[Federal Register Volume 75, Number 59 (Monday, March 29, 2010)]
[Proposed Rules]
[Pages 15371-15376]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-6481]


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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

18 CFR Part 40

[Docket No. RM09-13-000]


Time Error Correction Reliability Standard

March 18, 2010.
AGENCY: Federal Energy Regulatory Commission.

ACTION: Notice of Proposed Rulemaking.

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SUMMARY: Pursuant to section 215 of the Federal Power Act, the 
Commission proposes to remand the proposed revised Time Error 
Correction Reliability Standard developed by the North American 
Electric Reliability Corporation (NERC) in order for NERC to develop 
several modifications to the proposed Reliability Standard. The 
proposed action ensures that any modifications to Reliability Standards 
will be just, reasonable, not unduly discriminatory or preferential, 
and in the public interest.

DATES: Comments are due April 28, 2010.

ADDRESSES: Interested persons may submit comments, identified by Docket 
No. RM09-13-000, by any of the following methods:
     eFiling: Comments may be filed electronically via the 
eFiling link on the Commission's Web site at http://www.ferc.gov. 
Documents created electronically using word processing software should 
be filed in the native application or print-to-PDF format and not in a 
scanned format. The Commission accepts most standard word processing 
formats and commenters may attach additional files with supporting 
information in certain other file formats. Attachments that exist only 
in paper form may be scanned. Commenters filing electronically should 
not make a paper filing. Service of rulemaking comments is not 
required.
     Mail/Hand Delivery: Commenters that are not able to file 
comments electronically must mail or hand deliver an original and 14 
copies of their comments to: Federal Energy Regulatory Commission, 
Secretary of the Commission, 888 First Street, NE., Washington, DC 
20426.

FOR FURTHER INFORMATION CONTACT: Mindi Sauter (Legal Information), 
Office of the General Counsel, Federal Energy Regulatory Commission, 
888 First Street, NE., Washington, DC 20426, (202) 502-6830.
    Scott Sells (Technical Information), Office of Electric 
Reliability, Division of Reliability Standards, Federal Energy 
Regulatory Commission, 888 First Street, NE., Washington, DC 20426, 
(202) 502-6664.

SUPPLEMENTARY INFORMATION:

Notice of Proposed Rulemaking

March 18, 2010

    1. Pursuant to section 215 of the Federal Power Act (FPA),\1\ the 
Commission proposes to remand the Time Error Correction Reliability 
Standard (BAL-004-1) developed by the North American Electric 
Reliability Corporation (NERC) in order for NERC to develop several 
modifications to the proposed Reliability Standard, as discussed 
below.\2\
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    \1\ 16 U.S.C. 824o.
    \2\ The Commission is not proposing any new or modified text to 
its regulations. Rather, as provided in 18 CFR part 40, a proposed 
Reliability Standard will not become effective until approved by the 
Commission, and the Electric Reliability Organization must post on 
its website each effective Reliability Standard.
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I. Background

