Preventing Undue Discrimination and Preference in Transmission Service, 19112-19116 [E7-7229]

Download as PDF 19112 Federal Register / Vol. 72, No. 73 / Tuesday, April 17, 2007 / Rules and Regulations Alternative Methods of Compliance (i) The Manager, Engine Certification Office, has the authority to approve alternative methods of compliance for this AD if requested using the procedures found in 14 CFR 39.19. Related Information (j) The EASA airworthiness directive 2007– 0026, dated February 1, 2007, also addresses the subject of this AD. Material Incorporated by Reference (k) You must use Turbomeca Alert Mandatory Service Bulletin (ASB) No. A292 73 2814, Update No. 1, dated January 11, 2005; or ASB No. A292 73 2814, Update No. 2, dated December 15, 2006, to perform the actions required by this AD. The Director of the Federal Register previously approved the incorporation by reference of ASB No. A292 73 2814, Update No. 1, dated January 11, 2005, on July 11, 2005 (70 FR 36480; June 24, 2005). The Director of the Federal Register approved the incorporation by reference of ASB No. A292 73 2814, Update No. 2, dated December 15, 2006, in accordance with 5 U.S.C. 552(a) and 1 CFR part 51. Contact Turbomeca S.A., 40220 Tarnos, France; telephone 33 05 59 74 40 00, fax 33 05 59 74 45 15, for a copy of this service information. You may review copies at the FAA, New England Region, Office of the Regional Counsel, 12 New England Executive Park, Burlington, MA; or at the National Archives and Records Administration (NARA). For information on the availability of this material at NARA, call 202–741–6030, or go to: https://www.archives.gov/ federal_register/code_of_federal_regulations/ ibr_locations.html. Issued in Burlington, Massachusetts, on April 9, 2007. Peter A. White, Acting Manager, Engine and Propeller Directorate, Aircraft Certification Service. [FR Doc. E7–7115 Filed 4–16–07; 8:45 am] BILLING CODE 4910–13–P DEPARTMENT OF ENERGY Federal Energy Regulatory Commission 18 CFR Parts 35 and 37 [Docket Nos. RM05–17–000 and RM05–25– 000; Order No. 890] Preventing Undue Discrimination and Preference in Transmission Service Issued April 11, 2007. Federal Energy Regulatory Commission, DOE. ACTION: Order granting extension of compliance action dates. cprice-sewell on PRODPC61 with RULES AGENCY: SUMMARY: The Federal Energy Regulatory Commission (Commission) is extending certain deadlines for compliance actions required by Order VerDate Aug<31>2005 14:53 Apr 16, 2007 Jkt 211001 No. 890, the final rule issued in this proceeding on February 16, 2007. DATES: The date by which transmission providers must implement certain reforms adopted in Order No. 890 is hereby extended by 60 days, to July 13, 2007, as set forth in Appendix A of this order. FOR FURTHER INFORMATION CONTACT: W. Mason Emnett (Legal Information), Office of the General Counsel—Energy Markets, Federal Energy Regulatory Commission, 888 First Street, NE., Washington, DC 20426, (202) 502–6540. SUPPLEMENTARY INFORMATION: Before Commissioners: Joseph T. Kelliher, Chairman; Suedeen G. Kelly, Marc Spitzer, Philip D. Moeller, and Jon Wellinghoff. Order Granting Extension of Compliance Action Dates 1. On March 21, 2007, Tampa Electric Company (Tampa Electric) together with Florida Power & Light Company (FPL) filed a motion for extension of deadlines relating to the implementation of additional functionality for the Open Access Same-Time Information System (OASIS) and the posting of new transmission-related metrics as outlined in Order No. 890.1 On March 29, 2007, Tampa Electric and FPL supplemented their motion with a preliminary assessment of technical work required to implement the additional OASIS functionality and the posting of new transmission-related metrics. 2. On March 23, 2007, the Edison Electric Institute (EEI) filed a motion requesting that the Commission extend to 120 days from publication of Order No. 890 in the Federal Register all deadlines currently set as less than 120 days as applied to transmission providers that are not members of an Independent System Operator (ISO) or Regional Transmission Organization (RTO). On March 29, 2007, EEI filed a second motion to extend the filing deadline for ISO and RTO transmission providers’ ‘‘strawman’’ proposals detailing compliance with each of the nine planning principles adopted in Order No. 890. 3. On April 3, 2007, E.ON U.S. LLC (E.ON) filed a motion stating its support of EEI’s request to allow utilities not participating in an ISO or RTO an additional 60 days to comply with the non-rate terms and conditions set out in Order No. 890, but requesting a 90-day extension for submission of its Federal Power Act (FPA) section 206 1 Preventing Undue Discrimination and Preference in Transmission Service, Order No. 890, 72 FR 12266 (March 15, 2007), FERC Stats. & Regs. ¶ 31,241 (2007), reh’g pending (Order No. 890). PO 00000 Frm 00020 Fmt 4700 Sfmt 4700 compliance filing due to E.ON’s particular circumstances. 4. Finally, on April 9, 2007, Portland General Electric Company (PGE) filed a motion seeking an extension of deadlines associated with the optional filing under FPA section 205 regarding previously-approved variations from the pro forma Open Access Transmission Tariff (OATT). 5. For the reasons outlined below, the Commission grants in part the March 23, 2007, motion of EEI and denies the March 29, 2007, motion of EEI, as well as the subsequent motions of E.ON and PGE. Accordingly, the joint motion of Tampa Electric and FPL, as supplemented, is rejected as moot. I. Background 6. On February 16, 2007, the Commission issued Order No. 890 on Preventing Undue Discrimination and Preference in Transmission Service in these dockets.2 In Order No. 890, the Commission amended its regulations and the pro forma OATT, adopted in Order No. 888,3 to ensure that transmission services are provided on a basis that is just, reasonable and not unduly discriminatory or preferential. The Commission designed Order No. 890 to: (1) Strengthen the pro forma OATT to ensure that it achieves its original purpose of remedying undue discrimination; (2) provide greater specificity to reduce opportunities for undue discrimination and facilitate the Commission’s enforcement; and (3) increase transparency in the rules applicable to planning and use of the transmission system. 7. Order No. 890 established a number of compliance requirements with corresponding deadlines, each necessary to achieve its stated goals. Among other things, transmission providers that have not been approved as ISOs or RTOs, and whose transmission facilities are not under the control of an ISO or RTO, were directed to submit, within 60 days after publication of Order No. 890 in the Federal Register, i.e., May 14, 2007, filings under section 206 of the FPA that contain the non-rate terms and 2 Id. 3 Promoting Wholesale Competition Through Open Access Non-discriminatory Transmission Services by Public Utilities; Recovery of Stranded Costs by Public Utilities and Transmitting Utilities, Order No. 888, 61 FR 21540 (May 10, 1996), FERC Stats. & Regs. ¶ 31,036 (1996), order on reh’g, Order No. 888–A, 62 FR 12274 (Mar. 14, 1997), FERC Stats. & Regs. ¶ 31,048 (1997), order on reh’g, Order No. 888–B, 81 FERC ¶ 61,248 (1997), order on reh’g, Order No. 888–C, 82 FERC ¶ 61,046 (1998), aff’d in relevant part sub nom. Transmission Access Policy Study Group v. FERC, 225 F.3d 667 (D.C. Cir. 2000) (TAPS v. FERC), aff’d sub nom. New York v. FERC, 535 U.S. 1 (2002). E:\FR\FM\17APR1.SGM 17APR1 Federal Register / Vol. 72, No. 73 / Tuesday, April 17, 2007 / Rules and Regulations cprice-sewell on PRODPC61 with RULES conditions set forth in the order.4 Within 75 days of publication, i.e., May 29, 2007, all transmission providers must post a ‘‘strawman’’ proposal for compliance with each of the nine planning principles adopted in Order No. 890.5 The Commission also requested that the North American Electric Reliability Corporation (NERC) and the North American Energy Standards Board (NAESB) file, within 90 days from publication, i.e., June 13, 2007, a joint status report that contains a work plan for completion of business practices and standards related to calculation of Available Transfer Capability (ATC).6 NAESB was further requested to file a status report and work plan for the completion of the OASIS functionality or uniform business practices related to reforms adopted in Order No. 890.7 The Commission required each transmission provider to develop, within 90 days from publication, i.e., June 13, 2007, its own OASIS functionality or business practices necessary to implement certain reforms ordered in Order No. 890 pending completion of the NERC and NAESB processes.8 Finally, the Commission required transmission providers to comply with a number of new regulations by Order No. 890’s effective date of May 14, 2007. 