IDACORP, Inc. (NYSE:IDA) Q2 2023 Earnings Call Transcript

Chris Ellinghaus: Did you get any sense of what that little uptick in July customer growth was from?

Brian Buckham: Some of it could be related to the permitting issue where we did see just a slowdown when there were some recessionary forces about people moving into the area. Housing prices did moderate a little bit after being very, very high, so that might contribute to the uptick. But again, that was mostly in residential.

Chris Ellinghaus: Okay. Thanks for the details. Appreciate it.

Brian Buckham: Thanks Chris.

Operator: Next, we’ll go to Brian Russo with Sidoti. Your line is now open.

Brian Russo: Yes, good afternoon. Hey, just on Boardman-to-Hemingway, obviously, after the permits, right, the big milestone is actually breaking down. But how should we kind of track the development execution of that project? And do you need any landowner agreements? Or do you have a clear path of construction to meet that 2026 target, which I assume is incorporated as the preferred resource in this IRP.

Lisa Grow: It is, and thanks for the question. Yes, we’ve been working on this for 17 years, and finally getting past some of these milestones, is really exciting. And now it’s time to go build it. Adam has much more detail, but we are working on securing the rights of way in Oregon, and a little bit in Idaho, but we’re — that process has kicked off, and they’ve been pursuing that with earnest.

Adam Richins: Yes. There’s really two things. This is Adam, Brian, that we’re looking at. One is, of course, getting the right to way from landowners. We’re negotiating those deals right now, a fair amount of when we had options on. So for the ones we didn’t have options, yes, those negotiations are proceeding. And we also still do have a little bit of environmental and cultural type work each segment, you have to have a plan of development. And then as you go to the segments, the BLM, the Department of Energy approved the progress. So we’re working on both those things, we bid out the projects. We’re getting bids and right now, the design is all but complete, and we’re looking to move forward with construction sometime in the fall, maybe the October time frame. And you are right, and I think Lisa mentioned that it still is continuing to be the least cost, least risk resource in terms of the IRP.

Brian Russo: Okay. Great. And then just on Gateway West, I’m sorry if I missed this earlier, but how many megawatts of demand is that capacity kind of equivalent to that you need to service your territory?

Adam Richins: Well, Brian, this is Adam. I can talk a little bit about our interest in it. As you know, it’s a longer line that goes through Wyoming, our interest is 33% in two segments. One is from the midpoint to Hemingway part of the project, and the other is from Cedar Hill to Hemingway. So our goal is focusing on those two and using, again, 30% of the megawatts bidirectional, it’s 1,000 bidirectional. So we would get our portion of it being that 30%.

Brian Russo: Okay. Understood. And then just on the procedural schedule for the general rate case, are there dates earmarked for settlement discussions and/or staff testimony?

Lisa Grow: Tatum is here with us. I’ll have Tim answer.

Tim Tatum: Yes. Sure, Brian. This is Tim Tatum, Vice President, Regulatory Affairs. The parties to the case, including staff have agreed — informally agreed to settlement discussions September 18 through the 20th. Of course, the commission does not include those settlement dates in their order, but the parties have informally agreed to those dates.

Brian Russo: Okay. Great. Got it. Thank you very much.

Tim Tatum: Thanks, Brian.

Operator: [Operator Instructions]. Next, we’ll go to Alex Mortimer with Mizuho. Your line is open.

Lisa Grow: Hi, Alex.

Alex Mortimer: Hi, good afternoon.

Brian Buckham: Good afternoon.