Pick-Sloan Missouri Basin Program-Eastern Division-Rate Order No. WAPA-170, 44339-44350 [2015-18240]
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Federal Register / Vol. 80, No. 143 / Monday, July 27, 2015 / Notices
provide copies of their protests only to
the party or parties directly involved in
the protest.
Persons who wish to comment only
on the environmental review of this
project should submit an original and
two copies of their comments to the
Secretary of the Commission.
Environmental commentors will be
placed on the Commission’s
environmental mailing list, will receive
copies of the environmental documents,
and will be notified of meetings
associated with the Commission’s
environmental review process.
Environmental commentors will not be
required to serve copies of filed
documents on all other parties.
However, the non-party commentors
will not receive copies of all documents
filed by other parties or issued by the
Commission (except for the mailing of
environmental documents issued by the
Commission) and will not have the right
to seek court review of the
Commission’s final order.
The Commission strongly encourages
electronic filings of comments, protests
and interventions in lieu of paper using
the ‘‘eFiling’’ link at https://
www.ferc.gov. Persons unable to file
electronically should submit an original
and 7 copies of the protest or
intervention to the Federal Energy
Regulatory Commission, 888 First Street
NE., Washington, DC 20426.
Comment Date: 5:00 p.m. Eastern
Time on July August 11, 2015.
Dated: July 21, 2015.
Kimberly D. Bose,
Secretary.
[FR Doc. 2015–18297 Filed 7–24–15; 8:45 am]
BILLING CODE 6717–01–P
DEPARTMENT OF ENERGY
Western Area Power Administration
Pick-Sloan Missouri Basin Program—
Eastern Division—Rate Order No.
WAPA–170
Western Area Power
Administration, DOE.
ACTION: Notice of Final Transmission
and Ancillary Services Formula Rates.
AGENCY:
The Deputy Secretary of
Energy confirmed and approved Rate
Order No. WAPA–170 and Rate
Schedules WAUGP–ATRR, WAUGP–
AS1, WAUW–AS3, WAUW–AS4,
WAUW–AS5, WAUW–AS6 and
WAUW–AS7. Through this notice, the
Western Area Power Administration
(Western), places formula transmission
and ancillary services rates for
Western’s Pick-Sloan Missouri Basin
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SUMMARY:
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Program—Eastern Division (P–SMBP—
ED) into effect on an interim basis. The
provisional rates will be in effect until
the Federal Energy Regulatory
Commission (FERC) confirms, approves,
and places them into effect on a final
basis, or until they are superseded. The
provisional formula rates will provide
sufficient revenue to pay all associated
annual costs, including interest
expense, and repay required investment
within the allowable periods.
DATES: Formula rates for Transmission
and Ancillary Services under Rate
Schedules WAUGP–ATRR, WAUGP–
AS1, WAUW–AS3, WAUW–AS4,
WAUW–AS5, WAUW–AS6 and
WAUW–AS7 are effective on the first
day of the first full billing period
beginning on or after October 1, 2015,
upon transfer of functional control of
eligible Western-Upper Great Plains
Region (Western-UGP) transmission
facilities to Southwest Power Pool, Inc.
(SPP) and will remain in effect until
September 30, 2020, pending approval
by FERC on a final basis or until
superseded. Notification of the transfer
of functional control and the effective
date of the formula rates will be
published in the Federal Register.
FOR FURTHER INFORMATION CONTACT: Mr.
Lloyd Linke, Operations Manager,
Upper Great Plains Region, Western
Area Power Administration, 1330 41st
Street, Watertown, SD 57201; telephone:
(605) 882–7500; email: Lloyd@wapa.gov;
or Ms. Linda Cady-Hoffman, Rates
Manager, Upper Great Plains Region,
Western Area Power Administration,
2900 4th Avenue North, Billings, MT
59101–1266; telephone: (406) 255–2920;
email: cady@wapa.gov.
SUPPLEMENTARY INFORMATION: Western
published a Federal Register Notice on
November 3, 2014, (79 FR 65205)
announcing the proposed formula rates
for transmission service, initiating a
public consultation and comment
period, and setting forth the dates and
locations of public information and
public comment forums. Western held a
public information forum in Omaha,
Nebraska on November 19, 2014, and a
public information forum in Fargo,
North Dakota, on November 20, 2014.
Western explained the proposed
formula rates, answered questions, and
provided Rate Brochures and
presentation handouts. Western held a
public comment forum in Omaha,
Nebraska, on December 17, 2014, and a
public comment forum in Fargo, North
Dakota, on December 18, 2014. These
forums provided the public with
opportunity to comment for the record.
On December 19, 2014, Western
notified all P–SMBP—ED customers and
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44339
interested parties of an updated Rate
Brochure that was available on the Web
site at www.wapa.gov/ugp/rates/
default.htm. This Web site also
contained information about this
formula rate adjustment process.
Western followed the Procedures for
Public Participation in Power and
Transmission Rate Adjustments and
Extensions, 10 CFR part 903, as
described above, in developing these
formula rates. No individuals
commented at either of the public
comment forums, and Western received
no comments during the consultation
and comment period.
Western-UGP has signed a
Membership Agreement with SPP. Upon
achieving final FERC approval of
membership within SPP, Western will
transfer functional control of WesternUGP’s P–SMBP—ED eligible
transmission facilities located in the
Upper Missouri Zone (UMZ or Zone 19)
to SPP. Western-UGP will then merge its
Western Area Power Administration,
Upper Great Plains East Balancing
Authority Area (WAUE) in the Eastern
Interconnection into SPP’s Balancing
Authority Area and place its
transmission system located in the
Eastern Interconnection into SPP’s
Integrated Marketplace. Western-UGP
will retain operation of its Western Area
Power Administration, Upper Great
Plains West Balancing Authority Area
(WAUW) in the Western
Interconnection as the Balancing
Authority, and will not place its
transmission system located in the
Western Interconnection into SPP’s
Integrated Marketplace. Even though
SPP’s Integrated Marketplace will not
extend into the Western
Interconnection, Western-UGP’s eligible
transmission facilities in the Western
Interconnection will be included under
SPP’s Tariff to allow SPP to provide
transmission service over all of WesternUGP’s eligible transmission facilities in
the UMZ regardless of whether they are
located in the Eastern or Western
Interconnection. The UMZ is a single
SPP rate zone that includes WesternUGP’s transmission facilities located in
the Eastern and Western
Interconnections. Therefore, one
formula rate schedule WAUGP–ATRR
will calculate the Annual Transmission
Revenue Requirement (ATRR) for all of
Western-UGP’s eligible transmission
facilities that are transferred to the
functional control of SPP and used by
SPP to provide transmission service
under the SPP Tariff. For 2015, the
Western-UGP estimated ATRR is
$123,816,622 based on facilities that
Western-UGP has proposed to be
included per Attachment AI of SPP’s
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Tariff and feedback from SPP regarding
Attachment AI qualifying criteria. The
list of Western-UGP facilities proposed
for inclusion is available on the Web
site at www.wapa.gov/ugp/rates/
default.htm.
Western-UGP has also developed a
formula rate schedule WAUGP–AS1 for
Scheduling, System Control, and
Dispatch Service (SSCD), which will
include Western-UGP’s costs associated
with providing this service in the UMZ,
and formula rate schedules to calculate
charges for ancillary services associated
with WAUW. These ancillary services
formula rate schedules are necessary
because the Western-UGP transmission
facilities in WAUW are not included
within SPP’s Integrated Marketplace,
and SPP’s standard market-based
ancillary services will not be available.
As a result, when SPP provides
transmission service in the WAUW, the
associated ancillary services will need
to be provided by Western-UGP as the
Balancing Authority, if it is capable of
doing so. These ancillary service
formula rate schedules include WAUW–
AS3 for Regulation and Frequency
Response Service, WAUW–AS4 for
Energy Imbalance Service, WAUW–AS5
for Operating Reserve—Spinning
Reserve Service, WAUW–AS6 for
Operating Reserve—Supplemental
Reserve Service and WAUW–AS7 for
Generator Imbalance Service.
The provisional transmission and
ancillary service rate schedules contain
formula-based rates that will be
recalculated annually and submitted to
SPP to provide and bill for services
under the SPP Tariff. The formulas in
these rate schedules use estimates for
the upcoming year to calculate revenue
requirements and have a true-up to
actual costs in a subsequent year.
By Delegation Order No. 00–037.00A,
effective October 25, 2013, the Secretary
of Energy delegated: (1) The authority to
develop power and transmission rates to
Western’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
FERC. Existing Department of Energy
procedures for public participation in
power rate adjustments (10 CFR part
903) were published on September 18,
1985.
Under Delegation Order Nos. 00–
037.00A and 00–001.00E, and in
compliance with 10 CFR part 903 and
18 CFR part 300, I hereby confirm,
approve, and place Rate Order No.
WAPA–170 and the proposed formula
rates for transmission and ancillary
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services into effect on an interim basis.
The new Rate Schedules WAUGP–
ATRR, WAUGP–AS1, WAUW–AS3,
WAUW–AS4, WAUW–AS5, WAUW–
AS6 and WAUW–AS7 will be submitted
promptly to FERC for confirmation and
approval on a final basis.
Dated: July 17, 2015.
Elizabeth Sherwood-Randall,
Deputy Secretary of Energy.
DEPARTMENT OF ENERGY
DEPUTY SECRETARY
In the matter of: Western Area Power
Administration, Rate Adjustment for the
Pick-Sloan, Missouri Basin Program—
Eastern Division
Rate Order No. WAPA–170
ORDER CONFIRMING, APPROVING,
AND PLACING THE PICK–SLOAN
MISSOURI BASIN PROGRAM—
EASTERN DIVISION TRANSMISSION
AND ANCILLARY SERVICES
FORMULA RATES INTO EFFECT ON
AN INTERIM BASIS
These transmission and ancillary
services formula rates are established in
accordance with section 302 of the
Department of Energy (DOE)
Organization Act (42 U.S.C. 7152). This
Act transferred to and vested in the
Secretary of Energy the power marketing
functions of the Secretary of the
Department of the Interior and the
Bureau of Reclamation under the
Reclamation Act of 1902 (ch. 1093, 32
Stat. 388), as amended and
supplemented by subsequent laws,
particularly section 9(c) of the
Reclamation Project Act of 1939 (43
U.S.C. 485h(c)), and other Acts that
specifically apply to the project
involved.
By Delegation Order No. 00–037.00A,
effective October 25, 2013, the Secretary
of Energy delegated: (1) the authority to
develop power and transmission rates to
Western’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 (FERC). Existing DOE
procedures for public participation in
power rate adjustments (10 CFR part
903) were published on September 18,
1985.
Acronyms and Definitions
As used in this Rate Order, the
following acronyms and definitions
apply:
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$/MW-year: Annual charge for capacity (i.e.,
$ per megawatt (MW) per year).
A&GE: Administrative and General Expense.
ATRR: Annual Transmission Revenue
Requirement.
Balancing Authority (BA): The responsible
entity that integrates resource plans ahead
of time, maintains load-interchangegeneration balance within a designated
area, and supports interconnection
frequency in real-time.
Balancing Authority Area: An electric system
or systems, bounded by interconnection
metering and telemetry, capable of
controlling generation to maintain its
interchange schedule with other Balancing
Authorities and contributing to frequency
regulation of the Interconnection.
Basin Electric: Basin Electric Power
Cooperative.
Capacity: The electric capability of a
generator, transformer, transmission
circuit, or other equipment, expressed in
kilowatts (kW).
Corps: U.S. Army Corps of Engineers.
DOE: United States Department of Energy.
Eastern Interconnection: A major alternatingcurrent electrical grid in North America.
The Eastern Interconnection reaches from
Central Canada eastward to the Atlantic
coast (excluding Quebec), south to Florida,
and back west to the foot of the Rockies
(excluding most of Texas).
Energy: Power produced or delivered over a
period of time. Measured in terms of the
work capacity over a period of time. It is
expressed in kilowatt hours.
Energy Imbalance Service: A service that
provides energy correction for any hourly
mismatch between a Southwest Power Pool
Transmission Customer’s energy supply
and the demand served.
FERC: Federal Energy Regulatory
Commission.
FRN: Federal Register notice.
Generator Imbalance Service: A service that
provides energy correction for any hourly
mismatch between generator output and a
delivery schedule from that generator to
another Balancing Authority Area or to a
load within the same Balancing Authority
Area.
Heartland: Heartland Consumers Power
District.
Integrated System (IS): Transmission system
combining assets of Western-UGP, Basin
Electric, and Heartland prior to WesternUGP’s integration into SPP.
Intermittent Resource: An electric generator
that is not dispatchable and cannot store its
fuel source and, therefore, cannot respond
to changes in demand or respond to
transmission security restraints.
Kilowatt (kW): Electrical unit of capacity that
equals 1,000 watts.
Kilowatt hour (kWh): Electrical unit of energy
that equals 1,000 watts in 1 hour.
Load: The amount of electric power or energy
delivered or required at any specified
point(s) on a system.
Megawatt (MW): The electrical unit of
capacity that equals 1 million watts or
1,000 kilowatts.
NEPA: National Environmental Policy Act of
1969 (42 U.S.C. 4321–4347).
Open Access Same-Time Information System
(OASIS): An electronic posting system that
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a service provider maintains for
transmission access data that allows all
customers to view information
simultaneously.
O&M: Operation and Maintenance.
P–SMBP: Pick-Sloan Missouri Basin Program.
P–SMBP ED: Pick-Sloan Missouri Basin
Program—Eastern Division.
Provisional Rate: A rate that has been
confirmed, approved, and placed into
effect on an interim basis by the Deputy
Secretary of Energy.
Rate Brochure: A document prepared for
public distribution explaining the rationale
and background for the rate proposal
contained in this rate order.
Regulation and Frequency Response Service:
A service that provides for following the
moment-to-moment variations in the
demand or supply in a Balancing Authority
Area and maintaining scheduled
interconnection frequency.
Reserve Services: Spinning Reserve Service
and Supplemental Reserve Service.
Revenue Requirement: The revenue
required to recover annual expenses (such
as O&M, purchase power, transmission
service expenses, interest expense, and
deferred expenses) and repay Federal
investments, and other assigned costs.
Schedule: An agreed-upon transaction size
(megawatts), beginning and ending ramp
times and rate, and type of service required
for delivery and receipt of power between
the contracting parties and the Balancing
Authority(ies) involved in the transaction.
Scheduling, System Control and Dispatch
Service: A service that provides for (a)
scheduling, (b) confirming and
implementing an interchange schedule
with other balancing authorities, including
intermediary balancing authorities
providing transmission service, and (c)
ensuring operational security during the
interchange transaction.
Southwest Power Pool, Inc. (SPP): A Regional
Transmission Organization.
SPP’s Integrated Marketplace (Integrated
Marketplace): The SPP Energy and
Operating Reserve Markets and the
Transmission Congestion Rights Markets.
Spinning Reserve Service: Generation
capacity needed to serve load immediately
in the event of a system contingency.
Spinning Reserve Service may be provided
by generating units that are on-line and
loaded at less than maximum output.
Supplemental Reserve Service: Generation
capacity needed to serve load in the event
of a system contingency; however, it is not
available immediately to serve load but
rather within a short period of time.
Supplemental Reserve Service may be
provided by generation units that are online but unloaded, by quick start
generation or by interruptible load.
System: An interconnected combination of
generation, transmission and/or
distribution components comprising an
electric utility, independent power
producer(s) (IPP), or group of utilities and
IPP(s).
SPP Tariff: Southwest Power Pool, Open
Access Transmission Tariff, approved by
FERC.
SPP Transmission Customer: Any eligible
customer (or its designated agent) that
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receives transmission service under the
SPP Tariff.
Transmission Provider: Any utility that
owns, operates, or controls facilities used
to transmit electric energy in interstate
commerce. SPP is the Transmission
Provider under the SPP Tariff.
Transmission System: The facilities owned,
controlled, or operated by the transmission
owner or Transmission Provider that are
used by the Transmission Provider to
provide transmission service.
Upper Missouri Zone (UMZ): Multi-owner
zone in SPP in which Western-UGP will
participate as a Transmission Owner; also
defined as Zone 19 under the SPP Tariff.
The UMZ includes transmission facilities
located in both the Eastern and Western
Interconnections.
WAUE: Western Area Power Administration,
Upper Great Plains East Balancing
Authority Area. WAUE is located in the
Eastern Interconnection, and will cease to
exist when it is merged into the SPP
Balancing Authority Area.
WAUW: Western Area Power Administration,
Upper Great Plains West Balancing
Authority Area. WAUW is located in the
Western Interconnection.
Watertown Operations Office: Western Area
Power Administration, Upper Great Plains
Region, Operations Office, 1330 41st Street
SE., Watertown, South Dakota.
Western: United States Department of Energy,
Western Area Power Administration.
Western Interconnection: A major alternating
current power grid in North America. The
Western Interconnection stretches from
Western Canada south to Baja California in
Mexico, reaching eastward over the
Rockies to the Great Plains. Western
Interconnection is comprised of the states
of Washington, Oregon, California, Idaho,
Nevada, Utah, Arizona, Colorado,
Wyoming, portions of Montana, South
Dakota, Nebraska, New Mexico and Texas
in the United States, the Provinces of
British Columbia and Alberta in Canada,
´
and a portion of the Comision Federal de
Electricidad’s system in Baja California in
Mexico.
Western-UGP: United States Department of
Energy, Western Area Power
Administration, Upper Great Plains
Region. Western-UGP is the definition for
Western’s Upper Great Plains Region in the
SPP Tariff.
Public Notice and Comment
Effective Date
No oral or written comments were
received during the consultation and
comment period.