8. In addition to these compliance obligations, the Commission provided an optional 205 procedure for transmission providers seeking to maintain previously-approved variations from the Order No. 888 pro forma OATT that were affected by the reforms adopted in Order No. 890. To the extent a transmission provider wishes to maintain these previouslyapproved variations, the Commission stated that the transmission provider would have to demonstrate that the relevant tariff provisions continue to be consistent with or superior to the pro forma OATT as modified by Order No. 890. The Commission provided that such demonstrations could be made in an FPA section 205 filing submitted within 30 days after publication of Order No. 890 in the Federal Register, i.e., April 16, 2007. The Commission stated that each applicant should request that these proposed tariff provisions be made effective as of the date of the transmission provider’s section 206 compliance filing.9 4 Order No. 890 at P 139. at P 135. 6 Id. at P 223. 7 Id. at P 141. 8 Id. 9 Id. at P 139. 5 Id. VerDate Aug<31>2005 14:53 Apr 16, 2007 Jkt 211001 II. Motions for Extension 9. Tampa Electric and FPL seek extension of compliance deadlines related to the implementation of additional OASIS functionality and the posting of new transmission-related metrics. As explained in their motion, Tampa Electric and FPL currently use FLOASIS, the OASIS for transmission providers in Florida. Tampa Electric and FPL state that they are currently negotiating an agreement with a new host, Open Access Technology International, Inc. (OATI), and anticipate that their new OASIS system will not be operational until July 1, 2007. If forced to meet the deadlines set forth in Order No. 890, Tampa Electric and FPL contend that they would be required to develop new software and manual processes on the current FLOASIS, which would become obsolete once they switch to the new OATI-hosted OASIS platform. 10. EEI, on behalf of transmission providers not affiliated with an ISO or RTO, seeks in its March 23, 2007, motion an extension of certain of the compliance requirements in Order No. 890 involving deadlines set at less than 120 days from publication of the order in the Federal Register. This would include: the FPA section 206 compliance filing requirement, the ‘‘strawman’’ proposal deadline, and the deadlines set for the NERC and NAESB status reports. EEI contends that the volume and nature of the compliance requirements set forth in Order No. 890 render these corresponding deadlines infeasible. To support its argument, EEI describes in detail many of the steps it believes are necessary for completion of the compliance requirements, such as the development of new software or modifications to existing software. 11. In addition, EEI states particular concern regarding the time needed to develop software upgrades necessary to implement conditional firm service and planning redispatch. EEI also contends the current compliance schedule does not allow sufficient time to ensure that the new software and processes will not harm reliability. EEI therefore requests reconsideration of the Commission’s decision to make reforms involving NERC and NAESB activities effective in advance of associated development of business practices and standards. EEI requests the Commission abandon its requirement that transmission providers implement reforms on an individual basis prior to issuance of the final NERC and NAESB rules. 12. EEI also requests the Commission delay other compliance deadlines until the Commission issues further PO 00000 Frm 00021 Fmt 4700 Sfmt 4700 19113 clarification of Order No. 890. Specifically, EEI contends that without additional guidance from the Commission regarding revising transmission rates to reflect capacity benefit margin (CBM) set-aside, and prior to the issuance of the final NERC and NAESB standards, there may be significant inconsistencies in rate design among utilities, which could lead to hearing and settlement proceedings. EEI also states that transmission providers that make firm system sales need further clarification regarding the manner in which network resources should be designated and that, in the absence of such guidance, the Commission should not penalize transmission providers for their attempts to implement Order No. 890. 13. EEI further asks that the Commission clarify that the changes to Schedule 4 and Schedule 9 regarding imbalance charges need not become effective until the billing cycle immediately following the effective date of the revised pro forma OATT. EEI argues that requiring transmission providers to bill in two different billing methods for the same service over the course of a month would create the need for a complex software workaround. 14. In conjunction with its various requests, EEI proposes to organize a public conference on or about May 14, 2007, for participants to discuss progress made in their compliance efforts and any obstacles that have arisen. 15. On March 29, 2007, EEI filed a second motion on behalf of transmission providers that are members of an ISO or RTO, requesting a similar extension for filing of the ‘‘strawman’’ proposals for those entities. EEI contends in this motion that it is not feasible for ISOs and RTOs, and their transmissionowning members, to obtain robust input from a broad range of stakeholders in time to meet the current 75-day deadline. According to EEI, this deadline will be particularly challenging for most ISOs, RTOs and transmission owners because of the time required to coordinate planning obligations. 16. Answers to the EEI motions were filed by the American Public Power Association, National Rural Electric Cooperative Association, Transmission Access Policy Study Group, and Transmission Dependent Utility Systems (together the APPA Joint Commenters), the Mid-Continent Power Pool (MAPP) on behalf of its public utility members, Puget Sound Energy, Inc. (Puget), and the Electric Power Supply Association (EPSA). MAPP and Puget state full support of EEI’s March E:\FR\FM\17APR1.SGM 17APR1 cprice-sewell on PRODPC61 with RULES 19114 Federal Register / Vol. 72, No. 73 / Tuesday, April 17, 2007 / Rules and Regulations 23, 2007, motion, reiterating many of the arguments made by EEI. While the APPA Joint Commenters do not object to the extensions of time requested by EEI, they request that the Commission provide at least 45 days to comment on transmission providers’ compliance filings if the requested extensions are granted. In support of their request, the APPA Joint Commenters contend that consolidation of the 60-day, 75-day, and 90-day deadlines into a single 120-day deadline will impose increased burdens on interested parties reviewing those previously-staggered filings and postings. EPSA states its support of the APPA Joint Commenters’ request. 17. The APPA Joint Commenters also express particular concern with two elements of the EEI motions. First, they argue that the Commission should only grant an extension of the requirement to complete software modifications on a case-by-case basis and, even then, only on a showing of clear and convincing need. Second, the APPA Joint Commenters argue that, if the Commission grants EEI’s request to delay posting of the ‘‘strawman’’ proposals, the associated technical conferences should also be delayed in order to maintain a 15- to 45-day period for stakeholder review of the ‘‘strawman’’ postings. 18. On April 3, 2007, E.ON filed a motion supporting EEI’s request to allow utilities not participating in an ISO or RTO an additional 60 days to comply with the non-rate terms and conditions set out in Order No. 890. E.ON contends, however, that it is different from most stand-alone utilities because it must coordinate compliance efforts with the Southwest Power Pool, the independent transmission organization for E.ON’s transmission system, as well as the Tennessee Valley Authority, which serves as the reliability coordinator for E.ON’s transmission system. E.ON therefore requests a 90-day extension to submit its FPA section 206 compliance filing, rather than the 60-day extension requested by EEI. 19. On April 9, 2007, PGE filed a motion requesting an extension of the deadline to submit FPA section 205 filings relating to previously-approved variations from the pro forma OATT. To the extent the Commission grants EEI’s request for an extension of the date to submit the FPA section 206 compliance filings, PGE requests that the Commission also generically extend the date of the FPA section 205 filings by 60 days. PGE further requests that, as to its own FPA section 205 filing, the Commission permit it to delay that filing until after the Commission issues VerDate Aug<31>2005 14:53 Apr 16, 2007 Jkt 211001 its order on rehearing in this proceeding. III. Commission Determination 20. The Commission partially grants EEI’s request and extends the date on which reforms adopted in Order No. 890 would have otherwise been effective by 60 days, i.e., to July 13, 2007, except as provided for below. Specifically, all transmission providers that have not been approved as ISOs or RTOs, and whose transmission facilities are not under the control of an ISO or RTO, are required to