[Federal Register Volume 59, Number 188 (Thursday, September 29, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-24126]


[[Page Unknown]]

[Federal Register: September 29, 1994]


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DEPARTMENT OF ENERGY
Alaska Power Administration

 

Eklutna Project--Notice of Order Confirming and Approving an 
Adjustment of Power Rates on an Interim Basis

AGENCY: Alaska Power Administration, DOE.

ACTION: Notice of adjustment of power rates--Eklutna Project, rate 
schedules A-F11, A-N12, and A-W3.

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SUMMARY: Notice is hereby given that the Deputy Secretary approved on 
September 14, 1994, Rate Order No. APA 12 which adjusts the present 
power rates for the Eklutna Project. This is an interim rate action 
effective October 1, 1994, for a period of 12 months. This rate is 
subject to final confirmation and approval by the Federal Energy 
Regulatory Commission (FERC) for a period of up to five years.

FOR FURTHER INFORMATION CONTACT: Mr. Lloyd Linke, Director, Power 
Division, Alaska Power Administration, 2770 Sherwood Ln., Suite 2B, 
Juneau, AK 99801, (907) 586-7405.

SUPPLEMENTARY INFORMATION: On May 3, 1994, the Alaska Power 
Administration (APA) published a Federal Register notice of its 
intention to adjust current power rates for the Eklutna Project for a 
period of up to five years. The present rates are 17 mills per 
kilowatthour for firm energy, 10 mills per kilowatthour for non-firm 
energy, and 0.3 mills per kilowatthour for wheeling. These rates were 
approved by FERC Order, Docket No. EF91-1011-000 issued January 25, 
1991, for the period October 1, 1990, through September 30, 1994.
    Based on comments received during the public information process, 
APA now proposes that rates be adjusted beginning October 1, 1994, for 
a period of up to five years. The new rates would be 18.7 mills per 
kilowatthour for firm energy, 10 mills per kilowatthour for non-firm 
energy, and 0.3 mills per kilowatthour for wheeling. The Federal 
Register notice also indicated APA's intention to seek interim approval 
of the proposed rates by the Deputy Secretary of Energy pending final 
confirmation and approval of the rates by FERC.
    Following review of APA's proposal within the Department of Energy, 
on September 14, 1994, I approved on an interim basis Rate Order No. 
APA-12 which adjusts the present Eklutna Rates for period of up to five 
years beginning October 1, 1994, subject to final confirmation and 
approval by FERC.

    Issued at Washington, DC on September 14, 1994.
William H. White,
Deputy Secretary.
    In the Matter of: Alaska Power Administration--Eklutna Project 
Power Rates.
Rate Order No. APA-12

Order Confirming and Approving Power Rates on an Interim Basis

September 14, 1994.
    This is an interim rate action subject to review and approval of 
the Federal Energy Regulatory Commission. It is made pursuant to the 
authorities delegated in DOE Delegation Order No. 0204-108, Amendment 
No. 3 to that Order.

Background

    The Eklutna Project was completed by the U.S. Bureau of Reclamation 
in 1955. The Alaska Power Administration has operated and maintained 
the project since 1967. The Eklutna Project is a single-purpose project 
comprised of a dam, reservoir, 30,000-kw hydroelectric plant, 45 miles 
of 115-kV transmission lines, and three substations serving the 
Anchorage and Palmer areas. All project costs are allocated to power. 
The entire output of the project is under contract to three preference 
customers in the Anchorage-Palmer area on a take-or-pay basis.
    Rate Schedules A-F10, A-N11 and A-W2 now in effect for the Eklutna 
Project were confirmed and approved by order of the Federal Energy 
Regulatory Commission, Docket No. EF91-1011-000 issued January 25, 1991 
for a period ending September 30, 1994.

Discussion

System Repayment

    Studies prepared by the Alaska Power Administration, as required by 
DOE Policy No. RA 6120.2, demonstrate that the present firm rate must 
be increased to provide sufficient revenue to meet requirements for the 
rate period and meet project repayment criteria by the end of the 
repayment period. On that basis, the Alaska Power Administration 
proposes an adjustment of the firm rate for a period not to exceed five 
years. The Administrator of Alaska Power Administration has certified 
that the new rates are consistent with applicable law and that they are 
the lowest possible rates to customers consistent with sound business 
principles.

Environmental Impact

    Alaska Power Administration has concluded with Departmental 
concurrence that this rate action will have no significant 
environmental impact within the meaning of the Environmental Policy Act 
of 1969. It is the Alaska Power Administration's determination that the 
rate adjustment does not exceed the rate of inflation and therefore is 
categorically excluded from the NEPA process as defined in 40 CFR 
1508.4 and is listed as a categorical exclusion for DOE in 10 CFR 1021, 
Appendix B4.3. The proposed action is not a major Federal action for 
which preparation of an Environmental Impact Statement is required.