Rate Schedules WAUGP–ATRR,
WAUGP–AS1, WAUW–AS3, WAUW–
AS4, WAUW–AS5, WAUW–AS6, and
WAUW–AS7 are effective on the first
day of the first full billing period
beginning on or after October 1, 2015,
upon transfer of functional control of
eligible Western-UGP facilities to SPP,
and will remain in effect until
September 30, 2020, pending approval
by FERC on a final basis or until
superseded. Notification of the transfer
of functional control and the effective
date of the formula rates will be
published in the Federal Register.
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Western followed the Procedures for
Public Participation in Power and
Transmission Rate Adjustments and
Extensions, 10 CFR part 903, in
developing these formula rates. The
steps Western took to involve interested
parties in the rate process were:
1. A FRN was published on November
3, 2014, (79 FR 65205) announcing the
proposed rates for transmission service,
initiating a public consultation and
comment period, and setting forth the
dates and locations of public
information and public comment
forums.
2. On November 3, 2014, Western
notified all P–SMBP—ED customers and
interested parties of the proposed rates
and provided a copy of the published
FRN.
3. On November 19, 2014, Western
held a public information forum in
Omaha, Nebraska; and on November 20,
2014, Western held a public information
forum in Fargo, North Dakota. Western
explained the proposed rates, answered
questions, and provided Rate Brochures
and presentation handouts.
4. On December 17, 2014, Western
held a public comment forum in
Omaha, Nebraska; and on December 18,
2014, Western held a public comment
forum in Fargo, North Dakota. This
provided the public with opportunity to
comment for the record. No individuals
commented at either of these forums.
5. On December 19, 2014, Western
notified all P–SMBP—ED customers and
interested parties of an updated Rate
Brochure that was available on the Web
site at www.wapa.gov/ugp/rates/
default.htm.
6. Western did not receive any oral or
written comments during the
consultation and comment period.
7. Western provided a Web site for
information about this rate adjustment
process. The Web site is located at
www.wapa.gov/ugp/rates/default.htm.
Comments
Project Description
The initial stages of the Missouri
River Basin Project were authorized by
section 9 of the Flood Control Act of
1944 (58 Stat. 887, 890, Pub. L. 78–534).
It was later renamed the P–SMBP. The
P–SMBP is a comprehensive program
with the following authorized functions:
Flood control, navigation improvement,
irrigation, municipal and industrial
water development, and hydroelectric
production for the entire Missouri River
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Basin. Multipurpose projects have been
developed on the Missouri River and its
tributaries in Colorado, Montana,
Nebraska, North Dakota, South Dakota,
and Wyoming.
Western-UGP markets significant
quantities of Federally-generated
hydroelectric power from the P–
SMBP—ED. This power is generated by
eight power plants located in Montana,
North Dakota, and South Dakota.
Western-UGP owns and operates from
its Watertown Operations Office an
extensive system of high-voltage
transmission facilities that Western-UGP
uses to market approximately 2,400 MW
of capacity from Federal projects within
the Missouri River Basin to customers
located within the P–SMBP—ED. This
marketing area includes Montana, east
of the Continental Divide, all of North
and South Dakota, eastern Nebraska,
western Iowa, and western Minnesota.
Historically, the Western-UGP
transmission facilities in the P–SMBP—
ED have been integrated with
transmission facilities of Basin Electric
and Heartland to provide transmission
services over the IS. The IS included
approximately 9,848 miles of
transmission lines, with transmission
and ancillary services provided under
Western’s Open Access Transmission
Tariff, and Western-UGP serving as the
IS administrator. The IS included
transmission facilities located in both
the Eastern and Western
Interconnections separated by the Miles
City direct current (DC) tie and the Fort
Peck Power Plant substation. WesternUGP also has operated two Balancing
Authority Areas within the IS—WAUW
and WAUE—that were also separated by
the Miles City DC tie and the Fort Peck
Power Plant substation. Western-UGP’s
historic rate schedules for the IS
consisted of separate rates for firm and
non-firm transmission service and
ancillary services rates for the
transmission facilities in the P–SMBP—
ED.
On November 1, 2013, Western
published a Notice of Recommendation
to Pursue Regional Transmission
Organization Membership (78 FR
65641). Subsequently, Western-UGP has
signed a Membership Agreement with
SPP. Upon achieving final FERC
approval of membership within SPP,
Western-UGP will transfer functional
control of all eligible Western-UGP P–
SMBP—ED facilities in the Eastern and
Western Interconnections, which
include nearly 100 substations and
7,800 miles of transmission lines, to
SPP. Subsequently, P–SMBP—ED
transmission and ancillary services will
no longer be available on the IS under
Western’s Open Access Transmission
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Tariff, but instead will be available from
SPP as the Transmission Provider under
SPP’s Tariff.
P–SMBP—ED Transmission and
Ancillary Services Rate Study
Existing IS Rate Schedules UGP–NT1,
UGP–FPT1, UGP–NFPT1, UGP–AS1,
UGP–AS2, UGP–AS3, UGP–AS4, UGP–
AS5, UGP–AS6, UGP–AS7, and UGP–
TSP1 were approved under Rate Order
Nos. WAPA–144 and WAPA–148 for a
5-year period beginning on January 1,
2010, and ending December 31, 2014.
These rates were extended through
December 31, 2016, under Rate Order
No. WAPA–168. When Western-UGP
transfers functional control of its
eligible P–SMBP—ED facilities to SPP,
the existing Rate Schedules UGP–NT1,
UGP–FPT1, UGP–NFPT1, UGP–AS1,
UGP–AS2, UGP–AS3, UGP–AS4, UGP–
AS5, UGP–AS6, UGP–AS7, and UGP–
TSP1 will not be applicable.
When Western-UGP transfers
functional control of P–SMBP—ED
eligible transmission facilities located in
the Upper Missouri Zone (UMZ or Zone
19) to SPP, Western-UGP will merge its
WAUE in the Eastern Interconnection
into SPP’s Balancing Authority Area
and place its transmission system
located in the Eastern Interconnection
into SPP’s Integrated Marketplace.
Western-UGP will retain operation of its
WAUW in the Western Interconnection
as the Balancing Authority, and will not
place its transmission system located in
the Western Interconnection into SPP’s
Integrated Marketplace. Even though
SPP’s Integrated Marketplace will not
extend into the Western
Interconnection, Western-UGP’s eligible
transmission facilities in the Western
Interconnection will be included under
SPP’s Tariff to allow SPP to provide
transmission service over all of WesternUGP’s eligible transmission facilities in
the UMZ regardless of whether they are
located in the Eastern or Western
Interconnection. The UMZ is a single
SPP rate zone that includes WesternUGP’s transmission facilities located in
the Eastern and Western
Interconnections. Therefore, one
formula rate schedule, WAUGP–ATRR,
will calculate the Annual Transmission
Revenue Requirement (ATRR) for all of
Western-UGP’s eligible transmission
facilities that are transferred to the
functional control of SPP and used by
SPP to calculate charges for
transmission service under the SPP
Tariff. Western-UGP will utilize a
formula template to calculate its ATRR.
Western-UGP has also developed
formula rate schedule WAUGP–AS1 for
Scheduling, System Control, and
Dispatch Service (SSCD), which will
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include Western-UGP’s costs associated
with providing this service in the UMZ,
and formula rate schedules to calculate
charges for ancillary services associated
with its WAUW. These ancillary
services formula rate schedules are
necessary because the Western-UGP
transmission facilities in its WAUW are
not included within SPP’s Integrated
Marketplace, and SPP’s standard
market-based ancillary services will not
be available. Therefore, when SPP
provides transmission service in the
WAUW, the associated ancillary
services will need to be provided by
Western-UGP as the Balancing
Authority. These ancillary service
formula rate schedules include WAUW–
AS3 for Regulation and Frequency
Response Service, WAUW–AS4 for
Energy Imbalance Service, WAUW–AS5
for Operating Reserve—Spinning
Reserve Service, WAUW–AS6 for
Operating Reserve—Supplemental
Reserve Service and WAUW–AS7 for
Generator Imbalance Service.
The provisional formula rates for use
under SPP’s Tariff include Transmission
and Ancillary Service Rates as described
in Rate Schedules WAUGP–ATRR,
WAUGP–AS1, WAUW–AS3, WAUW–
AS4, WAUW–AS5, WAUW–AS6, and
WAUW–AS7. These rates will be
submitted to SPP as the Transmission
Provider in order for SPP to bill SPP
Transmission Customers for
transmission and ancillary services that
SPP provides over Western-UGP’s
transmission facilities under the SPP
Tariff. The costs under the formulas in
these rate schedules will be recalculated
annually and those utilizing estimates
for the upcoming year to calculate
revenue requirements will include a
true-up to actual costs in a subsequent
year. The annual revenue requirements
include O&M expenses, A&GE, interest
expense, and depreciation expense and
are offset by appropriate estimated
revenue credits. Annual audited
financial data will be used to true-up
the cost estimates and credit estimates
used to project these forward-looking
rates to the actual expenses and credits.
Western-UGP will true-up the estimates
it used in the calculation of its calendar
year 2013, 2014, and 2015 IS rate
charges that were in place prior to
joining SPP when calculating these trueup rates. This IS true-up will only
include Western-UGP’s portion of the IS
revenue requirement, and these
provisional formula rates for use under
the SPP Tariff will only include
Western-UGP’s IS true-up, if applicable.
The IS true-up, if any, associated with
the other IS owners’ portion of the IS
revenue requirement is outside the
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scope of this rate process, and would be
addressed by other IS owners.
Western prepared Transmission and
Ancillary Services rates studies to
ensure that the formula rates are based
on the cost of service of the Western-
UGP eligible transmission facilities that
will be transferred to the functional
control of SPP and the associated
operation of the WAUW. These studies
included all applicable expenses and
associated offsetting revenues.
Provisional Rates
The revenue requirements for 2015 for
the individual services are outlined in
the following table.
PROVISIONAL WESTERN-UGP TRANSMISSION AND ANCILLARY SERVICES FORMULA RATES
Provisional 2015 annual
revenue requirement 1
Service
Rate schedule No.
Transmission .......................................................................
Scheduling, System Control, and Dispatch ........................
Regulation and Frequency Response ................................
Operating Reserves—Spinning and Supplemental Reserves.
Energy Imbalance ...............................................................
Generator Imbalance ..........................................................
WAUGP–ATRR ..................................................................
WAUGP–AS1 .....................................................................
WAUW–AS3 .......................................................................
WAUW–AS5 and WAUW–AS6 ..........................................
2 $123,816,622
WAUW–AS4 .......................................................................
WAUW–AS7 .......................................................................
N/A
N/A
2 11,384,293
294,308
232,291
1 The new provisional formula rates and rate schedules will take effect on the first day of the first full billing period beginning on or after October 1, 2015, upon transfer of functional control of eligible Western-UGP facilities to SPP.
2 ATRR estimate based upon facilities that Western-UGP has proposed to be included per Attachment AI of SPP’s Tariff and feedback from
SPP regarding Attachment AI qualifying criteria. The list of Western-UGP facilities proposed for inclusion is available on the Web site at
www.wapa.gov/ugp/rates/default.htm.
Certification of Rates
Western’s Administrator certified that
the provisional formula rates for
Transmission and Ancillary Services are
the lowest possible rates consistent with
sound business principles. The
provisional formula rates were
developed following administrative
policies and applicable laws.
tkelley on DSK3SPTVN1PROD with NOTICES
Transmission Rate Discussion
Formula Rate for Transmission Service
Western-UGP will recover its
transmission system related expenses
and investments on a forward-looking
basis by using projections to estimate
transmission costs for the upcoming
year, with a true-up in a subsequent
year. For transmission service provided
by SPP as the Transmission Provider
under SPP’s Tariff, Western-UGP will
provide its ATRR to SPP for
determination of charges. SPP will use
zonal and regional load and other
applicable information, including
additional annual transmission revenue
requirements from other transmission
owners with transmission facilities in
the multi-owner UMZ to determine the
applicable charges for SPP transmission
service in the UMZ. The ATRR is
derived by annualizing Western-UGP’s
transmission investment and adding
transmission-related annual costs,
which consist of O&M, interest expense,
and depreciation. Western-UGP cost
data will be submitted to SPP in
standard revenue requirement
templates. The annual costs are reduced
by revenue credits received by WesternUGP under the SPP Tariff.
Data used in the annual recalculation
of the costs under the formula for
WAUGP–ATRR effective on January 1
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each year will be made available to SPP
and interested parties for review and
comment on or shortly after September
1 each preceding year. Data used and
the revenue requirement resulting from
using these formulas will be posted on
the applicable SPP Web site and/or SPP
OASIS. Western-UGP will provide
interested parties the opportunity to
discuss and comment on the
recalculated WAUGP–ATRR on or
before October 31, 2015, and October 31
of subsequent years. This procedure will
ensure that interested parties are aware
of the data used to calculate the
WAUGP–ATRR. This will also provide
interested parties the opportunity to
comment before the costs are collected
through the formula rate.
Formula Rate for Scheduling, System
Control, and Dispatch Service
Western-UGP will use a formulabased rate methodology to calculate its
annual revenue requirement for SSCD
on a forward-looking basis by using
projections to estimate applicable
transmission-related costs associated
with SSCD for the upcoming year, with
a true-up in a subsequent year, to be
provided to SPP for inclusion in
Schedule 1 under the SPP Tariff. A
single SSCD rate applies for WesternUGP’s costs associated with providing
SSCD in both the Eastern and Western
Interconnections under the SPP Tariff.
Western-UGP’s annual revenue
requirement for SSCD will be used by
SPP to determine the regional SPP
Schedule 1 rate for SPP through and out
transactions, and also to determine the
zonal SPP Schedule 1 rate for the UMZ.
SSCD is required to schedule the
movement of power through, out of,
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within, or into the SPP Balancing
Authority Area and/or the WAUW.
Therefore, Western’s SSCD will also be
charged by SPP for transmission service
within the Western Interconnection.
Western-UGP’s annual revenue
requirement for SSCD is derived by
calculating Western-UGP’s applicable
transmission-related annual costs
associated with SSCD service, including
O&M, interest expense, A&GE, and
depreciation.
Western-UGP will true-up the cost
estimates with Western-UGP’s actual
costs. Revenue collected in excess of
Western-UGP’s actual net revenue
requirement will be returned through a
credit in a subsequent year. Actual
revenues that are less than the net
revenue requirement would likewise be
recovered in a subsequent year. The
true-up procedure will ensure that
Western-UGP will recover no more and
no less than the actual costs for the year.
Formula Rate for Regulation and
Frequency Response Service
Western-UGP will use a formulabased rate methodology for Regulation
and Frequency Response Service for the
WAUW as described below. Given the
SPP Integrated Marketplace will not be
extended into the Western
Interconnection, Western-UGP as the
BA will need to provide Regulation and
Frequency Response Service in the
WAUW, which will be billed by SPP, as
the Transmission Provider, to a SPP
Transmission Customer along with the
associated transmission service
provided by SPP under the SPP Tariff.
Regulation and Frequency Response
Service in the WAUW is provided
primarily by Corps facilities. The Corps’
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generation calculated fixed charge rate
(in percent) is applied to the net plant
investment of the Corps generation to
derive an annual Corps generation cost.
This cost is divided by the capacity at
the plants to derive a dollar-permegawatt amount for Corps installed
capacity ($/MW-year). This dollar-permegawatt amount is applied to the
capacity of Corps generation reserved
for Regulation and Frequency Response
Service in the WAUW, producing the
annual Corps generation cost for this
service. Western-UGP’s annual revenue
requirement for Regulation and
Frequency Response Service is then
determined by taking the annual Corps
generation cost to provide this service
and adding costs associated with the
purchase of power resources to provide
Regulation and Frequency Response
Service to support intermittent
renewable resources as described below.
Western-UGP’s annual revenue
requirement will be recovered under the
SPP Tariff under Rate Schedule
WAUW–AS3.
Western-UGP will true-up the cost
estimates with Western-UGP’s actual
costs. Revenue collected in excess of
Western-UGP’s actual net revenue
requirement will be returned through a
credit in a subsequent year. Actual
revenues that are less than the net
revenue requirement would likewise be
recovered in a subsequent year. The
true-up procedure will ensure that
Western-UGP will recover no more and
no less than the actual costs for the year.
Western-UGP supports the
installation of renewable sources of
energy but recognizes that certain
operational constraints exist in
managing the significant fluctuations
that are a normal part of their operation.
Western-UGP has marketed the
maximum practical amount of power
from each of its projects, leaving little or
no flexibility for provision of additional
power services. Consequently, provided
that Western-UGP is able to purchase
additional power resources delivered
into WAUW to provide Regulation and
Frequency Response Service to
intermittent renewable generation
resources serving load within the
WAUW, costs for these regulation
resources will become part of WesternUGP’s Regulation and Frequency
Response Service. However, WesternUGP will not regulate for the difference
between the output of an Intermittent
Resource located within the WAUW and
a delivery schedule from that generator
serving load located outside of the
WAUW. Intermittent Resources serving
load outside the WAUW will be
required to be pseudo-tied or
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dynamically scheduled to another
Balancing Authority Area.
Formula Rate for Energy Imbalance
Service
Energy Imbalance Service is provided
when a difference occurs between the
scheduled and the actual delivery of
energy to a load located within the
WAUW over a single hour. Given the
SPP Integrated Marketplace will not be
extended into the Western
Interconnection, Western-UGP as the
BA will need to provide Energy
Imbalance Service in the WAUW, which
will be billed by SPP, as the
Transmission Provider, to a SPP
Transmission Customer along with the
associated transmission service
provided by SPP under the SPP Tariff.
Western-UGP will offer this service, if it
is capable of doing so, from its own
resources or from resources available to
it when transmission service is provided
by SPP and used to serve load within
the WAUW. The SPP Transmission
Customer must either purchase this
service from SPP or make alternative
comparable arrangements pursuant to
the SPP Tariff to satisfy its Energy
Imbalance Service obligation. A SPP
Transmission Customer may incur a
charge for either hourly energy
imbalances under this Rate Schedule,
WAUW–AS4, or hourly generator
imbalances under Rate Schedule
WAUW–AS7 for imbalances occurring
during the same hour, but not both,
unless the imbalances aggravate rather
than offset each other.
