Project opens solar generation to Washington electric customers.

May 12, 2015 : Avista continues to plan and adapt for the future by announcing an additional mitment to renewable energy through a partnership with Colorado-based munity solar developer Clean Energy Collective (CEC). Through this partnership they plan to construct a 425 kW munity- solar PV array to be built at the Avista Boulder Park property located at Barker and Trent in the City of Spokane Valley.

The facility will be prised of a centrally located solar array optimally positioned for the greatest production of renewable energy. Individual residents and businesses can participate in the array through a simple subscription process and receive credits on their bill for the power produced. The program details are explained in Avista's April 27, 2015 filing with the Washington Utilities and Transportation Commission, the program is subject to mission approval.

Avista expects the 1,512 panel installation to allow upwards of 500 residential and mercial customers to participate. The Avista Community Solar program will be open to all Avista Washington electric retail customers. Residential and non-residential customers who rent or lease their properties or those with shaded roofs now have an option to buy solar. The program allows each customer to subscribe to one to four panels, but not more than what would produce bill credits that are over 100% of their total prior year's billing. This model allows Avista Customers to participate in solar and receive bill credits to offset their energy use - all while helping the environment and supporting Washington's renewable energy initiatives.

Demand is expected to be high. To ensure equal opportunity and access, Avista will conduct a lottery with interested parties enrolling between June 1st and July 17th. Participant allotment notification will take place by August 7. To enroll in the lottery, visit avistautilities./munitysolar on June 1st.

The one-time enrollment fee of $1,400 per panel covers the cost of one panel and ongoing maintenance until the program ends in June 2020. Through CEC's RemoteMeterTM software participants will be able to view production from their panel and Avista will use the data to credit customers for the power and incentives from their panels directly on their utility bill. The $1,400 per panel enrollment cost subscribes customers to the program and ensures that the customer receives bill credits for all available WA state renewable energy production incentives (as shown in the chart below.)

Enrollment Cost and Total Estimated Cumulative Bill Credits

Number of Panels

Total Enrollment Cost

Total estimated* bill credits through June 2020

1

$ 1,400

$ 1,800

2

$ 2,800

$ 3,600

3

$ 4,200

$ 5,400

4

$ 5,600

$ 7,200

* Estimate based upon reasonable equipment downtime expectations and solar generation estimate which impacts bill credit amounts.

"We're pleased to partner with CEC to bring Community Solar to Avista's Washington electric customers," said Kelly Magalsky, Solar Initiatives Manager "this program is an innovative way for many people to e together to build one larger solar array, which is positioned at an optimal location, and to take part in the benefit of the economies of scale."

Other renewable program options for Avista customers to participate in include:

Roof Top Solar is for customers interested in owning their own system located on their property. An easy way to find out if their home is a good candidate for solar would be to start with the solar estimator tool located at avistautilities./solarestimator

Buck-A-Block, since 2002 Avista has offered customers a choice to offset the environmental impacts of their energy us through Buck-A-Block. For as little as $1.00 customers can purchase a 300 kilowatt hour "block" of renewable energy credits from certified renewable energy generation. For more information on this program visit avistautilities./buckablock

About Avista Corp.

Avista Corp. is an energy pany involved in the production, transmission and distribution of energy as well as other energy-related businesses.Avista Utilitiesis our operating division that provides electric service to 370,000 customers and natural gas to 330,000 customers. Its service territory covers 30,000 square miles in eastern Washington, northern Idaho and parts of southern and eastern Oregon, with a population of 1.6 million. Alaska Energy and Resources Company is an Avista subsidiary that provides retail electric service in the city and borough of Juneau, Alaska, through its subsidiaryAlaska Electric Light and Power Company. Avista stock is traded under the ticker symbol "AVA." For more information about Avista, please visitwww.avistacorp. .

This news release contains forward-looking statements regarding the pany's current expectations. Forward-looking statements are all statements other than historical facts. Such statements speak only as of the date of the news release and are subject to a variety of risks and uncertainties, many of which are beyond the pany's control, which could cause actual results to differ materially from the expectations. These risks and uncertainties include, in addition to those discussed herein, all of the factors discussed in the pany's Annual Report on Form 10-K for the year ended Dec. 31, 2014 .

SOURCE: Avista Corporation

About Clean Energy Collective

Clean Energy Collective (CEC) is the nation's leading developer of munity solar solutions. CEC pioneered the model of delivering clean power-generation through large-scale solar PV facilities accessible to all utility customers. Since establishing the first munity solar garden in the country in 2010 near El Jebel, Colorado, CEC has built or has under development more than 90 munity solar projects with 18 utility partners across 8 states, representing 100 MW of munity solar capacity. www.easycleanenergy.


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