Notice2024-07280
Central Arizona Project, Colorado River Storage Project, Loveland Area Projects, Pacific Northwest-Pacific Southwest Intertie Project, and Parker-Davis Project-Rate Order No. WAPA-215
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
April 5, 2024
Effective
June 1, 2024
Issuing agencies
Energy DepartmentWestern Area Power Administration
Abstract
The extension of the Colorado River Storage Project Management Center (CRSP MC), Desert Southwest Region (DSW), and Rocky Mountain Region's (RM) (collectively referred to herein as the "Regions") existing transmission service formula rates for use under the WestConnect PA has been confirmed, approved, and placed into effect on an interim basis. The existing formula rates under Rate Schedule WC-8 are set to expire on May 31, 2024. This rate extension makes no changes to the existing formula rates and extends them through September 30, 2026.
Full Text
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<title>Federal Register, Volume 89 Issue 67 (Friday, April 5, 2024)</title>
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[Federal Register Volume 89, Number 67 (Friday, April 5, 2024)]
[Notices]
[Pages 23995-23997]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-07280]
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DEPARTMENT OF ENERGY
Western Area Power Administration
Central Arizona Project, Colorado River Storage Project, Loveland
Area Projects, Pacific Northwest-Pacific Southwest Intertie Project,
and Parker-Davis Project--Rate Order No. WAPA-215
AGENCY: Western Area Power Administration, DOE.
ACTION: Notice of rate order extending the formula rates for use under
the WestConnect Point-to-Point Regional Transmission Service
Participation Agreement (WestConnect PA).
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SUMMARY: The extension of the Colorado River Storage Project Management
Center (CRSP MC), Desert Southwest Region (DSW), and Rocky Mountain
Region's (RM) (collectively referred to herein as the ``Regions'')
existing transmission service formula rates for use under the
WestConnect PA has been confirmed, approved, and placed into effect on
an interim basis. The existing formula rates under Rate Schedule WC-8
are set to expire on May 31, 2024. This rate extension makes no changes
to the existing formula rates and extends them through September 30,
2026.
DATES: The extended formula rates under Rate Schedule WC-8 will be
placed into effect on an interim basis on June 1, 2024.
FOR FURTHER INFORMATION CONTACT: Rodney Bailey, Manager, CRSP MC,
Western Area Power Administration, 1800 South Rio Grande Avenue,
Montrose, CO 81401, or email: <a href="/cdn-cgi/l/email-protection#1a5948494a575937687b6e7f377b7e705a6d7b6a7b347d756c"><span class="__cf_email__" data-cfemail="f2b1a0a1a2bfb1df80938697df939698b285938293dc959d84">[email protected]</span></a>; Tamala
[[Page 23996]]
Gheller, Rates Manager, CRSP MC, 970-240-6545, or email:
<a href="/cdn-cgi/l/email-protection#deb9b6bbb2b2bbac9ea9bfaebff0b9b1a8"><span class="__cf_email__" data-cfemail="e4838c8188888196a493859485ca838b92">[email protected]</span></a>; Tina Ramsey, Rates Manager, DSW, 602-605-2525, or
email: <a href="/cdn-cgi/l/email-protection#3d594e4a4d4a4f504f567d4a5c4d5c135a524b"><span class="__cf_email__" data-cfemail="7a1e090d0a0d081708113a0d1b0a1b541d150c">[email protected]</span></a>; or Sheila Cook, Rates Manager, RM, 970-685-
9562, or email: <a href="/cdn-cgi/l/email-protection#315d50414543505f4250555b71465041501f565e47"><span class="__cf_email__" data-cfemail="b6dad7c6c2c4d7d8c5d7d2dcf6c1d7c6d798d1d9c0">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION: Western Area Power Administration (WAPA)
published a Federal Register notice (Proposed FRN) on January 19, 2024
(89 FR 3651), proposing to extend the existing formula rates under Rate
Schedule WC-8. The Proposed FRN initiated a 14-day public consultation
and comment period.
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 the Federal Energy Regulatory
Commission (FERC). By Delegation Order No. S1-DEL-S3-2023, effective
April 10, 2023, 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 extension is issued under Redelegation Order No.
