IDACORP (IDA) 18 Feb 222021 Q4 Earnings call transcript

Welcome to IDACORP’s Fourth Quarter and Full-Year 2021 Earnings Conference Call. Today's call is being recorded and our webcast is live. A complete replay will be available later today and for the next 12 months on the IDACORP website. [Operator Instructions] I would now like to turn the call over to Justin Forsberg, Director of Investor Relations and Treasury.

Thanks, Savannah. everyone. afternoon, good And issued year-end on Form XXXX we fourth XX-K. website quarter and earnings and morning, IDACORP's posted our This release and IDACORP's The also today's accompany website. on slides call that available are

by We refer the to slides will number those call throughout today.

our on our review uncertainties. statements, reflect filings our including includes noted subject and in on views your also Securities cautionary what the and Commission. placing may Exchange forward-looking and on for As note today, differ results holds, discussion undue forecasts, and detail more to but made any risks against statements. in guidance are uncertainties with risks spending forward-looking we This is statements materially These caution X, from Slide reliance which and current cause to earnings the future actual included several

As X, shown Vice Keen, Chief Grow, IDACORP’s Brian we IDACORP’s Officer, have Senior Buchanan, and call, Financial Vice Lisa today's Steven Counsel. Chief President and and General Executive and IDACORP’s on President on Officer, President Slide Senior

As assume March the on Chief Officer Financial X. will announced, Brian role of previously

range have financial the in XXXX are earnings of share other XXXX, quarter a were Slide and Steve, year earnings diluted earnings A $X.XX. per $X.XX, IDACORP’s support company that to are Today, the initiated in balance XXXX. not share call earnings per Idaho $X.XX expectation unprecedented shows team to settlement believe additional full-year per diluted updates. the available of of and of electric Brian of normal traded share. full-year XXth session IDACORP’s $X.XX fourth last consecutive earnings per from estimate stipulation. of diluted after Idaho tax $X.XX above I We in regulatory credits to also assume were turn we this utilize Lisa, our Q&A again, These Power XXXX $X.XX the available in the achievement now represent any the XXXX among XXXX growth the our and publicly over quarterly XXXX. share. guidance to estimates the our quarter. earnings year's With under which history Lisa. were will We need highest share X of also that be our results. is provide utilities. members IDACORP’s its annual management conditions to will for over per fourth decrease weather of

for and exciting call. safest and Thank due you, to remarks today totals vehicle We Idaho Justin. record IDACORP to with low our to time employee begin X today's Company's for just injury, news I'll everyone that completed Power the experienced injury. accidents, history. joining And my on thanks in the pointing us lost Slide year

exemplify is at employees proud of employees actions Our both the safe recognition for safety, our and to President's XX one home. stay employees received for core an our our and ' at safety values, whose culture. of Safety work important Award I'm very efforts

and do Our awarded commend Thomas recognized Innovation Farrell, II component of I Award. Electric and Power our Idaho Company's allows customers was steadfast our and by Edison to Leadership culture is its absolute each to and everyday safe. lives. XXXX. allows the keep vital inaugural and communities recently Safety Institute, best in safety to our staying commitment a F. Safety of our their such also business which employees just leaders efforts themselves, we give Safety safe our that continue our for other, or us -- to

continue to our new as the customers’ saw a customers we to tool, our outstanding Power developing projects, peer tied expanding interact and our accounts and and ways Idaho to working innovative utilities year-end online score list the also satisfaction new to customer look customers menu customer of efficiency survey. another our highest Reliability with on Survey, kept the improve top in From time. of Annual XX.X% energy X, Slide for options, our experience. national over improved score our ranking year with clean at on [Indiscernible] customers a in while noted As of lights-on the energy among

Our employees our summer conditions, highest the ensure yield while organization throughout for seen. has our quality, year stepped peak cruise ever and out company load-serving to energy overcoming and operators the for drought power, customers reliability demand and record across our fee

consecutive precedented consecutive IDACORP we is among increased Turning share, marking mentioned, year of to share. seven stock tenth dividend to an States. $X.XX as earnings the increase. our with achievement this utilities in IDACORP’s Justin Slide on common investor-owned XXth a in $X.XX quarterly United growth year celebrating noted, again ASRC for just its believe per is dividend, per

remarks. With the end announced consecutive drivers out a quarters paid recently dividend since has this be the most XXXX. at to will month, the my dividend of paid XXX for the earnings discuss XXXX following company Steve

across on growth Power service price strong remained customer Idaho As X, noted at Slide area.

