[Federal Register Volume 60, Number 107 (Monday, June 5, 1995)]
[Notices]
[Pages 29581-29584]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-13682]
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DEPARTMENT OF ENERGY
Alaska Power Administration
Snettisham 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--Snettisham Project, rate
schedules SN-F-5, SN-NF-8, SN-NF-9, and SN-NF-10.
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SUMMARY: Notice is hereby given that the Deputy Secretary approved on
April 28, 1995, Rate Order No. APA 13 which adjusts the present power
rates for the Snettisham Project. This is an interim rate action
effective May 1, 1995, for a period of 12 months, unless extended, and
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 Lane, Suite 2B, Juneau, AK 99801-8545, (907) 586-7405.
SUPPLEMENTARY INFORMATION: On December 6, 1994, the Alaska Power
Administration (APA) published a Federal Register notice of its
intention to adjust current power rates for the Snettisham Project for
a period of up to five years. The present rates, as approved by FERC at
57 FERC para.62,235, are 32.1 mills per kilowatthour for firm energy.
There is a variable rate for based on the cost of heating oil of 27.1
mills per kilowatthour for non-firm energy based on energy used in
place of wood burning. These rates were approved by FERC Order, Docket
No. EF92-1021-000 issued December 23, 1991, for the period October 1,
1991, through September 30, 1996. Based on the annual certification of
rates, APA now proposes that rates be adjusted beginning May 1, 1995,
for a period of up to five years. The new rates would be 34.7 mills per
kilowatthour for firm energy, with the non-firm rates to remain the
same. 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 April 28, 1995, I approved on an interim basis Rate Order No. APA-13
which adjusts the present Snettisham Rates for period of up to five
years beginning May 1, 1995, subject to final confirmation and approval
by FERC.
[[Page 29582]] Issued at Washington, DC, April 28, 1995.
Bill White,
Deputy Secretary.
Order Confirming and Approving Power Rates on an Interim Basis
April 28, 1995.
In the matter: of Alaska Power Administration--Snettisham
Project Power Rates; Rate Order No. APA-13.
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
Section 204 of the 1962 Flood Control Act (76 Stat. 1194),
authorizes the Crater-Long Lakes Division of the Snettisham Project and
provides authority and general criteria for marketing Snettisham
project power. Section 201 of the 1976 Water Resources Development Act,
Public Law 94-587, provides additional criteria. The DOE Organization
Act (91 Stat. 565) assigns responsibilities for Snettisham to the
Secretary of Energy acting by and through the APA Administrator.
The Snettisham Project was constructed in two phases. The Long Lake
phase went into commercial service in 1975. The Crater Lake phase went
into commercial service in 1991. Section 201 of the 1976 Water Resource
Development Act, Public Law 94-587, set a repayment period of 60 years
for the Long Lake portion of the project and fixed a schedule for its
repayment. The Crater Lake investment carries a 50 year repayment
period.
The Snettisham Project is a single purpose project comprised of two
separate lake taps, power tunnels and penstocks; a single underground
powerplant housing three units with a combined capacity of 78,210 kw;
41 miles of 138 kv overhead transmission line and three miles of
submarine cable; and a single substation serving the Juneau area. A
small amount of energy is sold to the State of Alaska for operation of
a fish hatchery at Snettisham. Rate Schedules SN-F-4, SN-NF-5, SN-NF-6,
SN-NF-7 now in effect for the Snettisham Project were confirmed and
approved by order of the Federal Energy Regulatory Commission, Docket
No. EF92-1021-000 issued December 23, 1991 for a period ending
September 30, 1996.
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 CER 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 officers 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 December 6, 1994, and in
a paid advertisement of a newspaper in the market area on December 22
and 23, 1994. The notice provided for a comment period of 90 days
following publication in the Federal Register. An informational meeting
was held with an advisory committee to the Juneau City Assembly. A new
article on the proposed rate action was published in the Juneau Empire
on February 7, 1995. A public information and comment forum was
scheduled in Juneau, Alaska on January 12, 1995, with public comment
period ending March 7, 1995. The public information and comment forum
was canceled on January 6, 1995, 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 May 1, 1995, attached Wholesale Power Rate
Schedules SN-F-5 SN-NF-8, SN-NF-9 and SN-NF-10. 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 28 day of April 1995.
Bill White,
Deputy Secretary.
[Schedule SN-NF-5]
United States Department of Energy Alaska Power Administration
Snettisham Project, Alaska
Schedule of Rates for Wholesale Firm Power Service
Effective
May 1, 1995 for a maximum of five years.
Available
In the area served by the Snettisham Project, Alaska.
