Boulder Canyon Project-Rate Order No. WAPA-178, 27813-27814 [2017-12700]

Download as PDF Federal Register / Vol. 82, No. 116 / Monday, June 19, 2017 / Notices Applicants: North American Electric Reliability Corporation. Description: Petition of the North American Electric Reliability Corporation for Approval of Amendments to the Western Electricity Coordinating Council Regional Reliability Standards Development Procedures. Filed Date: 6/8/17. Accession Number: 20170608–5107. Comments Due: 5 p.m. ET 6/29/17. The filings are accessible in the Commission’s eLibrary system by clicking on the links or querying the docket number. Any person desiring to intervene or protest in any of the above proceedings must file in accordance with Rules 211 and 214 of the Commission’s Regulations (18 CFR 385.211 and 385.214) on or before 5:00 p.m. Eastern time on the specified comment date. Protests may be considered, but intervention is necessary to become a party to the proceeding. eFiling is encouraged. More detailed information relating to filing requirements, interventions, protests, service, and qualifying facilities filings can be found at: http://www.ferc.gov/ docs-filing/efiling/filing-req.pdf. For other information, call (866) 208–3676 (toll free). For TTY, call (202) 502–8659. Dated: June 8, 2017. Kimberly D. Bose, Secretary. [FR Doc. 2017–12676 Filed 6–16–17; 8:45 am] BILLING CODE 6717–01–P DEPARTMENT OF ENERGY Western Area Power Administration Boulder Canyon Project—Rate Order No. WAPA–178 Western Area Power Administration, DOE. ACTION: Notice of proposed rate-setting formulas for electric service and adjustment of fiscal year 2018 base charge and rates. AGENCY: Western Area Power Administration (WAPA) is proposing to update the rate-setting formulas for electric service for the Boulder Canyon Project (BCP) under proposed Rate Schedule BCP–F10, and adjust the annual calculation for the fiscal year (FY) 2018 base charge and rates. The expiration of the current base charge and rates on September 30, 2017, and beginning of the new 50-year marketing asabaliauskas on DSKBBXCHB2PROD with NOTICES SUMMARY: VerDate Sep<11>2014 17:09 Jun 16, 2017 Jkt 241001 period on October 1, 2018, require these actions. The current base charge under Rate Schedule BCP–F9 is not sufficient to cover all annual costs including operation and maintenance, replacements, and interest expense; and repay investment obligations within the allowable period. After collaborating with the BCP contractors, WAPA proposes an FY 2018 base charge that includes a one-time $15 million working capital fund primarily for the Bureau of Reclamation (Reclamation) for the new marketing period. The FY 2019 base charge is expected to decrease by $15 million after the collection of working capital in FY 2018. The proposed base charge will provide sufficient revenue to cover all annual costs and repay investment obligations within the allowable period. WAPA will post proposed Rate Schedule BCP–F10 and a detailed rate package that identifies the reasons for the base charge and rates adjustment on its Web site during the consultation and comment period. The proposed base charge and rates are scheduled to become effective on October 1, 2017, and will remain in effect through September 30, 2018. Publication of this Federal Register notice initiates the formal public process to implement the proposed ratesetting formulas and the FY 2018 base charge and rates. DATES: The consultation and comment period begins today and will end September 18, 2017. WAPA will present a detailed explanation of the proposed rate-setting formulas and the FY 2018 base charge and rates at a public information forum that will be held on July 19, 2017, at 10:00 a.m. Mountain Standard Time (MST) in Phoenix, Arizona. WAPA will accept oral and written comments at a public comment forum that will be held on August 18, 2017, at 10:00 a.m. MST in Phoenix, Arizona. WAPA will accept written comments any time during the consultation and comment period. ADDRESSES: The public information forum and public comment forum will be held at WAPA’s Desert Southwest Customer Service