submit FPA section 206 compliance filings that contain the nonrate terms and conditions set forth in Order No. 890 within 120 days of publication of the order in the Federal Register, i.e., July 13, 2007. Similarly, transmission providers must take all other actions necessary to implement the reforms adopted in Order No. 890, except as provided for below, on or before July 13, 2007, unless a later compliance date was otherwise specified in the order.10 21. With regard to the requirement for transmission providers to post ‘‘strawman’’ proposals for compliance with the nine planning principles adopted in Order No. 890, we deny EEI’s requests for extension and retain the requirement that such postings be made within 75 days of publication of the order in the Federal Register, i.e., May 29, 2007. The ‘‘strawman’’ proposals are necessary to facilitate the technical conferences that the Commission has scheduled in June 2007 to encourage discussion as to how transmission providers ultimately intend to fulfill their planning requirements. Due to the delay in Federal Register publication, the ‘‘strawman’’ posting date is more than 100 days after Order No. 890 was issued, which is consistent with EEI’s assertion that the Commission typically provides 90 to 120 days for RTO and ISO efforts that require stakeholder participation.11 In any event, the ‘‘strawman’’ proposals are only one aspect of the compliance process. The actual Attachment K compliance filing deadline is not until October 11, 2007. Transmission providers will therefore have roughly four months to prepare their Attachment K filings after the 10 Order No. 890 also requested NERC and NAESB to submit status reports within 90 days of publication of the order in the Federal Register, i.e., June 13, 2007, containing work plans for developing standards and business practices associated with reforms adopted in Order No. 890. The limited extension of time granted here applies to actions to be taken by transmission providers and, thus, the NERC and NAESB filing deadlines remain unchanged. 11 EEI March 29 Motion at 2. PO 00000 Frm 00022 Fmt 4700 Sfmt 4700 Commission holds technical conferences to discuss the ‘‘strawman’’ proposals. We believe this is sufficient time to ensure timely compliance with the Attachment K filing deadline. 22. With regard to imbalance charges, however, we agree that it would be reasonable for a transmission provider to extend the date on which the imbalance-related provisions adopted in Schedule 4 and Schedule 9 become effective until the first day of the billing cycle following the effectiveness of the underlying imbalance-related reforms. Specifically, transmission providers submitting their imbalance provisions in section 206 filings on or before July 13, 2007, may specify that those provisions will become effective on the first day of the billing cycle following the filing date. We agree that this modest extension of the effectiveness of imbalance-related reforms will facilitate the implementation of those reforms. 23. The Commission is not convinced that EEI’s remaining requests for extension or further generic modification of Order No. 890’s compliance obligations are necessary. Although the Commission is aware of the challenges of compliance with Order No. 890, we are not persuaded that the related deadlines, as modified herein, are unreasonable or unclear. Order No. 890 is the result of a multi-year proceeding during which the Commission sought and received multiple rounds of comments from over 300 parties. The various compliance obligations in Order No. 890, including CBM-related modification of rates and implementation of interim workarounds pending development of final NERC and NAESB standards and business practices, were established after full consideration of these comments and the Commission’s determination that related reforms are necessary to remedy the potential for undue discrimination.12 EEI has not persuaded us that generic modification of those obligations pending final standards and practice development by NERC and 12 With specific regard to the CBM-related rate changes required in Order No. 890, we believe that EEI’s concerns are misplaced. Order No. 890 expressly contemplated transmission providers proposing necessary changes to rate design to ensure that point-to-point customers do not pay a transmission charge that includes the cost of the CBM set-aside, provided that the subject of such rate filings be limited solely to the issue of CBMrelated cost recovery. See Order No. 890 at P 263. Nothing in Order No. 890 precludes transmission providers from proposing modification of rates for other services (such as network service) as necessary to recover CBM-related costs previously paid by point-to-point customers and, therefore, it is not necessary to extend the deadline for those filings. E:\FR\FM\17APR1.SGM 17APR1 Federal Register / Vol. 72, No. 73 / Tuesday, April 17, 2007 / Rules and Regulations NAESB would be appropriate.13 Any issues specific to a transmission provider’s ability to comply with the requirements of Order No. 890, as modified herein, may be considered during the compliance process on a case-by-case basis. For similar reasons, we deny the APPA Joint Commenters’ request to establish in advance of the compliance process the number of days parties will have to comment on compliance filings. 24. The Commission also denies E.ON’s request to extend its FPA section 206 compliance filing deadline by 90 days instead of the 60-day extension requested by EEI, granted above. All transmission providers must coordinate their compliance efforts with personnel internal and external to their organizations. We recognize these efforts will be complicated but, as explained above, they are the logical outgrowth of this multi-year proceeding. E.ON fails to justify the need for differential treatment during the compliance process. 25. Finally, the Commission denies PGE’s request to extend the FPA section 205 deadlines relating to previouslyapproved variations from the pro forma OATT. The optional section 205 procedure was established so that transmission providers would have an opportunity to demonstrate that any previously-approved variations continue to be consistent with or superior to the terms and conditions of the reformed pro forma OATT, thereby allowing those transmission providers to retain those variations during implementation of Order No. 890. It is not necessary, as PGE assumes, to extend the 30-day deadline for submission of the section 205 filings simply because we extend the deadline for the section 206 compliance filings above.14 The purpose of each filing is distinct and PGE offers no reason as to why transmission providers may need additional time to prepare their section 205 filings, which relate only to tariff provisions the Commission has already reviewed and approved. Moreover, deferring the deadline for PGE’s FPA section 205 filing until after our order on rehearing in this proceeding would not achieve PGE’s stated goal of ensuring that its previously-approved deviations remain in effect during the compliance process.15 In the section 206 compliance filing, each transmission provider must conform the non-rate terms and conditions of its OATT to the reformed non-rate terms and conditions of the pro forma OATT. Failure to request that previously-approved variations remain in place in advance of submitting the compliance filing will result in those provisions being eliminated during the compliance process. 26. In light of the extension of certain deadlines for compliance with Order Deadline (days after publication in the Fed. Reg.) 30 (4/16/2007) ........... 75 (5/29/2007) ........... 90 (6/13/2007) ........... 