Idaho Power Provisioning

Massive new energy supply for Meta (Phase 1)

Pleasant Valley Solar 1 – 200 MW solar PPA (Ada County)

rPlus/Matrix (IPP); PPA with Idaho Power (Meta as beneficiary)

COD by Mar. 2025puc.idaho.gov 10matrixrenewables.com 11

Online. Project commissioned April 2025pv-magazine-usa.com 12

PPA approved Apr 2023 (20-year term)puc.idaho.gov 13. RECs assigned to Meta.

Additional energy for Meta (Phase 2 growth)

Pleasant Valley Solar 2 – 125 MW solar PPA (Ada County)

rPlus/Matrix (IPP); PPA with Idaho Power (Meta as beneficiary)

COD by May 31 2026puc.idaho.gov 14 (moved up from Dec 2026)

Under construction. Tax equity secured; on track for summer 2026 operationpv-magazine-usa.com 15.

PPA executed Dec 2023, IPUC approval pending in Case IPC-E-24-01puc.idaho.gov 16. Developer aligned schedule with Meta’s needs.

Long-term full-load renewable supply for Meta

Blacks Creek Solar – 320 MW solar PPA (Ada County)

Developer TBD (Blacks Creek Energy Ctr.); 20-yr PPA with Idaho Power

COD by Dec 2027docs.idahopower.com 17

Planned. PPA executed 2024 for Meta’s Clean Energy program.

PPA approved 2024 (IPC-E-24-42) – output dedicated to Meta; RECs transferred to Meta.

Peak capacity and grid support (Meta & region)

Boise Bench Battery – 200 MW/800 MWh BESS (Ada County)

Idaho Power (utility-owned, rate-based)

Online by Summer 2026 (50 MW pending IPUC OK)

In progress. 80 MW “Happy Valley” BESS by 2025; 200 MW Boise Bench by 2026.

CPCN for 120 MW storage approved 2022idahopower.com 18; utility earning AFUDC during construction.

Interconnection for Meta campus

Kuna Substation & 138 kV line extensions (South Kuna)

Idaho Power, funded by Meta via CIAC (Contribution in Aid)

In service by 2024 Q4 (before energization)

Complete. New substation and network upgrades energized to serve Metalf-puc.idaho.gov 19.

Special Construction Agreement executed – Meta pays all costs “up to point of delivery” (no cost shift to other customers).

Gemstone data center supply (initial phase)

(TBD) – Potential new 100–200 MW renewable project under CEYW program

Likely third-party IPP PPA (similar to Meta’s)

Earliest ~2026–2027 (if approved in 2025)

Proposed. No contract filed yet; load in planning stagedatacenterdynamics.com 20.

Data needed. Gemstone’s developer (Diode Ventures) and Idaho Power expected to negotiate a special ESA; no public filings as of Sep 2025.

Gemstone interconnection infrastructure

New “Gemstone” substation & 138 kV line (Locust Grove Rd)

Idaho Power, likely funded by Gemstone (CIAC or URD/TIF)

Required by first phase energization (~2026)

Planned. City zoning approval obtained; utility feasibility study donediodeventures.com 21boisedev.com 22.

Gemstone to work with Idaho Power on “an improved substation” for the campus. Financing details not yet public – may involve CIAC or Kuna urban renewal funds.

Pleasant Valley Solar 1 (200 MW)

rPlus Energies & Matrix (IPP)

No. Third-party asset, sold to IP via PPApuc.idaho.gov 27

n/a (no utility capital)

Yes – 20 yr PPA

n/a (developer’s project, not utility CWIP)

PPA approved Apr 2023; Meta is third-party beneficiary receiving energy & Green Tags (RECs).

Pleasant Valley Solar 2 (125 MW)

rPlus Energies (IPP)

No. Not utility-owned (PPA)puc.idaho.gov 28

n/a

Yes – 20 yr PPA.

n/a

PPA filed Jan 2024, approval expected 2024. Same developer as PV1; PPA cost passed entirely to Meta.

Blacks Creek Solar (320 MW)

Blacks Creek Energy Ctr. (IPP)

No. PPA resource, not in rate basedocs.idahopower.com 29

n/a

Yes – 20 yr PPA.

n/a

PPA executed 2024, expiring ~2047. All output dedicated to Meta under CEYW; RECs to Meta.

Boise Bench BESS (200 MW battery)

Idaho Power (utility asset)

Yes. Will be added to rate base at COD

No. System asset (for all customers)

No (utility self-build)

Yes. AFUDC capitalized during construction

IPUC approved storage addition (120 MW initial)idahopower.com 30; 50 MW expansion awaiting approvaldocs.idahopower.com 31. Allowed ROE ~9.4% on rate-based investmentspuc.idaho.gov 32.