Regional Office located at 615 South 43rd Avenue, Phoenix, Arizona 85009. Send written comments to Mr. Ronald E. Moulton, Regional Manager, Desert Southwest Customer Service Region, Western Area Power Administration, P.O. Box 6457, Phoenix, Arizona 85005–6457, email moulton@wapa.gov. WAPA will post information about the rate process, as well as comments received via letter PO 00000 Frm 00032 Fmt 4703 Sfmt 4703 27813 and email on its Web site at: http:// www.wapa.gov/regions/DSW/Rates/ Pages/boulder-canyon-rates.aspx. Written comments must be received by the end of the consultation and comment period to be considered by WAPA in its decision process. United States (U.S.) citizens who want to attend a forum must present an official form of picture identification (ID) such as a U.S. driver’s license, U.S. passport, U.S. government ID, or U.S. military ID. Foreign nationals who want to attend a forum must contact Mr. Scott Lund, Rates Manager, at (602) 605–2442 or email slund@wapa.gov 30 days in advance of a forum to obtain the necessary clearance. FOR FURTHER INFORMATION CONTACT: Mr. Scott Lund, Rates Manager, Desert Southwest Customer Service Region, Western Area Power Administration, P.O. Box 6457, Phoenix, Arizona 85005– 6457, (602) 605–2442, or email slund@ wapa.gov. SUPPLEMENTARY INFORMATION: BCP’s base charge and rates for electric service are calculated annually based on formulas that are set for a five-year period. Since BCP begins a new 50-year marketing period in FY 2018, WAPA is proposing to update the rate-setting formulas effective October 1, 2017 through September 30, 2022. Proposed Rate Schedule BCP–F10 will update the existing forecast capacity rate formula to reflect BCP’s current generating capacity of 2,074 megawatts. No other changes to the existing rate-setting formulas are proposed. The proposed FY 2018 base charge and rates for BCP electric service are designed to recover an annual revenue requirement that includes operation and maintenance and replacements costs, interest expense, investment repayments, payments to states, and visitor services expenses. The total costs are offset by the projected revenue from water sales, visitor services, ancillary services, and late fees. The annual revenue requirement is the base charge for electric service divided equally between capacity and energy. The annual composite rate is the base charge divided by annual energy sales. The proposed Rate Schedule BCP–F10 requires updated financial and hydrology data to calculate the annual base charge and rates. The proposed base charge for FY 2018 is $85,094,786 and the proposed composite rate is 24.39 mills/kilowatt-hour. The following table compares the existing and proposed base charge and composite rate: E:\FR\FM\19JNN1.SGM 19JNN1 27814 Federal Register / Vol. 82, No. 116 / Monday, June 19, 2017 / Notices COMPARISON OF EXISTING AND PROPOSED BASE CHARGE AND COMPOSITE RATE Existing October 1, 2016 through September 30, 2017 Base Charge ($) .......................................................................................... Composite Rate (mills/kWh) ........................................................................ The proposed FY 2018 base charge includes a one-time $15 million working capital fund primarily for Reclamation, which is an increase of approximately 22 percent compared to the FY 2017 base charge. Under the BCP Electric Service Contracts and Amended and Restated Implementation Agreements, Reclamation worked collaboratively with BCP contractors to establish the $15 million working capital fund for the new marketing period, to be collected in the FY 2018 base charge. The FY 2019 base charge is expected to decrease by $15 million after the collection of working capital in FY 2018 (subject to Reclamation’s annual working capital evaluation). The working capital fund accounts for nearly all of the increase to the base charge. Increases in annual operation and maintenance and replacement costs, and decreases in debt service, uprating credits, non-power revenue, and carryover revenue account for the remaining increase to the base charge. The proposed FY 2018 