S3-DEL-WAPA1-2023 and Department of Energy rate extension procedures
set forth in 10 CFR part 903.\1\
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\1\ 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347 (Feb. 21, 2019).
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Following review of the Regions' proposal, Rate Order No. WAPA-215
is hereby confirmed, approved, and placed into effect on an interim
basis. This extends, without adjustment, the existing Rate Schedule WC-
8 through September 30, 2026. WAPA will submit Rate Order No. WAPA-215
and the extended rate schedule 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, Extension for the
Central Arizona Project, Colorado River Storage Project, Loveland Area
Projects, Pacific Northwest-Pacific Southwest Intertie Project, Parker-
Davis Project Transmission Service Formula Rates, Rate Order No. WAPA-
215
Order Confirming, Approving, and Placing the Formula Rates for Central
Arizona Project, Colorado River Storage Project, Loveland Area
Projects, Pacific Northwest-Pacific Southwest Intertie Project, and
Parker-Davis Project Transmission Service for Use Under the Westconnect
Point-to-Point Regional Transmission Service Participation Agreement
Into Effect on an Interim Basis
The formula rates in Rate Order No. WAPA-215 are established
following Section 302 of the Department of Energy (DOE) Organization
Act (42 U.S.C. 7152).\1\ 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-S3-2023, effective April 10,
2023, 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 extension is issued under Redelegation Order No.
S3-DEL-WAPA1-2023 and DOE rate extension procedures set forth in 10 CFR
part 903.\2\
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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 other acts that specifically apply to the projects
involved.
\2\ 50 FR 37835 (Sept. 18, 1985) and 84 FR 5347 (Feb. 21, 2019).
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Background
On December 15, 2014, FERC approved and confirmed Rate Schedule WC-
8, under Rate Order No. WAPA-163, on a final basis for a 5-year period
through May 31, 2019.\3\ On June 20, 2019, FERC approved and confirmed
the extension of Rate Schedule WC-8, under Rate Order No. WAPA-187, on
a final basis through May 31, 2024.\4\ This rate schedule applies to
WestConnect regional on-peak and off-peak non-firm transmission service
that uses one or more of the following WAPA transmission projects:
Central Arizona Project, Colorado River Storage Project, Loveland Area
Projects, Pacific Northwest-Pacific Southwest Intertie Project, and
Parker-Davis Project. Details about the rate schedule and the formula
rates are viewable on WAPA's website at: <a href="http://www.wapa.gov/about-wapa/regions/dsw/power-marketing/westconnect">www.wapa.gov/about-wapa/regions/dsw/power-marketing/westconnect</a>. The rate continues the
formula-based methodology that includes an annual update to the data in
the rate formulas which provides adequate revenue to recover annual
expenses, including interest expense, and repay capital investment
within the allowable periods. This ensures repayment within the cost
recovery criteria set forth in DOE Order RA 6120.2.
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\3\ Order Confirming and Approving Rate Schedule on a Final
Basis, FERC Docket No. EF14-8-000, 149 FERC ] 62,196 (2014).
\4\ Order Confirming and Approving Rate Schedule on a Final
Basis, FERC Docket No. EF14-8-001, 167 FERC ] 62,188 (2019).
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Discussion
In accordance with 10 CFR 903.23(a), the Colorado River Storage
Project Management Center (CRSP MC), Desert Southwest Region (DSW), and
Rocky Mountain Region (RM) (collectively referred to herein as the
``Regions'') published a notice in the Federal Register (Proposed FRN)
on January 19, 2024, proposing to extend, without adjustment, Rate
Schedule WC-8 under Rate Order No. WAPA-215.\5\ The Regions determined
it was not necessary to hold public information or public comment
forums on the proposed formula rate extension, but provided a 14-day
consultation and comment period to give the public an opportunity to
comment on the proposed extension. During the 14-day consultation and
comment period, which ended on February 2, 2024, the Regions received
written comments from one entity.
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\5\ 89 FR 3651 (2024).
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Written comments were received from the following organization:
Colorado River Energy Distributors Association, Arizona.
Comments
The comments expressed have been paraphrased and/or combined, where
[[Page 23997]]
appropriate, without compromising the meaning of the comments.
Comment: The commenter supports the proposed formula rate extension
as described in the Proposed FRN. The commenter also requested removal
of language referenced in the Proposed FRN which was ``unnecessary and
refers to potential future actions that are the subject of separate
processes.''