120 (7/13/2007) ......... cprice-sewell on PRODPC61 with RULES 120 (7/13/2007) ......... VerDate Aug<31>2005 No. 890 provided for above, the request for extension submitted by FPL and Tampa Electric is moot. The Commission Orders (A) The date on which the reforms adopted in Order No. 890 would have otherwise been effective is hereby extended by 60 days, i.e., to July 13, 2007, except as otherwise provided in the body of this order. (B) The request for extension submitted by FPL and Tampa Electric is dismissed as moot. (C) The request for extensions submitted by E.ON and PGE are denied. (D) The Secretary shall promptly publish a copy of this order in the Federal Register. By the Commission. Kimberly D. Bose, Secretary. Appendix A: Summary of Compliance Filing Requirements For a more detailed description of compliance obligations please refer to Order No. 890 paragraph number. For further information related to Order No. 890, such as electronic versions of the pro forma OATT showing tariff changes adopted in Order No. 890 in redline/strikeout format, and further information regarding docketing of compliance filings and specific filing instructions, please visit our Web site at the following location: https://www.ferc.gov/ industries/electric/indus-act/oatt-reform.asp. Order No. 890 paragraph No. Compliance action Optional Implementation FPA section 205 filings allowing transmission providers to propose previously approved variations from the pro forma OATT that have been affected by pro forma OATT reforms to remain in effect subject to a demonstration that such variations continue to be consistent with or superior to the revised pro forma OATT (non RTO/ISO transmission providers). Such optional filings must request a 90 day effective date to facilitate Commission review under section 205. Transmission Providers must post a ‘‘strawman’’ proposal for compliance with each of the nine planning principles adopted in Order No. 890. This may be posted on the Transmission Providers Web site or its OASIS site. NERC/NAESB status report and work plan for completion of ATC related business practices and standards. NAESB status report and work plan for completion of OASIS functionality or uniform business practices (other than those related to ATC). Transmission Providers that have not been approved as ISOs or RTOs, and whose transmission facilities are not under the control of an ISO or RTO, must submit FPA section 206 filings that contain the non-rate terms and conditions set forth in Order No. 890. These filings need only contain the revised provisions adopted in Order No. 890. Transmission providers utilizing the optional implementation FPA section 205 filing described above, need only submit tariff sheets necessary to implement the remaining modifications required under the Order No. 890, i.e., modifications related to tariff provisions that did not implicate previously-approved variations. Transmission Providers must submit redesigned transmission charges that reflect the Capacity Benefit Margin set-aside through a limited issue section 205 rate filing as part of their initial ATC related compliance filings. 13 Although Order No. 890 directed NERC and NAESB to develop standards and business practices necessary to implement ATC-related reforms within 270 and 360 days of publication of the order in the Federal Register, respectively, it did not establish a specific timeframe for NAESB’s development of business practices necessary for remaining reforms. Instead, NAESB was requested to submit a work 14:53 Apr 16, 2007 Jkt 211001 plan within 90 days of publication of the order in the Federal Register, upon review of which the Commission will issue an order establishing further compliance deadlines as necessary. See Order No. 890 at P 141. 14 As provided in Order No. 890, however, transmission providers should request that the tariff PO 00000 Frm 00023 Fmt 4700 Sfmt 4700 19115 P 139 P 443 P 223 P 141 P 135 P 263 provisions proposed in their optional 205 filings be made effective as of the date the transmission provider submits its section 206 compliance filing, which must now be on or before July 13, 2007. See id. at P 139. 15 See PGE Motion at 3. E:\FR\FM\17APR1.SGM 17APR1 19116 Federal Register / Vol. 72, No. 73 / Tuesday, April 17, 2007 / Rules and Regulations Deadline (days after publication in the Fed. Reg.) 180 (9/11/2007) ......... 210 (10/11/2007) ....... 210 (10/11/2007) ....... N/A ............................. N/A ............................. Submit compliance filings with Attachment C (ATC) of the pro forma OATT .......................................... ISOs and RTOs, and transmission providers located within an ISO/RTO footprint, submit FPA section 206 filings that contain the non-rate terms and conditions set forth in Order No. 890. These filings need only contain the revised provisions adopted in Order No. 890 or a demonstration that previously approved variations continue to be consistent with or superior to the revised pro forma OATT. Submit compliance filings with Attachment K (Planning) of the pro forma OATT or RTOs and ISOs file a demonstration that their planning processes are consistent with or superior to the planning principles in Order No. 890. N/A Transmission Providers must file a revised Attachment C to incorporate any changes to NERC’s and NAESB’s reliability and business practice standards to achieve consistency in ATC within 60 days of completion of the NERC and NAESB processes. After the submission of FPA section 206 compliance filings, transmission providers may submit FPA section 205 filings proposing rates for the services provided for in the tariff, as well as non-rate terms and conditions that differ from those set forth in Order No. 890 if those provisions are ‘‘consistent with or superior to’’ the pro forma OATT. [FR Doc. E7–7229 Filed 4–16–07; 8:45 am] BILLING CODE 6717–01–P DEPARTMENT OF ENERGY Federal Energy Regulatory Commission 18 CFR Part 381 [Docket No. RM07–12] Annual Update of Filing Fees April 9, 2007. Federal Energy Regulatory Commission, Department of Energy. ACTION: Final rule; annual update of Commission filing fees. cprice-sewell on PRODPC61 with RULES AGENCY: SUMMARY: In accordance with 18 CFR 381.104, the Commission issues this update of its filing fees. This notice provides the yearly update using data in the Commission’s Management, Administrative, and Payroll System to calculate the new fees. The purpose of updating is to adjust the fees on the basis of the Commission’s costs for Fiscal Year 2006. EFFECTIVE DATE: May 17, 2007. FOR FURTHER INFORMATION CONTACT: Elizabeth Misiewicz, Office of the Executive Director, Federal Energy Regulatory Commission, 888 First Street, NE., Room 4R–03, Washington, DC 20426, 202–502–6240. SUPPLEMENTARY INFORMATION: Document Availability: In addition to publishing the full text of this document in the Federal Register, the Commission provides all interested persons an opportunity to view and/or print the contents of this document via the Internet through FERC’s Home Page (https://www.ferc.gov) and in FERC’s Public Reference Room during normal business hours (8:30 a.m. to 5 p.m. VerDate Aug<31>2005 Order No. 890 paragraph No. Compliance action 14:53 Apr 16, 2007 Jkt 211001 Eastern time) at 888 First Street, NE., Room 2A, Washington DC 20426. From FERC’s Web site on the Internet, this information is available in the eLibrary (formerly FERRIS). The full text of this document is available on eLibrary in PDF and Microsoft Word format for viewing, printing, and/or downloading. To access this document in eLibrary, type the docket number excluding the last three digits of this document in the docket number field and follow other directions on the search page. User assistance is available for eLibrary and other aspects of FERC’s website during normal business hours. For assistance, contact FERC Online Support at FERCOnlineSupport@ferc.gov or toll free at (866) 208–3676, or for TTY, contact (202) 502–8659. Annual Update of Filing Fees The Federal Energy Regulatory Commission (Commission) is issuing this notice to update filing fees that the Commission assesses for specific services and benefits provided to identifiable beneficiaries. Pursuant to 18 CFR 381.104, the Commission is establishing updated fees on the basis of the Commission’s Fiscal Year 2006 costs. The adjusted fees announced in this notice are effective May 17, 2007. The Commission has determined, with the concurrence of the Administrator of the Office of Information and Regulatory Affairs of the Office of Management and Budget, that this final rule is not a major rule within the meaning of section 251 of Subtitle E of Small Business Regulatory Enforcement Fairness Act, 5 U.S.C. 804(2). The Commission is submitting this final rule to both houses of the United States Congress and to the Comptroller General of the United States. PO 00000 Frm 00024 Fmt 4700 Sfmt 4700 P 140 P 157 P 161 P 140 P 422 P 325 P 135 The new fee schedule is as follows: Fees Applicable to the Natural Gas Policy Act: 1. Petitions for rate approval pursuant to 18 CFR 284.123(b)(2). (18 CFR 381.403): $10,420. Fees Applicable to General Activities: 1. Petition for issuance of a declaratory order (except under Part I of the Federal Power Act). (18 CFR 381.302(a)): $20,940. 2. Review of a Department of Energy remedial order: Amount in controversy: $0–9,999 (18 CFR 381.303(b)): $100. $10,000–29,999 (18 CFR 381.303(b)): $600. $30,000 or more (18 CFR 381.303(a)): $30,560. 3. Review of a Department of Energy denial of adjustment: Amount in controversy: $0–9,999 (18 CFR 381.304(b)): $100. $10,000–29,999 (18 CFR 381.304(b)): $600. $30,000 or more (18 CFR 381.304(a)) $16,020. 4. Written legal interpretations by the Office of General Counsel (18 CFR 381.305(a)): $6,000. Fees Applicable to Natural Gas Pipelines: 1. Pipeline certificate applications pursuant to 18 CFR 284.224 (18 CFR 381.207(b)): $1,000* Fees Applicable to Cogenerators and Small Power Producers: 1. Certification of qualifying status as a small power production facility (18 CFR 381.505(a)): $18,000. 2. Certification of qualifying status as a cogeneration facility (18 CFR 381.505(a)): $20,380. The Commission is eliminating the fee for applications for exempt wholesale generator status. * This E:\FR\FM\17APR1.SGM fee has not been changed. 17APR1

