[Federal Register Volume 90, Number 131 (Friday, July 11, 2025)]
[Notices]
[Pages 30910-30916]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-12990]
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DEPARTMENT OF ENERGY
Western Area Power Administration
Pick-Sloan Missouri Basin Program--Eastern Division--Rate Order
No. WAPA-218
AGENCY: Western Area Power Administration, DOE.
ACTION: Notice of rate order concerning transmission and ancillary
services formula rates.
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SUMMARY: The formula rates for the Upper Great Plains region's (UGP)
Pick-Sloan Missouri Basin Program--Eastern Division (P-SMBP--ED)
transmission and ancillary services for UGP's costs to be recovered
under the Southwest Power Pool's (SPP) Open Access Transmission Tariff
(Tariff) should UGP decide to expand its participation in SPP in the
Western Interconnection, have been confirmed, approved, and placed into
effect on an interim basis (Provisional Formula Rates). If UGP expands
its participation in SPP, these new formula rates under Rate Schedules
WAUGP-ATRR (transmission), WAUGP-DCTIE-IMEU (incremental market
efficiency use share), and WAUGP-AS1 (scheduling, system control and
dispatch) will supersede the extended formula rates for transmission
and ancillary services under Rate Schedules WAUGP-ATRR, WAUGP-AS1,
WAUW-AS3, WAUW-AS4, WAUW-AS5, WAUW-AS6, and WAUW-AS7, which expire on
September 30, 2030.
DATES: The Provisional Formula Rates under Rate Schedules WAUGP-ATRR,
WAUGP-DCTIE-IMEU, and WAUGP-AS1 are effective on the first day of the
first full billing period beginning upon the later of the following
events: (1) when UGP expands its participation in SPP in the Western
Interconnection; or (2) the go-live date of the expansion of the SPP
Regional Transmission Organization (RTO) into the Western
Interconnection (scheduled for April 1, 2026, as of the date of this
Rate Order). UGP will provide notification of the effective date of the
Provisional Formula Rates on its Rates and Open Access Same-Time
Information System websites. These Provisional Formula Rates will
remain in effect through March 31, 2031, pending confirmation and
approval by the Federal Energy Regulatory Commission (FERC) on a final
basis or until superseded. If UGP does not expand its participation in
SPP in the Western Interconnection, these rates will be canceled and
the extended formula rates under Rate Order WAPA-217 will remain in
effect.
FOR FURTHER INFORMATION CONTACT: Lloyd A. Linke, Regional Manager,
Upper Great Plains Region, Western Area Power Administration, 2900 4th
Ave. North, 6th Floor, Billings, MT 59101-1266 or Linda Cady-Hoffman,
Rates Manager, Upper Great Plains Region, Western Area Power
Administration, (406) 255-2920 or email: [email protected].
SUPPLEMENTARY INFORMATION: On September 28, 2020, FERC approved and
confirmed Rate Schedules WAUGP-ATRR (transmission), WAUGP-AS1
(scheduling system control, and dispatch), WAUW-AS3 (regulation and
frequency response), WAUW-AS4 (energy imbalance), WAUW-AS5 (operating
reserve-spinning reserve), WAUW-AS6 (operating reserve-supplemental
[[Page 30911]]
reserve), and WAUW-AS7 (generator imbalance) under Rate Order No. WAPA-
188 on a final basis through September 30, 2025.\1\ Western Area Power
Administration (WAPA) published a Federal Register notice (Notice of
Rate Order) on December 20, 2024 (89 FR 104143), extending the existing
formula rates for UGP transmission and ancillary services under Rate
Order No. WAPA-217 through September 30, 2030.
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\1\ Order Confirming and Approving Rate Schedules on a Final
Basis, FERC Docket Nos. EF20-3-000 and EF20-3-001.
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WAPA published a Federal Register notice (Proposed FRN) on December
30, 2024 (89 FR 106476), proposing new formula rates for UGP
transmission and ancillary services should UGP decide to expand its
participation in SPP in the Western Interconnection. The Proposed FRN
also initiated a 90-day public consultation and comment period and set
forth the date of the virtual public information and public comment
forums. Consistent with UGP's current, extended transmission and
ancillary services formula rates, UGP will continue to use a formula-
based methodology that includes an annual update to the data used in
the rate formula calculations in accordance with the Formula Rate
Implementation Protocols (Protocols).
