 2 R e s e t v a t i o n 70 5 , 15 0 ( 5 ) 02 7 7 6 21 3 , 89 5 70 5 15 0 ( 5 ) 02 7 7 6 21 3 89 5 TF - 2 R e d e l i v 8 I ) I Ch a r g e 70 5 , 20 0 ( 5 ) 00 3 0 0 23 , 11 6 70 5 20 0 ( 5 ) 00 3 0 0 11 6 Oth e r S t o r a g e F a c i l i t i e s 79 8 77 1 (1 J 34 7 , 25 8 41 5 , 24 3 89 5 21 4 98 , 25 3 42 , 80 3 CO M M O D I T Y al A R G E S : Tr e n l p o r t a t i o n : T - 1 I n d u s t r i a l Tra n s p o r t a t i o n 19 . 7 2 5 , 80 0 00 4 1 0 80 , 87 6 19 , 72 5 , 80 0 00 4 0 7 80 , 28 4 (5 9 2 ) (5 9 2 ) 2ln d u s t r i a l T r a n s p o r t a t i o n 86 2 . 67 1 00 4 1 0 77 , 33 7 18 , 86 2 67 1 00 4 0 7 76 , 77 1 (5 6 6 ) (5 6 6 ) Slo r e g e : LN G 00 0 . 00 0 55 4 9 2 32 9 , 52 0 00 0 , 00 0 73 2 1 9 39 3 14 0 06 3 62 0 13 8 , 35 1 56 0 , 46 4 36 4 , 80 5 70 5 , 20 0 55 4 9 2 27 5 , 77 0 70 5 , 20 0 73 2 1 9 64 1 67 0 36 5 . 90 0 17 7 . 67 1 71 9 , 74 6 46 8 , 48 3 SG S 10 , 92 0 , 99 0 55 4 9 2 06 0 . 27 6 10 , 92 0 , 99 0 73 2 1 9 99 6 24 0 93 5 , 96 4 25 1 82 2 02 0 , 13 6 66 4 , 00 6 Pr o d u c e r l S u p p U e r Pu r c h _ : 24 7 , 91 7 , 48 5 55 4 9 2 13 7 57 4 37 1 24 7 . 91 7 48 5 73 2 1 9 18 1 , 52 2 , 70 3 43 . 94 8 33 2 71 6 , 62 3 15 8 , 11 2 07 3 , 59 7 TO T A L R S - 1 , RS - 2 , lII d G S - 1 S A L E S V O L U M E S 27 2 . 5 4 3 . 67 5 27 2 , 54 3 67 5 53 , 45 5 80 2 92 2 , 60 3 05 9 17 3 18 . 21 5 , 97 5 17 9 96 1 65 6 (5 6 6 ) No n n e l l z e d S e l 8 8 I C D Vo l e . ( 1 0 / 1 / 0 3 - 9 1 3 0 1 0 4 ) 35 . 45 1 38 2 14 3 61 4 , 03 2 93 . 47 8 26 1 19 . 72 5 . 80 0 66 0 , 84 0 86 2 , 67 1 Av e r l g . 8 I 8 e R e I 8 C h l l l g e 19 5 2 7 19 5 3 8 19 4 8 7 00 9 1 2 11 9 0 2 (0 . 00 0 0 3 ) Ot h e r P e r m a n e n t Ch i n g . . P r o p O l e d : El i m i n a t i o n of T e m p o r a l ) ' Cr e d i t s a n d S u r c h a r g e s f r o m Ca s e N o , IN T - (; M . 2 00 0 9 9 00 4 1 7 00 1 7 9 (0 . 00 0 3 7 ) 04 1 6 2 Ad j u s l m e n t t o F i x e d C o s t Co l l e c t i o n R a t e (s e e E x h i b i t 6 , l i n e 2 4 ) (0 . 00 6 1 6 ) (0 . 00 2 5 0 ) (0 . 00 4 2 7 ) (0 . 00 7 4 5 ) (0 . 05 8 5 9 ) T o l a l P i r m l l l e n t Ch i n g . . P r o p o l e d ( U n . . 3 3 th r o u g h 3 4 ) : 19 0 1 0 19 7 0 5 19 2 3 9 00 1 3 0 10 2 0 5 (0 . 00 0 0 3 ) Te m p o r e r y S u r c h l r g e ( C r e d i t ) P r o p o 8 8 d ( E x h i b i t N o . , U n a 4 , C o i l ( b H I ) ) 06 5 6 2 04 8 3 8 04 9 8 4 (0 . 00 1 3 9 ) Pr o P O l e d A v e l 1 l l l e P e r T h e n n l C O Ch l n g e I n I n t a n n o u n l a l n G e l C o m p e n y T Ir i f f 25 5 7 2 24 5 4 3 24 2 2 3 (0 . 00 0 0 9 ) (0 . 08 9 2 0 ) 01 2 8 5 . . L . . . . . ! 2 . , (I ) S e e W o r k p a p e r N o . 5, l i n e 1 0 (2 ) Se e W o r k p a p e r N o . 1 (3 ) Se e W o r k p a p e r N o . (4 ) Se e W o r k p a p e r N o . (5 ) Re p r e s e n t s N o n - A d d i t i v e De m a n d C h a r g e D e t e r m i n a n t s (6 ) Pri c e R e f l e c t s D a i l y Ch a r g e ; P r i c e ( C o l c& 1 ) tim e s A n n u a l Th e n n s l B i l / i n g De t e r m i n a n t s ( C o l b& e ) t i m e s 36 5 e q u a l s a n n u a l c h w g e (1 J Se e W o r k p a p e r N o . 4, l i n e 3 3 . C o I u l M ( d ) -a - ;a . Q ) co CD e n : : r CD . . . , CD 0 = ~ g 2; : : ; : -: : J ' 0 Q) 5- - I ~ G) G ) Q) I en I\ , ) "'0 :: J 10 0 0 / 0 90 % 80 % 70 0 / 0 60 % 50 0 / 0 40 % 30 0 / 0 20 0 / 0 10 0 / 0 00 / 0 -1 0 % -2 0 0 / 0 -3 0 0 / 0 -4 0 0 / 0 -5 0 0 / 0 Yr 1 9 9 1 CR U D E T O NA T U R A L G A S C O R R E L A T I O N Yr 1 9 9 3 Yr 1 9 9 5 Yr 1 9 9 7 Yr 1 9 9 9 :p 5 " n m -" ' CO (1 ) en :: r (1 ) . . , ( 1 ) a : -t . 5 ;= 0 : 0 c 0 Z -: J ' 0 -t . ~. Z C1 1 :J - I G) G ) Q) , en 0 " " o.c : : Yr 2 0 0 1 Yr 2 0 0 3 Yr 2 0 0 5 IN T E R M O U N T A I N G A S C O M P A N Y Su m m a r y o f F i x e d G a s C o s t C h a r g e s An n u a l T h e n n s l 7/ 1 / 2 0 0 4 An n u a l Co s t o f S e r v i c e A l l o c a t i o n o f G a s C o s t A d j u s t m e n t ( 1 ) Li n e Bil l i n g D e t e r m i n a n t s Pr i c e s Co s t N2 . De s c r i p t i o n NT . 04 - 2 IN T . 