[Federal Register Volume 60, Number 14 (Monday, January 23, 1995)]
[Notices]
[Pages 4452-4453]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-1565]



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SECURITIES AND EXCHANGE COMMISSION

[Release No. 35-26218]


Filings Under the Public Utility Holding Company Act of 1935, as 
Amended (``Act'')

January 13, 1995.
    Notice is hereby given that the following filing(s) has/have been 
made with the Commission pursuant to provisions of the Act and rules 
promulgated thereunder. All interested persons are referred to the 
application(s) and/or declaration(s) for complete statements of the 
proposed transaction(s) summarized below. The application(s) and/or 
declaration(s) and any amendments thereto is/are available for public 
inspection through the Commission's Office of Public Reference.
    Interested persons wishing to comment or request a hearing on the 
application(s) and/or declaration(s) should submit their views in 
writing by February 6, 1995, to the Secretary, Securities and Exchange 
Commission, Washington, D.C. 20549, and serve a copy of the relevant 
applicant(s) and/or declarant(s) at the address(es) specified below. 
Proof of service (by affidavit or, in case of an attorney at law, by 
certificate) should be filed with the request. Any request for hearing 
shall identify specifically the issues of fact or law that are 
disputed. A person who so requests will be notified of any hearing, if 
ordered, and will receive a copy of any notice or order issued in the 
matter. After said date, the application(s) and/or declaration(s), as 
filed or as amended, may be granted and/or permitted to become 
effective.

Entergy Corp., et al. [70-8529]

    Entergy Corporation (``Entergy''), 639 Loyola Avenue, New Orleans, 
Louisiana 70113, a registered holding company, and its subsidiaries, 
Entergy Enterprises, Inc. (``Enterprises''), 900 South Shackleford 
Road, Little Rock, Arkansas 72211, Entergy Services, Inc. (``ESI''), 
639 Loyola Avenue, New Orleans, Louisiana 70113, Arkansas Power & Light 
Company (``AP&L''), 639 Loyola Avenue, New Orleans, Louisiana 70113, 
Gulf States Utilities Company (``GSU''), 350 Pine Street, Beaumont, 
Texas 77701, Louisiana Power & Light Company (``LP&L''), 639 Loyola 
Avenue, New Orleans, Louisiana 70113, Mississippi Power & Light Company 
(``MP&L''), 308 East Pearl Street, Jackson Mississippi 39215, New 
Orleans Public Service Inc. (``NOPSI''), 639 Loyola Avenue, New 
Orleans, Louisiana 70113 (AP&L, GSU, LP&L, MP&L and NOPSI referred to 
collectively as the ``System Operating Companies''), Entergy Power, 
Inc. (``EPI''), 900 South Shackleford Road, Little Rock, Arkansas 
72211, System Fuels, Inc. (``SFI''), 350 Pine Street, Beaumont, Texas 
77701, System Energy Resources, Inc. (``SERI''), 1340 Echelon Parkway, 
Jackson, Mississippi 39213, and Entergy Operations, Inc. (``EOI''), 
1340 Echelon Parkway, Jackson, Mississippi 39213, have filed a 
declaration under sections 12(d), 12(f) and 13(b) of the Act and rules 
44 and 54 thereunder.
    Declarants propose that the Commission grant the requisite 
approvals necessary to implement fully provisions in certain settlement 
arrangements entered into among Entergy, and retail rate regulators in 
Arkansas, Louisiana, Mississippi and the City of New Orleans 
concerning, among other matters, various interassociate transactions. 
Specifically, Declarants propose that the Commission:
    (1) Grant an exemption from the ``at cost'' standards of the Act so 
that services (excluding; (i) AP&L's charges to EPI for operating and 
managing the Independence Steam Electric Station Unit No. 2 (``ISES 
2'') and the Ritchie Steam Electric Station Unit No. 2; and (ii) the 
provision of services, such as transmission service, or the sale of 
electricity at retail pursuant to a rate schedule or tariff filed with 
or approved by a regulatory authority having jurisdiction over such 
services or sale, at retail) provided by any of the System Operating 
Companies, ESI, SFI, SERI or EOI to Enterprises, EPI or other ``Non-
Utility Businesses'' may be priced at cost plus 5%;\1\

