[Federal Register Volume 68, Number 149 (Monday, August 4, 2003)]
[Notices]
[Pages 45811-45812]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-19703]


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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. ER02-2001-000, et al.]


Electric Quarterly Reports et al.; Intent To Withdraw Market-
Based Rate Authority

Issued July 28, 2003.

Before Commissioners: Pat Wood, III, Chairman; William L. Massey, 
and Nora Mead Brownell.
    In the matter of: ER02-2001-000, ER95-1381-000, ER98-3451-000, 
ER94-1246-000, ER95-0878-000, ER97-1676-000, ER99-0581-000, ER97-
4434-000, ER98-3934-000, ER99-1890-000, ER98-0102-000, ER99-2970-
000, ER96-0924-000, ER02-0893-000, ER95-1399-000, ER96-0734-000, 
ER00-1530-000, ER96-1781-000, ER95-1752-000, ER01-2059-000, ER96-
1631-000, ER97-3815-000, ER99-2540-000, ER96-1774-000, ER98-3006-
000, ER97-3053-000, ER98-1221-000, ER01-1414-000, ER98-2232-000, 
ER97-4364-000, ER95-0751-000, ER98-3052-000, ER99-0823-000, ER97-
4145-000, ER97-4680-000, ER97-1117-000, ER00-2535-000, ER98-2423-
000, ER98-1297-000, ER96-2879-000: Electric Quarterly Reports, 
Alliance Strategies, American Premier Energy Corporation, Ashton 
Energy Corporation, Audit Pro Incorporated, Black Brook Energy 
Company, Business Discount Plan, Inc., Clean Air Capital Markets 
Corporation, Clinton Energy Management Services, Inc., Commodore 
Electric, Current Energy, Inc., Delta Energy Group, Direct Access 
Management, LP, Dorman Materials, Inc., Electech, Inc., Energy 
Marketing Services Inc., Energy & Steam Company, Inc., EnergyTek, 
Inc., Engineered Energy Systems Corporation, Enpower, Inc., Entrust 
Energy, LLC, Family Fiber Connection, Inc., Friendly Power Company, 
LLC, Full Power Corporation, Growth Unlimited Investments, Inc., K & 
K Resources, Inc., Keystone Energy Services, Inc., Micah Tech 
Industries, Inc., Northern Lights Power Company, People's Utility 
Corporation, PowerCom Energy & Communications Access, Inc., 
PowerGasSmart.com, Inc., PowerSource Corporation, River City Energy, 
Inc., Sigma Energy, Inc., Starghill Alternative Energy Corporation, 
TC Power Solutions, The New Power Company, The FURSTS Group, Inc., 
TransCurrent, LLC, US Energy, Inc.

    1. Section 205 of the Federal Power Act (FPA), 16 U.S.C. 824d 
(2000); accord 18 CFR part 35 (2003), requires that all rates, terms 
and conditions of jurisdictional services be filed with the Commission. 
In Order No. 2001,\1\ a final rule establishing revised public utility 
filing requirements for rates, terms and conditions of jurisdictional 
services,\2\ the Commission required public utilities, including power 
marketers, to file, among other things, Electric Quarterly Reports 
summarizing the contractual terms and conditions in their agreements 
for all jurisdictional services (including market-based power sales, 
cost-based power sales, and transmission service) and transaction 
information (including rates) for short-term and long-term market-based 
power sales and cost-based power sales during the most recent calendar 
quarter. In Order No. 2001-C,\3\ the Commission required utilities to 
file their Electric Quarterly Reports using software provided by the 
Commission. Commission staff review of the Electric Quarterly Report 
submittals has revealed that a number of utilities that previously had 
been granted authority to sell power at market-based rates have failed 
to file Electric Quarterly Reports. Accordingly, this order notifies 
those utilities that their market-based rate authorizations will be 
withdrawn unless they comply with the Commission's requirements.
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    \1\ Revised Public Utility Filing Requirements, Order No. 2001, 
67 FR 31043, FERC Stats. & Regs. ] 31,127 (April 25, 2002), reh'g 
denied, Order No. 2001-A, 100 FERC ] 61,074, reconsideration and 
clarification denied, Order No.2001-B, 100 FERC ] 61,342, order 
directing filings, Order No. 2001-C, 101 FERC ] 61,314 (2002).
    \2\ Order No. 2001, FERC Stats. & Regs. ] 31,127 at P 11-12, 18-
21.
    \3\ Order No. 2001-C, 101 FERC ] 61,314 at P 9.
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    2. In Order No. 2001, the Commission stated that, [i]f a public 
utility fails to file a[n] Electric Quarterly Report (without an 
appropriate request for extension), or fails to report an agreement in 
a report, that public utility may forfeit its market-based rate 
authority and may be required to file a new application for market-
based rate authority if it wishes to resume making sales at market-
based rates.\4\
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    \4\ Order No. 2001, FERC Stats. & Regs. ] 31,127 at P 222.

