248 



As one of those non-growing utilities who has more than 80% of its annual sales going 

 to irrigation customers with virtually the total balance of our sales going to agricultural 

 associated residences and farm related services the acquisition process as implemented 

 by BPA is one which seems to recognize only a portion of the problem. I clearly 

 believe that the banner of motherhood and apple pie has been wave over and has 

 blessed conservation with a disproportionate value over the consideration given to other 

 firm resources. 



BonnevUle has and continues to spend money through out the United States by par- 

 ticipating in demand side management programs but only recognize the energy side of 

 the picture when looking at regional conservation. For a number of years Raft River 

 has been placing substantial effort toward increased efficiency on the demand side of 

 equation. With the increased pressure being placed upon BPA and the other federal 

 agencies to increase the flows for Salmon survival it definitely appears as though the 

 assumed capacity surplus has diminished substantially. This is based not only upon 

 logic but is supported by the recent PNUCC presentation. May I suggest that my sup- 

 port for regional conservation could be greatiy enhanced if the Regional Power Council 

 and BPA recognize the value of increase efficiency through allowing the local utilities 

 to meet their obligation by increased load factors through load management programs 

 rather than just simply reduced sales of KWH's. 



The interesting part of this suggestion is that it can reduce the need for future capacity 

 acquisitions either by BPA or the utilities. Not only this but the savings to the end use 

 consumer and the utility could be shared through reduced costs. This is one way to get 

 greater utility support since the present conservation programs only reduce sales but re- 

 quire both BPA and the utility to provide capacity and actually encourage the inefficient 

 use of the BPA system. 



I sincerely appreciate the opportunity to testify and trust that any area or issue I have 

 touched upon which may raise a question either today in yours or the full committees 

 deliberation that you or they will challenge my intent in your investigation. 



Thank you for your consideration: 



Bud Tracy 

 General Manager 