composite rate represents an increase of approximately 24 percent compared to the FY 2017 composite rate. The increase in the proposed base charge accounts for the composite rate increase. This proposal, to be effective October 1, 2017, is preliminary and is subject to change upon publication of the final base charge and rates. asabaliauskas on DSKBBXCHB2PROD with NOTICES Legal Authority In establishing rate-setting formulas for electric service and the base charge and rates for BCP, WAPA will follow the formal public process set forth in 10 CFR parts 903 and 904, and review all comments it receives on the proposed base charge and rates before taking action. WAPA is proposing this action under the Department of Energy (DOE) Organization Act (42 U.S.C. 7101–7352); the Reclamation Act of 1902 (ch. 1093, 32 Stat. 388), as amended and supplemented by subsequent enactments; and other acts that specifically apply to the project involved. By Delegation Order No. 00–037.00B effective November 19, 2016, the Secretary of Energy delegated: (1) The VerDate Sep<11>2014 17:09 Jun 16, 2017 Jkt 241001 69,662,289 19.63 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, to remand, or to disapprove such rates to the Federal Energy Regulatory Commission. Availability of Information All brochures, studies, comments, letters, memorandums, or other documents WAPA initiates or uses to develop the proposed rate-setting formulas and the base charge and rates will be available for inspection and copying at the Desert Southwest Customer Service Regional Office, Western Area Power Administration, located at 615 South 43rd Avenue, Phoenix, Arizona 85009. Many of these documents and supporting information are available on WAPA’s Web site at: http://www.wapa.gov/regions/DSW/ Rates/Pages/boulder-canyon-rates.aspx. Ratemaking Procedure Requirements Environmental Compliance In compliance with the National Environmental Policy Act (NEPA) of 1969, 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), WAPA 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 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. Dated: May 4, 2017. Mark A. Gabriel, Administrator. [FR Doc. 2017–12700 Filed 6–16–17; 8:45 am] BILLING CODE 6450–01–P PO 00000 Frm 00033 Fmt 4703 Proposed October 1, 2017 through September 30, 2018 Sfmt 4703 Percent change 85,094,786 24.39 22 24 ENVIRONMENTAL PROTECTION AGENCY [EPA–R05–RCRA–2017–0228; FRL–9963– 63–Region 5] Illinois: Notice of Determination of Adequacy of Illinois’ Research, Development and Demonstration (RD&D) Permit Provisions for Municipal Solid Waste Landfills (MSWLF) Environmental Protection Agency (EPA). ACTION: Notice. AGENCY: On May 10, 2016, the Environmental Protection Agency (EPA) issued a revision to the regulations allowing RD&D permits to increase the number of permit renewals allowed to six, for a total permit term of up to 21 years. On March 21, 2017, the Illinois Environmental Protection Agency (IEPA) submitted a notification to EPA Region 5 seeking Federal approval of its revised RD&D requirements per the procedures. Subject to public review and comment, this action approves Illinois’ revised RD&D permit requirements. DATES: This determination of adequacy of the RD&D permit program for Illinois will become effective August 18, 2017 unless adverse comments are received. If adverse comments are received, EPA will review those comments and publish another Federal Register document responding to those comments and either affirm or revise EPA’s initial decision. Comments on this determination of adequacy must be received on or before July 19, 2017. ADDRESSES: Submit your comments, identified by Docket ID No. EPA–R05– RCRA–2017–0228, to the Federal eRulemaking Portal: https:// www.regulations.gov. Follow the online instructions for submitting comments. Once submitted, comments cannot be edited or withdrawn. The EPA may publish any comment received to its public docket. Do not submit electronically any information you consider to be Confidential Business Information (CBI) or other information whose disclosure is restricted by statute. SUMMARY: E:\FR\FM\19JNN1.SGM 19JNN1

