INTEGRATED RESOURCE PLAN 2019 JUNE • 2019 BALANCING OUR ENERGY NEEDS • TODAY AND TOMORROW SAFE HARBOR STATEMENT This document may contain forward-looking statements, and it is important to note that the future results could differ materially from those discussed. A full discussion of the factors that could cause future results to differ materially can be found in Idaho Power’s filings with the Securities and Exchange Commission. Printed on recycled paper Idaho Power Company Table of Contents TABLE OF CONTENTS Table of Contents ............................................................................................................................. i List of Tables ...................................................................................................................................v List of Figures ................................................................................................................................ vi List of Appendices ........................................................................................................................ vii Glossary of Acronyms ................................................................................................................. viii 1. Summary ....................................................................................................................................1 Introduction ................................................................................................................................1 Public Advisory Process ............................................................................................................2 IRP Methodology .......................................................................................................................2 Greenhouse Gas Emissions ........................................................................................................4 CO2 Emissions Reduction ....................................................................................................5 Idaho Power Clean Energy Goal— Clean Today. Cleaner Tomorrow.™ ..................................5 Portfolio Analysis Summary ......................................................................................................6 Action Plan (2019–2026) ...........................................................................................................7 2. Political, Regulatory, and Operational Issues ............................................................................9 Idaho Strategic Energy Alliance ................................................................................................9 Idaho Energy Landscape ............................................................................................................9 State of Oregon 2018 Biennial Energy Report ........................................................................10 FERC Relicensing ....................................................................................................................11 Idaho Water Issues ...................................................................................................................12 Variable Energy Resource Integration .....................................................................................14 Community Solar Pilot Program ..............................................................................................16 Renewable Energy Certificates ................................................................................................17 Renewable Portfolio Standard .................................................................................................18 Carbon Adder/Clean Power Plan .............................................................................................18 3. Idaho Power Today ..................................................................................................................20 Customer Load and Growth .....................................................................................................20 2018 Energy Sources ...............................................................................................................22 Existing Supply-Side Resources ..............................................................................................22 Hydroelectric Facilities ......................................................................................................23 Coal Facilities ....................................................................................................................27 2019 IRP Page i Table of Contents Idaho Power Company Natural Gas Facilities and Salmon Diesel .........................................................................28 Solar Facilities ...................................................................................................................28 Public Utility Regulatory Policies Act ...............................................................................31 Power Purchase Agreements..............................................................................................32 Wholesale Contracts ..........................................................................................................33 Power Market Purchases and Sales ....................................................................................33 4. Future Supply-Side Generation and Storage Resources ..........................................................35 Generation Resources ..............................................................................................................35 Renewable Resources ..............................................................................................................35 Solar ...................................................................................................................................35 Geothermal .........................................................................................................................41 Hydroelectric......................................................................................................................41 Wind ...................................................................................................................................42 Biomass ..............................................................................................................................42 Thermal Resources...................................................................................................................42 Natural Gas-Fired Resources .............................................................................................42 Nuclear Resources .............................................................................................................45 Coal Resources...................................................................................................................45 Storage Resources ....................................................................................................................46 Battery Storage...................................................................................................................46 Pumped-Storage Hydro ......................................................................................................47 5. Demand-Side Resources ..........................................................................................................48 Demand-Side Management Program Overview ......................................................................48 Energy Efficiency Forecasting—Potential Assessment...........................................................48 Alternative DSM Modeling Methods ......................................................................................49 Sensitivity Modeling ..........................................................................................................49 Technical Achievable Supply Curve Bundling ..................................................................49 Future Energy Efficiency Potential ....................................................................................51 DSM Program Performance and Reliability ............................................................................51 Energy Efficiency Performance .........................................................................................51 Energy Efficiency Reliability ............................................................................................52 Demand Response Performance ........................................................................................53 Demand Response Resource Potential.....................................................................................54 Page ii 2019 IRP Idaho Power Company Table of Contents T&D Deferral Benefits ............................................................................................................54 6. Transmission Planning .............................................................................................................56 Past and Present Transmission .................................................................................................56 Transmission Planning Process................................................................................................57 Local Transmission Planning .............................................................................................57 Regional Transmission Planning