The rate for service within the
WAUW will be based on deviation
bands as follows: (i) deviations within ±
1.5 percent (with a minimum of 2 MW)
of the scheduled transaction to be
applied hourly to any energy imbalance
that occurs as a result of the SPP
Transmission Customer’s scheduled
transaction(s) will be netted on a
monthly basis and settled financially, at
the end of the month, at 100 percent of
the average incremental cost for the
month; (ii) deviations greater than ± 1.5
percent up to 7.5 percent (or greater
than 2 MW up to 10 MW) of the
scheduled transaction(s) to be applied
hourly to any energy imbalance that
occurs as a result of the SPP
Transmission Customer’s scheduled
transaction(s) will be settled financially,
at the end of each month, at 110 percent
of incremental cost when energy taken
by the SPP Transmission Customer in a
schedule hour is greater than the energy
scheduled or 90 percent of incremental
cost when energy taken by a SPP
Transmission Customer in a schedule
hour is less than the scheduled amount;
and (iii) deviations greater than ± 7.5
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percent (or 10 MW) of the scheduled
transaction to be applied hourly to any
energy imbalance that occurs as a result
of the SPP Transmission Customer’s
scheduled transaction(s) will be settled
financially, at the end of each month, at
125 percent of the highest incremental
cost that occurs that day for energy
taken by the SPP Transmission
Customer in a schedule hour that is
greater than the energy scheduled, or 75
percent of the lowest incremental cost
that occurs that day when energy taken
by a SPP Transmission Customer is less
than the scheduled amount.
Western-UGP’s incremental cost will
be based on a representative hourly
energy index or combination of indexes.
The index to be used will be posted on
the applicable SPP Web site and/or
SPP’s OASIS at least 30 days before use
for determining the Western-UGP
incremental cost and will not be
changed more often than once per year
unless Western-UGP determines that the
existing index is no longer a reliable
price index.
Formula Rates for Operating Reserves
Service—Spinning and Supplemental
Given the SPP Integrated Marketplace
will not be extended into the Western
Interconnection, Western-UGP as the
BA will need to provide Operating
Reserve—Spinning Reserve Service and
Operating Reserve—Supplemental
Reserve Service (together referred to as
Reserve Services) in the WAUW, which
will be billed by SPP, as the
Transmission Provider, to a SPP
Transmission Customer along with the
associated transmission service
provided by SPP under the SPP Tariff.
Western-UGP will offer these services
under the formula-based rate
methodologies for Spinning Reserve
Service and Supplemental Reserve
Service and will use the reserve
requirement of the reserve sharing
program under which Western-UGP is
currently a member for its transmission
system in the Western Interconnection.
Western-UGP’s annual cost of
generation for Reserve Services is
determined by multiplying the Corps’
generation fixed charge rate (in percent)
by the net plant investment of the Corps
generation producing an annual Corps
generation cost. This cost is divided by
the capacity at the plants to derive a
dollar-per-megawatt amount for Corps
installed capacity ($/MW-year). This
dollar-per-megawatt amount is then
applied to the capacity of Corps
generation reserved for Reserve Services
in the WAUW, producing the annual
Corps generation cost to provide this
service. Western-UGP’s annual revenue
requirement for Reserve Services is
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tkelley on DSK3SPTVN1PROD with NOTICES
derived by taking the annual Corps
generation cost to provide this service
and adding costs associated with the
current reserve sharing program.
Western-UGP’s annual revenue
requirement will be recovered under the
SPP Tariff under Rate Schedules
WAUW–AS5 and WAUW–AS6.
Western-UGP will true-up the cost
estimates with Western-UGP’s actual
costs. Revenue collected in excess of
Western-UGP’s actual net revenue
requirement will be returned through a
credit in a subsequent year. Actual
revenues that are less than the net
revenue requirement would likewise be
recovered in a subsequent year. The
true-up procedure will ensure that
Western-UGP will recover no more and
no less than the actual costs for the year.
Western-UGP has no long-term
reserves available beyond its own
internal requirements. At SPP’s request
as the Transmission Provider, and if it
is capable of doing so, Western-UGP
will acquire needed resources and pass
the costs, plus an amount for
administration, on to SPP for the
requesting SPP Transmission Customer.
The SPP Transmission Customer is
responsible to provide the transmission
to deliver these reserves. In the event
that Reserve Services are called upon for
emergency use, the SPP Transmission
Customer will be assessed a charge for
energy used at the prevailing market
energy rate in the WAUW. The
prevailing market energy rate will be
based on a representative hourly energy
index or combination of indexes. The
index to be used will be posted on the
applicable SPP Web site and/or SPP’s
OASIS at least 30 days prior to use for
determining the prevailing market
energy rate and will not be changed
more often than once per year unless
Western-UGP determines that the
existing index is no longer a reliable
price index.
Formula Rate for Generator Imbalance
Service
Generator Imbalance Service is
provided when a difference occurs
between the output of a generator
located within the WAUW and a
delivery schedule from that generator to:
(1) another Balancing Authority Area or
(2) a load within the WAUW over a
single hour. Given the SPP Integrated
Marketplace will not be extended into
the Western Interconnection, WesternUGP as the BA must provide Generator
Imbalance Service in the WAUW, which
will be billed by SPP, as the
Transmission Provider, to a SPP
Transmission Customer along with the
associated transmission service
provided by SPP under the SPP Tariff.
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Western-UGP will offer this service, if it
is capable of doing so, from its own
resources or from resources available to
it, when SPP transmission service is
used to deliver energy from a generator
located within the WAUW. The SPP
Transmission Customer must either
purchase this service from SPP, or make
alternative comparable arrangements
pursuant to the SPP Tariff, to satisfy its
Generator Imbalance Service obligation.
A SPP Transmission Customer may
incur a charge for either hourly
generator imbalances under this Rate
Schedule, WAUW–AS7, or hourly
energy imbalances under Rate Schedule
WAUW–AS4 for imbalances occurring
during the same hour, but not both,
unless the imbalances aggravate rather
than offset each other.
Western-UGP supports the
installation of renewable sources of
energy but recognizes that certain
operational constraints exist in
managing the significant fluctuations
that are a normal part of their operation.
Western-UGP has marketed the
maximum practical amount of power
from each of its projects, leaving little or
no flexibility for provision of additional
power services. Consequently, WesternUGP will not regulate for the difference
between the output of an Intermittent
Resource located within the WAUW and
a delivery schedule from that generator
serving load located outside of the
WAUW. Intermittent Resources serving
load outside the WAUW will be
required to be pseudo-tied or
dynamically scheduled to another
Balancing Authority Area.
The rate for service within the
WAUW will be based on deviation
bands as follows: (i) deviations within ±
1.5 percent (with a minimum of 2 MW)
of the scheduled transaction to be
applied hourly to any generator
imbalance that occurs as a result of the
SPP Transmission Customer’s
scheduled transaction(s) will be netted
on a monthly basis and settled
financially, at the end of the month, at
100 percent of the average incremental
cost; (ii) deviations greater than ± 1.5
percent up to 7.5 percent (or greater
than 2 MW up to 10 MW) of the
scheduled transaction to be applied
hourly to any generator imbalance that
occurs as a result of the SPP
Transmission Customer’s scheduled
transaction(s) will be settled financially,
at the end of each month. When energy
delivered in a schedule hour from the
generation resource is less than the
energy scheduled, the charge is 110
percent of incremental cost. When
energy delivered from the generation
resource is greater than the scheduled
amount, the credit is 90 percent of the
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44345
incremental cost; and (iii) deviations
greater than ± 7.5 percent (or 10 MW) of
the scheduled transaction to be applied
hourly to any generator imbalance that
occurs as a result of the SPP
Transmission Customer’s scheduled
transaction(s) will be settled at 125
percent of Western-UGP’s highest
incremental cost for the day when
energy delivered in a schedule hour is
less than the energy scheduled or 75
percent of Western-UGP’s lowest daily
incremental cost when energy delivered
from the generation resource is greater
than the scheduled amount. An
Intermittent Resource will be exempt
from this deviation band and will pay
the deviation band charges for all
deviations greater than the larger of 1.5
percent or 2 MW.
Deviations from scheduled
transactions in order to respond to
directives by SPP as the Transmission
Provider, a Balancing Authority, or a
reliability coordinator shall not be
subject to the deviation bands identified
above and, instead, shall be settled
financially at the end of the month at
100 percent of incremental cost. Such
directives may include instructions to
correct frequency decay, respond to a
reserve sharing event, or change output
to relieve congestion.
Western-UGP’s incremental cost will
be based on a representative hourly
energy index or combination of indexes.
The index to be used will be posted on
the applicable SPP Web site and/or
SPP’s OASIS at least 30 days before use
for determining the Western-UGP
incremental cost and will not be
changed more often than once per year
unless Western-UGP determines that the
existing index is no longer a reliable
price index.
Availability of Information
All documents related to this action
are available for inspection and copying
at the Upper Great Plains Regional
Office, located at 2900 4th Avenue
North, Billings, Montana. These
documents are also available on
Western’s Web site located at https://
www.wapa.gov/ugp/rates.
RATEMAKING PROCEDURE
REQUIREMENTS
Environmental Compliance
In compliance with the National
Environmental Policy Act 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), Western
has determined that this action is
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October 1, 2015
formula will be posted on the applicable
SPP Web site and/or SPP Open Access
Same-Time Information System.
UNITED STATES DEPARTMENT OF
ENERGY
Rate Schedule WAUGP–AS1
categorically excluded from preparing
an environmental assessment or an
environmental impact statement. A
copy of the categorical exclusion
determination is available on WesternUGP’s Web site located at https://
www.wapa.gov/ugp/Environment.
Rate Schedule WAUGP–ATRR
Determination Under Executive Order
12866
UPPER GREAT PLAINS REGION
PICK–SLOAN MISSOURI BASIN
PROGRAM—EASTERN DIVISION
Western has an exemption from
centralized regulatory review under
Executive Order 12866; accordingly, no
clearance of this notice by the Office of
Management and Budget is required.
Submission to the Federal Energy
Regulatory Commission
The formula rates herein confirmed,
approved, and placed into effect on an
interim basis, together with supporting
documents, will be submitted to FERC
for confirmation and final approval.
ORDER
In view of the foregoing and under the
authority delegated to me, I confirm and
approve on an interim basis, effective on
or after October 1, 2015, upon transfer
of functional control of eligible WesternUGP facilities to SPP, formula rates for
Transmission and Ancillary Services
under Rate Schedules WAUGP–ATRR,
WAUGP–AS1, WAUW–AS3, WAUW–
AS4, WAUW–AS5, WAUW–AS6 and
WAUW–AS7 for the Pick-Sloan
Missouri Basin Program—Eastern
Division Project of the Western Area
Power Administration. Notification of
the transfer of functional control and the
effective date of the formula rates will
be published in the Federal Register.
The rate schedules shall remain in effect
on an interim basis, pending the Federal
Energy Regulatory Commission’s
confirmation and approval of the rate
schedules or substitute rates on a final
basis through September 30, 2020, or
until the rate schedules are superseded.
tkelley on DSK3SPTVN1PROD with NOTICES
Dated: July 17, 2015
Elizabeth Sherwood-Randall
Deputy Secretary of Energy
October 1, 2015
WESTERN AREA POWER
ADMINISTRATION
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WESTERN AREA POWER
ADMINISTRATION
ANNUAL TRANSMISSION REVENUE
REQUIREMENT FOR TRANSMISSION
SERVICE
UPPER GREAT PLAINS REGION
PICK–SLOAN MISSOURI BASIN
PROGRAM—EASTERN DIVISION
Effective
On the first full day of the first full
billing period beginning on or after
October 1, 2015, upon transfer of
functional control of eligible WesternUGP facilities to SPP, and shall remain
in effect through September 30, 2020, or
until superseded by another rate
schedule, whichever occurs earlier.
Notification of the transfer of functional
control and the effective date of the
formula rates will be published in the
Federal Register.
SCHEDULING, SYSTEM CONTROL,
AND DISPATCH SERVICE
Applicable
Western Area Power AdministrationUpper Great Plains Region’s (WesternUGP) formula based Annual
Transmission Revenue Requirement
(ATRR) for its eligible transmission
related facilities included under the
Southwest Power Pool, Inc. (SPP) Tariff
shall be calculated using the formula
outlined below.
Formula Rate
Define:
A = Operation & Maintenance allocated to
transmission ($)
B = Depreciation allocated to transmission ($)
C = Interest Expense allocated to
transmission ($)
D = Revenue Credits ($)
E = Scheduling, System Control, and
Dispatch costs ($)
F = Prior Period True-up ($)
ATRR = A + B + C¥D¥E + F
Note: Western-UGP will identify any
portion of the ATRR eligible for SPP Regionwide cost sharing pursuant to the SPP Tariff
in its Rate Formula Template submitted
under Attachment H of the SPP Tariff.
A recalculated annual revenue
requirement will go into effect every
January 1 based on the above formula
and updated financial data. WesternUGP will annually notify SPP and make
data and information available to
interested parties for review and
comment related to the recalculated
annual revenue requirement on or
shortly after September 1 of the
preceding year. Data used and the
charges resulting from using this
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UNITED STATES DEPARTMENT OF
ENERGY
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Effective
On the first day of the first full billing
period beginning on or after October 1,
2015, upon transfer of functional control
of eligible Western-UGP facilities to
SPP, and shall remain in effect through
September 30, 2020, or until superseded
by another rate schedule, whichever
occurs earlier. Notification of the
transfer of functional control and the
effective date of the formula rates will
be published in the Federal Register.
Applicable
Scheduling, System Control, and
Dispatch Service (SSCD) is required to
schedule the movement of power
through, out of, within, or into the
Southwest Power Pool, Inc. (SPP)
Balancing Authority Area and/or the
Western Area Power Administration,
Upper Great Plains West Balancing
Authority Area (WAUW). Western Area
Power Administration-Upper Great
Plains Region’s (Western-UGP) annual
revenue requirement for SSCD will be
used by SPP to calculate the regional
SPP Schedule 1 rate for SPP through
and out transactions, and also to
calculate the zonal SPP Schedule 1 rate
for the Upper Missouri Zone (UMZ or
Zone 19). This rate will also be charged
by SPP for SPP Transmission Service
provided within the Western
Interconnection.
Formula Rate
Define:
A = Operation & Maintenance for SSCD ($)
B = Administrative and General Expense for
SSCD ($)
C = Depreciation for SSCD ($)
D = Taxes Other than Income Taxes for
Transmission ($)
E = Allocation of General Plant for SSCD ($)
F = Cost of Capital for SSCD ($)
G = SSCD Revenue from non-Transmission
facilities ($)
H = Prior Period True-up ($)
SSCD Annual Revenue Requirement = A + B
+ C + D + E + F—G + H
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A recalculated annual revenue
requirement will go into effect every
January 1 based on the above formula
and updated financial data. WesternUGP will annually notify SPP and make
data and information available to
interested parties for review and
comment related to the recalculated
annual revenue requirement on or
shortly after September 1 of the
preceding year. Data used and the
charges resulting from using this
formula will be posted on the applicable
SPP Web site and/or SPP Open Access
Same-Time Information System.
Rate Schedule WAUW–AS3
October 1, 2015
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
UPPER GREAT PLAINS REGION
PICK–SLOAN MISSOURI BASIN
PROGRAM—EASTERN DIVISION
REGULATION AND FREQUENCY
RESPONSE SERVICE—WAUW
tkelley on DSK3SPTVN1PROD with NOTICES
Effective
On the first day of the first full billing
period beginning on or after October 1,
2015, upon transfer of functional control
of eligible Western-UGP facilities to
SPP, and shall remain in effect through
September 30, 2020, or until superseded
by another rate schedule, whichever
occurs earlier. Notification of the
transfer of functional control and the
effective date of the formula rates will
be published in the Federal Register.
Applicable
This Rate Schedule applies to the
Western Area Power Administration,
Upper Great Plains West Balancing
Authority Area (WAUW). Regulation
and Frequency Response Service
(Regulation) is necessary to provide for
the continuous balancing of resources,
generation, and interchange with load
and for maintaining scheduled
interconnection frequency at 60 cycles
per second (60 Hz). Regulation is
accomplished by committing on-line
generation whose output is raised or
lowered, predominantly through the use
of automatic generating control
equipment, as necessary, to follow the
moment-by-moment changes in load.
The obligation to maintain this balance
between resources and load lies with
the Western Area Power
Administration-Upper Great Plains
Region (Western-UGP) as the WAUW
operator. The SPP Transmission
Customer must either purchase this
service from SPP or make alternative
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18:58 Jul 24, 2015
Jkt 235001
comparable arrangements pursuant to
the SPP Tariff to satisfy its Regulation
obligation. Western-UGP’s annual
revenue requirement for Regulation
(outlined below) will be used by SPP to
calculate the WAUW charges for
Regulation.
Western-UGP supports the
installation of renewable sources of
energy but recognizes that certain
operational constraints exist in
managing the significant fluctuations
that are a normal part of their operation.
When Western-UGP purchases power
resources to provide Regulation to
intermittent resources serving load
within Western-UGP’s WAUW, costs for
these regulation resources will become
part of Western’s Regulation revenue
requirement, which will be billed by
SPP, as the Transmission Provider, to a
SPP Transmission Customer along with
the associated transmission service
provided by SPP under the SPP Tariff.
However, Western-UGP will not
regulate for the difference between the
output of an intermittent resource
located within Western-UGP’s WAUW
and a delivery schedule from that
generator serving load located outside of
Western-UGP’s WAUW. Intermittent
resources serving load outside WesternUGP’s WAUW will be required to be
pseudo-tied or dynamically scheduled
to another Balancing Authority Area.
An intermittent resource, for the
limited purpose of this Rate Schedule,
is an electric generator that is not
dispatchable and cannot store its fuel
source and, therefore, cannot respond to
changes in demand or respond to
transmission security constraints.