Meta interconnection: Kuna substation & lines

Idaho Power (built for Meta)

No. CIAC offset removes from rate baself-puc.idaho.gov 33

Yes. Meta paid full construction cost

No (network facility)

n/a

Special Facilities Construction Agreement ensures Meta funds “all costs… up to the point of delivery”. No return earned on CIAC-funded assets.

Gemstone renewable supply (future)

Likely IPP (to be determined)

No (anticipated). Will use CEYW special contract like Meta

Likely. Customer will fund dedicated resource costs

Yes (expected).

n/a

Data needed. No contract yet; expected that Gemstone will not contribute to rate base if structured as PPA or customer-paid project.

Gemstone interconnection facilities

Idaho Power (planned)

No (expected). If solely serving Gemstone, will be CIAC-funded

Likely. To be funded via Gemstone or local URD/TIF

No (network facility)

n/a

Gemstone to cover substation upgrade costs by agreementboisedev.com 34 (specific funding mechanism TBD). Idaho law may bar shifting these costs to other ratepayers.

Network upgrade costs (substation, transmission) to serve new load

Must be paid by the special-contract customer (CIAC), not rolled into rate base

Yes. Meta’s Construction Agreement funds all interconnection facilities up to delivery point

IPUC Order No. 35777 (Staff review) confirms no other ratepayers will bear these construction or O&M costs.

If not fully funded by customer, existing customers would subsidize the expansion (higher rates to cover new substation/transmission).

Verify similar CIAC terms in any Gemstone agreement; obtain CIAC payment records (e.g. IPUC compliance filing) once available.

Resource delay or shortfall (customer’s dedicated project late or under-producing) – risk of high market purchases

Customer must bear cost of any replacement energy (via special contract pricing or PCA mechanism)

Partially. Contract includes pricing adjustments to shield others. IPUC requires reporting of Meta’s load vs generation annually.

Staff imposed an 85% price cap on excess generation credits and other safeguards to ensure Idaho Power isn’t stuck with expensive imbalance costs.

If protections failed, Idaho Power could incur costly market purchases to serve Meta, potentially seeking recovery from all customers.

Monitor annual filings of Brisbie load/gen balance; ensure any shortfall costs are allocated to Meta through the Power Cost Adjustment.

Load fluctuation or usage below expectations – risk of unrecovered fixed costs

Minimum billing demand or fixed charge to cover capacity costs regardless of usage

Yes. Special Schedule 33 includes a Basic Load Capacity charge (based on 1,000 kW min. and Meta’s two highest demand months)puc.idaho.gov 39 plus standard demand charges.

Tariff Schedule 33 (Meta ESA rate) sets monthly charges that do not fall below a base level even if energy usage drops.

Without a minimum bill, other customers would have to pick up Meta’s share of fixed generation and grid costs during low-usage periods.

Audit Meta’s billing to confirm minimum charges are applied; for future contracts, ensure similar or stronger provisions (e.g. contract demand commitments).

Customer default or exit before end of term – risk of stranded PPA or assets

Binding parent guaranty and termination payments covering all remaining costs

Yes. ESA requires parent guarantee and full stranded cost recoverydocs.idahopower.com 40; PPA itself includes parent guaranty by Metapuc.idaho.gov 41.

IPUC orders (and now Schedule 62 rules) mandate a financial guarantee for the life of the projectdocs.idahopower.com 42. Meta’s guaranty would fund any unpaid costs if Meta ceased operations.

If no guarantee, Idaho Power could be left with a 20-year solar PPA or idle infrastructure and no revenue – costs would shift to general rates.

Obtain and review the guaranty agreement (confidential exhibit) to verify its sufficiency; for Gemstone, demand equivalent credit support (letter of credit or guarantee from Black & Veatch/Diode’s backers).

Stranded asset “roll-in” (utility seeks to rate-base assets if customer leaves)

Explicit prohibition – assets must be removed from rate base or otherwise compensated by customer

Likely. The ESA structure and guaranty effectively prevent roll-inlf-puc.idaho.gov 43 (no explicit roll-in clause seen).

Staff emphasized that without full cost recovery from Brisbie, they “would be hard-pressed to find public interest” in approval. The approved contract assigns responsibility to Brisbie, not customers, for dedicated resource costs.

If a stranded asset were rolled into general rates, all customers would pay for a project that was meant to be exclusive – violating “no harm” intent.

Ensure IPUC final orders and the contract explicitly bar cost socialization. If any ambiguity, address in next regulatory proceeding (e.g. a declaratory ruling or contract addendum).

