Notice2025-08616

Proposed Rate Adjustment, Public Forum, and Opportunities for Public Review and Comment for Cumberland System of Projects

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
May 15, 2025

Issuing agencies

Energy DepartmentSoutheastern Power Administration

Abstract

Southeastern Power Administration (Southeastern or SEPA) proposes to revise existing schedules of rates and charges applicable to the sale of power from the Cumberland System of Projects effective for a 5-year period, from October 1, 2025, through September 30, 2030. Opportunities will be available for interested persons to review the present rates and the proposed rates and supporting studies, to participate in a public forum, and to submit written comments. Southeastern will evaluate all comments received in this process.

Full Text

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<title>Federal Register, Volume 90 Issue 93 (Thursday, May 15, 2025)</title>
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[Federal Register Volume 90, Number 93 (Thursday, May 15, 2025)]
[Notices]
[Pages 20668-20669]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-08616]


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DEPARTMENT OF ENERGY

Southeastern Power Administration


Proposed Rate Adjustment, Public Forum, and Opportunities for 
Public Review and Comment for Cumberland System of Projects

AGENCY: Southeastern Power Administration, Department of Energy (DOE).

ACTION: Notice of proposed rate.

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SUMMARY: Southeastern Power Administration (Southeastern or SEPA) 
proposes to revise existing schedules of rates and charges applicable 
to the sale of power from the Cumberland System of Projects effective 
for a 5-year period, from October 1, 2025, through September 30, 2030. 
Opportunities will be available for interested persons to review the 
present rates and the proposed rates and supporting studies, to 
participate in a public forum, and to submit written comments. 
Southeastern will evaluate all comments received in this process.

DATES: Written comments are due on or before August 13, 2025. A public 
information and comment forum will be held in-person at Southeastern 
Power Administration, 1166 Athens Tech Road, Elberton, Georgia at 1 
p.m. EDT on June 17, 2025. There will also be an option to attend the 
forum virtually via Microsoft Teams. Persons desiring to attend the 
forum should notify Southeastern by June 16, 2025, so a list of forum 
participants can be prepared. Persons desiring to speak at the forum 
should specify this in their notification to Southeastern; others may 
speak if time permits. Notifications should be submitted by email to 
<a href="/cdn-cgi/l/email-protection#94d7fbf9f9f1fae0e7d4e7f1e4f5baf0fbf1baf3fbe2"><span class="__cf_email__" data-cfemail="75361a1818101b010635061005145b111a105b121a03">[email&#160;protected]</span></a>. If Southeastern has not been notified by close 
of business on June 16, 2025, that at least one person intends to be 
present at the forum, in-person or virtually, the forum may be canceled 
with no further notice.

ADDRESSES: Written comments should be submitted to: Administrator, 
Southeastern Power Administration, Department of Energy, 1166 Athens 
Tech Road, Elberton, Georgia 30635-6711; Email: <a href="/cdn-cgi/l/email-protection#f3b09c9e9e969d8780b380968392dd979c96dd949c85"><span class="__cf_email__" data-cfemail="a0e3cfcdcdc5ced4d3e0d3c5d0c18ec4cfc58ec7cfd6">[email&#160;protected]</span></a>. 
The URL and call in information for the public information and comment 
forum is as follows: <a href="https://bit.ly/CumberlandbRatebForum2025">https://bit.ly/CumberlandbRatebForum2025</a>; +1 (404) 
796-9216, Access Code: 425290255#.

FOR FURTHER INFORMATION CONTACT: Alexa Webb, Acting Power Marketing 
Advisor, Southeastern Power Administration, Department of Energy, 1166 
Athens Tech Road, Elberton, Georgia 30635-6711, (706) 213-3800; Email: 
<a href="/cdn-cgi/l/email-protection#155479706d743b4270777755667065743b717a703b727a63"><span class="__cf_email__" data-cfemail="a0e1ccc5d8c18ef7c5c2c2e0d3c5d0c18ec4cfc58ec7cfd6">[email&#160;protected]</span></a>.

