BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION

 

In the Matter of the Requested             )   DOCKET UG-001857
Waiver of Statutory Notice in        )   ORDER APPROVING INTEREST RATE
Connection with the Tariff        )   APPLIED TO GAS COST DEFERRALS
Filed by Avista Corp.            )   AND GRANTING LESS THAN
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . )   STATUTORY 
NOTICE

BACKGROUND

1. On November 29, 2000, Avista Corp. (“Avista” or “Company” ) filed with the 
Commission, revisions  to its currently effective Tariff WN U-29, designated as 
the Third Revision Sheet 150A canceling  Second Revision Sheet 150A.
  
2. The tariff sheet bears an effective date of December 31, 2000.  This date 
recognizes statutory notice  as required.  The Company requests, however, that 
statutory notice be waived and that the tariff  become effective December 15, 
2000. 

3. The proposal in Docket UG-001857 allows the Company to change the interest 
rate applied to  deferred gas cost accounts to be equal to the Company’s 
short-term borrowing rates.  The current  rate applied to accounts 191.30 and 
191.31 (deferred gas cost accounts) is based on the customer  deposit rate 
which is published annually by the Commission.  The short-term borrowing rate 
is a  reasonable proxy for the Company’s actual borrowing cost and is also 
consistent with the   methodology employed by other regulated utilities.

4. Since the tariff revision filed herein is fair, just, and reasonable, and 
waiver of statutory notice is not  inconsistent with the public interest, it is 
deemed appropriate that the Company be granted the waiver  it is requesting 
with an effective date of December 15, 2000.

5. This matter was brought before the Commission at its December 13, 2000, 
regularly scheduled open  meeting.  The Commissioners, having been fully 
advised in the matter, and having determined the  following order to be 
consistent with the public interest, directed the Secretary to enter the 
following  order and related provisions.
                                                                                
                             
FINDINGS

6. After careful examination of the tariff revision filed herein by Avista 
Corp., on November 29, 2000,  and giving consideration to all relevant matters 
and for good cause shown, the Commission finds that  the tariff revision should 
become effective December 15, 2000.
  



O R D E R

THE COMMISSION THEREFORE ORDERS:

7. That the requested waiver of statutory notice in connection with the tariff 
revision filed herein by Avista  Corp., November 29, 2000, is hereby granted, 
and said tariff revision shall become effective   December 15, 2000.

            DATED at Olympia, Washington, and effective this 13thday of 
December, 2000.

WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION


               
                          CAROLE J. WASHBURN
    Secretary