[Federal Register Volume 71, Number 190 (Monday, October 2, 2006)]
[Notices]
[Pages 57941-57942]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-16161]


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DEPARTMENT OF ENERGY

Western Area Power Administration


Parker-Davis Project--Rate Order No. WAPA-131

AGENCY: Western Area Power Administration, DOE.

ACTION: Notice of Order Extending Firm Electric Service and 
Transmission Service Rate Methodologies.

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SUMMARY: This action is to extend the existing Parker-Davis Project (P-
DP) Firm Electric Service Rate Schedule PD-F6 and the Transmission 
Service Rate Schedules PD-FT6, PD-FCT6, and PD-NFT6 through September 
30, 2008. Without this action, the existing Firm Electric Service and 
Transmission Services rates will expire September 30, 2006, and no 
rates will be in effect for these services. These Firm Electric Service 
and Transmission Service Schedules contain formula rates recalculated 
from yearly updated financial and load data.

FOR FURTHER INFORMATION CONTACT: Mr. Jack Murray, Rates Team Lead, 
Desert Southwest Customer Service Region, Western Area Power 
Administration, P.O. Box 6457, Phoenix, AZ 85005-6457, (602) 605-2442, 
or e-mail [email protected].

SUPPLEMENTARY INFORMATION: By Delegation Order No. 00-037.00, effective 
December 6, 2001, the Secretary of Energy delegated: (1) The authority 
to develop power and transmission rates to Western's Administrator; (2) 
the authority to confirm, approve, and place such rates into effect on 
an interim basis to the Deputy Secretary of Energy, and (3) the 
authority to confirm, approve, and place into effect on a final basis, 
to remand, or to disapprove such rates to the Federal Energy Regulatory 
Commission (Commission).
    This action is to further extend the existing Parker-Davis Project 
Rate Order No. WAPA-75, that was originally approved for 5 years, 
beginning November 1, 1997, through September 30, 2002. See FERC Docket 
No. EF98-5041-000, 82 FERC Par. 62, 164 (March 10, 1998).
    Rate Order WAPA-98, approved by the Secretary of Energy on 
September 13, 2002 (67 FR 60655, September 26, 2002), extended WAPA-75 
through September 30, 2004. Rate Order WAPA-113, approved by the Deputy 
Secretary on September 2, 2004 (69 FR 55429, September 14, 2004), 
extended WAPA-75 through September 30, 2006.
    Western is currently conducting a formal re-marketing process for 
the Parker-Davis Project. One of the effects of this re-marketing 
effort is an increase in firm electric service capacity that will be 
available October 1, 2008, creating a larger resource pool and making 
additional capacity and energy available to new contractors. Western is 
seeking this extension to provide adequate time to consider the effect 
of the additional capacity on the rates and to consider the input of 
the public including the additional contractors. Because the current 
rate methodologies contain formula rates recalculated from yearly 
updated financial and load data and Western seeks to involve new 
contractors in the rate process, Western proposes to extend the current 
rate schedules under 10 CFR part 903. Rate Order WAPA-75, previously 
extended under Rate Order No. WAPA-98 and Rate Order No. WAPA-113, will 
be further extended under Rate Order No. WAPA-131.
    Western's existing formula Transmission Service Rate Schedules and 
Electric Service Rate Schedules, recalculated annually, will recover 
sufficient project expenses (including interest) and capital 
requirements through September 30, 2008.
    Following review of Western's proposal within the DOE, I hereby 
approve Rate Order No. WAPA-131 which extends the existing P-DP Firm 
Electric Service and Transmission Service Rates through September 30, 
2008.

    Dated: September 22, 2006.
Clay Sell,
Deputy Secretary.

Department of Energy, Deputy Secretary

In the Matter of: Western Area Power Administration Rate Extension for 
the Parker-Davis Project Firm Electric Service and Transmission Service 
Rate Methodologies; Order Confirming and Approving an Extension of the 
Parker-Davis Project Firm Electric Service and Transmission Service 
Rate Methodologies

    These Firm Electric Service and Transmission Service Rate

[[Page 57942]]

Methodologies were established following section 302 of the Department 
of Energy (DOE) Organization Act (42 U.S.C. 7152). This Act transferred 
to and vested in the Secretary of Energy the power marketing functions 
of the Secretary of the Department of the Interior and the Bureau of 
Reclamation under the Reclamation Act of 1902 (ch. 1093, 32 Stat. 388), 
as amended and supplemented by subsequent laws, particularly section 
9(c) of the Reclamation Project Act of 1939 (43 U.S.C. 485h(c)), and 
other Acts that specifically apply to the project system involved.
    By Delegation Order No. 00-037.00, effective December 6, 2001, the 
Secretary of Energy delegated: (1) The authority to develop power and 
transmission rates to the Administrator of the Western Area Power 
Administration (Western); (2) the authority to confirm, approve, and 
place such rates into effect on an interim basis to the Deputy 
Secretary of Energy; and (3) the authority to confirm, approve, and 
place into effect on a final basis, to remand, or to disapprove such 
rates to the Federal Energy Regulatory Commission.

Background

    This action is to further extend the existing Parker-Davis Project 
Rate Order No. WAPA-75 that was originally approved for 5 years, 
beginning November 1, 1997, through September 30, 2002. See FERC Docket 
No. EF98-5041-000, 82 FERC Par. 62,164 (March 10, 1998).
    Rate Order No. WAPA-98, approved by the Secretary of Energy on 
September 13, 2002 (67 FR 60655, September 26, 2002), extended WAPA-75 
through September 30, 2004. Rate Order WAPA-113, approved by the Deputy 
Secretary on September 2, 2004 (69 FR 55429, September 14, 2004), 
extended WAPA-75 through September 30, 2006.

Discussion

    Western is currently conducting a formal re-marketing process for 
the Parker-Davis Project, which will increase the firm electric service 
capacity that will be available October 1, 2008, creating a larger 
resource pool and making additional capacity and energy available to 
new contractors. Western seeks this extension to allow adequate time to 
consider the effect of additional firm electric service capacity on the 
rates and to consider the input of the public including the additional 
contractors. Western proposes to extend the current rate schedules to 
complete this analysis. On the Deputy Secretary of Energy's approval, 
Rate Order No. WAPA-75, as extended, will be further extended under 
Rate Order No. WAPA-131.

Order

    In view of the above and under the authority delegated to me, I 
hereby extend for a period effective from October 1, 2006, through 
September 30, 2008, the existing Firm Electric Service Rate Schedule 
PD-F6, and the Transmission Service Rate Schedules PD-FT6, PD-FCT6, and 
PD-NFT6.

    Dated: September 22, 2006.
Clay Sell,
Deputy Secretary.
[FR Doc. E6-16161 Filed 9-29-06; 8:45 am]
BILLING CODE 6450-01-P