A. EPAct 2005 and Mandatory Reliability Standards

    2. Section 215 of the FPA requires a Commission-certified Electric 
Reliability Organization (ERO) to develop mandatory and enforceable 
Reliability Standards, which are subject to Commission review and 
approval. Specifically, the Commission may approve, by rule or order, a 
proposed Reliability Standard or modification to a Reliability Standard 
if it determines that the Standard is just, reasonable, not unduly 
discriminatory or preferential, and in the public interest.\3\ Once 
approved, the Reliability Standards may be enforced by the ERO, subject 
to Commission oversight, or by the Commission independently.\4\
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    \3\ 18 U.S.C. 824o(d)(2).
    \4\ Id. 824o(e)(3).
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    3. Pursuant to section 215 of the FPA, the Commission established a 
process to select and certify an ERO \5\ and, subsequently, certified 
NERC as the ERO.\6\ On April 4, 2006, NERC submitted a petition seeking 
approval of 107 proposed Reliability Standards, including BAL-004-0.\7\ 
On March 16, 2007, the Commission issued Order No. 693 approving 83 of 
these 107 Reliability Standards, including BAL-004-0, and directing 
other actions related to 56 of the approved Reliability Standards.
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    \5\ Rules Concerning Certification of the Electric Reliability 
Organization; and Procedures for the Establishment, Approval, and 
Enforcement of Electric Reliability Standards, Order No. 672, FERC 
Stats. & Regs. ] 31,204, order on reh'g, Order No. 672-A, FERC 
Stats. & Regs. ] 31,212 (2006).
    \6\ North American Electric Reliability Corp., 116 FERC ] 61,062 
(ERO Certification Order), order on reh'g & compliance, 117 FERC ] 
61,126 (2006), aff'd sub nom. Alcoa, Inc. v. FERC, 564 F.3d 1342 
(D.C. Cir. 2009).
    \7\ See Petition of the North American Electric Reliability 
Council and North American Electric Reliability Corporation for 
Approval of Reliability Standards, April 4, 2006 at 28-29, Docket 
No. RM06-16-000.
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1. Time Error Correction Generally
    4. Time Error occurs when a synchronous Interconnection operates at 
a frequency (number of cycles per second) that is different from the 
Interconnection's Scheduled Frequency. Interconnections control to 60 
Hz (60 cycles per second), however, the control is imperfect and over 
time will result in the average frequency being either above 60 Hz or 
below 60 Hz. This discrepancy between actual frequency and Scheduled 
Frequency results from an imbalance between generation and interchange 
and load and losses, which also results in Inadvertent Interchange.\8\ 
Time Error Correction is the procedure Reliability Coordinators and 
Balancing Authorities follow to reduce Time Error and regulate the 
average frequency closer to 60 Hz. The Time Error Correction 
Reliability Standard sets forth the process that Reliability 
Coordinators and Balancing Authorities follow to offset their Scheduled

[[Page 15372]]