Legal Authority
By Delegation Order No. S1-DEL-RATES-2016, effective November 19,
2016, the Secretary of Energy delegated: (1) the authority to develop
power and transmission rates to the WAPA 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-S3-2024, effective August 30, 2024, the 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 Infrastructure.
By Redelegation Order No. S3-DEL-WAPA1-2023, effective April 10, 2023,
the Under Secretary for Infrastructure further redelegated the
authority to confirm, approve, and place such rates into effect on an
interim basis to WAPA's Administrator. This rate action is issued under
Redelegation Order No. S3-DEL-WAPA1-2023 and Department of Energy
procedures for public participation in rate adjustments set forth in 10
CFR part 903.\2\
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\2\ 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347 (Feb. 21, 2019).
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Following review of UGP's proposal, Rate Order No. WAPA-218, which
provides the formula rates for Annual Transmission Revenue Requirement
for Transmission Service, Incremental Market Efficiency Use Share, and
Scheduling, System Control, and Dispatch Service, is hereby confirmed,
approved, and placed into effect on an interim basis. WAPA will submit
Rate Order No. WAPA-218 to FERC for confirmation and approval on a
final basis.
Department of Energy
Administrator, Western Area Power Administration
In the Matter of: Western Area Power Administration, Upper Great Plains
Region, Rate Adjustment for the Pick-Sloan Missouri Basin Program--
Eastern Division,Transmission and Ancillary Services Formula Rates,
Rate Order No. WAPA-218
Order Confirming, Approving, and Placing the Formula Rates for the
Pick-Sloan Missouri Basin Program--Eastern Division Into Effect on an
Interim Basis
The formula rates in Rate Order No. WAPA-218 are established
following section 302 of the Department of Energy (DOE) Organization
Act (42 U.S.C. 7152).\1\
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\1\ 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
(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 section 5 of the Flood Control Act of 1944 (16 U.S.C.
825s); and other acts that specifically apply to the project
involved.
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By Delegation Order No. S1-DEL-RATES-2016, effective November 19,
2016, the Secretary of Energy delegated: (1) the authority to develop
power and transmission rates to the Western Area Power Administration
(WAPA) 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 the
Federal Energy Regulatory Commission (FERC). By Delegation Order No.
S1-DEL-S3-2024, effective August 30, 2024, the 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 Infrastructure.
By Redelegation Order No. S3-DEL-WAPA1-2023, effective April 10, 2023,
the Under Secretary for Infrastructure further redelegated the
authority to confirm, approve, and place such rates into effect on an
interim basis to WAPA's Administrator. This rate action is issued under
Redelegation Order No. S3-DEL-WAPA1-2023 and DOE procedures for public
participation in rate adjustments set forth at 10 CFR part 903.\2\
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\2\ 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347 (Feb. 21, 2019).
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Acronyms, Terms, and Definitions
As used in this Rate Order, the following acronyms, terms, and
definitions apply:
Attachment H: Attachment H to Southwest Power Pool's (SPP) Open
Access Transmission Tariff (Tariff)--Annual Transmission Revenue
Requirement (ATRR) for Network Integration Transmission Service.
Balancing Authority (BA): The responsible entity that integrates
resource plans ahead of time, maintains load-interchange-generation
balance within a designated area, and supports interconnection
frequency in real-time.
Balancing Authority Area (BAA): The collection of generation,
transmission, and loads within the metered boundaries of the Balancing
Authority and contained in one interconnection. The Balancing Authority
maintains load-resource balance within each of these areas. (SPP Tariff
at Part 1, Section 1, B Definitions.)
Customer Rate Brochure: A document prepared for public distribution
explaining the rationale and background for the information contained
in the Proposed Federal Register notice (FRN) and in this rate order.
DC Tie Access Charge: A charge on a transmission reservation
utilizing a West DC Tie that sinks outside of the Zone where the West
DC Tie is located. The Transmission Customer shall be responsible for
DC Tie Access Charge determined in accordance with Schedule 14. (SPP
Tariff at Part I, Section 1, D Definitions.)