Agencies

[Federal Register Volume 72, Number 73 (Tuesday, April 17, 2007)]
[Rules and Regulations]
[Pages 19112-19116]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-7229]


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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

18 CFR Parts 35 and 37

[Docket Nos. RM05-17-000 and RM05-25-000; Order No. 890]


Preventing Undue Discrimination and Preference in Transmission 
Service

Issued April 11, 2007.
AGENCY: Federal Energy Regulatory Commission, DOE.

ACTION: Order granting extension of compliance action dates.

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SUMMARY: The Federal Energy Regulatory Commission (Commission) is 
extending certain deadlines for compliance actions required by Order 
No. 890, the final rule issued in this proceeding on February 16, 2007.

DATES: The date by which transmission providers must implement certain 
reforms adopted in Order No. 890 is hereby extended by 60 days, to July 
13, 2007, as set forth in Appendix A of this order.

FOR FURTHER INFORMATION CONTACT: W. Mason Emnett (Legal Information), 
Office of the General Counsel--Energy Markets, Federal Energy 
Regulatory Commission, 888 First Street, NE., Washington, DC 20426, 
(202) 502-6540.

SUPPLEMENTARY INFORMATION: Before Commissioners: Joseph T. Kelliher, 
Chairman; Suedeen G. Kelly, Marc Spitzer, Philip D. Moeller, and Jon 
Wellinghoff.

Order Granting Extension of Compliance Action Dates

    1. On March 21, 2007, Tampa Electric Company (Tampa Electric) 
together with Florida Power & Light Company (FPL) filed a motion for 
extension of deadlines relating to the implementation of additional 
functionality for the Open Access Same-Time Information System (OASIS) 
and the posting of new transmission-related metrics as outlined in 
Order No. 890.\1\ On March 29, 2007, Tampa Electric and FPL 
supplemented their motion with a preliminary assessment of technical 
work required to implement the additional OASIS functionality and the 
posting of new transmission-related metrics.
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    \1\ Preventing Undue Discrimination and Preference in 
Transmission Service, Order No. 890, 72 FR 12266 (March 15, 2007), 
FERC Stats. & Regs. ] 31,241 (2007), reh'g pending (Order No. 890).
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    2. On March 23, 2007, the Edison Electric Institute (EEI) filed a 
motion requesting that the Commission extend to 120 days from 
publication of Order No. 890 in the Federal Register all deadlines 
currently set as less than 120 days as applied to transmission 
providers that are not members of an Independent System Operator (ISO) 
or Regional Transmission Organization (RTO). On March 29, 2007, EEI 
filed a second motion to extend the filing deadline for ISO and RTO 
transmission providers' ``strawman'' proposals detailing compliance 
with each of the nine planning principles adopted in Order No. 890.
    3. On April 3, 2007, E.ON U.S. LLC (E.ON) filed a motion stating 
its support of EEI's request to allow utilities not participating in an 
ISO or RTO an additional 60 days to comply with the non-rate terms and 
conditions set out in Order No. 890, but requesting a 90-day extension 
for submission of its Federal Power Act (FPA) section 206 compliance 
filing due to E.ON's particular circumstances.
    4. Finally, on April 9, 2007, Portland General Electric Company 
(PGE) filed a motion seeking an extension of deadlines associated with 
the optional filing under FPA section 205 regarding previously-approved 
variations from the pro forma Open Access Transmission Tariff (OATT).
    5. For the reasons outlined below, the Commission grants in part 
the March 23, 2007, motion of EEI and denies the March 29, 2007, motion 
of EEI, as well as the subsequent motions of E.ON and PGE. Accordingly, 
the joint motion of Tampa Electric and FPL, as supplemented, is 
rejected as moot.

I. Background

    6. On February 16, 2007, the Commission issued Order No. 890 on 
Preventing Undue Discrimination and Preference in Transmission Service 
in these dockets.\2\ In Order No. 890, the Commission amended its 
regulations and the pro forma OATT, adopted in Order No. 888,\3\ to 
ensure that transmission services are provided on a basis that is just, 
reasonable and not unduly discriminatory or preferential. The 
Commission designed Order No. 890 to: (1) Strengthen the pro forma OATT 
to ensure that it achieves its original purpose of remedying undue 
discrimination; (2) provide greater specificity to reduce opportunities 
for undue discrimination and facilitate the Commission's enforcement; 
and (3) increase transparency in the rules applicable to planning and 
use of the transmission system.
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    \2\ Id.
    \3\ Promoting Wholesale Competition Through Open Access Non-
discriminatory Transmission Services by Public Utilities; Recovery 
of Stranded Costs by Public Utilities and Transmitting Utilities, 
Order No. 888, 61 FR 21540 (May 10, 1996), FERC Stats. & Regs. ] 
31,036 (1996), order on reh'g, Order No. 888-A, 62 FR 12274 (Mar. 
14, 1997), FERC Stats. & Regs. ] 31,048 (1997), order on reh'g, 
Order No. 888-B, 81 FERC ] 61,248 (1997), order on reh'g, Order No. 
888-C, 82 FERC ] 61,046 (1998), aff'd in relevant part sub nom. 
Transmission Access Policy Study Group v. FERC, 225 F.3d 667 (D.C. 
Cir. 2000) (TAPS v. FERC), aff'd sub nom. New York v. FERC, 535 U.S. 
1 (2002).
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    7. Order No. 890 established a number of compliance requirements 
with corresponding deadlines, each necessary to achieve its stated 
goals. Among other things, transmission providers that have not been 
approved as ISOs or RTOs, and whose transmission facilities are not 
under the control of an ISO or RTO, were directed to submit, within 60 
days after publication of Order No. 890 in the Federal Register, i.e., 
May 14, 2007, filings under section 206 of the FPA that contain the 
non-rate terms and

