<DOCUMENT>
<TYPE>EX-25
<SEQUENCE>6
<FILENAME>exhibit25.txt
<DESCRIPTION>EXHIBIT 25
<TEXT>

                                                                      EXHIBIT 25


                                                                       CONFORMED

          -------------------------------------------------------------

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                           ---------------------------

                                    FORM T-l

                            STATEMENT OF ELIGIBILITY
                    UNDER THE TRUST INDENTURE ACT OF 1939 OF
                   A CORPORATION DESIGNATED TO ACT AS TRUSTEE

                           ---------------------------

          CHASE MANHATTAN BANK AND TRUST COMPANY, NATIONAL ASSOCIATION
               (Exact name of trustee as specified in its charter)

CALIFORNIA                                             94-2926573
(State of incorporation                                I.R.S. employer
if not a national bank)                                identification No.)

101 California Street, Suite #2725
San Francisco, California                              94111
(Address of principal executive offices)               (Zip Code)


                           ---------------------------
                               Avista Corporation
               (Exact name of obligor as specified in its charter)

WASHINGTON                                             91-0462470
(State or other jurisdiction of                        (I.R.S. employer
incorporation or organization)                         identification No.)

1411 East Mission Avenue
Spokane, Washington                                    99202
(Address of principal executive offices)               (Zip Code)

                           ---------------------------
                       9.75% Senior Notes due June 1, 2008
                       (Title of the indenture securities)
                       ----------------------------------


                                       1
<PAGE>


                                     GENERAL

ITEM 1.   GENERAL INFORMATION.

          Furnish the following information as to the trustee:

     (a)  Name and address of each examining or supervising authority to
which it is subject.

          Comptroller of the Currency, Washington, D.C.
          Board of Governors of the Federal Reserve System, Washington, D.C.

     (b)  Whether it is authorized to exercise corporate trust powers.

          Yes.

ITEM 2.   AFFILIATIONS WITH THE OBLIGOR.

          If the obligor is an affiliate of the trustee, describe each such
affiliation.

          None.

ITEM 4.   TRUSTEESHIPS UNDER OTHER INDENTURES

     a)   Title of the securities outstanding under each such other indenture.

          $66,700,000 City of Forsyth, Montana, Pollution Control Revenue
Refunding Bonds (Avista Corporation Colstrip Project) Series 1999A issued under
Indenture dated as of September 1, 1999.

          $17,000,000 City of Forsyth, Montana, Pollution Control Revenue
Refunding Bonds (Avista Corporation Colstrip Project) Series 1999B issued under
Indenture dated as of September 1, 1999.

     b)   A brief statement of the facts relied upon as a basis for the claim
that no conflicting interest within the meaning of Section 310 (b) (1) of the
Act arises as a result of the trusteeship under any such other indenture,
including a statement as to how the indenture securities will rank as compared
with the securities issued under such other indenture.

          The Trustee is not deemed to have a conflicting interest within the
meaning of Section 310 (b) (1) of the Act because the indenture securities
referenced in (a) above (the "Prior Securities") are not in default and rank
equally.

ITEM 16.  LIST OF EXHIBITS

          List below all exhibits filed as a part of this Statement of
Eligibility.

     1.   Articles of Association of the Trustee as now in effect (see
Exhibit 1 to Form T-1 filed in connection with Registration Statement No.
333-41329, which is incorporated by reference).


                                       2
<PAGE>


     2.   A copy of the Certificate of Authority of the Trustee to Commence
Business (See Exhibit 2 to Form T-1 filed in connection with Registration
Statement No. 333-41329, which is incorporated by reference).

     3.   Authorization to exercise corporate trust powers (Contained in
Exhibit 2).

     4.   A copy of the existing By-Laws of the Trustee (see Exhibit 4 to
Form T-1 filed in connection with Registration Statement No. 333-41329, which is
incorporated by reference).

     5.   Not applicable.

     6.   The consent of the Trustee required by Section 21(b) of the Act
(See Exhibit 6 to Form T-1 filed in connection with Registration Statement No.
333-41329, which is incorporated by reference).

     7.   A copy of the latest report of condition of the Trustee, published
pursuant to law or the requirements of its supervising or examining authority.

     8.   Not applicable.

     9.   Not applicable.


                                    SIGNATURE

     Pursuant to the requirements of the Trust Indenture Act of 1939, the
Trustee, Chase Manhattan Bank and Trust Company, National Association, a
corporation organized and existing under the laws of the State of California,
has duly caused this statement of eligibility to be signed on its behalf by the
undersigned, thereunto duly authorized, all in the City of San Francisco and
State of California, on the 29th day of May, 2001.

