133 



What was the actual average price paid to BPA of all power purchased by the 

 aluminum smelters, both wheeling and firm, in the first two quarters of fiscal 1993? 



5) The credit to the smelters for the ability to interrupt service is based on two things: 1) 

 the 1985 costs of building new capacity, discounted at an interest rate of 14%; and 2) 

 the 1288 megawatt credit of forced outage reserves. 



Today, interest rates for new power sources are nearly half that. Further, BPA stated 

 in the "1992 Pacific Northwest Loads and Resources Study" (the White Book) that the 

 smelters actually provide approximately 600 megawatts of forced outage reserves. 



Has BPA taken steps to adjust the forced outage reserve credit to reflect current 

 conditions? When docs BPA plan to adjust the forced outage reserve credit to reflect 

 current conditions? 



6) In its 1988 "Resource Program" document, BPA suted that they had departed from the 

 "least-cost path" in obtaining conservation resources. To quote the document, 

 "Bonneville recognizes there is an economic risk in not being on the least-cost path, 

 and that getting back to the least-cost path may result in higher costs to ratepayer. 

 However, these risks are judged to be acceptable, in view of the importance of the 

 financial targets." 



In light of its departure from the "least-cost path" causing BPA to lose opportunities to 

 acquire low-cost conservation resources (i.e. home weatherization during construction), 

 and the current need for BPA to make expensive out of region power purchases, was 

 this action fiscally prudent? If BPA had followed the "least-cost path" how much out 

 of region power purchases could have been avoided in fiscal 1992 and the fu-st two 

 quarters of fiscal 1993? What impact would this action have on the current rate 

 increase? 



WASHINGTON PUBLIC POWER SUPPLY SYSTEM 



1) BPA is currently on a schedule for making its principal and interest payments on the 

 WPPSS 1 & 3 debt. Could you provide this task force with an amortization schedule 

 of principal and interest payments on an annual basis for the current debt, not 

 including possible future refinancing? 



2) What is the projected operating life of WPPSS 2? What is the projected cost of 

 decommissioning WPPSS 2 now, and what is the projected cost of decommissioning 

 WPPSS 2 at the end of its operating life? How much money is currently in the 

 sinking fund to pay for decommissioning of WPPSS 2? 



What are the projected costs of removal for WPPSS 1 & 3 in light of Washington 

 State reclamation standards to return the site to its original condition? 



3) Overall, rate the success of BPA's nuclear program. What has been the cost per year 

 for BPA's portion of the region's nuclear facilities (both operating and not) since 