Formula Rate
Define:
A = U.S. Army Corps of Engineers (Corps)
Fixed Charge Rate (%)
B = Corps Generation Net Plant Costs ($)
C = Plant Capacity (kW)
D = Capacity Used for Regulation (kW-year)
E = Capacity Purchases for Regulation ($)
F = Prior Period True-up
Regulation Annual Revenue Requirement =
(A * B/C) * D + E + F
A recalculated revenue requirement
will go into effect every January 1 based
on the above formula and updated
financial data. Western-UGP will
annually notify SPP and make data and
information available to interested
parties for review and comment related
to the recalculated annual revenue
requirement on or shortly after
September 1 of the preceding year. Data
used and the charges resulting from
using this formula will be posted on the
applicable SPP Web site and/or SPP
Open Access Same-Time Information
System.
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44347
Rate Schedule WAUW–AS4
October 1, 2015
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
UPPER GREAT PLAINS REGION
PICK–SLOAN MISSOURI BASIN
PROGRAM—EASTERN DIVISION
ENERGY IMBALANCE SERVICE—
WAUW
Effective
On the first day of the first full billing
period beginning on or after October 1,
2015, upon transfer of functional control
of eligible Western-UGP facilities to
SPP, and shall remain in effect through
September 30, 2020, or until superseded
by another rate schedule, whichever
occurs earlier. Notification of the
transfer of functional control and the
effective date of the formula rates will
be published in the Federal Register.
Applicable
This Rate Schedule applies to the
Western Area Power Administration,
Upper Great Plains West Balancing
Authority Area (WAUW). Energy
Imbalance Service is provided when a
difference occurs between scheduled
and actual delivery of energy to a load
located within Western Area Power
Administration-Upper Great Plains
Region’s (Western-UGP) WAUW over a
single hour. Given the Southwest Power
Pool, Inc. (SPP) Integrated Marketplace
will not be extended into the Western
Interconnection, Western-UGP, as the
Balancing Authority, will offer to
provide Energy Imbalance Service in the
WAUW, if it is capable of doing so, from
its own resources or from resources
available to it, at the request of SPP, as
the Transmission Provider, when
transmission service is provided by SPP
and used to serve load within the
WAUW. Energy Imbalance Service in
the WAUW will be billed by SPP to the
SPP Transmission Customer along with
the associated transmission service
provided by SPP. The SPP Transmission
Customer must either purchase this
service from SPP, or make alternative
comparable arrangements pursuant to
the SPP Tariff to satisfy its Energy
Imbalance Service obligation.
The SPP Transmission Customer will
incur a charge for either hourly energy
imbalances under this Schedule,
WAUW–AS4, or hourly generator
imbalances under Rate Schedule
WAUW–AS7 for imbalances occurring
during the same hour, but not both,
unless the imbalances aggravate rather
than offset each other.
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44348
Federal Register / Vol. 80, No. 143 / Monday, July 27, 2015 / Notices
tkelley on DSK3SPTVN1PROD with NOTICES
Formula Rate
Rate Schedule WAUW–AS5
For deviations within ± 1.5 percent
(with a minimum of 2 MW) of the
scheduled transaction to be applied
hourly to any energy imbalance that
occurs as a result of the SPP
Transmission Customer’s scheduled
transaction(s) will be netted on a
monthly basis and settled financially, at
the end of the month, at 100 percent of
the average incremental cost.
Deviations greater than ± 1.5 percent
up to 7.5 percent (or greater than 2 MW
up to 10 MW) of the scheduled
transaction to be applied hourly to any
energy imbalance that occurs as a result
of the SPP Transmission Customer’s
scheduled transaction(s) will be settled
financially, at the end of each month.
When energy taken in a schedule hour
is greater than the energy scheduled, the
charge is 110 percent of incremental
cost. When energy taken is less than the
scheduled amount, the credit is 90
percent of the incremental cost.
Deviations greater than ± 7.5 percent
(or 10 MW) of the scheduled transaction
to be applied hourly to any energy
imbalance that occurs as a result of the
SPP Transmission Customer’s
scheduled transaction(s) will be settled
at 125 percent of Western-UGP’s
incremental cost when energy taken in
a schedule hour is greater than the
energy scheduled or 75 percent of
Western-UGP’s incremental cost when
energy taken by a SPP Transmission
Customer is less than the scheduled
amount.
Western-UGP’s incremental cost will
be based upon a representative hourly
energy index or combination of indexes.
The index to be used will be posted on
the applicable SPP Web site and/or
SPP’s Open Access Same-Time
Information System (OASIS) at least 30
days before use for determining the
Western-UGP incremental cost and will
not be changed more often than once
per year unless Western-UGP
determines that the existing index is no
longer a reliable price index.
The pricing and charge for deviations
in the above deviation bandwidths is as
specified above. Data used and the
charges resulting from using this
formula will be posted on the applicable
SPP Web site and/or SPP OASIS.
October 1, 2015
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
UPPER GREAT PLAINS REGION
PICK–SLOAN MISSOURI BASIN
PROGRAM—EASTERN DIVISION
OPERATING RESERVE—SPINNING
RESERVE SERVICE—WAUW
Effective
On the first day of the first full billing
period beginning on or after October 1,
2015, upon transfer of functional control
of eligible Western-UGP facilities to
SPP, and shall remain in effect through
September 30, 2020, or until superseded
by another rate schedule, whichever
occurs earlier. Notification of the
transfer of functional control and the
effective date of the formula rates will
be published in the Federal Register.
Applicable
This Rate Schedule applies to the
Western Area Power Administration,
Upper Great Plains West Balancing
Authority Area (WAUW). Operating
Reserve-Spinning Reserve Service
(Spinning Reserves) is needed to serve
load immediately in the event of a
system contingency. Spinning Reserves
may be provided by generating units
that are on-line and loaded at less than
maximum output. Given the Southwest
Power Pool, Inc. (SPP) Integrated
Marketplace will not be extended into
the Western Interconnection, Western
Area Power Administration-Upper Great
Plains Region (Western-UGP), as the
Balancing Authority, will offer to
provide Spinning Reserves, if available,
at the request of SPP as the
Transmission Provider in the WAUW.
Operating Reserve-Spinning Reserve
Service in the WAUW will be billed by
SPP to the SPP Transmission Customer
along with the associated transmission
service provided by SPP. The SPP
Transmission Customer must either
purchase this service from SPP or make
alternative comparable arrangements
pursuant to the SPP Tariff to satisfy its
Spinning Reserves obligation. WesternUGP’s annual revenue requirement for
Spinning Reserves (outlined below) will
be utilized by SPP to calculate the
WAUW charges for Spinning Reserves.
Formula Rate
Define:
A = U.S. Army Corps of Engineers (Corps)
Fixed Charge Rate (%)
B = Corps Generation Net Plant Costs ($)
C = Plant Capacity (kW)
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18:58 Jul 24, 2015
Jkt 235001
PO 00000
Frm 00026
Fmt 4703
Sfmt 4703
D = Maximum Load in the WAUW (kW)
E = Maximum Generation in the WAUW
(kW)
F = Reserve Sharing Program Requirement
based upon Load (%)—See Note 1
G = Reserve Sharing Program Requirement
based upon Generation (%)—See Note 2
H = Prior Period True-up
Note 1: Currently 3% in the Northwest
Power Pool (NWPP) Reserve Sharing Program
Note 2: Currently 3% in the NWPP Reserve
Sharing Program
Spinning Reserves Annual Revenue
Requirement = (A * B/C) * ((D * F) + (E
* G)) + H
A recalculated revenue requirement
will go into effect every January 1 based
on the above formula and updated
financial, load/generation, and Reserve
Sharing Program requirements data.
Western-UGP will annually notify SPP
and make data and information
available to interested parties for review
and comment related to the recalculated
annual revenue requirement on or
shortly after September 1 of the
preceding year. Data used and the
charges resulting from using this
formula will be posted on the applicable
SPP Web site and/or SPP Open Access
Same-Time Information System
(OASIS).
If resources are not available from a
Western-UGP resource, Western-UGP, at
the request of SPP as the Transmission
Provider, will offer to purchase the
Spinning Reserves and pass through the
costs, plus an amount for
administration, to SPP for the SPP
Transmission Customer.
In the event that Spinning Reserves
are called upon for emergency use, the
SPP Transmission Customer will be
assessed a charge for energy used at the
prevailing market energy rate in the
WAUW. The prevailing market energy
rate will be based upon a representative
hourly energy index or combination of
indexes. The index to be used will be
posted on the applicable SPP Web site
and/or SPP’s OASIS at least 30 days
before use for determining the
prevailing market energy rate and will
not be changed more often than once
per year unless Western-UGP
determines that the existing index is no
longer a reliable price index. The SPP
Transmission Customer would be
responsible for providing transmission
service to get the Spinning Reserves to
its destination.
E:\FR\FM\27JYN1.SGM
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Federal Register / Vol. 80, No. 143 / Monday, July 27, 2015 / Notices
44349
Rate Schedule WAUW–AS6
Formula Rate
Rate Schedule WAUW–AS7
October 1, 2015
Define:
October 1, 2015
UNITED STATES DEPARTMENT OF
ENERGY
A = U.S. Army Corps of Engineers (Corps)
Fixed Charge Rate (%)
B = Corps Generation Net Plant Costs ($)
C = Plant Capacity (kW)
D = Maximum Load in the WAUW (kW)
E = Maximum Generation in the WAUW
(kW)
F = Reserve Sharing Program Requirement
based upon Load (%)—See Note 1
G = Reserve Sharing Program Requirement
based upon Generation (%)—See Note 2
H = Prior Period True-up
Note 1: Currently 3% in the Northwest
Power Pool (NWPP) Reserve Sharing Program
Note 2: Currently 3% in the NWPP Reserve
Sharing Program
Supplemental Reserves Annual Revenue
Requirement = (A * B/C) * ((D * F) + (E
* G)) + H
UNITED STATES DEPARTMENT OF
ENERGY
WESTERN AREA POWER
ADMINISTRATION
UPPER GREAT PLAINS REGION
PICK–SLOAN MISSOURI BASIN
PROGRAM—EASTERN DIVISION
OPERATING RESERVE—
SUPPLEMENTAL RESERVE
SERVICE—WAUW
Effective
On the first day of the first full billing
period beginning on or after October 1,
2015, upon transfer of functional control
of eligible Western-UGP facilities to
SPP, and shall remain in effect through
September 30, 2020, or until superseded
by another rate schedule, whichever
occurs earlier. Notification of the
transfer of functional control and the
effective date of the formula rates will
be published in the Federal Register.
tkelley on DSK3SPTVN1PROD with NOTICES
Applicable
This Rate Schedule applies to the
Western Area Power Administration,
Upper Great Plains West Balancing
Authority Area (WAUW). Operating
Reserve-Supplemental Reserve Service
(Supplemental Reserves) is needed to
serve load in the event of a system
contingency: however, it is not available
immediately to serve load but rather
within a short period of time.
Supplemental Reserves may be
provided by generating units that are
on-line but unloaded, by quick-start
generation, or by interruptible load.
Given the Southwest Power Pool, Inc.
(SPP) Integrated Marketplace will not be
extended into the Western
Interconnection, Western Area Power
Administration-Upper Great Plains
Region (Western-UGP), as the Balancing
Authority, will offer to provide
Supplemental Reserves, if available, at
the request of SPP as the Transmission
Provider, in the WAUW. Operating
Reserve-Supplemental Reserve Service
in the WAUW will be billed by SPP to
the SPP Transmission Customer along
with the associated transmission service
provided by SPP. The SPP Transmission
Customer must either purchase this
service from SPP or make alternative
comparable arrangements pursuant to
the SPP Tariff to satisfy its
Supplemental Reserves obligation.
Western-UGP’s annual revenue
requirement for Supplemental Reserves
(outlined below) will be utilized by SPP
to calculate the WAUW charges for
Supplemental Reserves.
VerDate Sep<11>2014
18:58 Jul 24, 2015
Jkt 235001
A recalculated revenue requirement
will go into effect every January 1 based
on the above formula and updated
financial, load/generation, and Reserve
Sharing Program requirements data.
Western-UGP will annually notify SPP
and make data and information
available to interested parties for review
and comment related to the recalculated
annual revenue requirement on or
shortly after September 1 of the
preceding year. Data used and the
charges resulting from using this
formula will be posted on the applicable
SPP Web site and/or SPP Open Access
Same-Time Information System
(OASIS).
If resources are not available from a
Western-UGP resource, Western-UGP, at
the request of SPP as the Transmission
Provider, will offer to purchase the
Supplemental Reserves and pass
through the costs, plus an amount for
administration, to SPP for the SPP
Transmission Customer.
In the event Supplemental Reserves
are called upon for emergency use, the
SPP Transmission Customer will be
assessed a charge for energy used at the
prevailing market energy rate in the
WAUW. The prevailing market energy
rate will be based upon a representative
hourly energy index or combination of
indexes. The index to be used will be
posted on the applicable SPP Web site
and/or SPP’s OASIS at least 30 days
before use for determining the
prevailing market energy rate and will
not be changed more often than once
per year unless Western-UGP
determines that the existing index is no
longer a reliable price index. The SPP
Transmission Customer would be
responsible for providing transmission
service to get the Supplemental
Reserves to its destination.
PO 00000
Frm 00027
Fmt 4703
Sfmt 4703
WESTERN AREA POWER
ADMINISTRATION
UPPER GREAT PLAINS REGION
PICK–SLOAN MISSOURI BASIN
PROGRAM—EASTERN DIVISION
GENERATOR IMBALANCE SERVICE—
WAUW
Effective
On the first day of the first full billing
period beginning on or after October 1,
2015, upon transfer of functional control
of eligible Western-UGP facilities to
SPP, and shall remain in effect through
September 30, 2020, or until superseded
by another rate schedule, whichever
occurs earlier. Notification of the
transfer of functional control and the
effective date of the formula rates will
be published in the Federal Register.
Applicable
This Rate Schedule applies to the
Western Area Power Administration,
Upper Great Plains West Balancing
Authority Area (WAUW). Generator
Imbalance Service is provided when a
difference occurs between the output of
a generator located within Western Area
Power Administration-Upper Great
Plains Region’s (Western-UGP) WAUW
and a delivery schedule from that
generator to (1) another Balancing
Authority Area or (2) a load within
Western-UGP’s WAUW over a single
hour. Western-UGP, as the Balancing
Authority, will offer to provide this
service, if it is capable of doing so, from
its own resources or from resources
available to it, at the request of the
Southwest Power Pool, Inc. (SPP) as the
Transmission Provider, when
transmission service is used to deliver
energy from a generator located within
the WAUW. Generator Imbalance
Service in the WAUW will be billed by
SPP to the SPP Transmission Customer
along with the associated transmission
service provided by SPP. The SPP
Transmission Customer must either
purchase this service from SPP or make
alternative comparable arrangements
pursuant to the SPP Tariff, to satisfy its
Generator Imbalance Service obligation.
The SPP Transmission Customer will
incur a charge for either hourly
generator imbalances under this
Schedule, WAUW–AS7, or hourly
energy imbalances under Rate Schedule
WAUW–AS4 for imbalances occurring
during the same hour, but not both,
unless the imbalances aggravate rather
than offset each other.
E:\FR\FM\27JYN1.SGM
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44350
Federal Register / Vol. 80, No. 143 / Monday, July 27, 2015 / Notices
tkelley on DSK3SPTVN1PROD with NOTICES
Western-UGP supports the
installation of renewable sources of
energy but recognizes that certain
operational constraints exist in
managing the significant fluctuations
that are a normal part of their operation.
Western-UGP has marketed the
maximum practical amount of power
from each of its projects, leaving little or
no flexibility for provision of additional
power services. Consequently, WesternUGP will not regulate for the difference
between the output of an intermittent
resource located within the WAUW and
a delivery schedule from that generator
serving load located outside of the
WAUW. Intermittent resources serving
load outside Western-UGP’s WAUW
will be required to be pseudo-tied or
dynamically scheduled to another
Balancing Authority Area.
An intermittent resource, for the
limited purpose of this Rate Schedule,
is an electric generator that is not
dispatchable and cannot store its fuel
source and, therefore, cannot respond to
changes in demand or respond to
transmission security constraints.
Formula Rate
For deviations within ± 1.5 percent
(with a minimum of 2 MW) of the
scheduled transaction to be applied
hourly to any generator imbalance that
occurs as a result of the SPP
Transmission Customer’s scheduled
transaction(s) will be netted on a
monthly basis and settled financially, at
the end of the month, at 100 percent of
the average incremental cost.
Deviations greater than ± 1.5 percent
up to 7.5 percent (or greater than 2 MW
up to 10 MW) of the scheduled
transaction to be applied hourly to any
generator imbalance that occurs as a
result of the SPP Transmission
Customer’s scheduled transaction(s)
will be settled financially, at the end of
each month. When energy delivered in
a schedule hour from the generation
resource is less than the energy
scheduled, the charge is 110 percent of
incremental cost. When energy
delivered from the generation resource
is greater than the scheduled amount,
the credit is 90 percent of the
incremental cost.
Deviations greater than ± 7.5 percent
(or 10 MW) of the scheduled transaction
to be applied hourly to any generator
imbalance that occurs as a result of the
SPP Transmission Customer’s
scheduled transaction(s) will be settled
at 125 percent of Western-UGP’s highest
incremental cost for the day when
energy delivered in a schedule hour is
less than the energy scheduled or 75
percent of Western-UGP’s lowest daily
incremental cost when energy delivered
VerDate Sep<11>2014
18:58 Jul 24, 2015
Jkt 235001
from the generation resource is greater
than the scheduled amount. As an
exception, an intermittent resource will
be exempt from this deviation band and
will pay the deviation band charges for
all deviations greater than the larger of
1.5 percent or 2 MW.
