[Federal Register Volume 79, Number 231 (Tuesday, December 2, 2014)]
[Notices]
[Pages 71413-71415]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-28370]


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DEPARTMENT OF ENERGY

Western Area Power Administration


Pick-Sloan Missouri Basin Program--Eastern Division-Rate Order 
No. WAPA-168

AGENCY: Western Area Power Administration, DOE.

ACTION: Notice of Extension of Transmission and Ancillary Services 
Formula Rates.

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SUMMARY: This action extends the existing transmission and ancillary 
services rates for the Pick-Sloan Missouri Basin Program--Eastern 
Division (P-SMB--ED) through December 31, 2016. The existing Rate 
Schedules UGP-NT1, UGP-FPT1, UGP-NFPT1, UGP-AS1, UGP-AS2, UGP-AS3, UGP-
AS4, UGP-AS5, UGP-AS6, UGP-AS7, and UGP-TSP1 are set to expire on 
December 31, 2014. These transmission and ancillary services rate 
schedules contain formula rates that are calculated annually using 
updated financial and load information.

DATES: This action is effective as of January 1, 2015.

[[Page 71414]]


FOR FURTHER INFORMATION CONTACT: Mr. Robert J. Harris, Regional 
Manager, Upper Great Plains Region, Western Area Power Administration, 
2900 4th Avenue North, Billings, MT 59101-1266; telephone: (406) 255-
2800; email: [email protected], or Ms. Linda Cady-Hoffman, Rates 
Manager, Upper Great Plains Region, Western Area Power Administration, 
2900 4th Avenue North, Billings, MT 59101-1266; telephone: (406) 255-
2920; email: [email protected].

SUPPLEMENTARY INFORMATION: By Delegation Order No. 00-037.00A, 
effective October 25, 2013, the Secretary of Energy delegated: (1) The 
authority to develop power and transmission rates to the Administrator 
of 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 
(FERC). This extension is issued pursuant to the Delegation Order and 
Department of Energy (DOE) rate extension procedures at 10 CFR part 
903.23(a).
    Rate Schedules UGP-NT1, UGP-FPT1, UGP-NFPT1, UGP-AS1, UGP-AS2, UGP-
AS3, UGP-AS4, UGP-AS5, UGP-AS6, UGP-AS7, and UGP-TSP1, contained in 
Rate Order Nos. WAPA-144 and WAPA-148,\1\ were approved by FERC on 
September 23, 2010.\2\ The existing formula rate schedules consist of 
separate rates for firm and non-firm transmission rates and ancillary 
services rates for the transmission facilities in the P-SMBP--ED, which 
are integrated with transmission facilities of Basin Electric Power 
Cooperative and Heartland Consumers Power District such that 
transmission services are provided over an Integrated System (IS). The 
rates are sometimes referred to as IS Rates.
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    \1\ See 74 FR 68820 (December 29, 2009).
    \2\ See U.S. Dept. of Energy, Western Area Power Admin., Docket 
No. EF10-3-000, 132 FERC ] 61,257 (2010).
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    The existing transmission and ancillary services formula rates are 
adequate to provide revenue to pay all annual costs, including interest 
expense, and to repay investment within the allowable period. The rates 
are calculated annually to ensure repayment of the project within the 
cost recovery criteria set forth in DOE Order RA 6120.2.
    It should be noted that Western's Upper Great Plains Region 
(Western-UGP) has joined the Southwest Power Pool (SPP) Regional 
Transmission Organization (RTO) contingent upon FERC approval of 
Western-UGP's negotiated provision in the SPP Membership Agreement, 
Bylaws, and Tariff (SPP Governing Documents). Upon achieving final FERC 
approval of membership within SPP and transferring functional control 
of the portion of Western-UGP's P-SMBP--ED facilities in the Eastern 
Interconnection to SPP, Western-UGP will merge its Upper Great Plains 
East Balancing Authority Area in the Eastern Interconnection into SPP's 
Balancing Authority Area. Western-UGP will, however, retain operation 
of its Upper Great Plains West Balancing Authority Area in the Western 
Interconnection as the Balancing Authority (BA), and will not place the 
portion of its transmission system located in the Western Interconnect 
into SPP's Integrated Marketplace. Western-UGP plans to transfer 
functional control of the P-SMB--ED in the Western Interconnection by 
way of contract. At that time, transmission and ancillary services will 
be provided over Western-UGP facilities by SPP, and P-SMBP--ED 
transmission services will no longer be available on the IS under 
Western's Open Access Transmission Tariff. As a result, the existing 
Rate Schedules UGP-NT1, UGP-FPT1, UGP-NFPT1, UGP-AS1, UGP-AS2, UGP-AS3, 
UGP-AS4, UGP-AS5, UGP-AS6, UGP-AS7, and UGP-TSP1 would no longer be 
applicable.
    Rate extensions are authorized under 10 CFR 903.23. Rates 
previously confirmed and approved by FERC, for which no adjustment is 
contemplated, may be extended by the Deputy Secretary on an interim 
basis following notice of proposed extension at least 30 days before 
expiration.\3\ On August 11, 2014, Western published a notice of the 
proposed extension in the Federal Register.\4\ In accordance with 10 
CFR part 903.23(a), Western provided for a consultation and comment 
period, but did not conduct public information forums or public comment 
forums. The consultation and comment period ended on September 10, 
2014, and Western did not receive any comments.
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    \3\ See 10 CFR 903.23(a) (2014).
    \4\ See 79 FR 46798 (August 11, 2014).
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    Following review of Western's proposal within DOE, I hereby approve 
Rate Order No. WAPA-168, which extends, without adjustment, the 
existing firm and non-firm transmission rates and ancillary services 
Rate Schedules UGP-NT1, UGP-FPT1, UGP-NFPT1, UGP-AS1, UGP-AS2, UGP-AS3, 
UGP-AS4, UGP-AS5, UGP-AS6, UGP-AS7, and UGP-TSP1 on an interim basis 
through December 31, 2016. Rate Order No. WAPA-168 will be submitted to 
FERC for confirmation and approval on a final basis.