04 . RS . R5 - 2 G5 - 1 (a ) (b ) (c ) (d ) (e ) (f ) (g ) (h ) (i) DE M A N D C H A R G E S : Tr a n s p o r t a t i o n : NW P T F - 1 D e m a n d 1 ( F u l l R a t e ) 59 7 , 14 0 , 10 0 02 8 5 5 17 , 04 5 , 36 4 11 4 , 90 4 61 9 , 26 7 5,4 5 2 , 12 3 59 8 , 38 8 26 0 , 68 2 NW P T F - 1 D e m a n d 1 ( D i s c o u n t e d ) 19 7 , 20 4 , 40 0 02 0 6 8 07 8 , 29 7 50 6 , 01 5 06 2 , 25 8 30 4 , 48 2 14 3 , 17 1 37 1 Up s l r e a m C a p a c i t y 90 4 , 44 4 20 0 00 9 8 5 91 1 18 8 10 5 , 65 6 50 6 , 08 8 85 0 , 32 9 31 2 , 83 3 13 6 , 28 2 St o r a g e : SG S - 1 De m a n d 30 3 , 37 0 00 1 6 9 18 7 , 02 3 ( 2 ) 23 , 20 5 94 , 57 1 59 , 82 1 56 6 86 0 Ca p a c i t y D e m a n d 10 , 92 0 , 99 0 00 0 0 6 24 7 , 14 2 ( 2 ) 30 , 66 4 12 4 , 97 1 79 , 05 1 67 6 78 0 TF - 2 R e s e r v a t i o n 10 , 92 0 , 99 0 02 7 7 6 30 3 , 16 7 61 5 15 3 , 30 2 96 , 97 1 10 , 64 3 63 6 TF - 2 R e d e l i v e r y C h a r g e 10 , 92 0 , 99 0 00 3 0 0 32 , 76 3 26 2 17 , 26 4 23 7 LS - 1 De m a n d 72 0 , 00 0 00 2 6 0 68 3 , 28 0 ( 2 ) 84 , 77 8 34 5 , 51 1 21 8 , 55 4 23 , 98 7 10 , 4 5 0 Ca p a c i t y 70 5 , 20 0 00 0 3 3 92 8 , 09 1 ( 2 ) 11 5 , 15 3 46 9 , 30 4 29 6 , 85 9 32 , 58 1 14 , 19 4 Liq u e f a c t i o n 70 5 , 20 0 05 5 6 9 42 9 , 10 3 53 , 24 1 21 6 , 98 3 13 7 , 25 3 15 , 06 4 56 2 Va p o r i z a t i o n 70 5 , 20 0 00 3 0 3 23 , 34 7 89 7 11 , 80 5 46 8 82 0 35 7 TF - 2 R e s e r v a t i o n 70 5 , 15 0 02 7 7 6 21 3 , 89 5 26 , 53 9 10 8 , 16 0 68 . 4 1 6 50 9 27 1 TF - 2 R e d e l i v e r y C h a r g e 70 5 , 20 0 00 3 0 0 23 , 11 6 00 7 12 , 18 1 92 8 Ot h e r S t o r a g e F a c i l i t i e s 11 5 , 69 6 38 6 , 58 0 57 5 , 50 3 99 6 , 58 5 10 9 , 37 8 47 , 65 0 To t a l F i x e d G a s C o s t C h a r g e s 36 , 22 1 47 2 49 4 , 51 6 18 , 31 7 16 8 58 7 , 07 7 26 9 , 61 6 55 3 , 09 5 No r m a l i z e d S a l e s / C D V o l s . ( I N T - G- 0 5 - 2 E s t i m a t e d V o l u m e s ) 36 , 71 4 , 65 5 16 3 , 83 9 , 72 7 98 , 18 3 , 70 5 23 , 99 9 , 91 1 66 0 , 84 0 Fix e d C o s t C o l l e c t i o n p e r T h e r m ( R o w 20 1 Ro w 2 1 ) 12 2 4 2 0.1 1 1 8 0 11 8 0 1 05 2 9 0 83 6 9 6 Cu r r e n t F i x e d C o s t C o l l e c t i o n p e r T h e o n 12 8 5 8 11 4 3 0 12 2 2 8 06 0 3 5 89 5 5 5 Dif f e r e n c e ( R o w 2 2 - R o w 2 3 ) (1 , 27 2 , 52 4 ) (0 . 00 6 1 6 ) (0 . 00 2 5 0 ) (0 . 00 4 2 7 ) (0 . 00 7 4 5 ) (0 . 05 8 5 9 ) (1 ) S e e W o i K p a p e r N o . 5, L i n e 1 0 (2 ) P r i c e R e f l e c t s D a i l y C h a r g e ; P r i c e ( C o l c ) t i m e s A n n u a l T h e r m s ( C o ! b ) t i m e s 3 6 5 e q u a l s an n u a l c h a r g e ( C o l d ) -u - :a . W CO CD ( J ) : : r CD . . , CD a = .. 0 -" : J ' 0 ,, & " 5' - f 0 ) G' ) G ' ) W I (J ) I\ , ) "C : : : IN T E R M O U N T A I N G A S C O M P A N Y Su m m a r y o f P r o p o s e d T e m p o r a r y S u r c h a r g e s ( C r e d i t s ) CO S T O F S E R V I C E A L L O C A T I O N O F D E F E R R E D G A S C O S T S Li n e No . De s c r i p t i o n RS . RS . GS . (a ) (b ) (c ) (d ) (e ) (f ) Ma r k e t S e g m e n t a t i o n C r e d i t (1 ) (0 . 00 8 1 7 ) (0 . 00 8 2 2 ) (0 . 00 7 9 9 ) (0 . 00 4 1 5 ) (0 . Pr o p o s e d T e m p o r a r y S u r c h a r g e ( C r e d i t ) - Fi x e d D e f e r r a l (2 ) 04 2 0 8 02 4 8 9 02 6 1 2 00 2 7 6 (0 . 03 5 1 9 ) Pr o p o s e d T e m p o r a r y S u r c h a r g e ( C r e d i t ) - Va r i a b l e D e f e r r a l (3 ) 03 1 7 1 03 1 7 1 03 1 7 1 To t a l P r o p o s e d T e m p o r a r y S u r c h a r g e ( C r e d i t ) 06 5 6 2 04 8 3 8 04 9 8 4 (0 . 00 1 3 9 ) (0 . 08 9 2 0 ) (1 ) S e e Ex h i b i t N o . 8. L i n e 3 , C o l s . ( c ) - ( g ) (2 ) S e e Ex h i b i t N o . 9, L i n e 1 1 J C o l . ( c ) - ( g ) (3 ) S e e Ex h i b i t N o . 1 0 , L i n e 4 , C o l . ( b ) "" C 5 " ( ) m -t U co CD en :: r CD . . , CD c = zr : t = -: J ' 0 tU Z S' - I -.. . . J G) G ) tU I en () C( 1 I\ , ) -.. : : : : IN T E R M O U N T A I N G A S C O M P A N Y Al l o c a t i o n o f A n n u a l i z e d S e g m e n t a t i o n C r e d i t s CO S T O F S E R V I C E A L L O C A T I O N O F D E F E R R E D G A S C O S T S (1 ) Li n e No . De s c r i p t i o n To t a l RS - RS - GS - (a ) (b ) (c ) (d ) (e ) (f ) (9 ) Se g m e n t a t i o n C r e d i t s 33 3 , 96 3 ) (2 8 9 58 6 ) 18 0 , 20 8 ) (7 4 6 , 54 0 ) (8 1 93 5 ) (3 5 , No r m a l i z e d S a l e s / C D V o l s . ( 1 0 / 1 / 0 3 - 9 / 3 0 / 0 4 ) 35 , 4 5 1 , 38 2 14 3 , 61 4 , 03 2 93 , 4 7 8 , 26 1 19 , 72 5 , 80 0 66 0 , 84 0 (0 . 00 8 1 7 ) (0 . 00 8 2 2 ) (0 . 00 7 9 9 ) (0 . 00 4 1 5 ) (0 . 05 4 0 1 ) Pr o p o s e d P r i c e A d j u s t m e n t P e r T h e r m / C D (1 ) S e e Wo r k p a p e r N o . 5, L i n e 1 0 '" U 5 " ro + Q ) co CD en :: r 88 !5 z ; : ; : 0 c 0 Z -: J ' 0 ro + - Q) Z 5" - i CX ) G) G ) Q) I en 0 ' f I\ ) "'C "'C : : IN T E R M O U N T A I N G A S C O M P A N Y Pr o p o s e d T e m p o r a r y S u r c h a r g e s ( C r e d i t s ) - F i x e d C o s t s De f e r r e d Ac c o u n t 1 8 6 0 Es t i m a t e d CO S T O F S E R V I C E A L L O C A T I O N O F D E F E R R E D G A S C O S T S (1 ) Li n e Se p t 3 0 , 2 0 0 5 No . De s c r i p t i o n Ba l a n c e (2 ) RS - RS - GS - (a ) (b ) (c ) (d ) (e ) (I ) (g ) Fi x e d C o s t s : Fr o m I N T - 04 - 2 ( A c c t s 1 8 6 0 . 