EXHIBIT 12

AVISTA CORPORATION

Computation of Ratio of Earnings to Fixed Charges

Consolidated

(Thousands of Dollars)

	Years Ended December 31
	2010			2009			2008			2007			2006
Fixed charges, as defined:
Interest charges	$	72,010		$	61,361		$	74,914		$	80,095		$	88,426
Amortization of debt expense and premium - net		4,414			5,673			4,673			6,345			7,741
Interest portion of rentals		2,027			1,874			1,601			1,612			1,802
Total fixed charges	$	78,451		$	68,908		$	81,188		$	88,052		$	97,969
Earnings, as defined:
Pre-tax income from continuing operations	$	146,105		$	134,971		$	120,382		$	63,061		$	114,927
Add (deduct):
Capitalized interest		(298	)		(545	)		(4,612	)		(3,864	)		(2,934	)
Total fixed charges above		78,451			68,908			81,188			88,052			97,969
Total earnings	$	224,258		$	203,334		$	196,958		$	147,249		$	209,962
Ratio of earnings to fixed charges		2.86			2.95			2.43			1.67			2.14