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HomeMy WebLinkAbout20230727Comments_1.pdfShell USA West Coast Government Relations 1121 L Street,Suite 700 Sacramento,CA 95814July27,2023 Ms.Jan Noriyuki Commission Secretary Idaho Public Utilities Commission P.O.Box 83720 Boise,ID 83720-0074 RE: Case No.INT-G-23-03 Dear Ms.Noriyuki: Attached for consideration by this Commission is an electronic submission of Shell USA's Support letter for the Intermountain Gas Application for Authority to Update the Renewable Natural Gas Facilitation Plan. If you any questions regarding this submission,please don't hesitate to contact me at (925)286-3752 Thank you for your consideration of our comments. Sincerely SteveLesher Manager of Corporate and Government Relations U.S.West Coast Shell USA Comments in support of Intermountain Gas Company application before the ldaho Public Utilities Commission in Case No.INT-G-23-03 Steve Lesher for Shell USA BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION Case No.INT-G-23-03IntheMatteroftheApplicationof INTERMOUNTAIN GAS COMPANY for Authority to Update the Renewable Natural Gas Facilitation Plan APPLICATION COMMENTS OF SHELL USA IN SUPPORT OF APPLICATION Pursuant to Rule 203 of the Rules of Procedure of the ldaho Public Utilities Commission ("Commission"),Shell USA hereby submits these comments in support of the Application for Authority to Update Renewable Natural Gas Facilitation Plan ("Application")that Intermountain Gas Company ("Intermountain")submitted to the Commission on June 9,2023 in the above- captioned proceeding.Shell supports the Application because it will provide Renewable Natural gas ("RNG)producers that interconnect with the Intermountain system an additional outlet for the produced RNG as well as access to interstate markets for the sale of the environmental attributes associated with RNG.Shell believes RNG is a critical energy source for multiple states and that ldaho,with its infrastructure and concentration of dairies is in a strong position to benefit from the production and distribution of this important fuel. Shell agrees with Intermountain's proposal to follow FERC's blanket transportation certificate process to secure a limited jurisdiction of interstate service by FERC under NGPA S 311 and FERC ratemaking process that uses State-approved rates for similar services.(18 C.F.R.§284.123). The fees proposed by Intermountain will apply only to the transportation of RNG on the Intermountain system,ensuring that existing Intermountain customers will not bear costs related to the export of RNG from the Intermountain system. Shell's understanding is that the methodology for the proposed Access Fee is consistent with FERC's ROE Policy Statement in the use of average of DCF and CAPM. Page 2 of 3 Shell supports using process outlined in modified procedures to allow for action by the Commission without hearing.The Application contains sufficient data and information for the Commission to approve the Application without the need to resort to a hearing.A delay in the approval of the Application will also delay the submission and approval of the FERC blanket certificate.Delays are economically harmful to RNG producers who require EPA certification to obtain access to the interstate markets for the sale of the environmental attributes of the produced RNG. effective. The sale of these environmental attributes make RNG production cost- Proof of service: THEREBY CERTIFY that I have this 27h day of July,served these comments to the ldaho PUCviaelectronicmail. Steve Lesher on behalf of Shell USA Page 3 of 3