SUPPLEMENTARY INFORMATION: The Federal Energy Regulatory Commission 
(FERC) confirmed and approved on a final basis, Wholesale Power Rate 
Schedules CBR-1-J, CSI-1-J, CEK-1-J, CM-1-J, CC-1-K, CK-1-J, CTV-1-J, 
CTVI-1-C, and Replacement-3 applicable to Cumberland System of 
Projects' power for a period ending September 30, 2025. (FERC Docket 
No. EF20-6-000 (Nov. 5, 2020)).
    Discussion: Existing rate schedules are predicated upon a March 
2020 repayment study and other supporting data. The annual revenue 
requirement in this study was $66,150,000 per year. An updated 
repayment study, dated March 2025, indicates rates are not adequate to 
recover cost increases identified and therefore do not meet repayment 
criteria. The revised repayment study demonstrates an annual revenue 
requirement increase to $81,750,000 per year will meet repayment 
criteria. The increase in the annual revenue requirement is $15,600,000 
per year, or 23.58 percent.
    Proposed Rates: The rate schedules recover cost from capacity, 
energy, and additional energy. The revenue requirement is $81,750,000 
per year. The rates would be as follows:

[[Page 20669]]

Cumberland System Rates

Original Marketing Policy

Inside TVA Preference Customers
    Capacity and Base Energy: $4.484 per kW/Month.
    Additional Energy: 17.088 mills per kWh.
    Transmission: Pass-through.
Outside TVA Preference Customers (Excluding Customers Served Through 
Duke Energy Progress or East Kentucky Power Cooperative)
    Capacity and Base Energy: $4.484 per kW/Month.
    Additional Energy: 17.088 mills per kWh.
    Transmission: Monthly TVA Transmission Charge divided by 545,000.
Customers Served Through Duke Energy Progress
    Capacity and Base Energy: $5.076 per kW/Month.
    TVA Transmission: TVA rate at border as computed above, adjusted 
for DEP delivery.
East Kentucky Power Cooperative
    Capacity: $2.348 per kW/Month.
    Energy: 17.088 mills per kWh.
    Transmission: Monthly TVA Transmission Charge divided by 545,000.
    The referenced repayment studies are available for examination at 
1166 Athens Tech Road, Elberton, Georgia 30635-6711. The Proposed Rate 
Schedules CBR-1-K, CSI-1-K, CEK-1-K, CM-1-K, CC-1-L, CK-1-K, CTV-1-K, 
CTVI-1-D, and Replacement-3 are also available.
    True-up Adjustment: The proposed rate schedules would continue 
adjustments annually on April 1 of each year, based on transfers of 
specific power investment to plant-in-service for the preceding Fiscal 
Year, to the base demand charge and base additional energy charge. The 
annual adjustment will be, for each increase of $1,000,000 to specific 
power plant-in-service, an increase of $0.003 per kilowatt per month 
added to the base capacity rate and an increase of 0.013 mills per 
kilowatt-hour added to the base additional energy rate. Southeastern 
will give written notice to customers of the amount of the true-up by 
February 1 of each year.
    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 Southeastern'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-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-
SEPA-2023, effective April 10, 2023, the Under Secretary for 
Infrastructure redelegated the authority to confirm, approve, and place 
such rates into effect on an interim basis to the Administrator, 
Southeastern.
    Environmental Compliance: Southeastern is in the process of 
determining whether an environmental assessment or an environmental 
impact statement should be prepared or if this action can be 
categorically excluded from those requirements.
    Determination Under Executive Order 12866: Southeastern 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 May 12, 
2025, by Virgil G. Hobbs III, Administrator for Southeastern 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 May 12, 2025.
Jennifer Hartzell,
Alternate Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2025-08616 Filed 5-14-25; 8:45 am]
BILLING CODE 6450-01-P


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Indexed from Federal Register on May 15, 2025.

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