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REGULATORY MATTERS: Regulatory Matters Level 3 (Tables)
 12 Months Ended
Dec. 31, 2021
Regulatory Assets and Liabilities, Other Disclosures [Abstract]  
Schedule of Regulatory Assets and Liabilities
The following table presents a summary of Idaho Power’s regulatory assets and liabilities (in thousands of dollars):
As of December 31, 2021
Remaining
Amortization Period
Earning a Return(1)
Not Earning a ReturnTotal as of December 31,
Description20212020
Regulatory Assets:    
Income taxes(2)
 $— $721,276 $721,276 $687,628 
Unfunded postretirement benefits(3)
 — 315,011 315,011 444,470 
Pension expense deferrals(4)
197,623 36,814 234,437 200,686 
Energy efficiency program costs(5)
7,622 — 7,622 13,225 
Power supply costs(6)
2022-202342,940 (9,411)33,529 — 
Fixed cost adjustment(6)
2022-202335,058 19,886 54,944 55,491 
North Valmy plant settlements(6)
2022-202897,852 — 97,852 103,085 
Asset retirement obligations(7)
 — 22,585 22,585 19,035 
Wildfire Mitigation Plan deferral(6)
 — 6,075 6,075 — 
Long-term service agreement2022-204314,046 9,227 23,273 24,431 
Other2022-20552,846 14,204 17,050 10,844 
Total $397,987 $1,135,667 $1,533,654 $1,558,895 
Regulatory Liabilities:     
Income taxes(8)
 $— $96,880 $96,880 $95,883 
Depreciation-related excess deferred income taxes(9)
170,039 — 170,039 178,997 
Removal costs(7)
 — 184,670 184,670 182,334 
Investment tax credits — 109,460 109,460 97,627 
Deferred revenue-AFUDC(10)
 141,450 46,267 187,717 169,095 
Power supply costs(6)
— — — 15,009 
Settlement agreement sharing mechanism(6)
2022-2023569 — 569 — 
Mark-to-market liabilities — 8,581 8,581 1,995 
Tax reform accrual for future amortization(11)
— 24,522 24,522 16,893 
Other4,697 5,799 10,496 11,001 
Total $316,755 $476,179 $792,934 $768,834 
(1) Earning a return includes either interest or a return on the investment as a component of rate base at the allowed rate of return.
(2) Represents flow-through income tax accounting differences which have a corresponding deferred tax liability disclosed in Note 2 - "Income Taxes."
(3) Represents the unfunded obligation of Idaho Power’s pension and postretirement benefit plans, which are discussed in Note 12 - "Benefit Plans."
(4) Idaho Power records a regulatory asset for the difference between net periodic pension cost and pension cost considered for rate-making purposes relating to Idaho Power's defined benefit pension plan. In its Idaho jurisdiction, Idaho Power’s inclusion of pension costs for the establishment of retail rates is based upon contributions made to the pension plan. This regulatory asset account represents the difference between cumulative cash contributions and amounts collected in rates. Deferred costs are amortized into expense as the amounts are provided for in Idaho retail revenues.
(5)    The energy efficiency asset includes both the Idaho and Oregon jurisdiction balances at December 31, 2021 and 2020.
(6) This item is discussed in more detail in this Note 3 - "Regulatory Matters."
(7) Asset retirement obligations and removal costs are discussed in Note 14 - "Asset Retirement Obligations (ARO)."
(8) Represents the tax gross-up related to the depreciation-related excess deferred income taxes and investment tax credits included in this table and has a corresponding deferred tax asset disclosed in Note 2 - "Income Taxes."
(9) In 2017, income tax reform reduced deferred income tax assets and liabilities. For depreciation-related temporary differences under the normalized tax accounting method, the resulting excess deferred taxes will flow back to customers ratably over the remaining regulatory lives of Idaho Power's plant assets under the alternative method provided in the statute. The average rate assumption method was used to compute this reversal for fiscal years 2018-2020.
(10) Idaho Power is collecting revenue in the Idaho jurisdiction for AFUDC on HCC relicensing costs but is deferring revenue recognition of the amounts collected until the license is issued and the asset is placed in service under the new license.
(11) Represents amount accrued under the May 2018 Idaho Tax Reform Settlement Stipulation (described below) for the future amortization of existing or future unspecified regulatory deferrals that would otherwise be a future liability recoverable from Idaho customers.
Schedule of Power Cost Adjustment Changes The table below summarizes the three most recent Idaho-jurisdiction PCA rate adjustments, which also include non-PCA-related rate adjustments as ordered by the IPUC:
Effective Date$ Change (millions)Notes
June 1, 2021$39.1 The net increase in PCA revenues reflects a forecasted reduction in low-cost hydroelectric generation as well as higher costs associated with forecasted PURPA power purchases. The net increase in PCA revenues also reflects a smaller credit to customers thru the true-up component.
June 1, 2020$58.7 
The $58.7 million increase in PCA rates reflects a return to a more normal level of power supply costs as wholesale market energy prices came down from unusually high levels in the previous year's PCA and a forecasted reduction in low-cost hydropower generation.
June 1, 2019$(50.1)
The $$50.1 million decrease in PCA rates includes a $5.0 million credit to customers for sharing of 2018 earnings under the October 2014 Idaho Earnings Support and Sharing Settlement Stipulation and a $2.7 million credit for income tax reform benefits related to Idaho Power's open access transmission tariff (OATT) rate under a May 2018 Idaho tax reform settlement stipulation as described below in this Note 3 - Regulatory Matters.
Schedule of Fixed Cost Rate Adjustments
The following table summarizes FCA amounts approved for collection in the prior three FCA years:
FCA YearPeriod Rates in EffectAnnual Amount
 (in millions)
2020June 1, 2021-May 31, 2022$38.3
2019June 1, 2020-May 31, 2021$35.5
2018June 1, 2019-May 31, 2020$34.8
Schedule of Open Access Transmission Rates Idaho Power's OATT rates submitted to the FERC in Idaho Power's four most recent annual OATT Final Informational Filings were as follows:
Applicable PeriodOATT Rate (per kW-year)
October 1, 2021 to September 30, 2022$31.19 
October 1, 2020 to September 30, 2021$29.95 
October 1, 2019 to September 30, 2020$27.32 
October 1, 2018 to September 30, 2019$31.25