DATC Path 15, LLC; Notice of Institution of Section 206 Proceeding and Refund Effective Date, 10681 [2015-04082]
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Federal Register / Vol. 80, No. 39 / Friday, February 27, 2015 / Notices
the generator the reliability study report
and NYISO’s RMR proposal should
address which entity will file the
reliability report(s) with the
Commission.
19. NYISO’s RMR proposal should
address the circumstance of accelerated
cost recovery for generators that require
upgrades, retrofitting, repowering, or
some other form of additional
investment required to continue
operating during the term of the RMR
agreement, to ensure that in such
circumstances generators are
appropriately compensated.38 In
addition, the proposal should likewise
address recovery of such investments
from RMR generators should the RMR
unit receive compensation for the
investment during the term of the RMR
agreement but then continue to operate
as a merchant unit after the term of the
RMR agreement.39 Such provisions
should ensure that generators under
RMR agreements will not recover more
than an allocable portion of the cost of
such investments from providing RMR
service.
C. RMR Cost Allocation
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20. NYISO’s RMR compliance filing
should include tariff provisions
specifying a methodology for allocating
the costs of RMR agreements, as
appropriate cost allocation is essential
to ensuring that the rates charged are
just and reasonable and not unduly
discriminatory or preferential.40
Moreover, disclosing the allocation of
RMR costs in this manner will enable
the entities to whom the costs may be
allocated to better understand their
potential responsibility for the RMR
costs.41 Other RTOs and ISOs have
adopted different approaches to address
the recovery of the costs associated with
agreements like the RMR agreements
discussed in this order. For example, in
PJM Interconnection, L.L.C. (PJM), RMR
costs are allocated to the load in the
zone(s) of the transmission owners that
will be assigned financial responsibility
for the reliability upgrades necessary to
alleviate the reliability impact that
would result from the unit’s
deactivation.42 NYISO should ensure
that any cost allocation regime is
38 See, e.g., ISO New England, Inc. 125 FERC
61,102, at PP 82–84, order on clarification, 125
FERC ¶ 61,234 (2008), order denying reh’g, 130
FERC ¶ 61,089 (2010).
39 Midwest Indep. Transmission Sys. Operator,
Inc., 140 FERC ¶ 61,237, at P 138 (2012), order on
compliance, 148 FERC ¶ 61,056, at P 44 (2014).
40 PJM Interconnection, L.L.C., 107 FERC ¶
61,112, at P 22 (2004).
41 Midwest Indep. Transmission Sys. Operator,
Inc., 140 FERC ¶ 61,237, at P 154 (2012).
42 See, e.g., PJM OATT 120.
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18:05 Feb 26, 2015
Jkt 235001
consistent with the Commission’s cost
allocation principles and precedents.
D. Toggling Provisions
21. NYISO’s proposal should also
include rules to eliminate, or at least
minimize, incentives for a generator
needed for reliability to toggle between
receiving RMR compensation and
market-based compensation for the
same units.43 The Commission
appreciates that uneconomic units
could become economic for a number of
reasons, including changing market
conditions and the need for and timing
of capital investments. However, the
Commission is concerned that any
proposed provisions not provide an
incentive for a generation resource to
propose to deactivate earlier than it
otherwise would have in expectation of
being needed for reliability and,
therefore, be able to receive more
revenues under an RMR service
agreement than by remaining in the
market. As noted above, the tariff
provisions should not provide an
incentive for a generation resource to reenter the market after having received
accelerated recovery of the cost of
additional investments made under its
RMR agreement.44 Accordingly, to
address the Commission’s concerns
related to toggling, NYISO should craft
tariff provisions that provide clear
guidance to generators regarding the
implications of a deactivation notice.
The Commission Orders
(A) Pursuant to the authority
contained in and subject to the
jurisdiction conferred upon the Federal
Energy Regulatory Commission by
section 402(a) of the Department of
Energy Organization Act and by the
Federal Power Act, particularly section
206 thereof, and pursuant to the
Commission’s Rules of Practice and
Procedure and the regulations under the
Federal Power Act (18 CFR Chapter I),
the Commission hereby institutes a
proceeding in Docket No. EL15–37–000
concerning the justness and
reasonableness of NYISO’s Tariff with
regard to RMR issues, as discussed in
the body of this order.