base U.S. customer XXXX. According trend grew Our We XXX,XXX strong to serve the now continues than customers. X.X% and in more

is system, become pace. with a jobs as for Idaho the that continue U.S. we the had nation's it's our needed the load consecutive growth driver site. the contract filed many our set rate incoming to type Idaho at square-foot a and a enterprise XXX,XXX new investment to growth projects with fifth to in energy come build the an special request clean bring as a capital for Report, in economy the residential local area. population and PUC affordable, We creating as to XXXX to provides to company to and for and adding year Idaho. service the a on center jobs News attract continuing led construction customers business expected XXX to December, Inquiries World a our large data customer reliable, percentage. Meta expanding key rapid of the in view XXXX, In Southern new Meta

announcement of its addition their XXX% large support the plans plans through connected to new in center resources system using renewable public for the operations in Power noted operations framework also yesterday, The of begin to to Idaho data Meta As outlined way customers clean filed centers to its Program IPC look our in energy meet and your the December. in which Idaho help energy We data Mehta, the with needs clean own energy, serving goals. Power working forward to proposal, XXXX. power

XXXX, area nationally. In for service Power XXXX. identified predict calls XXXX. to addition continues Plan going our to X.X% X.X% customer growth, clean Unemployment of forward. Moody's future. in energy recently region XXXX is is the economic trend. in grew reported Integrated The our a within X.X% Resource within service continues IRP, Idaho below GDP X.X% path area the growth in towards filed economy Idaho national at resource forecast Employment needs outperform in our Power and or growth X.X%, which in significantly XXX% The sustained

summer to efficiency. highlighted coal cleaner by increased As Slide on by the coal-fired with until -- along exit facilitates natural end This and from move of energy of to conversion entirely XXXX renewable X, gas pivoting energy away our battery storage, XXXX. units year be resources, calls and generation from and two to energy operate plan for XXXX transmission, a coal-fired while

or five-year the As increase the noted capital million XX%. expect could of nearly in we $XXX implementation earnings expenditures our our forecast by release, IRP

system. our as from co-owner to toward and work coal-fired plant We with work regulators we continue our removing resources

and investment request Valmy related completed previous recovery full IPC This the resumed filing balances to of to the with structure filings the on coal-related plant Jim to consistent later of than North filing the Bridger recently in Idaho return XXXX. Boardman related is no and Our plant be with Power’s plant.

Power has addition In our and also current to Slide long-term place X, in short-term, medium-term, carbon targets further profile, reduction. for you'll low see, COX Idaho on

by period through XXXX, baseline short-term of reduce year. compared Our target emissions intensity XX% the for to COX the XXXX to company-owned generation is from resources XXXX

We do it the of the the goal. reduction XXXX period than better we reduction XX% are calculations finalizing looks our and through will like end XXXX, for

is Our XXX% medium-term our IRP, is be XXXX. our based long-term which by emissions XXXX. target target from anticipates by to XX% clean a reduction of course, XXXX And on

to be amounts maintain look or may energy gas are to ways power next emissions our cost-effectively natural of required future to system, of wind solar continue believe large reduction to the reduce COX technology. offset variable emission described XXXX. new near all integrate on will our the to While for we and cutting reliability resource We and for clean by aligned resources deployment with above the this COX and of the with zero Paris target of need goal agreement a

megawatts transmission Slide peak need its XX, to constraints, approximately in and resources capacity XXXX. the to energy RFP, RFPs XXX two load in base-load will December, Altogether, and XXXX, for megawatts mix. our XX coal capacity address for Power megawatts issued are regional to In XXX growth, replace energy to or proposal new second in of deficit projected in looking resources Turning request Idaho address to 'XX add new we resources.

expect soon today, purchase we As to contracts to assets. the XXXX and XXX storage with megawatts of battery owned deficit related sign to

recently the evening calls more of portfolio. for the summer of preferred We IRP meet the megawatts hours. of addition and growing will megawatts demand during XXX solar, a XX-year purchase agreement. of than X,XXX XXXX also new storage XX-megawatt resources help solar megawatts wind, These needed signed for X,XXX peak power energy nearly The in the

