[Federal Register Volume 84, Number 221 (Friday, November 15, 2019)]
[Notices]
[Page 62519]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-24819]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF ENERGY


Intent to Revise Power Marketing Policy Kerr-Philpott System of 
Projects

AGENCY: Southeastern Power Administration (Southeastern), DOE.

ACTION: Notice of Intention to begin a public process.

-----------------------------------------------------------------------

SUMMARY: Pursuant to its Procedure for Public Participation in the 
Formulation of Marketing Policy, published in the Federal Register of 
July 6, 1978, Southeastern Power Administration (Southeastern) intends 
to revise its marketing policy by including provisions regarding 
renewable energy certificates from its Kerr-Philpott System of 
Projects. The current power marketing policy was published on July 29, 
1985, for the Southeastern Kerr-Philpott System and is reflected in 
contracts for the sale of system power, which are maintained in 
Southeastern's headquarters office. Southeastern solicits written 
comments and proposals in formulating the proposed marketing policy 
revision.

DATES: Comments and proposals must be submitted on or before January 
14, 2020.

ADDRESSES: Written comments or proposals should be submitted to Kenneth 
E. Legg, Administrator, Southeastern Power Administration, 1166 Athens 
Tech Road, Elberton, GA 30635-6711, (706) 213-3800, 
[email protected].

FOR FURTHER INFORMATION CONTACT: Leon Jourolmon IV, General Counsel, 
(706) 213-3800, [email protected].

SUPPLEMENTARY INFORMATION: A ``Final Power Marketing Policy Kerr-
Philpott System of Projects'' was developed and published in the 
Federal Register on July 29, 1985, 50 FR 30752, by Southeastern. The 
policy establishes the marketing area for system power and addresses 
the utilization of area utility systems for essential purposes. The 
policy also addresses wholesale rates, resale rates, and conservation 
measures, but does not address renewable energy certificates.
    Under Section 5 of the Flood Control Act of 1944 (16 U.S.C. 825s), 
Southeastern is responsible for the transmission and disposition of 
electric power and energy from reservoir projects operated by the 
Department of the Army. Furthermore, Southeastern must transmit and 
dispose of such power and energy in such manner as to encourage the 
most widespread use at the lowest possible rates to consumers 
consistent with sound business principles. Rate schedules are drawn 
having regard to the recovery of the cost of producing and transmitting 
such electric energy.
    The Kerr-Philpott System consists of two projects, the John H. Kerr 
Project and the Philpott Project. The power from the projects is 
currently marketed to Preference Customers located in the service areas 
of Dominion Energy, Duke Energy Progress, American Municipal Power, and 
American Electric Power.
    Both the John H. Kerr Project and the Philpott Project are located 
within the regional footprint served by the regional transmission 
organization PJM Interconnection, L.L.C. (PJM) footprint, as are the 
Virginia-based Preference Customers with power allocations. 
Southeastern owns no transmission assets in the area of the Kerr-
Philpott System and relies on PJM transmission resources to dispose of 
power and energy from the projects. As such, Southeastern joined PJM in 
2005.
    As the projects are located within the PJM region and potentially 
satisfy Renewable Portfolio Standards in a number of states, 
Southeastern has subscribed to the PJM Generation Attribute Tracking 
System (GATS). The GATS provides an unbundled, certificates-based 
tracking system that reports certain operating attributes of 
electricity generators selling energy through the PJM Market Settlement 
System. The attributes are unbundled from the megawatt-hour of energy 
produced and recorded onto a certificate. These certificates may be 
used by electricity suppliers and other energy market participants to 
comply with relevant state policies and regulatory programs and to 
support voluntary ``green'' electricity markets. Southeastern is 
considering distributing the GATS-created certificates to current 
Preference Customers with allocations of power from the Kerr-Philpott 
System.
    Upon formulating a proposed revision to the Kerr-Philpott System 
marketing policy to address renewable energy certificates, Southeastern 
will publish the proposal in the Federal Register and begin a sixty-day 
comment period pursuant to its Procedures for Public Participation in 
the Formulation of Marketing Policy.

    Dated: November 7, 2019.
Kenneth E. Legg,
Administrator.
[FR Doc. 2019-24819 Filed 11-14-19; 8:45 am]
 BILLING CODE 6450-01-P