Although the overall news on climate change is discouraging, we are making progress in Idaho. As part of a transition to clean energy, Idaho Power now plans to phase out all coal-fired generation in its system by 2028. The Idaho Conservation League (ICL) studied Idaho Power’s proposal, and has found an alternative that could save Idahoans more than $60 million.

Idaho Power owns a minority interest in the coal-fired Bridger plant in Wyoming, which is a major source of carbon pollution. As part of the plan to exit coal, however, Idaho Power claims they need to collect over $240 million from customers to recoup expenses. To finance this amount, they propose to include an unnecessarily high rate of return. ICL’s alternative will reduce the interest expense customers pay to the utility.

That alternative is the issuance of Utility Cost Reduction Bonds, a financing tool authorized by Idaho law to allow utilities to recover legitimately incurred costs at a lower interest rate than traditional plans. These bonds could reduce the interest costs passed on to consumers from 7.8 percent to 3-4 percent, resulting in an overall savings of more than $60 million.

ICL applauds Idaho Power’s plan to phase out coal-fired generation, but we believe it can be accomplished at a lower cost. Contact the Idaho Public Utilities Commission at secretary@puc.idaho.gov, and voice your support for ICL’s plan.

Julie R. Richardson,

Member, Board of Directors,

Idaho Conservation League,

Boise