$XXX address A depends capital transmission transmission. discuss E In The addition moment. additions. resource the clean that Brian invest on critical enhanced our that I of expenditures these over include increase plans to XXXX in part million capital from XXXX will will impacted to our a to in forecast expenditure for future

high-voltage utilize to activities of contemplates our a January, to IRP long-term Idaho of share to Bonneville term the service a highlighted can demand. continues the resource design, geotechnical strengthening and in In Power to investigation. over project minimum Power XX pre intent move survey, of completing participants, line chances As and XX, Hemingway portfolio. construction the growing so on Power BPA's be our project through Power permitting with commensurate BXH, Taking Slide Bonneville to and Idaho sheet schedule with Boardman or agreement. as of Administration it meet And project detailed transmission building to the entered transferring non-binding forward. our on project Idaho of other BXH, its cost-effective begun continues preferred PacifiCorp, simplifies has customer for a the years we -construction that a and such into share BPA line

be -- XXXX, now the XXXX in permitting base from BXH related project additional with over $XXX We potential rate related in finalize to Idaho million in million to capital expect total XXXX. $XXX to to line by planned invest service currently through system in the approaching Power XXXX expect to We expenditures in BXH, XXXX. addition

outcomes, Oregon regulatory of date, bio expected significant investments the major and service constructive growth, evaluations factors, conditions roles Idaho Idaho timing we other economic and in customer projections, as show generally and capital the growth effective cost also Steady play times rate rate future Given case. cases in-service in and current growth and of management, of Power's appropriate date approaching. and the are projects date refine general need the

Turning more for Current weather costs in late and we in weather Administration. to National the December before keep customers call Power low hydro generation winter has resource. of recent as outlook, a phase outlook and relatively Strong snowfall with power is a we largest low-cost the system. generation near-term XX Slide Idaho shows hope through single conditions. Oceanic from We on this of the January, our normal our this hydro traditionally growth precipitation Atmospheric and ends. and for way power more new generation projections March for May started been enter Clean, helps early

Slide overview of and an recently XX, announced Directors. changes you'll team our in see of management on Finally, Board

substantial appointed his announced announced at past played last Steven who in effective time, succeed year. Power? to Which he'll Jeff to we perfect acknowledge will effort. to well-positioned Idaho built with our Power Idaho is Keen, week. I'd owned slope that The the of overstate. assume for-profit last the opportunities, were Harrington, of us who finance the over he will corporation lead to Xst. General President a CEO the by the one we several always months previously board hard Jeff a Treasure strong was contribution and ASRC, He sure as serve in strong units. our Counsel March newest until an was of retires. stay several of [Indiscernible], and on continue effective Steve and Corporation, representing to here wishing his of for our that has Brian and Jeff a member, like and Steve making in Arctic the retirement the shareholders. role to financially also the President of the hand will of Brian Idaho shareholders Board. the overview and fit role things David Directors have is has background the board seize And financial appointed March best I than customers business has attended Vice has makes that, With to also Corporate our him October largest to navigate next Secretary, their having November, over deep over challenges Xst an team. XX peer connection Steve X, and more by is interest Valley, member this page University Senior opportunity Service, for His years, private results. on well. ASRC will incredible me business has of performance service Energy years Northwest to XXXX of as join our well-positioned Regional our Nazarene Board be helped be As to Russo to path Idaho a

you, Thank of me to the who And for everyone the thank work years. company this Lisa. you over helped has success

organization and finance has of Our leading finance a Tim talented be with been the skilled of our leaders. likes truly and group Brian Peterson will team outstanding

lobby excited of discussions all for I hotel this ahead, I you. can't miss without will sincerely I'm industry. through While great with interactions many walk my about remembering lies our what a

of here's also interest for IDACORP your each So, and virtual your for toast you a to friendship. in

growth, boosted XX, more XXXX XXXX. more as continued our with $XXX good let's ever typical impacts, where allowing IDACORP results you'll financial maintenance by to to earnings its had recorded net strong operating expenses, positive customer Now move and and million a see in very achieve to highest weather Slide year We compared full-year income. than

and continuing see to added $XX On a growth dry irrigation were income. than and XXXX, to lead higher per respective the degree and and Cooling table our million conditions higher hot changes, customer you'll X% the X%, of XX% quarter-over-quarter customer residential days usage. operating

to and conditions While lead X% higher commercial more usage per normal operating industrial customer.