20 5 0 - 2 0 9 0 ) (1 6 1 52 1 ) 54 7 (1 0 7 83 7 ) (4 0 , 64 5 ) (4 5 , 81 4 ) (2 7 Fi x e d C o s t C o l l e c t i o n A d j u s t m e n t ( A c c l . 1 8 6 0 . 22 0 0 - 22 1 0 ) 50 0 , 30 7 85 5 82 5 05 8 , 83 1 39 8 , 82 6 17 1 33 4 4; , . St a t o i l R e v e n u e D e f e r r a l ( A c c l . 1 8 6 0 . 22 6 0 ) (6 8 , 44 3 ) (8 , 49 2 ) (3 4 , 60 9 ) (2 1 , 89 2 ) (2 , 4 0 3 ) 04 7 ) Ca p a c i t y R e l e a s e & P u r c h a s e s ( A c c t 1 8 6 0 . 23 2 0 ) 23 6 , 13 1 ) (2 7 7 , 44 8 ) (1 , 13 0 , 73 6 ) (7 1 5 , 24 8 ) (7 8 , 50 1 ) (3 4 , 19 8 ) In t e r e s t ( A c c t s 1 8 6 0 . 24 2 0 , 2 4 3 0 ) 72 , 77 4 02 9 36 , 80 0 23 , 27 7 55 5 11 3 Ma r k e t S e g m e n t a t i o n ( A c c t 1 8 6 0 . 25 3 0 ) (3 , 06 0 , 62 5 ) (4 0 0 , 26 5 ) (1 , 4 6 3 , 58 3 ) 00 3 , 61 4 ) (1 4 3 07 9 ) (5 0 08 4 ) Am o r t i z a t i o n o f 1 8 6 0 . 25 3 0 ( A c c t 1 8 6 0 . 25 4 0 - 18 6 0 . 25 5 0 ) 2, 4 9 2 34 2 27 7 , 55 9 21 5 52 0 80 0 , 60 2 15 0 , 4 2 0 48 , 24 1 To t a l F i x e d C o s t s 53 8 . 70 3 49 1 . 75 5 35 7 4 . 38 6 44 1 . 30 6 54 . 51 2 (2 3 . 25 6 ) No r m a l i z e d S a l e s / C D V o l s . (1 0 / 1 / 0 3 - 9 / 3 0 / 0 4 ) 35 . 4 5 1 . 38 2 14 3 . 61 4 . 03 2 93 . 47 8 . 26 1 19 . 72 5 . 80 0 66 0 . 84 0 00 2 7 6 (0 . 03 5 1 9 ) Pr o p o s e d T e m p o r a r y S u r c h a r g e ( C r e d i t ) - Fi x e d C o s t s 02 4 8 9 02 6 1 2 04 2 0 8 (1 ) S e e Wo r k p a p e r N o . 5, L i n e 1 0 (2 ) S e e Wo r k p a p e r N o . "" 0 () m ;a . Q ) (C (1 ) e n :: : J " (1 ) " ' " ' (1 ) c r = ~ ~ z; : : o : r: : : 0 -+ O : J ' 0 or 5' - i ( 0 G) G ) Q) I en 0 () C f I\ ) -.. : : : Exhibit No.1 0 Case No. INT -O5- Intermountain Gas Company Page 1 of 1INTERMOUNTAIN GAS COMPANY Proposed Temporary Surcharges (Credits) . Variable Costs Line No.Description (a) Amount (b) Account 1860 Amounts Which Apply to RS., RS., GS., and L V. Account 1860 Variable Costs (1)730 036 Normalized Sales/CD Vols. (10/1/03 - 9/30/04)275 328 714 Proposed Temporary Surcharge(Credit). Variable Costs 03171 (1) See Workpaper No., Page 1 , Line 16, Col (~ Li n e No . De s c r i ti o n (a ) Ga s S a l e s : RS - 1 R e s i d e n t i a l RS - 2 R e s i d e n t i a l GS - 1 G e n e r a l S e r v i c e LV - 1 L a r g e V o l u m e To t a l G a s S a l e s 1 T r a n s p o r t a t i o n 2 T r a n s p o r t a t i o n ( D e m a n d ) 2 T r a n s p o r t a t i o n ( C o m m o d i t y ) To t a l T - To t a l ~ 0 . 79 8 U ND e m a n d v o l u m e s r e m o v e d f r o m t h e $/ t h e r m c a l c u l a t i o n s IN T E R M O U N T A I N G A S C O M P A N Y An a l y s i s o f A n n u a l i z e d P r i c e C h a n g e b y C l a s s o f S e l V i c e No r m a l i z e d V o l u m e s f o r T w e l v e M o n t h s E n d e d S e p t e m b e r 3 0 , 2 0 0 4 Av e r a g e P r i c e s E f f e c t i v e pe r C a s e N o . IN T - G- O 4 - Co m m i s s i o n O r d e r N o . 2 9 5 4 0 An n u a l Th e r m s / C D V o l s . (b ) Re v e n (c ) $/ T h e (d ) 35 , 4 5 1 , 38 2 $ 35 , 56 3 , 4 0 8 $ 00 3 1 6 14 3 , 61 4 03 2 12 8 , 4 5 1 , 26 3 89 4 4 2 93 , 4 7 8 , 26 1 79 , 85 1 , 93 5 85 4 2 3 78 5 03 9 88 2 67 5 9 3 27 5 32 8 71 4 24 5 74 9 09 7 89 2 5 7 16 , 94 0 , 76 1 87 9 , 4 0 8 11 0 9 4 66 0 , 84 0 56 4 31 1 85 3 9 3 18 , 86 2 , 67 1 12 3 73 9 00 6 5 6 (1 ) 18 . 62 . 67 1 68 8 . 05 0 03 6 4 8 Pr o p o s e d Ad j u s t m e n t s E f f e c t i v e 10 / 1 / 2 0 0 5 Pr o p o s e d A v e r a g e P r i c e s Ef f e c t i v e 1 0 / 1 / 2 0 0 5 Re v e n (e ) $/ T h e r m (f j Re v e n (g ) $/ T h e r m (h ) 06 5 , 62 7 $ 25 5 7 2 44 , 62 9 , 03 5 $ 25 8 8 8 35 , 24 7 , 19 2 24 5 4 3 16 3 , 69 8 , 4 5 5 13 9 8 5 64 3 , 23 9 24 2 2 3 10 2 , 4 9 5 17 4 09 6 4 6 59 3 24 1 21 3 0 1 73 2 88 8 9 4 54 9 29 9 24 5 3 4 31 3 29 8 39 6 13 7 9 1 52 5 ) (0 . 00 0 0 9 ) 87 7 88 3 11 0 8 5 8, 4 9 2 01 2 8 5 57 2 80 3 86 6 7 8 (5 6 6 ) (0 . 00 0 0 3 ) 12 3 17 3 00 6 5 3 92 6 00 0 4 2 69 5 97 6 03 6 9 0 67 . 55 5 . 70 0 3~ 7 2 . 25 5 Pe r c e n t an Q (i )25 . 27 . 4 4 % 28 . 36 % 31 . 51 % 27 . 4 9 % 08 % 50 % -0 . 