Deviations from scheduled
transactions responding to directives by
the Transmission Provider, a Balancing
Authority, or a reliability coordinator
shall not be subject to the deviation
bands identified above and, instead,
shall be settled financially, at the end of
the month, at 100 percent of
incremental cost. Such directives may
include instructions to correct
frequency decay, respond to a reserve
sharing event, or change output to
relieve congestion.
Western-UGP’s incremental cost will
be based upon a representative hourly
energy index or combination of indexes.
The index to be used will be posted on
the applicable SPP Web site and/or
SPP’s Open Access Same-Time
Information System (OASIS) at least 30
days before use for determining the
Western-UGP incremental cost and will
not be changed more often than once
per year unless Western-UGP
determines that the existing index is no
longer a reliable price index.
The pricing and charge for deviations
in the deviation bandwidths is as
specified above. Data used and the
charges resulting from using this
formula will be posted on the applicable
SPP Web site and/or SPP OASIS.
[FR Doc. 2015–18240 Filed 7–24–15; 8:45 am]
BILLING CODE 6450–01–P
ENVIRONMENTAL PROTECTION
AGENCY
[EPA–HQ–OW–2004–0019; FRL–9931–21–
OW]
Request for Scientific Views: Draft
Recommended Aquatic Life Ambient
Water Quality Chronic Criterion for
Selenium—Freshwater 2015
Environmental Protection
Agency (EPA).
ACTION: Notice of availability.
AGENCY:
The Environmental Protection
Agency (EPA) is opening the comment
period for the Agency’s draft
recommended aquatic life water quality
chronic criterion for selenium in
freshwater. EPA released a previous
draft entitled ‘‘External Peer Review
Draft Aquatic Life Ambient Water
Quality Criterion for Selenium—
Freshwater, 2014’’ for public comment
on May 14, 2014. EPA received
SUMMARY:
PO 00000
Frm 00028
Fmt 4703
Sfmt 4703
scientific views from the public and
stakeholders, and convened a
contractor-led expert external peer
review. EPA considered the results from
the expert peer review and scientific
views and comments from the public
and stakeholders to develop the current
draft document, which is now available
for comment. Following closure of this
public comment period, EPA will
consider scientific views from the
public on this draft document as well as
any new data or information received.
EPA will then publish Federal Register
notice(s) announcing the availability of
the final selenium criterion.
DATES: Comments must be received on
or before September 25, 2015.
ADDRESSES: Submit your comments,
identified by Docket ID No. EPA–HQ–
OW–2004–0019, by one of the following
methods:
• www.regulations.gov: Follow the
on-line instructions for submitting
comments.
• Email: ow-docket@epa.gov.
Attention Docket No. EPA–HQ–OW–
2004–0019.
• Fax: 202–566–1140.
• Mail: EPA Water Docket,
Environmental Protection Agency,
Mailcode 2822–IT 1200 Pennsylvania
Ave. NW., Washington, DC 20640,
Attention Docket No. EPA–HQ–OW–
2004–0019. Please include a total of two
copies (including references).
• Hand Delivery: EPA Water Docket,
EPA Docket Center, William Jefferson
Clinton West Building, Room 3334,
1301 Constitution Avenue NW.,
Washington, DC 20004, Docket No.
EPA–HQ–OW–2004–0019. Such
deliveries are only accepted during the
Docket’s normal hours of operation, and
special arrangements should be made
for deliveries of boxed information.
Instructions: Direct your comments to
Docket ID No. [EPA–HQ–2004–0019].
EPA’s policy is that all comments
received will be included in the public
docket without change and may be
made available online at
www.regulations.gov, including any
personal information provided, unless
the comment includes information
claimed to be Confidential Business
Information (CBI) or other information
whose disclosure is restricted by statute.
Do not submit information that you
consider to be CBI or otherwise
protected through www.regulations.gov
or ow-docket@epa.gov. The
www.regulations.gov Web site is an
‘‘anonymous access’’ system, which
means EPA will not know your identity
or contact information unless you
provide it in the body of your comment.
If you send an email comment directly
E:\FR\FM\27JYN1.SGM
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Agencies
[Federal Register Volume 80, Number 143 (Monday, July 27, 2015)]
[Notices]
[Pages 44339-44350]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-18240]
-----------------------------------------------------------------------
DEPARTMENT OF ENERGY
Western Area Power Administration
Pick-Sloan Missouri Basin Program--Eastern Division--Rate Order
No. WAPA-170
AGENCY: Western Area Power Administration, DOE.
ACTION: Notice of Final Transmission and Ancillary Services Formula
Rates.
-----------------------------------------------------------------------
SUMMARY: The Deputy Secretary of Energy confirmed and approved Rate
Order No. WAPA-170 and Rate Schedules WAUGP-ATRR, WAUGP-AS1, WAUW-AS3,
WAUW-AS4, WAUW-AS5, WAUW-AS6 and WAUW-AS7. Through this notice, the
Western Area Power Administration (Western), places formula
transmission and ancillary services rates for Western's Pick-Sloan
Missouri Basin Program--Eastern Division (P-SMBP--ED) into effect on an
interim basis. The provisional rates will be in effect until the
Federal Energy Regulatory Commission (FERC) confirms, approves, and
places them into effect on a final basis, or until they are superseded.
The provisional formula rates will provide sufficient revenue to pay
all associated annual costs, including interest expense, and repay
required investment within the allowable periods.
DATES: Formula rates for Transmission and Ancillary Services under Rate
Schedules WAUGP-ATRR, WAUGP-AS1, WAUW-AS3, WAUW-AS4, WAUW-AS5, WAUW-AS6
and WAUW-AS7 are effective on the first day of the first full billing
period beginning on or after October 1, 2015, upon transfer of
functional control of eligible Western-Upper Great Plains Region
(Western-UGP) transmission facilities to Southwest Power Pool, Inc.
(SPP) and will remain in effect until September 30, 2020, pending
approval by FERC on a final basis or until superseded. Notification of
the transfer of functional control and the effective date of the
formula rates will be published in the Federal Register.
FOR FURTHER INFORMATION CONTACT: Mr. Lloyd Linke, Operations Manager,
Upper Great Plains Region, Western Area Power Administration, 1330 41st
Street, Watertown, SD 57201; telephone: (605) 882-7500; email:
Lloyd@wapa.gov; or Ms. Linda Cady-Hoffman, Rates Manager, Upper Great
Plains Region, Western Area Power Administration, 2900 4th Avenue
North, Billings, MT 59101-1266; telephone: (406) 255-2920; email:
cady@wapa.gov.
SUPPLEMENTARY INFORMATION: Western published a Federal Register Notice
on November 3, 2014, (79 FR 65205) announcing the proposed formula
rates for transmission service, initiating a public consultation and
comment period, and setting forth the dates and locations of public
information and public comment forums. Western held a public
information forum in Omaha, Nebraska on November 19, 2014, and a public
information forum in Fargo, North Dakota, on November 20, 2014. Western
explained the proposed formula rates, answered questions, and provided
Rate Brochures and presentation handouts. Western held a public comment
forum in Omaha, Nebraska, on December 17, 2014, and a public comment
forum in Fargo, North Dakota, on December 18, 2014. These forums
provided the public with opportunity to comment for the record.
On December 19, 2014, Western notified all P-SMBP--ED customers and
interested parties of an updated Rate Brochure that was available on
the Web site at www.wapa.gov/ugp/rates/default.htm. This Web site also
contained information about this formula rate adjustment process.
Western followed the Procedures for Public Participation in Power
and Transmission Rate Adjustments and Extensions, 10 CFR part 903, as
described above, in developing these formula rates. No individuals
commented at either of the public comment forums, and Western received
no comments during the consultation and comment period.
Western-UGP has signed a Membership Agreement with SPP. Upon
achieving final FERC approval of membership within SPP, Western will
transfer functional control of Western-UGP's P-SMBP--ED eligible
transmission facilities located in the Upper Missouri Zone (UMZ or Zone
19) to SPP. Western-UGP will then merge its Western Area Power
Administration, Upper Great Plains East Balancing Authority Area (WAUE)
in the Eastern Interconnection into SPP's Balancing Authority Area and
place its transmission system located in the Eastern Interconnection
into SPP's Integrated Marketplace. Western-UGP will retain operation of
its Western Area Power Administration, Upper Great Plains West
Balancing Authority Area (WAUW) in the Western Interconnection as the
Balancing Authority, and will not place its transmission system located
in the Western Interconnection into SPP's Integrated Marketplace. Even
though SPP's Integrated Marketplace will not extend into the Western
Interconnection, Western-UGP's eligible transmission facilities in the
Western Interconnection will be included under SPP's Tariff to allow
SPP to provide transmission service over all of Western-UGP's eligible
transmission facilities in the UMZ regardless of whether they are
located in the Eastern or Western Interconnection. The UMZ is a single
SPP rate zone that includes Western-UGP's transmission facilities
located in the Eastern and Western Interconnections. Therefore, one
formula rate schedule WAUGP-ATRR will calculate the Annual Transmission
Revenue Requirement (ATRR) for all of Western-UGP's eligible
transmission facilities that are transferred to the functional control
of SPP and used by SPP to provide transmission service under the SPP
Tariff. For 2015, the Western-UGP estimated ATRR is $123,816,622 based
on facilities that Western-UGP has proposed to be included per
Attachment AI of SPP's
[[Page 44340]]
Tariff and feedback from SPP regarding Attachment AI qualifying
criteria. The list of Western-UGP facilities proposed for inclusion is
available on the Web site at www.wapa.gov/ugp/rates/default.htm.
Western-UGP has also developed a formula rate schedule WAUGP-AS1
for Scheduling, System Control, and Dispatch Service (SSCD), which will
include Western-UGP's costs associated with providing this service in
the UMZ, and formula rate schedules to calculate charges for ancillary
services associated with WAUW. These ancillary services formula rate
schedules are necessary because the Western-UGP transmission facilities
in WAUW are not included within SPP's Integrated Marketplace, and SPP's
standard market-based ancillary services will not be available. As a
result, when SPP provides transmission service in the WAUW, the
associated ancillary services will need to be provided by Western-UGP
as the Balancing Authority, if it is capable of doing so. These
ancillary service formula rate schedules include WAUW-AS3 for
Regulation and Frequency Response Service, WAUW-AS4 for Energy
Imbalance Service, WAUW-AS5 for Operating Reserve--Spinning Reserve
Service, WAUW-AS6 for Operating Reserve--Supplemental Reserve Service
and WAUW-AS7 for Generator Imbalance Service.
The provisional transmission and ancillary service rate schedules
contain formula-based rates that will be recalculated annually and
submitted to SPP to provide and bill for services under the SPP Tariff.
The formulas in these rate schedules use estimates for the upcoming
year to calculate revenue requirements and have a true-up to actual
costs in a subsequent year.
By Delegation Order No. 00-037.00A, effective October 25, 2013, the
Secretary of Energy delegated: (1) The authority to develop power and
transmission rates to Western'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 FERC. Existing Department of Energy procedures
for public participation in power rate adjustments (10 CFR part 903)
were published on September 18, 1985.
Under Delegation Order Nos. 00-037.00A and 00-001.00E, and in
compliance with 10 CFR part 903 and 18 CFR part 300, I hereby confirm,
approve, and place Rate Order No. WAPA-170 and the proposed formula
rates for transmission and ancillary services into effect on an interim
basis. The new Rate Schedules WAUGP-ATRR, WAUGP-AS1, WAUW-AS3, WAUW-
AS4, WAUW-AS5, WAUW-AS6 and WAUW-AS7 will be submitted promptly to FERC
for confirmation and approval on a final basis.
Dated: July 17, 2015.
Elizabeth Sherwood-Randall,
Deputy Secretary of Energy.
DEPARTMENT OF ENERGY
DEPUTY SECRETARY
In the matter of: Western Area Power Administration, Rate
Adjustment for the Pick-Sloan, Missouri Basin Program--Eastern Division
Rate Order No. WAPA-170
ORDER CONFIRMING, APPROVING, AND PLACING THE PICK-SLOAN MISSOURI BASIN
PROGRAM--EASTERN DIVISION TRANSMISSION AND ANCILLARY SERVICES FORMULA
RATES INTO EFFECT ON AN INTERIM BASIS
These transmission and ancillary services formula rates are
established in accordance with section 302 of the Department of Energy
(DOE) Organization Act (42 U.S.C. 7152). This Act transferred to and
vested in the Secretary of Energy the power marketing functions of the
Secretary of the Department of the Interior and the Bureau of
Reclamation under the Reclamation Act of 1902 (ch. 1093, 32 Stat. 388),
as amended and supplemented by subsequent laws, particularly section
9(c) of the Reclamation Project Act of 1939 (43 U.S.C. 485h(c)), and
other Acts that specifically apply to the project involved.
By Delegation Order No. 00-037.00A, effective October 25, 2013, the
Secretary of Energy delegated: (1) the authority to develop power and
transmission rates to Western'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
(FERC). Existing DOE procedures for public participation in power rate
adjustments (10 CFR part 903) were published on September 18, 1985.
Acronyms and Definitions
As used in this Rate Order, the following acronyms and definitions
apply:
$/MW-year: Annual charge for capacity (i.e., $ per megawatt (MW) per
year).
A&GE: Administrative and General Expense.
ATRR: Annual Transmission Revenue Requirement.
Balancing Authority (BA): The responsible entity that integrates
resource plans ahead of time, maintains load-interchange-generation
balance within a designated area, and supports interconnection
frequency in real-time.
Balancing Authority Area: An electric system or systems, bounded by
interconnection metering and telemetry, capable of controlling
generation to maintain its interchange schedule with other Balancing
Authorities and contributing to frequency regulation of the
Interconnection.
Basin Electric: Basin Electric Power Cooperative.
Capacity: The electric capability of a generator, transformer,
transmission circuit, or other equipment, expressed in kilowatts
(kW).
Corps: U.S. Army Corps of Engineers.
DOE: United States Department of Energy.
Eastern Interconnection: A major alternating-current electrical grid
in North America. The Eastern Interconnection reaches from Central
Canada eastward to the Atlantic coast (excluding Quebec), south to
Florida, and back west to the foot of the Rockies (excluding most of
Texas).
Energy: Power produced or delivered over a period of time. Measured
in terms of the work capacity over a period of time. It is expressed
in kilowatt hours.
Energy Imbalance Service: A service that provides energy correction
for any hourly mismatch between a Southwest Power Pool Transmission
Customer's energy supply and the demand served.
FERC: Federal Energy Regulatory Commission.
FRN: Federal Register notice.
Generator Imbalance Service: A service that provides energy
correction for any hourly mismatch between generator output and a
delivery schedule from that generator to another Balancing Authority
Area or to a load within the same Balancing Authority Area.
Heartland: Heartland Consumers Power District.
Integrated System (IS): Transmission system combining assets of
Western-UGP, Basin Electric, and Heartland prior to Western-UGP's
integration into SPP.
Intermittent Resource: An electric generator that is not
dispatchable and cannot store its fuel source and, therefore, cannot
respond to changes in demand or respond to transmission security
restraints.
Kilowatt (kW): Electrical unit of capacity that equals 1,000 watts.
Kilowatt hour (kWh): Electrical unit of energy that equals 1,000
watts in 1 hour.
Load: The amount of electric power or energy delivered or required
at any specified point(s) on a system.
Megawatt (MW): The electrical unit of capacity that equals 1 million
watts or 1,000 kilowatts.
NEPA: National Environmental Policy Act of 1969 (42 U.S.C. 4321-
4347).
Open Access Same-Time Information System (OASIS): An electronic
posting system that
[[Page 44341]]
a service provider maintains for transmission access data that
allows all customers to view information simultaneously.
O&M: Operation and Maintenance.
P-SMBP: Pick-Sloan Missouri Basin Program.
P-SMBP ED: Pick-Sloan Missouri Basin Program--Eastern Division.
Provisional Rate: A rate that has been confirmed, approved, and
placed into effect on an interim basis by the Deputy Secretary of
Energy.
Rate Brochure: A document prepared for public distribution
explaining the rationale and background for the rate proposal
contained in this rate order.
Regulation and Frequency Response Service: A service that provides
for following the moment-to-moment variations in the demand or
supply in a Balancing Authority Area and maintaining scheduled
interconnection frequency.
Reserve Services: Spinning Reserve Service and Supplemental Reserve
Service.
Revenue Requirement: The revenue required to recover annual expenses
(such as O&M, purchase power, transmission service expenses,
interest expense, and deferred expenses) and repay Federal
investments, and other assigned costs.
Schedule: An agreed-upon transaction size (megawatts), beginning and
ending ramp times and rate, and type of service required for
delivery and receipt of power between the contracting parties and
the Balancing Authority(ies) involved in the transaction.
Scheduling, System Control and Dispatch Service: A service that
provides for (a) scheduling, (b) confirming and implementing an
interchange schedule with other balancing authorities, including
intermediary balancing authorities providing transmission service,
and (c) ensuring operational security during the interchange
transaction.
Southwest Power Pool, Inc. (SPP): A Regional Transmission
Organization.
SPP's Integrated Marketplace (Integrated Marketplace): The SPP
Energy and Operating Reserve Markets and the Transmission Congestion
Rights Markets.
Spinning Reserve Service: Generation capacity needed to serve load
immediately in the event of a system contingency. Spinning Reserve
Service may be provided by generating units that are on-line and
loaded at less than maximum output.
Supplemental Reserve Service: Generation capacity needed to serve
load in the event of a system contingency; however, it is not
available immediately to serve load but rather within a short period
of time. Supplemental Reserve Service may be provided by generation
units that are on-line but unloaded, by quick start generation or by
interruptible load.
System: An interconnected combination of generation, transmission
and/or distribution components comprising an electric utility,
independent power producer(s) (IPP), or group of utilities and
IPP(s).
SPP Tariff: Southwest Power Pool, Open Access Transmission Tariff,
approved by FERC.