table revenue impacts on you'll this, change to below in the per to relates operating the investments plant that power XXXX. all operations note Right see customer year-to-year. decrease the charge You'll of driver in net costs, and ceasing changes supply a decrease reflecting income depreciation coal-fire megawatt lead this of $XX.X adjustment Boardman partial that power usage power annual million full to $XX.X The increase combined hour the operating the of to rates, that cost plant after relates at October in of million at for income. the in

volumes system XX% long-term Power's XXXX. through higher in the increased in transmission last wheeling-related operating an two rate relates by October wholesale addition the costs usage that revenues that to weather also to XXXX, In on impacted were The summer power generally going for expenses for higher XX% the customers reflect early wheeling-related paid income customers. energy costs Southwest increased in OATT Wheeling higher addition, a increased transmission wheeling that of higher of agreements These to with energy wheeling as weather-related in higher led Idaho time wave, cold the XXXX the prices new OATT X, summer March XXXX to beginning of heat to cost supply those fluctuations rates $XX.X The increased balance more Idaho our by combined to amount were heat increased at wave power revenues account October customers of transmission deferred and bear April of not and additional Idaho million. the running cost which Recall were power also XXXX costs. decrease Power’s X% mechanisms. of that forward. transmission net adjustment in

June our Power year-end a million increased to of against a in more will by $X.X more refunded sharing as other Next the expected The is and labor-related expenses to a a in Brian to moment, increased expectations to XXXX. on to levels equity due the services our pandemic. based full-year provision O&M. negatively with return rate through discuss was effect XXXX primarily normal COVID-XX the return table, XX%. which operating on costs related Also, maintenance compared exceeded O&M current jurisdiction, purchase a maintenance year, and XXXX and by Idaho the expenses the revenues slightly regulatory in be in previous in other future premised also to Idaho Idaho and reduction having mechanism on take million $X.X customers on recorded impacted

in place. and Non-operating We not with income due medical related represents that have Idaho earnings jurisdiction a recur. the mechanism share net expected plan to in support an actuarial now has charge while $X.X to XXXX. revenue customers, than been been able expense decrease since million of X% million nearly $XXX earnings more led Idaho This to sharing to mostly total

income collectively increased IDACORP’s million $X.XX of Finally, to turn $X.X year income. net to expense XXXX per increase the The tax changes or to With income Brian. greater in pretax a call that, over will resulted mostly I this due million net share. $X.X

Steve. Thanks,

noted, and months legacy you for before retire. your to and company of of you a I'm I'm more more new work IDACORP nearly tremendous gather a this years, dozen Lisa a some you have face. grateful As for few with been knowledge I've a have but with you, with to

Over current looking of the on spending you key call who our I'm some the operating are estimates. guidance which months, all shows forward earnings and metrics met our Slide financial going XXXX XX, and more few I'll you I've of forward. full-year to time start initial past with on and

capital assumes to on our no million experiencing provides by jurisdiction in with also will to stipulation, the accomplished in reflecting a of the forecast level customers be credits fall capital this the tax CAPEX our say And and be to normal IDACORP’s significantly we XXXX moment, to X.X spending economic XXXX as year, assumes I And share. year-end goal Idaho earlier. currently return last use Power which and load relatively we're well we've in from I'll hydro conditions It's the diluted $XXX million of $X.XX Justin of in to mention for XXXX service flat noted earnings earlier, the we will discuss This as As $XXX additional per growth fair five-year the but the weather guidance power $XXX in pressures. cost expect the will expect outlined the the challenged to as it keep $X.XX and will expenditures to of of associated expect be support in the $XXX to regulatory XXXX past, we generation million. under X.X% driving O&M Idaho actual Capex Idaho megawatt to year. the hours. Lisa within the range new increase million million range finally, we megawatt X.X million, hours area, range