Eastern Interconnection: A major alternating current power grid in
North America. The Eastern Interconnection reaches from Central Canada
eastward to the Atlantic coast (excluding Quebec), south to Florida,
and back west to the foot of the Rockies (excluding most of Texas). The
Eastern Interconnection is tied to the Western Interconnection with six
high-voltage direct current power transmission lines (DC Ties).
FRN: Federal Register notice--a document published in the Federal
Register in order for WAPA to provide information of public interest.
[[Page 30912]]
FY: WAPA's Fiscal Year; October 1 to September 30.
IMEU Share: Incremental Market Efficiency Use Share--The West DC
Tie Owners calculation of its Incremental MEU as demonstrated in
Addendum 3 to Attachment AE. (SPP Tariff Attachment AE, Section 2.21.)
Incremental MEU Charge: Incremental Market Efficiency Use Charge--A
market recovery mechanism to compensate West DC Tie Transmission Owners
for the expected loss of life of certain West DC Tie facilities due to
increased utilization of the West DC Ties by the Integrated
Marketplace. (SPP Tariff at Part I, Section 1, I Definitions.)
Integrated Marketplace: The Day-Ahead Market, the Real-Time
Balancing Market, the Transmission Congestion Rights Market and the
Reliability Unit Commitment processes. (SPP Tariff Attachment AE at
Part 1.1, I Definitions.)
NEPA: National Environmental Policy Act of 1969, as amended.
OASIS: Open Access Same-Time Information System-as defined in
WAPA's Tariff, the information system and standards of conduct
contained in Part 37 of the Commission's regulations and all additional
requirements implemented by subsequent Commission orders dealing with
OASIS.
O&M: Operation and maintenance expenses.
Provisional Formula Rates: Formula rates that are confirmed,
approved, and placed into effect on an interim basis by the Secretary
or his/her designee.
Revenue Requirement: The revenue required to recover annual
expenses (such as O&M, administrative and general expense, interest,
and depreciation).
Schedule 1: Schedule 1 of SPP's Tariff--Scheduling, System Control,
and Dispatch Service.
Schedule 9: Schedule 9 of SPP's Tariff--Network Integration
Transmission Service.
Schedule 11: Schedule 11 of SPP's Tariff--Base Plan Zonal Charge
and Region-wide Charge.
Tariff: Open Access Transmission Tariff, including all schedules or
attachments thereto, as amended from time to time and approved by FERC.
WAPA-UGP: United States Department of Energy, Western Area Power
Administration (WAPA), Upper Great Plains region. WAPA-UGP is the
definition for WAPA's Upper Great Plains region in the SPP Tariff and
the definition to be used in the rate schedules.
West DC Ties: A direct current interconnection between the Eastern
Interconnection and Western Interconnection for which the DC Tie Access
Charge and the Incremental Market Efficiency Use Charge may be
applicable. In the Integrated Marketplace, the West DC Ties will be
Non-Biddable Locations that will be used in the settlements in the TCR
[Transmission Congestion Rights] Markets. The West DC Ties are Miles
City, Stegall, or Sidney. (SPP Tariff at Part I, Section 1, W
Definitions.)
Western Interconnection: A major alternating current power grid in
North America. The Western Interconnection stretches from Western
Canada south to Baja California in Mexico, reaching eastward over the
Rockies to the Great Plains. Western Interconnection is comprised of
the states of Washington, Oregon, California, Idaho, Nevada, Utah,
Arizona, Colorado, Wyoming, portions of Montana, South Dakota,
Nebraska, New Mexico, and Texas in the United States, the Provinces of
British Columbia and Alberta in Canada, and a portion of the
Comisi[oacute]n Federal de Electricidad's system in Baja California in
Mexico. (SPP Tariff at Part I, Section 1, W Definitions.)
Zone: The geographic area of the facilities of a Transmission Owner
or a specific combination of Transmission Owners as specified in
Schedules 7,8, and 9. (SPP Tariff at Part I, Section 1, XYZ
Definitions).
