IX. Interim Rate Relief

As discussed above, we find that an interim increase is not appropriate at this time. However, given the uncertainty regarding PacifiCorp's 2002 net power costs, we will provide PacifiCorp with added assurance of cost recovery. We will allow PacifiCorp to establish a tracking account for its 2002 net power costs. Should those costs be greater than $425 million (PacifiCorp's 1999 expense level less the $7.4 million increase it seeks herein), PacifiCorp may seek recovery of the amount over $425 million in a future application. Any such request shall be subject to a limit of the $7.4 million it has sought herein.

This decision should be effective immediately in order to provide PacifiCorp with an opportunity to earn a more reasonable return.