Frequency to reliably correct for the accumulated Time Error. The 
efficiency of Time Error Corrections is determined by the participation 
of all Balancing Authorities within the Interconnection. Coordination 
and oversight by all Balancing Authorities and Reliability Coordinators 
is necessary to ensure that Time Error Corrections are performed 
reliably.
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    \8\ Inadvertent Interchange occurs when unplanned energy 
transfers cross Balancing Authority boundaries, typically where a 
Balancing Authority experiences an operational problem that prevents 
its net actual interchange of energy from matching its net scheduled 
interchange with other Balancing Authorities within the 
Interconnection.
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2. NERC's Proposed Time Error Correction Reliability Standard Revisions
    5. On March 16, 2007, the Commission issued Order No. 693, which, 
among other things, approved the currently effective Time Error 
Correction Reliability Standard, BAL-004-0.\9\ On March 11, 2009, NERC 
filed a petition for Commission approval of the revised Time Error 
Correction Reliability Standard, designated BAL-004-1. The petition 
states that the proposed Reliability Standard would supersede the 
existing Reliability Standard, and is intended to ensure that 
Interconnection Time Monitors will continue to volunteer for that role 
during an interim time period during which NERC and the industry will 
consider significant changes in how to manage Time Error Correction. 
NERC states that a potential more permanent solution already is 
incorporated in the scope of its ongoing Project 2007-05--Balancing 
Authority Controls.
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    \9\ Mandatory Reliability Standards for the Bulk-Power System, 
Order No. 693, FERC Stats. & Regs. ] 31,242, order on reh'g, Order 
No. 693-A, 120 FERC ] 61,053 (2007).
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    6. The Time Error Correction Reliability Standard applies to 
Reliability Coordinators and Balancing Authorities. NERC states that, 
while in NERC's view Time Error itself is not a reliability issue, 
correcting for Time Error can affect reliability, and therefore the 
methods used for Time Error Correction must be carried out by the 
Balancing Authorities and Reliability Coordinators within each 
Interconnection in accordance with NERC Reliability Standards.
    7. NERC indicates that designating an Interconnection Time Monitor 
is primarily an issue for the Eastern Interconnection. The Midwest ISO 
currently performs this function for the Eastern Interconnection. In 
the Western Interconnection, the Western Electricity Coordinating 
Council (WECC) uses automatic Time Error Correction, although periodic 
manual corrections still are required and are coordinated by WECC.\10\ 
The Electric Reliability Council of Texas performs Time Error 
Correction functions for the Texas Interconnection.
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    \10\ Under Regional Reliability Standard BAL-004-WECC-01 
(Automatic Time Error Correction), Balancing Authorities within WECC 
generally are required to continuously automatically correct for 
their contribution to Time Error using automatic generation control 
systems. However, certain operational events may lead to suspension 
of automatic Time Error Correction, requiring manual Time Error 
Corrections to be completed at another time, under WECC's direction. 
See, Western Electricity Coordinating Council Regional Reliability 
Standard Regarding Automatic Time Error Correction, Order No. 723, 
127 FERC ] 61,176 (2009) (approving WECC Automatic Time Error 
Correction regional Reliability Standard).
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    8. NERC states that BAL-004-1 ensures that Time Error Corrections 
are conducted in a manner that does not adversely affect the 
reliability of the Interconnection.
3. Time Error Correction Reliability Standard Requirements
    9. NERC's petition summarizes the proposed changes to the Time 
Error Correction Reliability Standard's compliance Requirements, as 
described below.\11\
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    \11\ Appendix A to this order, showing in redline the changes 
NERC proposed to the Time Error Correction Reliability Standard, is 
available for viewing at http://www.ferc.gov in the eLibrary version 
of this document.
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    10. Requirement R1: Requirement R1 currently states that only a 
Reliability Coordinator is eligible to serve as an Interconnection Time 
Monitor, and that the NERC Operating Committee shall designate a single 
Reliability Coordinator in each Interconnection to serve as 
Interconnection Time Monitor. The proposed changes would remove the 
requirement that the NERC Operating Committee designate Interconnection 
Time Monitors. NERC indicates that the change would vest authority for 
designating Interconnection Time Monitors with the NERC Board of 
Trustees, based on NERC Operating Committee review and recommendation. 
NERC states that, once the proposed standard is approved, the NERC 
Board of Trustees will formally designate Interconnection Time 
Monitors.
    11. Requirement R2: NERC proposes to remove the current Requirement 
R2 in its entirety; the current Requirement R2 states that the 
Interconnection Time Monitor will monitor Time Error and shall initiate 
or terminate corrective action orders in accordance with the North 
American Energy Standards Board (NAESB) Time Error Correction 
Procedure. NERC asserts that NERC Reliability Standards should not 
compel an entity to comply with NAESB business practices.
    12. Requirement R3: \12\ Requirement R3 instructs Balancing 
Authorities to participate in a Time Error Correction when directed by 
the Reliability Coordinator serving as the Interconnection Time 
Monitor. The text of that Requirement would remain the same.
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    \12\ With the elimination of current Requirement R2, the current 
Requirement R3 would become Requirement R2.
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    13. Requirement R4: \13\ Requirement R4 states that any Reliability 
Coordinator, either on its own accord or at the request of a Balancing 
Authority within its footprint, may request that the Interconnection 
Time Monitor terminate a Time Error Correction for reliability reasons. 
The text of that Requirement also would remain the same.
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    \13\ Similarly, the current Requirement R4 would become 
Requirement R3.
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    14. Reference Document: NERC states that its Operating Committee 
has approved a ``Time Monitoring Reference Document,'' which details a 
process for identifying the Reliability Coordinator that will serve as 
the Interconnection Time Monitor for each Interconnection and outlines 
the responsibilities of Reliability Coordinators serving as 
Interconnection Time Monitors. NERC included the Reference Document in 
its filing; however, NERC indicates that the document is presented for 
informational purposes only, and that NERC is not requesting Commission 
approval of the Reference Document.
4. Time Error Correction Reliability Standard Development
    15. The NERC Operating Committee submitted a Standard Authorization 
Request (SAR) to the NERC Standards Committee on July 11, 2007, 
proposing changes to BAL-004-0. The Operating Committee requested that 
the Standards Committee use the ``Urgent Action'' process in addressing 
the proposed revisions. At its September 11, 2007 meeting, the 
Standards Committee determined to post the SAR and proposed standard 
changes using the Urgent Action process, stating that the potential 
loss of a willing Reliability Coordinator to serve as the 
Interconnection Time Monitor justified use of the Urgent Access 
process.
    16. NERC conducted an initial ballot in October 2007, the results 
of which included ten negative ballots, including seven with comments. 
All seven commenters were concerned that the proposed revisions left 
unclear what entity will assume the responsibility for serving as the 
Time Monitor for each Interconnection. Three commenters also indicated 
that the revisions did not state responsibility for directing