SPP Transmission Customer: Any eligible customer (or its designated
agent) that receives transmission service under the SPP Tariff.
Transmission Provider: Any utility that owns, operates, or controls
facilities used to transmit electric energy in interstate commerce.
SPP is the Transmission Provider under the SPP Tariff.
Transmission System: The facilities owned, controlled, or operated
by the transmission owner or Transmission Provider that are used by
the Transmission Provider to provide transmission service.
Upper Missouri Zone (UMZ): Multi-owner zone in SPP in which Western-
UGP will participate as a Transmission Owner; also defined as Zone
19 under the SPP Tariff. The UMZ includes transmission facilities
located in both the Eastern and Western Interconnections.
WAUE: Western Area Power Administration, Upper Great Plains East
Balancing Authority Area. WAUE is located in the Eastern
Interconnection, and will cease to exist when it is merged into the
SPP Balancing Authority Area.
WAUW: Western Area Power Administration, Upper Great Plains West
Balancing Authority Area. WAUW is located in the Western
Interconnection.
Watertown Operations Office: Western Area Power Administration,
Upper Great Plains Region, Operations Office, 1330 41st Street SE.,
Watertown, South Dakota.
Western: United States Department of Energy, Western Area Power
Administration.
Western Interconnection: A major alternating current power grid in
North America. The Western Interconnection stretches from Western
Canada south to Baja California in Mexico, reaching eastward over
the Rockies to the Great Plains. Western Interconnection is
comprised of the states of Washington, Oregon, California, Idaho,
Nevada, Utah, Arizona, Colorado, Wyoming, portions of Montana, South
Dakota, Nebraska, New Mexico and Texas in the United States, the
Provinces of British Columbia and Alberta in Canada, and a portion
of the Comisi[oacute]n Federal de Electricidad's system in Baja
California in Mexico.
Western-UGP: United States Department of Energy, Western Area Power
Administration, Upper Great Plains Region. Western-UGP is the
definition for Western's Upper Great Plains Region in the SPP
Tariff.
Effective Date
Rate Schedules WAUGP-ATRR, WAUGP-AS1, WAUW-AS3, WAUW-AS4, WAUW-AS5,
WAUW-AS6, and WAUW-AS7 are effective on the first day of the first full
billing period beginning on or after October 1, 2015, upon transfer of
functional control of eligible Western-UGP facilities to SPP, and will
remain in effect until September 30, 2020, pending approval by FERC on
a final basis or until superseded. Notification of the transfer of
functional control and the effective date of the formula rates will be
published in the Federal Register.
Public Notice and Comment
Western followed the Procedures for Public Participation in Power
and Transmission Rate Adjustments and Extensions, 10 CFR part 903, in
developing these formula rates. The steps Western took to involve
interested parties in the rate process were:
1. A FRN was published on November 3, 2014, (79 FR 65205)
announcing the proposed rates for transmission service, initiating a
public consultation and comment period, and setting forth the dates and
locations of public information and public comment forums.
2. On November 3, 2014, Western notified all P-SMBP--ED customers
and interested parties of the proposed rates and provided a copy of the
published FRN.
3. On November 19, 2014, Western held a public information forum in
Omaha, Nebraska; and on November 20, 2014, Western held a public
information forum in Fargo, North Dakota. Western explained the
proposed rates, answered questions, and provided Rate Brochures and
presentation handouts.
4. On December 17, 2014, Western held a public comment forum in
Omaha, Nebraska; and on December 18, 2014, Western held a public
comment forum in Fargo, North Dakota. This provided the public with
opportunity to comment for the record. No individuals commented at
either of these forums.
5. On December 19, 2014, Western notified all P-SMBP--ED customers
and interested parties of an updated Rate Brochure that was available
on the Web site at www.wapa.gov/ugp/rates/default.htm.
6. Western did not receive any oral or written comments during the
consultation and comment period.
7. Western provided a Web site for information about this rate
adjustment process. The Web site is located at www.wapa.gov/ugp/rates/default.htm.
Comments
No oral or written comments were received during the consultation
and comment period.
Project Description
The initial stages of the Missouri River Basin Project were
authorized by section 9 of the Flood Control Act of 1944 (58 Stat. 887,
890, Pub. L. 78-534). It was later renamed the P-SMBP. The P-SMBP is a
comprehensive program with the following authorized functions: Flood
control, navigation improvement, irrigation, municipal and industrial
water development, and hydroelectric production for the entire Missouri
River
[[Page 44342]]
Basin. Multipurpose projects have been developed on the Missouri River
and its tributaries in Colorado, Montana, Nebraska, North Dakota, South
Dakota, and Wyoming.
Western-UGP markets significant quantities of Federally-generated
hydroelectric power from the P-SMBP--ED. This power is generated by
eight power plants located in Montana, North Dakota, and South Dakota.
Western-UGP owns and operates from its Watertown Operations Office an
extensive system of high-voltage transmission facilities that Western-
UGP uses to market approximately 2,400 MW of capacity from Federal
projects within the Missouri River Basin to customers located within
the P-SMBP--ED. This marketing area includes Montana, east of the
Continental Divide, all of North and South Dakota, eastern Nebraska,
western Iowa, and western Minnesota.
Historically, the Western-UGP transmission facilities in the P-
SMBP--ED have been integrated with transmission facilities of Basin
Electric and Heartland to provide transmission services over the IS.
The IS included approximately 9,848 miles of transmission lines, with
transmission and ancillary services provided under Western's Open
Access Transmission Tariff, and Western-UGP serving as the IS
administrator. The IS included transmission facilities located in both
the Eastern and Western Interconnections separated by the Miles City
direct current (DC) tie and the Fort Peck Power Plant substation.
Western-UGP also has operated two Balancing Authority Areas within the
IS--WAUW and WAUE--that were also separated by the Miles City DC tie
and the Fort Peck Power Plant substation. Western-UGP's historic rate
schedules for the IS consisted of separate rates for firm and non-firm
transmission service and ancillary services rates for the transmission
facilities in the P-SMBP--ED.
On November 1, 2013, Western published a Notice of Recommendation
to Pursue Regional Transmission Organization Membership (78 FR 65641).
Subsequently, Western-UGP has signed a Membership Agreement with SPP.
Upon achieving final FERC approval of membership within SPP, Western-
UGP will transfer functional control of all eligible Western-UGP P-
SMBP--ED facilities in the Eastern and Western Interconnections, which
include nearly 100 substations and 7,800 miles of transmission lines,
to SPP. Subsequently, P-SMBP--ED transmission and ancillary services
will no longer be available on the IS under Western's Open Access
Transmission Tariff, but instead will be available from SPP as the
Transmission Provider under SPP's Tariff.
P-SMBP--ED Transmission and Ancillary Services Rate Study
Existing IS Rate Schedules UGP-NT1, UGP-FPT1, UGP-NFPT1, UGP-AS1,
UGP-AS2, UGP-AS3, UGP-AS4, UGP-AS5, UGP-AS6, UGP-AS7, and UGP-TSP1 were
approved under Rate Order Nos. WAPA-144 and WAPA-148 for a 5-year
period beginning on January 1, 2010, and ending December 31, 2014.
These rates were extended through December 31, 2016, under Rate Order
No. WAPA-168. When Western-UGP transfers functional control of its
eligible P-SMBP--ED facilities to SPP, the existing Rate Schedules UGP-
NT1, UGP-FPT1, UGP-NFPT1, UGP-AS1, UGP-AS2, UGP-AS3, UGP-AS4, UGP-AS5,
UGP-AS6, UGP-AS7, and UGP-TSP1 will not be applicable.
When Western-UGP transfers functional control of P-SMBP--ED
eligible transmission facilities located in the Upper Missouri Zone
(UMZ or Zone 19) to SPP, Western-UGP will merge its WAUE in the Eastern
Interconnection into SPP's Balancing Authority Area and place its
transmission system located in the Eastern Interconnection into SPP's
Integrated Marketplace. Western-UGP will retain operation of its WAUW
in the Western Interconnection as the Balancing Authority, and will not
place its transmission system located in the Western Interconnection
into SPP's Integrated Marketplace. Even though SPP's Integrated
Marketplace will not extend into the Western Interconnection, Western-
UGP's eligible transmission facilities in the Western Interconnection
will be included under SPP's Tariff to allow SPP to provide
transmission service over all of Western-UGP's eligible transmission
facilities in the UMZ regardless of whether they are located in the
Eastern or Western Interconnection. The UMZ is a single SPP rate zone
that includes Western-UGP's transmission facilities located in the
Eastern and Western Interconnections. Therefore, one formula rate
schedule, WAUGP-ATRR, will calculate the Annual Transmission Revenue
Requirement (ATRR) for all of Western-UGP's eligible transmission
facilities that are transferred to the functional control of SPP and
used by SPP to calculate charges for transmission service under the SPP
Tariff. Western-UGP will utilize a formula template to calculate its
ATRR.
Western-UGP has also developed formula rate schedule WAUGP-AS1 for
Scheduling, System Control, and Dispatch Service (SSCD), which will
include Western-UGP's costs associated with providing this service in
the UMZ, and formula rate schedules to calculate charges for ancillary
services associated with its WAUW. These ancillary services formula
rate schedules are necessary because the Western-UGP transmission
facilities in its WAUW are not included within SPP's Integrated
Marketplace, and SPP's standard market-based ancillary services will
not be available. Therefore, when SPP provides transmission service in
the WAUW, the associated ancillary services will need to be provided by
Western-UGP as the Balancing Authority. These ancillary service formula
rate schedules include WAUW-AS3 for Regulation and Frequency Response
Service, WAUW-AS4 for Energy Imbalance Service, WAUW-AS5 for Operating
Reserve--Spinning Reserve Service, WAUW-AS6 for Operating Reserve--
Supplemental Reserve Service and WAUW-AS7 for Generator Imbalance
Service.
The provisional formula rates for use under SPP's Tariff include
Transmission and Ancillary Service Rates as described in Rate Schedules
WAUGP-ATRR, WAUGP-AS1, WAUW-AS3, WAUW-AS4, WAUW-AS5, WAUW-AS6, and
WAUW-AS7. These rates will be submitted to SPP as the Transmission
Provider in order for SPP to bill SPP Transmission Customers for
transmission and ancillary services that SPP provides over Western-
UGP's transmission facilities under the SPP Tariff. The costs under the
formulas in these rate schedules will be recalculated annually and
those utilizing estimates for the upcoming year to calculate revenue
requirements will include a true-up to actual costs in a subsequent
year. The annual revenue requirements include O&M expenses, A&GE,
interest expense, and depreciation expense and are offset by
appropriate estimated revenue credits. Annual audited financial data
will be used to true-up the cost estimates and credit estimates used to
project these forward-looking rates to the actual expenses and credits.
Western-UGP will true-up the estimates it used in the calculation of
its calendar year 2013, 2014, and 2015 IS rate charges that were in
place prior to joining SPP when calculating these true-up rates. This
IS true-up will only include Western-UGP's portion of the IS revenue
requirement, and these provisional formula rates for use under the SPP
Tariff will only include Western-UGP's IS true-up, if applicable. The
IS true-up, if any, associated with the other IS owners' portion of the
IS revenue requirement is outside the
[[Page 44343]]
scope of this rate process, and would be addressed by other IS owners.
Western prepared Transmission and Ancillary Services rates studies
to ensure that the formula rates are based on the cost of service of
the Western-UGP eligible transmission facilities that will be
transferred to the functional control of SPP and the associated
operation of the WAUW. These studies included all applicable expenses
and associated offsetting revenues.
Provisional Rates
The revenue requirements for 2015 for the individual services are
outlined in the following table.
Provisional Western-UGP Transmission and Ancillary Services Formula Rates
----------------------------------------------------------------------------------------------------------------
Provisional 2015 annual
Service Rate schedule No. revenue requirement \1\
----------------------------------------------------------------------------------------------------------------
Transmission................................... WAUGP-ATRR............................ \2\ $123,816,622
Scheduling, System Control, and Dispatch....... WAUGP-AS1............................. \2\ 11,384,293
Regulation and Frequency Response.............. WAUW-AS3.............................. 294,308
Operating Reserves--Spinning and Supplemental WAUW-AS5 and WAUW-AS6................. 232,291
Reserves.
Energy Imbalance............................... WAUW-AS4.............................. N/A
Generator Imbalance............................ WAUW-AS7.............................. N/A
----------------------------------------------------------------------------------------------------------------
\1\ The new provisional formula rates and rate schedules will take effect on the first day of the first full
billing period beginning on or after October 1, 2015, upon transfer of functional control of eligible Western-
UGP facilities to SPP.
\2\ ATRR estimate based upon facilities that Western-UGP has proposed to be included per Attachment AI of SPP's
Tariff and feedback from SPP regarding Attachment AI qualifying criteria. The list of Western-UGP facilities
proposed for inclusion is available on the Web site at www.wapa.gov/ugp/rates/default.htm.
Certification of Rates
Western's Administrator certified that the provisional formula
rates for Transmission and Ancillary Services are the lowest possible
rates consistent with sound business principles. The provisional
formula rates were developed following administrative policies and
applicable laws.
Transmission Rate Discussion
Formula Rate for Transmission Service
Western-UGP will recover its transmission system related expenses
and investments on a forward-looking basis by using projections to
estimate transmission costs for the upcoming year, with a true-up in a
subsequent year. For transmission service provided by SPP as the
Transmission Provider under SPP's Tariff, Western-UGP will provide its
ATRR to SPP for determination of charges. SPP will use zonal and
regional load and other applicable information, including additional
annual transmission revenue requirements from other transmission owners
with transmission facilities in the multi-owner UMZ to determine the
applicable charges for SPP transmission service in the UMZ. The ATRR is
derived by annualizing Western-UGP's transmission investment and adding
transmission-related annual costs, which consist of O&M, interest
expense, and depreciation. Western-UGP cost data will be submitted to
SPP in standard revenue requirement templates. The annual costs are
reduced by revenue credits received by Western-UGP under the SPP
Tariff.
Data used in the annual recalculation of the costs under the
formula for WAUGP-ATRR effective on January 1 each year will be made
available to SPP and interested parties for review and comment on or
shortly after September 1 each preceding year. Data used and the
revenue requirement resulting from using these formulas will be posted
on the applicable SPP Web site and/or SPP OASIS. Western-UGP will
provide interested parties the opportunity to discuss and comment on
the recalculated WAUGP-ATRR on or before October 31, 2015, and October
31 of subsequent years. This procedure will ensure that interested
parties are aware of the data used to calculate the WAUGP-ATRR. This
will also provide interested parties the opportunity to comment before
the costs are collected through the formula rate.
Formula Rate for Scheduling, System Control, and Dispatch Service
Western-UGP will use a formula-based rate methodology to calculate
its annual revenue requirement for SSCD on a forward-looking basis by
using projections to estimate applicable transmission-related costs
associated with SSCD for the upcoming year, with a true-up in a
subsequent year, to be provided to SPP for inclusion in Schedule 1
under the SPP Tariff. A single SSCD rate applies for Western-UGP's
costs associated with providing SSCD in both the Eastern and Western
Interconnections under the SPP Tariff. Western-UGP's annual revenue
requirement for SSCD will be used by SPP to determine the regional SPP
Schedule 1 rate for SPP through and out transactions, and also to
determine the zonal SPP Schedule 1 rate for the UMZ. SSCD is required
to schedule the movement of power through, out of, within, or into the
SPP Balancing Authority Area and/or the WAUW. Therefore, Western's SSCD
will also be charged by SPP for transmission service within the Western
Interconnection. Western-UGP's annual revenue requirement for SSCD is
derived by calculating Western-UGP's applicable transmission-related
annual costs associated with SSCD service, including O&M, interest
expense, A&GE, and depreciation.
Western-UGP will true-up the cost estimates with Western-UGP's
actual costs. Revenue collected in excess of Western-UGP's actual net
revenue requirement will be returned through a credit in a subsequent
year. Actual revenues that are less than the net revenue requirement
would likewise be recovered in a subsequent year. The true-up procedure
will ensure that Western-UGP will recover no more and no less than the
actual costs for the year.
Formula Rate for Regulation and Frequency Response Service
Western-UGP will use a formula-based rate methodology for
Regulation and Frequency Response Service for the WAUW as described
below. Given the SPP Integrated Marketplace will not be extended into
the Western Interconnection, Western-UGP as the BA will need to provide
Regulation and Frequency Response Service in the WAUW, which will be
billed by SPP, as the Transmission Provider, to a SPP Transmission
Customer along with the associated transmission service provided by SPP
under the SPP Tariff. Regulation and Frequency Response Service in the
WAUW is provided primarily by Corps facilities. The Corps'
[[Page 44344]]
generation calculated fixed charge rate (in percent) is applied to the
net plant investment of the Corps generation to derive an annual Corps
generation cost. This cost is divided by the capacity at the plants to
derive a dollar-per-megawatt amount for Corps installed capacity ($/MW-
year). This dollar-per-megawatt amount is applied to the capacity of
Corps generation reserved for Regulation and Frequency Response Service
in the WAUW, producing the annual Corps generation cost for this
service. Western-UGP's annual revenue requirement for Regulation and
Frequency Response Service is then determined by taking the annual
Corps generation cost to provide this service and adding costs
associated with the purchase of power resources to provide Regulation
and Frequency Response Service to support intermittent renewable
resources as described below. Western-UGP's annual revenue requirement
will be recovered under the SPP Tariff under Rate Schedule WAUW-AS3.
Western-UGP will true-up the cost estimates with Western-UGP's
actual costs. Revenue collected in excess of Western-UGP's actual net
revenue requirement will be returned through a credit in a subsequent
year. Actual revenues that are less than the net revenue requirement
would likewise be recovered in a subsequent year. The true-up procedure
will ensure that Western-UGP will recover no more and no less than the
actual costs for the year.
