Idaho Public Utilities Commission

Case No. PAC-E-08-07, Order No. 30783

April 16, 2009

Contact: Gene Fadness (208) 334-0339, 890-2712

Website: www.puc.idaho.gov

 

PUC approves settlement in Rocky Mountain rate case

 

The Idaho Public Utilities Commission today approved a settlement in the Rocky Mountain Power rate case that increases overall rates by an average 3.1 percent effective April 18.

 

The rate increase varies by customer class. For residential customers, the increase is 3.53 percent. For a customer who uses 850 kilowatt-hours per month, the increase is $2.38 per month in winter bills and $3.07 per month in summer bills. The increase to irrigation customers is 1.73 percent.

 

In September 2008, Rocky Mountain Power, which serves 70,000 customers in eastern Idaho, asked for a 4 percent overall increase and a 4.73 percent increase for residential customers. The utility asked to collect an additional $5.87 million in annual revenue. The settlement approved by the commission authorizes $4.38 million in additional annual revenue.

 

Parties signing the settlement include PacifiCorp (which does business as Rocky Mountain Power in eastern Idaho), the Idaho Irrigation Pumpers Association, the Community Action Partnership Association of Idaho and Public Utilities Commission staff, which operates separately from the commission.

 

The settlement also authorizes the development and funding of an energy conservation education program for low-income customers. Further, the company agrees to include a tiered-rate rate design proposal for residential customers when it files its next rate case.

 

Rocky Mountain Power maintained the increase is necessary to pay for growth in its electrical load, capital investment and operating cost increases beyond its control. Included in those costs were expenses related to Rocky Mountain’s purchase of the 500-megawatt Chehalis natural gas plant in Chehalis, Wash. Parties to the settlement agreement purchase of the plant was prudent and in the public interest.

 

The settlement is a compromise, with no party accepting all the methodology or adjustments made to arrive at the $4.38 million in added revenue requirement. However, all parties agreed the overall increase represents a fair, just and reasonable compromise of the issues raised and that the settlement is in the public interest.

 

 

A full text of the commission’s order, along with other documents related to this case, is available on the commission’s Web site at www.puc.idaho.gov. Click on “File Room” and then on “Electric Cases” and scroll down to Case No. PAC-E-08-7.

 

Interested parties may petition the commission for reconsideration by no later than May 7. Petitions for reconsideration must set forth specifically why the petitioner contends that the order is unreasonable, unlawful or erroneous. Petitions should include a statement of the nature and quantity of evidence the petitioner will offer if reconsideration is granted.

 

Petitions can be delivered to the commission at 472 W. Washington St. in Boise, mailed to P.O. Box 83720, Boise, ID, 83720-0074, or faxed to 208-334-3762.

A full text of the commission’s order, along with other documents related to this case, is available on the commission’s Web site. Click on “File Room” and then on “Electric Cases” and scroll down to the above case number.