[Federal Register Volume 86, Number 75 (Wednesday, April 21, 2021)]
[Notices]
[Pages 20689-20691]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-08191]


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DEPARTMENT OF ENERGY

Western Area Power Administration


Loveland Area Projects, Western Area Colorado Missouri Balancing 
Authority, and Colorado River Storage Project--Rate Order No. WAPA-196

AGENCY: Western Area Power Administration, DOE.

ACTION: Notice of proposed extension of transmission and ancillary 
services formula rates.

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SUMMARY: The Rocky Mountain Region (RMR) of the Western Area Power 
Administration (WAPA) proposes to extend existing formula rates for the 
Loveland Area Projects (LAP), the Western Area Colorado Missouri 
Balancing Authority (WACM), and the Colorado River Storage Project 
(CRSP) through September 30, 2024. The extended formula rates are 
unchanged from the existing formula rates applicable to LAP 
transmission services under rate schedules L-NT1 (network), L-FPT1 
(firm point-to-point), L-NFPT1 (non-firm point-to-point), and L-UU1 
(unreserved use), and applicable to LAP, WACM, and CRSP ancillary 
services under rate schedules L-AS1 (scheduling and dispatch), L-AS2 
(reactive supply and voltage control (VAR) support), L-AS3 
(regulation), L-AS5 (spinning reserves), and L-AS6 (supplemental 
reserves) that expire on September 30, 2021.

DATES: A consultation and comment period will begin April 21, 2021 and 
end May 21, 2021. RMR will accept written comments at any time during 
the consultation and comment period.

ADDRESSES: Written comments and requests to be informed of Federal 
Energy Regulatory Commission (FERC) actions concerning the proposed 
extension submitted by WAPA to FERC

[[Page 20690]]

for approval should be sent to: Mr. Timothy A. Vigil, Acting Regional 
Manager, Rocky Mountain Region, Western Area Power Administration, 5555 
East Crossroads Boulevard, Loveland, CO 80538-8986, or email: 
[email protected]. RMR will post information about the proposed 
formula rate extension and written comments received to its website at: 
https://www.wapa.gov/regions/RM/rates/Pages/2021-Rate-Extension.aspx.

FOR FURTHER INFORMATION CONTACT: Mrs. Sheila D. Cook, Rates Manager, 
Rocky Mountain Region, Western Area Power Administration, (970) 685-
9562 or email: [email protected].

SUPPLEMENTARY INFORMATION: On March 9, 2017, FERC approved and 
confirmed LAP transmission and LAP, WACM, and CRSP ancillary services 
formula rates under Rate Schedules L-NT1 (network), L-FPT1 (firm point-
to-point), L-NFPT1 (non-firm point-to-point), L-UU1 (unreserved use), 
L-AS1 (scheduling and dispatch), L-AS2 (VAR support), L-AS3 
(regulation), L-AS4 (energy imbalance), L-AS5 (spinning reserves), L-
AS6 (supplemental reserves), L-AS7 (transmission losses), and L-AS9 
(generator imbalance) under Rate Order No. WAPA-174 for a 5-year period 
through September 30, 2021.\1\ On December 29, 2020, WAPA's 
Administrator approved rates for short-term sales for RMR to use under 
the Western Energy Imbalance Service (WEIS) Market, which superseded 
rate schedules L-AS4 (energy imbalance), L-AS9 (generator imbalance), 
and L-AS7 (transmission losses) for the 8-month period of February 1, 
2021, through September 30, 2021.
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    \1\ Order Confirming and Approving Rate Schedules on a Final 
Basis, FERC Docket Nos. EF16-5-000 and EF16-5-001, 158 FERC ] 62,181 
(2017).
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    In accordance with 10 CFR 903.23(a),\2\ RMR is proposing to extend 
the remaining 5-year formula rates under Rate Schedules L-NT1 
(network), L-FPT1 (firm point-to-point), L-NFPT1 (non-firm point-to-
point), L-UU1 (unreserved use), L-AS1 (scheduling and dispatch), L-AS2 
(VAR support), L-AS3 (regulation), L-AS5 (spinning reserves), and L-AS6 
(supplemental reserves) for the period of October 1, 2021, through 
September 30, 2024. The existing formula rates provide sufficient 
revenue to pay all annual costs, including interest expense, and repay 
investment within the allowable period consistent with the cost 
recovery criteria set forth in Department of Energy (DOE) Order RA 
6120.2.
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    \2\ 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347 (Feb. 21, 2019).
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    In accordance with 10 CFR 903.23(a), WAPA has determined that it is 
not necessary to hold public information or public comment forums for 
this rate action but is initiating a 30-day consultation and comment 
period to give the public an opportunity to comment on the proposed 
extension. RMR will review and consider all timely public comments at 
the conclusion of the consultation and comment period and adjust the 
proposal as appropriate.
    Under a separate rate adjustment process, Rate Order No. WAPA-197, 
RMR is concurrently proposing to put long-term rates in place for RMR 
to use under the WEIS Market under Rate Schedules L-AS4 (energy 
imbalance), L-AS9 (generator imbalance), L-AS7 (balancing authority 
real power losses), and L-NFJDT (joint dispatch transmission) for this 
same 3-year period, October 1, 2021, through September 30, 2024.
    This 3-year period would allow RMR time to refine the WEIS Market 
implementation and investigate the potential expansion of, and 
participation in, the Southwest Power Pool (SPP) Regional Transmission 
Organization (RTO) in the Western Interconnection. The potential 
expansion of the SPP RTO would have significant impacts on the above 
rate methodologies. Putting rates in place for the next three years 
would also allow time for RMR to evaluate what changes would need to be 
made to these rates before conducting a major rate adjustment process 
and putting all necessary formula rates in place for a new 5-year 
period that would begin on October 1, 2024.

