[Federal Register Volume 83, Number 184 (Friday, September 21, 2018)]
[Notices]
[Pages 47921-47922]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-20597]


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DEPARTMENT OF ENERGY

Western Area Power Administration


Pacific Northwest-Pacific Southwest Intertie Project--Rate Order 
No. WAPA-181

AGENCY: Western Area Power Administration, DOE.

ACTION: Notice of rate order extending transmission service rates.

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SUMMARY: The Deputy Secretary of Energy extends, on an interim basis, 
the existing Pacific Northwest-Pacific Southwest Intertie Project 
(Intertie) transmission service rates through September 30, 2020. 
Existing Rate Schedules INT-FT5 and INT-NFT4 expired on April 30, 2018. 
The Administrator of the Western Area Power Administration (WAPA) 
approved rates for short-term sales of firm and non-firm transmission 
service on April 26, 2018, to cover the period between May 1, 2018, and 
the date this rate extension goes into effect or October 31, 2018, 
whichever occurs first. The extended transmission service rates will be 
in effect on an interim basis until the Federal Energy Regulatory 
Commission (FERC) confirms, approves, and places them into effect on a 
final basis, or until they are replaced by other rates.

DATES: Transmission Service Rate Schedules INT-FT5 and INT-NFT4 will 
become effective October 22, 2018, and will remain in effect through 
September 30, 2020.

FOR FURTHER INFORMATION CONTACT: Mr. Ronald E. Moulton, Regional 
Manager, Desert Southwest Customer Service Region, Western Area Power 
Administration, P.O. Box 6457, Phoenix, AZ 85005-6457, or Ms. Tina 
Ramsey, Rates Manager, Desert Southwest Customer Service Region, 
Western Area Power Administration, P.O. Box 6457, Phoenix, AZ 85005-
6457, (602) 605-2565, or e-mail [email protected].

SUPPLEMENTARY INFORMATION: By Delegation Order No. 00-037.00B, 
effective November 19, 2016, the Secretary of Energy delegated: (1) The 
authority to develop power and transmission rates to WAPA'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 
FERC.
    Rate Schedules INT-FT5 and INT-NFT4 under Rate Order No. WAPA-157 
\1\ were approved by FERC for a 5-year period through April 30, 2018. 
WAPA's Administrator approved the use of existing Intertie rates under 
his authority to set rates for short-term sales to cover the period 
between May 1, 2018, and the date this rate extension goes into effect 
or October 31, 2018, whichever occurs first.
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    \1\ FERC confirmed and approved Rate Order No. WAPA-157 on 
August 22, 2013, in Docket No. EF13-4-000. See Order Confirming and 
Approving Rate Schedules on a Final Basis, 144 FERC ] 61,143.
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    In accordance with 10 CFR 903.23(a), WAPA is extending the Intertie 
transmission service rates under Rates Schedules INT-FT5 and INT-NFT4. 
Extending these rate schedules through September 30, 2020, will provide 
WAPA and its customers time to evaluate the potential benefits of 
combining transmission rates on Federal projects located within WAPA's 
Desert Southwest Region. Combining rates may lead to more efficient use 
of the Federal transmission systems, diversify the customers who use 
those systems, and be financially advantageous. If, after a thorough 
evaluation, WAPA determines that combining transmission rates will 
produce material benefits, it would initiate a rate adjustment to 
combine the rates.
    The notice of proposed rate extension was published in the Federal 
Register on March 9, 2018 (83 FR 10475). In accordance with 10 CFR 
903.23(a), WAPA determined it was not necessary to hold a public 
information or public comment forum but provided a 30-day consultation 
and comment period on the proposed rate extension. The consultation and 
comment period ended on April 9, 2018.
    Following DOE's review of WAPA's proposal, I hereby approve Rate 
Order No. WAPA-181, which extends existing Transmission Service Rate 
Schedules INT-FT5 and INT-NFT4 through September 30, 2020. Rate Order 
No. WAPA-181 will be submitted to FERC for confirmation and approval on 
a final basis.

    Dated: September 11, 2018.
Dan Brouillette,
Deputy Secretary of Energy.

DEPARTMENT OF ENERGY

DEPUTY SECRETARY

    In the Matter of: Western Area Power Administration Rate 
Extension of Pacific Northwest-Pacific Southwest Intertie Project 
Transmission Service Rate Schedules

Rate Order No. WAPA-181

ORDER CONFIRMING AND APPROVING AN EXTENSION OF PACIFIC NORTHWEST-
PACIFIC SOUTHWEST INTERTIE PROJECT TRANSMISSION SERVICE RATE SCHEDULES

    Section 302 of the Department of Energy (DOE) Organization Act (42 
U.S.C. 7152) 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 involved.
    By Delegation Order No. 00-037.00B, effective November 19, 2016, 
the Secretary of Energy delegated (1) the authority to develop power 
and transmission rates to the Administrator of the Western Area Power 
Administration (WAPA); (2) the

[[Page 47922]]

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 documented at 10 CFR 903.23(a).

BACKGROUND

    On August 22, 2013, FERC confirmed, approved, and placed into 
effect on a final basis Intertie Transmission Service Rate Schedules 
INT-FT5 and INT-NFT4 under Rate Order No. WAPA-157.\1\ These 
transmission service rate schedules were approved for 5-year period 
beginning May 1, 2013, and ending April 30, 2018.
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    \1\ FERC confirmed and approved Rate Order No. WAPA-157 on 
August 22, 2013, in Docket No. EF13-4-000. See Order Confirming and 
Approving Rate Schedules on a Final Basis, 144 FERC ] 61,143.
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    Pursuant to 10 CFR 903.23(a), WAPA filed a notice in the Federal 
Register on March 9, 2018, proposing to extend Rate Schedules INT-FT5 
and INT-NFT4 under Rate Order No. WAPA-181 (83 FR 10475). WAPA held a 
consultation and comment period on the proposed rate extension but did 
not conduct a public information forum or public comment forum. WAPA 
received no comments during the consultation and comment period, which 
ended on April 9, 2018.

DISCUSSION

    On April 30, 2018, existing Rate Schedules INT-FT5 and INT-NFT4 
expired. Pursuant to Delegation Order No. 00-037.00B, Section 1.5, 
rates for short-term sales were approved by WAPA's Administrator to 
cover the period between May 1, 2018, and the date the rate extension 
goes into effect or October 31, 2018, whichever occurs first. The 
existing transmission service rates provide adequate revenue to pay all 
annual costs, including interest expense, and to repay required 
investment according to the cost recovery criteria set forth in DOE 
Order RA 6120.2. Rate Order No. WAPA-181, which extends the existing 
rate schedules through September 30, 2020, ensures adequate revenue to 
pay all annual costs for the allowable period.

[FR Doc. 2018-20597 Filed 9-20-18; 8:45 am]
 BILLING CODE 6450-01-P