(B) Within 120 days of the date of
issuance of this order, NYISO shall
submit a compliance filing containing a
proposed RMR Rate Schedule and pro
forma RMR agreement, as discussed in
the body of this order.
43 See, e.g., PJM OATT 118; ISO–NE,
Transmission Markets and Services Tariff,
III.13.2.5.2.5 (18.0.0); MISO, FERC Electric Tariff,
38.2.7 (4.0.0); CAISO, eTariff, 43.2.6 (1.0.0).
44 See, ISO New England Inc., 125 FERC ¶ 61,102,
at PP 45–48 (2008).
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10681
(C) Any interested person desiring to
be heard in this proceeding must file a
notice of intervention or motion to
intervene, as appropriate, with the
Federal Energy Regulatory Commission,
888 First Street NE., Washington, DC
20426, in accordance with Rule 214 of
the Commission’s Rules of Practice and
Procedure (18 CFR 385.214 (2014))
within 21 days of the date of this order.
(D) The Secretary is hereby directed to
promptly publish this order in the
Federal Register.
By the Commission.
Issued: February 19, 2015.
Kimberly D. Bose,
Secretary.
[FR Doc. 2015–04119 Filed 2–26–15; 8:45 am]
BILLING CODE 6717–01–P
DEPARTMENT OF ENERGY
Federal Energy Regulatory
Commission
[Docket No. EL14–33–000]
DATC Path 15, LLC; Notice of
Institution of Section 206 Proceeding
and Refund Effective Date
On April 17, 2014, the Commission
issued an order in Docket No. EL14–33–
000, pursuant to section 206 of the
Federal Power Act (FPA), 16 U.S.C.
824e (2012), instituting an investigation
to determine the justness and
reasonableness of DATC Path 15, LLC’s
proposed transmission revenue
requirement reduction. DATC Path 15,
LLC, 147 FERC ¶ 61,035 (2014).
The refund effective date in Docket
No. EL14–33–000, established pursuant
to section 206(b) of the FPA, will be the
date of publication of this notice in the
Federal Register.
Dated: February 23, 2015.
Kimberly D. Bose,
Secretary.
[FR Doc. 2015–04082 Filed 2–26–15; 8:45 am]
BILLING CODE 6717–01–P
DEPARTMENT OF ENERGY
Federal Energy Regulatory
Commission
[Docket No. PF15–1–000]
PennEast Pipeline Company, LLC;
Notice of Postponement of Public
Scoping Meeting for the Penneast
Pipeline Project
On January 13, 2015, the Federal
Energy Regulatory Commission (FERC
or Commission) issued a Notice of
Intent to Prepare an Environmental
E:\FR\FM\27FEN1.SGM
27FEN1
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[Federal Register Volume 80, Number 39 (Friday, February 27, 2015)]
[Notices]
[Page 10681]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2015-04082]
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DEPARTMENT OF ENERGY
Federal Energy Regulatory Commission
[Docket No. EL14-33-000]
DATC Path 15, LLC; Notice of Institution of Section 206
Proceeding and Refund Effective Date
On April 17, 2014, the Commission issued an order in Docket No.
EL14-33-000, pursuant to section 206 of the Federal Power Act (FPA), 16
U.S.C. 824e (2012), instituting an investigation to determine the
justness and reasonableness of DATC Path 15, LLC's proposed
transmission revenue requirement reduction. DATC Path 15, LLC, 147 FERC
] 61,035 (2014).
The refund effective date in Docket No. EL14-33-000, established
pursuant to section 206(b) of the FPA, will be the date of publication
of this notice in the Federal Register.
Dated: February 23, 2015.
Kimberly D. Bose,
Secretary.
[FR Doc. 2015-04082 Filed 2-26-15; 8:45 am]
BILLING CODE 6717-01-P