[[Page 15373]]

implementation of a Time Error Correction. Two commenters suggested 
that the Reliability Standards should include a requirement to comply 
with NAESB business practices because those practices also are FERC-
approved. One commenter suggested revising Requirement R2 to omit the 
reference to the NAESB business practice, and one commenter objected to 
use of the Urgent Action process.
    17. In response to these comments, the NERC Operating Committee 
indicated that it was working on a documented process for identifying 
the entity that would serve as the Interconnection Time Monitor for 
each Interconnection and for reviewing the Interconnection Time 
Monitors' performance on a forward-going basis, as it has done for many 
years.
    18. NERC posted its response to the comments on November 8, 2007, 
and subsequently conducted a recirculation ballot, as required under 
NERC's Rules of Procedure. The revised standard passed with 97.45 
percent of the 157 ballot pool participants voting, resulting in a 
weighted segment approval of 94.10 percent.
    19. The NERC Board of Trustees approved the revised Reliability 
Standard on March 26, 2008, and NERC filed its petition on March 11, 
2009. NERC requests that BAL-004-1 become effective on the first day of 
the first quarter after applicable regulatory approval or, in those 
jurisdictions where regulatory approval is not required, upon Board of 
Trustees approval.

II. Discussion

    20. The Commission proposes to remand the proposed Reliability 
Standard, BAL-004-1, in order for NERC to develop several 
modifications, as discussed below.

A. Requirement R1

    21. NERC proposes to revise Requirement R1 to remove from the 
Reliability Standard the requirement that the NERC Operating Committee 
designate one Reliability Coordinator as the Interconnection Time 
Monitor in each Interconnection, arguing that the NERC Operating 
Committee is not a user, owner or operator of the Bulk-Power System and 
it is not appropriate for that Committee alone to assign requirements 
to users, owners or operators of the Bulk-Power System without NERC 
Board of Trustees' approval. NERC further argues that it is not 
appropriate for a stakeholder-based committee to designate a particular 
entity for a position that will be accountable for complying with a 
Reliability Standard Requirement.
    Commission Analysis:
    22. With regard to Requirement R1, the Commission is concerned that 
the Time Monitor selection process is contained in a guidance document 
that is not subject to Commission review and may be changed without 
notice. Commission review of proposed changes, and appropriate notice 
of such proposed changes, is necessary to ensure that the changes are 
just, reasonable, not unduly discriminatory or preferential, and in the 
public interest. Thus, the Commission proposes, on remand, to direct 
NERC to describe the Interconnection Time Monitor designation process 
within a Commission-approved document, such as NERC's Rules of 
Procedure or within the Reliability Standard itself.