4 6 % 15 % 27 . . "" ( J () m ;a . Q ) co CD ( I ) ::T ' ... . . -: : J ' 0 or :r - l ~ G) G ) Q) I (I ) 0 () C f I\ ) :: J "'C : : NEWS RE LEAS Contact: Mike Huntington Vice President Marketing & External Affairs (208) 377-6059August 8, 2005 TODAY, INTERMOUNTAIN GAS COMPANY ("INTERMOUNTAIN ) FILED ITS ANNUAL PURCHASED GAS COST ADJUSTMENT APPLICATION WITH THE IDAHO PUBLIC UTILITIES COMMISSION ("IPUC" ). THIS TYPE OF APPLICATION IS FILED EACH YEAR TO ENSURE THAT THE COSTS THAT INTERMOUNTAIN IS INCURRING ON BEHALF OF ITS CUSTOMERS ARE PROPERLY REFLECTED IN ITS SALES PRICE. IN ITS APPLICATION, INTERMOUNTAIN REQUESTS PERMISSION TO ADJUST ITS PRICES TO REFLECT THE HIGHER PRICES THAT INTERMOUNTAIN IS PAYING FOR THESE NATURAL GAS SUPPLIES. WILLIAM C. "BILL" GLYNN, PRESIDENT OF INTERMOUNTAIN GAS COMPANY, SAID, "NATURAL GAS PRICES ARE INFLUENCED BY A NUMBER OF FACTORS INCLUDING COSTS OF OTHER ENERGY SOURCES, INCREASED DEMAND FOR NATURAL GAS INCLUDING THAT USED FOR ELECTRIC POWER GENERATION, PRODUCERS ABILITY TO DRILL FOR ADDITIONAL SUPPLIES OF NATURAL GAS AND THEIR ABILITY TO SELL NATURAL GAS TO OTHER NORTH AMERICAN MARKETS, AS WELL AS SPECULATION IN COMMODITY MARKETS. OVER THE PAST YEAR NATURAL GAS HAS MORE CLOSELY FOLLOWED THE PRICE OF CRUDE OIL AND BOTH ARE NOW AT HISTORIC HIGHS." COMMENTING FURTHER GLYNN SAID, "WE ARE PLEASED THAT WASHINGTON HAS PASSED AN ENERGY BILL THAT WILL HELP DIVERSIFY THE NATION'S ENERGY BASE BEYOND ITS DEPENDENCY ON NATURAL GAS FOR POWER GENERATION. BUT WE RE ALSO DISAPPOINTED THAT MORE WASN T DONE, INCLUDING PROVIDING PRODUCERS ACCESS TO PUBLIC LANDS AND COASTAL WATERS WHERE KNOWN QUANTITIES OF LARGE SUPPLIES OF NATURAL GAS AND OIL EXIST AND CAN BE RECOVERED IN AN ENVIRONMENTALLY SENSITIVE WAY. THE COMPANY IS NOT REQUESTING ANY CHANGE IN THE PRICE COMPONENT FOR ITS OWN SERVICE, OPERATION, MAINTENANCE, OR CAPITAL COSTS, WHICH HAS REMAINED THE SAME FOR OVER 20 YEARS. THEREFORE THE COMPANY S EARNINGS WILL NOT INCREASE AS A RESULT OF THE PROPOSED PRICE CHANGES. BY REGULATION, THE COMPANY CAN NOT "MARK-UP" WHAT IT PAYS THE PRODUCERS FOR THE GAS IT BUYS ON BEHALF OF ITS CUSTOMERS. GLYNN SAID, "WHILE THIS APPLICATION REFLECTS THE CURRENT AND MARKET FORECAST OF NATURAL GAS PRICES FOR THE NEXT TWELVE MONTHS, EVEN AT THESE HIGHER PRODUCER PRICES, NATURAL GAS IN SOUTHERN IDAHO WILL STILL BE LESS THAN ELECTRICITY. GLYNN WENT ON TO SAY, "INTERMOUNTAIN CONTINUES TO URGE ALL ITS CUSTOMERS TO BE CONSCIOUS OF THEIR ENERGY USAGE. HELPFUL TIPS ON WAYS TO CONSERVE AND USE ENERGY WISELY, AND HOW TO REQUEST ENERGY ASSISTANCE ARE PROVIDED THROUGH BILL INSERTS AND ON THE COMPANY S WEBSITE (www.intQas.com). WE APPLAUD THE ENERGY BILL PROVISION THAT INCREASES THE LOW INCOME HOME ENERGY ASSISTANCE PROGRAM, AND WE CONTINUE TO WORK WITH THE LOCAL AGENCIES THAT ADMINISTER ENERGY ASSISTANCE FUNDS TO HELP THOSE RESIDENTIAL CUSTOMERS WHOSE INCOMES ARE MOST IMPACTED BY HIGHER ENERGY PRICES. WE ALSO HAVE A NUMBER OF PROGRAMS TO HELP OUR CUSTOMERS LEVEL OUT THEIR ENERGY BILLS OVER THE YEAR, AND STABILIZE THE POTENTIAL IMPACT THAT COLD WEATHER WILL HAVE DURING PERIODS OF HIGHER NATURAL GAS COSTS. IF THIS PROPOSED INCREASE IS APPROVED, RESIDENTIAL CUSTOMERS USING NATURAL GAS FOR HEATING AND WATER HEATING COULD EXPERIENCE AN AVERAGE MONTHLY INCREASE OF $17.26 (27.4%). THOSE RESIDENTIAL CUSTOMERS USING NATURAL GAS FOR SPACE HEATING ONLY COULD EXPERIENCE AN AVERAGE MONTHLY INCREASE OF $12.17 (25.5%). COMMERCIAL CUSTOMERS COULD EXPERIENCE AN AVERAGE MONTHLY INCREASE OF $77.76 (28.4%). IF APPROVED AS FILED, THE TOTAL NET REVENUE INCREASE FROM THIS CURRENT REQUEST WILL BE APPROXIMATELY $67.6 MILLION (27.2%) AND IS PROPOSED TO BE EFFECTIVE OCTOBER 1 2005. THIS PROPOSAL IS SUBJECT TO PUBLIC REVIEW AND APPROVAL BY THE IPUC. A COpy OF INTERMOUNTAIN S APPLICATION IS AVAILABLE AT THE OFFICES OF BOTH THE IDAHO PUBLIC UTILITIES COMMISSION AND THE COMPANY. CUSTOMER NOTICE Contact: Mike Huntington Vice President Marketing & External Affairs (208) 377-6059 ON AUGUST 8 , 2005, INTERMOUNTAIN GAS COMPANY ("INTERMOUNTAIN ) FILED ITS ANNUAL PURCHASED GAS COST ADJUSTMENT APPLICATION WITH THE IDAHO PUBLIC UTILITIES COMMISSION ("IPUC"). THIS TYPE OF APPLICATION IS FILED EACH YEAR TO ENSURE THAT THE COSTS THAT INTERMOUNTAIN IS INCURRING ON BEHALF OF ITS CUSTOMERS ARE PROPERLY REFLECTED IN ITS SALES PRICE. IN ITS APPLICATION INTERMOUNTAIN REQUESTS PERMISSION TO ADJUST ITS PRICES TO REFLECT THE HIGHER PRICES THAT INTERMOUNTAIN IS PAYING FOR THESE NATURAL GAS SUPPLIES. WILLIAM C. "BILL" GLYNN, PRESIDENT OF INTERMOUNTAIN GAS COMPANY, SAID, "NATURAL GAS PRICES ARE INFLUENCED BY A NUMBER OF FACTORS INCLUDING COSTS OF OTHER ENERGY SOURCES, INCREASED DEMAND FOR NATURAL GAS INCLUDING THAT USED FOR ELECTRIC POWER GENERATION, PRODUCERS ABILITY TO DRILL FOR ADDITIONAL SUPPLIES OF NATURAL GAS AND THEIR ABILITY TO SELL NATURAL GAS TO OTHER NORTH AMERICAN MARKETS, AS WELL AS SPECULATION IN COMMODITY MARKETS. OVER THE PAST YEAR NATURAL GAS HAS MORE CLOSELY FOLLOWED THE PRICE OF CRUDE OIL AND BOTH ARE NOW AT HISTORIC HIGHS." COMMENTING FURTHER GLYNN SAID, "WE ARE PLEASED THAT WASHINGTON HAS PASSED AN ENERGY BILL THAT WILL HELP DIVERSIFY THE NATION S ENERGY BASE BEYOND