[[Page 19113]]

conditions set forth in the order.\4\ Within 75 days of publication, 
i.e., May 29, 2007, all transmission providers must post a ``strawman'' 
proposal for compliance with each of the nine planning principles 
adopted in Order No. 890.\5\ The Commission also requested that the 
North American Electric Reliability Corporation (NERC) and the North 
American Energy Standards Board (NAESB) file, within 90 days from 
publication, i.e., June 13, 2007, a joint status report that contains a 
work plan for completion of business practices and standards related to 
calculation of Available Transfer Capability (ATC).\6\ NAESB was 
further requested to file a status report and work plan for the 
completion of the OASIS functionality or uniform business practices 
related to reforms adopted in Order No. 890.\7\ The Commission required 
each transmission provider to develop, within 90 days from publication, 
i.e., June 13, 2007, its own OASIS functionality or business practices 
necessary to implement certain reforms ordered in Order No. 890 pending 
completion of the NERC and NAESB processes.\8\ Finally, the Commission 
required transmission providers to comply with a number of new 
regulations by Order No. 890's effective date of May 14, 2007.
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    \4\ Order No. 890 at P 139.
    \5\ Id. at P 135.
    \6\ Id. at P 223.
    \7\ Id. at P 141.
    \8\ Id.
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    8. In addition to these compliance obligations, the Commission 
provided an optional 205 procedure for transmission providers seeking 
to maintain previously-approved variations from the Order No. 888 pro 
forma OATT that were affected by the reforms adopted in Order No. 890. 
To the extent a transmission provider wishes to maintain these 
previously-approved variations, the Commission stated that the 
transmission provider would have to demonstrate that the relevant 
tariff provisions continue to be consistent with or superior to the pro 
forma OATT as modified by Order No. 890. The Commission provided that 
such demonstrations could be made in an FPA section 205 filing 
submitted within 30 days after publication of Order No. 890 in the 
Federal Register, i.e., April 16, 2007. The Commission stated that each 
applicant should request that these proposed tariff provisions be made 
effective as of the date of the transmission provider's section 206 
compliance filing.\9\
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    \9\ Id. at P 139.
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II. Motions for Extension

    9. Tampa Electric and FPL seek extension of compliance deadlines 
related to the implementation of additional OASIS functionality and the 
posting of new transmission-related metrics. As explained in their 
motion, Tampa Electric and FPL currently use FLOASIS, the OASIS for 
transmission providers in Florida. Tampa Electric and FPL state that 
they are currently negotiating an agreement with a new host, Open 
Access Technology International, Inc. (OATI), and anticipate that their 
new OASIS system will not be operational until July 1, 2007. If forced 
to meet the deadlines set forth in Order No. 890, Tampa Electric and 
FPL contend that they would be required to develop new software and 
manual processes on the current FLOASIS, which would become obsolete 
once they switch to the new OATI-hosted OASIS platform.
    10. EEI, on behalf of transmission providers not affiliated with an 
ISO or RTO, seeks in its March 23, 2007, motion an extension of certain 
of the compliance requirements in Order No. 890 involving deadlines set 
at less than 120 days from publication of the order in the Federal 
Register. This would include: the FPA section 206 compliance filing 
requirement, the ``strawman'' proposal deadline, and the deadlines set 
for the NERC and NAESB status reports. EEI contends that the volume and 
nature of the compliance requirements set forth in Order No. 890 render 
these corresponding deadlines infeasible. To support its argument, EEI 
describes in detail many of the steps it believes are necessary for 
completion of the compliance requirements, such as the development of 
new software or modifications to existing software.
    11. In addition, EEI states particular concern regarding the time 
needed to develop software upgrades necessary to implement conditional 
firm service and planning redispatch. EEI also contends the current 
compliance schedule does not allow sufficient time to ensure that the 
new software and processes will not harm reliability. EEI therefore 
requests reconsideration of the Commission's decision to make reforms 
involving NERC and NAESB activities effective in advance of associated 
development of business practices and standards. EEI requests the 
Commission abandon its requirement that transmission providers 
implement reforms on an individual basis prior to issuance of the final 
NERC and NAESB rules.
    12. EEI also requests the Commission delay other compliance 
deadlines until the Commission issues further clarification of Order 
No. 890. Specifically, EEI contends that without additional guidance 
from the Commission regarding revising transmission rates to reflect 
capacity benefit margin (CBM) set-aside, and prior to the issuance of 
the final NERC and NAESB standards, there may be significant 
inconsistencies in rate design among utilities, which could lead to 
hearing and settlement proceedings. EEI also states that transmission 
providers that make firm system sales need further clarification 
regarding the manner in which network resources should be designated 
and that, in the absence of such guidance, the Commission should not 
penalize transmission providers for their attempts to implement Order 
No. 890.
    13. EEI further asks that the Commission clarify that the changes 
to Schedule 4 and Schedule 9 regarding imbalance charges need not 
become effective until the billing cycle immediately following the 
effective date of the revised pro forma OATT. EEI argues that requiring 
transmission providers to bill in two different billing methods for the 
same service over the course of a month would create the need for a 
complex software workaround.
    14. In conjunction with its various requests, EEI proposes to 
organize a public conference on or about May 14, 2007, for participants 
to discuss progress made in their compliance efforts and any obstacles 
that have arisen.
    15. On March 29, 2007, EEI filed a second motion on behalf of 
transmission providers that are members of an ISO or RTO, requesting a 
similar extension for filing of the ``strawman'' proposals for those 
entities. EEI contends in this motion that it is not feasible for ISOs 
and RTOs, and their transmission-owning members, to obtain robust input 
from a broad range of stakeholders in time to meet the current 75-day 
deadline. According to EEI, this deadline will be particularly 
challenging for most ISOs, RTOs and transmission owners because of the 
time required to coordinate planning obligations.
    16. Answers to the EEI motions were filed by the American Public 
Power Association, National Rural Electric Cooperative Association, 
Transmission Access Policy Study Group, and Transmission Dependent 
Utility Systems (together the APPA Joint Commenters), the Mid-Continent 
Power Pool (MAPP) on behalf of its public utility members, Puget Sound 
Energy, Inc. (Puget), and the Electric Power Supply Association (EPSA). 
MAPP and Puget state full support of EEI's March

[[Page 19114]]