Effective Date
The Provisional Formula Rate Schedules WAUGP-ATRR, WAUGP-DCTIE-
IMEU, and WAUGP-AS1 will take effect on the first day of the first full
billing period beginning upon the later of the following events: (1)
when the Upper Great Plains region (UGP) expands its participation in
SPP in the Western Interconnection; or (2) the go-live date of the
expansion of the SPP Regional Transmission Organization (RTO) into the
Western Interconnection (scheduled for April 1, 2026, as of the date of
this Rate Order). UGP will provide notification of the effective date
of the Provisional Formula Rates on its Rates and OASIS websites. These
Provisional Formula Rates will remain in effect through March 31, 2031,
pending confirmation and approval by FERC on a final basis or until
superseded. If UGP does not expand its participation in SPP in the
Western Interconnection, these Provisional Formula Rates will be
canceled and the extended formula rates under Rate Order WAPA-217 will
remain in effect. If canceled, UGP will inform customers by letter and
by posting notice of such on UGP's OASIS website www.oasis.oati.com/wapa/index.html, on UGP's Rates website www.wapa.gov/about-wapa/regions/ugp/ugp-rates, and on the ``Western Area Power Administration
UGP Information'' link on SPP's Member Related Postings website
opsportal.spp.org/OASIS/Directory/Member%20Related%20Postings.
Public Notice and Comment
UGP followed the Procedures for Public Participation in Power and
Transmission Rate Adjustments and Extensions, 10 CFR part 903, in
developing these formula rates. UGP took the following steps to involve
interested parties in the rate process:
On December 30, 2024, a Federal Register notice (89 FR 106476)
(Proposed FRN) announced the proposed formula rates and initiated a 90-
day public consultation and comment period.
1. On December 31, 2024, UGP notified customers and interested
parties of the proposed rates and provided a copy of the published
Proposed FRN.
2. On February 19, 2025, UGP held a public information forum via a
virtual meeting. UGP's representatives explained the proposed formula
rates, answered questions, and gave notice that more information was
available in the Customer Rate Brochure.
3. On February 19, 2025, UGP held a public comment forum via a
virtual meeting to provide an opportunity for customers and other
interested parties to comment for the record.
4. UGP posted information about the rate process on two public
websites. The Rates website located at www.wapa.gov/about-wapa/regions/ugp/ugp-rates and UGP's OASIS website located at www.oasis.oati.com/wapa/index.html.
5. During the 90-day consultation and comment period, which ended
on March 31, 2025, UGP received no oral comment submissions and no
written comment letters.
Transmission and Ancillary Services Rate Discussion
On September 28, 2020, FERC approved and confirmed Rate Schedules
WAUGP-ATRR, WAUGP-AS1, WAUW-AS3, WAUW-AS4, WAUW-AS5, WAUW-AS6, and
WAUW-AS7 under Rate Order No. WAPA-188 on a final basis through
September 30, 2025,\3\ and were extended under Rate Order No. WAPA-217
through September 30, 2030. These existing formula-based rate schedules
are for transmission and ancillary services for the transmission
[[Page 30913]]
facilities in the P-SMBP--ED that UGP transferred to the functional
control of SPP for its existing membership.
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\3\ Order Confirming and Approving Rate Schedules on a Final
Basis, FERC Docket Nos. EF20-3-000 and EF20-3-001.
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On April 28, 2023, WAPA published a Federal Register notice titled
``Recommendation for the Western Area Power Administration's Rocky
Mountain Region and Colorado River Storage Project Management Center to
Pursue Final Negotiations Regarding Membership in the Southwest Power
Pool Regional Transmission Organization, and for the Upper Great Plains
Region to Expand its Participation'' (88 FR 26298). On June 4, 2024,
SPP submitted revisions to its Tariff, Bylaws, and Membership Agreement
to expand the SPP RTO into the Western Interconnection to FERC.\4\ On
March 20, 2025, FERC accepted, subject to condition and further
compliance filing, SPP's proposed Tariff, Bylaws, and Membership
Agreement revisions. Subject to further approval by the Administrator,
UGP plans to expand its participation in SPP in the Western
Interconnection.
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\4\ Southwest Power Pool, Inc., Submission of Revisions to
Tariff, Bylaws, and Membership Agreement to Expand the Regional
Transmission Organization into the Western Interconnections (Part 1
of 2) and (Part 2 of 2), Docket Nos. ER24-2184, ER24-2185 (June 4,
2024).
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UGP has developed new formula rates for transmission and ancillary
services so that UGP's costs can continue to be recovered under the SPP
Tariff with the SPP expansion of its RTO and Integrated Marketplace
into the Western Interconnection, and to address the new and revised
SPP settlements in SPP's FERC-approved filing for the RTO expansion.