ITS DEPENDENCY ON NATURAL GAS FOR POWER GENERATION. BUT WE RE ALSO DISAPPOINTED THAT MORE WASN T DONE, INCLUDING PROVIDING PRODUCERS ACCESS TO PUBLIC LANDS AND COASTAL WATERS WHERE KNOWN QUANTITIES OF LARGE SUPPLIES OF NATURAL GAS AND OIL EXIST AND CAN BE RECOVERED IN AN ENVIRONMENTALLY SENSITIVE WAY. THE COMPANY IS NOT REQUESTING ANY CHANGE IN THE PRICE COMPONENT FOR ITS OWN SERVICE, OPERATION, MAINTENANCE, OR CAPITAL COSTS, WHICH HAS REMAINED THE SAME FOR OVER 20 YEARS. THEREFORE THE COMPANY S EARNINGS WILL NOT INCREASE AS A RESULT OF THE PROPOSED PRICE CHANGES. BY REGULATION, THE COMPANY CAN NOT "MARK-UP" WHAT IT PAYS THE PRODUCERS FOR THE GAS IT BUYS BEHALF OF ITS CUSTOMERS. GLYNN SAID , " WHILE THIS APPLICATION REFLECTS THE CURRENT AND MARKET FORECAST OF NATURAL GAS PRICES FOR THE NEXT TWELVE MONTHS, EVEN AT THESE HIGHER PRODUCER PRICES, NATURAL GAS IN SOUTHERN IDAHO WILL STILL BE LESS THAN ELECTRICITY. GLYNN WENT ON TO SAY , " INTERMOUNTAIN CONTINUES TO URGE ALL ITS CUSTOMERSTO BE CONSCIOUS OF THEIR ENERGY USAGE. HELPFUL TIPS ON WAYS TO CONSERVE AND USE ENERGY WISELY, AND HOW TO REQUEST ENERGY ASSISTANCE ARE PROVIDED THROUGH BILL INSERTS AND ON THE COMPANY S WEBSITE (www.intgas.com). WE APPLAUD THE ENERGY BILL PROVISION THAT INCREASES THE LOW INCOME HOME ENERGY ASSISTANCE PROGRAM, AND WE CONTINUE TO WORK WITH THE LOCAL AGENCIES THAT ADMINISTER ENERGY ASSISTANCE FUNDS TO HELP THOSE RESIDENTIAL CUSTOMERS WHOSE INCOMES ARE MOST IMPACTED BY HIGHER ENERGY PRICES. WE ALSO HAVE A NUMBER OF PROGRAMS TO HELP OUR CUSTOMERS LEVEL OUT THEIR ENERGY BILLS OVER THE YEAR, AND STABILIZE THE POTENTIAL IMPACT THAT COLD WEATHER WILL HAVE DURING PERIODS OF HIGHER NATURAL GAS COSTS. IF THIS PROPOSED INCREASE IS APPROVED, RESIDENTIAL CUSTOMERS USING NATURAL GAS FOR HEATING AND WATER HEATING COULD EXPERIENCE AN AVERAGE MONTHLY INCREASE OF $17.26 (27.4%). THOSE RESIDENTIAL CUSTOMERS USING NATURAL GAS FOR SPACE HEATING ONLY COULD EXPERIENCE AN AVERAGE MONTHLY INCREASE OF $12.17 (25.5%). COMMERCIAL CUSTOMERS COULD EXPERIENCE AN AVERAGE MONTHLY INCREASE OF $77.76 (28.4%). IF APPROVED AS FILED, THE TOTAL NET REVENUE INCREASE FROM THIS CURRENT REQUEST WILL BE APPROXIMATELY $67.6 MILLION (27.2%) AND IS PROPOSED TO BE EFFECTIVE OCTOBER 1,2005. THIS PROPOSAL IS SUBJECT TO PUBLIC REVIEW AND APPROVAL BY THE IPUC. A COpy OF INTERMOUNTAIN S APPLICATION IS AVAILABLE AT THE OFFICES OF BOTH THE IDAHO PUBLIC UTILITIES COMMISSION AND THE COMPANY. WORKP APER NOS. 1- CASE NO. INT -G-O 5- INTERMOUNTAIN GAS COMPANY (8 pages) Workpaper No. Case No. INT-O5- . Intermountain Gas Company Page 1 of 1 Intermountain Gas Company Northwest Pipeline TF-1 Full Rate Demand Workpaper Line NT -04-INT-04-INT-04- No.Trans ortation Annual Therms Prices Annual Cost (a)(b)(c)(d) TF-1 Demand 1 Contract #1 412 537 600 028545 775 886 TF-1 Demand 1 Contract #2 25,550,000 028545 729,325 TF-1 Demand 1 Contract #3 73,000,000 028545 083 785 TF-1 Demand 1 Contract #4 542 500 028545 672 021 TF-1 Demand 1 Contract #5 850,000 028545 937 703 TF-1 Demand 1 Contract #6 200,000 028545 690 789 TF-1 Demand 1 Contract #7 5,460,000 028545 155,855 Total Annual Cost 597 140,100 028545 045 364 Line INT-05-INT-05-INT -05- No.Trans ortation Annual Therms Prices Annual Cost (a)(b)(c)(d) TF-1 Demand 1 Contract #1 412 537 600 028615 804 763 TF-1 Demand 1 Contract #2 550,000 028615 731 ,113 TF-1 Demand 1 Contract #3 000 000 028615 088 895 TF-1 Demand 1 Contract #4 542 500 028615 673,669 TF-1 Demand 1 Contract #5 850 000 028615 940,003 TF-1 Demand 1 Contract #6 500 000 028615 1 ,044,448 TF-1 Demand 1 Contract #7 900 000 028615 626 669 Total Annual Cost 625,880,100 028615 909,560 Total Annual Cost Difference 864 196 (1) (1) See Exhibit 4, Line 3, Column (h) Workpaper No. Case No. INT-O5- Intermountain Gas Company Page 1 of 1 Intermountain Gas Company Northwest Pipeline TF.1 Discounted Demand Workpaper Line INT-04-INT-04-INT-04- No.Trans ortation Annual Therms Prices Annual Cost (a)(b)(c)(d) TF-1 Demand 1 Contract #1 43,680,000 027850 216,488 TF-1 Demand 1 Contract #2 28,470 000 016710 475,733 TF-1 Demand 1 Contract #3 29,404,400 014760 434 009 TF-1 Demand 1 Contract #4 650 000 027850 630,803 TF-1 Demand 1 Contract #5 500,000 016709 609,879 TF-1 Demand 1 Contract #6 500 000 019490 711 385 Total Annual Cost 197 204,400 020681 078 297 Line INT-05-INT-05-INT-05- No.Trans ortation Annual Therms Prices Annual Cost (a)(b)(c)(d) TF-1 Demand 1 Contract #1 43,680 000 027760 212 557 TF-1 Demand 1 Contract #2 28,470 000 016656 474 196 TF-1 Demand 1 Contract #3 29,404,400 014724 432 950 TF-1 Demand 1 Contract #4 650,000 027760 628 764 TF-1 