Legal Authority

    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, or to remand or 
disapprove such rates to FERC. By Delegation Order No. S1-DEL-S4-2021, 
effective February 25, 2021, the Acting Secretary of Energy also 
delegated the authority to confirm, approve, and place such rates into 
effect on an interim basis to the Under Secretary for Science (and 
Energy). By Redelegation Order No. 00-002.10E, effective February 14, 
2020, the Under Secretary of Energy (to whom such authority was 
delegated by the Secretary of Energy in Delegation Order No. 00-002.00S 
from January 15, 2020, until that delegation was rescinded on February 
25, 2021) redelegated the authority to confirm, approve, and place such 
rates into effect on an interim basis to the Assistant Secretary for 
Electricity. By Redelegation Order No. 00-002.10-05, effective July 8, 
2020, the Assistant Secretary for Electricity further redelegated the 
authority to confirm, approve, and place such rates into effect on an 
interim basis to WAPA's Administrator. The delegations and 
redelegations not affirmatively rescinded remain valid.

Ratemaking Procedure Requirements

Environmental Compliance

    WAPA previously determined that this action fits within the class 
listed in Appendix B to Subpart D of 10 CFR part 1021.410: Categorical 
exclusions applicable to B4.3: Electric power marketing rate changes 
and B4.4: Power marketing services and activities, which do not require 
preparation of either an environmental impact statement (EIS) or an 
environmental assessment (EA).\3\ Specifically, WAPA has determined 
that this rulemaking is consistent with activities identified in B4, 
Categorical Exclusions Applicable to Specific Agency Actions (see 10 
CFR part 1021, Appendix B to Subpart D, Part B4. A copy of the 
categorical exclusion determination is available on WAPA's website at 
https://www.wapa.gov/regions/RM/environment/Pages/CX2016.aspx. Look for 
file entitled, ``2016-077 Prop Formula Rate Adjust for Transmission 
Ancillary Services and Sales of Surplus Prods 031016.''
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    \3\ The determination was done in compliance with the National 
Environmental Policy Act (NEPA) of 1969, as amended, 42 U.S.C. 4321-
4347; the Council on Environmental Quality Regulations for 
implementing NEPA (40 CFR parts 1500-1508); and DOE NEPA 
Implementing Procedures and Guidelines (10 CFR part 1021).
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Determination Under Executive Order 12866

    WAPA has an exemption from centralized regulatory review under 
Executive Order 12866; accordingly, no clearance of this notice by the 
Office of Management and Budget is required.

Signing Authority

    This document of the Department of Energy was signed on April 9, 
2021, by Tracey A. LeBeau, Interim Administrator, Western Area Power 
Administration, pursuant to delegated authority from the Secretary of 
Energy. That document, with the original signature and date, is 
maintained by DOE. For administrative purposes only,

[[Page 20691]]

and in compliance with requirements of the Office of the Federal 
Register, the undersigned DOE Federal Register Liaison Officer has been 
authorized to sign and submit the document in electronic format for 
publication, as an official document of the Department of Energy. This 
administrative process in no way alters the legal effect of this 
document upon publication in the Federal Register.

    Signed in Washington, DC, on April 16, 2021.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2021-08191 Filed 4-20-21; 8:45 am]
BILLING CODE 6450-01-P