UGP's revenue requirements are added to the annual revenue requirements
of other transmission owners in the multi-owner SPP pricing Zone 19,
also identified as the Upper Missouri Zone (UMZ) for transmission
service billed by SPP within the UMZ. UGP's revenue requirements under
these rates also impact other costs for transmission service within the
broader SPP footprint.
These rates continue the formula-based methodology that includes an
annual update on January 1 of every year to the financial data in the
rate formulas, and includes Formula Rate Implementation Protocols
(Protocols) to clarify UGP's rate implementation and annual update
procedures with changes related to the planned RTO expansion in the
Western Interconnection to: (1) Terminate the Balancing Authority Area
(BAA) related ancillary services (and associated worksheets in the Rate
Formula Templates) for Regulation and Frequency Response Service,
Operating Reserves--Spinning Reserve Service and Supplemental Reserve
Service, Energy Imbalance Service (EI), and Generator Imbalance Service
(GI); (2) Incorporate changes in the Rate Formula Templates to
calculate the ATRR for the Miles City Direct Current (DC) Tie for SPP's
settlements purposes related to SPP's proposed DC Tie Access Charge;
(3) Incorporate changes in the Rate Formula Templates to calculate the
subtotals of the ATRR for the SPP West and East BAAs separately for
SPP's settlements purposes; (4) Incorporate a new worksheet in the Rate
Formula Templates to calculate the IMEU Share for the Miles City DC
Tie; (5) Incorporate changes in the Rate Formula Templates to calculate
the ATRRs for SPP Base Plan Upgrades separately for SPP's settlements
purposes in each of the SPP West and East BAAs; and (6) Update, as
needed, the existing Rate Formula Templates to smooth the true-up
process impacts, increase transparency, and incorporate the changes
previously noted.
UGP is a Transmission Owner member of SPP pursuant to negotiated
provisions in its SPP Membership Agreement, Bylaws, and SPP Tariff.
Transmission and ancillary services are provided by SPP under the SPP
Tariff for use of UGP's facilities transferred to the functional
control of SPP. UGP has transmission facilities in both the Eastern and
Western Interconnections separated by the Miles City DC Tie and the
Fort Peck Power Plant substation. UGP currently operates its Western
Area Power Administration, Upper Great Plains West (WAUW) BAA in the
Western Interconnection as the Balancing Authority (BA) and has not
previously placed the portion of its transmission system located in the
Western Interconnection into SPP's Integrated Marketplace. However,
with the planned SPP expansion of its RTO into the Western
Interconnection, UGP will merge its WAUW BAA into the SPP West BAA and
discontinue its current role as a BAA for WAUW. UGP will also place its
remaining transmission system and other generation and load located in
the Western Interconnection (in the existing WAUW BAA footprint) into
SPP's Integrated Marketplace on the effective date of UGP's expanded
participation in SPP in the Western Interconnection.
Data used in the annual recalculation of the formula rates each
year will be made available for review and comment as described in the
Protocols. These Protocols ensure that interested parties are aware of
the data used to calculate the formula rates and provide interested
parties the opportunity to comment before the costs are collected
through the formula rates.
The formula rate templates and the Protocols will be posted on
UGP's OASIS website at www.oasis.oati.com/wapa/index.html, on UGP's
Rates website at www.wapa.gov/about-wapa/regions/ugp/ugp-rates, and on
SPP's Member Related Postings website at opsportal.spp.org/OASIS/Directory/Member%20Related%20Postings.
Formula Rate for P-SMBP--ED Annual Transmission Revenue Requirement--
Rate Schedule WAUGP-ATRR
UGP changed its current formula rate calculation methodology for
its ATRR, provided under Rate Schedule WAUGP-ATRR. These changes more
clearly, transparently, and separately document UGP's facilities in the
Western Interconnection, the Eastern Interconnection, and at the Miles
City DC Tie and associated subtotals of the overall ATRR for each of
these sub-sets of facilities. SPP will utilize these ATRR subtotals,
along with zonal and regional load and other applicable information, to
calculate the applicable charges and revenue distribution for SPP
transmission service under the SPP Tariff.
