Idaho Power Selects Site for New CCCT Generation Facility

Energy Resource, March 9, 2009

ENERGY RESOURCE-9 March 2009-Idaho Power Selects Site for New CCCT Generation Facility(C)2009 JeraOne - http://www.jeraone.com

Idaho Power has selected a new natural gas-fired combined-cycle combustion turbine (CCCT) generation facility, the Langley Gulch Power Plant, from the request for proposals (RFP) issued April 2008 for a baseload resource.

The proposed new Langley Gulch facility location is on a remote site south of Interstate 84 at exit 9 in Payette County. Project completion is expected by December 2012. The company said that connecting a baseload resource at this location will improve electric service reliability for all Idaho Power customers.

Cost is estimated at approximately $427 million, which includes expected transmission costs to connect the facility to the grid.

"Idaho Power's 2004 and 2006 Integrated Resource Plans both identified the need for additional baseload generation to reduce projected energy and capacity deficits and the resource need was reaffirmed in the 2008 IRP update," said Karl Bokenkamp, Idaho Power's general manager of Power Supply Operations and Planning and lead on the RFP selection team.

"We received a number of proposals in response to our RFP, and the evaluation process included both price and non-price criteria," added Bokenkamp. "The Langley Gulch proposal, an Idaho Power sponsored project, was selected for its favorable characteristics, including location, operating flexibility and lower cost. This project's operating flexibility will be a great addition to our portfolio and it will help us integrate intermittent renewable resources, such as wind. The selected Langley Gulch proposal was also the least expensive and it brings the best value to our customers."

Idaho Power filed for a Certificate of Public Convenience and Necessity (CPCN) with the Idaho Public Utilities Commission (IPUC) on March 6. The filing will be available on the IPUC Web site.

In addition to the CPCN filing, other public processes for county zoning and development, air permitting and use of public right-of-way, including project open houses for public involvement, will begin over the next several months.

For more information, visit www.idahopower.com/langleygulch.> ((Comments on this story may be sent to newsdesk@jeraone.com))

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