20120905notice_of_application_order_no_32632.pdf

Office of the Secretary
Service Date
September 5,2012
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE ANNUAL )
PURCHASED GAS ADJUSTMENT PGA))CASE NO.INT-G-12-Ol
FILING OF INTERMOUNTAIN GAS )
COMPAIY )NOTICE OF APPLICATION
)
)NOTICE OF
)MODIFIED PROCEDURE
)
)NOTICE OF
)INTERVENTION DEADLINE
)
__________________________________
)ORDER NO.32632
YOU ARE HEREBY NOTIFIED that on August 10,2012,Intermountain Gas
Company (ntermountaid’or1ompan’)filed its annual Purchased Gas Cost Adjustment (VGA)
and requested a Commission Order,pursuant to Idaho Code §61-307 and 61-622,to institute
new rate schedules which will decrease its annualized revenues by $6.0 million.
YOU ARE FURTHER NOTIFIED that Intermountain’s Application seeks to refund
approximately $11.9 million of variable deferred credits in a one-time bill credit.
YOU ARE FURTHER NOTIFIED that Intermountain attached copies of its current
rate schedules and proposed rate schedules to its Application.
YOU ARE FURTHER NOTIFIED that Intermountain’s Application lists the
following cost variations that it seeks to pass-through to each of its customer classes:
(1)an increase in costs billed Intermountain from Northwest Pipeline GP
(‘Northwest’or”Northwest Pipeline)reflecting a January 1,2013 price increase
and the purchase of additional Northwest capacity,(2)a decrease in
Intermountain’s weighted average cost of gas,or “WACOG’(3)an updated
customer allocation of gas related costs pursuant to the Company’s PGA
provision,(4)the inclusion of temporary surcharges and credits for one year
relating to natural gas purchases and interstate transportation costs from
Intermountain’s deferred gas cost accounts,and (5)benefits resulting from
Intermountain’s management of its storage and firm capacity rights on various
pipeline systems.Intermountain also seeks with this Application to eliminate
the temporary surcharges and credits included in its current prices during the
past 12 months,pursuant to Order No.32372 per Case No.TNT-G-11-01.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF INTERVENTIN DEADLINE
ORDER NO.32632 1
The net effect of the above changes would result in an overall price decrease to Intermountain’s
customers.
YOU ARE FURTHER NOTIFIED that Intermountain claims that its proposed price
changes incorporate all changes in costs relating to the Compans firm interstate transportation
capacity including,but not limited to,any price changes or projected cost adjustments
implemented by the Compans pipeline suppliers as well as any volumetric adjustments in
contracted transportation agreements which have occurred since Intermountain’s last PGA filing,
Case No.INT-G-l 1-01.
YOU ARE FURTHER NOTIFIED that Intermountain’s Application states that natural
gas prices have continued to fall.Record storage levels combined with ample natural gas
supplies have kept the near term prices for natural gas low.
YOU ARE FURTHER NOTIFIED that Intermountain states that it has entered into
various fixed price agreements to lock-in the price for significant portions of its underground
storage and other winter’flowing’supplies.
YOU ARE FURTHER NOTIFIED that Intermountain seeks to pass through to its
customers the benefits that will be generated from the management of its transportation capacity
totaling $3.7 million as outlined on Exhibit No.7.Further,Intermountain’s proposal seeks 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 30,2013.
YOU ARE FURTHER NOTIFIED that Intermountain proposes to divide the credit
balance by actual sales volumes over the time period it was generated to arrive at the per therm
credit.The calculated credit would be reflected as a line item on customer bills in December
2012.
YOU ARE FURTHER NOTIFIED that Intermountain states the Company provided
notice of the proposed changes to its tariff schedules through the issuance of a formal Customer
Notice and Press Release.
