181 



TESTIMONY BEFORE THE U.S. HOUSE OF REPRESENTATIVES 



COMMITTEE ON NATURAL RESOURCES 



by Columbia River People's Utility District 



September 25, 1993 



Eugene , Oregon 



Page 5 of 7 



9. Should the provisions in the power sales contract which 

 allow some utilities to be reimbursed by Bonneville for lost 

 revenue when a voluntary curtailment is implemented be 

 eliminated? If so, why? If not, why not? 



Yes. Ondar the regional "Share The Shortage" Agreement, 

 Bonneville's customers will be asked to curtail their sales so 

 that other higher priority loads can be served. Because some of 

 these customers are requirements customers, any saved power ends 

 up on Bonneville's system to be sold at marginal rates. The 

 curtailment of these loads reduces the new operating revenue of 

 these utilities and they should be reimbursed for that net 

 revenue loss. 



10. How should the long-term power contracts that Bonneville is 

 currently negotiating differ from the current contracts? What, 

 if any, environmental issues should be addressed in these 

 contracts? 



Entirely too much attention is being given to Bonneville's 

 non-customers in regard to what they think should be in the 

 utility's power sales contracts. Not enough consideration is 

 being given to merely extending the present contracts. 



11. It has been suggested that the residential exchange program 

 rewards less efficient utilities. Are revisions to the exchange 

 agreements necessary? If so, what changes would you suggest? 



The residential exchange should be eliminated because it \injustly 

 enriches the customers of private power companies, represents an 

 income transfer in the region of some $200 million annually emd 

 it is a subversion of public preference. 



12. What part should Bonneville's existing resource acquisition 

 progreons play in Bonneville's competitiveness initiative, both 

 during a transition period and after Bonneville has adopted some 

 of the changes is is considering? 



BPA'B resource accruisition activities will play an important part 

 in the success of its competitiveness initiative. We believe 

 that the change must begin immediately. BPA has a total 505 (388 

 BFTE Sl 117 CFTE) combined Bonneville and contractor FTE work on 

 a variety of BPA resource acquisition activities. This means 

 that there are approximately 5 Bonneville and Contractor FTE for 

 every public utility in the region. This staff is larger than 



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