Demand 1 Contract #5 36,500 000 016656 607 944 TF-1 Demand 1 Contract #6 500,000 019432 709 268 Total Annual Cost 197 204,400 020617 065 679 Total Annual Cost Difference (12,618) (1) (1) See Exhibit 4, Line 4, Column (h) Workpaper No. Case No. INT-O5- Intermountain Gas Company Page 1 of 1 Line No.Transportation (a) Intermountain Gas Company Upstream Capacity Workpaper INT-04-INT-04-INT-04- Annual Therms Prices Annual Cost (b)(c)(d) 199 687 850 012715 539 031 156,446,890 005000 782 224 155,025 220 013509 094,183 058 160 013250 206,496 172 258 810 004698 809,276 129 967 270 011387 1,479 978 911 188 Upstream Agreement #1 Upstream Agreement #2 Upstream Agreement #3 Upstream Agreement #4 Upstream Agreement #5 Upstream Agreement #6 Total Annual Cost Line INT-05-INT-05-INT-05- No.Trans ortation Annual Therms Prices Annual Cost (a)(b)(c)(d) Upstream Agreement #1 198,089 150 012756 526 825 Upstream Agreement #2 155,624 370 005498 855 623 10 Upstream Agreement #3 155,025 220 013122 034 241 11 Upstream Agreement #4 193 282 100 012756 2,465 506 12 Upstream Agreement #5 273 100 300 005254 1,434 869 13 Upstream Agreement #6 144 193,020 013161 897 724 14 Total Annual Cost 214 788 15 Estimated Upstream Capacity Release Credits (810,805) 16 Total Annual Cost Including Capacity Release Credits 10,403 983 17 Total Annual Cost Difference 492 795 (1) (1) See Exhibit 4, Line 5, Column (h) Workpaper No. Case No. INT-O5- Intermountain Gas Company Intermountain Gas Company Page 1 of 1Other Storage Facilities INT -G-D4- Line Monthly INT-G-D4-INT-G-D4-INT -G-D4- No.Stora e Facilities Billina Determinant Prices Monthly Cost Annual Cost (a)(b)(c)(d)(d) Demand Costs. Clay Basin I Reservation 266,250 (1) $285340 75,972 911,664 Clay Basin II Reservation 221,840 (1)285340 63,300 759,600 Clay Basin III Reservation (1) Clay Basin I Capacity 950 000 (2)002380 76,041 912,492 Clay Basin II Capacity 625 000 (2)002380 63,368 760,416 Clay Basin III Capacity (2) AECO Demand 064 970 (2)001300 822 405,864 Total Demand Costs 639 970 (3)312 503 750,036 Cycling Costs. Clay Basin I & II Cycling Costs 58,575,000 000760 517 534 204 Clay Basin III Cycling Costs AECO Cycling Costs 064,970 000740 19,288 231,456 Total Cycling Costs 639,970 63,805 765,660 Storage Demand Charge Credit 1,400,000 Total Costs Including Storage Credit 115,696 INT -G-D5- Monthly INT -G-D5-INT-G-D5-INT -05- Stora e Facilities Billina Determinant Prices MonthlY Cost Annual Cost (a)(b)(c)(d)(d) Demand Costs. Clay Basin I Reservation 266,250 (1) $285340 75,972 911 664 Clay Basin II Reservation 221,840 (1)285340 63,300 759 600 Clay Basin III Reservation 213,010 (1)285340 60,780 729 360 Clay Basin I Capacity 950,000 (2)002378 75,977 911,724 Clay Basin II Capacity 26,625,000 (2)002378 63,314 759,768 Clay Basin III Capacity 25,560 000 (2)002378 60,782 729,384 AECO II Demand 26,064 970 (2)001432 37,325 447 900 Total Demand Costs 110 199,970 (3)437,450 249,400 Cycling Costs. Clay Basin I & II Cycling Costs 58,575,000 001581 594 111,126 Clay Basin III Cycling Costs 25,560,000 001388 35,468 425,611 AECO Cycling Costs 26,064,970 001536 40,023 480,272 Total Cycling Costs 110,199,970 168,085 017,009 Estimated Storage Demand Charge Credit 351 942 Total Costs Including Storage Credit 914,467 Total Annual Cost Difference Including Storage Credit 798,771 (4) (1) Charge Based on Maximum Daily Withdrawal (2) Charge Based on Maximum Contractual Capacity (3) Non Additive Billing Determants; Only Includes Capacity Volumes (4) See Exhibit 4, Line 19, Column (h) Workpaper No. Case No. INT -O5- . . Intermountain Gas Company Page 1 of 1 INTERMOUNTAIN GAS COMPANY Peak Day Analysis for Demand Allocators in Case No. INT .O5-2 FIRM Line CORE TOTAL TRANSPORTATION TOTAL FIRM TOTAL No.R5-1 R5-2 G5-1 CORE TRANSPORTATION PEAK DEMAND ALLOCATORS PER CASE NO.INT.04-2: Peak Day Therms 440,109 609,272 103,517 152,898 157,322 55,070 212,392 365 290 % anala!13.07789%47.81971%32.79114%93.68875% !.illWt 31125%1000000% PROPOSED DEMAND ALLOCA TORS PER CASE NO.INT ,(;.05-2: Peak Day Therms (Line 2)440,109 609,272 103,517 Customers Embedded within Une 2 61,024 155,427 24,937 Peak Day Usage Per Customer (Line 5 divided by Line 6)10.44. January 2005 Actual Customers 61,967 175,928 26,029 INT -G-O5-2 Peak Day Therms (Line 7 mulitplied by Line 8)446,782 820 855 151 783 % anoia!1240750%5056664%31 98596% (1) FY06 Forecast Contract Therms 152,898 241,388 263,924 419420 126,412 55,070 181482 (1)600,902 94.96010%03990%100 00000,," Workpaper No. Case No. INT-O5- Intermountain Gas Company Page of INTERMOUNTAIN GAS COMPANY Analysis of Account 1860 Surcharges (Credits) Estimated September 