YOU ARE FURTHER NOTIFIED that Intermountain proposes an effective date for
the proposed changes of October 1,2012.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF INTERVENTIN DEADLINE
ORDER NO.32632 2
YOU ARE FURTHER NOTIFIED that the Company requests that its Application be
processed through Modified Procedure.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has reviewed the Company’s
filing in Case No.INT-G-12-01 and finds that the public interest may not require a formal
hearing in this matter and will proceed under Modified Procedure pursuant to Rules 201 through
204 of the Idaho Public Utilities Commission’s Rules of Procedure,IDAPA 31.01.01.201
through .204.The Commission notes that Modified Procedure and written comments have
proven to be an effective means for obtaining public input and participation.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position
concerning Intermountain’s PGA Application may file a written comment in support or
opposition with the Commission.The comment must contain a statement of reasons supporting
the comment.Persons desiring a hearing must specifically request a hearing in their written
comments.Written comments concerning Intermountain’s PGA Application shall be filed with
the Commission no later than Friday,September 20,2012.Written comments concerning this
filing should be mailed to the Commission and the Company at the addresses written below:
Commission Secretary Scott Madison
Idaho Public Utilities Commission Vice President /Chief Accounting Officer
P0 Box 83720 Intermountain Gas Company
Boise,ID 83720-0074 P0 Box 7608
Boise,ID 83707
Street Address for Express Mail:
Stephen R.Thomas,ISB#2326
472 W.Washington Street Moffatt Thomas Barrett Rock &Fields,Chtd.
Boise,ID 83702-5918 101 5.Capitol Boulevard,Suite 1000
Boise,ID 83702
These comments should contain the case caption and case number shown on the first page of this
document.Persons desiring to submit comments via e-mail may do so by accessing the
Commission’s home page located at www.puc.idaho.gov.Click the “Comments and Questions”
icon,and complete the comment form,using the case number as it appears on the front of this
document.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF INTERVENTIN DEADLINE
ORDER NO.32632 3
YOU ARE FURTHER NOTIFIED that Intermountain’s PGA Application can be
viewed at www.puc.idaho.gov by clicking on “File Room”and then “Gas Cases,”or it can be
viewed during regular business hours at the Idaho Public Utilities Commission,472 West
Washington Street,Boise,Idaho.
YOU ARE FURTHER NOTIFIED that the Idaho Public Utilities Commission has
jurisdiction over the Company,its filing and the issues pertaining to this case pursuant to Title 61
of the Idaho Code.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be
conducted pursuant to the Commission’s Rules of Procedure,IDAPA 31.01.01.000 et seq.
NOTICE OF INTERVENTION DEADLINE
YOU ARE FURTHER NOTIFIED that persons desiring to intervene in Case No.
INT-G-12-01 for the purpose of becoming a party,i.e.,to present evidence,to acquire rights of
cross-examination,to participate in settlement or negotiation conferences,and to make and argue
motions must file a Petition to Intervene with the Commission pursuant to Rules 72 and 73 of the
Commission’s Rules of Procedure,IDAPA 31.01.01.072 and .073.Persons desiring to acquire
intervenor rights of participation must file a Petition to Intervene on or before Friday,
September 7,2012.Persons desiring intervenor status shall also provide the Commission
Secretary with their electronic mail address to facilitate future communications in this matter.
ORDER
1T IS HEREBY ORDERED that persons interested in submitting written comments
regarding Intermountain’s PGA Application should do so no later than September 20,2012.
IT IS FURTHER ORDERED that persons desiring to intervene in this case for the
purpose of presenting evidence or cross-examination at hearing shall file a Petition to Intervene
with the Commission no later than September 7,2012.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF INTERVENTIIJ DEADLINE
ORDER NO.32632 4
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this L71
day of September 2012.
PAUL KJELLND I,PRESIDENT
‘R
MACK A.REDFOR1,COMMISSIONER
ATTEST:
I
Jean D.Jewell
ommission Secretary
O:INT-G-12-OInp
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF INTERVENTIN DEADJJNE
ORDER NO.32632
/1
MARSHA H.SMITH,COMMISSIONER
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