Exhibit 12

AVISTA CORPORATION

Computation of Ratio of Earnings to Fixed Charges and Preferred Dividend Requirements

Consolidated

(Thousands of Dollars)

	Nine Months ended September 30,			Years Ended December 31
	2009			2008			2007			2006			2005			2004
Fixed charges, as defined:
Interest charges	$	44,678		$	74,914		$	80,095		$	88,426		$	84,952		$	84,746
Amortization of debt expense and premium - net		4,305			4,673			6,345			7,741			7,762			8,301
Interest portion of rentals		2,522			1,601			1,612			1,802			2,394			2,443
Total fixed charges	$	51,505		$	81,188		$	88,052		$	97,969		$	95,108		$	95,490
Earnings, as defined:
Pre-tax income from continuing operations	$	99,377		$	120,382		$	63,061		$	114,927		$	70,752		$	57,206
Add (deduct):
Capitalized interest		(1,296	)		(4,612	)		(3,864	)		(2,934	)		(1,689	)		(1,393	)
Total fixed charges above		51,505			81,188			88,052			97,969			95,108			95,490
Total earnings	$	149,586		$	196,958		$	147,249		$	209,962		$	164,171		$	151,303
Ratio of earnings to fixed charges		2.90			2.43			1.67			2.14			1.73			1.58