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[[Page 45812]]

    3. The Commission further stated that, [t]he Electric Quarterly 
Reports are designed to satisfy the FPA section 205(c) requirements. 
For power marketers, the Electric Quarterly Report is intended to 
replace the current filing of Quarterly Transaction Reports summarizing 
their market-based rate transactions and the filing of long-term 
agreements. Electric Quarterly Reports are also intended to replace the 
Quarterly Transaction Reports and rate filings required of traditional 
utilities with market-based rate authority. Once this rule becomes 
effective, the requirement to comply with this rule will supersede the 
conditions in public utilities' market-based rate authorizations and 
failure to comply with the requirements of this rule will subject 
public utilities to the same consequences they would face for not 
satisfying the conditions in their rate authorizations, including 
possible revocation of their authority to make wholesale power sales at 
market-based rates.\5\
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    \5\ Id. at P 223.
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    4. Commission staff has determined that a number of public 
utilities that had been granted market-based rate authority have failed 
to file their Electric Quarterly Reports.\6\ Commission staff has made 
a concerted effort to contact non-filing utilities in writing and by 
phone to inform them of their regulatory obligation. Moreover, on April 
24, 2003, the Secretary of the Commission sent letters to 423 companies 
reminding them that they were required to file the Electric Quarterly 
Report. The letters stated: [w]ithin thirty (30) days of the date of 
this letter, your company utility must file Electric Quarterly Reports 
for the 2nd, 3rd, and 4th Quarters of 2002 and the 1st Quarter of 2003. 
Failure to do so may result in the Commission's revocation of your 
market-based rate authority in accordance with Order No. 2001. * * * 
Please provide your immediate attention to this important compliance 
matter.\7\
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    \6\ In many cases, the utilities had previously failed to file 
Power Marketer Quarterly Reports (the predecessor to the Electric 
Quarterly Reports).
    \7\ Letter informing Abacus Group Ltd, et al., that to date 
their Electric Quarterly Reports had not been filed and requesting 
that the reports for the 2nd, 3rd, and 4th quarters of 2002, et al., 
be filed within 30 days (April 24, 2003).
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    5. Each of the public utilities listed in the caption of this order 
was sent this letter but none of them responded. In some cases, the 
letters were returned unopened. Commission staff called the contacts 
identified in its power marketer rolls and searched Commission records 
and the Internet to identify alternate addresses and contacts. Where an 
alternate address or contact could be identified, a second letter was 
sent. These letters also received no response.\8\
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    \8\ These public utilities appear to have failed to update their 
addresses with the Secretary as required in the Commission's 
regulations, 18 CFR 385.2010(i)(2) (2003). In some cases, they may 
have gone out of business and failed to file a Notice of 
Cancellation of their electric market-based rate tariff with the 
Commission. See 18 CFR 35.15 (2003).
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    6. Notwithstanding efforts to find the non-filing public utilities 
listed in the caption of this order to remind them of their filing 
obligations, they have not complied with the requirement to file 
Electric Quarterly Reports.
    7. Accordingly, the market-based rate authorizations for those 
utilities identified in the caption of this order will be withdrawn 
unless they comply with the Commission's requirements.

The Commission Orders

    (A) Within 30 days of the date of issuance of this order, each 
public utility listed in the caption of this order shall file its 
Electric Quarterly Reports for the 2nd, 3rd, and 4th Quarters of 2002 
and the 1st and 2nd Quarters of 2003. If no such filings are made, the 
Commission will withdraw the public utility's authority to sell power 
at market-based rates and terminate its electric market-based rate 
tariff.
    (B) The Secretary is hereby directed to publish this order in the 
Federal Register.

    By the Commission.
Magalie R. Salas,
Secretary.
[FR Doc. 03-19703 Filed 8-1-03; 8:45 am]
BILLING CODE 6717-01-P