overall approximately Moving XX% potential five-year five-year assumption forecast last our spending an million to $XXX and which the build of resources capacity and service customer base needs XX, infrastructure the relates anticipated additional Slide reflects years. and previous Idaho ongoing the increase level existing the past of growing XX%. amount the that expectations. This will closer increase spending by project, and ongoing has from of now see to million is you'll while own capital of And Power the grown year's Capex incorporated levels, upgrading lift to respond forecast, to much BXH of a the for notable which $XXX continue per higher the were year to the of needs area to is few

implementing spending As busy next over we the you the capital infrastructure can plans. very development few expect our years see,

at the Complex refreshed over the that XX, projected Canyon new a Energy to includes XXXX. grant a which Regulatory for Hells total provide could assumption we next Turning Commission the five-years, in license Federal rate-based Slide look system our the

notice determine like increase of next including efforts mentioned, that cases cumulative an filing You the A can will At those forecast a rate mind slide Idaho illustrate cost required Power assessment, factors, case to Lisa Keep the Idaho filing is or timing X.X%. variety a file Lisa see previously that Oregon the application. rate that be customer the approaching, our to rate least could doing Power's we while of as average in base about years, of on we're an rate with XX Idaho this mentioned. ongoing. file before capital and of management, growth the Commission, point result file time billion in of in intent general general a why general growth a at could in days our believe to rate and over Idaho that $X.X case five

we strong ratings credit Capex balance As maintain anticipated to Power Idaho sound our forecast, increased sheets, and and IDACORP look to liquidity. including continue investment-grade

facilities was as mostly related Slide time, well items middle end tax on flows capital We the Slide such XXXX credit Idaho us under issuing position shown our growing operating were capital our than expect of enable XX. this anticipate to equity expenditures XXXX, that that outside XX. million XXXX is as and flows to compensation plan and are shareowners. to XXXX. working any and about as liquidity dividend Cash IDACORP’s in the operations fund Power's of At in of our deliver funding from of to IDACORP $XX as cash of in included liquidity on don't we payments, the fluctuations. plans lower typical decrease and available The

see capital at structure also the slide targeted can You on XX-XX Idaho we that Power.

capital was our fund along with with projects to plan our our existing regulatory worked we and the upcoming target. those cash least access we Overall, cash, to to from closer the debt, support mechanisms. of finance liquidity to As at annual execution ratio flow operating primarily plans, adjustment expected until

capital backstop substantial expected operating and near-term As to our needs. a

happy believe current on issuances. flexibility With profile significant are Steve, bond call we As addition opportunity others current Lisa, questions. first and heavy and maturities capital you'll that, I our debt provide debt and windows on XX, see Slide of in and to our answer equity the that structure, to for your

is to asked question. mute question-and-answer before function you Instructions] the ensure off ready like to that now [Operator turned are remind your begin you session. to just We your We'd

And many America. first time Instructions] as Bank permits go basis. Please will our of from come a Julien questions first-come take will of [Operator on Dumoulin-Smith question We as ahead.

Hi, Julien.

want leaving Thank to Steve, Wow. Absolutely. your Hey, on to can comments afternoon high the remarks point case Maybe we had. year timing. you a the incredible on I It's guys about to merits factors an top-notch. us a capital, just on this? you. Wow, in that understand the talk little actually, that you're tax here. the I the else of in note bit relative about? of back What just but rate mean over else? credits? What are team. really timing? more what what go few Again, thinking here Obviously looms driving it timing could next years? Is be

it watching I what pressure of carefully. are financing start we're then with I'll our things are increases of mentioned, that there. There's a things coming the that Certainly, to Steve, and that, our would lot and else materials for very cost hand capital can and together you changing that wage off you the Steve. add? plan, that

share do that that say the can would -- you go our can it's make it now that gone had it's things prefer more was expenditure. more happy the not to customer. are little all this if without to Yes, we are I we and we think the a had We that looming substantially other expected through a successful Julien, to we having and and We I pandemic of really return year, anyway. pretty that that been of that. and we had capital And deliver think a do owners to run analysts maybe O&M what earnings but more the with expense