                                        CHASE MANHATTAN BANK AND TRUST COMPANY,
                                        NATIONAL ASSOCIATION


                                        By   /s/Chii Ling Lei
                                          -------------------------------------
                                             Chii Ling Lei
                                             Assistant Vice President


                                       3
<PAGE>


EXHIBIT 7.     REPORT OF CONDITION OF THE TRUSTEE.
--------------------------------------------------------------------------------


CONSOLIDATED REPORT OF CONDITION OF
                                   Chase Manhattan Bank and Trust Company, N. A.
                                   ---------------------------------------------
                                                  (Legal Title)

LOCATED AT     1800 Century Park East, Ste. 400  Los Angeles,  CA     90067
           ---------------------------------------------------------------------
                           (Street)                (City)   (State)   (Zip)

AS OF CLOSE OF BUSINESS ON                March 31, 2001
                           ---------------------------------------------
================================================================================
ASSETS  DOLLAR AMOUNTS IN THOUSANDS

1.   Cash and balances due from depository institutions (from Schedule RC-A):
       a. Noninterest-bearing balances and currency and coin (1)           2,438
       b. Interest bearing balances (2)                                        0
2.   Securities:
       a. Held-to-maturity securities (from Schedule RC-B, column A)           0
       b. Available-for-sale securities (from Schedule RC-B, column D)       671
3.   Federal Funds sold and securities purchased agreements to resell     60,850
4.   Loans and lease financing receivables (from Schedule RC-C):
       a. Loans and leases held for sale                                       0
       b. Loans and leases, net of unearned income      471
       c. LESS: Allowance for loan and lease losses                            0
       d. Loans and leases, net of unearned income and
          allowance (item 4.b minus 4.c)                                     471
5.   Trading assets (from Schedule RC-D)                                     N/A
6.   Premises and fixed assets (including capitalized leases)                217
7.   Other real estate owned (from Schedule RC-M)                              0
8.   Investments in unconsolidated subsidiaries and associated companies
     (from Schedule RC-M)                                                      0
9.   Customers' liability to this bank on acceptances outstanding              0
10.  Intangible assets
       a. Goodwill                                                            21
       b. Other intangible assets (from Schedule RC-M)                       560
11.  Other assets (from Schedule RC-F)                                     2,460
12.  TOTAL ASSETS (sum of items 1 through 11)                             67,688


---------
(1)  Includes cash items in process of collection and unposted debits.
(2)  Includes time certificates of deposit not held for trading.


                                       4
<PAGE>


LIABILITIES

13.  Deposits:
       a. In domestic offices (sum of totals of columns A and C from
          Schedule RC-E)                                                  33,383
            (1) Noninterest-bearing (1)                                   10,919
            (2) Interest-bearing                                          22,464
       b. In foreign offices, Edge and Agreement subsidiaries, and IBF'
            (1) Noninterest-bearing                                          N/A
            (2) Interest-bearing                                             N/A
14.  Federal funds purchased and securities sold under agreements to
     repurchase                                                                0
15.  Trading liabilities (from Schedule RC-D)                                  0
16.  Other borrowed money (includes mortgage indebtedness and obligations
     under capitalized leases) (from Schedule RC-M):                           0
17.  Not applicable
18.  Bank's liability on acceptances executed and outstanding                  0
19.  Subordinated notes and debentures (2)                                     0
20.  Other liabilities (from Schedule RC-G)                                6,303
21.  Total liabilities (sum of items 13 through 20)                       39,686
22.  Minority interest in consolidated subsidiaries                            0

EQUITY CAPITAL

23.  Perpetual preferred stock and related surplus                             0
24.  Common stock                                                            600
25.  Surplus (exclude all surplus related to preferred stock)             13,169
26.  a. Retained earnings                                                 14,233
     b. Accumulated other comprehensive income (3)                             0
27.  Other equity capital components (4)                                       0
28.  Total equity capital (sum of items 23 through 27)                    28,002
29.  Total liabilities, minority interest, and equity capital
     (sum of items 21, 22, and 28)                                        67,688

MEMORANDUM
     To be reported with the March Report of Condition.
     1.   Indicate in the box at the right the number of the statement below
          that best describes the most comprehensive level of auditing work
          performed for the bank by independent external auditors as of any date
          during 2000                                                          2

---------
(1)  Includes total demand deposits and noninterest-bearing time and savings
     deposits.
(2)  Includes limited-life preferred stock and related surplus.
(3)  Includes net unrealized holding gains (losses) on available-for-sale
     securities, accumulated net gains (losses) on cash flow hedges, and minimum
     pension liability adjustments.
(4)  Includes treasury stock and unearned Employee Stock Ownership Plan shares.

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