23, 2007, motion, reiterating many of the arguments made by EEI. While 
the APPA Joint Commenters do not object to the extensions of time 
requested by EEI, they request that the Commission provide at least 45 
days to comment on transmission providers' compliance filings if the 
requested extensions are granted. In support of their request, the APPA 
Joint Commenters contend that consolidation of the 60-day, 75-day, and 
90-day deadlines into a single 120-day deadline will impose increased 
burdens on interested parties reviewing those previously-staggered 
filings and postings. EPSA states its support of the APPA Joint 
Commenters' request.
    17. The APPA Joint Commenters also express particular concern with 
two elements of the EEI motions. First, they argue that the Commission 
should only grant an extension of the requirement to complete software 
modifications on a case-by-case basis and, even then, only on a showing 
of clear and convincing need. Second, the APPA Joint Commenters argue 
that, if the Commission grants EEI's request to delay posting of the 
``strawman'' proposals, the associated technical conferences should 
also be delayed in order to maintain a 15- to 45-day period for 
stakeholder review of the ``strawman'' postings.
    18. On April 3, 2007, E.ON filed a motion supporting EEI's request 
to allow utilities not participating in an ISO or RTO an additional 60 
days to comply with the non-rate terms and conditions set out in Order 
No. 890. E.ON contends, however, that it is different from most stand-
alone utilities because it must coordinate compliance efforts with the 
Southwest Power Pool, the independent transmission organization for 
E.ON's transmission system, as well as the Tennessee Valley Authority, 
which serves as the reliability coordinator for E.ON's transmission 
system. E.ON therefore requests a 90-day extension to submit its FPA 
section 206 compliance filing, rather than the 60-day extension 
requested by EEI.
    19. On April 9, 2007, PGE filed a motion requesting an extension of 
the deadline to submit FPA section 205 filings relating to previously-
approved variations from the pro forma OATT. To the extent the 
Commission grants EEI's request for an extension of the date to submit 
the FPA section 206 compliance filings, PGE requests that the 
Commission also generically extend the date of the FPA section 205 
filings by 60 days. PGE further requests that, as to its own FPA 
section 205 filing, the Commission permit it to delay that filing until 
after the Commission issues its order on rehearing in this proceeding.

III. Commission Determination

    20. The Commission partially grants EEI's request and extends the 
date on which reforms adopted in Order No. 890 would have otherwise 
been effective by 60 days, i.e., to July 13, 2007, except as provided 
for below. Specifically, all transmission providers that have not been 
approved as ISOs or RTOs, and whose transmission facilities are not 
under the control of an ISO or RTO, are required to submit FPA section 
206 compliance filings that contain the non-rate terms and conditions 
set forth in Order No. 890 within 120 days of publication of the order 
in the Federal Register, i.e., July 13, 2007. Similarly, transmission 
providers must take all other actions necessary to implement the 
reforms adopted in Order No. 890, except as provided for below, on or 
before July 13, 2007, unless a later compliance date was otherwise 
specified in the order.\10\
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    \10\ Order No. 890 also requested NERC and NAESB to submit 
status reports within 90 days of publication of the order in the 
Federal Register, i.e., June 13, 2007, containing work plans for 
developing standards and business practices associated with reforms 
adopted in Order No. 890. The limited extension of time granted here 
applies to actions to be taken by transmission providers and, thus, 
the NERC and NAESB filing deadlines remain unchanged.
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    21. With regard to the requirement for transmission providers to 
post ``strawman'' proposals for compliance with the nine planning 
principles adopted in Order No. 890, we deny EEI's requests for 
extension and retain the requirement that such postings be made within 
75 days of publication of the order in the Federal Register, i.e., May 
29, 2007. The ``strawman'' proposals are necessary to facilitate the 
technical conferences that the Commission has scheduled in June 2007 to 
encourage discussion as to how transmission providers ultimately intend 
to fulfill their planning requirements. Due to the delay in Federal 
Register publication, the ``strawman'' posting date is more than 100 
days after Order No. 890 was issued, which is consistent with EEI's 
assertion that the Commission typically provides 90 to 120 days for RTO 
and ISO efforts that require stakeholder participation.\11\ In any 
event, the ``strawman'' proposals are only one aspect of the compliance 
process. The actual Attachment K compliance filing deadline is not 
until October 11, 2007. Transmission providers will therefore have 
roughly four months to prepare their Attachment K filings after the 
Commission holds technical conferences to discuss the ``strawman'' 
proposals. We believe this is sufficient time to ensure timely 
compliance with the Attachment K filing deadline.
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    \11\ EEI March 29 Motion at 2.
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    22. With regard to imbalance charges, however, we agree that it 
would be reasonable for a transmission provider to extend the date on 
which the imbalance-related provisions adopted in Schedule 4 and 
Schedule 9 become effective until the first day of the billing cycle 
following the effectiveness of the underlying imbalance-related 
reforms. Specifically, transmission providers submitting their 
imbalance provisions in section 206 filings on or before July 13, 2007, 
may specify that those provisions will become effective on the first 
day of the billing cycle following the filing date. We agree that this 
modest extension of the effectiveness of imbalance-related reforms will 
facilitate the implementation of those reforms.
    23. The Commission is not convinced that EEI's remaining requests 
for extension or further generic modification of Order No. 890's 
compliance obligations are necessary. Although the Commission is aware 
of the challenges of compliance with Order No. 890, we are not 
persuaded that the related deadlines, as modified herein, are 
unreasonable or unclear. Order No. 890 is the result of a multi-year 
proceeding during which the Commission sought and received multiple 
rounds of comments from over 300 parties. The various compliance 
obligations in Order No. 890, including CBM-related modification of 
rates and implementation of interim workarounds pending development of 
final NERC and NAESB standards and business practices, were established 
after full consideration of these comments and the Commission's 
determination that related reforms are necessary to remedy the 
potential for undue discrimination.\12\ EEI has not persuaded us that 
generic modification of those obligations pending final standards and 
practice development by NERC and

[[Page 19115]]