as time, we bring too been we're And across. if it point it's this both to is handle going cleaner that looking you things these have more an without put put can and to as we that we've will really we like keep that. put when on look it's some be also that get evaluating hold that. line but It's have year, some required we're there point we do on a can are And so, that new we said can that having is year to a convergence new really what in we're to still Canyon too hopeful goal things we'll dollars will be feeling these go we out just -- a the line going challenges, and at just not be we out for can some on have the that that closer to to that good see to be customer, we growth the earnings so result closer. looming We've watching those paid of many get Things in, shareowners And to for Health every future. that and we for and do get resources, there. we far at

go general. So, something with wire going item is and in the to be that that trips we come need to the

think long-term can ask trajectory bit culminate you higher of you a the you actually on How if you time Capex. obviously different lot update a pieces formal thinking you lot the about in this around a moving, a do that. You've for little At another here? Maybe question got more in target? the further. I these investments. Thank it. EPS are various Got about if But point getting visibility what get perhaps longer-term

a Yes, you about Those we customers we've the we But you'll in, had deal shifts of big over customer right most talked earnings I the that base on just way more the that us step-up I little look quickly think how driving I you'd be will will would announced. is the work now. say, way growth new that 'XX one as in happens, see size fact in was in industry. and with as put giving likely then done a that out you on this control little if it pretty and going it it the future a then can on and and projection think bigger capital. less and you'll Lisa in better the formulating rate that roll much I was when to and are that's take a mean, company we're projections, those I you a predict our the the bit in switch these and based where be to you've because that you get are a shift from and future how on XXXX, It think better this way growth like. past

equity. 'XX outlook multi-year on full-year Super you across just the prepared remarks cool. rather here. Last quick but detail just in comments know than the made some the there, I or

debt be helps give But positive we way, each think we there Yes. that, I that. had the we've way that we on really would capital debt. to that to options growth more room. think which to little best have I Brian do year us we'll the the so to need with that think issue have to can lowest going the with we some my go us little we both, results all out some what's be would that. good And point actually to When concurs get room I but it's earnings cost first do before is the and just say a that, do a assessing do years bit funded out with we have we're room

You metric targeting, them? that? the you're that, emphasis with on is say think as What's what about estimate you the just Yeah. funding

be target, mainly rate around a and to in XX-XX. we will but get Were I case, we when think, probably

you is is partly put collection of haven't we're our out, debt, assets, our Our lines if assets gas all but some, slower because we really our or than I FFO non-production. think from slightly have with long always that actually

to line we we be But sit things that optimal there. XXX time. about paid a cash think We feel we'll It's them probably rig back where have flows equity wanting more say, where debt in to that slows years, our watching and getting around for place I assets that have been get but strong that really and really it long and you're the when we when planning. very locked keep to production That's in approaching XX-XX. our down needless good ratio around over so

Excellent. Right.

eventually. other tied two there'll one those So sounds like to be next up the

Excellent.

Again, patience. Thank it team. congratulations, Steve and Awesome, guys. there. your I'll for leave you

Thanks, Julien.

Thanks, Julien.

Thank you.

question ahead. from Sidoti. next our Please Russo will go And come with Brian

Can you me? hear Hi, good afternoon.

Yes, we you. can hear

Hey.

development timeline? also Boardman And we're final XXXX, is permit in clarity Idaho the a there's to order Siting contested on some Facilities half the from you then some think Energy there conditional if still just in the I we're Hemingway add think maybe regulatory expecting use Council on that kind there. ongoing. Oregon second still just of then on a I side, in litigation case the And awaiting line that's of So or pending the timeline could the in

address just well. could you as that If

Sure.

towards you. that correct that to process over at the to to Adam, end of that then we're year. end expecting of the -- I'll hand complete -- You're I'll And have this

doing We're well. out have activities geotech hope design next months. XX% to middle out who will work which correct. of builders of doing line. couple our Yeah. in an That's we here RFP We're coming the as well, pre to We've -construction as the construct had in

good too. making we're the to at progress state permitting, another side pre addition -construction in So,

eye when I you we of west. working think With It's kind be you an Gateway, that. by its core, the think being I CUPs, way Gateway to on referring might east to built keep continue a mainly. specific West mentioned

in place. Resource We But our after that being continue it as BXH Integrated put is a shows would up it come benefit. solid probably when Plan to into

to for about asking you make understood, sure with working CPCN might Brian. -- he Are the I Hemingway? And

the Yeah. What's also approvals? the -- next regulatory

CUP. Sorry. I thought you said

Yeah. CPCN. So

a the towards this year. permitting of As would get the soon through, CPCN as we process hopefully, end we state file,

both With Idaho Oregon. and

With both Oregon, and yeah. Idaho

And that on? you've a on BPA, sign to incremental is of million that earned incremental Great. agreement that with the also revenue rate relative base then $XXX and margin Hemingway, you're to to the return Okay. transmission Boardman likely

ahead, Ken. Go

become paying it'll million. so with retail bifurcated, be customers portion portion revenue the the of then associated $XXX and would paying a Brian, of requirement that a BPA