Consistent with UGP's current formula rates, UGP will continue
recovering transmission-related expenses and investments on a forward-
looking basis by using projections to estimate transmission costs for
the upcoming rate year, with a true-up of incurred costs in a
subsequent year. Transmission-related annual costs include O&M,
administrative and general expenses, interest, and depreciation. The
annual costs will be reduced by applicable revenue credits received by
UGP under the SPP Tariff.
Formula Rate for Miles City DC Tie Incremental Market Efficiency Use
Share--Rate Schedule WAUGP-DCTIE-IMEU
SPP's Incremental MEU Charge compensates each West DC Tie
Transmission Owner for the expected loss of life of that owner's West
DC Tie facilities due to increased utilization of the West DC Ties by
the Integrated Marketplace.
To simplify the calculation of the Miles City DC Tie IMEU Share and
provide a consistent forward-looking amount, UGP will use a loss-of-
life factor for each eligible group of Miles City DC Tie equipment due
to expected market operation impacts, and provide a levelized annual
estimate to SPP. The loss-of-life calculations are based upon impact
metrics directly related to the increased market use for each of the
[[Page 30914]]
Miles City DC Tie equipment groups eligible for cost recovery. The IMEU
Share calculations are based upon the change in the estimated
depreciation expense due to the loss of life predicted for each group
of Miles City DC Tie equipment. Cost estimates are calculated on a
forward-looking basis by using projections to determine costs for the
upcoming rate year, with a true-up of incurred costs in a subsequent
year. Revenue received from SPP for UGP's Miles City DC Tie IMEU Share
will be credited against the Miles City DC Tie portion of the UGP ATRR
previously described.
Formula Rate for Scheduling, System Control, and Dispatch Service--Rate
Schedule WAUGP-AS1
UGP will continue to use its current formula rate calculation
methodology for Scheduling, System Control, and Dispatch (SSCD)
Service, currently provided under Rate Schedule WAUGP-AS1. This rate
schedule will continue to include transmission facilities in the
Western Interconnection. The annual revenue requirement is derived by
calculating UGP's applicable annual costs associated with the provision
of SSCD Service, including O&M, administrative and general expenses,
depreciation, and interest. Estimates are calculated on a forward-
looking basis by using projections to determine costs associated with
SSCD Service for the upcoming rate year, with a true-up of incurred
costs in a subsequent year. The annual costs will be reduced by any
applicable revenue received by UGP under the SPP Tariff.
Formula Rate Implementation Protocols
For transmission and ancillary services provided under the SPP
Tariff, UGP will provide information relating to UGP's rate
implementation and annual update procedures and timelines in a
``Formula Rate Implementation Protocols'' document. The Protocols,
together with the above-mentioned formula rate templates, comprise the
Formula Rates that will be submitted to SPP to be incorporated in the
SPP Tariff. All relevant information pertaining to UGP's annual
updates, customer notifications and review periods, and meeting
requirements are contained in the Protocols. These notifications,
review periods, and meetings ensure that interested parties are aware
of the data used to calculate the formula rates and are provided the
opportunity to comment before the costs are collected through the
formula rates.
Certification of Rates
I have certified that the Provisional Formula Rates for Pick-Sloan
Missouri Basin Program--Eastern Division transmission and ancillary
service under Rate Schedules WAUGP-ATRR, WAUGP-DCTIE-IMEU, and WAUGP-
AS1 are the lowest possible rates, consistent with sound business
principles. The Provisional Formula Rates were developed following
administrative policies and applicable laws.
Availability of Information
Information used by UGP to develop the Provisional Formula Rates is
available for inspection and copying at the Upper Great Plains Regional
Office, 2900 4th Ave. North, 6th Floor, Billings, MT. Many of these
documents are also available on UGP's Rates website at www.wapa.gov/about-wapa/regions/ugp/ugp-rates and on UGP's OASIS website at
www.oasis.oati.com/wapa/index.html.
Ratemaking Procedure Requirements
Environmental Compliance
WAPA has determined that this action fits within the following
categorical exclusion listed in appendix B to subpart D of 10 CFR part
1021: B4.3 (Electric power marketing rate changes).\5\ Categorically
excluded projects and activities do not require preparation of either
an environmental impact statement or an environmental assessment. A
copy of the categorical exclusion determination is available on DOE's
website at www.energy.gov/nepa/categorical-exclusion-determinations-western-area-power-administration-upper-great-plains.