Agencies

[Federal Register Volume 82, Number 116 (Monday, June 19, 2017)]
[Notices]
[Pages 27813-27814]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-12700]


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DEPARTMENT OF ENERGY

Western Area Power Administration


Boulder Canyon Project--Rate Order No. WAPA-178

AGENCY: Western Area Power Administration, DOE.

ACTION: Notice of proposed rate-setting formulas for electric service 
and adjustment of fiscal year 2018 base charge and rates.

-----------------------------------------------------------------------

SUMMARY: Western Area Power Administration (WAPA) is proposing to 
update the rate-setting formulas for electric service for the Boulder 
Canyon Project (BCP) under proposed Rate Schedule BCP-F10, and adjust 
the annual calculation for the fiscal year (FY) 2018 base charge and 
rates. The expiration of the current base charge and rates on September 
30, 2017, and beginning of the new 50-year marketing period on October 
1, 2018, require these actions.
    The current base charge under Rate Schedule BCP-F9 is not 
sufficient to cover all annual costs including operation and 
maintenance, replacements, and interest expense; and repay investment 
obligations within the allowable period. After collaborating with the 
BCP contractors, WAPA proposes an FY 2018 base charge that includes a 
one-time $15 million working capital fund primarily for the Bureau of 
Reclamation (Reclamation) for the new marketing period. The FY 2019 
base charge is expected to decrease by $15 million after the collection 
of working capital in FY 2018. The proposed base charge will provide 
sufficient revenue to cover all annual costs and repay investment 
obligations within the allowable period. WAPA will post proposed Rate 
Schedule BCP-F10 and a detailed rate package that identifies the 
reasons for the base charge and rates adjustment on its Web site during 
the consultation and comment period. The proposed base charge and rates 
are scheduled to become effective on October 1, 2017, and will remain 
in effect through September 30, 2018. Publication of this Federal 
Register notice initiates the formal public process to implement the 
proposed rate-setting formulas and the FY 2018 base charge and rates.

DATES: The consultation and comment period begins today and will end 
September 18, 2017. WAPA will present a detailed explanation of the 
proposed rate-setting formulas and the FY 2018 base charge and rates at 
a public information forum that will be held on July 19, 2017, at 10:00 
a.m. Mountain Standard Time (MST) in Phoenix, Arizona. WAPA will accept 
oral and written comments at a public comment forum that will be held 
on August 18, 2017, at 10:00 a.m. MST in Phoenix, Arizona. WAPA will 
accept written comments any time during the consultation and comment 
period.

ADDRESSES: The public information forum and public comment forum will 
be held at WAPA's Desert Southwest Customer Service Regional Office 
located at 615 South 43rd Avenue, Phoenix, Arizona 85009. Send written 
comments to Mr. Ronald E. Moulton, Regional Manager, Desert Southwest 
Customer Service Region, Western Area Power Administration, P.O. Box 
6457, Phoenix, Arizona 85005-6457, email moulton@wapa.gov. WAPA will 
post information about the rate process, as well as comments received 
via letter and email on its Web site at: http://www.wapa.gov/regions/DSW/Rates/Pages/boulder-canyon-rates.aspx. Written comments must be 
received by the end of the consultation and comment period to be 
considered by WAPA in its decision process.
    United States (U.S.) citizens who want to attend a forum must 
present an official form of picture identification (ID) such as a U.S. 
driver's license, U.S. passport, U.S. government ID, or U.S. military 
ID. Foreign nationals who want to attend a forum must contact Mr. Scott 
Lund, Rates Manager, at (602) 605-2442 or email slund@wapa.gov 30 days 
in advance of a forum to obtain the necessary clearance.

FOR FURTHER INFORMATION CONTACT: Mr. Scott Lund, Rates Manager, Desert 
Southwest Customer Service Region, Western Area Power Administration, 
P.O. Box 6457, Phoenix, Arizona 85005-6457, (602) 605-2442, or email 
slund@wapa.gov.