Urban Renewal/TIF reliance (if public financing used for infrastructure expecting tax increment from data center)

Sufficient taxable value must materialize; backup plan if project delayed or de-scoped

Unclear. Kuna created an Urban Renewal District for Meta’s site, expecting Meta’s property taxes to repay bondsblog.idahoreports.idahoptv.org 44boisedev.com 45. Legislative attempts to exclude the data center from the URD indicate this risk was recognized.

Idaho lawmakers debated a 2023 bill to prevent including Meta’s project in a URD, citing concerns that diverting such a large tax base could “hurt… Kuna’s East Urban Renewal” if assumptions failblog.idahoreports.idahoptv.org 46boisedev.com 47. The bill did not passblog.idahoreports.idahoptv.org 48, so the URD stands, placing local infrastructure funding on Meta’s tax contributions.

If Meta’s build-out is delayed or downsized (Meta paused some projects in 2022datacenterdynamics.com 49), the URD could face revenue shortfalls. Kuna’s taxpayers or services would shoulder the gap, though this doesn’t directly raise electric rates, it heightens community financial exposure.

Review Kuna URD plan and bond official statements for contingency provisions. If shortfall risk is high, local officials may need to renegotiate timelines or secure guarantees from Meta for tax payments.

Eligibility & Scope

Schedule 62 Construction option open to large customers (>1 MW, typically Schedule 19 special contract) seeking new dedicated renewables. Project size ≤ 110% of customer’s annual usage (to prevent excessive surplus).

Customer (participant) initiates request and must meet size and credit criteria.

Resource can be third-party (PPA) or utility-built – “generation type, size, timing, location, and ownership” are case-by-case, subject to IPUC approval to keep others harmless.

All new – must be new-build renewable (solar, wind, etc.) not already in Idaho Power’s portfolio. Existing PURPA/QF projects cannot be used.

Not a standard tariff supply; each project requires a Renewable Construction Agreement between customer and Idaho Power.

Financing of Project

Customer is responsible for 100% of project costs (“REF Cost”) – via PPA price or cost-of-service charge if utility-owned. Idaho Power may facilitate procurement but will not invest without full cost recovery from the customer.

Customer pays all capital and operating costs of the renewable facility (either through PPA payments or a negotiated cost reimbursement)lf-puc.idaho.gov 55docs.idahopower.com 56.

If PPA: third-party developer finances, owns, and sells energy to Idaho Power for the customer’s benefitpuc.idaho.gov 57. If utility-built: Idaho Power owns the asset but the customer’s payments cover its revenue requirement (so no net cost to others).

Customer effectively finances via contract: e.g. Meta’s PPA rates include building the plantmatrixrenewables.com 58. Idaho Power’s role is to ensure the project is built and integrated, using standard procurement if neededlf-puc.idaho.gov 59puc.idaho.gov 60.

IPUC authorizes Idaho Power to procure new resources for CEYW customers outside normal IRP/RFP processlf-puc.idaho.gov 61puc.idaho.gov 62. No cost recovery from non-participants – costs are isolated to the special contract (tracked via separate Schedule 33/62 accounts).

RECs (Renewable Certificates)

All RECs from the dedicated resource go to the customer to fulfill their sustainability goalslf-puc.idaho.gov 63puc.idaho.gov 64. The customer may also buy additional RECs via the CEYW–Flexible option if needed (for load growth or interim needs)idahopower.com 65docs.idahopower.com 66.

Customer pays any and all costs to secure those RECs (since they fund the resource). Idaho Power forfeits any claim on those RECs – it delivers them to the customer or retires them on the customer’s behalfpuc.idaho.gov 67docs.idahopower.com 68.

RECs are created by the project owner (or tracked in WREGIS) but contractually assigned to Idaho Power for delivery to the customerpuc.idaho.gov 69docs.idahopower.com 70.

The customer can claim to be powered 100% by new renewable energy once it receives these RECsidahopower.com 71. Meanwhile, Idaho Power removes those RECs from its portfolio (so they are not counted toward the utility’s own green goals)docs.idahopower.com 72lf-puc.idaho.gov 73.

Example: Meta’s 200 MW solar PPA explicitly names Meta as the third-party beneficiary receiving all energy and environmental attributes (Green Tags) from the projectpuc.idaho.gov 74.

Billing & Credits

Participant continues to pay regular tariff charges for base service (customer, demand, energy charges per Schedule 19 or equivalent)puc.idaho.gov 75. On top of that, Schedule 62 adds: (1) a charge for the REF Cost of the new resource, and (2) a REF Credit for the resource’s output and capacity value to the systemdocs.idahopower.com 76. These elements are defined in the Construction Agreement and approved by IPUC to ensure fairness.