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\5\ The determination was done in compliance with NEPA (42
U.S.C. 4321-4347) 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.
Submission to the Federal Energy Regulatory Commission
The Provisional Formula Rates herein confirmed, approved, and
placed into effect on an interim basis, together with supporting
documents, will be submitted to FERC for confirmation and final
approval.
Order
In view of the above and under the authority delegated to me, I
hereby confirm, approve, and place into effect, on an interim basis,
Rate Order No. WAPA-218. The rates will remain in effect on an interim
basis until: (1) FERC confirms and approves them on a final basis; (2)
subsequent rates are confirmed and approved; or (3) such rates are
superseded.
Signing Authority
This document of the Department of Energy was signed on July 7,
2025, by Tracey A. LeBeau, 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, 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 July 9, 2025.
Jennifer Hartzell,
Alternate Federal Register Liaison Officer, U.S. Department of Energy.
Rate Schedule WAUGP-ATRR
(Supersedes Rate Schedule WAUGP-ATRR dated October 1, 2025)
United States Department of Energy
Western Area Power Administration
Upper Great Plains Region
Pick-Sloan Missouri Basin Program--Eastern Division
Annual Transmission Revenue Requirement for Transmission Service
(Approved Under Rate Order No. WAPA-218)
Effective
The first day of the first full billing period beginning upon the
later of the following events: (1) when the Western Area Power
Administration--Upper Great Plains region (WAPA-UGP) officially expands
its participation in the Southwest Power Pool (SPP) in the Western
Interconnection; or (2) the go-live date of the expansion of the SPP
Regional Transmission Organization into the Western Interconnection
(scheduled for April 1, 2026, as of the date of the approved Rate
Order) and extending through March 31, 2031, or until superseded by
another rate
[[Page 30915]]
schedule, whichever occurs earlier. Notification of the actual
effective date will be posted on the applicable SPP website and on
WAPA-UGP's Open Access Same-Time Information System (OASIS) website.
Applicable
WAPA-UGP's formula based Annual Transmission Revenue Requirement
(ATRR) for its eligible transmission related facilities included under
the SPP Open Access Transmission Tariff (Tariff) will be calculated
using the formula outlined below.
Formula Rate
Define
A = Operation & Maintenance Expense allocated to transmission ($)
B = Depreciation Expense allocated to transmission ($)
C = Interest Expense allocated to transmission ($)
D = Administrative and General Expense allocated to transmission ($)
E = Revenue Credits ($)
F = Scheduling, System Control, and Dispatch Service Allocation ($)
G = Prior Period True-up ($)
ATRR = A + B + C + D + E + F + G
Where applicable, the ratio share of plant-based values, applicable
Revenue Credits and Prior Period True-up are used for associated ATRR
calculations.
Note: WAPA-UGP will identify any portion(s) of the ATRR eligible
for recovery under SPP Schedule 9 and Schedule 11 pursuant to the SPP
Tariff, and will also identify subtotals of the ATRR for the SPP East
and West Balancing Authority Areas separately, and for the Miles City
DC Tie as required for SPP settlements purposes, in its Rate Formula
Template submitted under Attachment H of the SPP Tariff.
Recalculated ATRR values will go into effect every January 1 based
on the above formula and updated financial data. WAPA-UGP will annually
notify SPP and make data and information available to interested
parties for review and comment related to the recalculated annual
revenue requirement on or shortly after September 1 of the preceding
year. This data and information will be posted on the applicable SPP
website and on WAPA-UGP's OASIS website.
Rate Schedule WAUGP-AS1
(Supersedes Rate Schedule WAUGP-AS1 dated October 1, 2025)
United States Department of Energy
Western Area Power Administration
Upper Great Plains Region
Pick-Sloan Missouri Basin Program--Eastern Division
Scheduling, System Control, and Dispatch Service
(Approved Under Rate Order No. WAPA-218)
Effective
The first day of the first full billing period beginning upon the
later of the following events: (1) when the Western Area Power
Administration--Upper Great Plains region (WAPA-UGP) officially expands
its participation in the Southwest Power Pool (SPP) in the Western
Interconnection; or (2) the go-live date of the expansion of the SPP
Regional Transmission Organization into the Western Interconnection
(scheduled for April 1, 2026, as of the date of the approved Rate
Order) and extending through March 31, 2031, or until superseded by
another rate schedule, whichever occurs earlier. Notification of the
actual effective date will be posted on the applicable SPP website and
on WAPA-UGP's Open Access Same-Time Information System (OASIS) website.