30, 2005 Une No.Description Detail Detail Amount Sub-Total Total (a)(b)(c)(d)(e)(f) ACCOUNT 1860 VARIABLE AMOUNTS: Net Cumulative Deferred Gas Balance in 1860.2010 as of 7/1/04 097 480.09) Amortization in 1860.2020 as of 6/30/05 247,372. Estimated Therm Sales 7/1 through 9/30/05 19,393.906 Amortization Rate 00409 79,321. Estimated Amortization in 1860.2020 at 9130105 326,693. Estimated Balance in 1860.2010 at 9/30/05 229.213. Deferred Gas Costs From ProducenlSuppners in 1860.2180 at 7/1/04 260.675. Deferred Gas Costs From Producers/Suppliers in 1860.2180 through 6130105 229,906. Estimated Deferred Costs in 1860.2180 from 711 through 9/30/05 955,038. Estimated Balance In 1860.2180 at 9/30/05 445,620. Daily Gas Excess Sales Deferred in 1860.2240 at 6130/05 Gas Cost Carrying Charge Deferred in 1860.2340 at 6/30/05 36,077. Estimated Gas Cost Carrying Charge from 7/1 through 9/30/05 19.124. Estimated Balance in 1860.2340 at 9/30/05 55,202. ESTIMATED ACCOUNT 1860 VARIABLE BALANCE AT 9130105 730,036. ACCOUNT 1860 FIXED AMOUNTS: Net Cumulative Deferred Gas Balance in 1860.2050 at 7/1/04 652,625. RS-1 Deferred Gas Balance in 1860.2060 at 7/1104 592. Amortization for RS-1 in 1860.2060 at 6/30105 (388.236.21) Estimated RS-1 Therm Sales 7/1 through 9/30105 692,992 RS-1 Amortization Rate (0.01171)(8,114.94) Estimated RS-1 Balance in 1860.2060 at 9130105 (383.758.75) RS-2 Deferred Gas Balance in 1860.2070 at 7/1/04 22,000. Amortization for RS-2 in 1860.2070 at 6/30/05 166,058.68) Estimated RS-2 Theon Sales 7/1 through 9/30/05 955.295 RS-2 Amortization Rate (0.00815)(81,135.65) Estimated RS-2 Balance in 1860.2070 at 9/30105 (1,225,193.87) GS-1 Deferred Gas Balance in 1860.2080 at 7/1104 31,016. Amortization for GS-1 in 1860.2080 at 6/30105 (970.381.61) Estimated Therm Sales 7/1 through 9130105 128,640 GS-1 Amortization Rate (0.01069)(86 895.16) Estimated GS-1 Balance in 1860.2080 at 9/30105 026.260.45) Indusbial Deferred Gas Balance in 1860.2090 at 7/1104 629. Amortization forT-1 & T-2 in 1860.2090 at 6130105 ($151.539.95) EstimatedT-1 Block 1 & 2Therm Sales 7/1 through 9/30/05 346.440 T -1 Amortization Rate (0.00491)(26,251.02) Estimated T-2 Contract Demand Volumes 7/1 through 9/30/05 165,210 2 Amortization Rate (0.01678)(2.772.22) Estimated Industrial Balance in 1860.2090 at 9/30/05 (178,933.70) Estimated Cumulative Balance in 1860.2050 at 9/30/05 (161,521.09) Fixed Cost Collection Deferred in 1860.2200 at 7/1/04 437,155. FIXed Cost Collection Deferred in 1860.2200 through 6/30/05 156.763. Estimated FIXed Cost Collection Deferred from 7/1 through 9/30/05 907 182. Estimated Balance in 1860.2200 at 9/30/05 501 100. T-.4 Exit Fee Adjustment Deferred in 1860.2210 at 7/1/04 T -4 Exit Fee Adjustment Deferred in 1860.2260 through 6/30/05 $0. Estimated T-4 Exit Fee Adjustment Deferred from 7/1 through 9/30/05 ($794.23) Estimated Balance In 1860.2260 at 9/30/05 (794.23) Statoil Revenue Deferred In 1860.2260 at 7/1/04 386. Statoil Revenue Deferred in 1860.2260 through 6/30/05 ($55 843.70) Estimated Statoil Revenue Deferred from 7/1 through 9/30/05 ($13,984.97) Estimated Balance in 1860.2260 at 9/30/05 (68,442.56) Capacity ReleasediPurchased Deferred in 1860.2320 at 6/30/05 236 130.62) Workpaper No. Case No. INT -O5- Intermountain Gas Company Page 2 of 2 INTERMOUNTAIN GAS COMPANY Analysis of Account 1860 Surcharges (Credits) Estimated September 30, 2005 Una No.Description Detail Detail Amount Sub-Total Total (a)(b)(c)(d)(e)(I) Gas Cost Canying Charge Deferred In 1860.2420 at 6130105 558. Estimated Gas Cost Carrying Charge from 711 through 9/30/05 (71. 17) Estimated Balance in 1860.2420 at 9130105 487. Gas Cost Canying Charge Deferred in 1860.2430 at 6130105 59,97t14 Estimated Gas Cost Carrying Chev-ge from 7/1 through 9/30/05 12,315. Estimated Balance in 1860.2430 at 9130105 72.286. Market Segmentation Deferred in 1860.2530 at 711104 (22,508.97) Market Segmentation Deferred in 1860.2530 through 6/30/05 (2.443.008.97) Estimated Deferral in 1860.2530 from 7/1 through 9/30/05 (595,107.00) Estimated Balance in 1860.2530 at 9/30/05 (3,060,624.94) R5-1 Amortization in 1860.2540 at 6/30/05 271,592. Estimated R5-1 Therm Sales from 7/1 through 9130/05 692 992 R5-1 Amortization Rate 00861 966. Estimated R5-1 Amortization in 1860.2540 at 9/30/05 277.559. R5-2 Amortization in 1860.2540 at 6/30105 133,586. Estimated R5-2 Thenn Sales from 7/1 through 9/30/05 955 295 R5-2 Amortization Rate 00823 81,932. Estimated R5-2 Amortization in 1860.2540 at 9/30/05 215.518. GS-1 Amortization in 1860.2540 at 6/30/05 732,402. Estimated GS Therm Sales from 7/1 through 9/30105 128,640 G5-1 Amortization Rate 00839 68,199. Estimated GS-1 Amortization in 1860.2540 at 9/30105 800.602. Estimated Core Amortization in 1860.2540 at 9/30105 293,680. T -1 AmoI1ization in 1860.2550 at 6/30/05 126,147. EstimatedT-1 Block 1&2 Thenn Sales from 7/1 through 9/30105 346,440 1 Amortization Rate 00454 272. Estimated T -1 Amortization in 1860.2550 at 9/30/05 150,420. 