Oregon Public Utility Commission

Rule Rule 860-029-0085
Requirements for Standard Avoided Cost Rates


(1)

Each public utility must file with the Commission standard avoided cost rates within 30 days of a Commission decision regarding acknowledgement of the public utility’s integrated resource plan.

(2)

Each public utility currently complying with Oregon’s renewable portfolio standard must file both “renewable” and “non-renewable” standard avoided cost rates.

(3)

The standard avoided cost rates filed by a public utility under sections (1) and (2) of this rule are subject to review and approval as well as modification by the Commission. The Commission may suspend the standard avoided cost rates during review. In any such review, the public utility has the burden of supporting and justifying its standard avoided cost rates. The standard avoided cost rates will be effective 30 days after filing unless otherwise determined by the Commission.
(4)(a) On May 1 of each year, a public utility must file with the Commission updates to its standard avoided cost rates under sections (1) and (2) of this rule to reflect:

(A)

Updated natural gas prices;

(B)

On- and off-peak forward-looking electricity market prices;

(C)

Changes to the status of Production Tax Credit; and

(D)

Any other actions or changes that are acknowledged by the Commission upon review of an IRP Update and that are relevant to the calculation of avoided costs.

(b)

In the event a utility’s integrated resource plan is acknowledged within 60 days of May 1 in a particular year, the utility may seek a waiver of either the May 1 update or the post IRP-acknowledgement filing.

(c)

Updates filed under this section are subject to review and approval as well as modification by the Commission. The Commission may set the effective date of the standard avoided cost rates during review. In any such review, the public utility has the burden of supporting and justifying its standard avoided cost rates Standard avoided cost rates filed under this section will be effective within 60 days of filing.
(5)(a) Upon request or its own motion, the Commission may consider updates to avoided cost rates to reflect significant changes in circumstances including, but not limited to, the acquisition of a major block of resources or the completion of a competitive bid process.

(b)

An update under this section may be considered at any time.

(c)

Updates to avoided cost rates under this section are subject to review and approval by the Commission and will become effective within 90 days after filing.
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Last accessed
Jun. 8, 2021