Applicable
Scheduling, System Control, and Dispatch Service (SSCD) is required
to schedule the movement of power through, out of, within, or into one
or both of the SPP Balancing Authority Areas (BAAs) and certain parts
of the transmission system not located within a SPP BAA. WAPA-UGP's
annual revenue requirement for SSCD will be used by SPP to calculate
the regional SPP Schedule 1 rate for SPP through and out transactions,
and also to calculate the zonal SPP Schedule 1 rate for the Upper
Missouri Zone (UMZ or Zone 19). This rate will also be charged by SPP
for SPP Transmission Service provided within the UMZ in the Western
Interconnection.
Formula Rate
Define
A = Operation & Maintenance for SSCD ($)
B = Administrative and General Expense for SSCD ($)
C = Depreciation Expense for SSCD ($)
D = Interest Expense for SSCD ($)
E = Non-SPP Facilities SSCD Utilization ($)
F = Prior Period True-up ($)
G = Revenue/Revenue Credit Allocation ($)
SSCD Annual Revenue Requirement = A + B + C + D + E + F + G
A recalculated annual revenue requirement will go into effect every
January 1 based on the above formula and updated financial data. WAPA-
UGP will annually notify SPP and make data and information available to
interested parties for review and comment related to the recalculated
annual revenue requirement on or shortly after September 1 of the
preceding year. This data and information will be posted on the
applicable SPP website and on WAPA-UGP's OASIS website.
Rate Schedule WAUGP-DCTIE-IMEU
United States Department of Energy
Western Area Power Administration
Upper Great Plains Region
Pick-Sloan Missouri Basin Program--Eastern Division
Incremental Market Efficiency Use Share
(Approved Under Rate Order No. WAPA-218)
Effective
The first day of the first full billing period beginning upon the
later of the following events: (1) when the Western Area Power
Administration--Upper Great Plains region (WAPA-UGP) officially expands
its participation in the Southwest Power Pool (SPP) in the Western
Interconnection; or (2) the go-live date of the expansion of the SPP
Regional Transmission Organization into the Western Interconnection
(scheduled for April 1, 2026, as of the date of the approved Rate
Order) and extending through March 31, 2031, or until superseded by
another rate schedule, whichever occurs earlier. Notification of the
actual effective date will be posted on the SPP website and on WAPA-
UGP's Open Access Same-Time Information System (OASIS) website.
Applicable
The Incremental Market Efficiency Use (IMEU) accounts for each
Western Interconnection Direct Current (West DC) Tie Transmission
Owner's expected loss of life of that owner's West DC Tie facilities
due to increased utilization of the West DC Ties by the SPP Integrated
Marketplace. WAPA-UGP's Incremental MEU Share for the Miles City
Converter Station (Miles City DC Tie) will be calculated using the
formula outlined below.
[[Page 30916]]
Formula Rate
Define (for Each Group of IMEU Eligible Miles City DC Tie Equipment)
A = Miles City DC Tie Gross Plant Impacted by IMEU ($)
B = Average Service Life of Gross Plant Impacted by IMEU
C = Average Service Life Depreciation Rate of Gross Plant Impacted by
IMEU (%)
D = Loss of Service Life Due to Market Use (%)
E = Decreased Average Service Life Depreciation Rate of Gross Plant
Impacted by IMEU (%)
IMEU Share (for each Group) = (E-C)*A, where 1/B=C, and where 1/(B*(1-
D))=E
F = Prior period true-up ($)
Total IMEU Share = Sum of IMEU Share (for all Groups) + F
A recalculated IMEU Share will go into effect every January 1 based
on the above formula and updated financial/criteria data. UGP will
annually notify SPP and make data and information available to
interested parties for review and comment related to the recalculated
IMEU Share on or shortly after September 1 of the preceding year. This
data and information will be posted on the applicable SPP website and
on WAPA-UGP's OASIS website.
[FR Doc. 2025-12990 Filed 7-10-25; 8:45 am]
BILLING CODE 6450-01-P