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Utah PSC hearing: Rocky Mountain Power seeks one-year extension to Tesoro power purchase agreement
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Summary
The Utah Public Service Commission heard testimony Oct. 7, 2025, on Rocky Mountain Power\'s request to approve a first amendment to a qualifying-facility power purchase agreement with Tesoro Refining and Marketing Company LLC that would extend the contract through Dec. 31, 2026.
The Utah Public Service Commission heard testimony Oct. 7, 2025, on Rocky Mountain Power\'s request to approve a first amendment to a qualifying-facility power purchase agreement with Tesoro Refining and Marketing Company LLC that would extend the contract through Dec. 31, 2026.
Ivar Smaldres, senior power marketer for PacifiCorp (doing business as Rocky Mountain Power), told the Commission the original agreement was filed Oct. 3, 2024, and approved Jan. 15, 2025, in docket 24-35-49. The agreement covers energy from a Tesoro-owned, gas-fired facility in Salt Lake City of up to 25 megawatts. Smaldres said the amendment at issue would extend the PPA\'s term for 12 months, ending Dec. 31, 2026, and that the amendment\'s prices were calculated using the Commission\'s Schedule 38 methodology with input assumptions from a May 2025 filing.
\"The amendment is compliant with relevant commission orders and approval is in the public interest,\" Smaldres said.
Rocky Mountain Power moved to admit its application and work papers 1 through 4 into the record and designated work papers 2 and 4 as confidential; the presiding officer admitted those materials.
Tamra Daley, a utility analyst with the Utah Division of Public Utilities, said the Division reviewed the company\'s application, the executed first amendment and supporting work papers and filed written comments on Oct. 7, 2025. Daley said the Division recommended Commission approval of the amendment and reiterated a standing request that Rocky Mountain Power provide the modeling outputs and Excel spreadsheets supporting the price calculation, including avoided line-loss calculations. She also said the Division recommended that the company continue to provide at least quarterly hourly purchase-power reports so the Division can monitor the contract.
\"Based upon its review, the Division recommends the Commission approve the first amendment to the PPA,\" Daley said.
No party offered cross-examination of either witness during the hearing. The Division\'s written comments were moved into evidence and admitted. The hearing record does not include a Commission decision on the amendment; the company asked the Commission to issue its order by Dec. 31, 2025 to avoid any lapse between agreements.
Clarifying details in the record include the original agreement\'s term (Jan. 1, 2025–Dec. 31, 2025), the amendment\'s proposed new term through Dec. 31, 2026, and the contract\'s stated maximum output of 25 megawatts. Filings and internal work papers were admitted as described; two work papers were designated confidential. The Division\'s comments and recommendations are in the admitted Oct. 7, 2025 filing.
Next steps: the Commission must consider the admitted filings and testimony before issuing a formal order; no final Commission action was recorded at the hearing.