SUPPLEMENTARY INFORMATION: BCP's base charge and rates for electric 
service are calculated annually based on formulas that are set for a 
five-year period. Since BCP begins a new 50-year marketing period in FY 
2018, WAPA is proposing to update the rate-setting formulas effective 
October 1, 2017 through September 30, 2022. Proposed Rate Schedule BCP-
F10 will update the existing forecast capacity rate formula to reflect 
BCP's current generating capacity of 2,074 megawatts. No other changes 
to the existing rate-setting formulas are proposed.
    The proposed FY 2018 base charge and rates for BCP electric service 
are designed to recover an annual revenue requirement that includes 
operation and maintenance and replacements costs, interest expense, 
investment repayments, payments to states, and visitor services 
expenses. The total costs are offset by the projected revenue from 
water sales, visitor services, ancillary services, and late fees. The 
annual revenue requirement is the base charge for electric service 
divided equally between capacity and energy. The annual composite rate 
is the base charge divided by annual energy sales.
    The proposed Rate Schedule BCP-F10 requires updated financial and 
hydrology data to calculate the annual base charge and rates. The 
proposed base charge for FY 2018 is $85,094,786 and the proposed 
composite rate is 24.39 mills/kilowatt-hour. The following table 
compares the existing and proposed base charge and composite rate:

[[Page 27814]]



                       Comparison of Existing and Proposed Base Charge and Composite Rate
----------------------------------------------------------------------------------------------------------------
                                                  Existing  October 1,     Proposed  October 1,
                                                     2016  through            2017  through       Percent change
                                                   September 30, 2017       September 30, 2018
----------------------------------------------------------------------------------------------------------------
Base Charge ($)...............................               69,662,289               85,094,786              22
Composite Rate (mills/kWh)....................                    19.63                    24.39              24
----------------------------------------------------------------------------------------------------------------

    The proposed FY 2018 base charge includes a one-time $15 million 
working capital fund primarily for Reclamation, which is an increase of 
approximately 22 percent compared to the FY 2017 base charge. Under the 
BCP Electric Service Contracts and Amended and Restated Implementation 
Agreements, Reclamation worked collaboratively with BCP contractors to 
establish the $15 million working capital fund for the new marketing 
period, to be collected in the FY 2018 base charge. The FY 2019 base 
charge is expected to decrease by $15 million after the collection of 
working capital in FY 2018 (subject to Reclamation's annual working 
capital evaluation). The working capital fund accounts for nearly all 
of the increase to the base charge. Increases in annual operation and 
maintenance and replacement costs, and decreases in debt service, 
uprating credits, non-power revenue, and carryover revenue account for 
the remaining increase to the base charge.
    The proposed FY 2018 composite rate represents an increase of 
approximately 24 percent compared to the FY 2017 composite rate. The 
increase in the proposed base charge accounts for the composite rate 
increase.
    This proposal, to be effective October 1, 2017, is preliminary and 
is subject to change upon publication of the final base charge and 
rates.

Legal Authority

    In establishing rate-setting formulas for electric service and the 
base charge and rates for BCP, WAPA will follow the formal public 
process set forth in 10 CFR parts 903 and 904, and review all comments 
it receives on the proposed base charge and rates before taking action.
    WAPA is proposing this action under the Department of Energy (DOE) 
Organization Act (42 U.S.C. 7101-7352); the Reclamation Act of 1902 
(ch. 1093, 32 Stat. 388), as amended and supplemented by subsequent 
enactments; and other acts that specifically apply to the project 
involved.
    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, to remand, or to 
disapprove such rates to the Federal Energy Regulatory Commission.

Availability of Information

    All brochures, studies, comments, letters, memorandums, or other 
documents WAPA initiates or uses to develop the proposed rate-setting 
formulas and the base charge and rates will be available for inspection 
and copying at the Desert Southwest Customer Service Regional Office, 
Western Area Power Administration, located at 615 South 43rd Avenue, 
Phoenix, Arizona 85009. Many of these documents and supporting 
information are available on WAPA's Web site at: http://www.wapa.gov/regions/DSW/Rates/Pages/boulder-canyon-rates.aspx.

Ratemaking Procedure Requirements

Environmental Compliance

    In compliance with the National Environmental Policy Act (NEPA) of 
1969, 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), WAPA 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

    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.

    Dated: May 4, 2017.
Mark A. Gabriel,
Administrator.
[FR Doc. 2017-12700 Filed 6-16-17; 8:45 am]
 BILLING CODE 6450-01-P