Understood. Got Okay. it.

forecast, and Just on flat your over Basically, to in growth that O&M of XX inflationary in annual relatively convey, that actually made guidance? that incorporate the forecast. in the O&M you were comfortable the flat in, what the years assumptions O&M environment with made we're

start. true our for laser-focused more everybody serve about customers. have finding we in is, it's that to ways industry. as It for in increases costs that seeing But our just and is It's we I'll of decade. been out efficiencies and something certainly than how industry take whatever are Well, we're certainly looking really cost on a you

our an we to continue not we to again, capacity balance these do try with increased as But infinite So, there's management to cost costs. mentioned, that.

So, add? case. we're I you rate can that Anything going then guys that a to everything and think one to the triggers lead would we do would that be will -- of us part

The might have as maintain. the Brian, to only I to has more, here focused up just floats than grown we've add more is been growth thing we

on a you the of based of puts stress on of out a is so, to there, But that increase well. the we're pressure bit little sometimes just which the thing. little as a good And O&M in of customers amount at day, bit end that start and see seeing O&M

is point for your or sales has floor guidance. in conservative been that should then move trends, on versus third just year, that there. the many year the the wondering, this the guidance what It end now little And initial relatively same band? the range just for we you as increases. Just sharing for guidance a it Just seems and through by is does quarter the -- that years look book type bit a the X.X of a XX% it I'm update is more and insight bit costs? weather just

Again, I'll start here.

sort of above. the it's of think all I

deliver see watching quarter say -- we watching anything our I say like to we're to We don't we're do on as conservative are what third I quarter would weather. and tend we so sure. has those our growth, for the that's We us. addition is years, for things. how fee, front so going It's unique watching last be sort of year of prices biggest in but businesses last over been to we'll the few too in historic growth particularly

regular Okay. Got there it. -- And is any

just I to -- might add Brian,

Steve. Yes,

we of we you years that reset. bottom that and full finished if $X.XX above -- -- haven't at opened -- XX finish, because that at really any you row growth year's last look we're hard robust both kind quite at XXX look and the the years strong we look the a had up we're we so have don't over a you at in if doesn't we're to grow as but when it's XXX, guidance, mind of the It had where to a said we top.

are modest that probably moved a we we like so, a last of at little couple year, up guidance And times. the start but, just

we I think year. into then it we it and the later moved we bit as a got in tightened summer,

is and good for and that have opportunities look we that we'll we can we pass what those hope, news that's So, on.

then there recent equity Is ratio? equity on And just higher you've Understood. XX? any there in to where outcomes any appetite ratio regulatory of structure regulatory cap a been any target regulatory the is higher XX-XX a regulatory maintain granted precedent than

we don't all of recent lot have activity a Brian, to. at whole point

our XX% We the have seen get some over peers slightly in equity. of

So, around I be be and don't bit and that to longer-term I do good would directionally what be off. it. know -- a It's just if in remember marker it a planning is XX-XX impossible that we think try little and we'll that

over very much. Steve, of you Thank the years. great. Okay, the Best luck. for help you thank

Brian, lot, together. a our enjoyed time I've really Thanks bet. You

Thanks, Brian.

with Chris next come Williams. Siebert Our Ellinghaus from question will

everybody. Hi

Chris. Hi,

How are you?