B. Requirement R2

    23. The revised Reliability Standard also proposes to delete 
Requirement R2 in its entirety. Requirement R2 includes the requirement 
that Interconnection Time Monitors monitor Time Error and initiate or 
terminate corrective action in accordance with the NAESB Time Error 
Correction Procedure. NERC states that now that the ``Version 0 
Reliability Standards'' are mandatory and enforceable, much of the 
process to implement Time Error Corrections has become a NAESB 
procedure, because Time Error Correction itself is not a reliability 
issue. NERC explains that the fact that an Interconnection Time Monitor 
chooses to act and initiate a Time Error Correction based on the NAESB 
procedure has no reliability relevance and that NERC Reliability 
Standards should not compel an entity to comply with NAESB business 
practices, and that eliminating Requirement R2 accomplishes this. NERC 
adds that there are no current concerns with the performance of the 
volunteer Interconnection Time Monitors, and that the NERC Operating 
Committee will continue to address Interconnection Time Monitor 
performance in the future should the Commission approve the proposed 
Reliability Standard. NERC concludes that approving the proposed 
Reliability Standard would maintain the status quo and serve the best 
interests of reliability.
    Commission Analysis:
    24. In Order No. 672, the Commission identified a number of 
criteria it will use in determining whether a proposed Reliability 
Standard or a proposed revision to a Reliability Standard is just, 
reasonable, not unduly discriminatory or preferential, and in the 
public interest.\14\ One of these criteria is that a proposed 
Reliability Standard must be clear and unambiguous as to what is 
required and who is required to comply.\15\ The Commission believes the 
proposal to remove Requirement R2 in its entirety does not satisfy this 
criterion, and therefore proposes to remand the proposed Reliability 
Standard. Removing Requirement R2 makes the Reliability Standard 
incomplete and ambiguous, since it would not explain the circumstances 
under which a Time Error Correction needs to be initiated or ended, 
indicate that Time Error Correction must be performed, or identify the 
entity that has the obligation and authority to initiate a Time Error 
Correction.
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    \14\ Rules Concerning Certification of the Electric Reliability 
Organization; and Procedures for the Establishment, Approval, and 
Enforcement of Electric Reliability Standards, Order No. 672, FERC 
Stats. & Regs. ] 31,204, order on reh'g, Order No. 672-A, FERC 
Stats. & Regs. ] 31,212 (2006).
    \15\ Id. P 325.
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    25. The Commission therefore proposes to remand the proposed 
Reliability Standard and, further proposes that, on remand, NERC should 
modify its proposed changes to Requirement R2 to (1) indicate that the 
Time Monitor, designated according to a process described in a 
Commission-approved document as discussed above, is responsible for 
initiating or terminating a Time Error Correction in a reliable manner; 
and (2) explain the circumstances under which the Time Monitor should 
start or end a Time Error Correction. The Commission is not persuaded 
by NERC's argument that much of the process to implement Time Error 
Corrections is now just a voluntary NAESB procedure, because Time Error 
Correction itself is not a reliability issue. In Order No. 693, we 
disagreed with arguments that Time Error Correction is really more a 
NAESB business practice. Rather, we stated that the Time Error 
Correction Reliability Standard is intended to ensure that Time Error 
Corrections are performed in a manner that does not adversely affect 
reliability, and the technical details, including the means to carry 
out the procedure, are a reliability issue.\16\
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    \16\ Order No. 693, FERC Stats. & Regs. ] 31,242 at P 383.
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    26. We also are not persuaded by NERC's argument that, because the 
Interconnection Time Monitors are performing well, we should approve 
removal of technical details from the Reliability Standard. The 
Reliability Standard should include technical details regarding what is 
required from all participants involved with Time Error Corrections to 
avoid confusion

[[Page 15374]]

