Idaho Public Utilities Commission

Case No. IPC-E-11-27, Order No. 32451

February 2, 2012

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



Idaho Power with small hydro project is approved


The Idaho Public Utilities Commission has approved a 20-year sales agreement between Idaho Power Company and the owners of the 1.27-megawatt Fargo Drop hydroelectric project near Homedale.  The project is expected to be online by August 1. 


The project, owned by Oregon-based Riverside Investments LLC, is a qualifying facility under the provisions of the Public Utility Regulatory Policies Act. PURPA requires that electric utilities offer to buy power produced from qualifying small power producers or cogenerators.  The rate to be paid small-power producers is to be equal to the cost the utility avoids if it would have had to generate the power itself or purchase it from another source.  


Riverside will be paid a non-levelized energy price that escalates through the life of the 20-year contract, beginning with an average $53.20 per megawatt-hour in 2012 up to an average $107.27 per MWh in 2032.  That price is adjusted to account for heavy and light load hours of the day and of the year. 


The value of the renewable energy certificates (RECs) that will be generated over the 20-year contract will be shared equally by Riverside and Idaho Power.  


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 Click on “File Room” and then on “Electric Cases” and scroll down to Case Number IPC-E-11-27.