NAESB would be appropriate.\13\ Any issues specific to a transmission 
provider's ability to comply with the requirements of Order No. 890, as 
modified herein, may be considered during the compliance process on a 
case-by-case basis. For similar reasons, we deny the APPA Joint 
Commenters' request to establish in advance of the compliance process 
the number of days parties will have to comment on compliance filings.
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    \12\ With specific regard to the CBM-related rate changes 
required in Order No. 890, we believe that EEI's concerns are 
misplaced. Order No. 890 expressly contemplated transmission 
providers proposing necessary changes to rate design to ensure that 
point-to-point customers do not pay a transmission charge that 
includes the cost of the CBM set-aside, provided that the subject of 
such rate filings be limited solely to the issue of CBM-related cost 
recovery. See Order No. 890 at P 263. Nothing in Order No. 890 
precludes transmission providers from proposing modification of 
rates for other services (such as network service) as necessary to 
recover CBM-related costs previously paid by point-to-point 
customers and, therefore, it is not necessary to extend the deadline 
for those filings.
    \13\ Although Order No. 890 directed NERC and NAESB to develop 
standards and business practices necessary to implement ATC-related 
reforms within 270 and 360 days of publication of the order in the 
Federal Register, respectively, it did not establish a specific 
timeframe for NAESB's development of business practices necessary 
for remaining reforms. Instead, NAESB was requested to submit a work 
plan within 90 days of publication of the order in the Federal 
Register, upon review of which the Commission will issue an order 
establishing further compliance deadlines as necessary. See Order 
No. 890 at P 141.
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    24. The Commission also denies E.ON's request to extend its FPA 
section 206 compliance filing deadline by 90 days instead of the 60-day 
extension requested by EEI, granted above. All transmission providers 
must coordinate their compliance efforts with personnel internal and 
external to their organizations. We recognize these efforts will be 
complicated but, as explained above, they are the logical outgrowth of 
this multi-year proceeding. E.ON fails to justify the need for 
differential treatment during the compliance process.
    25. Finally, the Commission denies PGE's request to extend the FPA 
section 205 deadlines relating to previously-approved variations from 
the pro forma OATT. The optional section 205 procedure was established 
so that transmission providers would have an opportunity to demonstrate 
that any previously-approved variations continue to be consistent with 
or superior to the terms and conditions of the reformed pro forma OATT, 
thereby allowing those transmission providers to retain those 
variations during implementation of Order No. 890. It is not necessary, 
as PGE assumes, to extend the 30-day deadline for submission of the 
section 205 filings simply because we extend the deadline for the 
section 206 compliance filings above.\14\ The purpose of each filing is 
distinct and PGE offers no reason as to why transmission providers may 
need additional time to prepare their section 205 filings, which relate 
only to tariff provisions the Commission has already reviewed and 
approved. Moreover, deferring the deadline for PGE's FPA section 205 
filing until after our order on rehearing in this proceeding would not 
achieve PGE's stated goal of ensuring that its previously-approved 
deviations remain in effect during the compliance process.\15\ In the 
section 206 compliance filing, each transmission provider must conform 
the non-rate terms and conditions of its OATT to the reformed non-rate 
terms and conditions of the pro forma OATT. Failure to request that 
previously-approved variations remain in place in advance of submitting 
the compliance filing will result in those provisions being eliminated 
during the compliance process.
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    \14\ As provided in Order No. 890, however, transmission 
providers should request that the tariff provisions proposed in 
their optional 205 filings be made effective as of the date the 
transmission provider submits its section 206 compliance filing, 
which must now be on or before July 13, 2007. See id. at P 139.
    \15\ See PGE Motion at 3.
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    26. In light of the extension of certain deadlines for compliance 
with Order No. 890 provided for above, the request for extension 
submitted by FPL and Tampa Electric is moot.

The Commission Orders

    (A) The date on which the reforms adopted in Order No. 890 would 
have otherwise been effective is hereby extended by 60 days, i.e., to 
July 13, 2007, except as otherwise provided in the body of this order.
    (B) The request for extension submitted by FPL and Tampa Electric 
is dismissed as moot.
    (C) The request for extensions submitted by E.ON and PGE are 
denied.
    (D) The Secretary shall promptly publish a copy of this order in 
the Federal Register.

    By the Commission.
Kimberly D. Bose,
Secretary.

Appendix A: Summary of Compliance Filing Requirements

    For a more detailed description of compliance obligations please 
refer to Order No. 890 paragraph number. For further information 
related to Order No. 890, such as electronic versions of the pro 
forma OATT showing tariff changes adopted in Order No. 890 in 
redline/strikeout format, and further information regarding 
docketing of compliance filings and specific filing instructions, 
please visit our Web site at the following location: https://
www.ferc.gov/industries/electric/indus-act/oatt-reform.asp.

------------------------------------------------------------------------
    Deadline (days after
   publication in the Fed.        Compliance action       Order No. 890
            Reg.)                                         paragraph No.
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30 (4/16/2007)..............  Optional Implementation              P 139
                               FPA section 205 filings
                               allowing transmission
                               providers to propose
                               previously approved
                               variations from the pro
                               forma OATT that have
                               been affected by pro
                               forma OATT reforms to
                               remain in effect subject
                               to a demonstration that
                               such variations continue
                               to be consistent with or
                               superior to the revised
                               pro forma OATT (non RTO/
                               ISO transmission
                               providers). Such
                               optional filings must
                               request a 90 day
                               effective date to
                               facilitate Commission
                               review under section 205.
75 (5/29/2007)..............  Transmission Providers               P 443
                               must post a ``strawman''
                               proposal for compliance
                               with each of the nine
                               planning principles
                               adopted in Order No.
                               890. This may be posted
                               on the Transmission
                               Providers Web site or
                               its OASIS site.
90 (6/13/2007)..............  NERC/NAESB status report             P 223
                               and work plan for
                               completion of ATC
                               related business
                               practices and standards.
                              NAESB status report and              P 141
                               work plan for completion
                               of OASIS functionality
                               or uniform business
                               practices (other than
                               those related to ATC).
120 (7/13/2007).............  Transmission Providers               P 135
                               that have not been
                               approved as ISOs or
                               RTOs, and whose
                               transmission facilities
                               are not under the
                               control of an ISO or
                               RTO, must submit FPA
                               section 206 filings that
                               contain the non-rate
                               terms and conditions set
                               forth in Order No. 890.
                               These filings need only
                               contain the revised
                               provisions adopted in
                               Order No. 890.
                               Transmission providers
                               utilizing the optional
                               implementation FPA
                               section 205 filing
                               described above, need
                               only submit tariff
                               sheets necessary to
                               implement the remaining
                               modifications required
                               under the Order No. 890,
                               i.e., modifications
                               related to tariff
                               provisions that did not
                               implicate previously-
                               approved variations.
120 (7/13/2007).............  Transmission Providers               P 263
                               must submit redesigned
                               transmission charges
                               that reflect the
                               Capacity Benefit Margin
                               set-aside through a
                               limited issue section
                               205 rate filing as part
                               of their initial ATC
                               related compliance
                               filings.

[[Page 19116]]

 
180 (9/11/2007).............  Submit compliance filings            P 140
                               with Attachment C (ATC)
                               of the pro forma OATT.
210 (10/11/2007)............  ISOs and RTOs, and                   P 157
                               transmission providers              P 161
                               located within an ISO/
                               RTO footprint, submit
                               FPA section 206 filings
                               that contain the non-
                               rate terms and
                               conditions set forth in
                               Order No. 890. These
                               filings need only
                               contain the revised
                               provisions adopted in
                               Order No. 890 or a
                               demonstration that
                               previously approved
                               variations continue to
                               be consistent with or
                               superior to the revised
                               pro forma OATT.
210 (10/11/2007)............  Submit compliance filings            P 140
                               with Attachment K                   P 422
                               (Planning) of the pro
                               forma OATT or RTOs and
                               ISOs file a
                               demonstration that their
                               planning processes are
                               consistent with or
                               superior to the planning
                               principles in Order No.
                               890.
N/A.........................  N/A Transmission                     P 325
                               Providers must file a
                               revised Attachment C to
                               incorporate any changes
                               to NERC's and NAESB's
                               reliability and business
                               practice standards to
                               achieve consistency in
                               ATC within 60 days of
                               completion of the NERC
                               and NAESB processes.
N/A.........................  After the submission of              P 135
                               FPA section 206
                               compliance filings,
                               transmission providers
                               may submit FPA section
                               205 filings proposing
                               rates for the services
                               provided for in the
                               tariff, as well as non-
                               rate terms and
                               conditions that differ
                               from those set forth in
                               Order No. 890 if those
                               provisions are
                               ``consistent with or
                               superior to'' the pro
                               forma OATT.
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[FR Doc. E7-7229 Filed 4-16-07; 8:45 am]
BILLING CODE 6717-01-P
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