2 Amortization in 1860.2550 at 6/30/05 38.592. Estimated T-2 Con1ract from 7/1 through 9/30105 165.210 2 Amortization Rate 05840 648. Estimated T -2 Amortization in 1860.2550 at 9/30105 48,241.18 Estimated Industrial Amortization in 1860.2550 at 9/30/05 198,661.49 Estimated Balance in 1860.2530 at 9130105 (568.283.41) ESTIMATED ACCOUNT 1860 FIXED BALANCE AT 9/30/05 538,702.52 TOTAL DEFERRED ACCOUNT 1860 BALANCE 16,268,738. INTERMOUNTAIN GAS COMPANY 1 Tariff Block 1, Block 2, and Block 3 Adjustment Workpaper No. Case No. INT -O5- Intermountain Gas Company Page 1 of 1 Line No. Block 1 Block 2 Block 3 Descri tion Therm Sales Therm Sales Therm Sales Total (a)(b)(c)(d)(e) Industrial Therm Sales (10/1/04 - 9/30/04)715,880 009,920 725,800 Blocks 1 and 2 Therm Sales 18,715,880 009,920 19,725 800 Percent Therm Sales between Blocks 1 and 2 94.880%120%100.000% Proposed Adjustment to T-1 Tariff (1)(0.00006) Industrial Therm Sales (10/1/04 - 9/30/04)725,800 Annualized Adjustment (Line 4 multiplied by Line 5)184) Annualized Adjustment (Line 4 multiplied by Line 5)184) Percent Annualized Sales included in Block 94.880% Adjustment to Block 1 (Line 7 mulitplied by Line 8)123) Block 1 Therms 715,880 Price AdjustmenUTherm Block 1 (Line 9 divided by Line 10)(0.00006) Northwest Pipeline TF-1 Commodity Charge Change (2)(0.00003) Total Price AdjustmenUTherm Block 1 (0.00009 Annualized Adjustment (Line 4 multiplied by Line 5)184) Percent Annualized Sales included in Block 2 120% Adjustment to Block 2 (Line 14 multiplied by Line 15)(61) Block 2 Therms 009 920 Price AdjustmenUTherm Block 2 (Line 16 divided by Line 17)(0.00006) Northwest Pipeline TF-1 Commodity Charge Change (2)(0.00003) Total Price AdjustmenUTherm Block 2 (0.00009) Total Price AdjustmenUTherm Block 3 (0.00003) (1) See Exhibit No.4, Line 37, Col. (I) minus the difference of Line 22, Col. (D minus Line 22, Col. (c) (2) See Exhibit No., Line 22, Col. (D minus Line 22, Col. (c) Boise Idaho Falls Pocatello Twin FallsMofhtt Thomas MOFFATT THOMAS BARRETT ROCK & FIELDS, CHTD. Eugene C. Thomas John W. BarrettR. B. Rock Richard C. Fields John S. Simko John C. WardD. James Manning Gary T. Dance Larry C. Hunter Randall A. Peterman Mark S. Prusynski Stephen R. Thomas Glenna M. Christensen Gerald T. Husch Scott L. Campbell Robert B. Burns James C. Dale Michael E. Thomas Patricia M. Olsson James C. deGlee Bradley J Williams Lee Radford Michael O. Roe David S. Jensen James L. MartinC. Clayton Gill David P. Gardner John O. Fitzgerald, II Julian E. GabiolaAngela Schaer Kaufmann Michael W. McGreaham Kimberly D. Evans Ross Jon A. Stenquist Eric M. Barzee Valerie N. Charles Jason G. Murray Mark C. Peterson Andrew J. Waldera Tyler J. Anderson Russell G. Metcalf US Bank Plaza Building 101 S Capitol Blvd 10th PO Box 829 Boise Idaho 83701 0829 August 8, 2005 via Hand Delivery 208 345 2000 800 422 2889 208 385 5384 Fax www. moffattcomRobert E. Bakes of counsel Morgan W. Richards of counsel Willis C. Moffatt 1907 -1980 Kirk R. Helvie 1956-2003 Ms. Jean Jewell Idaho Public Utilities Commission 472 West Washington Post Office Box 83720 Boise, ID 83720-0074 i""" -.,. . C:: :~\.,., (';;' ~f1 ; -.. .~'.~', ".... ,., . ". ' rn. .' t/) ~::... Re: Case No. INT-O5- MTBR&F File No. 11-500.324 c::J c-J .. .". S'?' c~: :~E ~~:: --,. u;c'rJ) .... f"~ \,L::)-.A Dear Ms. Jewell: ....,,-,,!;- Pursuant to PUC IDAP A Rules 31.01.01.067, 31.0.01.233 and 31.02.01.005.07 and pursuant to Idaho Code Section 9-340D and Section 48-801 et seq.Intermountain Gas Company hereby files Workpaper No.8 - Intermountain Weighted Average Cost of Gas ("W ACOG" Eugene C. Thomas, as General Counsel of Intermountain Gas Company, has been asked to inform you that this information is confidential and contains trade secrets. As his colleague and Assistant Secretary of the company, I respectfully request that it therefore be protected from inspection, examination or copying by any person other than the Commission and PUC staff. Thank you for your cooperation. If you should have questions or comments respecting this request, please contact Mike McGrath (377-6168) or me (385-5335). Very truly yours Eugene C. Thomas General Counsel of Intermountain Gas Company MET/mja Enclosure BOLMT2:589130. 0 NFID ENTIAL ATTACHMENTS