Chris. Hi,

you, hope some timeline, as Brian in about Congratulations Steve. that at your time this equity? Capex I Can Brian, that slide assume the you you do looking horizon enjoy do discussion I and as retirement. this especially structure. cap equity imagine far and to your Buchanan this within

mentioned next on there that do today. structure a if or bit have again, in pretty to to sizable and a room at target use the XX-XX going in a we XX-XX I projects that cost try where debt that quite some possibility bit you that is window side, We lower headroom think to into comes one But compared the room look few thing the reiterated debt we we're that have There do our mix. are capital quite of and Steve equity cap first. years, certainly.

and you now? capacity about philosophy needs. the Sure. talk additional talked about versus Can company's Lisa, ownership what the you right is just PPAs

really believe being -- serve certainly the much would longer-term where those some I regulated We investments is can more the survive obligation you to built the just make like to because of that's business Sure. we the own we're monopoly the At as can, to entity, base it model having this system case. we extreme. always that, works and merchant that for-profit and incentives we so not not that as at just of but and taxes look can

to way place bit above and of the where pull a will, very I said that, Now they of services that, our it PPAs for not so in portfolio, people haven't a it that all contract learning having and little to that want to hard cases but out make in our to really where to so if our we think have portfolio, careful. trying want don't we're you they that thing, I have the experienced that. yet. do we're hard RP a we're shifting in think said all And then on that changes had then and decide We've bid an system because one they operate they that to it's and and done the history, haven't you really and our into based that's we system we clean maybe might we're need build as finally,

run way to capability to and having to, that in our so And focus reliability keep we ownership system, need keep the and cost the down.

that we're I together viewing it. think is of how all

version fulfill that is it, of short is the think to an there to serve. advantage the So owning long-version above, can our all obligation we utility is we so

do mix whatever? like little do you talked thought future as sort want? guess, strategically for stopgap capacity the about You types and sort like contracts measure. What of solar, wind, thoughts resources future conversions process sort What bit of you your about gas Meta your do your batteries, looking additions envision of I of skew a a are what

portfolio are removing again, we think up that Well, by our I forward in coal. moving cleaning

got shorter-term don't about Meta reactors skewed XXX% the this when that how solar is to else. when we we of all to interesting, we're need their available what's and But sort goal. getting of now. could you talked very view small interesting. think there's hydrogen are there having And is storage. it So, anything feel be way modular XX%, by argue something XX% about something We before get that and towards think there, do I I move like what that you have requirements and it to enhances do our

is I be short and some the to other -- going wind duration answer. think shorter have I and to solar batteries full think duration are don't there that technology.

affordable. evaluate got lower us what we've point carbon of footprint that portfolio. time your system that and our to keep our reliable the helps to and In meantime, really So, conversion, in the gas fits to

just great Anything that look. transition that's example add, I this So, think Adam? is a to you would of how going

diversified energy transmission pretty that part of projects that being how continue to just well. permitted close No, to something are and to to as through we focus think on two big is we a special bring addition our the transmission going we're having and that that. well as on is Obviously, to in us is diversifying industry

point, Great that. Adam. Thanks for

storage expectation technologies well? you You thinking that talked that part at, over the you're looking time, we'll Are of XXXX plus. about the what that long of longer fill stretch window, duration long as in as

Absolutely. Absolutely.

start I the XX-XX, timeframe. to think a little time into XX-XX in bit dropping it look winter is to when we'll see out you start

when You longer you storage. duration need to know, have that's really

And hopeful progress will this that technologies there. so, get we're

Sure.

envision adjustments approach Lastly, as to got next rate that about case, on general start have might through you your to thoughts you that case? you mechanism how any

through. adjustments Ken, went you down And, there? We some have just that some we have

is rate still I agreed have to through have for available. -- next carries the ADIPEC credit case, and the actually Well, we if the

we're just to we'll save them if So, mechanism forward. that able move

FCA we power put into pick supply us. would costs be also new into updated, they the have move cost have would but forward, The would mechanisms other if there that it. new PCA fixed have will would

occur movements are in those rate all that So a case. natural

you. luck to Okay, Best of great. Thanks.

much, very you Chris. Thank

to will back I [Operator Ms. question-and-answer Instructions] further that the session turn today. conclude no And the with conference you. questions, for will Grow,

evening, to your much. on all you upcoming and to the IDACORP hope depending a good next over at afternoon I very weeks. you that I are. have in and where for to Thank interest you you continue continued you all we or health of several wish some plan look Thank the attend conferences forward seeing great we you

you and that And for conference. conclude disconnect. will now you your today's may Thank participation