Applicable
To wholesale power customers for general power service.
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: Firm energy at 34.7 mills per kilowatt-hour.
Minimum Annual Capacity Charge
None.
Billing Demand
Not applicable. [[Page 29583]]
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.
[Schedule SN-NF-8]
United States Department of Energy Alaska Power Administration
Snettisham Project, Alaska
Schedule of Rates for Interruptible Power Service
Effective
May 1, 1995 for a maximum of five years.
Available
In the area served by the Smettisham Project, Alaska.
Applicable
To wholesale power customers for resale to their large commercial
and government dual-fuel customers. Availability of energy will be
determined by Alaska Power Administration.
Character and Conditions of Service
Alernating current, sixty cycles, three-phase, delivered and
metered at the low-voltage side of substation.
Monthly Rate
Capacity charge: None.
Energy charge: Variable rate pegged to price of hearing oil
purchased by the State of Alaska or City and Borough of Juneau,
whichever is lower. Refer to Table 1 listing oil prices and comparable
wholesale rates.
Minimum Annual Capacity Charge
None.
Billing Demand
No 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.
Table 1
[GRAPHIC][TIFF OMITTED]TN05JN95.076
------------------------------------------------------------------------
Wholesale rate (cents/ Wholesale rate (mills/
Fuel oil ($/gal) kwh) kwh)
------------------------------------------------------------------------
0.50................... 0.84 8.4
0.52................... 0.87 8.7
0.54................... 0.90 9.0
0.56................... 0.94 9.4
0.58................... 0.97 9.7
0.60................... 1.00 10.0
0.62................... 1.03 10.3
0.64................... 1.06 10.6
0.66................... 1.09 10.9
0.68................... 1.13 11.3
0.70................... 1.16 11.6
0.72................... 1.19 11.9
0.74................... 1.22 12.2
0.76................... 1.25 12.5
0.78................... 1.29 12.9
0.80................... 1.32 13.2
0.82................... 1.35 13.5
0.84................... 1.38 13.8
0.86................... 1.41 14.1
0.88................... 1.44 14.4
0.90................... 1.48 14.8
0.92................... 1.51 15.1
0.94................... 1.54 15.4
0.96................... 1.57 15.7
------------------------------------------------------------------------
United States Department of Energy Alaska Power Administration
Snettisham Project Alaska
Schedule of Rates for Interruptible Power Service
Effective
May 1, 1995 for a maximum of five years.
Available
In the area served by the Snettisham Project, Alaska.
Applicable
To wholesale power customers for resale to their residential dual-
fuel customers. Availability of energy will be determined by Alaska
Power Administration.
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: Variable rate pegged to price of heating oil
purchase by the State of Alaska. Refer to Table 1 listing oil prices
and comparable wholesale rates.
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.
Table 1
[GRAPHIC][TIFF OMITTED]TN05JN95.077
------------------------------------------------------------------------
Wholesale rate (cents/ Wholesale rate (mills/
Fuel oil ($/gal) kwh) kwh)
------------------------------------------------------------------------
0.50................... 0.84 8.4
0.52................... 0.87 8.7
0.54................... 0.90 9.0
0.56................... 0.94 9.4
0.58................... 0.97 9.7
0.60................... 1.00 10.0
0.62................... 1.03 10.3
0.64................... 1.06 10.6
0.66................... 1.09 10.9
0.68................... 1.13 11.3
0.70................... 1.16 11.6
0.72................... 1.19 11.9
0.74................... 1.22 12.2
0.76................... 1.25 12.5
0.78................... 1.29 12.9
0.80................... 1.32 13.2
0.82................... 1.35 13.5
0.84................... 1.38 13.8
0.86................... 1.41 14.1
0.88................... 1.44 14.4
0.90................... 1.48 14.8
0.92................... 1.51 15.1
0.94................... 1.54 15.4
0.96................... 1.57 15.7
------------------------------------------------------------------------
[Schedule SN-NF-10]
United States Department of Energy Alaska Power Administration
Snettisham Project, Alaska
Schedule of Rates for Non-Firm Surplus Power Service
Effective
May 1, 1995 for a maximum of five years.
Available
In the area served by the Snettisham Project, Alaska.
Applicable
To wholesale power customers who have established a rate schedule
providing an incentive retail rate for electric heat customers who also
have a wood stove, for increased use of energy for each month when
compared to the same month in the preceding year. Availability of
surplus energy will be determined by Alaska Power
Administration. [[Page 29584]]
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: 21.7 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.
[FR Doc. 95-13682 Filed 6-2-95; 8:45 am]
BILLING CODE 6450-01-M