Response: The Regions appreciate the support for this rate action.
The Regions agree the Proposed FRN language refers to specific future
events subject to separate processes and a more general reference to
future market activity could have been used. The intent of including
the language in the Proposed FRN was to provide context for pursuing an
extension as opposed to a major rate action, along with the reasoning
for the length of the extension period.
Ratemaking Procedure Requirements
Environmental Compliance
Categorical exclusion determinations were previously issued for the
underlying rates of the transmission projects included in the
WestConnect PA under the following categorical exclusion listed in
appendix B to subpart D of 10 CFR part 1021: B4.3 (Electric power
marketing rate changes).\6\ Those categorical exclusion determinations
are also applicable to this rate action. Copies of the categorical
exclusion determinations are available on WAPA websites. For CRSP MC,
the website is: <a href="http://www.wapa.gov/about-wapa/regions/crsp/about-crsp/environment">www.wapa.gov/about-wapa/regions/crsp/about-crsp/environment</a> and the file is titled ``SLCA/IP Rate Determination--WAPA-
206--(CX Determination 2024-2028).'' For DSW, the website is:
<a href="http://www.wapa.gov/about-wapa/regions/dsw/environment">www.wapa.gov/about-wapa/regions/dsw/environment</a>. The file titled,
``Rate Order WAPA-209'' is located within the ``2023'' folder. For RM,
the website is: <a href="http://www.wapa.gov/about-wapa/regions/rm/rm-environment/cx2016">www.wapa.gov/about-wapa/regions/rm/rm-environment/cx2016</a> and the file is titled ``2016-077-Proposed-Formula-Rate-
Adjustment-for-Transmission-Ancillary-Services-and-Sale-of-Surplus.''
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\6\ These determinations were made 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.
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-215, which extends the existing formula rates under
Rate Schedule WC-8 through September 30, 2026. The rates will remain in
effect on an interim basis until: (1) FERC confirms and approves of
this extension 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 April 1,
2024, 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 April 2, 2024.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
Rate Schedule WC-8
Schedule 8 to Tariff
United States Department of Energy Western Area Power Administration
Loveland Area Projects
Colorado River Storage Project
Pacific Northwest-Pacific Southwest Intertie Project
Central Arizona Project
Parker-Davis Project
Schedule of Rates for Use Under Westconnect Regional Non-Firm
Transmission Service (Approved Under Rate Order No. WAPA-163)
Effective: The first day of the first full billing period beginning
on or after June 1, 2014, through May 31, 2019, unless WAPA withdraws
from the WestConnect Point-to-Point Regional Transmission Service
Participation Agreement, and posts notice of such withdrawal on the
Open Access Same-Time Information System (OASIS), prior to May 31,
2019. [Note: This rate schedule was extended by Rate Order No. WAPA-187
through May 31, 2024, and by Rate Order No. WAPA-215 through September
30, 2026.]
Applicable: This schedule of rates applies to any WestConnect
Regional, Non-Firm, Point-to-Point Transmission Service that uses a
Western Area Power Administration Transmission Project (TP), i.e.,
Central Arizona Project, Colorado River Storage Project, Loveland Area
Projects, Pacific Northwest-Pacific Southwest Intertie Project, and
Parker-Davis Project.
Rate: The transmission rates to be used in this formula rate
calculation will be the applicable TP's in effect hourly, non-firm,
point-to-point transmission rate as posted on the applicable TP's
website and on the OASIS.
Formula Rate Calculation: On-peak, hourly, non-firm, point-to-point
transmission rate:
TP's non-firm, point-to-point, ``all hours'' transmission rate 47.49
percent (the percentage of FERC-defined on-peak hours).
Off-peak, hourly, non-firm, point-to-point transmission rate:
TP's non-firm, point-to-point, ``all hours'' transmission rate 52.51
percent (the percentage of FERC-defined off-peak hours).
The converted rates resulting from using this formula will be
posted on the applicable TP's website and on the OASIS and will be used
for applicable WestConnect Regional Non-Firm Point-to-Point
Transmission Service transactions only.
[FR Doc. 2024-07280 Filed 4-4-24; 8:45 am]
BILLING CODE 6450-01-P
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