2010 Protocol - Appendix C
Allocation Factors
Algebraic Derivations
September 15, 2010
Exhibit B to the Agreement (2010 Protocol - Appendix C)
1
Revised – June 22, 2011
Allocation Factors
PacifiCorp serves eight jurisdictions. Jurisdictions are represented by the index i = California, Idaho, Oregon, Utah, Washington, Eastern
Wyoming, Western Wyoming, & FERC.
The following assumptions are made in the factor derivations:
It is assumed that the 12CP (j=1 to 12) method is used in defining the System Capacity (“SC”).
It is assumed that twelve months (j=1 to 12) method is used in defining the System Energy (“SE”).
In defining the System Generation (“SG”) factor, the weighting of 75 percent System Capacity, 25 percent System Energy is assumed to continue.
While it is agreed that the peak loads & input energy should be temperature adjusted, no decision has been made upon the methodology to do these
adjustments.
System Capacity Factor (“SC”)
12
 TAP
ij
SCi 
j 1
8
12
 TAP
ij
i 1 j 1
where:
SCi
=
TAPij =
System Capacity Factor for jurisdiction i.
Temperature Adjusted Peak Load of jurisdiction i in month j at the time of the System Peak.
Exhibit B to the Agreement (2010 Protocol - Appendix C)
2
Revised – June 22, 2011
System Energy Factor (“SE”)
12
 TAE
ij
SEi 
j 1
8
12
 TAE
ij
i 1 j 1
where:
SEi
=
TAEij =
System Energy Factor for jurisdiction i.
Temperature Adjusted Input Energy of jurisdiction i in month j.
System Generation Factor (“SG”)
SGi .75 * SCi .25 * SEi
where:
SGi
SCi
SEi
=
=
=
System Generation Factor for jurisdiction i.
System Capacity for jurisdiction i.
System Energy for jurisdiction i.
System Generation Cholla Transaction Factor (“SGCT”)
SGCTi 
SGi*
i 8
 SG
i 1
*
i
where:
SGi*  SGi if i is jurisdiction other than FERC, otherwise
SGi*  0.
SGi = System Generation for jurisdiction i.
Exhibit B to the Agreement (2010 Protocol - Appendix C)
3
Revised – June 22, 2011
Mid-C Factor (“MC”)
MCi 
WMCE i
i 8
WMCE
i 1
i
where:
MCi = Mid-C Factor for jurisdiction i.
WMCEi =
*
Eipr
 ( Err * SGi)  ( Ewa * WWAi )  ( Ew * SGi)
Weighted Mid-C Contracts annual energy generation
where:
*
Eipr
 Eipr If i is Oregon, otherwise
*
Eipr
0
Eipr = Annual Energy generation of Priest Rapids.
.
Err = Annual Energy generation of Rocky Reach.
Ewa = Annual Energy generation of Wanapum.
Ew = Annual Energy generation of Wells.
WWAi
=
SGi*
Weighted Wanapum Energy
i 8
 SG
i 1
*
i
where:
SGi*  SGi if i is Washington or Oregon jurisdiction, otherwise
SGi*  0.
SGi = System Generation for jurisdiction i.
Exhibit B to the Agreement (2010 Protocol - Appendix C)
4
Revised – June 22, 2011
Division Generation - Pacific Factor (“DGP”)
DGPi 
SGi*
i 8
 SG
i 1
*
i
where:
DGPi = Division Generation - Pacific Factor for jurisdiction i.
SGi*  SGi if i is a Pacific jurisdiction, otherwise
SGi*  0.
SGi = System Generation for jurisdiction i.
Division Generation - Utah Factor (“DGU”)
DGUi 
SGi*
i 8
 SG
i 1
*
i
where:
DGUi = Division Generation - Utah Factor for jurisdiction i.
SGi*  SGi if i is a Utah jurisdiction, otherwise
SGi*  0.
SGi = System Generation for jurisdiction i.