Availability of Information

    Information regarding this rate action, including studies and other 
supporting material, is available for public review in the offices of 
the Alaska Power Administration, 2770 Sherwood Lane, Suite 2B, Juneau, 
Alaska.

Public Notice and Comment

    Opportunity for public review and comment on the rate action was 
announced by notice in the Federal Register on May 3, 1994, and in 
three paid advertisements of newspapers in the market area on May 1, 5, 
and 8, 1994. The notice provided for a comment period of 90 days 
following publication in the Federal Register. A public information and 
comment forum was scheduled in Anchorage, Alaska on June 14, 1994, with 
public comment period ending August 2, 1994. The public information and 
comment forum was canceled on June 7, 1994, due to lack of interest, in 
accordance with 10 CFR 903.15(b), 10 CFR 903.15(c) and the Alaska Power 
Administration's prior notices of the public forum.

Submission to FERC

    The rates herein confirmed, approved, and placed in effect on an 
interim basis, together with supporting documents, will be submitted 
promptly to the Federal Energy Regulatory Commission (FERC) for 
confirmation and approval on a final basis.

Order

    In view of the foregoing and pursuant to the authority delegated to 
me by the Secretary of Energy, I hereby confirm and approve on an 
interim basis, effective October 1, 1994, attached Wholesale Power Rate 
Schedules A-F11 A-N12, and A-W3. These rate schedules shall remain in 
effect on an interim basis for a period of 12 months unless such period 
is extended or until the Federal Energy Regulatory Commission confirms 
and approves them or substitute rate schedules on a final basis.

    Issued at Washington, DC, this 14th day of September 1994.
William H. White,
Deputy Secretary.

Schedule A-F11

UNITED STATES

DEPARTMENT OF ENERGY

Alaska Power Administration

Eklutna Project, Alaska

Schedule of Rates for Wholesale Firm Power Service

Effective:
    October 1, 1994 for a maximum of five years.
Available:
    In the area served by the Eklutna Project, Alaska
Character and Conditions of Service:
    Alternating current, sixty cycles, three-phase, delivered and 
metered at the low-voltage side of substation.
Monthly Rate:
    Capacity charge: None
    Energy charge: All energy at 18.7 mills per kilowatt-hour
Minimum Annual Capacity Charge:
    None
Billing Demand:
    Not applicable
Adjustments:
    For transformer losses: If delivery is made at the high-voltage 
side of the customer's substation but metered at the low-voltage 
side, the meter readings will be increased 2 percent to compensate 
for transformer losses.
    For power factor: None. The customer will normally be required 
to maintain power factor at the point of delivery of between 90 
percent lagging and 90 percent leading.
    For auxiliary power service: Auxiliary power supplies may be 
used in conjunction with the service hereunder if the parties 
hereto, prior to the Contractor's utilization of any such auxiliary 
power supply, have entered into a written operating agreement 
defining the procedure by which the amount of power and energy will 
be determined.

Schedule A-N12

UNITED STATES

DEPARTMENT OF ENERGY

Alaska Power Administration

Eklutna Project, Alaska

Schedule of Rates for Wholesale Nonfirm Power Service

Effective:
    October 1, 1994 for a maximum of five years.
Available:
    In the area served by the Eklutna Project, Alaska
Applicable:
    To firm power customers normally maintaining generating 
facilities or other sources of energy sufficient to supply their 
requirements.
Character and Conditions of Service:
    Alternating current, sixty cycles, three-phase, delivered and 
metered at the low-voltage side of substation.
Monthly Rate:
    Capacity charge: None
    Energy Charge: All energy at 10.0 mills per kilowatt-hour
Minimum Charge:
    None
Billing Demand:
    Not applicable
Adjustments:
    For character and conditions of service: None
    For transformer losses: If delivery is made at the high-voltage 
side of the customer's substation but metered at the low-voltage 
side, the meter readings will be increased 2 percent to compensate 
for transformer losses.

Schedule A-W3

UNITED STATES

DEPARTMENT OF ENERGY

Alaska Power Administration

Eklutna Project, Alaska

Schedule of Rates for Wholesale Wheeling Service

Effective:
    October 1, 1994 for a maximum of five years.
Available:
    In the area served by the Eklutna Project, Alaska
Applicable:
    To all non-federal power transmitted over Eklutna Project 
transmission facilities for the benefit of Project customers.
Character and Conditions of Service:
    Alternating current, sixty cycles, three-phase, delivered and 
metered at the low-voltage side of substation.
Monthly Rate:
    Capacity charge: None
    Energy Charge: All energy wheeled for others at .3 mills per 
kilowatt-hour.
Minimum Charge:
    None
Billing Demand:
    Not applicable
Adjustments:
    For character and conditions of service: None
    For transformer and transmission losses: As specified in 
wheeling contracts.

[FR Doc. 94-24126 Filed 9-28-94; 8:45 am]
BILLING CODE 6450-01-P