[Federal Register Volume 65, Number 62 (Thursday, March 30, 2000)]
[Notices]
[Pages 16979-16980]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-7842]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 35-27158]


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

March 24, 2000.
    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 under the Act. 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 amendment(s) is/are available for public 
inspection through the Commission's Branch 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 April 18, 2000, to the Secretary, Securities and Exchange 
Commission, Washington, DC 20549-0609, and serve a copy on the relevant 
applicant(s) and/or declarant(s) at the address(es) specified below. 
Proof of service (by affidavit or, in the case of an attorney at law, 
by certificate) should be filed with the request. Any request for 
hearing should identify specifically the issues of facts 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 April 18, 2000, the application(s) and/or 
declaration(s), as filed or as amended, may be granted and/or permitted 
to become effective.

American Electric Power Company, Inc., et al. (70-8307)

    American Electric Power Company, Inc. (``AEP''), a registered 
holding company, and AEP Resources Service Company (``RESCO''),\1\ a 
wholly owned service subsidiary of AEP, both located in 1 Riverside 
Plaza, Columbus, Ohio 43215, have filed a post-effective amendment 
under sections 6(a), 7, 12(b) and 13(b) of the Act, and rules 45, 54, 
90 and 91 under the Act, to their application-declaration filed under 
the Act.
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    \1\ RESCO's name was changed from AEP Energy Services, Inc. on 
March 7, 1997.
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    By order dated April 12, 1982 (HCAR No. 22468) (``1982 Order''), 
RESCO was authorized to sell management, technical and training 
expertise and certain technical and procedural resources (``Consulting 
Services'') to nonaffiliated entities. By order dated April 5, 1995 
(HCAR No. 26267), the Commission authorized RESCO to provide project 
development, engineering, design, construction and construction 
management, operating fuel management, maintenance and power plant 
overhaul and other similar kinds of managerial and technical services 
(``Power Project Services''). Under the terms of the April 1995 Order, 
RESCO was authorized to provide Power Project Services to both 
affiliated and nonaffiliated exempt wholesale generators (``EWGs'') (as 
defined in the Act and rules under the Act), foreign utility companies 
(``FUCOs'') (as defined in the Act and rules under the Act), qualifying 
cogeneration facilities (``QFs'') and small power production facilities 
(as defined in the Public Utility Regulatory Policies Act of 1978 
(``PURPA'') and rules under PURPA), and other projects relating to the 
generation, transmission and distribution of electric power 
(collectively, ``Power Projects''). RESCO was also authorized in the 
April 1995 Order to provide Consulting Services and Power Project 
Services in foreign jurisdictions. In addition, the 1995 Order 
authorized RESCO to provide energy management and demand-side 
management services in the United States (collectively with Power 
Project Services and Consulting Services, ``Authorized Services''). The 
April 1995 Order also authorized an exemption under section 13(b) from 
the requirements of rules 90 and 91 as applicable to transactions under 
certain

[[Page 16980]]

circumstances.\2\ By Order dated March 7, 1997 (HCAR No. 26682), RESCO 
was authorized to form one or more partly or wholly owned subsidiaries 
(``New Subsidiaries'') to provide one or more of the Authorized 
Services.
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    \2\ The exemption applies to a transaction when a Power Project 
entity is: (a) a FUCO, or an EWG which derives no part of its 
income, directly, or indirectly, from the generation, transmission, 
or distribution of electric energy for sale within the United 
States; or (b) an EWG which sells electricity at market-based rates 
which have been approved by the Federal Energy Regulatory Commission 
(``FERC'') or the appropriate state public utility commission, 
provided that the purchaser of such electricity is not an associate 
company of RESCO within the AEP System; or (c) a QF that sells 
electricity exclusively (i) at rates negotiated at arms'-length to 
one or more industrial or commercial customers purchasing such 
electricity for their own use and not for resale, and/or (ii) to an 
electricity utility company, other than any associate company of 
RESCO within the AEP System, at the purchaser's ``avoided cost'' as 
determined in accordance with the regulations under the Public 
Utility Regulatory Policies Act of 1978; or (d) an EWG or QF that 
sells electricity at rates based upon its cost of service, as 
approved by FERC or any state public utility commission having 
jurisdiction, provided that the purchaser of such electricity is not 
an associate company of RESCO with the AEP System.
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    To the extent not exempt of otherwise authorized by the Commission, 
RESCO also requests an exemption from the ``at-cost''requirements of 
rules 90 and 91 for Authorized Services rendered by RESCO or any New 
Subsidiary to any partially owned associate Power Project, exempt 
telecommunications company (as defined in section 34 of the Act), or 
energy-related company (as defined in Rule 58 under the Act) or New 
Subsidiary, provided that the ultimate purchaser of the Authorized 
Services is not an associate public utility company or a subsidiary of 
AEP whose activities and operations are primarily related to the 
provision of services or goods to associate public utility companies. 
In addition the Applicants request that the exemption apply to 
Authorized Services RESCO provides to any subsidiary of AEP Resources, 
Inc., (``Resources'') \3\ a nonutility subsidiary of AEP, (i) that is 
engaged solely in the business of developing, owning, operating and/or 
providing Authorized Services to those exempt Power Projects enumerated 
above, or (ii) that does not derive directly or indirectly, any 
material part of its income from sources within the United States and 
is not a public utility company operating within the United States.
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    \3\ Resources is involved in preliminary development activities 
related to Power Projects.
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    By orders dated April 5, 1995, December 28, 1995 and December 16, 
1998 (HCAR Nos. 26267, 26442 and 26952, respectively) the Commission 
authorized AEP to: (1) Guarantee the debt of RESCO in an amount not to 
exceed $51 million through December 31, 2001; and (2) issue guarantees 
and assumptions of liability on behalf of RESCO to third parties in an 
aggregate amount not to exceed $200 million through December 31, 2001 
(collectively, the ``Guarantee Authority'').
    Applicants now propose to extend the period of Guarantee Authority 
through June 30, 2004. Applicants also propose that the Guarantee 
Authority be increased to allow AEP to (1) guarantee the debt of RESCO 
to third parties in an amount not to exceed $400 million and (2) issue 
guarantees and assumptions of liability on behalf of RESCO to third 
parties in an amount not to exceed $400 million. Applicants state that 
the authority sought is necessary, in part, because RESCO has entered 
into an agreement with National Power Cooperative, Inc. (``National''), 
an affiliate of Buckeye Power, Inc., to design, engineer, procure all 
materials and equipment and construct for National a 510 megawatt gas-
fired peaking unit. In addition, Applicants are investigating several 
opportunities to, among other things, design, engineer and procure 
equipment and materials to construct generating stations and other 
projects relating to the generation, transmission and distribution of 
electric power.

    For the Commission by the Division of Investment Management, 
under delegated authority.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 00-7842 Filed 3-29-00; 8:45 am]
BILLING CODE 8010-01-M