    \1\The term ``Non-Utility Business'' shall include EPI, EEI and 
such other subsidiaries and affiliates as Entergy shall create that 
are not domestic regulated electric or combination electric and gas 
utilities primarily engaged in the business of selling electric 
energy or natural gas at retail or at wholesale to affiliates or are 
not primarily engaged in the business of providing services or goods 
to regulated electric or combination electric and gas utility 
affiliates.
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    (2) Authorize the transfer from a ``Regulated Utility''\2\ to a 
Non-Utility Business or to Entergy Corporation of (i) generating 
assets, fuel and fuel related assets, and real property and 
improvements exceeding a fair market value of $100,000 (``Assets'') or 
(ii) market, technological or similar data (``Data''), priced at the 
fair market value or book value, whichever is higher, of such Assets or 
Data. In addition, where product rights, patents, copyrights or similar 
legal rights (``Intellectual Property'') are transferred from a 
Regulated utility to a Non-Utility Business or to Entergy, a royalty 
payment, which would be developed on a case-by-case basis, may be 
required;

    \2\The term ``Regulated Utility'' refers to AP&L, GSU, LP&L, 
NOPSI, MP&L, SERI, EOI, ESI, and SFI, and such other similar 
subsidiaries as Entergy shall create whose activities and operations 
are primarily related to the domestic sale of electric energy at 
retail or at wholesale to affiliates, or the provision of services 
or goods thereto.
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    (3) Authorize Regulated Utilities to make procurements (except the 
procurement of economy energy at a price subject to review by a 
regulatory [[Page 4453]] authority having jurisdiction) in excess of 
$100,000 from a Non-Utility Business through a competitive bidding 
processes; and
    (4) Approve an allocation methodology whereby profits derived from 
the marketing to nonaffiliates of products developed by a Regulated 
Utility and actually used by a Regulated Utility, will be divided 
evenly between the Regulated Utility responsible for developing the 
product and the Non-Utility Business responsible for marketing the 
product after deducting all incremental costs associated with making 
the product available for sale, including all costs of marketing such 
product. However, in the event that a product developed by a Regulated 
Utility to be used in its utility business is not actually so used, and 
subsequently is marketed by a Non-Utility Business to third parties, 
such Regulated Utility shall be entitled to recover all of its costs to 
develop such product before any profits derived from its marketing 
shall be so divided.
    Entergy further proposes that the Commission approve, effective for 
those services rendered and those assets transferred subsequent to 
October 31, 1992, the use of other than cost-based pricing for services 
and transfers of Assets, Data or Intellectural Property, subject to the 
existence or receipt of requisite Commission authorization in the 
specific case of any such transfers, and subject further to the terms 
and conditions of the settlement arrangements. Prior to the time of any 
such transfer, Entergy and the state regulatory commission(s) having 
jurisdiction would agree on the consideration to be paid to the 
particular Regulated Utility by Entergy or its Non-Utility Businesses 
for the transferred assets. Upon reaching agreement, Entergy would seek 
any necessary Commission authorization for such transfer, including 
appropriate exemptions under section 13(b) of the Act.
    Finally, GSU, Enterprises and EPI request authority for GSU to 
provide services to, and receive services from, those respective 
companies on the same revised terms as the other System Operating 
Companies.

Central and South West Services, Inc. [70-8531]

    Central and South West Services, Inc. (``CSWS''), 1616 Woodall 
Rodgers Freeway, Dallas, Texas 75202, a wholly owned nonutility 
subsidiary of Central and South West Corporation (``CSW''), a 
registered holding company, has filed an application-declaration under 
sections 9(a) and 10 of the Act and rule 23 thereunder.
    CSWS operates an engineering and construction department that 
provides power plant control system procurement, integration and 
programming services, and power plant engineering and construction 
services to associates within the CSW system, including CSW's electric 
utility subsidiaries and CSW Energy, Inc. CSWS states that, due to 
changing needs of the CSW system, it is necessary to maintain flexible 
staffing capabilities and knowledgeable personnel. CSWS also states 
that the needs of the CSW system for these services change from time to 
time, and that, as a result, excess resources are sometimes available 
in its engineering and construction department. CSWS therefore proposes 
to provide such services to nonassociates at charges to be negotiated 
between CSWS and such customers. CSWS states that in providing services 
to nonassociates, it believes it will be serving the public interest as 
well as most efficiently utilizing its power engineering resources.

    For the Commission, by the Division of Investment Management, 
pursuant to delegated authority.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 95-1565 Filed 1-20-95; 8:45 am]
BILLING CODE 8010-01-M