Idaho PUC approves sale of Idaho Falls service territory

Published on April 07, 2016 by Daily Energy Insider Reports

The Idaho Public Utilities Commission approved the sale of a section of Idaho Falls service territory from Rocky Mountain Power to Idaho Falls Power, the City of Idaho Falls municipal utility, on Friday.

Rocky Mountain Power and Idaho Falls Power signed a joint agreement for the transfer of the Fielding Cemetery service area at 4800 S. Yellowstone Highway to the City of Idaho Falls for approximately $50,000. The sale includes established infrastructure in the area, including electric poles, conductors and conduits.

The agreement is in compliance with the Electric Supplier Stabilization Act (ESSA), an Idaho Falls regulation that promotes collaboration between Rocky Mountain Power and Idaho Falls Power, because the companies service much of the same region. The ESSA attempts to keep peace in the area by prohibiting customer pirating and the duplication of electric facilities.

Rocky Mountain Power’s service areas border the City of Idaho Falls. To further minimize duplication, Idaho Falls initiated the Idaho Falls Allocation Agreement in 2005, which allows for transfer of service areas and customers but discourages duplication.