Exhibit B to the Agreement (2010 Protocol - Appendix C)
5
Revised – June 22, 2011
System Net Plant - Distribution Factor (“SNPD”)
SNPDi 
PDi  ADPDi
( PD  ADPD)
where:
SNPDi
PDi
ADPDi
PD
ADPD
System Net Plant - Distribution Factor for jurisdiction i.
Distribution Plant - for jurisdiction i.
Accumulated Depreciation Distribution Plant - for jurisdiction i.
Distribution Plant.
Accumulated Depreciation Distribution Plant.
=
=
=
=
=
System Gross Plant - System Factor (“GPS”)
GPSi 
PPi  PTi  PDi  PGi  PIi
i 8
 ( PP  PT  PD  PG  PI )
i
i
i
i
i
i 1
GP-Si
PPi
PTi
PDi
PGi
PIi
=
=
=
=
=
=
Gross Plant - System Factor for jurisdiction i.
Production Plant for jurisdiction i.
Transmission Plant for jurisdiction i.
Distribution Plant for jurisdiction i.
General Plant for jurisdiction i.
Intangible Plant for jurisdiction i.
Exhibit B to the Agreement (2010 Protocol - Appendix C)
6
Revised – June 22, 2011
System Net Plant Factor (“SNP”)
SNPi 
PPi  PTi  PDi  PGi  PIi  ADPPi  ADPTi  ADPDi  ADPGi  ADPIi
i 8
 ( PP  PT  PD  PG  PI  ADPPi  ADPT  ADPD  ADPG  ADPI )
i
i
i
i
i
i
i
i
i
i 1
SNPi =
PPi
=
PTi
=
PDi =
PGi =
PIi
=
ADPPi =
ADPTi =
ADPDi =
ADPGi =
ADPIi =
System Net Plant Factor for jurisdiction i.
Production Plant for jurisdiction i.
Transmission Plant for jurisdiction i.
Distribution Plant for jurisdiction i.
General Plant for jurisdiction i.
Intangible Plant for jurisdiction i.
Accumulated Depreciation Production Plant for jurisdiction i.
Accumulated Depreciation Transmission Plant for jurisdiction i.
Accumulated Depreciation Distribution Plant for jurisdiction i.
Accumulated Depreciation General Plant for jurisdiction i.
Accumulated Depreciation Intangible Plant for jurisdiction i.
Exhibit B to the Agreement (2010 Protocol - Appendix C)
7
Revised – June 22, 2011
System Overhead - Gross Factor (“SO”)
SOGi 
PPi  PTi  PDi  PGi  PIi  PPoi  PToi  PDoi  PGoi  PIoi
i 8
 ( PP  PT  PD  PG  PP  PP i  PI
i
i
i
i
i
o
oi
 PDoi  PGoi  PIoi)
i 1
SOGi
PPi
PTi
PDi
PGi
PIi
PPoi
PToi
PDoi
PGoi
PIoi
=
=
=
=
=
=
=
=
=
=
=
System Overhead - Gross Factor for jurisdiction i.
Gross Production Plant for jurisdiction i.
Gross Transmission Plant for jurisdiction i.
Gross Distribution Plant for jurisdiction i.
Gross General Plant for jurisdiction i.
Gross Intangible Plant for jurisdiction i.
Gross Production Plant for jurisdiction i allocated on a SO factor.
Gross Transmission Plant for jurisdiction i allocated on a SO factor
Gross Distribution Plant for jurisdiction i allocated on a SO factor
Gross General Plant for jurisdiction i allocated on a SO factor
Gross Intangible Plant for jurisdiction i allocated on a SO factor
Bad Debt Expense Factor (“BADDEBT”)
BADDEBT i 
ACCT 904i
i 8
 ACCT 904
i
i 1
BADDEBTi
ACCT904i
=
=
Bad Debt Expense Factor for jurisdiction i.
Balance in Account 904 for jurisdiction i.
