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HomeMy WebLinkAbout20210818Notice_of_Application_Order_No_35140.pdfNOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35140 1 Office of the Secretary Service Date August 18, 2021 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF INTERMOUNTAIN GAS COMPANY’S APPLICATION FOR AUTHORITY TO UPDATE RATES TO REFLECT PURCHASED GAS COST ADJUSTMENTS ) ) ) ) ) ) ) ) CASE NO. INT-G-21-04 NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35140 On August 6, 2021, Intermountain Gas Company (“Company”) requested authority to place into effect on October 1, 2021, new rate schedules that would increase its annualized revenues by $24.2 million. If approved, the Company’s proposal would increase the price of natural gas for residential customers by 9.01%, increase the price for GS-1 General Service customers 11.96%, increase the price for LV-1 Large Volume customers 15.99%, and decrease the price for T-3 Transportation customers -1.95%, increase the price for T-4 Demand Charge customers 0.70%, and not change the prices for T-4 Transportation customers. The Commission now issues this Notice of Application and Notice of Modified Procedure setting comment and reply deadlines. NOTICE OF APPLICATION YOU ARE HEREBY NOTIFIED that the Company’s rates include a base-rate component and a gas-related cost component. The base-rate component is intended to cover the Company’s fixed costs to serve its customers—for example, the Company’s costs for equipment and facilities to provide service—and rarely change. The Commission approved the Company’s current temporary rates in Order No. 34797, Case No. INT-G-20-05. YOU ARE FURTHER NOTIFIED that the gas-related cost component of the Company’s rates is at issue here. Specifically, with this Application, the Company seeks to change its rates to pass through to customers changes in gas-related costs resulting from: (1) costs billed to the Company from firm transportation providers; (2) an increase to the Company’s Weighted Average Cost of Gas; (3) an updated customer allocation of gas-related costs pursuant to the Company’s Purchased Gas Cost Adjustment (“PGA”) provision; (4) the inclusion of temporary surcharges and credits for one year relating to natural gas purchases and interstate transportation NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35140 2 costs from the Company’s deferred gas accounts; (5) benefits generated from the Company’s management of its storage and firm capacity rights on various pipeline systems; (6) benefits associated with the sale of liquefied natural gas from the Company’s Nampa, Idaho facility; (7) a portion of the costs accrued related to the Company’s latest general rate case; and (8) the recovery of deferred in-person customer payment fees. YOU ARE FURTHER NOTIFIED that the changes to the rates will increase the Company’s annualized revenues by about $24.2 million but will not impact earnings. YOU ARE FURTHER NOTIFIED that the Company also explains that the proposed rate changes would be allocated to customer classes through its PGA provision. YOU ARE FURTHER NOTIFIED that the Company provides supporting exhibits that show the overall price changes by customer class. The Company also summarizes price changes and proposed rate schedules and tariff sheets. YOU ARE FURTHER NOTIFIED that the Application and supporting documentation have been filed with the Commission and are available for public inspection. These documents are available on the Commission’s web site at www.puc.idaho.gov. Click on the “NATURAL GAS” icon, select “Open Cases,” and click on the case number as shown on the front of this document. YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held pursuant to the Commission’s jurisdiction under 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 MODIFIED PROCEDURE YOU ARE FURTHER NOTIFIED that the Commission has determined that the public interest may not require a formal hearing in this matter and it will review the case through written submissions under the Commission’s Rules of Modified Procedure Rules 201 through 204 of the Idaho Public Utilities Commission’s Rules of Procedure, IDAPA 31.01.01.201-204. 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 persons desiring to state a position on this Application may file a written comment explaining why the person supports or opposes the NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35140 3 Application. Persons who would like a hearing must specifically request a hearing in their written comments. Persons shall have until September 10, 2021, to file written comments. Comments must be filed through the Commission’s website or by e-mail unless computer access is unavailable. To comment electronically, please access the Commission’s home page at www.puc.idaho.gov. Click the “Consumers” tab and then “Case Comment Form” and complete the form using the case number as it appears on the front of this document. To file by e-mail, the customer must e-mail the comments to the Commission Secretary and the Company at the e-mail addresses listed below. If e-mail is unavailable, then comments may be mailed to the Commission and Company at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 secretary@puc.idaho.gov Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, Idaho 83714 For Intermountain Gas Company: Lori A. Blattner Director – Regulatory Affairs Intermountain Gas Company P.O. Box 7608 Boise, ID 83707 Lori.Blattner@intgas.com Preston N. Carter Givens Pursley LLP 601 W. Bannock St. Boise, Idaho 83702 prestoncarter@givenspursley.com harmonywright@givenspursley.com YOU ARE FURTHER NOTIFIED that the Company must file any reply comments by September 16, 2021. YOU ARE FURTHER NOTIFIED that if no written comments or protests are received within the time limit set, the Commission will consider this matter on its merits and enter its order without a formal hearing. If written comments are received within the time limit set, the Commission will consider them and, in its discretion, may set the same for formal hearing. ORDER IT IS HEREBY ORDERED that the Application of Intermountain Gas be processed by Modified Procedure, Rule 201-204 (IDAPA 31.01.01.201-.204). Persons interested in submitting NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35140 4 written comments must do so by September 10, 2021. The Company must file any reply comments by September 16, 2021. IT IS FURTHER ORDERED that parties should continue to comply with Order No. 35058, issued June 3, 2021. All pleadings should be filed with the Commission electronically and shall be deemed timely filed when received by the Commission Secretary. See Rule 14.02. Service between parties should also be accomplished electronically. Voluminous discovery-related documents may be filed and served on CD-ROM or a USB flash drive. DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 18th day of August 2021. PAUL KJELLANDER, PRESIDENT KRISTINE RAPER, COMMISSIONER ERIC ANDERSON, COMMISSIONER ATTEST: Jan Noriyuki Commission Secretary I:\Legal\GAS\INT-G-21-04\INTG2104_Ntc App Mod_dh.docx