Customer pays net of two streams: they pay the full cost of their resource, but they get credited what that resource is worth to Idaho Power’s system (avoided energy/capacity cost). The customer also pays all normal delivery costs.

Idaho Power initially pays the PPA or incurs project costs, then bills the customer for them (cost pass-through)puc.idaho.gov 77lf-puc.idaho.gov 78. Idaho Power provides a credit on the bill for avoided purchases – e.g. if the resource generated 10 GWh that month, the customer gets credit at the prevailing avoided cost or market rate minus adjustment.

Net effect: the customer’s bill reflects their usage minus their resource’s output. If in an hour the resource equals the load, the customer effectively pays just the fixed grid charges. If the resource under-produces, the customer pays Idaho Power for supplemental energy. If it over-produces, the customer still pays the PPA cost but is credited a portion of market value for the surplus. All this is settled on the bill each month.

Meta’s Schedule 33, for example, lists standard energy and demand rates and separate line items for “Embedded Energy Fixed Cost” credits – reflecting that Meta’s solar reduces Idaho Power’s need to run other resourcespuc.idaho.gov 79. Excess generation is credited at 85% of market to account for Idaho Power’s resale risklf-puc.idaho.gov 80. Any capacity contribution from Meta’s projects is accounted for via credits only when the system is capacity-deficient.

Term & Exit Conditions

Negotiated contract term, typically aligned with project life or PPA (e.g. 20 years)puc.idaho.gov 81. Financial guaranty required: customer (or its parent) must guarantee to cover all stranded costs if the customer closes or leaves before term endsdocs.idahopower.com 82. The contract also stipulates any performance guarantees or liquidated damages for the resource (e.g. if project output is below expected)puc.idaho.gov 83lf-puc.idaho.gov 84.

Customer is on the hook for the duration. If they terminate early, they pay out any remaining costs (such as buying out the PPA or reimbursing Idaho Power for undepreciated investments)docs.idahopower.com 85. Idaho Power’s other customers pay $0 of those stranded costs.

Ownership of the resource in case of early exit would depend on contract: with a PPA, Idaho Power could redirect the energy to general supply (but Meta or its guarantor would still pay the above-market costs, if any, through termination fees). With utility-owned, Idaho Power might retain the asset but the customer’s payments (or guaranty) would continue to cover its revenue requirement.

The customer does not have unilateral “off-ramp” without cost – any exit triggers contractual damages to make Idaho Power whole. If the customer simply reduces operations, the minimum bill provisions ensure they still contribute to fixed costspuc.idaho.gov 86lf-puc.idaho.gov 87.

The IPUC required that “the Renewable Construction Agreement must include a Customer financial guarantee to cover stranded ... costs in the event of Customer default, dissolution, and/or relocation.”docs.idahopower.com 88. In Meta’s case, Meta’s parent guarantee satisfies this. Micron’s 40 MW solar contract and other CEYW deals have similar guarantees and minimum term commitmentspuc.idaho.gov 89.

Curtailment & Reliability

Unless specified (e.g. separate interruptible rate), CEYW customers receive firm service like any other large customer. They are not granted priority over other firm loads – nor are they subject to special curtailments except as agreed (Meta’s contract does not indicate any interruptibility; by contrast, crypto-mining loads under Schedule 20 are interruptible by summer grid need).

Customer pays for reliable service and expects the same reliability as others. Idaho Power maintains reserves and dispatchable resources to cover all firm customers, including Meta/Gemstone, even when renewable output fluctuatesidahopower.com 90. The customer’s rates (demand charges, etc.) ensure they contribute to those reliability costs.

Idaho Power retains control over the grid. If an emergency or capacity shortfall occurs, Meta could be curtailed under system-wide emergency plans on an equal footing with other large industrial customers. The special contract does not exempt them from outages or rotating blackouts if it came to that.

The dedicated resource can be curtailed by Idaho Power for reliability if needed (the PPA allows curtailment under grid emergency, typically). The customer bears the production risk – no compensation if their resource is curtailed for system reliability beyond what the contract outlines. Meanwhile, they’d draw power from the grid (and pay for it) if their resource is offline.

In general, Idaho Power required potentially unstable high-density loads (e.g. crypto miners) to be interruptible and pay a premium for energypuc.idaho.gov 91. By contrast, Meta and Micron are treated as standard large customers with long-term commitments, so no routine curtailment clause beyond force majeure. Their contribution to peak demand is accounted for in planning (with new resources and the BESS) to preserve overall reliabilitydocs.idahopower.com 92docs.idahopower.com 93.