regarding each participant's expectations and obligations. While the 
Commission does not oppose NERC's proposal to remove the clause in 
Requirement R2 directing the Time Monitor to proceed in accordance with 
the NAESB Time Error Correction Procedure, as noted above, the proposed 
Reliability Standard is incomplete and ambiguous as it does not include 
pertinent technical details regarding the Time Error Correction 
process. Additionally, when an issue has both reliability and business 
aspects, the Commission has directed NERC and NAESB to work together to 
coordinate their efforts in order to provide a workable Reliability 
Standard that addresses the reliability issue.\17\ The Commission 
expects that to occur here.
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    \17\ See, e.g., Modification of Interchange and Transmission 
Loading Relief Reliability Standards and Electric Reliability 
Organization Interpretation of Specific Requirements of Four 
Reliability Standards, 123 FERC ] 61,064, at P 49 (2008) (``The 
Commission has long supported the coordination of business practices 
and Reliability Standards. As early as May 2002, the Commission 
urged the industry expeditiously to establish the procedures for 
ensuring coordination between NAESB and NERC.''); Preventing Undue 
Discrimination and Preference in Transmission Service, Order No. 
890-A, FERC Stats. & Regs. ] 31,261, at P 56 (2007), order on reh'g, 
Order No. 890-B, 123 FERC ] 61,299 (2008) (``The Commission affirms 
the decision in Order No. 890 to rely on the NERC reliability 
standards development process, and the NAESB business practices 
development process, to achieve a more coherent and uniform 
determination of ATC. We disagree that this conflicts with the 
Commission's obligations under section 215 of the FPA.''); 
Electricity Market Design and Structure, 99 FERC ] 61,171, at P 22 
(2002), order on reh'g, 101 FERC ] 61,297 (2002) (``We also consider 
coordination between business practice standards and reliability 
standards to be critical to the efficient operation of the market.).
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    27. NERC has stated that in its view Time Error itself is not a 
reliability risk, and the purpose of the Time Error Correction 
Reliability Standard is not to account for Time Error, but to ensure 
Time Error Corrections are implemented in a reliable manner. Any time 
the Balancing Authorities within an Interconnection undertake an actual 
modification to their generation dispatch to correct for Time Error, it 
must be coordinated and monitored by a Reliability Coordinator to 
ensure that each Balancing Authority schedules the same frequency and 
preclude negative impacts on reliable operation, allowing the 
Reliability Coordinator to maintain a wide area view of other 
activities, planned or unplanned, occurring on the system at the time. 
Any Reliability Coordinator can qualify to perform the Interconnection 
Time Monitor function, and each Interconnection requires one Time 
Monitor, which is responsible for determining when to implement Time 
Error Corrections, and for coordinating their execution. The 
requirement to appoint a single Time Monitor for each Interconnection 
ensures that a Time Error Correction is well coordinated and 
communication runs smoothly. If more than one Time Monitor were 
assigned to each Interconnection, there would be a risk of 
uncoordinated Time Error Corrections, resulting in inefficient Time 
Error Corrections and inadvertent power flows (which could lead to 
congestion issues on the Bulk-Power System (potentially reaching or 
exceeding System Operating Limits or Interconnection reliability 
Operating Limits)) or failure to terminate a Time Error Correction 
quickly (due to unclear lines of authority, communication issues, or 
confusion when requested by a Reliability Coordinator or Balancing 
Authority) if necessary to preserve system reliability.
    28. The current, previously-approved Reliability Standard ensures 
that Time Error Corrections are implemented in a reliable manner by 
requiring one designated Reliability Coordinator to serve as Time 
Monitor for each Interconnection and to perform the function of calling 
for Time Error Corrections, taking into account system conditions, and 
to halt Time Error Corrections if system conditions warrant, as well as 
requiring Balancing Authorities to participate and follow the specified 
procedures. The current Reliability Standard also allows any 
Reliability Coordinator or Balancing Authority to call for termination 
of a Time Error Correction for reliability considerations.
    29. The greater reliability risk associated with Time Error 
Correction appears to lie in executing a Time Error Correction rather 
than in monitoring for Time Error. Accordingly, any penalties arising 
from the Time Error Correction Reliability Standard should 
appropriately consider and differentiate between the differing levels 
of reliability risk arising from differing actions required from 
Interconnection Time Monitors and should shield the Interconnection 
Time Monitors from liability beyond their control such as when a 
Balancing Authority fails to respond appropriately to directives from 
the Interconnection Time Monitors.
    30. Thus, NERC should consider developing compliance evaluation 
measures that assess the reliability risk associated with each action, 
and tie any penalty to each action. Requirement R2 might be divided 
into sub-requirements in order to facilitate development of such 
compliance evaluation measures.
    31. The Commission further reminds NERC that, in Order No. 693, we 
directed the Electric Reliability Organization to develop additional 
Measures and add Levels of Non-Compliance to assure that the 
requirements in the current Requirement R3 are achieved.\18\
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    \18\ Order No. 693, FERC Stats. & Regs. ] 31,242 at P 384.
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    32. The Commission seeks comments on the proposals discussed above.

