PacifiCorp works out new QF contract with Tesoro in Utah

PacifiCorp d/b/a Rocky Mountain Power applied Nov. 18 at the Utah Public Service Commission for an order approving a Power Purchase Agreement with Tesoro Refining and Marketing Co.

The agreement provides for the sale to PacifiCorp of energy to be generated by Tesoro up to 25 MW from a gas-fired cogeneration facility owned by Tesoro and located in Salt Lake City, Utah. The agreement is for a term of 12 months: Jan. 1, 2015 to Dec. 31, 2015.

The agreement constitutes a “New QF Contract” under the PacifiCorp Interjurisdictional Cost Allocation 2010 Protocol. According to the terms of the Protocol, the costs of the QF provisions would be allocated as a system resource,  unless any portion of those costs exceed the cost PacifiCorp would have otherwise incurred acquiring comparable resources. The existing QF Power Purchase Agreement, dated September 2013 between PacifiCorp and Tesoro expires on Dec. 31, 2014.  

A scheduling conference in this docket is to be held on Nov. 25. Parties will be discussing a schedule for the filing of testimony, intervention of interested parties, and the setting of a hearing date for this docket.

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.