Western-UGP supports the installation of renewable sources of
energy but recognizes that certain operational constraints exist in
managing the significant fluctuations that are a normal part of their
operation. Western-UGP has marketed the maximum practical amount of
power from each of its projects, leaving little or no flexibility for
provision of additional power services. Consequently, provided that
Western-UGP is able to purchase additional power resources delivered
into WAUW to provide Regulation and Frequency Response Service to
intermittent renewable generation resources serving load within the
WAUW, costs for these regulation resources will become part of Western-
UGP's Regulation and Frequency Response Service. However, Western-UGP
will not regulate for the difference between the output of an
Intermittent Resource located within the WAUW and a delivery schedule
from that generator serving load located outside of the WAUW.
Intermittent Resources serving load outside the WAUW will be required
to be pseudo-tied or dynamically scheduled to another Balancing
Authority Area.
Formula Rate for Energy Imbalance Service
Energy Imbalance Service is provided when a difference occurs
between the scheduled and the actual delivery of energy to a load
located within the WAUW over a single hour. Given the SPP Integrated
Marketplace will not be extended into the Western Interconnection,
Western-UGP as the BA will need to provide Energy Imbalance Service in
the WAUW, which will be billed by SPP, as the Transmission Provider, to
a SPP Transmission Customer along with the associated transmission
service provided by SPP under the SPP Tariff. Western-UGP will offer
this service, if it is capable of doing so, from its own resources or
from resources available to it when transmission service is provided by
SPP and used to serve load within the WAUW. The SPP Transmission
Customer must either purchase this service from SPP or make alternative
comparable arrangements pursuant to the SPP Tariff to satisfy its
Energy Imbalance Service obligation. A SPP Transmission Customer may
incur a charge for either hourly energy imbalances under this Rate
Schedule, WAUW-AS4, or hourly generator imbalances under Rate Schedule
WAUW-AS7 for imbalances occurring during the same hour, but not both,
unless the imbalances aggravate rather than offset each other.
The rate for service within the WAUW will be based on deviation
bands as follows: (i) deviations within 1.5 percent (with
a minimum of 2 MW) of the scheduled transaction to be applied hourly to
any energy imbalance that occurs as a result of the SPP Transmission
Customer's scheduled transaction(s) will be netted on a monthly basis
and settled financially, at the end of the month, at 100 percent of the
average incremental cost for the month; (ii) deviations greater than
1.5 percent up to 7.5 percent (or greater than 2 MW up to
10 MW) of the scheduled transaction(s) to be applied hourly to any
energy imbalance that occurs as a result of the SPP Transmission
Customer's scheduled transaction(s) will be settled financially, at the
end of each month, at 110 percent of incremental cost when energy taken
by the SPP Transmission Customer in a schedule hour is greater than the
energy scheduled or 90 percent of incremental cost when energy taken by
a SPP Transmission Customer in a schedule hour is less than the
scheduled amount; and (iii) deviations greater than 7.5
percent (or 10 MW) of the scheduled transaction to be applied hourly to
any energy imbalance that occurs as a result of the SPP Transmission
Customer's scheduled transaction(s) will be settled financially, at the
end of each month, at 125 percent of the highest incremental cost that
occurs that day for energy taken by the SPP Transmission Customer in a
schedule hour that is greater than the energy scheduled, or 75 percent
of the lowest incremental cost that occurs that day when energy taken
by a SPP Transmission Customer is less than the scheduled amount.
Western-UGP's incremental cost will be based on a representative
hourly energy index or combination of indexes. The index to be used
will be posted on the applicable SPP Web site and/or SPP's OASIS at
least 30 days before use for determining the Western-UGP incremental
cost and will not be changed more often than once per year unless
Western-UGP determines that the existing index is no longer a reliable
price index.
Formula Rates for Operating Reserves Service--Spinning and Supplemental
Given the SPP Integrated Marketplace will not be extended into the
Western Interconnection, Western-UGP as the BA will need to provide
Operating Reserve--Spinning Reserve Service and Operating Reserve--
Supplemental Reserve Service (together referred to as Reserve Services)
in the WAUW, which will be billed by SPP, as the Transmission Provider,
to a SPP Transmission Customer along with the associated transmission
service provided by SPP under the SPP Tariff. Western-UGP will offer
these services under the formula-based rate methodologies for Spinning
Reserve Service and Supplemental Reserve Service and will use the
reserve requirement of the reserve sharing program under which Western-
UGP is currently a member for its transmission system in the Western
Interconnection.
Western-UGP's annual cost of generation for Reserve Services is
determined by multiplying the Corps' generation fixed charge rate (in
percent) by the net plant investment of the Corps generation producing
an annual Corps generation cost. This cost is divided by the capacity
at the plants to derive a dollar-per-megawatt amount for Corps
installed capacity ($/MW-year). This dollar-per-megawatt amount is then
applied to the capacity of Corps generation reserved for Reserve
Services in the WAUW, producing the annual Corps generation cost to
provide this service. Western-UGP's annual revenue requirement for
Reserve Services is
[[Page 44345]]
derived by taking the annual Corps generation cost to provide this
service and adding costs associated with the current reserve sharing
program. Western-UGP's annual revenue requirement will be recovered
under the SPP Tariff under Rate Schedules WAUW-AS5 and WAUW-AS6.
Western-UGP will true-up the cost estimates with Western-UGP's
actual costs. Revenue collected in excess of Western-UGP's actual net
revenue requirement will be returned through a credit in a subsequent
year. Actual revenues that are less than the net revenue requirement
would likewise be recovered in a subsequent year. The true-up procedure
will ensure that Western-UGP will recover no more and no less than the
actual costs for the year.
Western-UGP has no long-term reserves available beyond its own
internal requirements. At SPP's request as the Transmission Provider,
and if it is capable of doing so, Western-UGP will acquire needed
resources and pass the costs, plus an amount for administration, on to
SPP for the requesting SPP Transmission Customer. The SPP Transmission
Customer is responsible to provide the transmission to deliver these
reserves. In the event that Reserve Services are called upon for
emergency use, the SPP Transmission Customer will be assessed a charge
for energy used at the prevailing market energy rate in the WAUW. The
prevailing market energy rate will be based on a representative hourly
energy index or combination of indexes. The index to be used will be
posted on the applicable SPP Web site and/or SPP's OASIS at least 30
days prior to use for determining the prevailing market energy rate and
will not be changed more often than once per year unless Western-UGP
determines that the existing index is no longer a reliable price index.
Formula Rate for Generator Imbalance Service
Generator Imbalance Service is provided when a difference occurs
between the output of a generator located within the WAUW and a
delivery schedule from that generator to: (1) another Balancing
Authority Area or (2) a load within the WAUW over a single hour. Given
the SPP Integrated Marketplace will not be extended into the Western
Interconnection, Western-UGP as the BA must provide Generator Imbalance
Service in the WAUW, which will be billed by SPP, as the Transmission
Provider, to a SPP Transmission Customer along with the associated
transmission service provided by SPP under the SPP Tariff. Western-UGP
will offer this service, if it is capable of doing so, from its own
resources or from resources available to it, when SPP transmission
service is used to deliver energy from a generator located within the
WAUW. The SPP Transmission Customer must either purchase this service
from SPP, or make alternative comparable arrangements pursuant to the
SPP Tariff, to satisfy its Generator Imbalance Service obligation. A
SPP Transmission Customer may incur a charge for either hourly
generator imbalances under this Rate Schedule, WAUW-AS7, or hourly
energy imbalances under Rate Schedule WAUW-AS4 for imbalances occurring
during the same hour, but not both, unless the imbalances aggravate
rather than offset each other.
Western-UGP supports the installation of renewable sources of
energy but recognizes that certain operational constraints exist in
managing the significant fluctuations that are a normal part of their
operation. Western-UGP has marketed the maximum practical amount of
power from each of its projects, leaving little or no flexibility for
provision of additional power services. Consequently, Western-UGP will
not regulate for the difference between the output of an Intermittent
Resource located within the WAUW and a delivery schedule from that
generator serving load located outside of the WAUW. Intermittent
Resources serving load outside the WAUW will be required to be pseudo-
tied or dynamically scheduled to another Balancing Authority Area.
The rate for service within the WAUW will be based on deviation
bands as follows: (i) deviations within 1.5 percent (with
a minimum of 2 MW) of the scheduled transaction to be applied hourly to
any generator imbalance that occurs as a result of the SPP Transmission
Customer's scheduled transaction(s) will be netted on a monthly basis
and settled financially, at the end of the month, at 100 percent of the
average incremental cost; (ii) deviations greater than 1.5
percent up to 7.5 percent (or greater than 2 MW up to 10 MW) of the
scheduled transaction to be applied hourly to any generator imbalance
that occurs as a result of the SPP Transmission Customer's scheduled
transaction(s) will be settled financially, at the end of each month.
When energy delivered in a schedule hour from the generation resource
is less than the energy scheduled, the charge is 110 percent of
incremental cost. When energy delivered from the generation resource is
greater than the scheduled amount, the credit is 90 percent of the
incremental cost; and (iii) deviations greater than 7.5
percent (or 10 MW) of the scheduled transaction to be applied hourly to
any generator imbalance that occurs as a result of the SPP Transmission
Customer's scheduled transaction(s) will be settled at 125 percent of
Western-UGP's highest incremental cost for the day when energy
delivered in a schedule hour is less than the energy scheduled or 75
percent of Western-UGP's lowest daily incremental cost when energy
delivered from the generation resource is greater than the scheduled
amount. An Intermittent Resource will be exempt from this deviation
band and will pay the deviation band charges for all deviations greater
than the larger of 1.5 percent or 2 MW.
Deviations from scheduled transactions in order to respond to
directives by SPP as the Transmission Provider, a Balancing Authority,
or a reliability coordinator shall not be subject to the deviation
bands identified above and, instead, shall be settled financially at
the end of the month at 100 percent of incremental cost. Such
directives may include instructions to correct frequency decay, respond
to a reserve sharing event, or change output to relieve congestion.
Western-UGP's incremental cost will be based on a representative
hourly energy index or combination of indexes. The index to be used
will be posted on the applicable SPP Web site and/or SPP's OASIS at
least 30 days before use for determining the Western-UGP incremental
cost and will not be changed more often than once per year unless
Western-UGP determines that the existing index is no longer a reliable
price index.
Availability of Information
All documents related to this action are available for inspection
and copying at the Upper Great Plains Regional Office, located at 2900
4th Avenue North, Billings, Montana. These documents are also available
on Western's Web site located at https://www.wapa.gov/ugp/rates.
RATEMAKING PROCEDURE REQUIREMENTS
Environmental Compliance
In compliance with the National Environmental Policy Act 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), Western has
determined that this action is
[[Page 44346]]
categorically excluded from preparing an environmental assessment or an
environmental impact statement. A copy of the categorical exclusion
determination is available on Western-UGP's Web site located at https://www.wapa.gov/ugp/Environment.
Determination Under Executive Order 12866
Western has an exemption from centralized regulatory review under
Executive Order 12866; accordingly, no clearance of this notice by the
Office of Management and Budget is required.
Submission to the Federal Energy Regulatory Commission
The formula rates herein confirmed, approved, and placed into
effect on an interim basis, together with supporting documents, will be
submitted to FERC for confirmation and final approval.
ORDER
In view of the foregoing and under the authority delegated to me, I
confirm and approve on an interim basis, effective on or after October
1, 2015, upon transfer of functional control of eligible Western-UGP
facilities to SPP, formula rates for Transmission and Ancillary
Services under Rate Schedules WAUGP-ATRR, WAUGP-AS1, WAUW-AS3, WAUW-
AS4, WAUW-AS5, WAUW-AS6 and WAUW-AS7 for the Pick-Sloan Missouri Basin
Program--Eastern Division Project of the Western Area Power
Administration. Notification of the transfer of functional control and
the effective date of the formula rates will be published in the
Federal Register. The rate schedules shall remain in effect on an
interim basis, pending the Federal Energy Regulatory Commission's
confirmation and approval of the rate schedules or substitute rates on
a final basis through September 30, 2020, or until the rate schedules
are superseded.
Dated: July 17, 2015
Elizabeth Sherwood-Randall
Deputy Secretary of Energy
Rate Schedule WAUGP-ATRR
October 1, 2015
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
UPPER GREAT PLAINS REGION PICK-SLOAN MISSOURI BASIN PROGRAM--EASTERN
DIVISION
ANNUAL TRANSMISSION REVENUE REQUIREMENT FOR TRANSMISSION SERVICE
Effective
On the first full day of the first full billing period beginning on
or after October 1, 2015, upon transfer of functional control of
eligible Western-UGP facilities to SPP, and shall remain in effect
through September 30, 2020, or until superseded by another rate
schedule, whichever occurs earlier. Notification of the transfer of
functional control and the effective date of the formula rates will be
published in the Federal Register.
Applicable
Western Area Power Administration-Upper Great Plains Region's
(Western-UGP) formula based Annual Transmission Revenue Requirement
(ATRR) for its eligible transmission related facilities included under
the Southwest Power Pool, Inc. (SPP) Tariff shall be calculated using
the formula outlined below.
Formula Rate
Define:
A = Operation & Maintenance allocated to transmission ($)
B = Depreciation allocated to transmission ($)
C = Interest Expense allocated to transmission ($)
D = Revenue Credits ($)
E = Scheduling, System Control, and Dispatch costs ($)
F = Prior Period True-up ($)
ATRR = A + B + C-D-E + F
Note: Western-UGP will identify any portion of the ATRR eligible
for SPP Region-wide cost sharing pursuant to the SPP Tariff in its
Rate Formula Template submitted under Attachment H of the SPP
Tariff.
A recalculated annual revenue requirement will go into effect every
January 1 based on the above formula and updated financial data.
Western-UGP will annually notify SPP and make data and information
available to interested parties for review and comment related to the
recalculated annual revenue requirement on or shortly after September 1
of the preceding year. Data used and the charges resulting from using
this formula will be posted on the applicable SPP Web site and/or SPP
Open Access Same-Time Information System.
Rate Schedule WAUGP-AS1
October 1, 2015
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
UPPER GREAT PLAINS REGION PICK-SLOAN MISSOURI BASIN PROGRAM--EASTERN
DIVISION
SCHEDULING, SYSTEM CONTROL, AND DISPATCH SERVICE
Effective
On the first day of the first full billing period beginning on or
after October 1, 2015, upon transfer of functional control of eligible
Western-UGP facilities to SPP, and shall remain in effect through
September 30, 2020, or until superseded by another rate schedule,
whichever occurs earlier. Notification of the transfer of functional
control and the effective date of the formula rates will be published
in the Federal Register.
Applicable
Scheduling, System Control, and Dispatch Service (SSCD) is required
to schedule the movement of power through, out of, within, or into the
Southwest Power Pool, Inc. (SPP) Balancing Authority Area and/or the
Western Area Power Administration, Upper Great Plains West Balancing
Authority Area (WAUW). Western Area Power Administration-Upper Great
Plains Region's (Western-UGP) annual revenue requirement for SSCD will
be used by SPP to calculate the regional SPP Schedule 1 rate for SPP
through and out transactions, and also to calculate the zonal SPP
Schedule 1 rate for the Upper Missouri Zone (UMZ or Zone 19). This rate
will also be charged by SPP for SPP Transmission Service provided
within the Western Interconnection.
Formula Rate
Define:
A = Operation & Maintenance for SSCD ($)
B = Administrative and General Expense for SSCD ($)
C = Depreciation for SSCD ($)
D = Taxes Other than Income Taxes for Transmission ($)
E = Allocation of General Plant for SSCD ($)
F = Cost of Capital for SSCD ($)
G = SSCD Revenue from non-Transmission facilities ($)
H = Prior Period True-up ($)
SSCD Annual Revenue Requirement = A + B + C + D + E + F--G + H
[[Page 44347]]
A recalculated annual revenue requirement will go into effect every
January 1 based on the above formula and updated financial data.
Western-UGP will annually notify SPP and make data and information
available to interested parties for review and comment related to the
recalculated annual revenue requirement on or shortly after September 1
of the preceding year. Data used and the charges resulting from using
this formula will be posted on the applicable SPP Web site and/or SPP
Open Access Same-Time Information System.
Rate Schedule WAUW-AS3
October 1, 2015
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
UPPER GREAT PLAINS REGION PICK-SLOAN MISSOURI BASIN PROGRAM--EASTERN
DIVISION
REGULATION AND FREQUENCY RESPONSE SERVICE--WAUW
Effective
On the first day of the first full billing period beginning on or
after October 1, 2015, upon transfer of functional control of eligible
Western-UGP facilities to SPP, and shall remain in effect through
September 30, 2020, or until superseded by another rate schedule,
whichever occurs earlier. Notification of the transfer of functional
control and the effective date of the formula rates will be published
in the Federal Register.
Applicable
This Rate Schedule applies to the Western Area Power
Administration, Upper Great Plains West Balancing Authority Area
(WAUW). Regulation and Frequency Response Service (Regulation) is
necessary to provide for the continuous balancing of resources,
generation, and interchange with load and for maintaining scheduled
interconnection frequency at 60 cycles per second (60 Hz). Regulation
is accomplished by committing on-line generation whose output is raised
or lowered, predominantly through the use of automatic generating
control equipment, as necessary, to follow the moment-by-moment changes
in load. The obligation to maintain this balance between resources and
load lies with the Western Area Power Administration-Upper Great Plains
Region (Western-UGP) as the WAUW operator. The SPP Transmission
Customer must either purchase this service from SPP or make alternative
comparable arrangements pursuant to the SPP Tariff to satisfy its
Regulation obligation. Western-UGP's annual revenue requirement for
Regulation (outlined below) will be used by SPP to calculate the WAUW
charges for Regulation.