III. Information Collection Statement

    33. The Office of Management and Budget (OMB) regulations require 
that OMB approve certain reporting and recordkeeping (collections of 
information) imposed by an agency.\19\ The information contained here 
is also subject to review under section 3507(d) of the Paperwork 
Reduction Act of 1995.\20\ As stated above, the Commission previously 
approved, in Order No. 693, the Reliability Standard that is the 
subject of the current rulemaking. In the first instance, the 
Commission is proposing to remand the proposed revisions to BAL-004-1, 
thus the reporting burden would not change. In the event that the 
Commission, after receiving comments, determines to adopt the proposed 
revisions to the Reliability Standard, they are minor; therefore, they 
would not add to or increase entities' current reporting burden. Thus, 
the current proposal would not materially affect the burden estimates 
relating to the currently effective version of the Reliability Standard 
presented in Order No. 693.\21\
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    \19\ 5 CFR 1320.11.
    \20\ 44 U.S.C. 3507(d).
    \21\ See Order No. 693, FERC Stats. & Regs. ] 31,242 at P 1905-
07.
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    34. For example, the proposed modifications to BAL-004-1 do not 
modify or otherwise affect the collection of information already in 
place. Moreover, the proposed removal of business practice-related 
requirements from Reliability Standard BAL-004-1 likely will decrease, 
not increase, the reporting burden associated with the current, 
Commission-approved version of the Reliability Standard.
    35. Thus, the proposed modifications to the current Reliability 
Standard effected by this proposed rule will not increase the reporting 
burden nor impose any additional information collection requirements.
    36. The Commission does not foresee any additional impact on the 
reporting burden for small businesses, because the proposed 
modifications are minor and do not increase the existing burden. 
However, we will submit this proposed rule to OMB for informational 
purposes.
    Title: Modification of Time Error Correction Reliability Standard.
    Action: Proposed Collection.

[[Page 15375]]

    OMB Control No.: 1902-0244.
    Respondents: Businesses or other for-profit institutions; not-for-
profit institutions.
    Frequency of Responses: On Occasion.
    Necessity of the Information: This proposed rule proposes to remand 
modifications to a Reliability Standard pertaining to Time Error 
Corrections.
    Internal Review: The Commission has reviewed the proposed 
Reliability Standard and made a determination that its action is 
necessary to implement section 215 of the FPA. These requirements, if 
modified as discussed above should conform to the Commission's 
expectation for Time Error Correction as well as procedures within the 
energy industry.
    37. Interested persons may obtain information on the reporting 
requirements by contacting the following: Federal Energy Regulatory 
Commission, 888 First Street, NE. Washington, DC 20426 [Attention: 
Michael Miller, Office of the Executive Director, Phone: (202) 502-
8415, fax: (202) 273-0873, e-mail: [email protected]].
    38. For submitting comments concerning the collection(s) of 
information and the associated burden estimate(s), please send your 
comments to the contact listed above and to the Office of Information 
and Regulatory Affairs, Office of Information and Regulatory Affairs, 
Washington, DC 20503 [Attention: Desk Officer for the Federal Energy 
Regulatory Commission, phone (202) 395-4650, fax: (202) 395-7285, e-
mail: [email protected]].

IV. Environmental Analysis

    39. The Commission is required to prepare an Environmental 
Assessment or an Environmental Impact Statement for any action that may 
have a significant adverse effect on the human environment.\22\ The 
Commission has categorically excluded certain actions from this 
requirement as not having a significant effect on the human 
environment. Included in the exclusion are rules that are clarifying, 
corrective, or procedural or that do not substantially change the 
effect of the regulations being amended.\23\ The actions proposed 
herein fall within this categorical exclusion in the Commission's 
regulations.
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    \22\ Regulations Implementing the National Environmental Policy 
Act of 1969, Order No. 486, FERC Stats. & Regs. ] 30,783 (1987).
    \23\ 18 CFR 380.4(a)(2)(ii).
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V. Regulatory Flexibility Act Analysis