Exhibit B to the Agreement (2010 Protocol - Appendix C)
8
Revised – June 22, 2011
Customer Number Factor (“CN”)
CNi 
CUSTi
i 8
 CUST
i
i 1
where:
CNi
=
CUSTi =
Customer Number Factor for jurisdiction i.
Total Electric Customers for jurisdiction i.
Contributions in Aid of Construction (“CIAC”)
CIACi 
CIACNAi
i 8
 CIACNA
i
i 1
where:
CIACi
CIACNAi
=
=
Contributions in Aid of Construction Factor for jurisdiction i.
Contributions in Aid of Construction – Net additions for jurisdiction i.
Schedule M - Deductions (“SCHMDEXP”)
SCHMDEXPi 
DEPRC i
i 8
 DEPRC
i 1
i
where:
SCHMDEXPi =
DEPRCi
=
Schedule M - Deductions (SCHMDEXP) Factor for jurisdiction i.
Depreciation in Accounts 403.1 - 403.9 for jurisdiction i.
Exhibit B to the Agreement (2010 Protocol - Appendix C)
9
Revised – June 22, 2011
Trojan Plant (“TROJP”)
TROJP i 
ACCT18222 i
i 8
 ACCT18222
i 1
i
where:
TROJPi
=
ACCT18222i =
Trojan Plant (TROJP) Factor for jurisdiction i.
Allocated Adjusted Balance in Account 182.22 for jurisdiction i.
Trojan Decommissioning (“TROJD”)
TROJD i 
ACCT 22842 i
i 8
 ACCT 22842
i 1
i
where:
TROJDi
=
ACCT22842i =
Trojan Decommissioning (TROJD) Factor for jurisdiction i.
Allocated Adjusted Balance in Account 228.42 for jurisdiction i.
Exhibit B to the Agreement (2010 Protocol - Appendix C)
10
Revised – June 22, 2011
Tax Depreciation (“TAXDEPR”)
TAXDEPRi 
TAXDEPRAi
i 8
 TAXDEPRA
i
i 1
where:
TAXDEPRi
TAXDEPRAi
=
=
Tax Depreciation (TAXDEPR) Factor for jurisdiction i.
Tax Depreciation allocated to jurisdiction i.
(Tax Depreciation is allocated based on functional pre merger and post merger splits of plant using Divisional and
System allocations from above. Each jurisdiction’s total allocated portion of Tax depreciation is determined by its
total allocated ratio of these functional pre and post merger splits to the total Company Tax Depreciation.)
Deferred Tax Expense (“DITEXP”)
DITEXPi 
DITEXPAi
i 8
 DITEXPA
i
i 1
where:
DITEXPi
DITEXPAi
=
=
Deferred Tax Expense (DITEXP) Factor for jurisdiction i.
Deferred Tax Expense allocated to jurisdiction i.
(Deferred Tax Expense is allocated by a run of PowerTax based upon the above factors. PowerTax is a computer
software package used to track Deferred Tax Expense & Deferred Tax Balances. PowerTax allocates Deferred Tax
Expense and Deferred Tax Balances to the states based upon a computer run which uses as inputs the preceding
factors. If the preceding factors change, the factors generated by PowerTax change.)
Exhibit B to the Agreement (2010 Protocol - Appendix C)
11
Revised – June 22, 2011
Deferred Tax Balance (“DITBAL”)
DITBAL i 
DITBALAi
i 8
 DITBALA
i 1
i
where:
DITBALi
DITBALAi
=
=
Deferred Tax Balance (DITBAL) Factor for jurisdiction i.
Deferred Tax Balance allocated to jurisdiction i.
(Deferred Tax Balance is allocated by a run of PowerTax based upon the above factors. PowerTax is a computer
software package used to track Deferred Tax Expense & Deferred Tax Balances. PowerTax allocates Deferred Tax
Expense and Deferred Tax Balances to the states based upon a computer run which uses as inputs the preceding
factors. If the preceding factors change, the factors generated by PowerTax change.)
Exhibit B to the Agreement (2010 Protocol - Appendix C)
12
Revised – June 22, 2011