Western-UGP supports the installation of renewable sources of
energy but recognizes that certain operational constraints exist in
managing the significant fluctuations that are a normal part of their
operation. When Western-UGP purchases power resources to provide
Regulation to intermittent resources serving load within Western-UGP's
WAUW, costs for these regulation resources will become part of
Western's Regulation revenue requirement, which will be billed by SPP,
as the Transmission Provider, to a SPP Transmission Customer along with
the associated transmission service provided by SPP under the SPP
Tariff. However, Western-UGP will not regulate for the difference
between the output of an intermittent resource located within Western-
UGP's WAUW and a delivery schedule from that generator serving load
located outside of Western-UGP's WAUW. Intermittent resources serving
load outside Western-UGP's WAUW will be required to be pseudo-tied or
dynamically scheduled to another Balancing Authority Area.
An intermittent resource, for the limited purpose of this Rate
Schedule, is an electric generator that is not dispatchable and cannot
store its fuel source and, therefore, cannot respond to changes in
demand or respond to transmission security constraints.
Formula Rate
Define:
A = U.S. Army Corps of Engineers (Corps) Fixed Charge Rate (%)
B = Corps Generation Net Plant Costs ($)
C = Plant Capacity (kW)
D = Capacity Used for Regulation (kW-year)
E = Capacity Purchases for Regulation ($)
F = Prior Period True-up
Regulation Annual Revenue Requirement = (A * B/C) * D + E + F
A recalculated revenue requirement will go into effect every
January 1 based on the above formula and updated financial data.
Western-UGP will annually notify SPP and make data and information
available to interested parties for review and comment related to the
recalculated annual revenue requirement on or shortly after September 1
of the preceding year. Data used and the charges resulting from using
this formula will be posted on the applicable SPP Web site and/or SPP
Open Access Same-Time Information System.
Rate Schedule WAUW-AS4
October 1, 2015
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
UPPER GREAT PLAINS REGION PICK-SLOAN MISSOURI BASIN PROGRAM--EASTERN
DIVISION
ENERGY IMBALANCE SERVICE--WAUW
Effective
On the first day of the first full billing period beginning on or
after October 1, 2015, upon transfer of functional control of eligible
Western-UGP facilities to SPP, and shall remain in effect through
September 30, 2020, or until superseded by another rate schedule,
whichever occurs earlier. Notification of the transfer of functional
control and the effective date of the formula rates will be published
in the Federal Register.
Applicable
This Rate Schedule applies to the Western Area Power
Administration, Upper Great Plains West Balancing Authority Area
(WAUW). Energy Imbalance Service is provided when a difference occurs
between scheduled and actual delivery of energy to a load located
within Western Area Power Administration-Upper Great Plains Region's
(Western-UGP) WAUW over a single hour. Given the Southwest Power Pool,
Inc. (SPP) Integrated Marketplace will not be extended into the Western
Interconnection, Western-UGP, as the Balancing Authority, will offer to
provide Energy Imbalance Service in the WAUW, if it is capable of doing
so, from its own resources or from resources available to it, at the
request of SPP, as the Transmission Provider, when transmission service
is provided by SPP and used to serve load within the WAUW. Energy
Imbalance Service in the WAUW will be billed by SPP to the SPP
Transmission Customer along with the associated transmission service
provided by SPP. The SPP Transmission Customer must either purchase
this service from SPP, or make alternative comparable arrangements
pursuant to the SPP Tariff to satisfy its Energy Imbalance Service
obligation.
The SPP Transmission Customer will incur a charge for either hourly
energy imbalances under this Schedule, WAUW-AS4, or hourly generator
imbalances under Rate Schedule WAUW-AS7 for imbalances occurring during
the same hour, but not both, unless the imbalances aggravate rather
than offset each other.
[[Page 44348]]
Formula Rate
For deviations within 1.5 percent (with a minimum of 2
MW) of the scheduled transaction to be applied hourly to any energy
imbalance that occurs as a result of the SPP Transmission Customer's
scheduled transaction(s) will be netted on a monthly basis and settled
financially, at the end of the month, at 100 percent of the average
incremental cost.
Deviations greater than 1.5 percent up to 7.5 percent
(or greater than 2 MW up to 10 MW) of the scheduled transaction to be
applied hourly to any energy imbalance that occurs as a result of the
SPP Transmission Customer's scheduled transaction(s) will be settled
financially, at the end of each month. When energy taken in a schedule
hour is greater than the energy scheduled, the charge is 110 percent of
incremental cost. When energy taken is less than the scheduled amount,
the credit is 90 percent of the incremental cost.
Deviations greater than 7.5 percent (or 10 MW) of the
scheduled transaction to be applied hourly to any energy imbalance that
occurs as a result of the SPP Transmission Customer's scheduled
transaction(s) will be settled at 125 percent of Western-UGP's
incremental cost when energy taken in a schedule hour is greater than
the energy scheduled or 75 percent of Western-UGP's incremental cost
when energy taken by a SPP Transmission Customer is less than the
scheduled amount.
Western-UGP's incremental cost will be based upon a representative
hourly energy index or combination of indexes. The index to be used
will be posted on the applicable SPP Web site and/or SPP's Open Access
Same-Time Information System (OASIS) at least 30 days before use for
determining the Western-UGP incremental cost and will not be changed
more often than once per year unless Western-UGP determines that the
existing index is no longer a reliable price index.
The pricing and charge for deviations in the above deviation
bandwidths is as specified above. Data used and the charges resulting
from using this formula will be posted on the applicable SPP Web site
and/or SPP OASIS.
Rate Schedule WAUW-AS5
October 1, 2015
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
UPPER GREAT PLAINS REGION PICK-SLOAN MISSOURI BASIN PROGRAM--EASTERN
DIVISION
OPERATING RESERVE--SPINNING RESERVE SERVICE--WAUW
Effective
On the first day of the first full billing period beginning on or
after October 1, 2015, upon transfer of functional control of eligible
Western-UGP facilities to SPP, and shall remain in effect through
September 30, 2020, or until superseded by another rate schedule,
whichever occurs earlier. Notification of the transfer of functional
control and the effective date of the formula rates will be published
in the Federal Register.
Applicable
This Rate Schedule applies to the Western Area Power
Administration, Upper Great Plains West Balancing Authority Area
(WAUW). Operating Reserve-Spinning Reserve Service (Spinning Reserves)
is needed to serve load immediately in the event of a system
contingency. Spinning Reserves may be provided by generating units that
are on-line and loaded at less than maximum output. Given the Southwest
Power Pool, Inc. (SPP) Integrated Marketplace will not be extended into
the Western Interconnection, Western Area Power Administration-Upper
Great Plains Region (Western-UGP), as the Balancing Authority, will
offer to provide Spinning Reserves, if available, at the request of SPP
as the Transmission Provider in the WAUW. Operating Reserve-Spinning
Reserve Service in the WAUW will be billed by SPP to the SPP
Transmission Customer along with the associated transmission service
provided by SPP. The SPP Transmission Customer must either purchase
this service from SPP or make alternative comparable arrangements
pursuant to the SPP Tariff to satisfy its Spinning Reserves obligation.
Western-UGP's annual revenue requirement for Spinning Reserves
(outlined below) will be utilized by SPP to calculate the WAUW charges
for Spinning Reserves.
Formula Rate
Define:
A = U.S. Army Corps of Engineers (Corps) Fixed Charge Rate (%)
B = Corps Generation Net Plant Costs ($)
C = Plant Capacity (kW)
D = Maximum Load in the WAUW (kW)
E = Maximum Generation in the WAUW (kW)
F = Reserve Sharing Program Requirement based upon Load (%)--See
Note 1
G = Reserve Sharing Program Requirement based upon Generation (%)--
See Note 2
H = Prior Period True-up
Note 1: Currently 3% in the Northwest Power Pool (NWPP) Reserve
Sharing Program
Note 2: Currently 3% in the NWPP Reserve Sharing Program
Spinning Reserves Annual Revenue Requirement = (A * B/C) * ((D * F)
+ (E * G)) + H
A recalculated revenue requirement will go into effect every
January 1 based on the above formula and updated financial, load/
generation, and Reserve Sharing Program requirements data. Western-UGP
will annually notify SPP and make data and information available to
interested parties for review and comment related to the recalculated
annual revenue requirement on or shortly after September 1 of the
preceding year. Data used and the charges resulting from using this
formula will be posted on the applicable SPP Web site and/or SPP Open
Access Same-Time Information System (OASIS).
If resources are not available from a Western-UGP resource,
Western-UGP, at the request of SPP as the Transmission Provider, will
offer to purchase the Spinning Reserves and pass through the costs,
plus an amount for administration, to SPP for the SPP Transmission
Customer.
In the event that Spinning Reserves are called upon for emergency
use, the SPP Transmission Customer will be assessed a charge for energy
used at the prevailing market energy rate in the WAUW. The prevailing
market energy rate will be based upon a representative hourly energy
index or combination of indexes. The index to be used will be posted on
the applicable SPP Web site and/or SPP's OASIS at least 30 days before
use for determining the prevailing market energy rate and will not be
changed more often than once per year unless Western-UGP determines
that the existing index is no longer a reliable price index. The SPP
Transmission Customer would be responsible for providing transmission
service to get the Spinning Reserves to its destination.
[[Page 44349]]
Rate Schedule WAUW-AS6
October 1, 2015
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
UPPER GREAT PLAINS REGION PICK-SLOAN MISSOURI BASIN PROGRAM--EASTERN
DIVISION
OPERATING RESERVE--SUPPLEMENTAL RESERVE SERVICE--WAUW
Effective
On the first day of the first full billing period beginning on or
after October 1, 2015, upon transfer of functional control of eligible
Western-UGP facilities to SPP, and shall remain in effect through
September 30, 2020, or until superseded by another rate schedule,
whichever occurs earlier. Notification of the transfer of functional
control and the effective date of the formula rates will be published
in the Federal Register.
Applicable
This Rate Schedule applies to the Western Area Power
Administration, Upper Great Plains West Balancing Authority Area
(WAUW). Operating Reserve-Supplemental Reserve Service (Supplemental
Reserves) is needed to serve load in the event of a system contingency:
however, it is not available immediately to serve load but rather
within a short period of time. Supplemental Reserves may be provided by
generating units that are on-line but unloaded, by quick-start
generation, or by interruptible load. Given the Southwest Power Pool,
Inc. (SPP) Integrated Marketplace will not be extended into the Western
Interconnection, Western Area Power Administration-Upper Great Plains
Region (Western-UGP), as the Balancing Authority, will offer to provide
Supplemental Reserves, if available, at the request of SPP as the
Transmission Provider, in the WAUW. Operating Reserve-Supplemental
Reserve Service in the WAUW will be billed by SPP to the SPP
Transmission Customer along with the associated transmission service
provided by SPP. The SPP Transmission Customer must either purchase
this service from SPP or make alternative comparable arrangements
pursuant to the SPP Tariff to satisfy its Supplemental Reserves
obligation. Western-UGP's annual revenue requirement for Supplemental
Reserves (outlined below) will be utilized by SPP to calculate the WAUW
charges for Supplemental Reserves.
Formula Rate
Define:
A = U.S. Army Corps of Engineers (Corps) Fixed Charge Rate (%)
B = Corps Generation Net Plant Costs ($)
C = Plant Capacity (kW)
D = Maximum Load in the WAUW (kW)
E = Maximum Generation in the WAUW (kW)
F = Reserve Sharing Program Requirement based upon Load (%)--See
Note 1
G = Reserve Sharing Program Requirement based upon Generation (%)--
See Note 2
H = Prior Period True-up
Note 1: Currently 3% in the Northwest Power Pool (NWPP) Reserve
Sharing Program
Note 2: Currently 3% in the NWPP Reserve Sharing Program
Supplemental Reserves Annual Revenue Requirement = (A * B/C) * ((D *
F) + (E * G)) + H
A recalculated revenue requirement will go into effect every
January 1 based on the above formula and updated financial, load/
generation, and Reserve Sharing Program requirements data. Western-UGP
will annually notify SPP and make data and information available to
interested parties for review and comment related to the recalculated
annual revenue requirement on or shortly after September 1 of the
preceding year. Data used and the charges resulting from using this
formula will be posted on the applicable SPP Web site and/or SPP Open
Access Same-Time Information System (OASIS).
If resources are not available from a Western-UGP resource,
Western-UGP, at the request of SPP as the Transmission Provider, will
offer to purchase the Supplemental Reserves and pass through the costs,
plus an amount for administration, to SPP for the SPP Transmission
Customer.
In the event Supplemental Reserves are called upon for emergency
use, the SPP Transmission Customer will be assessed a charge for energy
used at the prevailing market energy rate in the WAUW. The prevailing
market energy rate will be based upon a representative hourly energy
index or combination of indexes. The index to be used will be posted on
the applicable SPP Web site and/or SPP's OASIS at least 30 days before
use for determining the prevailing market energy rate and will not be
changed more often than once per year unless Western-UGP determines
that the existing index is no longer a reliable price index. The SPP
Transmission Customer would be responsible for providing transmission
service to get the Supplemental Reserves to its destination.
Rate Schedule WAUW-AS7
October 1, 2015
UNITED STATES DEPARTMENT OF ENERGY
WESTERN AREA POWER ADMINISTRATION
UPPER GREAT PLAINS REGION PICK-SLOAN MISSOURI BASIN PROGRAM--EASTERN
DIVISION
GENERATOR IMBALANCE SERVICE--WAUW
Effective
On the first day of the first full billing period beginning on or
after October 1, 2015, upon transfer of functional control of eligible
Western-UGP facilities to SPP, and shall remain in effect through
September 30, 2020, or until superseded by another rate schedule,
whichever occurs earlier. Notification of the transfer of functional
control and the effective date of the formula rates will be published
in the Federal Register.
Applicable
This Rate Schedule applies to the Western Area Power
Administration, Upper Great Plains West Balancing Authority Area
(WAUW). Generator Imbalance Service is provided when a difference
occurs between the output of a generator located within Western Area
Power Administration-Upper Great Plains Region's (Western-UGP) WAUW and
a delivery schedule from that generator to (1) another Balancing
Authority Area or (2) a load within Western-UGP's WAUW over a single
hour. Western-UGP, as the Balancing Authority, will offer to provide
this service, if it is capable of doing so, from its own resources or
from resources available to it, at the request of the Southwest Power
Pool, Inc. (SPP) as the Transmission Provider, when transmission
service is used to deliver energy from a generator located within the
WAUW. Generator Imbalance Service in the WAUW will be billed by SPP to
the SPP Transmission Customer along with the associated transmission
service provided by SPP. The SPP Transmission Customer must either
purchase this service from SPP or make alternative comparable
arrangements pursuant to the SPP Tariff, to satisfy its Generator
Imbalance Service obligation. The SPP Transmission Customer will incur
a charge for either hourly generator imbalances under this Schedule,
WAUW-AS7, or hourly energy imbalances under Rate Schedule WAUW-AS4 for
imbalances occurring during the same hour, but not both, unless the
imbalances aggravate rather than offset each other.
[[Page 44350]]
Western-UGP supports the installation of renewable sources of
energy but recognizes that certain operational constraints exist in
managing the significant fluctuations that are a normal part of their
operation. Western-UGP has marketed the maximum practical amount of
power from each of its projects, leaving little or no flexibility for
provision of additional power services. Consequently, Western-UGP will
not regulate for the difference between the output of an intermittent
resource located within the WAUW and a delivery schedule from that
generator serving load located outside of the WAUW. Intermittent
resources serving load outside Western-UGP's WAUW will be required to
be pseudo-tied or dynamically scheduled to another Balancing Authority
Area.
An intermittent resource, for the limited purpose of this Rate
Schedule, is an electric generator that is not dispatchable and cannot
store its fuel source and, therefore, cannot respond to changes in
demand or respond to transmission security constraints.
Formula Rate
For deviations within 1.5 percent (with a minimum of 2
MW) of the scheduled transaction to be applied hourly to any generator
imbalance that occurs as a result of the SPP Transmission Customer's
scheduled transaction(s) will be netted on a monthly basis and settled
financially, at the end of the month, at 100 percent of the average
incremental cost.
Deviations greater than 1.5 percent up to 7.5 percent
(or greater than 2 MW up to 10 MW) of the scheduled transaction to be
applied hourly to any generator imbalance that occurs as a result of
the SPP Transmission Customer's scheduled transaction(s) will be
settled financially, at the end of each month. When energy delivered in
a schedule hour from the generation resource is less than the energy
scheduled, the charge is 110 percent of incremental cost. When energy
delivered from the generation resource is greater than the scheduled
amount, the credit is 90 percent of the incremental cost.
Deviations greater than 7.5 percent (or 10 MW) of the
scheduled transaction to be applied hourly to any generator imbalance
that occurs as a result of the SPP Transmission Customer's scheduled
transaction(s) will be settled at 125 percent of Western-UGP's highest
incremental cost for the day when energy delivered in a schedule hour
is less than the energy scheduled or 75 percent of Western-UGP's lowest
daily incremental cost when energy delivered from the generation
resource is greater than the scheduled amount. As an exception, an
intermittent resource will be exempt from this deviation band and will
pay the deviation band charges for all deviations greater than the
larger of 1.5 percent or 2 MW.
Deviations from scheduled transactions responding to directives by
the Transmission Provider, a Balancing Authority, or a reliability
coordinator shall not be subject to the deviation bands identified
above and, instead, shall be settled financially, at the end of the
month, at 100 percent of incremental cost. Such directives may include
instructions to correct frequency decay, respond to a reserve sharing
event, or change output to relieve congestion.
Western-UGP's incremental cost will be based upon a representative
hourly energy index or combination of indexes. The index to be used
will be posted on the applicable SPP Web site and/or SPP's Open Access
Same-Time Information System (OASIS) at least 30 days before use for
determining the Western-UGP incremental cost and will not be changed
more often than once per year unless Western-UGP determines that the
existing index is no longer a reliable price index.
The pricing and charge for deviations in the deviation bandwidths
is as specified above. Data used and the charges resulting from using
this formula will be posted on the applicable SPP Web site and/or SPP
OASIS.
[FR Doc. 2015-18240 Filed 7-24-15; 8:45 am]
BILLING CODE 6450-01-P