    Dated: November 21, 2014.
Elizabeth Sherwood-Randall,
Deputy Secretary of Energy.

DEPARTMENT OF ENERGY

DEPUTY SECRETARY

In the matter of:

Western Area Power Administration
Rate Extension for the
Pick-Sloan Missouri Basin Program--Eastern Division

Rate Order No. WAPA-168

ORDER CONFIRMING AND APPROVING AN EXTENSION OF THE PICK-SLOAN MISSOURI 
BASIN PROGRAM--EASTERN DIVISION TRANSMISSION AND ANCILLARY SERVICES 
FORMULA RATE SCHEDULES

    These rates were established in accordance with 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)), section 5 of the Flood Control Act of 1944 (16 U.S.C. 
825s), and other acts that specifically apply to the project involved.
    By Delegation Order No. 00-037.00A, effective October 25, 2013, the 
Secretary of Energy delegated: (1) the authority to develop power and 
transmission rates to the Administrator of 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 (FERC). This 
extension is issued pursuant to the Delegation Order and DOE rate 
extension procedures at 10 CFR part 903.23(a).
    BACKGROUND: Rate Schedules UGP-NT1, UGP-FPT1, UGP-NFPT1, UGP-AS1, 
UGP-AS2, UGP-AS3, UGP-AS4, UGP-AS5, UGP-AS6, UGP-AS7, and UGP-TSP1, 
contained in Rate Order Nos. WAPA-144 and WAPA-148, were approved by 
FERC for a 5-year period on January 1, 2010, through December 31, 2014. 
FERC issued its approval on

[[Page 71415]]

September 23, 2010, in Docket No. EF10-03-0000 (132 FERC ] 61,257). On 
August 11, 2014, Western published a notice in the Federal Register 
proposing to extend, without adjustment, Rate Schedules UGP-NT1, UGP-
FPT1, UGP-NFPT1, UGP-AS1, UGP-AS2, UGP-AS3, UGP-AS4, UGP-AS5, UGP-AS6, 
UGP-AS7, and UGP-TSP1 under Rate Order No. WAPA-168 (79 FR 46798). 
Western provided for a consultation and comment period, but did not 
conduct public information forums or public comment forums. The 
consultation and comment period ended on September 10, 2014. Western 
did not receive any comments.
    DISCUSSION: The P-SMBP--ED firm and non-firm transmission rates and 
ancillary services Rate Schedules UGP-NT1, UGP-FPT1, UGP-NFPT1, UGP-
AS1, UGP-AS2, UGP-AS3, UGP-AS4, UGP-AS5, UGP-AS6, UGP-AS7, and UGP-TSP1 
expire on December 31, 2014. The formula rates provide adequate revenue 
to pay all annual costs, including interest expense, and to repay 
investment within the allowable period. The rates are calculated 
annually to ensure repayment of the project within the cost recovery 
criteria set forth in DOE Order RA 6120.2. Rate Order No. WAPA-168 
extends the existing formula Rate Schedules UGP-NT1, UGP-FPT1, UGP-
NFPT1, UGP-AS1, UGP-AS2, UGP-AS3, UGP-AS4, UGP-AS5, UGP-AS6, UGP-AS7, 
and UGP-TSP1 through December 31, 2016, thereby continuing to ensure 
repayment within the cost recovery criteria.

ORDER

    In view of the foregoing and under the authority delegated to me, I 
hereby extend, on an interim basis, the existing firm and non-firm 
transmission and ancillary services formula Rate Schedules UGP-NT1, 
UGP-FPT1, UGP-NFPT1, UGP-AS1, UGP-AS2, UGP-AS3, UGP-AS4, UGP-AS5, UGP-
AS6, UGP-AS7, and UGP-TSP1. Rate Order No. WAPA-168 extends, without 
adjustment, the existing formula rates through December 31, 2016. The 
formula Rate Schedules shall be in effect pending the FERC confirmation 
and approval of this extension or substitute formula rates on a final 
basis.

Dated: November 21, 2014

Elizabeth Sherwood-Randall
Deputy Secretary of Energy

[FR Doc. 2014-28370 Filed 12-1-14; 8:45 am]
BILLING CODE 6450-01-P