    40. The Regulatory Flexibility Act of 1980 (RFA) \24\ generally 
requires a description and analysis of final rules that will have 
significant economic impact on a substantial number of small entities. 
Agencies are not required to provide such an analysis if a rule would 
not have such an effect. The RFA mandates consideration of regulatory 
alternatives that accomplish the stated objectives of a proposed rule 
and that minimize any significant economic impact on a substantial 
number of small entities. The Small Business Administration's Office of 
Size Standards develops the numerical definition of a small business. 
(See 13 CFR 121.201.) For electric utilities, a firm is small if, 
including its affiliates, it is primarily engaged in the transmission, 
generation and/or distribution of electric energy for sale and its 
total electric output for the preceding twelve months did not exceed 
four million megawatt hours.
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    \24\ 5 U.S.C. 601-12.
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    41. NERC and the entities that act as Interconnection Time 
Monitors, and thus would be affected by the proposed Reliability 
Standard, do not fall within the RFA's definition of small entity. NERC 
is the Commission-certified Electric Reliability Organization for the 
continental United States, and is responsible for developing and 
enforcing mandatory Reliability Standards for the United States. NERC 
enforces compliance with NERC Reliability Standards through a rigorous 
program of monitoring, audits and investigations, and the imposition of 
financial penalties and other enforcement actions for non-compliance.
    42. The Midwest Independent Transmission System Operator, Inc. 
(Midwest ISO) is a non-profit organization with over 131,000 megawatts 
of installed generation. Midwest ISO has 93,600 miles of transmission 
lines and serves 15 states and one Canadian province.
    43. The Electric Reliability Council of Texas (ERCOT) manages the 
flow of electric power to 22 million Texas customers. As the 
independent system operator for the region, ERCOT schedules power on an 
electric grid that connects 40,000 miles of transmission lines and more 
than 550 generation units.
    44. The Western Electricity Coordinating Council (WECC) is 
responsible for coordinating and promoting bulk electric system 
reliability in the Western Interconnection. WECC's service territory 
extends from Canada to Mexico. It includes the provinces of Alberta and 
British Columbia, the northern portion of Baja California, Mexico, and 
all or portions of the 14 Western states between.
    45. In any event, the RFA is not implicated by this proposed rule 
because by remanding the proposed Reliability Standard the Commission 
is maintaining the status quo until future revisions to the Reliability 
Standard are filed with and approved by the Commission.

VI. Comment Procedures

    46. The Commission invites interested persons to submit comments on 
the matters and issues proposed in this notice to be remanded, 
including any related matters or alternative proposals that commenters 
may wish to discuss. Comments are due April 28, 2010. Comments must 
refer to Docket No. RM09-13-000, and must include the commenter's name, 
the organization they represent, if applicable, and their address in 
their comments.
    47. The Commission encourages comments to be filed electronically 
via the eFiling link on the Commission's Web site at http://www.ferc.gov. The Commission accepts most standard word processing 
formats. Documents created electronically using word processing 
software should be filed in native applications or print-to-PDF format 
and not in a scanned format. Commenters filing electronically do not 
need to make a paper filing.
    48. Commenters that are not able to file comments electronically 
must send an original and 14 copies of their comments to: Federal 
Energy Regulatory Commission, Secretary of the Commission, 888 First 
Street NE., Washington, DC 20426.
    49. All comments will be placed in the Commission's public files 
and may be viewed, printed, or downloaded remotely as described in the 
Document Availability section below. Commenters on this proposal are 
not required to serve copies of their comments on other commenters.

VII. Document Availability

    50. In addition to publishing the full text of this document in the 
Federal Register, the Commission provides all interested persons an 
opportunity to view and/or print the contents of this document via the 
Internet through the Commission's Home Page (http://www.ferc.gov) and 
in the Commission's Public Reference Room during normal business hours 
(8:30 a.m. to 5 p.m.

[[Page 15376]]

Eastern time) at 888 First Street, NE., Room 2A, Washington, DC 20426.
    51. From the Commission's Home Page on the Internet, this 
information is available on eLibrary. The full text of this document is 
available on eLibrary in PDF and Microsoft Word format for viewing, 
printing, and/or downloading. To access this document in eLibrary, type 
the docket number excluding the last three digits of this document in 
the docket number field.
    52. User assistance is available for eLibrary and the Commission's 
web site during normal business hours from FERC Online Support at (202) 
502-6652 (toll free at (866) 208-3676) or email at 
[email protected], or the Public Reference Room at (202) 502-
8371, TTY (202) 502-8659. E-mail the Public Reference Room at 
[email protected].

    By direction of the Commission.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
[FR Doc. 2010-6481 Filed 3-26-10; 8:45 am]
BILLING CODE 6717-01-P